Wed Mar 26 16:44:03 UTC 2025: ## UPI Fraud Cases Double in India, But Government Claims Significant Progress in Mitigation
**New Delhi** – Digital fraud in India, particularly targeting the Unified Payments Interface (UPI), has surged dramatically. According to data presented to the Rajya Sabha, UPI fraud incidents doubled from 7.25 lakh in 2022-23 to 13.42 lakh in 2023-24, resulting in losses exceeding ₹1,087 crore (approximately $131 million USD). This represents a significant increase from the ₹573 crore lost the previous year.
The rise in fraud encompasses various criminal activities, including credit/debit card misuse, ransomware attacks, and the use of “mule” accounts for money laundering.
Despite the increase, the Ministry of Home Affairs (MHA) highlighted significant efforts to combat these crimes. These efforts include the establishment of the Cyber Fraud Mitigation Centre (CFMC), a collaborative platform bringing together banks, financial institutions, and law enforcement. The MHA claims that these initiatives have resulted in savings of over ₹4,386 crore (approximately $529 million USD) based on over 13.36 lakh complaints. Furthermore, thousands of suspicious accounts and SIM cards have been blocked. A new portal has also been launched to help identify cybercriminals and has already shared data leading to further savings.
The government has also implemented various measures to prevent payment-related fraud, including device binding, two-factor authentication, transaction limits, and AI/ML-based fraud detection systems.
While tackling domestic fraud, the government continues to expand UPI’s international reach. Currently live in seven countries, the plan is to further expand cross-border payments, making international transactions more seamless and cost-effective for Indian citizens. However, the recent surge in domestic UPI fraud highlights the ongoing challenge of balancing rapid digital adoption with robust security measures.
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