Evaluating the effectiveness of Saudi Arabia’s PDPL in the global digital economy

Abstract

Saudi Arabia’s Personal Data Protection Law (PDPL) is a major milestone in bringing the Kingdom’s regulatory environment in line with global data protection norms. Although drawing inspiration from the European Union (EU) General Data Protection Regulation (GDPR), the PDPL presents unique provisions aligned with Saudi Arabia’s national interests, such as stringent data localisation requirements and increased regulatory control. This paper critically evaluates the PDPL’s effects on enterprises, compliance with regulations and international investment, with emphasis on the difficulties faced by multinational companies in adjusting to Saudi Arabia’s changing data governance environment. One of the areas of emphasis is enforcement bodies of the Saudi Data and Artificial Intelligence Authority (SDAIA) and the National Data Management Office (NDMO), determining if they have the authority and means to enforce compliance. Further, this research delves into whether the PDPL promotes trust within Saudi Arabia’s digital economy or imposes regulatory impediments that might discourage international cooperation. By locating the PDPL in a larger international context, this analysis yields insights into its efficacy as a model of data protection within the Middle East and its far-reaching implications for digital transformation through Vision 2030. This article is also included in The Business & Management Collection which can be accessed at https://hstalks.com/business/.