Budget 2025: IT Ministry allocates Rs 5 crore to Data Protection Board

The Ministry of Electronics and Information Technology (MeitY) has significantly bolstered the Data Protection Board of India (DPBI) with a 2.5-fold increase in its budget for FY26. The total allocation now stands at ₹5 crore, signaling a strong government commitment to data protection, as per reports.

Of that amount, ₹50 lakh will be used for capital expenditure, including the development of key infrastructure like the DPBI's digital portal. The remaining ₹4.5 crore is designated for revenue expenditure, covering operational costs such as salaries and other essential expenses.

The Data Protection Board (DPB) is essential for implementing the Digital Personal Data Protection Act, 2023, which was gazetted in August 2023. MeitY's draft data protection rules, released for consultation on January 3, propose a phased implementation, starting with DPB-related provisions.

IT Minister Ashwini Vaishnaw has indicated that the final data protection rules are expected to be notified by mid-year. Following the release of draft rules, both government and private sector entities will have approximately 24 months to achieve compliance, according to the Minister and IT Secretary S Krishnan.

The Digital Personal Data Protection Act mandates the creation of a "digital by design" Data Protection Board (DPB), operating primarily as a digital office. The DPB will be comprised of a chairperson and members, the number of which will be determined by the central government. Appointments will be for a two-year term, with salaries also set by the central government. The DPB will have the authority to direct data fiduciaries to take corrective action in response to personal data breaches or user complaints.