Nigerian banks are battling a sharp rise in insider fraud, with alarming new figures highlighting the scale of the issue. According to a Q2 2024 report from FITC, the number of fraud cases involving bank employees climbed to 58, marking a 23.4% increase from the previous quarter’s 47 cases. This disturbing trend prompted the termination of 49 staff members during the period—a significant jump from 35 dismissals in Q1.
Insider fraud, while a small proportion of overall fraudulent activities, has a disproportionately damaging impact due to employees’ privileged access to sensitive banking systems. Industry experts suggest that weak internal controls, insufficient ethics training, and outdated monitoring systems are some of the key factors enabling these breaches.
“When employees exploit their trusted roles, it strikes at the heart of customer confidence,” an industry analyst remarked. The repercussions go beyond financial losses, casting a shadow over the sector’s reputation and eroding the trust of customers who rely on banks to secure their assets.
Loss of Trust and Customer Confidence
Customer confidence remains under strain as cases of insider fraud undermine the relationship between banks and their clients. Reports of employees abusing their positions for personal gain create lasting damage to institutional credibility, emphasizing the urgent need for reform.
To address these challenges, FITC has called for the adoption of advanced fraud detection technologies, such as AI-driven monitoring systems that identify anomalies in real time. Implementing multi-factor authentication and role-based access controls could further limit unauthorized access to critical systems.
Additionally, implementing a culture of accountability within banking institutions is crucial. Regular ethics and compliance training, along with transparent handling of fraud cases, are seen as vital steps toward deterring such activities. Customers must also be kept informed about preventive measures to help rebuild trust.
I love to write about the things I love to read about. That includes sports, tech, DIYs, literature, music and entertainment. When I'm not writing, I'm either sleeping, reading, watching a funny Netflix series or eating a bowl of abula.
At the GITEX Africa 2025 summit, Nigeria’s tech policy chief, Kashifu Inuwa, took the spotlight, urging the global tech ecosystem to keep AI development grounded in human values. Representing the National Information Technology Development Agency (NITDA), Inuwa joined global industry players to unpack how artificial intelligence is reshaping businesses across the world. During a panel […]
The West African Examinations Council (WAEC) has introduced the first computer-based WASSCE for school candidates in Nigeria. WAEC announced the major shift during a press briefing at its national office in Yaba, Lagos, on Thursday. Dr. Amos Dangut, Head of WAEC Nigeria, said the council is fully prepared to conduct the 2025 exam using digital […]
This marks the seventh edition of the accelerator, open to Seed to Series A startups that have at least one founder of African descent, a live product in market, and a responsible approach to AI innovation.
Vendease CEO and co-founder Tunde Kara confirmed the exit, stating the business had recovered its investment in Ghana within six months.
The new PoS system comes with a range of advanced features, including real-time monitoring, instant settlements, pay-by-link options, and a 100% transaction success rate. It’s also been optimised to suit businesses of all sizes, giving merchants a more reliable and efficient way to manage their payments without disruption.
South African EV startup Zimi has received $320,000 (R6 million) to explore vehicle-to-grid (V2G) charging technology. The Energy and Environment Partnership (EEP) Africa Trust Fund awarded the funding for this innovative energy project. V2G allows electric vehicles to return power to homes, offices, or the national grid during electricity shortages. Notably, EEP Africa selected Zimi […]
The Central Bank of Kenya (CBK) will start issuing licenses to new banks again from July 1, 2025. This move ends a ban that had been in place since November 17, 2015. CBK paused new bank licenses in 2015 to fix governance, management, and operational problems in the banking sector. The goal was to make […]
According to the letter, the licence comes with strict conditions, and the regulator made it clear that Ascensia—like all financial institutions—must operate within the provisions of the CBN Act of 2007, the Banks and Other Financial Institutions Act (BOFIA) of 2020, and all related regulations issued by the bank.
The Nigerian House of Representatives has ordered Remita, a payment platform, to refund ₦182.77 billion to the federal government. This amount covers transaction leakages from the Treasury Single Account (TSA) system since 2015. The Public Accounts Committee (PAC) of the House gave the order after a detailed forensic audit. Seyi Katola & Company, a firm […]
TikTok has launched a new feature called Footnotes to help users better understand the videos they watch. The company is testing the feature in the United States. With Footnotes, users can now add helpful information to videos. TikTok says this will give people more context, especially when content includes complex topics or current events. TikTok […]
At the GITEX Africa 2025 summit, Nigeria’s tech policy chief, Kashifu Inuwa, took the spotlight, urging the global tech ecosystem to keep AI development grounded in human values. Representing the National Information Technology Development Agency (NITDA), Inuwa joined global industry players to unpack how artificial intelligence is reshaping businesses across the world. During a panel […]
The West African Examinations Council (WAEC) has introduced the first computer-based WASSCE for school candidates in Nigeria. WAEC announced the major shift during a press briefing at its national office in Yaba, Lagos, on Thursday. Dr. Amos Dangut, Head of WAEC Nigeria, said the council is fully prepared to conduct the 2025 exam using digital […]
This marks the seventh edition of the accelerator, open to Seed to Series A startups that have at least one founder of African descent, a live product in market, and a responsible approach to AI innovation.
Vendease CEO and co-founder Tunde Kara confirmed the exit, stating the business had recovered its investment in Ghana within six months.
The new PoS system comes with a range of advanced features, including real-time monitoring, instant settlements, pay-by-link options, and a 100% transaction success rate. It’s also been optimised to suit businesses of all sizes, giving merchants a more reliable and efficient way to manage their payments without disruption.
South African EV startup Zimi has received $320,000 (R6 million) to explore vehicle-to-grid (V2G) charging technology. The Energy and Environment Partnership (EEP) Africa Trust Fund awarded the funding for this innovative energy project. V2G allows electric vehicles to return power to homes, offices, or the national grid during electricity shortages. Notably, EEP Africa selected Zimi […]
The Central Bank of Kenya (CBK) will start issuing licenses to new banks again from July 1, 2025. This move ends a ban that had been in place since November 17, 2015. CBK paused new bank licenses in 2015 to fix governance, management, and operational problems in the banking sector. The goal was to make […]
According to the letter, the licence comes with strict conditions, and the regulator made it clear that Ascensia—like all financial institutions—must operate within the provisions of the CBN Act of 2007, the Banks and Other Financial Institutions Act (BOFIA) of 2020, and all related regulations issued by the bank.
The Nigerian House of Representatives has ordered Remita, a payment platform, to refund ₦182.77 billion to the federal government. This amount covers transaction leakages from the Treasury Single Account (TSA) system since 2015. The Public Accounts Committee (PAC) of the House gave the order after a detailed forensic audit. Seyi Katola & Company, a firm […]
TikTok has launched a new feature called Footnotes to help users better understand the videos they watch. The company is testing the feature in the United States. With Footnotes, users can now add helpful information to videos. TikTok says this will give people more context, especially when content includes complex topics or current events. TikTok […]
Strive for tech news and insights? Subscribe to our newsletter and stay up-to-date with the latest tech trends, expert insights, and exclusive content.
Start your perfect news blog or magazine with Caards, the premium WordPress theme you've been looking for.
Error: No feed found.
Please go to the Instagram Feed settings page to create a feed.
© 2022. All rights reserved by Axilthemes.
2 replies on “Nigerian Banks Confront Rising Insider Fraud as 49 Employees Dismissed in Q2 2024”
[…] Global has reaffirmed the credit stability of nine leading Nigerian banks, maintaining a steady outlook for 2025 despite prevailing economic pressures and credit […]
[…] fintech company Marasoft, founded by Emmanuel Marakwe-Ogu, has denied accusations that it paid employees with questionable funds. However, the company declined to provide supporting evidence, citing […]