Jakarta: Indonesia on Thursday denied warnings that the transfer of personal data agreed upon in a trade deal with the United States this week would put people's rights at risk. After weeks of negotiations, the White House announced an agreement with Jakarta that reduced tariffs on US-bound goods from the Southeast Asian nation, lowering them from 32 percent to 19 percent.
According to Bangladesh Sangbad Sangstha, US President Donald Trump stated that the reduction in tariffs was in return for significant purchase commitments from Jakarta, including the acquisition of 50 Boeing jets. The White House noted on Tuesday that Indonesia had also pledged to remove barriers impacting digital trade and would ensure certainty regarding the transfer of personal data to the US. Jakarta indicated that negotiations on the specific details were ongoing.
However, experts have raised concerns that the personal data transfer to a foreign country could further weaken Indonesia's data protection measures. Bhima Yudhistira Adhinegara, executive director of the Center of Economic and Law Studies, highlighted the complexities that could arise if there were any data leaks or improper use, emphasizing that addressing such issues would be more complicated if the data resided in another country. He pointed out that some American companies had expressed frustration with the Indonesian digital payment system, Quick Response Code Indonesian Standard (QRIS), feeling it did not adequately benefit their interests. Bhima suggested that the tariff deal would grant these companies access to Indonesian citizens' data.
Despite these concerns, Jakarta reassured the public about the safety of the data transfer system. Digital Communication Minister Meutia Hafidz stated, "The government assures that the data transfer to the US will not be carried out carelessly. On the contrary, the whole process will be conducted within a secure and reliable data governance framework." She further assured that data transfers between countries would remain under the stringent supervision of Indonesian authorities, conducted with high caution and in compliance with national law.