Securing identity authentication is a critical challenge across online transactions, public services, and data protection. Given the swift evolution of fraud techniques, enhanced by technological progress, African nations are compelled to reinforce their systems without delay.

Generative artificial intelligence (AI), a rapidly growing technology, is revolutionizing numerous sectors. However, in Africa, as elsewhere, it is also being exploited for malicious purposes. Fraudsters are using these tools to create fake documents, synthetic voices, and hyper-realistic images, facilitating sophisticated scams and financial crimes. This new wave of AI-driven fraud presents major challenges in security and identity verification, according to Smile ID's report, "2025 Digital Identity: Fraud in Africa Report – Trends, Tactics, and Key Solutions to Tackle Fraud Effectively."

Biometric Fraud Explosion

One of the most concerning aspects of this trend is the increase in biometric fraud attacks. With the availability of free or low-cost AI tools, fraudsters can now produce deepfakes (fake videos or audio recordings) and high-quality fake selfies. According to recent data, deepfake-related incidents increased sevenfold between the second and fourth quarters of last year. Selfie anomalies, used to bypass verification systems, now account for 34% of emerging biometric fraud cases.

These techniques allow criminals to create fake identities or manipulate existing biometric data, making traditional security systems increasingly vulnerable. West Africa recorded the highest rise in biometric fraud cases in 2024. Cases of identity theft have increased in the region, representing 15% of biometric fraud cases, compared to less than 5% in 2023.

Traditional Verification Methods Under Threat

Faced with these technological advances, traditional identity verification methods seem increasingly outdated. Generative AI allows fraudsters to imitate individuals in real-time with unsettling realism. Security systems based on facial recognition or document verification are now vulnerable to high-quality falsifications.

Experts point out that the easy access to generative AI tools has paved the way for an industrialization of fraud. Criminals can mass-produce fake documents, photos, and videos, exposing major flaws in current protection systems. Among the most striking examples of this new era of fraud is OnlyFake, an underground platform that uses advanced neural networks to produce impressively high-quality fake identity documents. For just $15 per document, users can generate convincing documents capable of deceiving digital verification systems. OnlyFake perfectly illustrates how generative AI has eliminated the technical barriers once exclusive to expert counterfeiters.

Beyond the use of AI, which is growing in biometric fraud, Smile ID indicates that other techniques are also being implemented, notably document fraud and identity farming.

Document fraud involves manipulating or falsifying identity documents. This includes counterfeiting, altering genuine documents, and obscuring essential information. Emerging techniques include on-screen document manipulation, portrait anomalies, and the submission of altered photocopies or scanned documents.

As for identity farming, it involves collecting large amounts of personal information, often through illegal means, to facilitate fraud. This data is used to create synthetic identities, take control of existing accounts, or open fraudulent accounts.

Increasing Financial Losses

The growing use of identity fraud techniques in Africa has had significant consequences. Despite improvements in Know Your Customer (KYC) processes, financial losses due to fraud have increased in major markets. In Nigeria, banks reported losses of 42.6 billion naira ($28.2 million) due to fraud in the second quarter of 2024 alone, surpassing the total losses of 9.4 billion naira for the entire year 2023. Similar trends have been observed in South Africa, Ghana, Zambia, and other key African markets.

East Africa recorded the highest rate of reported biometric and document fraud attempts in Africa, at 27% in 2024. According to Smile ID, this phenomenon is mainly due to outdated, inconsistent, and low-quality identity documents in countries such as Zambia, Rwanda, and Sudan, which continue to hinder verification processes. West Africa saw a significant increase in its rate from 12% in 2023 to 22% in 2024, due to the rise in biometric fraud attempts. Central and Southern Africa recorded respective rates of 22% and 21%.

Digital banks recorded a peak in fraud attempts, accounting for 35% of all biometric and document verifications in 2024, followed by microfinance at 30%. These institutions remain prime targets for sophisticated schemes combining identity fraud, account takeovers, and money laundering.

National identity cards recorded the highest fraud rate in Africa in 2024, at 27%, reflecting their widespread use as the main form of identification. Driver’s licenses followed at 24%, due to their frequent use in both formal and informal contexts, increasing their exposure to misuse. Passports had a fraud rate of 20%.

Race Against Time

To address this threat, governments, financial institutions, and technology companies must step up their efforts. Innovative solutions, such as integrating AI to detect deepfakes or strengthening biometric verification systems, are already being explored. However, the speed at which fraudsters adapt their techniques makes this race against time particularly complex.

In Africa, where digital security systems are still developing in many countries, the impact of these frauds could be devastating. International collaboration and increased investment in detection technologies will be essential to counter this growing threat, Smile ID emphasizes. Generative AI, while promising in many areas, thus presents a dual challenge for the continent: harnessing its potential while protecting against its malicious uses.