Special Economic Zones (SEZs) have proliferated rapidly during
the past decade and are set to multiply in the next - embracing not
only Asia and Europe but also Africa and the Americas. This book is
the first to examine the Asian experience of SEZs in China, India,
Malaysia and the Philippines. SEZs are usually clearly defined
geographic areas in which national, provincial or local governments
use policy tools (such as tax holidays; improved infrastructure;
less onerous or differentiated regulations and incentives other
than those generally available in the rest of the country) to
attract and promote private - usually foreign - investment from
enterprises which commit to create employment and to export their
products or services, and generating foreign currency for the host
country. SEZs have been especially successful in bringing about
economic development in Asia, especially in China.
This book examines the origins, nature and status of special
economic zones in Asia, together with the current trends connected
with them, and the challenges they currently face. Although the
World Trade Organisation cast doubts in 1995 on the future of
special economic zones as a viable policy tool in the development
agenda, special economic zones continue to be used, and favoured,
as a way of encouraging foreign investment and economic
development, with for example India, trying to emulate China,
reincorporating special economic zones into its development policy.
This book provides regional case studies of SEZs in Asian market
economies to analyse the extent to which these zones serve the
changing needs of Asian development.
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