The UAE’s Ministry of Economy has emphasised its commitment to raising the awareness of the country’s private sector on the stringent provisions of European Union’s General Data Protection Regulation.

Juma Mohammed Al Kait, assistant undersecretary for foreign trade at the Ministry of Economy, noted that the regulation issued by the EU aims to protect the data of every individual in the EU. This does not only impact the companies operating in European countries, but includes all institutions and companies that conduct business, trade and investment activities within EU countries, including the UAE business sector linked with European trade relations.

Due to this, the ministry is working on deepening its knowledge about the new legislation, its provisions and requirements, and aims to reconcile its operational procedures with European authorities, in adherence with the framework of the GDPR, before May 2018, he said.

Al Kait emphasised that the EU is one of the UAE’s most important trade partners. Trade between the two sides generated $65.8 billion in 2016 alone. The UAE has become one of the top 10 destinations for EU exports, and is home to over 41,000 European companies, in addition to over 121,000 EU citizens.

The legislation outlines a non-compliance penalty of up to 4 per cent of a company’s annual turnover, and €20 million as the maximum fine for more serious offences, including failure to attain client consent when processing data, or the violation of privacy. Penalties are also applied to information controllers and processors, including cloud software companies.

The new legislation also outlines terms of approval for the use of data, to prevent companies from using legally illegitimate terms, and gives both parties the ability to easily withdraw if desired, said Al Kait. – TradeArabia News Service