Rural Banks Record Half of SDI Cash Fraud Cases
Rural and Community Banks (RCBs) accounted for half of all cash suppression cases recorded among Ghana’s specialised deposit-taking institutions (SDIs) in 2025, despite a significant decline in overall fraud incidents across the sector, according to the Bank of Ghana’s 2025 Fraud Report.
The report showed that RCBs recorded 56 cash suppression cases during the year, representing 51 per cent of the 109 cases reported across the SDI sector.
Cash suppression, one of the most common forms of fraud in specialised deposit-taking institutions, involves the improper withholding or misappropriation of funds by individuals responsible for handling cash within a financial institution.
The findings come as the sector recorded a sharp reduction in overall fraud cases. Total reported incidents fell from 344 in 2024 to 182 in 2025, representing a 47 per cent decline.
Similarly, cash suppression cases dropped from 267 in 2024 to 109 in 2025, reflecting a 59 per cent reduction.
Despite the decline in the number of reported fraud cases, the report indicated that the financial exposure associated with fraud increased considerably during the period.
According to the Bank of Ghana, the total value at risk rose by 77 per cent, increasing from approximately GH¢4.5 million in 2024 to GH¢8 million in 2025.
The increase was driven largely by forgery and the manipulation of documents, which recorded the highest value at risk among SDIs at GH¢4.2 million. The central bank noted that GH¢4.1 million of this amount originated from a single institution.
Cash suppression recorded a total value at risk of GH¢1.7 million during the year, with Rural and Community Banks accounting for 90 per cent of the amount reported under that category.
The report suggests that while the frequency of fraud within specialised deposit-taking institutions has declined, significant risks remain in cash handling and documentation processes.
The Bank of Ghana’s findings underscore the need for stronger internal controls, particularly within rural and community banks, which provide essential financial services to many communities with limited access to mainstream banking.
The report noted that strengthening oversight, improving cash management procedures and enhancing fraud detection mechanisms will be critical to safeguarding customer deposits and maintaining public confidence in Ghana’s rural banking sector.
