Eye on Asia | It is time for a broad debate over data, its use and how it should be regulated

The world is awash in data, yet policymakers are just beginning to develop a system of rules to govern that data. Many Asian nations are transitioning to a data-driven economy built on large, often multinational data sets from individuals, machines, satellites, firms, and governments. Much of this data is personal data, and some of it is in the public domain or obtained by government agencies. However, few nations have organised a public discussion about the use and governance of public and personal data, especially as it flows across borders.

Data is disruptive. While the use of data can improve our quality and standard of living, in recent years, we’ve seen that cross-border data flows can bring down governments, alter the trajectories of firms, international organisations, and treaties, and create other unanticipated spillovers. Given the potential for both positive and negative spillovers, policymakers around the world recognise they must develop some interoperable system of rules to govern and if necessary, restrict certain types of data flows such as disinformation or malware.

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Much of the data flowing across borders is personal data- data about or created by an individual. But in most countries, that same individual has little control over how their data is used. Moreover, the firms that are building these data sets don’t have to let people know what data they have collected, whether it is accurate, and if they will sell this data.

Not surprisingly, many people are concerned by this situation and have demanded that policymakers provide them with both greater control and transparency as to how data is utilised. The European Union General Data Protection Regulation is an example of how governments might regulate such use and grant their citizens greater control over how their personal data is used. While many Asian countries have or are debating such laws, these laws are not interoperable, creating a patchwork of rules that could impede the cross-border data flows that underpin much of trade today.

Meanwhile, many developing countries are not ready for this new age. Although developing countries are rich in data, many developing country officials don’t yet see data as a resource. Without greater understanding of the economic and political use of data, these officials may hoard data or fail to advocate for their citizens’ interest. Their citizens may miss an opportunity to use their data as leverage for development funding or economic diversification.