Online fraud is rapidly becoming one of Nepal’s most pressing cybercrime issues. According to fresh data from the Nepal Police, online fraud cases skyrocketed by 307% in the Fiscal Year 2024/25, jumping from 166 cases in 2023/24 to 675 last year. This dramatic surge reflects the growing misuse of digital platforms by scam networks.
The financial impact has been equally staggering. The total money scammed rose by 141%, from Rs 347.2 million to Rs 835.9 million in just one year. The police arrested 220 individuals, including 33 foreign nationals, in connection with these cybercrimes.
While these numbers are alarming, experts caution they likely underrepresent the true scale of the problem, as many victims remain silent—either due to embarrassment or lack of knowledge on how to report fraud.
Categories of Online Fraud
1. Social Media Scams
A major portion of fraud—159 cases—occurred through platforms like Facebook and TikTok, amounting to Rs 61.6 million in losses. Police arrested 55 people, including 2 foreigners, involved in impersonation, fake profiles, and emotional manipulation scams.
2. Online Banking Fraud
There were 92 cases involving Rs 115.4 million stolen through hacked or manipulated mobile banking apps. 72 suspects, including 15 foreign nationals, were arrested.
3. Online Shopping Scams
Scams involving undelivered goods or fake stores accounted for 137 cases, swindling people out of Rs 11.1 million. 37 arrests were made, including one foreigner.
4. Online Payment Fraud
This category logged 74 cases involving Rs 9.9 million, leading to 14 arrests (including one foreign national).
5. Lottery Scams
48 cases were registered where fake lottery wins tricked victims into paying fees or taxes, costing Rs 17.1 million. Just two suspects were arrested.
6. Identity Fraud and Spam Scams
Although less frequent, six cases of identity fraud involved Rs 403,000, and two spam-related scams cost victims Rs 300,000. Four suspects were arrested in total.
7. Phishing and Other Scams
Nine phishing cases (Rs 1.4 million in losses) had no arrests. However, a broader category of 132 miscellaneous fraud cases led to Rs 610.1 million being defrauded, with 37 people arrested, including 14 foreigners.
A Digital Boom, a Rising Risk
The rising popularity of mobile banking, digital wallets, and social media platforms like Facebook and TikTok has fueled both opportunity and vulnerability. Online shopping has also grown immensely—but so have the risks.
Scammers are increasingly using hacked accounts, fake profiles, and impersonation to deceive victims. In some extreme cases, they use sextortion tactics, luring victims into compromising video calls and then blackmailing them.
Despite law enforcement efforts, awareness and digital literacy remain limited. Police warn that many scams succeed simply because people lack knowledge of safe online practices.
