Nigeria’s financial sector lost ₦52.26 billion ($56.5 million) to fraud in 2024, marking a sharp increase from ₦17.67 billion in 2023, according to a new report by the Nigeria Inter-Bank Settlement System (NIBSS).
Despite a 31% drop in fraud cases over the past five years, financial losses surged by 350%, rising from ₦11.61 billion in 2020 to ₦52.3 billion in 2024. This underscores the growing sophistication of cybercriminals and vulnerabilities in banking systems.
NIBSS linked the spike in fraud losses to system weaknesses in financial institutions. Attempted fraud jumped 338% between 2023 and 2024, with the biggest spikes recorded in Q2 and Q3 before declining in Q4.
Fraud Costs Soar Despite Lower Case Numbers
In 2024, 70,111 fraud cases were recorded—down from 101,624 in 2020—but criminals stole more money per incident. The ratio of fraud losses to total transactions dropped to 0.004%, reflecting industry-wide security efforts, but remains a major concern.
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NIBSS data also showed that 80,658 unique customers fell victim to fraud in 2023, a slight decline from 84,130 in 2022. However, experts warn that fraud tactics are evolving, and customer education is critical.
Individuals aged 40 and above remain the most targeted group, reinforcing the need for heightened awareness campaigns. NIBSS called for stronger regulations and collaborative efforts to curb financial crime and improve fraud detection.
