Fraudsters and internal actors exploited Nigeria’s expanding digital financial system to siphon N134.48bn from banks and customers between 2020 and 2025, according to data contained in the Central Bank of Nigeria’s Nigeria Payments System Vision 2028 report. The figures highlight the rising risks tied to digital payments as fintech adoption continues to grow nationwide
The report obtained from the CBN website shows that attempted fraud across the banking and payments ecosystem stood at N187.79bn within the six-year period.
Actual losses amounted to N134.48bn, reflecting widespread vulnerabilities across multiple transaction channels, including ATMs, mobile banking, internet banking, POS terminals, cheques, e-commerce platforms and other digital systems. The CBN noted that while digitalisation has improved financial inclusion and efficiency, it has also expanded exposure to cybercrime and fraud risks.
Fraud losses rose steadily over the years:
- 2020: N11.61bn
- 2021: N12.77bn
- 2022: N14.32bn
- 2023: N17.67bn
- 2024: N52.26bn
- 2025: N25.85bn
The sharpest increase occurred in 2024, which alone accounted for nearly 39 percent of total losses within the period. Attempted fraud also rose significantly, peaking at N86.36bn in 2024 before dropping to N37.57bn in 2025. The report attributed the 2024 spike to a major internal fraud incident involving N30bn, which significantly distorted industry-wide figures.
According to the CBN, “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.” The report also highlighted shifting fraud patterns: in 2021, POS fraud rose by 276 percent despite declines in web fraud, 2022, ATM fraud surged by over 2,000 percent, in 2023, e-commerce fraud jumped by 1,961 percent
These trends show how fraud activity shifted across different digital channels over time.
Despite earlier spikes, the CBN reported a major improvement in 2025, with electronic payment fraud declining by 51 percent. The reduction was linked to stricter regulations, improved monitoring systems, and stronger collaboration between regulators and financial institutions. The report stated that coordinated efforts across the industry helped reduce vulnerabilities in the financial ecosystem.
CBN Governor Olayemi Cardoso noted that Nigeria’s payment system has become one of the most dynamic globally, driven by real-time transactions, fintech growth and digital adoption.
However, he warned that the next phase of development requires stronger safeguards. The apex bank said under its Payments System Vision 2028 framework, it will prioritise: cyber-security strengthening, fraud monitoring systems, consumer protection, interoperability, financial inclusion, regulatory collaboration. The goal is to build a more resilient and secure digital payments ecosystem.
While Nigeria’s digital financial system continues to expand and improve access to banking services, the N134.48bn fraud loss underscores the growing sophistication of cyber threats. The CBN says future reforms under its Vision 2028 plan will focus on balancing innovation with stronger security and trust in the financial system.
