Kidnappers demand ₦48bn, abduct 4,722 in one year – SBM Intelligence
A new report reveals that Nigeria’s insecurity crisis has created a “ransom economy,” with kidnap-for-ransom operations now a structured, profit-driven industry.
The report by SBM Intelligence covers the period from July 2024 to June 2025 and shows that at least 4,722 people were abducted in 997 incidents nationwide. Kidnappers demanded nearly ₦48 billion in ransom and received confirmed payments of ₦2.57 billion ($1.66 million).
The think tank warns that ransom payments are hurting household incomes, damaging business confidence, raising costs, and slowing down investment.
The report also highlights how Nigeria’s volatile currency market is impacting kidnappers’ strategies. Even with a sharp increase in naira ransom sums, the naira’s depreciation has reduced the dollar-equivalent earnings for criminal groups.
READ ALSO: Kidnappers abduct lawyer, engineer, demand ₦100 million ransom
For example, ₦653.7 million collected in 2022 was worth $1.13 million, while the ₦2.57 billion collected in the last year only translated to $1.66 million. To counteract this, criminal groups are inflating their ransom demands, much like businesses adjust prices for inflation.
Hotspots and Broader Economic Impact
The Northwest region has become the most dangerous area for residents and businesses, accounting for 42.6% of incidents and 62.2% of victims. Zamfara State alone recorded over 1,200 victims, with Kaduna and Katsina following closely behind.
This shows that large-scale abduction networks are operating in rural areas with little government control. In contrast, the Southwest is a relative safe haven, with only 5.3% of incidents and 3% of victims.
The report notes that nearly one in four cases are mass abductions, especially in the northern parts of the country. Increasingly, kidnapping is evolving beyond just ransom, with villagers being forced into slave-like labor on bandit-controlled farms and mining sites.
Regional ransom dynamics highlight the sophistication of these criminal gangs. In the South-South, a group in Delta State once demanded a staggering ₦30 billion.
In the Northeast, ransom payments peaked largely because of the ₦766 million reportedly paid for the release of Justice Haruna Mshelia, who was abducted by a group linked to Boko Haram. Insurgent groups are increasingly using kidnapping as a reliable revenue stream to fund logistics, recruitment, and arms.
At least 17 Catholic priests were abducted during the reporting period, with kidnappers demanding ₦460 million and receiving about ₦70 million.
The economic consequences for Nigeria are severe:
Farmers are abandoning their fields or paying “taxes” to armed groups, which is worsening food inflation.
Many businesses are shutting down or scaling back plans due to the high cost of security or informal payments.
Growing insecurity reinforces Nigeria’s image as a risky investment destination.
READ ALSO: Kidnappers demand ₦500,000 to release abducted Islamiya school girl
SBM Intelligence warns that these ransom payments are redirecting money from legitimate households and businesses into criminal networks, further destabilizing the country’s economic growth.
Public trust in security forces has also fallen, with 68% of Nigerians rating their performance poorly. This has led to a rise in vigilante groups, which, while providing some local relief, can complicate security operations and sometimes engage in extortion themselves.
The report’s recommendations include disrupting ransom payment flows, strengthening governance in rural regions, and stabilising the economy. It warns that without action, the line between organised crime and insurgency will continue to blur.
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