Plans announced in Friday's Throne Speech to draw up draft legislation on electronic data protection will provide a boost to Bermuda's international business community.

Currently international companies that operate in the European Union face restrictions on moving data on EU clients to Bermuda, because the Island does not have equivalent data protection laws. US laws are much less stringent.

The implementation of such laws by Bermuda may see the EU restrictions eased.

Government looked seriously into creating data protection legislation some five years ago, when Renée Webb was the Minister of E-Commerce and Telecommunications.

Since then, the number of international companies has grown, as has their global reach and the amount of data stored electronically on the Island.

More and more, local companies are also using e-commerce.

The theft of large numbers of credit card numbers from the computer systems of major retailers, such as TJ Maxx, by hackers has become a global problem. And it is the e-crime threat that has apparently persuaded Government of the need for data protection laws now.

The relevant line from the Throne Speech reads: "Crime is an increasingly sophisticated business and therefore consultation on draft data protection and privacy legislation will commence during the session."