Abu Dhabi: Abu Dhabi Global Market (ADGM), the leading international financial center, has adopted an Addendum (ADGM Addendum) to the European Commission’s Standard Contractual Clauses (EU SCCs) for personal data transfers.
In a pioneering move, ADGM has become the first in the region to issue this Addendum to the EU clauses. The primary objective of the Addendum is to offer vital support to ADGM businesses that operate within ADGM and have data transfers involving individuals’ information.
This is particularly important because global data protection and privacy laws, including the ADGM Data Protection Regulations, impose restrictions on cross-border transfers without an appropriate safeguard.
Following this initiative, organizations will be able to use the ADGM Addendum as a transfer mechanism to comply with the ADGM Data Protection Regulations where the organization has already implemented the EU SCCs. With this initiative, businesses can minimize duplication and remove additional compliance obligations, benefiting both SMEs and large ADGM entities that rely on existing safeguards provided by the EU SCCs.
Mr. Sami Mohammed, ADGM’s Commissioner of Data Protection, remarked that, “Data transfers underpin today’s globalised and interconnected societies. International data flows are crucial for many businesses in ADGM, as an international financial centre. The Office of Data Protection is always looking for opportunities to support businesses whilst upholding individual rights.”
“ADGM entities applying the EU standard clauses can now utilise the ADGM Addendum as an appropriate safeguard under our Data Protection Regulations 2021. This Addendum not only facilitates cross-border transfers but also reduces costs, duplication, and effort by ADGM entities,” Mr. Mohammed added.
In addition, the Office of Data Protection has issued supplementary guidelines to support businesses in implementing the Addendum to their existing EU SCCs.