NON-EXISTENT investment schemes have emerged as Malaysia's most financially damaging form of online fraud, accounting for almost half of the RM5.37 billion lost to cyber scams between 2024 and May 2026, according to the Home Ministry.
Home Minister Datuk Seri Saifuddin Nasution Ismail said fraudulent investment scams caused losses of RM2.68 billion, representing 49.9 per cent of the overall amount lost during the period.
Telecommunications-related scams recorded the second-highest losses at RM1.54 billion, or 28.7 per cent, followed by e-financial crimes amounting to RM660.64 million, representing 12.3 per cent.
Losses from e-commerce scams totalled RM250.81 million (4.7 per cent), while victims of non-existent loan scams lost RM138.92 million (2.6 per cent). Romance scams accounted for RM111.08 million, or 2.1 per cent of the overall losses.
"Overall, non-existent investment scams, telecommunications crimes and e-financial crimes contributed more than 90 per cent of the total losses, amounting to RM4.88 billion.
"This has had a serious financial impact on victims," he said in a written parliamentary reply published on Parliament's website.
Saifuddin was responding to a question from Chong Chieng Jen (PH–Stampin), who requested details of financial losses suffered by victims of various categories of online scams for 2024, 2025 and 2026.
The minister said the government has intensified its response by strengthening the role of the National Scam Response Centre (NSRC) as a one-stop coordination centre to combat online fraud.
He said the NSRC brings together expertise from the Royal Malaysia Police (PDRM), Bank Negara Malaysia (BNM), the Malaysian Communications and Multimedia Commission (MCMC), and financial institutions to enable swift intervention when online scam cases are reported.
"Through the 997 hotline, action to block the movement of victims' funds can be taken during the critical period to prevent money from being transferred out of the local banking system.
"At the same time, the Royal Malaysia Police has intensified intelligence-led investigations and financial forensic analysis, including tracing the flow of funds, dismantling mule account networks and conducting integrated operations and targeted arrests against scam syndicates," he said.
Saifuddin added that the government has also strengthened enforcement through the implementation of Sections 424A to 424D of the Penal Code, which impose tougher penalties for offences involving online fraud. - July 15, 2026
