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Bankers to discuss fraud mitigation
UBA indicates that the commonest category of fraud is impersonation. Photo / File
What you need to know:
- Fraud continues to pose a significant threat to the stability and integrity of Uganda’s banking and financial services sector
Stakeholders in banking, payments and other financial service providers will on next Wednesday converge for the second Fraud Forum in Kampala to discuss the strengthening of technological and regulatory frameworks to help financial sector players build resilience and deter fraud.
The forum, hosted by Uganda Bankers’ Association (UBA) and supported by Visa, Bank of Uganda, Uganda Communications Commission, and National Payment Systems Providers Association, will take stock of progress since the inaugural event held in March last year, new developments and trends.
Fraud continues to pose a significant threat to the stability and integrity of Uganda’s banking and financial services sector and works against the country’s push to become a key investment destination.
Speaking ahead of the forum, Ms Patricia Amito, the UBA head of communications and corporate affairs, said a detailed review of the current domestic legal framework had been undertaken and compared with other jurisdictions regarding the complexity and evolving nature of fraud.
“Financial sector players will among other measures call for stiffer penalties and consequence management as part of law enforcement mechanisms for those found guilty or linked to financial sector fraud,” she said.
UBA indicates that the commonest category of fraud is impersonation, identity theft, forgeries, and cash suppression, which contributes at least 42.4 percent of fraud cases.
It is followed by digital or cyber-related fraud at 31.9 percent and loan fraud at 25.7 percent.
The forum is also expected to dwell on people aspects (both staff, customers, and other stakeholders) for whom investment in behaviour change, awareness, and financial literacy including misuse and abuse of authority as well as safe custody of instruments for access bank or mobile money becomes a critical first line of defense.
