Banking frauds more than doubled in the financial year 2019 - 20 (April 2019 - March 2020) to $24 billion compared with 2018-19, a report by India's apex bank RBI has revealed.
There was also a 28 percent hike in the number of banking frauds.
In its annual report for financial year 2019 - 20 made public on Tuesday, the RBI said that most frauds happened in the loan portfolio of banks.
According to data on banking fraud in the annual report, fraud to the value of $24.6 billion was seen in 2019-20, which is 158 percent more than the $9.53 billion detected in 2018-19.
The bank said that there was a data collection lag of 24 months, indicating that the fraud may have happened in previous years but got reported in 2019-20.
The report said, “While the frauds framework focuses on prevention, early detection and prompt reporting, the average lag in detection of frauds remains long. The average lag between the date of occurrence of frauds and their detection by banks was 24 months during 2019-20.”