Card fraud in Namibia has increased from N$18 million in 2023 to N$19 million in 2024, according to the latest Financial Stability Report (FSR) released by the Bank of Namibia (BoN) and the Namibia Financial Institutions Supervisory Authority (NAMFISA).
The annual report assesses the stability and resilience of Namibia’s financial system in the face of both domestic and external risks.
Speaking at the release of the report, Florette Nakusera, Director of Research and Financial Stability at the BoN, highlighted the growing threat of fraudulent financial activity during the review period.
“During the review period, the total value of fraudulent transactions increased significantly from the 2023 value. The industry reported rises of N$19 million in card fraud (up from N$18 million in 2023) and N$29 million in EFT fraud (up from N$17 million in 2023), but a decrease of N$2.7 million in e-money fraud (down from N$11 million in 2023),” Nakusera said.
She attributed the decline in e-money fraud to strengthened security controls on electronic wallets and improved consumer awareness, particularly regarding phone-based scams.
The report also noted that while steps have been taken to enhance the security of payment systems, vulnerabilities remain.
It cites the implementation of international security standards, such as the Payment Card Industry Data Security Standard (PCI DSS), as a key development in bolstering protection against cyber threats.
“This set of security guidelines ensures that all stakeholders handling card information follow strict protocols to protect cardholder data, helping to prevent data breaches, fraud, and the theft of sensitive payment information,” Nakusera said.
The rise in electronic funds transfer (EFT) fraud was largely attributed to phishing attacks, with the report noting that “ongoing awareness campaigns aim to inform clients of the importance of keeping their data confidential and are expected to intensify over the next reporting period.”
The central bank reiterated its commitment to working with the financial sector to strengthen cybersecurity measures and ensure consumer protection.
Despite the uptick in certain forms of financial fraud, the BoN and NAMFISA concluded that Namibia’s financial system remains stable, sound, and resilient, with no major disruptions reported across key financial services.
