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Eritrea’s Shadowy Economy: State Control and Organized Crime

In Eritrea, a small African nation, the economy is shrouded in secrecy and corruption. The authoritarian government, led by President Isaias Afwerki, exercises total control over the country’s finances, making it difficult to track the flow of money and identify instances of organized crime.

State Control and Organized Crime

A recent report suggests that state actors are involved in various forms of criminal activity, including human trafficking, bribery, and smuggling. Diplomats posted abroad have been accused of facilitating human trafficking by issuing documents for travel and providing legal services to Eritrean citizens. Even police and military personnel have been implicated in trafficking activities along the Sudanese border.

Transnational networks of Eritrean smugglers operate on routes towards Europe, often with the aid of local communities. Rashaida traffickers, known for kidnapping and holding individuals for ransom in the Sinai peninsula or Libya, have also been aided by Eritreans.

Governing with Impunity

Eritrea is considered one of the most repressive states in the world, with no independent judiciary, national assembly, or democratic institutions. The government exercises total control over all aspects of life, including the economy, and has been accused of violating human rights with impunity.

The country’s lack of transparency is evident in its failure to publish reliable data on crime dynamics or economic activity. External efforts to support domestic data gathering have been met with resistance from the government.

Criminal Justice System in Crisis

Eritrea’s criminal justice system is in shambles, with no specialized units dedicated to countering organized crime. Prison conditions are harsh and life-threatening, with severe overcrowding a major issue.

The country’s law enforcement agencies lack independence and are plagued by corruption and bribery. There is no independent police oversight body or specialized law-enforcement unit in Eritrea, making it difficult to combat criminal activity effectively.

Economic and Financial Environment

Eritrea’s economy is largely informal, with a cash-based system that makes it vulnerable to money laundering. The country’s regulatory capacity is insufficient, and corruption is rampant.

The state-controlled banking system is opaque, and the government has refused to cooperate with international organizations like the IMF and World Bank. Eritrea’s economy remains weak, with citizens experiencing shortages of fuel, drinking water, and electricity.

Civil Society Under Siege

Eritrea’s civil society is non-existent, with no independent media outlets or human rights organizations operating within the country. The government has imprisoned 16 journalists in recent years and has closed down all independent media outlets.

Foreign human rights organizations are not permitted to operate in Eritrea, and demonstrations have been met with lethal force and arbitrary detentions. The government’s lack of regard for press freedom and human rights means that victims of trafficking and other crimes have no effective recourse or support.