Nigeria’s Financial Sector Steps Up AI Adoption to Combat Sophisticated Fraud

Nigeria’s financial leaders convened at the Adhere Compliance Frontline Forum in Lagos, where discussions centered on artificial intelligence (AI) as a critical tool for combating evolving cybercrime threats. Executives from banks, fintech companies, regulatory bodies, and law enforcement agencies emphasized the need for proactive AI adoption to stay ahead of increasingly sophisticated fraudsters.

The forum highlighted how financial crime has transformed from physical robberies to digital attacks carried out remotely through laptops and smartphones. According to Assistant Inspector-General of Police Uche Henry Ifeanyi, who chairs INTERPOL’s African Working Group on Cybercrime, criminals now employ tactics like SIM swap fraud, ransomware, insider collaboration, and social engineering.

“Financial crime no longer looks like it used to,” noted Anita Ajalla, SmartComply’s Chief Technology Officer, during the launch of their AI-powered compliance platform, Adhere. The event also featured a new industry report, ‘The Compliance Reckoning,’ which examines evolving financial crime trends in Nigeria.

AIG Ifeanyi emphasized that while traditional security measures remain important, AI-driven solutions are becoming essential for monitoring millions of transactions in real time and detecting anomalies before funds disappear. He expressed confidence in Nigeria’s ATM card technology—claiming it to be the “safest card in the world” due to its resilience against direct hacking attempts—while cautioning that human manipulation remains the primary vulnerability.

The forum underscored a shift towards proactive compliance, with experts advocating for real-time risk detection rather than reactive investigations. Panelists from Novac Payments, Odu’a Investment Company, Hydrogen Payment Services, NIBSS, and Fastspeed Technologies discussed how banks can leverage AI to identify suspicious transactions—such as unusual transfer amounts or patterns—before they occur.

Despite the consensus on AI’s potential, attendees acknowledged challenges in implementation, including legacy systems, data fragmentation, and technical expertise gaps. The event concluded with a call for greater collaboration between financial institutions, regulators, and law enforcement to strengthen Nigeria’s cybercrime defenses.