Terrorism financing is one of the most complex problems the democratic world is facing
today. The transfer of funds to support terrorist activities has created enormous challenges across the
world. This has fuelled several inter-religious and nationalist hate, and as such has put many nations
into war with terrorist organisations. The main objective of this study is to review the sources of terrorist
financing. The paper relies on secondary data that were drawn from various books, journals, as well as
from institutional materials relevant to the issues raised. It concludes that terrorists are exploiting
established financial systems at the global level to move their finances, and that informal systems
remain the biggest challenge to thwart terrorist activities
