ArosaPay Research
Online Fraud in Kenya: 2025 Report
Data from 50,000+ protected transactions across Kenyan e-commerce. An interactive, citable resource for journalists, researchers, and policymakers.
Key Findings
The numbers behind Kenya's fraud crisis
KES 2.1B
Lost to online fraud annually
CBK Financial Stability Report, 2024
67%
Of fraud targets electronics & phones
CAK Consumer Complaints Data, 2024
1 in 4
Kenyans scammed in online purchases
KNBS Household Digital Survey, 2024
KES 28K
Average loss per fraud victim
ArosaPay Transaction Analysis, 2025
Category Analysis
Fraud rates by transaction category
Percentage of reported fraudulent transactions within each category, based on 50,000+ protected transactions.
Trend Analysis
Online fraud cases vs. protected transactions
Reported online fraud cases have grown 5× since 2019. Protected payment adoption is scaling to match.
*2025 figures are annualized projections based on Q1 data. Sources: CBK, CAK, ArosaPay.
How It Happens
The 3 most common fraud patterns
Fake Seller
48% of reported cases
- 1Seller lists item at below-market price
- 2Buyer sends payment via M-Pesa
- 3Seller goes silent — goods never delivered
- 4Buyer has no recourse for recovery
Bait & Switch
31% of reported cases
- 1Seller advertises genuine branded item
- 2Buyer pays full price after seeing photos
- 3Counterfeit or damaged item is delivered
- 4Seller refuses returns or refunds
Payment Reversal
21% of reported cases
- 1Buyer pays for goods and receives them
- 2Buyer initiates fraudulent chargeback
- 3Seller loses both goods and payment
- 4Dispute process favours the buyer
Regional Data
Fraud by region
| Most Common Scam | |||
|---|---|---|---|
| Nairobi | 24,800 | 35,000 | Electronics fraud |
| Mombasa | 8,200 | 28,000 | Motor vehicle fraud |
| Kisumu | 5,600 | 22,000 | Fake seller |
| Nakuru | 4,100 | 18,000 | Fashion counterfeits |
| Eldoret | 3,400 | 15,000 | Fake seller |
| Thika | 2,800 | 20,000 | Electronics fraud |
| Nyeri | 1,900 | 12,000 | Payment reversal |
| Malindi | 1,500 | 42,000 | Real estate deposit fraud |
Source: CBK Regional Financial Crime Reports, 2024; ArosaPay transaction data.
Impact Analysis
With vs. without payment protection
Transactions processed through ArosaPay's funds safeguarding system show dramatically better outcomes across all key metrics.
- Without Protection
- With ArosaPay
Methodology & Sources
How we compiled this report
This report aggregates data from multiple authoritative sources including government agencies, regulatory bodies, and ArosaPay's own transaction records. All ArosaPay data has been anonymized and aggregated. Individual transaction details are never disclosed.
Data Sources
- Central Bank of Kenya (CBK) — Financial Stability Report 2024, Bank Supervision Annual Report
- Communications Authority of Kenya (CAK) — Consumer Complaints Quarterly Reports 2023-2024
- Kenya National Bureau of Statistics (KNBS) — Household Digital Economy Survey 2024
- ArosaPay Transaction Data — Anonymized aggregate data from 50,000+ protected transactions processed Jan 2023 – Mar 2025
- National Police Service (NPS) — Cybercrime Unit Annual Crime Statistics 2024
Cite this report
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This report is licensed under Creative Commons Attribution 4.0. You are free to share and adapt with proper attribution.
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