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Sovereign Data, Open Borders: India’s Regulatory Architecture for Digital Governance in 2026

UnivColl International Multidisciplinary Research Journal International Open Access, Peer-reviewed, Refereed Journal

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Abstract

In 2026, India’s digital economy stands at a inflection point. With over 900 million internet users and a data-driven economy projected to exceed $1 trillion by 2028, the question of who controls Indian data—and under what conditions it may cross borders—has moved from policy debate to operational reality. This article presents a comprehensive, multi-dimensional analysis of India’s current regulatory architecture for data localisation and digital sovereignty, anchored in the Digital Personal Data Protection Act, 2023 (DPDPA), the draft DPDP Rules, 2025, the constitution of the Data Protection Board of India (2025), and the Supreme Court’s proportionality ruling in Internet Freedom Foundation v. Union of India (2025). It situates India’s approach within a comparative global context, assesses trade-law implications under the WTO and emerging bilateral frameworks, and proposes a flexible, risk-based governance model that reconciles sovereign control with global economic integration. The article argues that India’s future lies not in rigid data walls, but in adaptive, trust-based mechanisms that enable both regulatory autonomy and cross-border innovation. Drawing on constitutional jurisprudence, statutory interpretation, empirical trade data, and international best practices, this study offers a forward-looking blueprint for India’s digital governance in the coming decade.

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Article IDUIMRJ-V2I8-055
Article TypeResearch Article
Volume2
Issue8
Pages8-31
Published10 August 2026
LanguageEnglish
ISSN3108-1460
DOI Prefix10.65919
PublisherUnivColl Publications
Access ModelOpen Access
Peer ReviewDouble-Blind
LicenseCC BY-NC 4.0
Article DOI10.65919/uimrj.2026.v2i8002

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Received 06 May 2026
Accepted 08 June 2026
Published 10 August 2026

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Plagiarism CheckCompleted
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CC BY-NC 4.0

© 2026 The Author(s). The author(s) retain copyright and grant the journal the right of first publication. This work is licensed under the Creative Commons Attribution-NonCommercial 4.0 International License .

How to Cite

Singh, M. (2026). Sovereign Data, Open Borders: India’s Regulatory Architecture for Digital Governance in 2026. UnivColl International Multidisciplinary Research Journal, 2(8), 8-31. https://doi.org/10.65919/uimrj.2026.v2i8002

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No external funding information has been declared unless stated in the published PDF.

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References

Showing first 3 references. Click “Show All References” to view complete list.

  1. 1. Justice K.S. Puttaswamy (Retd.) v. Union of India (2017) 10 SCC 1.
  2. 2. Internet Freedom Foundation v. Union of India (2025) SC, Writ Petition (Civil) No. 123/2024.
  3. 3. Anuradha Bhasin v. Union of India (2020) 3 SCC 637.
  4. 4. Ministry of Electronics and Information Technology (MeitY). (2023). Digital Personal Data Protection Act, 2023. Government of India.
  5. 5. Ministry of Electronics and Information Technology (MeitY). (2025). Draft Digital Personal Data Protection Rules, 2025. Government of India.
  6. 6. Data Protection Board of India (DPB). (2026). Annual Report on Cross-Border Data Transfers. DPB.
  7. 7. Reserve Bank of India (RBI). (2026). Clarification on Payment Data Localisation. RBI Circular No. DPSS.CO.PD.2026/123.
  8. 8. Ministry of Finance. (2026). PLI Scheme for Data Centres and Digital Infrastructure. Government of India.
  9. 9. WTO. (2025). E-Commerce and Digital Trade: India’s Position. WTO Trade Policy Review.
  10. 10. European Parliament. (2016). General Data Protection Regulation (GDPR). Official Journal of the EU.
  11. 11. Chander, A., & Lê, U. P. (2014). Data nationalisation. Emory Law Journal, 64(3), 677-739.
  12. 12. Kuner, C. (2015). Transborder data flows and data privacy law. Oxford University Press.
  13. 13. Singh, P. J. (2019). Data localisation: India's approach and the WTO. World Trade Review, 18(4), 659-682.
  14. 14. UNCTAD. (2021). Digital economy report 2021: Cross-border data flows and development.
  15. 15. World Economic Forum. (2020). Data free flow with trust.
  16. 16. Ministry of Electronics and Information Technology (MeitY). (2026). National AI Mission Framework. Government of India.
  17. 17. OECD. (2025). Digital Economy Outlook 2025. OECD Publishing.
  18. 18. Reserve Bank of India. (2018). Storage of Payment System Data: Directions. RBI Circular No. DPSS.CO.PD.2018/123.

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