How Nigerian Bank Customers Lost N134.48 Billion to Fraud Between 2020 and 2025

Nigerian bank customers lost a combined N134.48 billion to fraud between 2020 and 2025, according to figures contained in the Central Bank of Nigeria’s newly released Nigeria Payments System Vision 2028 document. The figure represents successful fraud across nearly every major banking channel in the country, from ATMs and point of sale terminals to internet banking, mobile apps, e-commerce platforms and over the counter transactions.

The scale of the problem becomes clearer when set against the total value fraudsters actually attempted. Over the same six-year period, attempted fraud transactions reached N187.79 billion, meaning criminals succeeded in converting roughly 72 percent of their attempts into actual losses. That ratio is the real story behind the headline number, since it shows how often Nigeria’s banking defences were tested rather than simply how much money changed hands.

A six year climb that peaked sharply before pulling back

Fraud losses moved in a fairly steady upward direction for most of the period before a dramatic spike. Losses rose from N11.61 billion in 2020 to N12.77 billion in 2021, then to N14.32 billion in 2022 and N17.67 billion in 2023, tracking the pace of Nigeria’s rapid shift toward digital payments. The real disruption came in 2024, when losses nearly tripled to N52.26 billion. The CBN linked much of that spike to a single internal fraud incident involving N30 billion, even as fraud levels in internet banking, mobile banking and POS channels were already declining. Web-based fraud also jumped by 169 percent that year, adding further pressure to an already difficult twelve months.

What followed in 2025 was one of the sharpest turnarounds in the report. Losses fell to N25.85 billion, a decline of more than 50 percent from the previous year, while the value of attempted fraud dropped from N86.36 billion to N37.57 billion. The CBN credited the improvement to tighter regulation, stronger monitoring systems and closer collaboration across banks and payment service providers.

Fraudsters keep adapting faster than any single fix can contain

One of the more revealing parts of the report is how fraud tactics shifted from year to year rather than concentrating on one channel. In 2021, web-based fraud actually declined by 43 percent, yet overall losses still rose because POS-related fraud surged by 276 percent. By 2022 the pressure point had moved again, with ATM fraud jumping by more than 2,000 percent even as other channels improved. In 2023, e-commerce became the primary target, with incidents climbing by 1,961 percent and pushing total losses up by 23 percent that year.

This pattern lines up with separate data from the Nigeria Inter-Bank Settlement System, which found that Lagos alone accounted for roughly 63 percent of fraud activity nationwide, reflecting its weight as the country’s commercial centre. NIBSS also flagged insider involvement and social engineering, including SIM swap fraud and phishing, as increasingly common techniques, suggesting that much of Nigeria’s fraud problem now sits as much with process and people as it does with technology.

Individual banks are already feeling the cost of staying ahead

The pressure to keep up has shown up directly in bank financials. Audited results from Access Holdings, GTCO and UBA show the three lenders lost a combined N2.13 billion to fraud and forgery in 2025 alone, even as overall incident counts fell. At GTCO specifically, actual fraud losses rose by more than 69 percent despite a slight decline in case numbers, a sign that successful attacks are becoming fewer but more costly. To respond, the three banks together spent roughly N280.9 billion on technology investments in 2025, covering cybersecurity upgrades, fraud monitoring systems and stronger authentication tools.

Where Nigeria’s regulators want the payments system to go next

The fraud figures sit at the centre of the CBN’s broader Payments System Vision 2028, which Governor Olayemi Cardoso described as a framework built to keep Nigeria’s payments ecosystem secure, inclusive and resilient while still supporting innovation. The strategy sets a specific target of reducing electronic fraud losses to below 0.001 percent of total transaction value by 2028. Deputy Governor Muhammad Sani Abdullahi said the plan would lean on contactless payments, open banking, regulatory sandboxes and the Central Bank Digital Currency, alongside emerging technologies meant to improve both security and user experience across payment platforms.

For now, the 2025 numbers offer a measure of reassurance that Nigeria’s banking system can absorb a shock year and recover. Whether that improvement holds will depend on how quickly regulators and banks can anticipate the next channel fraudsters decide to target, rather than reacting once losses have already climbed.

Frequently Asked Questions

How much money have Nigerian bank customers lost to fraud since 2020?

Nigerian bank customers lost a cumulative N134.48 billion to fraud between 2020 and 2025, according to data in the CBN’s Payments System Vision 2028 document.

Why did fraud losses spike so sharply in 2024?

Losses nearly tripled to N52.26 billion in 2024, largely because of a single internal fraud incident involving N30 billion, combined with a 169 percent rise in web based fraud incidents that year.

Did fraud losses improve in 2025?

Yes. Fraud losses fell to N25.85 billion in 2025, a decline of more than 50 percent from 2024, which the CBN attributed to stricter regulation, better monitoring and stronger industry collaboration.

Which Nigerian state records the most banking fraud?

Lagos accounts for roughly 63 percent of fraud activity nationwide, reflecting its position as Nigeria’s commercial and financial hub.

What is the CBN doing to reduce fraud going forward?

Under the Payments System Vision 2028, the CBN has set a target of reducing electronic fraud losses to below 0.001 percent of total transaction value by 2028, supported by expanded open banking, contactless payments and stronger digital identity verification.