Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/242877 
Year of Publication: 
2020
Series/Report no.: 
Working Paper No. 398
Publisher: 
Indian Council for Research on International Economic Relations (ICRIER), New Delhi
Abstract: 
With a large pool of engineers and scientists, the presence of over 9300 technology-based startups and its strengths in exports of information technology/information technology-enabled services (IT/ITeS), India is uniquely placed to become a global technology and innovation hub. Yet there is a fear that Indian companies may not be able to access and monetise the data generated in the country and there can be national security, governance, and privacy issues. The debate on "data localisation" has gathered momentum in the last five years as India tries to design its own regulations; globally, too, many countries have imposed some form of data localisation measures. With the onset of the novel coronavirus (COVID-19) pandemic, services like healthcare, retail and education are online and there has been a change in data regulations in several countries to access and share sensitive patient data across borders for research/clinical trials. As the traditional model of trade, consisting of exchange of goods and labour mobility, stands disrupted, cross-border data flows are gaining traction. The Government of India has also actively engaged in data sharing, public-private partnerships and joint research to tackle the pandemic. This paper, using secondary data and a primary survey, presents the changing perceptions of stakeholders related to data localisation - before and during COVID-19. It assesses India's strength in manufacturing and exports (goods and services). It analyses how the discussions on data localisation evolved in the G20 and identifies commonalities and differences across G20 countries. It identifies the challenges for India, makes recommendations for the upcoming G20 Saudi Presidency, and looks at how India can leverage on its strengths as it takes over the G20 Presidency in 2022.
Subjects: 
data localisation
trade
pandemic
services
technology
G20
JEL: 
F01
F10
F13
I18
Document Type: 
Working Paper

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