AI-Driven Fraud Surge Threatens Indian and Australian Banking Sectors

A BioCatch survey of banking, anti‑money‑laundering and risk leaders shows AI‑enabled fraud is rising sharply in India. Eighty‑four percent of Indian banking executives say fraud losses have increased, with 48 % reporting annual losses above $10 million and some exceeding $100 million. The rapid growth of the UPI instant‑payment system is cited as a major driver, and 95 % of respondents are worried about the accelerating speed of attacks.

In Australia, scammers caused $2.18 billion in losses in 2025, and AI‑generated emails and invoices are making fraud harder to detect for small businesses. Eighty‑one percent of Australian banking leaders report a year‑on‑year rise in fraud attempts, and 84 % identify AI agents as the biggest emerging vulnerability. Both reports quote BioCatch CEO Gadi Mazor: “AI is starting to reshape how customers interact with financial institutions and will change how criminals execute fraud and other financial crimes.”