India Projected to Lose Rs 20,000 Crore in Cybercrimes in 2025: CloudSEK report

India is projected to face financial losses of approximately Rs 20,000 crore due to cybercrimes in 2025, according to a recent report by cybersecurity firm CloudSEK. The report identifies brand abuse, phishing scams, and fraudulent domains as the primary methods cybercriminals are expected to exploit this year. While advancements in (AI continue, attackers are anticipated to rely on sophisticated social engineering tactics to execute fraudulent activities. Notably, brand name abuse alone is estimated to contribute around Rs 9,000 crore to the total financial impact.

“The biggest revelation from our research is the sheer scale of financial losses over Rs 20,000 crore due to cybercrime, of which Rs 9,000 is due to brand name abuse alone. The fact that brand abuse is implicated in nearly one-third of all cybercrime incidents and a staggering 70% of high-value scams is a wake-up call for India,” said Pavan Karthick M, Threat Intelligence Researcher at CloudSEK.

CloudSEK’s white paper, released on Friday, highlights the growing economic impact of cybercrimes in India, emphasizing that unauthorized use of trusted brand identities for fraudulent purposes has become a major avenue for exploitation. 

Alongside brand impersonation, cybercriminals are also using fraudulent mobile applications and fake website domains to deceive individuals.

A sector-wise analysis in the report indicates that the financial sector is expected to bear the largest share of these losses, amounting to Rs 8,200 crore or 41% of the total. The retail and e-commerce sectors are projected to suffer a combined 29% of losses, while government services could experience financial damages of Rs 3,400 crore, accounting for 17% of the overall impact.

The findings are based on data collected from 200 organizations, encompassing over 5,000 domain takedowns and 16,000 brand-related cyber threat incidents. Additionally, the report references official figures from the Indian Cyber Crime Coordination Centre (I4C), which recorded financial losses of approximately Rs 11,333 crore in the first nine months of 2024, with a significant rise anticipated in 2025.

Beyond financial implications, businesses will also suffer reputational damage, as their names are misused to carry out scams. The report estimates that companies may incur Rs 6,000 crore in costs related to remediation efforts, legal proceedings, customer compensation, and security infrastructure enhancements.

However, individuals are expected to bear the greatest burden of these losses, with personal financial damages projected to reach nearly Rs 14,000 crore in 2025.