Bank of Ghana Unveils 2022 Fraud Report: Forgery and Manipulation of Documents Top Domain in Ghanaian Financial Fraud

The Bank of Ghana (BoG) has published its annual fraud report for 2022, shedding light on the fraud cases recorded by banks, Specialized Deposit-Taking Institutions (SDIs), and Payment Service Providers (PSPs) in Ghana during the year.

Key Findings and Trends

• The total number of fraud cases reported in 2022 amounted to 15,164, marking a significant increase of 27.74% compared to the 12,103 cases recorded in 2021.
• The total loss value from fraud in 2022 reached approximately GH¢82 million, representing a 23.1% increase from the GH¢67 million reported in 2021.
• Forgery and manipulation of documents emerged as the leading fraud type, accounting for 50.67% of all reported cases.

Top Five Fraud Categories in Banks and SDIs

1. Cash Theft (Cash Suppression): This fraud type saw a decline of 6.01% in 2022, with 1,622 reported cases compared to the 1,530 instances in 2021.
2. Cyber-Email fraud: There was a notable increase of 844%, with 422 cases reported, up from the 50 instances observed in 2021.
3. Fraudulent withdrawals: 347 cases were reported in 2022, up from the previously recorded 19 cases in 2021, representing a 1726.32% increase.
4. Impersonation: The number of impersonation cases rose by 1325%, with 285 cases reported, compared to the 20 cases recorded in 2021.
5. E-Money fraud: This type saw a moderate increase of 28.45%, with 149 cases reported in 2022, up from the 116 cases in 2021.

Increasing Prevalence of Forgery and Manipulation of Documents

The most striking increase in fraud cases in 2022 involved forgery and manipulation of documents, which witnessed a massive 75.69% increase compared to 2021. In the same year, this category accounted for over half (50.67%) of all reported fraud cases.

Additionally, the fraud value for this category increased by a significant 334.99%, from approximately GH¢7 million in 2021 to approximately GH¢33 million in 2022. Stakeholders in the banking sector remain concerned about the growing value of losses caused by this fraud type.

Bank of Ghana’s Response and Future Directives

The Bank of Ghana continues to address financial fraud in the country through various measures. These include:

1. Sensitization programs: The central bank plans to increase public awareness through television, radio shows, and seminars on financial matters and responsibilities.
2. Collaboration with law enforcement: The Bank of Ghana is working more closely with law enforcement agencies to prosecute fraud cases effectively.

The Bank of Ghana encourages financial service providers to employ the following measures:

• Internal control systems: Institutional strengthening, including the review and enhancement of internal control systems.
• Whistleblowing mechanism: A robust whistleblowing mechanism should be in place to allow for reporting of fraudulent activities.
• Education and awareness: Regular communication with staff and customers about the latest fraud trends and prevention methods.

As the digital landscape continues to evolve, it is crucial for financial institutions to remain vigilant and adapt to the latest fraud trends while maintaining transparency, security, and integrity within Ghana’s financial sector.