The Indonesian Post
Coordinating Minister for Economic Affairs Airlangga Hartarto explained the mechanism of the data exchange agreement with the United States (US). He emphasized that the agreement will adhere to national legal regulations and sovereignty, particularly Law Number 27 of 2022 concerning Personal Data Protection (PDP Law). "Regarding personal data, regulations already exist in Indonesia. So, they will only follow the protocol prepared by Indonesia, similar to the protocol implemented in Nongsa Digital Park," Airlangga said, as reported by Antara, Friday (July 25, 2025). He explained that the protocol is being finalized as part of the Indonesia-US commitment in the reciprocal tariff agreement. The agreement, he continued, aims to develop a protocol for cross-border personal data protection. Its finalization will provide legal certainty for cross-border personal data governance. "So, the finalization will determine how to establish a legal, secure, and measurable basis for managing cross-border personal data traffic," he said. Airlangga emphasized that the data processed in the collaboration is not government data, but rather citizen data uploaded when using digital services such as email, Google, Bing, e-commerce platforms, and international payment systems. "So, this data is actually entered by citizens themselves when they access the program. There is no government-to-government data exchange, but how these companies obtain data with the consent of each individual. So, there is no data exchange between governments," he added. Furthermore, Airlangga mentioned that cross-border data has been used in various digital transactions, such as the use of international credit cards and cloud-based services. Therefore, Indonesia considers the importance of establishing strong protection protocols. "We have had the practice of exchanging data during transactions using Mastercard or Visa. But everything is done with a security system, such as OTP verification, KYC (know your customer), and others," he explained. As a form of compliance with national regulations, Airlangga mentioned that 12 US companies have established data centers in Indonesia. The existence of this data center demonstrates that foreign companies are willing to meet Indonesia's data protection standards, including physical and digital security. "So, this means they have also complied with Indonesia's regulations," he said.