Access Bank saw increased fraud attempts in 2024, but the bank was able to cut actual financial losses from fraud.
In its latest annual report seen by Techpoint Africa, the bank reported ₦1.69 billion in losses from fraud and forgeries, down from ₦6.15 billion the previous year.
However, the number of fraud incidents, especially digital, grew sharply.
It recorded 11,410 fraud incidents involving a total of ₦3.5 billion, with actual losses of ₦1.69 billion. In contrast, in 2023, there were 6,634 fraud incidents involving ₦8.6 billion, with actual losses of ₦6.15 billion. This points to a deeper concern that cyber threats are evolving faster than ever.
According to the report, electronic fraud and USSD-related scams were the most frequent, making up the bulk of reported incidents.
While better containment strategies meant that just a fraction led to actual losses, the sheer volume of attempts highlights the persistent pressure on financial systems.
Out of the numerous attempts, fraudulent withdrawals, unauthorised transfers, and the reactivation of dormant accounts led to over 70% (₦1.24 billion).
This paradox—higher attempts but lower losses—suggests Access Bank’s fraud detection and response systems are working. But it also underscores the reality that fraudsters are becoming more aggressive and sophisticated, particularly in exploiting digital channels.
The bank has rolled out several initiatives aimed at empowering customers to guard their own financial safety. One such tool is the 901911# USSD code, which allows customers to instantly deactivate their mobile banking if their phone is lost or stolen.
But while tools like this help, the numbers show there’s more to be done. Fraudulent activity linked to mobile platforms is growing, likely mirroring the expansion of digital banking across Nigeria and Africa.
For banks like Access, balancing the drive for digital inclusion with robust fraud prevention is now a strategic imperative. As digital platforms widen access to finance, they also widen exposure to risk.
The report didn’t indicate whether any new systemic investments—like biometric verification or real-time behavioural analytics—would be added. However, given the trends, more advanced fraud prevention tech may soon become a necessity, not a luxury.
Despite the uptick in fraud attempts, Access Bank maintained strong financial performance in 2024. The group reported ₦867 billion in profit before tax, up from ₦729 billion the previous year.
A growing contributor to this success is its fintech subsidiary, Hydrogen, which made a profit of ₦1.8 billion and processed ₦19.6 trillion in transactions during the year, more than double its 2023 volume of ₦9.3 trillion.
