A sharp rise in digital fraud has put Malaysia on alert, with official figures showing massive financial losses from online scams over the past 3 years. The scale and speed of the increase have prompted authorities to call the trend “highly alarming.”
Malaysia recorded total losses of RM5.62 billion (about ₹9,95,00,00,000) from online fraud and scams between 2023 and 2025. The data was shared in Parliament by Home Minister Datuk Seri Saifuddin Nasution Ismail. Of this, 2025 alone accounted for RM2.77 billion (around ₹4,90,60,00,000), the highest single-year loss in the period.
The reported losses span multiple scam categories. These include phone scams, romance or “love” scams, e-commerce fraud, fake loan offers, non-existent investment schemes, and e-financial crimes. According to the Home Minister, scammers are constantly refining their methods, using digital payments, social media platforms, and trust-based tactics to deceive victims quickly.
The upward trend is clear from year-wise data. Losses stood at RM1.28 billion (about ₹2,29,60,00,000) in 2023 and rose to RM1.57 billion (around ₹2,81,50,00,000) in 2024. The sharp jump in 2025 marks the most damaging year so far for online fraud in the country.
In response, Malaysian police and the Home Ministry are stepping up enforcement measures. Authorities are relying on existing legal provisions, including Sections 424A to 424D of the Penal Code, which allow for tougher action against organised and complex cyber scam cases.
The government is also strengthening cooperation between law enforcement agencies, banks, telecommunications firms, and domestic and international partners. This includes shared data systems, coordinated operations, and advanced technical support to improve prevention, investigation, and prosecution.
At the same time, officials are reviewing possible amendments to the Penal Code, the Communications and Multimedia Act 1998, and laws linked to money laundering and terrorism financing. The focus is on stronger penalties, wider powers such as asset seizure, and action against “mule account holders, agents, or accomplices” who support scam networks.
Authorities warned that rising fraud threatens public trust in digital payments and e-commerce, urging citizens to stay alert and report suspicious activity through official channels like the National Scam Response Centre.
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