AI-Driven Scams Fuel Surge in Digital Fraud Across Kenya, New Report Shows

TransUnion's analysis draws on billions of digital transactions from over 40,000 websites and mobile apps, alongside surveys conducted in 18 countries revealing a broader global escalation. Worldwide, 48% of consumers reported being targeted by email, SMS, online, or phone-call scams during the same period. In Kenya, the number was dramatically higher at 81%.

The report also highlights sectors struggling most to keep up with fast-advancing fraud technology. Kenya’s gaming industry recorded a suspected fraud rate of 10.4%, followed by logistics at 7.8% and government services at 7.5%, making them the most exposed industries in the country.

Amid rising threats, technology-driven defenses are becoming more critical. Amritha Reddy, TransUnion Africa’s Senior Director of Fraud Product Management, noted that Kenya’s financial institutions are increasingly adopting AI-powered fraud detection systems, biometric verification, and consumer awareness programs, measures that have already improved resilience in banking.

However, Reddy warned that attackers are evolving rapidly:“Kenya is making strong progress in fraud prevention, but sectors like gaming remain highly vulnerable. As scammers refine their tactics through AI and advanced impersonation, continuous monitoring and regular review of personal credit information are essential,” she said.

The findings paint a clear picture: as fraudsters deploy more sophisticated digital tools, Kenya’s cybersecurity landscape must adapt just as quickly or risk seeing even more consumers and businesses fall victim to technologically enabled scams.