The government on Wednesday approved the Personal Data Protection Bill that will spell out a framework for handling of personal data including its processing by public and private entities.
The decision was taken at a cabinet meeting headed by Prime Minister Narendra Modi.
Information and broadcasting minister Prakash Javadekar said the bill will be introduced in Parliament during the current winter session.
The bill is likely to contain broad guidelines on collection, storage and processing of personal data, consent of individuals, penalties and compensation, code of conduct and an enforcement model.
Last week, IT minister Ravi Shankar Prasad said the government will soon introduce a robust and balanced Personal Data Protection Bill in Parliament, adding that India will never compromise on data sovereignty.