Namibian banks have lost over N$65 million between January and October 2025 to fraud, the Bank of Namibia has revealed, marking a significant rise from over N$54 million recorded in 2024.
The central bank warned that escalating digital crime is exposing consumers and financial institutions to growing risks across the country’s rapidly expanding financial technology ecosystem.
Deputy Governor Leonie Dunn said fraud losses have risen sharply in recent years due to both conventional scams and sophisticated cybercrime methods. “Digital fraud is on an upward trajectory in Namibia.
In the banking sector alone, fraud losses have increased sharply since 2020, rising from approximately N$8.7 million to over N$54 million in 2024. Between January and October 2025, these losses exceeded the N$65 million mark.
Informal-sector participants, including small traders and gig workers who increasingly depend on digital tools, remain particularly exposed to these evolving risks,” she said.
Dunn noted that the most worrying trend is the rise of social engineering schemes that manipulate victims into divulging financial information, alongside persistent risks such as point-of-sale skimming, fake EFTs and card-not-present fraud.
She stressed that digital financial growth must not leave consumers vulnerable and said banks have enhanced fraud detection, tightened security and increased customer education campaigns.
She added that the Bank of Namibia has strengthened regulatory measures by introducing BID-30 and PSD-12 regulations, and has launched the ConsumerConnect complaints platform in partnership with NAMFISA and CRAN to help victims seek recourse.
Acting Executive Director at the Ministry of Information and Communication Technology Linda Aipinge-Nakale said public awareness is essential in combating fraud.
“Even the strongest laws and systems cannot fully protect people who are unaware of the threats around them,” she said.
Aipinge-Nakale explained that the ministry, together with SALT Essential IT, offers weekly cybersecurity awareness sessions to help citizens recognise scams, secure devices and protect personal information.
“This is not just outreach, it is empowerment. When people know better, they defend better,” she said, warning that rising fraud cases are eroding public trust, confidence and dignity.
Bankers Association of Namibia CEO Dantagos Jimmy said fraud is causing real harm to everyday Namibians.
“These are not theoretical risks; they affect ordinary Namibians every day, including pensioners, students, entrepreneurs, civil servants, farmers and public institutions. Fraudsters adapt quickly. Technology evolves rapidly,” she said.
Jimmy said increased use of mobile money, online banking and card payments has widened exposure to phishing attacks, identity theft, insider breaches, cross-border cybercrime and AI-generated deception.
She said emerging technologies are also part of the solution. “AI, data analytics, biometrics and behavioural monitoring provide new tools to detect and prevent fraud,” she added.
Jimmy stressed that tackling fraud requires shared responsibility.
“Combatting fraud is not the responsibility of banks alone. It requires regulators who set strong frameworks and clear expectations, law enforcement agencies that respond rapidly and decisively, technology partners who innovate responsibly, consumers who stay informed and vigilant, banks that uphold strong controls, transparent communication and ethical conduct, and industry bodies such as BAN that coordinate efforts and foster mutual trust. If any link in this chain is weak, the entire system is vulnerable,” she said.
