Over 50% of UAE residents report being targeted by one financial fraud a month

Dubai: A recent study by the UAE Cybersecurity Council and Trends Research and Advisory found that while 65 per cent of UAE residents feel confident in detecting fraud, financial scammers constantly evolve their tactics. Alarmingly, 56 per cent of UAE residents report experiencing at least one fraud attempt per month, with credit cards and bank transfers being the most targeted payment methods.

With a surge in digital transactions and promotional offers, fraudsters are actively targeting consumers through various scams, the UAE Banks Federation (UBF) has said. UBF- the official representative of UAE banks - issued a renewed warning to residents about the increasing risk of financial fraud during Eid Al-Fitr. UBF said that heightened customer awareness remains the first and strongest defence against financial fraud.

UBF said it continues to spearhead initiatives to combat financial crimes, including the National Fraud Awareness Campaign. Since its launch in 2020, the campaign has played an important role in educating customers about potential threats and equipping them with the knowledge to safeguard their finances.

Jamal Saleh, Director General of UBF, said the UAE banking sector is committed to maintaining a secure and seamless banking experience through advanced technologies and expertise.

 “As digital transactions increase significantly during Eid Al-Fitr and other holidays, we urge customers to remain vigilant and adopt necessary precautions to protect their finances,” said Saleh. “UBF is intensifying efforts to educate the public on safe digital banking practices, e-commerce security, and social media protection,” he added.

The UAE banking sector and Cybersecurity Council play a crucial role in enhancing the security of digital financial transactions. Digital payments in the UAE continue to witness exponential growth. In 2023, digital transactions surged by 53 per cent, reaching $43 billion (Dh157.8 billion). By 2028, this figure is expected to rise to $132 billion (Dh 484.4 billion), according to global research estimates.

Saleh said the UAE’s success in fraud detection and mitigation is due to the adoption of advanced technologies, including artificial intelligence, machine learning, and biometric verification. He also highlighted UBF’s joint fraud monitoring and information-sharing platform, which enables banks to collaborate in detecting and preventing fraudulent activities by exchanging real-time data on suspicious transactions.