UN Experts Call for Urgent Action to Stop Illicit Financing of Mercenaries, Citing Human Rights Violations and Links to Global Crime

UN Report Highlights Complex Funding Channels and Urges Regulatory Crackdown on Financial Networks Enabling Mercenary Operations.

Combating the illicit financing of mercenaries and related actors must become an urgent priority to address widespread human rights abuses and associated criminal activity, UN experts urged today. Presenting a detailed report to the UN General Assembly, Jovana Jezdimirovic Ranito, Chair-Rapporteur of the UN Working Group on the Use of Mercenaries, highlighted the vast networks of financial enablers who support mercenary groups across global conflict and non-conflict zones.

The report underscores how mercenaries are funded through both traditional and alternative channels—including traditional banking systems, cash payments, cryptocurrency exchanges, and even crowdfunding initiatives. These funding methods are enabled by complex networks of professionals, including bankers, lawyers, corporate entities, and fixers, who facilitate and obscure financial flows. "Understanding these financial ecosystems is essential to addressing mercenarism," said Ranito.

At the macro level, mercenary operations are often financed by States or their proxies, while at the micro level, individual mercenaries receive direct compensation in the form of money or other rewards. The report notes that mercenary funding is deeply intertwined with organized crime and illicit activities, including terrorism, drug trafficking, arms trading, human trafficking, corruption, and even online fraud.

"Mercenarism does not operate in isolation; it is often supported by and contributes to, a broader network of transnational criminal activities," stated the Working Group. These connections allow mercenaries not only to operate effectively but also to gain access to substantial financial resources, often through the exploitation of natural resources in conflict zones, which further destabilizes affected regions.

The UN Working Group called for immediate regulatory actions by States to close gaps in both traditional and alternative financial systems that allow mercenary funding to proliferate. In addition to more stringent monitoring of banking transactions, the report urges better regulation of cryptocurrency exchanges, crowd-funding platforms, and other online funding methods that can serve as conduits for illicit funds.

Furthermore, the report emphasizes the importance of tackling the root causes driving individuals toward mercenary recruitment, including poverty, lack of opportunities, and political instability. By reducing incentives for individuals to engage in mercenary activities, the Working Group believes there can be a significant reduction in mercenary recruitment.

“Addressing the financing of mercenaries will require robust adherence to international and regional criminal regulations and close cooperation between governments and financial oversight bodies. Shutting down the channels that fund mercenary groups and discouraging individual recruitment are essential steps toward dismantling these networks,” the Working Group emphasized.

The UN’s call to action also urges States and stakeholders to enhance intelligence-sharing and collaboration to detect and intercept illicit transactions related to mercenary financing, especially those that intersect with organized crime and terrorism. The report's recommendations are aimed at making a tangible impact on both the prevention of human rights abuses and the broader goal of global security.