As rapid digital transformation changes all aspects of daily life, citizens expect their governments to provide better services and policies that deliver on the promises of the digital age. Advances in technology and data-driven approaches can radically change the way governments and citizens interact. Through a strategic use of data, governments can create conditions for improving the quality of public services, increasing the effectiveness of public spending and safeguarding ethical and privacy considerations. A data-driven public sector requires governance mechanisms that favour efficient data handling but also preserve public trust when using data to deliver outcomes.