Kenya’s Video Gaming Industry Hit by 49% Surge in Digital Fraud

Kenya’s video gaming and online betting sector is confronting a dramatic rise in digital fraud. New data from TransUnion reveals a suspected fraud rate of 10.4% in early 2025. This marks a massive 49% increase compared to the previous year.

The findings come from the global fraud trends report for the second half of 2025. The gaming sector now leads all other industries in Kenya for digital fraud attempts, highlighting a critical security challenge.

Global Fraud Trends Show Account Takeover Epidemic

This problem is not confined to Kenya. TransUnion’s global data shows a worrying escalation in account takeover attacks worldwide. These attacks increased by 21% year-over-year in the first half of 2025.

Since 2021, account takeover incidents have surged by a staggering 141%. Fraudsters are increasingly targeting existing user accounts rather than just creating new fake ones. This shift demands more sophisticated defense strategies from businesses.

Kenyan Consumers Report Widespread Targeting by Scammers

The impact on everyday Kenyans is significant. A related consumer survey found that 81% of Kenyans reported being targeted by digital fraud between February and May 2025. This is one of the highest rates among the 18 countries surveyed.

The most common scam in Kenya was vishing, or voice phishing. It affected 46% of those targeted. Money or gift card scams followed closely at 45%, with phishing and smishing also being prevalent threats.

Industry Response and the Role of Advanced Technology

Financial institutions in Kenya are already adopting stronger countermeasures. Many are implementing AI-powered fraud detection systems and biometric verification. Consumer education initiatives are also being rolled out to raise public awareness.

According to TransUnion’s senior director, protections for the video gaming sector must include identity, device, and behavioral analytics. A layered, proactive approach is now essential to limit fraud losses and protect consumers.

The 49% surge in digital fraud within Kenya’s gaming sector is a clear warning. It signals that fraudsters are aggressively exploiting new digital frontiers. Robust, AI-driven defenses and informed consumers are the best shields against this evolving threat.

Info at your fingertips

Which sector in Kenya has the highest fraud rate?

Kenya’s video gaming and online betting sector has the highest suspected digital fraud rate at 10.4%. This represents a 49% increase from the previous year, according to TransUnion’s data.

How are fraudsters targeting accounts globally?

Globally, account takeover attacks rose 21% year-over-year. This reflects a major shift where criminals focus on compromising existing user accounts instead of just creating new fraudulent ones.

What was the most common scam in Kenya?

Vishing, or voice phishing, was the most reported scam in Kenya. It affected 46% of consumers who were targeted by fraudsters between February and May 2025.

How can consumers protect themselves from these scams?

Consumers should be wary of unsolicited calls and messages asking for personal information. Regularly monitoring account activity and using strong, unique passwords are also critical protective steps.

What technologies are businesses using to fight fraud?

Businesses are increasingly deploying AI-powered fraud detection and biometric verification. These technologies help analyze behavior and confirm user identity to prevent unauthorized account access.

Trusted Sources

TransUnion, The Kenya Times