Wagner established himself as a key player in the war in Ukraine. Secretly founded by the Russian authorities in 2014, the paramilitary group is not officially recognized by Moscow. This does not prevent this semi-secret unit from gradually gaining importance: the members of Wagner impose themselves with violence and barbarism on the African continent as in Ukraine. Gradually, its existence emerged from the shadows, but its funding remains elusive. “When the activity is linked to Wagner, the contracts are not public and the lineage of certain companies with Evgueni Prigojine or other Wagner officers is difficult to prove conclusively,” said Ousmane Diallo, Sahel researcher at Amnesty International.
Mercenary activities are expensive, especially since the Wagner group is gaining power and, according to Washington, now has 50,000 men in Ukraine. The Kremlin has never officially acknowledged this fog, and as of September its leader, Yevgueni Prigojine, had never admitted his role in Wagner. “Officially it is a private company and the exact financial relationship between the Russian state and Wagner is kept secret,” notes Carole Grimaud, founder of the CREER think tank and an expert at the Geneva Geostrategic Observatory.
From canteens to mercenaries
Gradually, however, the veil lifts over the Wagner fog and the time of absolute secrecy gives way to a new, more ambitious era. At the beginning of November, the group inaugurated its first headquarters in Saint Petersburg, where recruitment meetings are organized. And yet “the Russian constitution prohibits private military companies,” recalls Carole Grimaud. That doesn’t stop Moscow from paying Wagner. According to a 2019 investigation by The Bell and Medusa, the Russian Defense Ministry partially funds the group’s actions through Yevgeny Prigozhin’s third-party companies, which then wire the money to the private military company (CPM).
The “Putin chef” is indeed an indispensable supplier of the Kremlin and mainly fills the plates of the Russian army and school canteens. It is therefore easy to inflate checks under the pretext of increasing orders, when in reality a part is devoted to Yevgueni Prigojine’s mercenary activities. But the Russian state may not be the only one interfering. In 2020, the United States Defense Intelligence Agency released a report accusing the United Arab Emirates of funding the Wagner Group in Libya. “Wagner has had a presence in Libya since 2016, and some countries once had an interest in bolstering its resources. It’s a society that can serve as an instrument of influence… Until it gets out of hand or becomes useless,” explains Carole Grimaud.
wood, gold and diamonds
In addition to the European theater, the Wagner Swiss Army Knife is active in Syria, Libya, Sudan, Central African Republic, Burkina Faso, Mozambique and Madagascar. Its tentacles allow Russia to establish its power in Africa. “The Prigoyine galaxy has a media component and its companies invest financially in the African media” to support Moscow’s propaganda, explains Carole Grimaud. Wagner’s primary activity remains “security”, whether it be protecting leaders, training men in military manoeuvres, administering customs, or preserving sites.
In return, governments of the Prigojine galaxy often offer concessions to exploit natural resources. “The private company Wagner is a nebula that is involved in several areas in Africa, such as timber concessions, diamond or gold mines,” lists Ousmane Diallo, a specialist in Mali. In Syria, in 2016, Yevgueni Prigojine was able to recover 25% of the revenue from the gas and oil fields taken over by the Wagner troops from members of the Islamic State.
The Cost of the Uberization of War
But these concessions, which could take “two, three or five years” depending on the scenario, impoverish countries at the expense of the CMP. “These states often need budget support to function and it’s not easy for them to get $10 million out of it,” Ousmane Diallo points out, explaining that this sum is what Wagner’s soldiers asked for sending 1,000 men to Mali. The country’s authorities have always denied the presence of mercenaries on their territory, but “there are testimonies, photos and documents that prove their operational presence,” assures Amnesty International’s Sahel expert. The company is accused of looting gold mines in Sudan, but also in the Central African Republic.
Sometimes the private military company goes so far as to break free from the governments or groups that hire it. “Wagner’s goal is to make money, make money. And therein lies the whole danger for the countries in which they operate,” announces Ousmane Diallo. Because the Nebula acts “apparently without any scruples, without law or even morality,” criticizes Carole Grimaud. In the Central African Republic, the group is accused of killing dozens of workers to loot local mines. Because the uberization of war has its price. And that is much more disproportionate than when it affects other trades.