Hezbollah's financial woes deepen as Iranian support wanes
Hezbollah, a Lebanese terrorist organization, is struggling with serious financial problems. It lacks the funds to meet obligations to its fighters and supporters.
Hezbollah, an organization supported by Iran, is feeling the financial impacts of the conflict with Israel. According to "The Wall Street Journal," the group's annual budget, excluding weapons expenditures, previously amounted to a billion dollars. However, now, three months after the ceasefire with Israel, Hezbollah is unable to pay salaries.
Hezbollah, operating as a state within a state, provided jobs and benefits to its supporters. However, the costs of the war with Israel have exhausted its budget. "I have so many questions about why we were dragged into this conflict and suffered so much," says the owner of a destroyed restaurant in an interview with "WSJ".
Hezbollah is in trouble. The state within a state has lost financial liquidity
The Lebanese government, supported by the USA, is trying to limit the flow of funds from Iran to Hezbollah. Recently, Iranian planes were prevented from landing in Beirut. Additionally, the loss of power in Syria by Bashar al-Assad has limited the flow of weapons and money to Lebanon.
Lina Khatib of Chatham House, a think tank focused on international relations research, believes that the lack of political and financial benefits could weaken loyalty to Hezbollah. The new President of Lebanon, Joseph Aoun, hopes to weaken the organization's influence, but the country is also grappling with an economic crisis.
Hezbollah is funded by Lebanese business groups, private individuals, entrepreneurs, the Lebanese diaspora engaged in diamond mining in Africa, other groups and Islamic countries, as well as taxes paid by Shiite Lebanese. Recognized as a religious organization, Hezbollah has access to zakat, an informal, annually obligatory tax paid by all Muslims.
