The main scam cases reported to the police comprised telecommunication scams (31.6%), e-commerce scams (30.6%), loan scams (15.4%), investment scams (13.9%), love scams (3.9%) and malware and phishing (4.7%).

“Malaysia has advanced its fight against online fraud since 2022 through concerted efforts to strengthen security controls in financial institutions, implementing preventive measures across all banks and recently extending them to major e-money issuers, which have yielded positive outcomes,” BNM said in its 2024 annual report released today.

The central bank said the number of fraudulent, unauthorised transactions involving malware and phishing reported to the central bank declined by 52% during the year.

It said vigilant and proactive consumers were key to minimising fraud, as more than 95% of online fraud cases in Malaysia involve authorised transactions.

“As authorised fraud patterns can closely resemble genuine transactions, financial institutions face significant challenges in identifying and blocking fraudulent transactions without disrupting the payment system, making consumer education and awareness the most effective way to prevent such scams.

“Greater success in averting fraud can only be achieved if consumers take proactive measures such as resisting deals that are ‘too good to be true’, heeding scam warnings from friends, family, and banks, and practising good cyber hygiene by not sharing passwords or personal credentials and avoiding suspicious links,” it said.

Looking ahead, BNM said tackling online fraud would require a whole-of-nation approach, with ongoing efforts to strengthen fraud prevention, enhance enforcement, and boost consumer awareness.

“The industry is already working to enhance fraud prevention and enforcement by leveraging technology and improving information sharing,” it said.