The United States has shifted its strategy regarding the Muslim Brotherhood, increasing regulatory focus on the organization's financial operations. Observers note that restricting funding sources poses a challenge to the transnational group's ability to sustain its activities and maintain its networks of influence. According to Nabil Naeem, a former official of the Egyptian Islamic Jihad, the Muslim Brotherhood has historically maintained diverse financial resources that have often shielded it from funding crises.
This financial resilience has prompted new American regulatory strategies. Following a November 2025 executive order, the US Treasury and State Departments took specific actions in January 2026 regarding regional branches of the group. The Lebanese branch of the Muslim Brotherhood was designated as a Foreign Terrorist Organization (FTO), while the Egyptian and Jordanian branches were designated as Specially Designated Global Terrorists (SDGTs). It is important to note that neither the broader Muslim Brotherhood organization nor the Council on American-Islamic Relations (CAIR) have been federally designated as FTOs.
The Oklahoma Mandate
In a recent state-level action, Oklahoma Governor Kevin Stitt issued an executive order directing state security agencies to conduct an intelligence assessment of the Muslim Brotherhood and CAIR. The assessment is an investigatory measure aimed at evaluating whether these entities, or individuals acting on their behalf, pose a potential risk to public safety within the state, rather than a formal finding of wrongdoing.
Executive Order 2026-29, signed on 12 August, took immediate effect. "Oklahomans expect their government to take terrorism seriously and act before threats turn into tragedies," Governor Stitt said, adding that his administration aims to ensure that state resources are not used to support illicit activities.
In response to the order, CAIR strongly condemned the mandate, characterizing it as a politically motivated investigation based on baseless anti-Muslim smears. The organization maintains that it operates solely as a domestic civil rights and advocacy group with no ties to terrorism, and warned that such state-level actions jeopardize the civil liberties of Muslim Americans.
Governor Stitt urged state officials to pressure Washington to apply Section 1189 of Title 8 of the US Code to officially designate the Muslim Brotherhood and CAIR as terrorist entities at the federal level. However, the authority to designate foreign terrorist organizations under federal law rests solely with the US Secretary of State. Furthermore, as a domestic US organization, CAIR is not legally eligible for designation as a foreign terrorist organization.
Tariq Al-Bishbishi, a researcher specializing in Islamic groups, views Oklahoma's actions as a continuation of a path paved by other states. Speaking to the Youm7 newspaper, he noted that these steps reflect a shift in how certain US jurisdictions are approaching the Brotherhood and its perceived domestic networks. Al-Bishbishi explained that the group has historically relied on building extensive networks outside its core regions, utilizing social, media, and political avenues to maintain influence.
A Financial Confrontation
Meanwhile, the Muslim Brotherhood's funding networks are facing increased legislative and regulatory scrutiny in the US.
This follows legislative moves in Congress, including H.R. 4097. The bill directs the US Secretary of State to submit a report to Congress regarding whether the Muslim Brotherhood meets the legal criteria for designation as a foreign terrorist organization. Several Republican lawmakers have also called for stricter oversight of entities suspected of financial ties to the Brotherhood, signaling a focus on dismantling financial pipelines.
In recent months, the US Treasury Department placed senior Brotherhood figure Mahmoud El-Ibiary on its sanctions list, alongside three other individuals and three entities. This move highlights an expanded focus on the financial systems Washington alleges are used to move money across borders.
US measures have targeted a diverse array of financial conduits, which Washington accuses of using charitable and commercial activities as a front to collect and transfer funds to entities linked to Hamas. These include:
- Charitable organizations
- Commercial fronts and shell companies
- Currency exchange networks
- Financial service providers
According to the US Treasury, Mahmoud El-Ibiary serves as the Secretary-General of the Muslim Brotherhood's General Secretariat. He is accused of participating in fundraising campaigns for institutions previously sanctioned by Washington for their ties to Hamas, as well as coordinating with entities linked to the Brotherhood's international network to facilitate illicit money transfers.
The sanctions also encompassed an exchange and financial services network in Turkey, which the US accused of transferring hundreds of thousands of dollars to Hamas. According to analysts, the nature of these sanctions reveals a shift in America's enforcement tools, targeting the broader financial supply chain—from initial collection points, through charitable fronts and commercial brokers, to the end-users Washington deems a security threat.
