Islamic State ‘hit by cash crisis in its capital Raqqa’

Faced with a cash shortage in its self-declared caliphate, the Islamic State of Iraq and the Levant has slashed salaries, asked Raqqa residents to pay utility bills in black market American dollars, and is now releasing detainees for a price of $500 a person.

The extremists who once bragged about minting their own currency are having a hard time meeting expenses, thanks to coalition airstrikes and other measures that have eroded millions from their finances since last fall. Having built up loyalty among militants with good salaries and honeymoon and baby bonuses, the group has stopped providing even the smaller perks: free energy drinks and Snickers bars.