The Financial Institutions Training Centre (FITC) has expressed concerns over the increasing cases of fraud in Nigeria.

This is as the institution reveals that it recorded a total of 11,532 fraud cases only in the second quarter of 2024.

In a latest report, FITC revealed that many of these frauds were linked to computers, mobile devices, and point-of-sale (POS) systems.

Also, the report revealed that these frauds did not start now.

It started in 2023 and now, like a deadly plague, it has crawled into the first quarter of 2024.

In the second quarter, the total value of fraud stood at ₦56.3 billion, a significant increase from the ₦34.8 billion reported in the first quarter of the year.

Despite efforts by financial institutions to recover the stolen funds, only ₦13.7 billion was salvaged leaving fraudsters smiling home with a whooping ₦42.6 billion.

When we talk about Mobile fraud, we mean fraud carried out via mobile apps and internet banking.

This fraud scheme accounted for 33.4% of the total cases in the report, making it the largest category.

Fraudsters who operate via POS did not disappoint.

They contributed 24.6% of the cases.

Web-based fraudsters were well represented, holding 16.9% of the total fraud incidents.

Meanwhile, via the report, FITC decried the increase in computer-based fraud as a growing concern.

The report reveals how bank branches counted their losses, with 95% of the total fraud value occurring at the branch level.

Of a truth, there have been many advancements and upgrades in technology.

Yet, fraudsters continue to excel.

We cannot help but blame this on the insiders who betrayed their organizations.

During the quarter in question, 49 employees were dismissed for their involvement in fraudulent activities.

The report also brought to light a new kind of fraud.

It is called fraud by magnitude.

Fraud by magnitude caused bank branches to lose approximately ₦54 billion.

That amount signifies a staggering 95.63% of the overall fraud amount.

Web-based fraud followed closely with losses of ₦1.2 billion (2%).

POS and mobile fraud each contributed around 1%, resulting in ₦651 million and ₦547 million losses, respectively.

On the bright side, there was a 31.8% decline in card-related fraud, but cheque and cash fraud surged significantly.

This rise in cash-related fraud reaffirms that criminals are also updating their skills as the days go by.

The big question is, what is the way forward?

For FITC the use of advanced technology, including artificial intelligence may be worth a shot.

Also, attention must be paid to proactive measures, such as bolstered security systems and continuous training of staff, as critical to reducing fraud.

As detailed in the report, fraudsters have stolen a total of ₦42.6 billion from commercial banks between April and June 2024.

The Central Bank of Nigeria (CBN) has said no going back on the cybercrime levy imposed on all electronic transactions.

In fact, in its new guidelines for the 2024-2025 fiscal year, the CBN announced that it will continue enforcing this controversial cybercrime levy of 0.005%.

This levy has received widespread criticism by Nigerians.

However, to the CBN, it is mandated by the Cybercrime (Prohibition, Prevention, etc.) Act of 2015, aimed at bolstering the nation’s cyber security infrastructure.

Meanwhile, the percentage has been reduced from 0.5% earlier announced in May 2024 to 0.005% in the new guidelines.

The CBN published the Monetary, Credit, Foreign Trade, and Exchange Policy Guidelines for Fiscal Years 2024-2025 document.

Via the document, the CBN reaffirmed its commitment to this charge.

The document read: “The CBN shall continue to enforce the payment of the mandatory levy of 0.005 percent on all electronic transactions by banks and other financial institutions, in accordance with the Cybercrime (Prohibition, Prevention, etc.) Act, 2015.”

The guidelines also echoes other commitments by the CBN.

Such commitment includes ensuring that banks, Other Financial Institutions (OFIs), and Payment Service Providers (PSPs) adhere to minimum cybersecurity standards.

To this end, the appointment of Chief Information Security Officers (CISOs) to oversee cybersecurity issues in compliance with the 2022 risk-based cybersecurity framework is of top priority.

The document added: “Pursuant to the circular titled ‘Issuance of Risk-based Cybersecurity Framework and Guidelines for Deposit Money Banks and Payment Service Providers’ referenced BSD/DIR/GEN/LAB/11/25, and dated October 10, 2018, issued by the CBN to combat the increasing cyber security threat in the banking industry, banks and Payment Service Providers (PSPs) are mandated to adhere to the guidelines on the risk-based cyber security framework.

“Similarly, another framework titled ‘Issuance of Risk-based Cybersecurity Framework and Guidelines for Other Financial Institutions (OFIs)’, referenced OFI/DOA/CON/ACT/004/155, was issued on June 29, 2022.

The guidelines specified the minimum cyber security baseline to be implemented by banks, OFIs and PSPs, and mandated the appointment of a Chief Information Security Officer (CISO) to oversee cyber security issues.”

The Halal economy seems to offer many benefits for Nigeria, and Vice President Kashim Shettima has stated that the country is ready to reap these numerous advantages.

However, Nigerians will need to be patient until 2027.

According to Shettima, Nigeria hopes to leverage the opportunities presented by the Halal economy to add $1.5 billion to the country’s GDP by 2027.

Shettima, who attended the Nigeria Halal Economy Stakeholders Engagement Program in Abuja, said the program will open up Nigeria to more investments in the Halal market.

The program, themed “Building A Vibrant Halal Economy: Unlocking Nigeria’s Potential,” took place on Wednesday, September 18.

These investments are expected to help stimulate the country’s economy.

At the event, Shettima outlined the many benefits of the Halal economy.

As he took the podium, the Vice President informed Nigerians that the federal government would capitalize on every opportunity the Halal market offers.

He believes the Halal economy holds vast potential that aligns with the economic agenda of President Bola Tinubu.

Also, Shettima assured Nigerians that the country would develop a comprehensive Halal strategy.

He clarified that Halal has no connection to any religious agenda.

For those unfamiliar with the term, Halal is an Arabic word meaning lawful, permitted, or permissible.

Currently, over one hundred Halal-certified products are being sold in Nigeria.

According to available records, the global Halal economy has reached $7 trillion and is projected to grow to $7.7 trillion by 2025.