United Bank for Africa (UBA), with a market capitalization of ₦1.93 trillion ($1.29 billion) and operations in 20 African countries, has successfully cut fraud-related losses by 45.35%, reducing them to ₦288 million ($192,130) in the first half of 2025.
At the same time, its profit after tax grew by 6.06% to ₦335.53 billion ($223.84 million), according to its latest financial statement.
Most of the fraud losses came from electronic channels and unauthorised transfers. UBA revealed that in H1 2025, fraud attempts totaled ₦2.40 billion ($1.60 million), but only 12% of these attempts resulted in actual losses.
For comparison, in H1 2024, fraud attempts amounted to ₦2.39 billion ($1.59 million), with 22% leading to losses of ₦527.01 million ($351,579). Electronic fraud, which cost UBA ₦229.10 million ($152,837) in H1 2024, dropped sharply to ₦99 million ($66,044) in H1 2025.
Fraudulent transfers accounted for ₦148 million ($98,733) in losses, despite only seven reported incidents. This marks a 47.43% decline from the ₦281.53 million ($187,814) lost in H1 2024.
Fraud and profit performance (UBA)
| Metric | H1 2024 | H1 2025 | % Change |
|---|---|---|---|
| Fraud Attempts | ₦2.39bn ($1.59m) | ₦2.40bn ($1.60m) | +0.4% |
| Actual Fraud Losses | ₦527.01m ($351,579) | ₦288m ($192,130) | -45.35% |
| Loss Rate (of attempts) | 22% | 12% | ↓ |
| Electronic Fraud Losses | ₦229.10m ($152,837) | ₦99m ($66,044) | -56.77% |
| Fraudulent Transfer Losses | ₦281.53m ($187,814) | ₦148m ($98,733) | -47.43% |
| Profit After Tax | ₦316.21bn (est.) | ₦335.53bn ($223.84m) | +6.06% |
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IT investment and fraud reduction
This decline in fraud coincided with significant investments in IT infrastructure and technology-related services in 2024. UBA spent ₦48 billion ($32.02 million) on tech upgrades in that year.
In H1 2025, IT expenses were ₦6.72 billion ($4.48 million), a slight rise from ₦6.70 billion ($4.47 million) in H1 2023.
According to Nabila Mohammed, a research analyst at Chapel Hill Denham, enhanced IT systems directly reduce fraud incidents and financial losses for customers.
Wider Nigerian banking sector
UBA’s disclosure comes amid rising pressure on Nigerian banks to tackle fraud. The Financial Institutions Training Centre (FITC) reported that while fraud cases dropped by 33.8% in Q1 2025, the amount involved surged by over 240%.
- Nigerian banks lost ₦1.39 billion ($927,297) to fraud in Q4 2024, an 86.3% decline from ₦10.12 billion ($6.75 million) in Q3 2024.
- Fraud cases via web, bank branches, and mobile channels declined, but POS and ATM fraud are on the rise.
- FITC warned that cheque-related fraud skyrocketed by 19,470.8%, signaling an urgent need for stronger cheque security measures.
Regulatory and institutional response
The Central Bank of Nigeria (CBN), in January 2025, directed the Nigeria Inter-Bank Settlement System (NIBSS) to debit the settlement accounts of banks that receive fraud proceeds.
This move is intended to force banks to improve internal controls and curb illicit financial flows.
UBA emphasized in its H1 2025 report:
“Internal control procedures are instituted which, as far as reasonably possible, safeguard the assets of the Bank and prevent and detect fraud and other irregularities.”
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