Special economic zones in Ecuador and the needfor reform of their regulation

Abstract

This paper will analyze the effectiveness that special economic zones have had in Ecuador, both with the Law of Free Zones and with the Organic Code of Production, Trade, and Investment. In particular, the model of the Special Economic Development Zone contemplated in this law, as well as the need for a regulatory reform regarding the special economic zones in Ecuadorian legislation.
Thus, this topic will be discussed from the point of view of the impact that these have had in different countries around the world and how to replicate its impact in Ecuador, which could benefit the Ecuadorian economy. In addition, it will analyze the so-called Special Economic Development Zones currently in force, their limitations, and the need to improve this figure to obtain results similar to
those obtained by other countries. In conclusion, this analysis has determined the urgent need for regulatory reform to improve the model of special economic zones in Ecuador. The difficulties surrounding their authorization process and the various types that can be established in the country call for reform. Additionally, the incentives for development activities in these zones must be enhanced
to attract new investments and contribute to the growth of the country’s economy.

Keywords: Economy, special economic zones, free trade zone, special economic development zone, investment,
regulatory reform