Global Losses to Scammers Exceed $1 Trillion as 1-in-4 Lose Money to Fraudsters

AMSTERDAM, October 10, 2023 (Newswire.com) - The latest annual study by the Global Anti-Scam Alliance (GASA) and ScamAdviser paints a devastating picture of the worldwide onslaught of scams, highlighting an urgent need for vigilance and preventative action. The Global State of Scams 2023 Report, which involved 49,459 people from 43 countries, indicates that a substantial 25.5% of world citizens lost money to scams or identity theft in the last 12 months, culminating in financial losses estimated at $1.026 trillion (€974 billion).

GASA’s 2023 report, which was supported by academics from the University of Twente, found 69% of those surveyed believe they can identify scams, 59% encountered scams monthly and a remarkable 78% faced scams annually. Phone calls and SMS messages are scammers' primary avenues, reported by 61% and 58% of survey respondents respectively, with shopping scams, identity theft, and investment fraud topping the list.

Attractive offers are a universal scammer strategy. Developing countries see these as the main enticement, but even in developed nations, many fail to spot the scams. Concerningly, repeat victimization is frequent, with individuals globally targeted on average 1.5 times a year. Kenya and Nigeria report even higher rates.

Reporting hesitancy is pervasive, with 59% avoiding it due to doubts about outcomes and 24% feeling it's pointless. Perceptions of authority effectiveness vary; while some nations commend their governments, others like Brazil and Thailand voice concerns.

Financially, scams have siphoned off $1.026 trillion globally, equating to 1.05% of the global GDP. Countries such as Kenya, Vietnam, Brazil, and Thailand experience disproportionately high losses. However, the impact isn't just monetary: 60% of scam victims report significant emotional distress.

The timely release of the report coincides with the imminent Global Anti-Scam Summit (GASS) on October 18–19. This pivotal gathering sees over 250 international delegates converge on Lisbon from all corners of the globe, joined by over 1,000 online participants. The goal of GASS is to bring governments, consumer & financial authorities, law enforcement, brand protection agencies, and (cybersecurity) companies together to share knowledge and define joint actions to protect consumers from getting scammed. As deliberations define strategies and countermeasures, a crucial opportunity for collective action and the Global State of Scams will undoubtedly be at the heart of many discussions, fostering a collaborative approach to address and curb the spread.

“The escalating crisis of deception in the digital era has transitioned scams from sporadic events to a full-blown international emergency. With entire nations on the brink of being overwhelmed, particularly developing nations, the mandate of the Global Anti-Scam Summit is clear: unite, strategize, and counteract. Should we falter in our concerted efforts, we risk leaving countries and their inhabitants tragically exposed to this menacing deluge,” warned Prof. Jorij Abraham, Managing Director, GASA.

For further details, please refer to the full Global State of Scams 2023 report at https://www.gasa.org/resources.

Source: Global Anti-Scam Alliance (GASA)