CBN Announces New Anti-Fraud Drive as Bank Fraud Losses Fall by 51 Percent

Fraud losses in Nigerian banks fell to 25.85 billion naira in 2025, down 51 percent from 52.26 billion naira recorded in 2024, the Central Bank of Nigeria and the Nigerian Interbank Settlement System said during the Nigeria Electronic Fraud Forum in Lagos.

The Nigerian Interbank Settlement System reported that fraud cases dropped slightly to 67,518 in 2025 from 70,111 cases in 2024. Internet and mobile platforms remained the most targeted channels, with 27,460 and 22,470 cases respectively.

Internet banking recorded the highest financial loss, with 13.37 billion naira lost across 4,507 cases, making it the most damaging fraud channel in the banking sector last year.

Social engineering remained the dominant fraud method, accounting for 47 percent of total fraud cases and 17.84 billion naira in losses. Card theft and robbery were also significant, representing 17 percent and 11 percent of fraud cases respectively.

Lagos State continued to be the country’s fraud hotspot, accounting for over 63 percent of total fraud cases in 2025, while Abuja and other major urban centres were identified as emerging bases for fraud activities.

Despite the decline in losses, reporting compliance dropped, with the number of institutions reporting fraud falling from 45 in the second quarter of 2024 to 34 by the fourth quarter of 2025. Industry officials warned that lack of reporting allows fraudsters to move between banks undetected.

The Central Bank of Nigeria announced a new industry-wide effort to reduce fraud response time to under 30 minutes, emphasizing stronger identity verification using BVN and NIN integration, real-time fraud monitoring, and increased collaboration among banks, fintechs, telecom operators, and security agencies.