Login

Register

Login

Register

#cyberfraud | #cybercriminals | Cybercrime in Nigeria: Causes and Effects


Wednesday,
January 29,  2020 /04:42 PM / By FDC Ltd / Header
Image Credit: Message Magazine

 

With
about 3.9 billion users, the internet has become one of the greatest
technological developments. While widely accepted for its ease and efficiency,
it is also embedded with a multitude of vulnerabilities, which pose significant
security threats to users and has led to the emergence of cybercrime.

 

Cybercrime,
which includes any crime committed with the aid of a computer and network (e.g.
phishing, bank verification number scams, fraudulent emails, hacking, cyber
harassment, spamming, ATM spoofing, social media hi-jacking etcetera), exploits
vulnerabilities of both electronic devices and their users. In Nigeria, a
number of key factors – such as a high rate of unemployment, the quest for
wealth, a lack of strong cybercrime laws, and incompetent security on
personal devices amongst others – have coalesced to
make cybercrime a significant problem for the country.The estimated annual
financial loss in Nigeria due to cybercrime was
N250 billion
($649 million) in 2017 and
N288 billion ($800 million) in 2018.

 

Cybercrime
destroys the reputation of a country, making the business environment difficult
for start-ups and small and medium-sized enterprises, while discouraging
investment in the economy by foreign companies. For individuals, cybercrime
results in the loss of financial resources, intellectual property or personal
confidential information, and the damages can be extreme, often targeting
senior citizens and people who are vulnerable. In 2018, in the US, roughly
62,000 people age 60 or older reported losses totaling over $649 million.

 

This is
only based on crimes reported. McAfee estimates that 95% of cybercrimes go
unreported. With Nigeria venturing into a cashless society, the threat of
cybercrime becomes all the more relevant. There needs to be integrated efforts
between individuals, businesses, the Nigerian government and the international
community. Reforms such as increasing awareness on the mode of operations of
cyber criminals, improved personal security, establishment of anti-scam centers
etc are vital in minimizing cybercrimes. In an effort to combat cybercrimes in
Nigeria, the Central Bank of Nigeria introduced a risk-based cyber security
framework and guidelines for deposit money banks and payment service providers.
This framework lays out proactive steps to secure critical information assets
including customer information that is accessible via the internet.

 

There
are many initiatives employed by different countries to combat cybercrimes,
which Nigeria can emulate. One example is the Anti-Scam Centre in Singapore.
Set up by the police in collaboration with the three major banks, the Anti-Scam
Centre disrupts the operations of scammers by impeding fund transfers. In two
months, the Anti-Scam Centre received 1,047 cases in which victims had lost a total
of $2.4 million ($1.8 million). The centre managed to freeze 815 bank accounts
and recovered 35% of the amount lost, or about S$840,000 ($623,000) – which is
significantly higher than the average recovery rates for these types of scams.
Similarly, Canada has an Anti-Fraud Centre which is the central agency in
Canada that collects information and criminal intelligence on cybercrimes.

 

In
2018, the Canadian Anti-Fraud Centre received 59,009 fraud reports from victims
and businesses, with losses reported totaling $97,654,160.35. However, the
centre estimates that less than 5% of fraud victims file a report, which poses
a challenge in its ability to provide current information on ways to prevent
similar attacks. The Dubai Financial Services Authority initiated a cyber
threat intelligence platform in partnership with the Dubai Electronic Security
Centre, the National Computer Emergency Response Team and the Computer Incident
Response Centre (based in Luxembourg). The platform is scheduled to go live in
January 2020. The platform will harbor an ecosystem that encourages information
exchange and offers enhanced cyber threat intelligence solutions. Thus, all
participants across industries must partake in an open dialogue about cyber
security. This is in a bid to reduce the information asymmetry in the economy.

 

For
individuals, simple security tips such as having an updated and recognized
anti-virus software, avoiding pop-ups requiring personal information, using
strong passwords, and ignoring emails or calls requiring financial details to
help unblock cards or accounts etc, will go a long way in preventing security
breaches.17 Nigeria is experiencing a surge in cybercrimes supported by the
prevailing economic conditions. The high rate of unemployment and the quest for
quick wealth are the two major factors which drive individuals towards
cybercrime. This threat poses a great risk, which can only be eliminated
through the strict enforcement of cybercrime laws, provision of lucrative
opportunities in the economy, information sharing etc. However, in the medium
to long term, increasing awareness could help mitigate the cyber threats, if
action is taken.


 

Related News

  1. CBN Issues Circular on Compliance with Cybercrime Act 2015
  2. Nigeria’s Central Bank Mandates All Banks To Comply With Cybercrime
    Act 2015
  3. Eurojust – Council Of Europe: Joint Conference On Judicial
    Cooperation In Cybercrime Matters
  4. How to Best
    Securely Handle Documents in a Modern Office
  5. Financial
    Institutions Face Growing Cyber Risk Ratings Pressure
  6. New
    Cybersecurity Rules For Banks
  7. Security,
    Conflict and Information Management in Nigeria
  8. 5
    Futuristic Tips To Secure Your Privacy Online
  9. Facebook To
    Pay $100m For Misleading Investors About The Risks It Faced From Misuse Of
    User Data
  10. Addressing
    Business Cybersecurity: The Top Measures That Companies Must Take
  11. World
    Economic Forum: Investors Must Prioritize Cybersecurity Or Risk Losing
    Money
  12. Cyber
    Security and Businesses
  13. Not Quite
    “Open” Source
  14. Perspectives
    on Nigeria Cyber Security Outlook 2019
  15. Breed
    Efficiency; Move Industry Into The Cloud
  16. Two Things
    You Need to Know Before Using Quickbooks
Proshare Nigeria Pvt. Ltd.
Proshare Nigeria Pvt. Ltd.





Source link

Leave a Reply

Shqip Shqip አማርኛ አማርኛ العربية العربية English English Français Français Deutsch Deutsch Português Português Русский Русский Español Español

National Cyber Security Consulting App

 https://apps.apple.com/us/app/id1521390354

https://play.google.com/store/apps/details?id=nationalcybersecuritycom.wpapp


Ads

NATIONAL CYBER SECURITY RADIO

Ads

ALEXA “OPEN NATIONAL CYBER SECURITY RADIO”

National Cyber Security Radio (Podcast) is now available for Alexa.  If you don't have an Alexa device, you can download the Alexa App for free for Google and Apple devices.   

nationalcybersecurity.com

FREE
VIEW