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Investor Obligations in Special Economic Zones: Legal Status, Typology, and Functional Analysis

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  • Joanna Lam
  • Rui Guo

Abstract

The article discusses various types of investor obligations in special economic zones and examines how they are utilized as instruments for devising development policies. It presents the evolution of regulatory models and practices related to investor obligations in the context of the unilateral character of the legal framework of the zones. The article distinguishes between two types of investor obligations. The first includes commitments focused on quantifiable aspects of economic performance of the investor in the host country, such as the maintenance of a pre-determined level of investment or the creation of a specific number of jobs. The second category of investor obligations is those containing qualitative goals that contribute to the host country’s developmental objectives, such as workforce welfare commitments, environmental standards, and technology transfers. Case studies of Shenzhen, Poland, and Tanzania are analysed to demonstrate how relevant regulatory practices have evolved over time. The case studies are drawn from three different phases of the global proliferation of special economic zones and reflect the regional diversity of the zones.

Suggested Citation

  • Joanna Lam & Rui Guo, 2021. "Investor Obligations in Special Economic Zones: Legal Status, Typology, and Functional Analysis," Journal of International Economic Law, Oxford University Press, vol. 24(2), pages 321-340.
    • Handle: RePEc:oup:jieclw:v:24:y:2021:i:2:p:321-340.
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    File URL: http://hdl.handle.net/10.1093/jiel/jgab011
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