Nigeria’s banking sector is breathing a sigh of relief as bank fraud cases take a nosedive for the first time since 2021! 📉 The number of reported fraud incidents has been steadily declining, with a 27% drop in 2024 and a further 4% decrease in 2025, totaling 67,518 cases. This welcome trend is largely attributed to the effectiveness of the Bank Verification Number (BVN) and National Identification Number (NIN) frameworks in curbing identity-related crimes.
The Central Bank of Nigeria (CBN) has also directed lenders to reduce fraud response times to under 30 minutes, aiming to improve recovery outcomes and limit systemic exposure. The introduction of BVN and NIN has significantly constrained impersonation and synthetic identity fraud, closing gaps previously exploited by fraudsters.
Despite the decline, social engineering remains a dominant threat, accounting for significant financial losses. Internet banking, though recording fewer cases, resulted in the largest financial loss in 2025, highlighting its appeal as a low-volume, high-value target.
The CBN’s efforts to combat fraud include enhancing identity verification, improving transaction monitoring, and tightening regulatory oversight. The Nigeria Interbank Settlement System (NIBSS) has also maintained a person of interest portal, listing 114,000 politically exposed persons and nearly 14,000 fraudsters.
As Nigeria’s banking industry continues to evolve, stakeholders urge strengthened customer awareness, prioritization of anti-social engineering controls, and consistent joint industry action to combat the menace.
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