Government think tank Niti Aayog today called for a comprehensive framework on data protection specially covering digital transactions.
“Currently, India has no comprehensive privacy or data protection laws that cover digital payments specifically. An existing law for data protection, section 43(A) of the Information Technology Act (ITA), offers basic protection,” Niti Aayog said in its three-year action plan.
The recommendation coincides with the Supreme Court order declaring right to privacy as fundamental right. In the judgement, the apex court too has expressed concern over data privacy of people.
“Data related to digital transactions could be sold and the consequences would be unpredictable. Increasing the number of digital transactions also means the generation of data around these transactions,” the report said.
The report acknowledged that from a transparency perspective, the additional data will help with better governance and prevent tax evasion.
“However, without any clear guidelines on ownership, use and sharing of the data, there is a large scope for misuse. This should be addressed as early as possible as an increasing number of people transact digitally,” the report said.