Sumsub, a leading full-cycle verification platform, has released its Global Fraud Index, the first-ever comprehensive analysis of digital fraud risks across 103 countries. The Index aims to shed light on the root causes of fraud, offering governments, regulatory bodies, and businesses actionable insights to strengthen their defenses against this growing threat.

In a concerning revelation, Sri Lanka has been named among the top 10 countries least protected against digital fraud, placing it in the same category as other high-risk countries like Pakistan, Bangladesh, and Brazil. The Index underscores the need for greater regulatory intervention and improved anti-fraud measures in Sri Lanka to tackle these vulnerabilities.

Digital fraud continues to pose a significant challenge globally, with losses from online payment fraud expected to exceed $362 billion between 2023 and 2028, according to Juniper Research. The Global Fraud Index goes beyond the numbers, analyzing the underlying factors that drive fraud and presenting insights to help countries, including Sri Lanka, understand and combat these risks effectively.

Key highlights of the Global Fraud Index include:

• The top 10 countries least protected against digital fraud are Pakistan, Bangladesh, India, Indonesia, Ethiopia, Argentina, Ukraine, Brazil, Algeria, and Sri Lanka.
• In contrast, the top 10 countries most protected against digital fraud include Singapore, Luxembourg, Switzerland, Norway, Denmark, the Netherlands, Finland, Sweden, Ireland, and Lithuania.
• Singapore ranked first in the Global Fraud Index, excelling in economic wealth, resource accessibility, and government intervention to combat fraud.

Countries with lower GDP per capita, like Sri Lanka, are particularly vulnerable to digital fraud, with the study finding that nations with a GDP under US $25,000 experience higher fraud activity compared to wealthier nations. The report calls for targeted efforts from governments and regulatory bodies in these regions to address their digital fraud exposure.

Sumsub’s Global Fraud Index provides a crucial resource for Sri Lanka and other high-risk countries to better understand the factors fueling digital fraud and implement more effective fraud prevention strategies.