Fraudulent activities pose a detrimental effect towards businesses which lead to losses and curb growth abilities. It was reported that Malaysia has the potential to lose up to RM51 billion from cyber security incidents from ‘Malaysia Cyber Security Strategy 2020 -2024.’ The catastrophic impact of fraud have also caught the attention of Bank Negara to collaborate with MCMC and local banks to overcome fraudulent activities. Are there no other ways for businesses to curb frauds rather than awaiting for local authorities to intervene? Are there no preventive measures that could reduce frauds for businesses?
On behalf of Stripe, we would like to interest you to an announcement derived from a study titled ‘The state of online fraud’ that studied the data from 2019 to 2022 across 2,500 business leaders to understand global fraud trends across the years which negatively affects growth.
For Malaysian businesses, the study cannot be timelier. It highlights the negative impacts of fraudulent activities that affects businesses, the advancements of fraud and showcased how technology can be used to combat frauds – all information that is crucial as we increasingly transact online and cross borders.
You may find the announcement as attached and short key takeaways as below for your kind consideration to publish. Do let us know if you have any questions.
Key takeaways:
- Nearly three-quarters of businesses have diverted engineering resources, and more than half have curtailed expansion plans, due to fraud concerns.
- Subscription businesses struggle most with fraud. Seventy-two percent think they will lose more money to fraud in 2022 than 2021.
- The volume and sophistication of fraud varies dramatically across markets, requiring tools that adapt to local fraud patterns.
- The changing risk environment has had a particular impact on businesses offering B2B SaaS products and B2C subscriptions as they’d be more susceptible to frauds.
