Digital drivers of Cross-Border Data Flows: Cybersecurity, Monetization, and Infrastructure in 27 Economies

Cross-border data flows (CBDFs) are increasingly central to the global digital economy, yet governance, institutional, and technological challenges continue to shape their trajectory. This study investigates the determinants of CBDFs by examining the role of cybersecurity readiness, data monetization capacity, and digital infrastructure across 27 economies between 2015 and 2023. Using panel econometric methods, Feasible Generalized Least Squares (FGLS), Panel-Corrected Standard Errors (PCSE), and Granger causality tests, we found that stronger cybersecurity performance and higher levels of software spending significantly promote international data mobility. Conversely, digital infrastructure, proxied by broadband penetration, shows a negative association, reflecting regulatory tightening and localization measures in digitally advanced economies. A cluster-based analysis highlights differences across emerging and mature economies, underscoring the need for context-specific policies. The findings contribute to debates on digital governance and offer practical guidance for policymakers seeking to balance trust, value creation, and openness in the data economy.