Nigeria: e-Fraud, Major Risk to Digital Finance, Says NCC

The Nigerian Communications Commission (NCC), has identified e-fraud as the greatest threat to digital finance.

Citing the Central Bank of Nigeria (CBN) report, the Director, Consumer Affairs Bureau, NCC, Efosa Idehen said the apex bank had revealed that e-fraud was costing the Nigerian financial sector staggering losses in monetary terms.

Idehen spoke at a secondary schools’ debate organised by the NCC and, ‘Save the Consumer,’ in Abuja with the theme: “Should Secondary School Students Use Mobile Phones to Enhance Education?”

The debate was organised to create awareness and save consumers from e-fraud and to educate the young ones on the proper use of e-channels for financial services.

He said: “As technology evolves, there is a growing concern over the rising trend of fraud perpetuated on telecom platforms across key sectors of the Nigerian economy known as e-fraud.

“This menace which follows wide acceptance of new methods of mobile banking and other payment systems has been discovered to cost the country whopping sums of money. The CBN rates e-fraud as the biggest risk in the sector which has widely affected electronic payment solutions such as Automated Teller Machines (ATMs), Nigeria Inter-Bank Settlement System (NIBBS) Instant Payment and mobile banking.

“Attackers are now targeting telecom networks with the intention to disrupt service delivery and infiltrate their data bank. SIM swaps, Unstructured Supplementary Service Data (USSD) and e-payment fraud.”

To address this menace, he said the NCC actively collaborates with critical stakeholders such as the CBN, the Nigeria Police (NPF), the Economic and Financial Crimes Commission (EFCC), the Independent Corrupt Practices Commission (ICPC) and other relevant bodies in the fight against e-banking fraudsters.

“ICT has played a central role in young people’s rise to prominence on a global scale and has given them voice where there none before.

“It has brought them together response to social concerns and has connected them across vast geo-political barriers. ICT has also provided youth access to digital financial services.

“For young people, access to information means better access to capital, markets and training needed to pursue career or studies.”

Idehen noted that this year’s World Consumer Right Day with the theme: “Fair Digital Finance,” called for stakeholders to do more in bridging gap in digital finance whilst protecting consumers and keeping them informed on safe financial services.

The Country Director of Save the Consumer, Aliyu Ilias said consumer have enjoyed six years partnership with the NCC.

He assured that Save the Consumer would continue to work with the Commission to save the consumer. For the past six years that we have been in this partnership the relationship has been very cordial.”


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