The federal government has bowed to pressure from the technology and banking lobbies and scrubbed rules that would prevent data from the nation’s digital identity scheme being hosted outside of Australia.
The proposed requirements have been quietly stripped from the Australian Government Digital Identity System (AGDIS), which is set to expand across the economy following the passage of landmark laws earlier this year.
The Draft Digital ID Rules complementing the legislation passed with the support of the Greens and a handful of independents, had proposed data localisation as the default position for the scheme last year.
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