Navigating the Complex Landscape of Data Protection in Bangladesh

The Value of Personal Data in the Modern Economy

In today’s interconnected world, personal information is not just a commodity; it’s a vital resource driving insights across industries, artificial intelligence models, and digital platforms. However, the misuse or inadequately protected handling of this data poses severe risks, including financial loss, reputational damage, and legal repercussions. As businesses thrive on data, the challenge remains: how can they protect customer information while adhering to regulatory frameworks?

Global Standards: The GDPR and Its Global Footprint

The General Data Protection Regulation (GDPR) established by the European Union has set a gold standard for data protection. It mandates strict guidelines for companies that handle personal data belonging to EU citizens, even those operating outside its borders. This has created a universal understanding that robust safeguards for privacy are paramount not only for individual rights but also for the stability of economic systems.

Bangladesh: Between Digital Advancement and Regulatory Uncertainty

In stark contrast, Bangladesh finds itself at a crossroads, grappling with the challenges of digital modernization and underdeveloped data regulations. Citizens increasingly generate vast amounts of data through e-commerce, fintech, and social media. For Bangladeshi entrepreneurs, particularly those in technology and service sectors, this treasure trove of information is crucial for competitiveness. Yet, the existing laws designed to protect this data remain rudimentary, leaving businesses exposed to risks and uncertainties.

Historical Context: Privacy Protections in Bangladesh

Historically, privacy protections were fragmented and only partially covered under the Information and Communication Technology Act and the Digital Security Act. Unfortunately, these laws emphasized cybercrime and national security over comprehensive data protection measures such as lawful processing and data minimization. Consequently, businesses and individuals have experienced anxiety over their digital security, and the urgency for more robust regulations has become increasingly evident.

The Personal Data Protection Ordinance of 2025: A Step Forward

In response to this pressing need, the government introduced the Personal Data Protection Ordinance of 2025, a legislation designed to be inclusive of all organizations handling personal data within and outside Bangladesh. The ordinance aims to empower individuals with rights to access, correct, and delete their data while assigning clear responsibilities to data storage and processing entities. However, questions about compliance remain, particularly regarding detailed guidelines and enforcement mechanisms.

Uncertainties Surrounding Compliance

Regulatory communications have yet to clarify what specific objectives organizations must meet in terms of compliance. Businesses are left in limbo, struggling to decipher their responsibilities without explicit guidelines on breach notifications, record-keeping standards, or consent requirements. As a result, many perceive compliance as a risk management exercise rather than an integrated aspect of their operational strategy.

The Constitutional Right to Privacy: An Oversight?

While Article 43 of Bangladesh’s constitution recognizes the right to privacy, it often remains overshadowed by broader security concerns. Current digital security laws prioritize state oversight and monitoring, further compounding the uncertainties for journalists, businesses, and individual citizens. The regulatory framework should ideally emphasize both privacy rights and the need for security, yet this balance remains elusive.

The Need for an Independent Regulatory Body

Unlike GDPR, which mandates an independent authority to oversee data protection practices, Bangladesh’s legal framework lacks such a body. This absence raises concerns about fairness and erodes business confidence as state agencies often assume dual roles as both regulators and prosecutors. This overlap could lead to unfair treatment and uneven enforcement of laws.

Global Trade Implications: The Risk of Isolation

As Bangladesh strives to integrate into the global marketplace, its non-compliance with international data protection standards presents a significant barrier. Businesses could find themselves unable to transmit or receive data across borders due to inadequate adherence to essential principles like transparency and legitimate processing. The lag in aligning with international conventions such as the OECD privacy guidelines inevitably places Bangladeshi companies at a competitive disadvantage.

Challenges in Semantic Clarity

Although the Personal Data Protection Ordinance represents a significant policy shift, the lack of clear definitions for critical terms like "personal data" and "consent" could lead to subjective enforcement. The regulatory ambiguity disproportionately benefits state surveillance capabilities, which could result in expansive interpretations of what constitutes lawful data processing.

Legal Resources: Limitations in Enforcement

Compounding the issue is the limited capacity of Bangladesh’s judicial and regulatory bodies. Without sufficient resources, conflicts are often resolved away from established privacy laws, leaving businesses uncertain about what legal protections are in place. This inconsistency undermines trust and exacerbates fears of overreach, especially given past experiences where broad restrictions failed to safeguard rights effectively.

Growing Awareness and Dialogue

There are indications of a burgeoning recognition of digital rights among the populace. Ongoing discussions among civil society groups, legal scholars, and the government aim to promote privacy as a fundamental right. However, participation from technology companies and consumer advocacy groups remains insufficient, with criticisms emerging about the draft legislation’s alignment with international standards.

The Necessity of Clear Guidelines and International Compliance

The absence of explicit legal provisions for privacy rights hampers progress not only for businesses but for individual liberties. If the state fails to prioritize data privacy, consumers remain at risk, and businesses face heightened compliance challenges. To prevent falling behind in global data ecosystems, a robust framework for data protection is vital for Bangladesh’s future.

Emphasizing the Importance of Data Privacy

For business leaders in Bangladesh, cultivating customer trust hinges on establishing privacy as a core element of their operational framework. As international clients demand compliance with recognized privacy standards, uncertainty in regulation could undermine business potential and violate individuals’ rights. Ensuring comprehensive data privacy can fortify enterprises against competitive threats and safeguard the fundamental right to privacy for all citizens.

Samanta Azrin Prapty is a legal researcher specializing in international commercial law, with a focus on the intricacies of data protection and privacy rights in emerging markets like Bangladesh.