According to the latest report from the Reserve Bank of India (RBI), bank frauds in India reached an unprecedented ₹360.14 billion during the financial year 2024-25, marking a sharp 194% increase compared to the previous year. The total number of reported fraud cases throughout the year stood at 23,953. Private banks accounted for the majority of these incidents, registering 14,233 cases, which represents 59.42% of all reported frauds.
However, public sector banks bore the brunt of the financial impact, incurring the highest monetary losses, with frauds amounting to ₹256.67 billion. This signifies a substantial jump from the ₹92.54 billion reported in the preceding year. Public banks recorded 6,935 fraud cases, a slight decrease from 7,460 cases in the prior fiscal year.
Loan-related frauds constituted the largest portion of these losses, totaling ₹331.48 billion in FY25, in contrast to ₹100.72 billion in the year before. Frauds related to cards and internet transactions also contributed significantly, reaching ₹5.20 billion. The RBI further reclassified 122 older fraud cases, adding ₹186.74 billion in losses pertinent to previous years. The report clearly highlights a dichotomy: while private banks documented the highest number of fraud instances, public sector banks sustained a more severe financial blow.
