Nigeria ranks third among the top 10 countries with the highest reported cases of occupational fraud in 2022, according to a recent study by Proxyrack. The United States of America (USA) leads the global count with 625 reported cases, followed by South Africa in second place with 188 cases, and Nigeria with 61 cases.
Proxyrack’s industry fraud index report reveals that various sectors experienced an estimated global loss of $3.6 billion in 2022 alone, highlighting a significant surge in fraudulent activities in recent years. The report states that Nigeria’s reported fraud cases primarily revolve around the banking sector. Additionally, the transportation and warehousing industry tops the list of sectors witnessing a substantial rise in fraudulent cases worldwide.
“Nigeria completes the top three countries with the highest number of fraudulent cases. Located in West Africa, this country has encountered 61 cases throughout 2022. Similar to the second-ranked country on this list, most reported fraud cases in Nigeria are related to banking fraud, where scammers attempt to make quick profits,” states the research.
Between 2016 and 2022, there has been a 20.59% increase in fraud cases, with common types of fraud in the industry including falsifying delivery documents and posing as legitimate carriers to assist criminals in stealing cargo loads.
The real estate industry bears the highest financial losses due to fraud, experiencing a 117.50% increase in losses since 2016. Corruption accounts for 64% of all fraud cases in the energy industry, followed by the manufacturing industry (59%) and the transportation and warehousing industry (59%), according to the research.
