KUALA LUMPUR, Jan 22 — Malaysia recorded its highest losses from financial scams in three years, with some RM2.77 billion wiped out in 2025 alone, the Home Ministry told Parliament in a written reply yesterday. 

The surge pushed total losses linked to online and financial fraud between 2023 and 2025 to RM5.62 billion, underscoring what officials describe as an escalating and increasingly sophisticated threat.

According to the ministry, scams involving phone calls, romance schemes, e-commerce fraud, bogus financing offers and non-existent loans or investments continued to dominate the landscape. 

Losses amounted to RM1.28 billion in 2023 before rising to RM1.57 billion in 2024 and spiking again last year.

The ministry said the police are ramping up enforcement under existing laws, citing the use of Sections 424A to 424D of the Penal Code, which impose heavier penalties aligned with the gravity of such crimes. 

“Strategic cooperation is also being carried out between the police, financial institutions, telecommunications companies and both domestic and international enforcement agencies,” it said. 

The effort, it added, focuses on information-sharing and technical support aimed at strengthening prevention, tracing, investigations and prosecutions against scam networks.

Officials are also examining possible amendments to the Penal Code, the Communications and Multimedia Act and legislation connected to money laundering to widen enforcement powers. 

“This allows penalties and seizures to be further carried out against online scams. It will also encompass action against mule account holders or agents and quarters involved in online scams,” the ministry said.

The response was issued to Datuk Larry Sng (PBM–Julau), who had asked for a breakdown of losses over the past three years and details of the government’s strategy to curb the fast-growing problem.