Risk Assessment Guideline for Transferring Personal Data Outside the Kingdom – Third Phase: Risk Assessment for Data Transfer or Disclosure to Entities Outside the Kingdom specifically addresses the risks that arise when personal data is transferred or disclosed to entities located outside Saudi Arabia. Before transferring data, organizations must confirm that such a transfer qualifies under risk assessment triggers set by law, especially if it involves sensitive data or occurs frequently or at scale.
Once triggered, the risk assessment must build upon earlier phases (Preparation and Impact Analysis) and consider several new elements, including the nature of the transfer (e.g., remote access or external storage), the type of recipient entity (including its data protection controls and jurisdiction), and the adequacy of existing or new safeguards that mitigate identified risks.
This phase ensures organizations properly assess whether foreign data transfers meet legal requirements, how risky they are, and whether the recipient can be trusted.
Third Phase: Risk Assessment for Data Transfer or Disclosure to Entities Outside the Kingdom
This phase includes the steps required to assess the risks of transferring or disclosing personal data to entities outside the Kingdom. During this phase, entities should adhere to the following steps:
Third Phase: Risk Assessment for Data Transfer or Disclosure to Entities Outside the Kingdom (1)
Risk assessment procedures for the transfer or disclosure of personal data are mandatory: The obligation to assess the risks associated with the transfer or disclosure of personal data must be verified by determining the presence of any conditions outlined in Paragraph (1) of Article (VII) of the Regulations, as detailed below:
a. Transfer of personal data outside the Kingdom or disclosure to entities outside the Kingdom, as specified in Article (IV) of the Regulations.
b. Transfer sensitive data outside the Kingdom or disclose it to entities outside the Kingdom on a continuous or large scale.
Third Phase: Risk Assessment for Data Transfer or Disclosure to Entities Outside the Kingdom (2)
If the procedures and steps outlined in Clauses (I) and (II) above are not carried out, they must first be executed, then reviewed, and subsequently the previous steps in Clauses (I) and (II) should be specified (Since the subsequent steps rely on the previous steps outlined in Sections (I) and (II) above, the effectiveness of the guideline depends on ensuring the consistency and integration of these steps to achieve its intended purpose.), taking into account the following aspects (additional elements related to transfer or disclosure outside the Kingdom):
a. Nature of Data Transfer or Disclosure: The nature of data transfer or disclosure involves analyzing phases of transferring or disclosing personal data to entities outside the Kingdom. This includes remote access, collecting personal data for transfer and processing abroad, collecting data of individuals in the Kingdom from external entities, storing or retaining data outside the Kingdom, transferring data for storage or processing outside the Kingdom, and disclosing data to external parties. It also considers the frequency of these operations, their scope regarding categories of data holders, as well as the content of the personal data.
b. Entities Receiving Transferred Personal Data: Verifying the compliance of entities receiving disclosed personal data with the provisions of the Law and its Implementing Regulations, particularly those related to disclosure, transit, and subsequent transfer. This includes evaluating the adequacy of the standards and technical measures implemented by the entity to ensure data security, as well as the legal regulations governing the entity/entities to which the personal data will be transferred.
Third Phase: Risk Assessment for Data Transfer or Disclosure to Entities Outside the Kingdom (3)
Evaluating the adequacy of measures implemented to reduce negative impacts and potential risks, or identifying and applying additional measures to mitigate risk levels.
Explanation of Third Phase: Risk Assessment for Data Transfer or Disclosure to Entities Outside the Kingdom
Legal conditions first:
Risk Assessment Guideline for Transferring Personal Data Outside the Kingdom – Third Phase says to determine if the transfer meets PDPL thresholds for mandatory risk assessment—especially for sensitive data or large-scale cross-border transfers.
Don’t skip earlier work:
Risk Assessment Guideline for Transferring Personal Data Outside the Kingdom – Third Phase also says to ensure Phases I and II (Preparation and Impact Analysis) are completed, reviewed, and form the foundation for this phase.
Understand transfer flow:
Risk Assessment Guideline for Transferring Personal Data Outside the Kingdom – Third Phase also says to map the type, frequency, and scale of transfers, including remote access, offshore processing, and external disclosures
Can they be trusted?
Risk Assessment Guideline for Transferring Personal Data Outside the Kingdom – Third Phase also says to assess whether the recipient has adequate technical and legal safeguards under their local laws and internal practices.
Are controls enough?
Risk Assessment Guideline for Transferring Personal Data Outside the Kingdom – Third Phase also says to review existing mitigation measures and, if needed, identify and implement additional technical, legal, or organizational protections.
