Special Economic Zones in Developing Countries: Challenges and Opportunities for Zimbabwe.

Abstract

The concept of Special Economic Zones (SEZs) being adopted by Government is a positive move towards economic development. SEZs are areas granted special privileges in a country specifically for economic development through foreign business persons to invest into that country. The privileges include special investment policies such as tax easing, financial support and issuance of work permits and special support in infrastructure. Major businesses which usually fall under SEZs are manufacturing, agriculture, commerce, tourism. If implemented accordingly, they assist in employment creation and economic development. There is need to ensure that laws and regulations which address issues of gender, working conditions, human rights and security are well expounded and put into place to avoid their failure. It should be noted that creation of SEZs should not be viewed as a substitute for the country’s large trade and investments reforms as these may lead to total failure of trade policy.