Flag: ![Pretty](http://afghantribes.com/wp-content/uploads/2010/01/1978-1980-Flag-Nur-Mohammad-Taraki-Amin-Khalq-Communist.gif "Symbolic of world conquest")
Name: The People's Caliphate
Classification: Theocratic Communist Dictatorship
Government: Radical Conservativism
Currency: Slaves, the people's caliphate doesn't believe in money
National animal: A Mule
Motto: "Death to the infidels, capitalists and jews"
Continent: Asia Minor, the parts not owned by the rum sultanate or that other guy's faction. Also some of the east African coast, notably Somalia and a loyal faction in Afghanistan.
Brief history: The Islamic State managed to get funding from Chinese communists who intended to keep the power of the sultanate of rum in check. However, Chinese investors in the region accidentally spread the ideals of maoism and Stalinism to the traditionally Wahhabi Al Baghdadi, which caused the Islamic State to embrace a planned economy akin to North Korea's. The increased productivity from the constant expansion, and much of the world going to shit anyways allowed for the People's Caliphate to be born without threat of intervention from outside forces.
Since than, Al Baghdadi has become the caliph of the people, and has abolished money, declaring the concept of economics a myth. Instead adopting the tenants of a slave based society in an attempt to address the economic weaknesses of communism. It also has allowed them to justify continued slave raids around pretty much the whole world making use of recently conquered Somalian navies along with secret funding by Wahhabi priests from Saudi Arabia.
The most recent incident known is the terror attacks in South America over the graven depictions of Muhammad being raped by a Marx in motley by a random citizen whose IP was traced to the South American continent. Not knowing which banana was responsible for it, Al Baghdadi declared a jihad on pretty much every country in the continent.
Anything else you wish to add: They are a pretty shitty state on the whole, pretty much at war with everyone making use of military tech just left lying around the region. Their military crew gets fueled by random people who want to die horribly one day from around the world.