The Bank of Ghana has issued a directive requiring all banks and financial institutions to report fraud cases immediately as part of intensified efforts to combat financial crime.
This move comes as digital banking expansion creates new vulnerabilities, with fraudsters employing increasingly sophisticated methods to exploit weaknesses in the system.
While banks reported a 26% decline in fraud cases (716 in 2024 versus 969 in 2023), the overall financial sector saw a 5% increase to 16,733 incidents. The total value at risk grew more sharply, rising 13% to 99 million Ghanaian cedis. Payment Service Providers (PSPs) proved particularly vulnerable, with their fraud cases increasing even as banks and deposit-taking institutions showed improvement.
A troubling trend emerged in forgery and document manipulation cases, which accounted for 67% of the banking sector’s financial exposure. These high-value frauds surged sevenfold to 53.5 million cedis. Conversely, cyber fraud and cash theft incidents decreased significantly, suggesting improved defenses against these traditional methods.
The central bank’s report highlights systemic challenges in fraud mitigation. Financial institutions recovered only a fraction of exposed funds, with lengthy legal processes often forcing them to abandon recovery efforts. Employee involvement remains a persistent issue, though enhanced internal controls appear to be yielding some results.
As part of its supervisory role, the Bank of Ghana now requires monthly reporting – including “nil returns” when no fraud occurs – to better track emerging threats. The regulator emphasizes that fraud’s damage extends beyond direct financial losses, eroding public trust in the banking system.
This reporting mandate forms part of broader reforms to strengthen Ghana’s financial integrity framework. With digital transactions growing rapidly, the central bank is pushing for tighter controls, better staff training, and improved customer awareness to stay ahead of evolving fraud tactics. The success of these measures will be critical for maintaining stability in Ghana’s increasingly digital financial ecosystem.
