Why NDPA Compliance is Essential for Your Company’s Survival
In today’s digital age, the protection of personal data and sensitive information has become a critical concern for organisations operating in Nigeria. With the increasing amount of data being collected and stored, it’s essential for organisations to comply with regulations such as the Nigeria Data Protection Act (NDPA) to ensure the proper handling and protection of this information.
There are numerous benefits to data protection compliance, not just for the individuals whose information is being protected, but for the organisations themselves. Let’s take a closer look at these benefits.
Protection of Sensitive Information
The primary benefit of data protection compliance is the protection of sensitive information, such as personal data and financial information. This includes information such as names, addresses, National Identification Numbers, and credit card numbers. Compliance with data protection regulations, such as the NDPA, ensures that this information is properly secured and only accessed by authorized individuals.
Prevention of Costly Fines and Legal Penalties
Organisations that are not compliant with data protection regulations can face significant financial penalties, as well as damage to their reputation. The NDPA, signed into law in June 2023, empowers the Nigeria Data Protection Commission (NDPC) to impose fines of up to 2% of an organisation’s annual gross revenue or ₦10 million, whichever is higher, for non-compliance. Compliance with regulations such as the NDPA can help organisations avoid these penalties and protect their bottom line.
Building Trust and Credibility
Data protection compliance also helps organizations to build trust and credibility with customers, partners, and other stakeholders. When organisations demonstrate their commitment to protecting personal data and sensitive information, they can gain the trust and confidence of their customers and other stakeholders. This can lead to increased business and revenue opportunities.
Improved Management and Control of Information Flow
Compliance with data protection regulations also helps organizations to better manage and control the flow of information within their organization. This includes processes for collecting, storing, and sharing personal data, as well as for destroying data when it is no longer needed. Compliance with data protection regulations helps organisations to ensure that personal data is handled in a responsible and secure manner.
Penalties for Non-Compliance
Non-compliance with data protection regulations can have severe consequences. Beyond the immediate financial penalties, organisations may face long-term reputational damage and loss of customer trust. The NDPA emphasizes the importance of sustainable data management practices, ensuring that organisations not only comply with current regulations but also adopt forward-thinking strategies to protect data in the future.
Relevant Deadlines
Organisations must conduct annual data protection audits and submit their reports to the NDPC by March 15th of each year. Failure to meet these deadlines can result in additional penalties and increased scrutiny from regulatory bodies.
Stransact: Your Partner for Data Protection Compliance
At Stransact, we understand the importance of data protection and are dedicated to helping organisations achieve and maintain compliance with the NDPA. Our firm is certified by the Nigeria Data Protection Commission (NDPC) as a Data Protection Compliance Organisation (DPCO) and we perform compliance audits for firms to ensure their systems are secure and are protecting data adequately.
Our team of experts has the knowledge and experience necessary to guide organisations through the compliance process and ensure they meet all the requirements. We take the time to understand our client’s unique needs and tailor our services accordingly to provide the best possible outcome.
Contact Us
Contact us today to learn more about our compliance audit services and how we can help your organisation protect personal data and sensitive information. Our goal is to make the compliance process as smooth and stress-free as possible for our clients, so they can focus on growing their business. Send an email to [email protected]
Conclusion
Data protection compliance is essential for organizations operating in Nigeria. It protects sensitive information, prevents costly fines and legal penalties, builds trust and credibility with customers and stakeholders, and improves the management and control of information flow. At Stransact, we are committed to helping organizations achieve and maintain compliance with the NDPA and are ready to assist you with your compliance needs.