KSA PDPL Vs EU GDPR: Key Differences And Compliance Implications
Do you know you’re constantly at risk of cyberattacks, and it’s not necessarily because of what you share online? The real danger lies in sharing your personal details with businesses to complete transactions. Whether it’s a banking app or an e-commerce platform, the threat is ever-present in the digital world.
For individuals in the KSA or the EU, robust privacy laws provide strong protections. The data protection and compliance policies in these regions are designed to safeguard citizens' information, ensuring it remains secure from cyberattacks and misuse by third-party vendors and businesses. Let’s delve deeper into these measures.
What is Saudi Arabia’s PDPL?
The Personal Data Protection Law (PDPL), Saudi Arabia’s first data security regulation, came into effect on September 14, 2023. PDPL’s scope extends to foreign organizations that process the personal data of KSA residents.
Under PDPL, companies must grant individuals their data rights and provide clear instructions on how to exercise them. Organizations are also required to adhere to all prescribed principles, conduct regular Data Protection Impact Assessments (DPIAs), and appoint a Data Protection Officer (DPO) to oversee compliance.
What is GDPR?
The General Data Protection Regulation (GDPR) is a comprehensive framework designed to address cyber risks both within and outside the European Union. Passed in April 2016 and enforced in May 2018, GDPR has earned global recognition for its data protection standards. It applies to EU-based companies as well as organizations outside the EU that handle the personal data of EU citizens.
GDPR mandates that companies limit and minimize the storage of personal data, focusing on securely managing only the essential information required for their operations. These measures aim to safeguard citizens from data breaches and other privacy risks. Additionally, GDPR requires organizations to implement security protocols overseen by a designated Data Protection Officer (DPO).
In the realm of data privacy, key regulatory frameworks include the Saudi Personal Data Protection Law (PDPL) and the European General Data Protection Regulation (GDPR). While both aim to protect individuals' personal information and ensure responsible data handling, key differences exist between them—differences that businesses, especially those operating across jurisdictions, need to consider carefully.
Now let us see the comparison between PDPL and GDPR
KSA PDPL | EU GDPR | |
---|---|---|
Scope and Jurisdiction |
Material Scope:
Territorial Scope:
|
Applies to:
|
Consent Requirements |
|
Imposes a number of requirements for obtaining valid consent:
|
Data Subject Rights |
Individuals under PDPL have the
|
Individuals under GDPR have the
|
Data Protection Officers (DPOs) | PDPL does not explicitly mandate the appointment of a Data Protection Officer (DPO). However, organizations are encouraged to have a dedicated individual or team responsible for data protection. | GDPR explicitly requires certain organizations, such as those processing large amounts of sensitive data, to appoint a DPO to oversee data protection efforts and ensure compliance with the law. |
Data Breach Notification | Under PDPL, organizations must notify the relevant authorities in the event of a data breach and inform affected individuals if the breach poses a risk to their privacy or security. | GDPR has stringent rules for breach notification, requiring organizations to notify authorities within 72 hours of becoming aware of the breach, and to inform data subjects if the breach poses a significant risk to their rights and freedoms. |
Cross-Border Data Transfers | Article 29 of the PDPL provides that a controlling entity may only transfer personal data outside the Kingdom, or disclose it to a party outside of the Kingdom, in specific circumstances and after certain conditions are met. | GDPR allows cross-border data transfers to countries deemed to have an adequate level of data protection, or through mechanisms such as Standard Contractual Clauses (SCCs) and Binding Corporate Rules (BCRs). |
Legal Basis for Data Processing | The processing of personal data under PDPL is by obtaining explicit consent from the data subject. However, certain situations allow processing without consent, such as legal obligations, public interest, or safeguarding an individual’s life. | GDPR provides six legal bases for data processing, including consent, contractual necessity, legitimate interests, legal obligations, vital interests, and public interest. |
Principals of processing personal data |
Sets out following principles:
|
Sets out seven principles in Article 5:
|
Enforcement and Authority | The enforcement of PDPL is overseen by Saudi Arabia’s Saudi Data and Artificial Intelligence Authority (SDAIA) and its affiliate National Data Management Office (NDMO). | GDPR is enforced by Data Protection Authorities (DPAs) in each EU member state. These authorities have the power to investigate violations, impose fines, and ensure GDPR compliance across the European Union. |
Penalties and Fines | Violations of PDPL can result in severe penalties, including fines up to 3 million SAR (around $800,000) and imprisonment for up to two years. Repeated violations may result in doubled fines. | GDPR imposes much heavier fines for non-compliance, with penalties up to €20 million or 4% of global annual turnover, whichever is higher. |