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Home / Blog / Blog / Cross-Border Data Transfers Under the NDPA: What Nigerian DPOs Must Fix Now

Cross-Border Data Transfers Under the NDPA: What Nigerian DPOs Must Fix Now

By admin-DPO inBlog

The Nigeria Data Protection Act (NDPA) 2023 has fundamentally altered how organisations handle cross-border data transfers, and Data Protection Officers across the country are scrambling to close compliance gaps that could attract hefty penalties. If you’re a Nigerian DPO still operating on assumptions from the pre-NDPA era, you are sitting on a regulatory time bomb.

The NDPA doesn’t prohibit international data transfer but it demands rigorous safeguards that most organisations haven’t implemented. Section 42 establishes that personal data can only leave Nigeria’s borders when the destination country offers adequate protection levels, or when specific derogations apply. The Nigeria Data Protection Commission (NDPC) determines adequacy, and here’s the problem: very few countries have received this stamp of approval. Without an adequacy decision, you need alternative mechanisms, and this is where DPOs are dropping the ball.

Standard contractual clauses represent the most practical solution for most organisations. These are binding commitments that require active management. Your SCC must address data security obligations, specify permissible processing purposes, establish audit rights, and outline remedies for data subjects. 

The adequacy assessment itself deserves serious attention. Before transferring data to any jurisdiction, DPOs must conduct transfer impact assessments evaluating the recipient country’s legal framework, enforcement mechanisms, and surveillance practices. Can data subjects enforce their rights there? What happens if government agencies demand access? These are not theoretical questions. There is a need for documented due diligence. Without this assessment, your legal basis crumbles under scrutiny.

Consent presents another minefield. Organisations casually collecting consent for international transfers often fail the NDPA’s specificity requirements. Generic consent buried in page-long privacy policies won’t survive regulatory review. Data subjects must receive clear information about which countries will receive their data, why the transfer is necessary, and what risks exist when adequate protection is not guaranteed. Your consent mechanism needs to be granular.

Binding corporate rules offer elegant solutions for multinationals, but implementation remains rare in Nigeria. BCRs and other transfer instruments require NDPC’s approval, comprehensive internal policies, enforcement mechanisms, and regular compliance audits. The upfront investment intimidates organisations, yet BCRs provide legal certainty that patchwork solutions cannot match. A forward-thinking DPO would explore this route, particularly if his organisations maintain substantial international operations.

The derogations under Section 43 provide limited relief for specific situations such as contractual necessity, legal claims, public interest, or explicit consent. But DPOs are abusing these exceptions, treating them as loopholes rather than narrowly-defined circumstances. Claiming contractual necessity for every vendor relationship won’t hold up. These derogations apply only when no alternative exists and the transfer is occasional, not systematic.

Documentation failures represent the most common compliance gap. Even organisations with reasonable transfer mechanisms often lack proper records. The NDPA mandates detailed documentation of all cross-border transfers, including purposes, recipients, destination countries, safeguards applied, and risk assessments conducted. During investigations, incomplete records trigger immediate concerns about broader compliance failures. Your documentation should tell a complete story of due diligence, not raise more questions.

Vendor management demands immediate attention. Third-party processors handling Nigerian data from foreign jurisdictions must meet NDPA standards regardless of their location. Your contracts need explicit data protection obligations, processing restrictions, security requirements, and audit provisions. Vendor due diligence is not optional. It is your liability if their practices violate the NDPA.

The enforcement landscape is becoming stronger. The NDPC has demonstrated willingness to impose substantial penalties for data protection violations, and cross-border transfer failures are highly visible infractions. Organisations discovered transferring data without adequate safeguards face fines up to 2% of annual gross revenue or ₦10 million, whichever is greater.

Nigerian DPOs must move beyond checkbox compliance. Conduct comprehensive transfer mapping exercises, implement robust safeguard mechanisms, document everything, and train teams on transfer requirements. The regulatory grace period is over.

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