The Ministry of IT has not submitted the Personal Data Protection Bill for parliamentary approval despite a looming deadline.
Sources divulged that significant objections from major international companies, part of the Asia Internet Coalition, have posed substantial hurdles.
These companies have warned that the current draft of the bill could deter foreign investment and hinder economic recovery in Pakistan.
Firms like Meta, Google, and X have labeled several provisions of the bill as unacceptable. As a result, they are reluctant to establish data servers in the country and are hesitating on further investments.
Even though platforms like Facebook and YouTube generate billions in revenue from Pakistan, they are unwilling to enhance their physical infrastructure here.
Concerns from these companies include the lack of skilled labor, fast internet, and security guarantees.
A senior Facebook delegation directly communicated their concerns to the prime minister. Key objections include the proposed prohibition on transferring Pakistani citizens' data outside the country and mandatory data localisation, which they argue could stifle foreign investment and increase cybersecurity risks.
Companies had suggested removing the data localization requirement and revising the age limit for data decision-making from 18 to 13, advocating that individuals aged 13 to 18 should have control over their data.
Additionally, they demand the introduction of a cap on penalties for bill violations and express concerns over the extensive powers granted to the National Commission for Personal Data Protection of Pakistan, arguing that it should not have discretionary authority to impose heavy fines.
