$1.8bn lost yearly to Nigeria linked fraud — US

The United States government has warned that Nigeria-linked fraud causes over 1.8 billion US dollars in losses annually, with most victims based in the United States.

Speaking at the public presentation of the Nigeria Cyber Crime Assessment Report, on Thursday in Abuja, Director of the U.S. Embassy’s International Narcotics and Law Enforcement Affairs Office, Dr Douglas Grey, raised fresh concerns over Nigeria’s rising cyber crime profile, warning that the country now ranks fifth globally among top sources of online fraud.

He said the assessment, funded by the U.S. Department of State, aims to strengthen Nigeria’s ability to fight cyber crime while protecting citizens both at home and abroad. He said, “According to a study covering cyber fraud linked to Nigerian accounts, business email compromise and related schemes cause losses to over 1.8 billion US dollars in a single year; And many of these victims, infact most of these victims, reside in the United States.

“Cyber crime erodes confidence in digital systems, discourages digital investment, and undermines the integrity of global financial services and public services. Because cyber crime is global, the actions of criminals in one country can inflict heavy damage on individuals and businesses all around the globe.” Grey thanked the United Nations for its technical work on the report and commended Nigerian government agencies and law enforcement for their partnership.

He said the assessment examines the capabilities and capacity of Nigerian institutions to combat cyber crime so that we together shape a stronger system for global enforcement, prevention, and collaboration that protects not only Nigerians but also Americans. He warned that crimes such as extortion, business email compromise and other online scams have harmed thousands, really millions of Americans, while damaging Nigeria’s reputation and overshadowing the country’s legitimate innovation and talent in the digital space.

Citing recent figures, he said, “In 2022 alone, the nation lost an estimated 500, let me repeat that, 500 US million dollars to cyber crime.” He added that cyber crime erodes confidence in digital systems, discourages digital investment, and undermines the integrity of global financial services and public services.

Grey also noted that Nigerian-linked fraud schemes abroad cause losses to over 1.8 billion US dollars in a single year, stressing that most victims were in the United States. He said the U.S. government stands ready to assist the Nigerian government, adding that trained Nigerian officers had helped secure the extradition, then the prosecution, and the recovery of $700,000 in victim restitution since his arrival in Nigeria in August.

Emphasizing the dangers of online sexual exploitation, he said. “Our children, our nieces, our nephews are all vulnerable to sexual exploitation online, especially this wicked crime of sex extortion, the fraud exploitation of children is disgusting and is one reason all of us want to work together to clamp down on cyber crime and hold these perpetrators to account.”

He urged Nigeria to implement the report’s recommendations and thanked the American taxpayer who has invested significantly in this fight against cyber crime that we share together. In his remarks, the UNODC Country Representative, Cheikh Ousman Toure, said the assessment is not just a report but a roadmap for action.

He said cyber crime undermines economies, erodes trust and threatens national security, noting that Nigeria’s expanding digital economy had also created openings for criminal networks. Toure highlighted gaps identified in the report, especially limited technical capacity in law enforcement and the judiciary, insufficient public awareness and weak international cooperation mechanisms.

He warned that cyber crime is evolving faster than our ability to respond, stressing the need for sustained investment, intelligence sharing and nationwide prevention efforts, including campaigns in schools and vulnerable communities. He called for stronger legislative support, saying Nigeria must improve intelligence analysis to stay ahead of criminal networks.

“Every dollar invested in cyber crime prevention saves millions in economic loss and protects citizens from harm,” he said. Toure reaffirmed UNODC’s commitment to support Nigeria, saying, “Together we can ensure that Nigeria is not only prepared to combat cyber crime but is a leader in regional efforts against these global threats.”