Meta Description: CBN reports banking fraud losses of N134.48bn between 2020 and 2025, driven by rising digital transactions and major fraud incidents.
Nigeria’s financial sector recorded significant banking fraud losses amounting to N134.48bn between 2020 and 2025, according to data contained in the Central Bank of Nigeria’s Nigeria Payments System Vision 2028 document. The report highlights the growing exposure of the banking system to fraud risks amid rapid expansion of digital payments and financial technology adoption across the country.
The Nigerian payments ecosystem has undergone major transformation in recent years, driven by increased use of mobile banking, internet banking, point-of-sale terminals, and other electronic channels. While these innovations have improved financial inclusion and reduced transaction costs, they have also introduced new vulnerabilities.
The Central Bank of Nigeria (CBN) noted that fraud trends have evolved alongside the growth of digital payments, requiring stronger oversight and coordinated industry responses to safeguard customers and financial institutions.
According to the CBN report, attempted fraud within Nigeria’s banking and payments ecosystem stood at N187.79bn between 2020 and 2025, while actual banking fraud losses totalled N134.48bn. The losses were recorded across multiple channels, including over-the-counter transactions, ATMs, cheques, e-commerce platforms, internet banking, mobile banking, POS terminals, and web-based systems.
Annual data shows a steady rise in banking fraud losses from N11.61bn in 2020 to N12.77bn in 2021, and N14.32bn in 2022. The figure increased further to N17.67bn in 2023 before surging sharply to N52.26bn in 2024. The report stated that the 2024 spike accounted for nearly 39 per cent of total losses recorded within the period. It attributed the surge largely to a major internal fraud case valued at N30bn.
According to the document: “Fraud amounts in Internet Banking, Mobile, and POS channels declined, yet overall losses rose by 196 per cent, primarily due to a major internal case involving N30bn. Web fraud incidents also increased by 169 per cent.”
The CBN further noted that attempted fraud also rose significantly in 2024 to N86.36bn before declining in 2025 to N37.57bn. Actual banking fraud losses also fell in 2025 to N25.85bn, reflecting improved controls and monitoring. It stated: “In 2025, electronic payment fraud declined by 51 per cent, demonstrating the success of stricter regulations, increased industry cooperation, enhanced prevention strategies, and improved monitoring.”
The report also showed shifting fraud patterns across channels. In 2021, POS-related fraud increased sharply, while ATM fraud surged by more than 2,000 per cent in 2022 despite declines in other channels. In 2023, e-commerce fraud rose significantly, increasing by 1,961 per cent.
The rise in banking fraud losses highlights the growing security challenges facing Nigeria’s rapidly digitising financial system. While digital payment expansion has improved access and efficiency, it has also widened the attack surface for fraudsters and cybercriminals.
The CBN noted that a single large-scale fraud incident can significantly distort industry-wide figures, underscoring the need for stronger internal controls and coordinated security frameworks across financial institutions.
The Central Bank of Nigeria, under its Payments System Vision 2028 framework, says it will prioritise security, trust, interoperability, and innovation in the next phase of financial system development. The regulator also plans to strengthen cyber resilience, improve fraud monitoring systems, and enhance collaboration among stakeholders to reduce vulnerabilities across digital payment channels.
