By Phiwa Sikhondze
Fraud has cost Eswatini a staggering E7.7 million in 2024, according to the latest figures revealed by the Eswatini Bankers’ Association (EBA) Chairperson, Mvuselelo Fakudze, at the launch of International Fraud Awareness Week.
The above figure represents a 53.3% rise in reported fraud cases compared to last year, highlighting the growing threat of fraudulent activity across the country’s financial sector.
Speaking at the event, Fakudze, emphasized the importance of combatting fraud, which is having a devastating impact on both individuals and businesses in Eswatini.
“Our theme today; ‘Be Aware… Connect With Care… Be Vigilant’ is our admonition, our way of raising the alarm and prompting all EmaSwati to be cautious when making any transaction, be prudent with financial information, and take the time to understand the risks and identify potential scams,” he said.
A significant portion of the fraud, about 36.4%, was attributed to account takeovers, where fraudsters manipulate victims into revealing their digital banking credentials such as PINs, passwords, and One-Time Pins. These fraudulent activities led to losses of E2.8 million.
Additionally, online fraud accounted for E1.9 million in losses, with criminals exploiting fake websites and digital platforms to steal customer card details. Fraudsters’ tactics have become increasingly sophisticated, and consumers are being targeted at an alarming rate, especially through online shopping.
Other notable fraud trends include advance fee scams, where victims pay money upfront for services or goods that never materialize. These scams led to losses of E1.4 million. Furthermore, business email compromise—where fraudsters impersonate business partners or employees to steal confidential information—accounted for E603,855.57 in losses.
Other types of fraud, such as ATM fraud, fake proof of payment scams, and employee fraud, also contributed to the overall loss, with reported losses of E190,577.99, E287,572.22, and E505,400.03, respectively.
In response to the alarming figures, Fakudze called for a concerted effort from all stakeholders—government, financial institutions, and consumers—to tackle fraud head-on.
“Let us be intentional about fraud prevention and recognize that the fight against fraud requires our collective diligence and unwavering commitment,” he said.
He stressed the importance of increasing awareness about fraud prevention and empowering the public to recognize warning signs.
As part of the International Fraud Awareness Week, the EBA will roll out a series of workshops, training sessions, and activations throughout the festive season to educate both the public and banking sector employees on fraud prevention tactics.
Fakudze urged financial institutions to adopt more advanced fraud detection and prevention methods, such as multi-factor authentication and biometric verification, which can add layers of security for online transactions. Additionally, he called for enhanced collaboration among the Central Bank of Eswatini, Royal Eswatini Police Service, and other institutions to ensure a stronger, more unified approach to combatting fraud.