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Strategy · 9 min

Special Economic Zones (SEZ): evaluating incentives and risk before entry

SEZs sound like “tax savings”, but HQ teams care more about predictability: governance, compliance, FX and contractual risk.

A practical way to look at SEZs

  • Not only incentives, but conditions: reporting, localization requirements, import/export rules.
  • Jurisdictional risk: counterparties, banking, repatriation, FX perimeter.
  • Operations: infrastructure, logistics, talent availability, security.

Due diligence checklist before a decision

  • Who governs the zone and how entry rules are enforced.
  • Which permits still apply (municipal/sector).
  • Your obligations (capex, jobs, KPIs) and how they’re measured.
  • Banking and tax perimeter for your business model.

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This is general information and not legal/tax advice.