Vol. 4 No. 2 (2021): Pakistan Journal of International Affairs


Published 2021-06-30


SEZs are considered as an economic tool since its first introduction but still there exist a very little evidence to date to figure out the factors of its vital outcome and success. This paper is aimed to evaluate different aspects of SEZs by investigating the growth of SEZs in developing and under developed economies of the world. For the generation of economic / business activities and employment opportunities, the investment in Industrial Sector Development is critical and a strong innovative economy can help to address the need for economic growth for targeting poverty and acceleration of socio-economic development. In the past decades number of SEZs has grown from Asia to Europe where SEZs play key role in economic prosperity and internationally most of the countries utilize their SEZs to attract foreign investors which will open the doors of employment for the population. However, not all SEZs play remarkably well like China’s Shenzhen but China’s performance in this area is a bench mark for the entire world as it achieves immense growth through its ventures of SEZs. It is estimated that almost 66m jobs are created by the SEZs all around the World out which almost 30m located at China. In Pakistan CPECis the project,transformingthe Country and opening the doors of new business opportunities, making the country as an internationalinvestmentdestination. The objective of establishing Special economic zones under the China Pakistan economic corridor is to keep the wheel growth moving as it accelerates the pace of social prosperity through surge in trade, expanding export and self-sufficiency by import substitution. With 9 special economic zones (SEZs) under CPEC yet to get operational in Pakistan, it remains to be seen if the government's plan of setting up prioritized SEZs with both Greenfield and Brownfield investment will achieve desired results and not become "land grabbing real estate ventures". This study is an attempt to explore the potential of industrialization along with the policy implications necessary for sustainable growth of these SEZs. Success of these SEZs lie under its legislation, provision of utilities, level of federal autonomy and the flawless management system.Differences in theaffectivity of SEZs are owned bythe particularities of the territories andnaturalendowmentswherethese zones are developed host country labor cost, market size and infrastructure are crucial and the delivery of positive outcome also largely depends on its geographical positions (Alexey Kuznetsov and Olga Kuznetsova, 2019). Establishment of sector specific zones for targeting tourism and agriculture sector development will also support the objective of socio economic development but still need special focus to develop basic infrastructure to attain sustainable development. This study will come up with the best suggested sustainable framework that bring high jumps of growth by contributing in the national output