MEDIA RELEASE (FINAL)

FOR IMMEDIATE RELEASE

GROWING FRAUD LANDSCAPE to be ADDRESSED at SAFPS FRAUD SUMMIT

Johannesburg, March 23, 2025

South Africans have become accustomed to the narrative that fraud surrounds them. The fraud landscape is growing significantly as the country attempts to break its bonds of low economic growth. “The public is often unaware of how sophisticated criminals are and how easy it is to become a victim of fraud or a scam," says Southern African Fraud Prevention Service (SAFPS) Head of Operations, Roy Retief.

Digital fraud, scams, and other significant risks will take centre stage at the Annual SAFPS International Fraud Summit, which is being held in Sandton on 15 and 16 May.

A soft target
There are plenty of factors working in South Africa's favour. Along with its diversity acclaim, internet connectivity in South Africa is growing rapidly and is being fully adopted by a growing youth population.

According to the 2024 Interpol African Cyberthreat Assessment Report (which reflects on 2023 digital trends), the INTERPOL member countries identified ransomware and digital extortion as one of the most serious cyber threats faced by the African continent. Such attacks are of particular concern due to their high financial impact, their ability to severely disrupt critical infrastructure and essential services, and the harm they can cause to the organisations and individuals affected. During a single week in February 2023, INTERPOL's private partner Kaspersky detected over three hundred cases of ransomware in South Africa, which illustrates the increasing frequencyof attacks. The financial impact of attacks also appears to be on the rise: according to IBM, the average ransomware attack cost in 2023 was $5.13 million, a 13% increase over 2022.

Looking at SAFPS 2024 statistics
One of the highlights of the 2025 Fraud Summit will be the presentation of the SAFPS Annual Report, which will contain the highly anticipated 2024 fraud statistics. The SAFPS has seen an increase in fraud listings, victim listings and protective registrations. Retief adds that 2024 trends (in fraud categories) show similarities compared to 2023. However, some categories showed significant increases compared to the previous year.

"All of our statistics will be discussed in more detail during the Fraud Summit," says Retief who adds that the Summit is an important platform that provides delegates with insights on current and emerging fraud trends.

High profile panel
The 2025 edition of the SAFPS International Fraud Summit will feature insights from several high-profile professionals who will provide insights into the fraud landscape across South Africa and globally.

One of the sectors that experience significant levels of fraud is the insurance sector, as policyholders try their hand at maximising payouts at the claim stage. Garth de Klerk, CEO of the Insurance Crime

Bureau (ICB), points out that technology is being used extensively as a tool to commit fraud. "Insurers and the ICB are not blind to this and invest a lot of time and resources into investigating current tactics that claimants use and how they leverage technology to maximise payouts. The industry is also investing significant amounts of capital in technology that will be used to detect fraud at claims stage; it is both a game changer and a risk. More insights will be shared at the Fraud Summit," says De Klerk.

Identity fraud is not only a significant issue in South Africa. Reports indicate that in 2024, the UK fraud prevention service, Cifas, received 421,000 reports, marking a 12.5% increase from the 374,000 cases filed in 2023. The report added that identity fraud accounted for 59% of these reports. There is a distinct shift in fraud tactics, with fraudsters increasingly utilising artificial intelligence instead of traditional technological skills to launch sophisticated and large-scale attacks against businesses. The incorporation of AI and fraud-as-a-service platforms has made fraud more accessible, with the potential to cause damages of up to $2.5 million in a month from a mere $1,000 investment. This will be discussed in more detail by Cifas Chief Product Officer Mark Courtney.

Committed to combatting fraud
Retief points out that the Fraud Summit is not only an important platform to assess the current fraud landscape and collaborate with international partners and stakeholders, but it is also an opportunity for the SAFPS to reaffirm its commitment to combatting fraud.

"Providing South Africans with enhanced protection against fraud is the core value proposition of the SAFPS. We are a key role player when it comes to adding value to South Africans and the South African economy. Our statistics and insights from global partners provide us with a strategic direction for dealing with challenges effectively and staying one step ahead of fraudsters. This positions the SAFPS Fraud Summit as one of the most important gatherings of the year," says Retief.


ENDS


ISSUED FOR AND ON BEHALF OF the Southern African Fraud Prevention Service (SAFPS) BY:
JONATHAN FAURIE OF BULLION PR & COMMUNICATION CELL: 079 566 8814
EMAIL: [email protected]

https://www.bullionpr.com/post/book-your-seat-for-the-safps-fraud-summit-2025

SAFPS HELP-LINE: 011 867-2234

Yima Hotline: 083 123 SCAM (7226)