Cyber Fraud Surges In Ghanaian Banks- BoG Report2 min read

The Bank of Ghana (BoG) has revealed in its recently published 2022 Fraud Report that the number of cyber or email fraud cases in banks across Ghana have skyrocketed compared to the previous year.

The report highlighted a concerning upward trend, with 422 cases recorded in 2022, a staggering 744% increase from the 50 cases reported in 2021.

Of particular concern was the significant rise in fraudulent withdrawals from customers’ accounts. The number of reported cases soared from 19 in 2021 to 347 in 2022, representing a shocking 1726.32% year-on-year increase.

Impersonation was another emerging fraud typology that saw a sharp increase in reported cases. The number of impersonation cases rose from 20 in 2021 to 285 in 2022, marking a 1325% surge in year-on-year terms.

Furthermore, e-money fraud also experienced an uptick, with 149 cases reported in 2022 compared to the 116 cases recorded the previous year, signifying a 28.45% increase.

The BoG’s 2022 Fraud Report unveiled a total of 12,166 cases of Mobile Money (MoMo) fraud throughout the year, showing a slight decrease from the 12,350 cases reported in 2021. The report shed light on the prevalence of MoMo fraud, particularly among vulnerable individuals who struggle with reading.

The report also highlighted a lack of attention to security as a contributing factor to the high incidence of MoMo fraud.
Many mobile money users fail to prioritize their security, making them easy targets for fraudsters. To combat this issue, the Bank of Ghana has collaborated with financial entities to implement stringent measures aimed at mitigating the impact of fraudulent activities.

An alarming finding from the report revealed that some mobile money users do not regularly change their Personal Identification Numbers (PINs), leaving them vulnerable to fraudsters.
Furthermore, elderly and less educated users often rely on others to carry out transactions on their behalf, compromising their PIN security as they have to share them with third parties.

In response to these issues, the report recommended comprehensive sensitization programs targeted at vulnerable and less literate mobile money customers. These programs should be conducted in multiple local languages to ensure widespread understanding and reach a diverse audience.

The Bank of Ghana is determined to address the prevalence of MoMo fraud and protect the interests of mobile money users. Through collaboration with financial entities, the aim is to implement measures that heighten security and combat fraudulent activities.

The 2022 Fraud Report from the Bank of Ghana emphasizes the urgent need for increased security awareness among mobile money users. Customized sensitization efforts are recommended to educate vulnerable populations and combat the rising trend of fraud.