What matters is how it is implemented. There are free zones in countries as diverse as the Philippines, Tunisia, Costa Rica and Taiwan. In some places they are the engine of the economic locomotive, in other they are a drag on the local economy. The critics are wrong. Anything that has the potential of generating investments, encouraging entrepreneurship, creating new working places, enhancing exports and improving the balance of payments should be implemented without delay.
Free zones are potentially powerful economic engines of exports and growth and employment.
But our law is very strict on WHO will own and run the free zones. It is also very explicit about the precise functions and procedures to be performed by the authorities intended to ensure that the free zones are not abused. Free zones will be established only where and when they can increase employment, bring new technology and know how to the country and increase exports. Additionally the law says that the businesses operating in the zone must use local manpower and prefer domestic suppliers where economically feasible. This is my favourite part of the law, the one I am most proud of.