Global banking fraud prevention spending projected to reach $66.2bn by 2031

Financial institutions are expected to spend over $66.2 billion on banking fraud prevention globally by 2031, according to a study by Juniper Research. This represents an 83% increase from the $36.2 billion forecast for the current year.

The rise in spending is driven by the need to combat criminal networks that exploit gaps between banks, payment providers, and digital platforms. These networks often use fraudulent identities and money mule accounts that are difficult to track. To counter this, institutions are increasingly investing in intelligence sharing and expanding data sources to include mobile network intelligence alongside payment and behavioral signals.

Despite technological convergence, challenges remain. A survey by Datos Insights and SAS found that while 71% of financial institutions are integrating detection technologies, 86% report missed links between fraud activity and anti-money laundering (AML) efforts. Experts note that real-time payments often move funds faster than institutions can connect fraud and AML intelligence to intervene. Effective prevention requires not just technology, but the integration of data, case management, and information sharing to provide a broader context of risk.