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The data sharing agreement will help strengthen Hong Kong’s position as a regional hub for data storage, especially since mainland companies face restrictions on transfering data outside the country. In particular, the agreement will boost demand for local data centres, given that connecting the GBA requires significant amounts of data exchange and storage.
Under the PDPO, personal data is defined as “any information that relates to an identifiable natural person” and includes name; identification number; location data; online identifier; and factors specific to the physical, physiological, genetic, mental, economic, cultural or social identity of a natural person. It is important to note, however, that the PDPO does not cover privacy matters other than personal data. It is therefore imperative for businesses to understand what the PDPO means by ‘personal data’ so they can comply with its requirements.
Moreover, businesses must also be aware of the penalties they can face for not complying with the PDPO. These include fines up to HK$10 million, injunctions and prosecution. In some cases, even directors and officers may be held liable.
While it remains to be seen how the PDPO will play out in practice, it is clear that the government intends to strengthen its oversight of data users. This is a positive development, but it is vital that businesses continue to seek guidance on the PDPO and how it applies to them. In the meantime, if you’re interested in learning more about the PDPO and how it applies to your business, sign up for our daily digest here. We will never share your details with third parties. We only send one email a day, and you can unsubscribe at any time.
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