Fintech fraud surges …as banking sector sees decline – BoG report

Fraud across Ghana’s regulated financial sector increased sharply in 2025, with the rapid expansion of digital payment services driving a significant rise in reported cases, according to the latest Bank of Ghana (BoG) Fraud Report.

The 2025 fraud report shows that total reported fraud cases across banks, Specialised Deposit-Taking Institutions (SDIs) and Payment Service Providers (PSPs) rose from 16,733 in 2024 to 24,778 in 2025, representing an increase of about 48 per cent.

Although the total value at risk increased only marginally from GH¢99 million to GH¢101 million, the central bank said fraud patterns were shifting steadily from traditional banking institutions to the fast-growing digital payments ecosystem.

Over the past four years, it said  reported fraud cases had  risen consistently from 15,164 in 2022 to 24,778 in 2025, while the value at risk increased from GH¢82 million to GH¢101 million.

The report noted that while banks and SDIs had made considerable progress in reducing fraud incidents through stronger internal controls, PSPs continued to experience significant increases in both the number of fraud cases and the value involved.

According to the BoG, fraud cases within the PSP sector increased by 98 per cent over the four-year period, with the value at risk rising by 42 per cent.

The report said encouragingly banks, however, recorded encouraging improvements as fraud cases declined from 716 in 2024 to 472 in 2025, representing a 34 per cent reduction.

The most common fraud types affecting banks included ATM and Point-of-Sale (POS) fraud, fraudulent withdrawals, cash suppression, cyber and information systems fraud, as well as forgery and manipulation of documents.

The total value at risk for banks also fell by 24 per cent from GH¢75 million in 2024 to GH¢57 million in 2025.

Despite the overall decline, cash suppression emerged as the costliest fraud category, accounting for GH¢40.7 million of the value at risk, explaining that “this unusually high figure was largely influenced by a single outlier case involving GH¢36 million.”

The report said E-money fraud also increased from GH¢3.5 million to GH¢4.6 million, while losses linked to fraudulent withdrawals more than doubled to GH¢3.97 million. ATM and POS fraud, however, declined by 41 per cent to GH¢2.43 million.

Within the SDI sector, reported fraud cases fell significantly from 344 in 2024 to 182 in 2025, representing a 47 per cent reduction.

Cash suppression remained the most common fraud type, although reported cases declined by 59 per cent from 267 to 109. Rural and Community Banks accounted for more than half of these incidents.

However, the value at risk within the SDI sector rose sharply from approximately GH¢4.5 million in 2024 to GH¢8 million in 2025, representing a 77 per cent increase.

Forgery and manipulation of documents accounted for the largest share of losses, with the value at risk increasing from just GH¢10,000 in 2024 to GH¢4.2 million in 2025, largely due to a single institution that reported losses of GH¢4.1 million.

The PSP sector recorded the highest increase in fraud activity, with reported electronic fraud cases rising from 15,673 in 2024 to 24,124 in 2025, representing a 54 per cent increase and the  value at risk in the sector nearly doubled from GH¢19 million to GH¢37 million over the same period.

Speaking at the launch of the report, the Director of the Financial Stability Department of the Bank of Ghana, Dr Kwasi Osei-Yeboah, said the publication was intended to educate the public and strengthen confidence in Ghana’s financial system.

He urged customers to remain vigilant, promptly report suspicious transactions and seek redress through the Bank of Ghana whenever they encountered unresolved issues with financial institutions, emphasising that combating fraud in the financial sector was a collective responsibility.

The Chief Executive of the Ghana Association of Banks, John Awuah, also encouraged customers to adopt safer payment practices, including the use of prepaid cards for online subscriptions to limit potential losses in the event of fraud.

He explained that while financial institutions continued to strengthen their controls, customers also had a responsibility to exercise caution when carrying out online transactions and engaging with digital platforms.

BY KINGSLEY ASARE

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