Banks, Others Pay N200 Million for Data Privacy Breaches as Tinubu Signs New Law

The Federal Government has received over N200 million from seven banks and other institutions for violating the data privacy of Nigerians, the National Commissioner of the Nigeria Data Protection Commission (NDPC), Dr Vincent Olatunji, said yesterday.

He made this disclosure at the headquarters of the Commission in Abuja, following the signing of the Commission’s Act by President Bola Tinubu. The Act empowers the Commission to regulate and enforce data protection in Nigeria.

Olatunji said the penalties were imposed after thorough investigations by the Commission on over 100 private sector institutions that breached the personal data of Nigerians within the past one year.

He gave examples of data breaches that affected bank customers who could not access their funds or had their money stolen due to wrong or compromised data capture. He also said a private university and some insurance companies were being investigated for data breaches.

Olatunji warned that with the new law, data processors and controllers must have Data Protection Officers (DPOs) in their organisations to ensure compliance with the data protection principles and standards.

He explained that the new law would not only boost the nation’s digital economy, but also enhance its global recognition and reputation in the digital space. He said Nigeria would join other countries that have enacted data protection laws to protect their citizens’ rights and interests.

Dr Olatunji also warned that Chief Executive Officers of Ministries, Departments and Agencies (MDAs) of government would be held liable and prosecuted for data privacy breaches committed by their institutions under the new law. He noted that compliance with the data privacy law has improved from four per cent to nine per cent by MDAs.

Speaking further on the benefits of the new law, Dr Olatunji said it would help to achieve President Tinubu’s promise to create one million jobs in the digital economy sector. He said 500, 000 jobs would be created in the data protection ecosystem alone.

He said: “We have crossed a significant threshold in the frontiers of the 4th Industrial Revolution; we now have a principal legislation that lays down the duty of care and standard of care expected of everyone in the data processing ecosystem: The Nigeria Data Protection Act (NDPA) 2023.

“This law will inspire trust and confidence for jobs to be created in the digital economy sector. As you are aware, His Excellency, President Bola Ahmed Tinubu, GCFR, has set an achievable target of creating one million jobs through this sector. He has signed the data protection law that will enable us to deliver on this target. Accordingly, measures are being put in place to create 500, 000 jobs in the data protection ecosystem. This is 50 per cent of the job creation target for the sector.”

Newsflash Nigeria is an online newspaper that is developed and written exclusively for Nigerians. It’s packed with up-to-the-minute Local and National Economy News, Share & Capital Market, Health, Sports, Education, Technology, Business and Opinions.

To make further advert enquiries or place an order, please contact us at [email protected] and +2348053316946 and WhatsApp number 08033546732