Banking
Nigeria Records Significant Decline in Payment Fraud Losses
By Adedapo Adesanya
The Nigeria Inter-Bank Settlement System (NIBSS) Plc has disclosed that electronic payment fraud losses declined significantly in 2025 due to coordinated actions by regulators, security agencies and industry operators.
Speaking at the 2026 Nigeria Electronic Fraud Forum (NeFF) Technical Kick-Off Session in Lagos, attended by regulators, banks, payment service providers, identity agencies and law enforcement agencies, the chief executive of NIBSS, Mr Premier Oiwoh, said the development showed the need to strengthen collaboration to sustain recent declines in electronic fraud and support deeper digital inclusion.
“The reduction in electronic payment fraud losses was recorded despite rising transaction volumes.
“We can only attribute this improvement to interventions by CBN, the Nigerian Financial Intelligence Unit (NFIU), security agencies and enhanced monitoring across the payments ecosystem,” he disclosed, noting, however, that internet banking and e-commerce remained the main fraud channels, with social engineering and insider-assisted fraud emerging as dominant trends.
The NIBSS boss said the gains recorded could only be sustained through stricter controls, stronger regulatory compliance and industry-wide collaboration.
He stressed zero tolerance for non-reporting of fraud, warning that weak reporting, poor identity verification and abuse of transaction limits continued to expose the system to risks.
Mr Oiwoh pointed out that the effective Know-Your-Customer (KYC) and Know-Your-Device (KYD) processes, supported by real-time validation of NIN and BVN, were critical to curbing fraud.
He added that stronger reporting requirements, joint industry action and a central “Persons of Interest” database—covering over 13,000 individuals—had improved detection and prevention.
He disclosed that the NIBSS was working with the CBN and other stakeholders on advanced AI-driven monitoring tools and a new national payment infrastructure to further strengthen fraud prevention and deepen financial inclusion.
Also speaking, the Deputy Governor, Financial System Stability, CBN, Mr Philip Ikeazor, said sustained cooperation under NeFF since 2011 had strengthened the resilience and security of Nigeria’s payments system.
Mr Ikeazor, represented by Mr Ibrahim Hassan, Director, Development Finance Institutions Supervision Department, said the sustained cooperation had reduced fraud losses in spite of rapid growth in digital transactions.
He highlighted industry achievements, including migration to EMV chip-and-PIN cards, two-factor authentication, enhanced transaction monitoring, centralised fraud reporting, and the integration of the Bank Verification Number (BVN) with the National Identification Number (NIN).
“Emerging threats such as social engineering, SIM-swap abuse, insider compromise and Authorised Push Payment (APP) scams require faster, integrated and proactive responses.
“The industry is committed to reducing fraud response times to under 30 minutes and to adopt enterprise-wide fraud management systems leveraging real-time analytics and shared intelligence,” the deputy governor said.
On her part, Mrs Rakiya Yusuf, Director, Payments System Supervision Department, CBN, and Chairman, Nigeria Electronic Fraud Forum (NeFF), urged continued coordinated action by regulators, banks, payment providers and law enforcement agencies.
Mrs Yusuf highlighted gains such as EMV chip-and-PIN migration, two-factor authentication, and improved identity management.
She warned that emerging threats required standardised frameworks, faster response times, and proactive use of ISO 20022 and analytics to sustain fraud reduction, expressing confidence that the forum’s deliberations would reinforce the foundations for a safer and more trusted digital financial ecosystem in Nigeria.
By Aduragbemi Omiyale
A collaboration to enable fast money transfers into Nigeria has been entered into between Flutterwave and Xoom, PayPal’s international digital money transfer service.
The partnership allows Xoom transfers to be converted by Flutterwave and settled locally in Naira, enabling quick transfers directly into recipients’ bank accounts at Access Bank, UBA, Zenith Bank, First Bank, GTBank, and additional participating banks across Nigeria.
The deal also enables Xoom’s global network with Flutterwave’s local payout infrastructure, allowing users globally to send funds directly into Nigerian bank accounts with improved speed and efficiency.
Nigeria is the leading remittance recipient in Sub-Saharan Africa, receiving over $20 billion in personal remittances in 2024. Despite this volume, receiving international payments has historically remained complex due to FX constraints and settlement delays. This collaboration helps address those challenges in a market of more than 232 million people, where the ICT sector is projected to contribute 21 per cent of GDP by 2027.
By combining Xoom’s expansive reach with Flutterwave’s local compliance and banking partnerships, the two companies are providing a more accessible financial corridor for the continent.
Xoom, a PayPal service, is a fast and secure international digital money transfer service that enables consumers to send money, pay bills, and reload phones for friends and family in approximately 160 markets globally.
As part of PayPal’s global payments ecosystem, Xoom leverages advanced fraud protection, compliance capabilities, and a trusted global network to help millions of customers move money quickly and securely across borders.
“We’re excited to have been chosen by Xoom for their Nigeria expansion. Millions of Nigerians rely on money from abroad to support everyday needs, whether it’s families receiving help from loved ones, freelancers getting paid for their work, or individuals earning income from the global economy. This helps make it easy and more reliable for people in Nigeria to receive funds and stay connected to opportunities beyond borders,” the chief executive of Flutterwave, Mr Olugbenga GB Agboola, stated.
By Aduragbemi Omiyale
An initiative known as Nigeria Lightning Rounds, designed to expand funding opportunities for Nigerian startups and small businesses by connecting founders with local and international investors, has been launched by ProvidusUnity Bank, in partnership with US-based global venture firm and accelerator, gener8tor.
Scheduled to be held on July 15, 2026, Nigeria Lightning Rounds will feature carefully selected startups engaging with targeted investors who have expressed interest in supporting Nigerian innovation.
Participating founders will have the opportunity to pitch their businesses through focused 15-minute virtual sessions facilitated by gener8tor and ProvidusUnity Bank’s networks.
The program will focus on high-growth sectors including fintech, healthtech, manufacturing, sustainability, and AI, but welcomes SMEs from all industries, with intending participants urged to apply via https://www.gener8tor.com/lightning-rounds/nigeria.
“We recognise that access to capital remains one of the biggest challenges facing entrepreneurs in Nigeria. Through our partnership with gener8tor, we are creating a platform that connects promising Nigerian founders with investors who can provide the support required to scale their businesses,” the Head of Business Development at ProvidusUnity Bank, Mr Ernest Elue, stated.
“The partnership reinforces ProvidusUnity Bank’s commitment to strengthening Nigeria’s entrepreneurial ecosystem by supporting innovation, enabling access to opportunities, and creating pathways for businesses with high-growth potential,” he added.
Also commenting, the Director of Lightning Rounds at gener8tor, Ms Elizabeth Larios, said, “gener8tor is thrilled to partner with ProvidusUnity Bank to extend the Lightning Rounds model into Nigeria.
“This collaboration reflects our commitment to building equitable ecosystems and driving capital to the most promising and underrepresented entrepreneurs.”
Lightning Rounds are a signature initiative of gener8tor’s investment platform, which has facilitated thousands of investor-startup meetings globally. The format is optimised to eliminate friction, reduce bias in early-stage fundraising, and help founders secure capital from investors aligned with their mission and stage. gener8tor’s previous Lightning Rounds for Nigerian Founders in 2025 featured 18 participating Investors and led to 50 investment meetings facilitated.
By Modupe Gbadeyanka
The verification of the depositors of the 46 microfinance banks, whose operating licenses were revoked by the Central Bank of Nigeria (CBN) over a week ago, has commenced.
The exercise, aimed at refunding those whose funds were trapped in the small lenders, is being conducted by the Nigeria Deposit Insurance Corporation (NDIC).
In a statement on Thursday, the agency said its staff members have been positioned at the offices of the affected banks across the country to attend to depositors.
It was disclosed that depositors of the defunct banks, who had their Bank Verification Numbers (BVNs) linked to their accounts in the failed banks, will be paid through their alternative accounts in existing banks.
However, depositors whose BVNs were not linked to their accounts in the failed banks have been encouraged to visit the affected banks’ offices with proof of account ownership, a passport photograph, verifiable means of identification (Driver’s Licence, Permanent Voter’s Card, International Passport or National ID Card) and BVN.
NDIC also stated that depositors can alternatively file their claims online through its website: www.ndic.gov.ng, to complete the Pre-Verification Claims Form by clicking on the Search Bar, and typing Pre-Verification Claims Form; opening the Form and filling in their details. They can also do so by clicking the link: https://ndic.gov.ng/ndic-pre-verification-claims-form/ or by visiting any of the NDIC offices closest to them to file their claims.
For further enquiries, the corporation can be reached on any of the following lines: 09037273810, 09038197064, 08104220807, 09064657140.
