Personal Data Protection Bill, 2023, Comes with a Penalty of Up to $ 2 Million for Data Breach

Data protection and online privacy are two of the most critical issues of the digital era. Realizing their significance, the federal cabinet recently approved the “Personal Data Protection Bill, 2023”.

According to the bill, anyone found guilty of processing, disseminating, or disclosing personal data violating the “Personal Data Protection Bill, 2023” may face a fine of up to $2 million.

The Purpose of the Personal Data Protection Bill, 2023

The “Personal Data Protection Bill, 2023” controls how personal information is collected, processed, used, disclosed, and transferred. It protects people’s data and includes rules to punish anyone who violates someone’s privacy rights.

After the National Assembly approves the bill, the federal government will create a commission called the National Commission for Personal Data Protection (NCPDP) of Pakistan within six months of the Act’s implementation.

This bill explains how personal data can be used, like how it’s collected, stored, and shared by the government, organizations, and individuals. They can only use it for specific reasons mentioned in this Bill, and they have to take necessary precautions and follow the rules outlined here.

Why Is The Data Protection Bill Significant?

  1. Safeguarding Privacy: The bill aims to protect individuals’ data, ensure their privacy, and prevent unauthorized access or misuse.
  2. Boosting Digital Economy: With increased data protection, people will feel more confident engaging in online activities, promoting e-commerce, and fostering a stronger digital economy.
  3. Trust in Technology: The bill builds trust among citizens regarding data handling by companies, the government, and organizations, encouraging more people to embrace technology.
  4. International Data Transfers: Compliance with data protection standards will facilitate secure data exchanges with other countries, promoting international collaboration.
  5. Curbing Cybercrimes: Strengthening data protection measures can help in the fight against cybercrimes and data breaches.
  6. Empowering Individuals: The bill gives people more control over their data and the right to access and correct their information.
  7. Global Business Relations: Complying with data protection standards improves Pakistan’s standing in global business relations, attracting foreign investments and partnerships.
  8. Government Accountability: The bill establishes clear guidelines for government bodies, making them more accountable for handling citizens’ data.
  9. Improved Data Security: Implementation of the bill encourages organizations to ensure robust data security measures, reducing the risk of data breaches.
  10. Consumer Confidence: Increased data protection instills consumer confidence, leading to stronger customer loyalty and satisfaction.
  11. Human Rights Protection: Protecting personal data is linked to safeguarding human rights and ensuring fundamental rights and freedoms are respected in the digital age.

Personal Data Protection Bill 2023 Draft:

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