Four out of five Kenyans say they were recently targeted by digital fraud, according to a new report by TransUnion, which highlighted the growing threat posed by online scammers amid the country’s increasing digital diffusion.

The report is drawn from a survey conducted between November 21 and December 9, 2024, which revealed that 82 per cent of Kenyans had been targeted by email, online, phone call or text message fraud in the three months leading to the survey, with 11 per cent of those targeted confirming they fell victim.

The most common fraud tactics used were smishing (fraudulent text messages designed to steal personal data), reported by 39 per cent of respondents; phishing (via emails, websites, or QR codes) at 36 per cent; and vishing (fraudulent phone calls) at 33 per cent.

“Kenya has a 133.7 per cent mobile phone penetration rate, with people using mobile phones to conduct their everyday business, connect with friends, or keep in touch with family, so it’s easy to understand why digital fraud would be such a common tactic among fraudsters targeting this region,” said Amritha Reddy, senior director of fraud solutions at TransUnion Africa.

Cybercriminals  

“While cybercriminals will attack at any time using any channel, they appear to focus on channels most popular in the regions they are targeting,” she added.

While 71 per cent of Kenyans said they had been targeted but avoided falling victim, a concerning 45 per cent reported losing money to fraud over the past year.

The leading cause was third-party seller scams on legitimate retail websites (34 per cent), followed by unemployment fraud (26 per cent) and account takeovers (25 per cent).

The report, titled TransUnion H1 2025 Update to the State of Omni Channel Fraud, ranked Kenya among the top African countries in fraud exposure, tying with Namibia for the second-highest percentage of victims. Zambia recorded the lowest.

“Digital fraud on community platforms is by no means a new phenomenon. In 2024, it appears that fraudsters targeted these areas with a renewed vigour,” said Reddy.

  It says gaming had the highest rate of suspected digital fraud attempts in Kenya in 2024, overtaking logistics which topped the list in 2023. Fraud attempts in the gaming sector surged by 33.8 per cent, reaching a fraud attempt rate of 12.9 per cent.

Video gaming

Globally, community platforms such as dating sites and online forums recorded the highest digital fraud attempt rate (11.9 per cent), followed closely by video gaming (11 per cent) and retail (8 per cent).

“Cybercriminals take advantage of the trust inherent on community-based platforms, and target members with a wide range of scammer solicitations, the most reported type of digital fraud in communities,” she noted, stating that fraudsters are exploiting trust within community platforms.

The report says fraud’s financial toll has also been significant. Among all surveyed countries, 29 per cent of consumers admitted to losing money to digital fraud in 2024.

In Kenya, the median amount lost stood at Ksh116,108, a substantial figure when compared to the global median loss of Ksh226,132.

Notably, 19 per cent of Kenyan respondents said they had not been targeted by fraud, raising concerns that many may simply be unaware of ongoing threats.

Truvalidate platform

TransUnion drew its conclusions using data from its TruValidate platform and surveyed over 500 Kenyans alongside consumers in countries like South Africa, India, Brazil, the U.K., and the U.S.

Reddy emphasised the need for vigilance and digital hygiene, stating that they have noted that digital fraud has decreased across two of the surveyed industries in Kenya.

“Organisations that draw on identity, device and behavioural insights to interact with legitimate consumers while mitigating fraud risk are more likely to protect themselves and their customers from the scourge of digital fraud,” she said.

Kenyans are among the top three most tech-savvy populations in Africa, yet they remain frequent targets of digital fraud. Despite their digital literacy, many have fallen victim to a range of online scams, including mobile money fraud, phishing, fake investments, online shopping scams, romance hoaxes, and charity frauds.

However, Kenyans have also been behind some of the continent’s most sophisticated cybercrimes.

A report compiled by The Gloceps on the gaps in preventing digital fraud in Kenya, the lack of comprehensive awareness of emerging cybercrime trends amongst professionals and consumers of financial services within the industry has led to an upsurge in online fraud.

“The Ministry of Information Communications and the Digital Economy, in collaboration with the Ministry of National Treasury and Planning, should: promote public awareness campaigns on existing and emerging cyber-crimes targeting consumers and professionals in the financial sector,” the report recommended.

The report recommended that Kenya should ensure that finance-based institutions/establishments align and abide by the national stipulated security protocols to eradicate enablers of fraudulent activities.

The country should also collaborate with the Ministry of Interior and Coordination of National Government and partner with stakeholders to curb the existence of fraudulent and unlicensed fintech firms.