1. What are ZEDE?
Zones Employment and Economic Development (ZEDE) are a new administrative division of the Republic of Honduras subject to central government and provided with considerable autonomy with its own political, administrative, economic and judicial system, clear market rules that allow high levels of competitiveness. The creation of these same aims to attract investment and create jobs in uninhabited areas of the country or municipalities applying for conversion to ZEDE by referendum (if necessary).
2. What they are not ZEDE?
They ARE NOT: National Territories for sale to foreigners
They ARE NOT: Territories without legal control of the Supreme Court
They ARE NOT: Territories outside the national plan
They ARE NOT: anarchic territory, outside domestic law
They ARE NOT: Territories expel the national population
They ARE NOT: Tax Havens
They ARE NOT: Cities exclusive Model
3. Why create ZEDE?
Due to the favorable strategic geopolitical position we have, and to eliminate:
High levels of unemployment and acute social marginalization prevailing in the country.
Chronic inequality of territorial development
High levels of internal and international migrationd
Pattern of investment into areas of low commercial value (primary products)
Weak exports flow
4. How is a ZEDE created?
Applicants must submit a series of simple requirements that can be seen on this page.
Also it is up to Congress the creation of the Zone for Employment and Economic Development (ZEDE) by decree, in compliance with the following rules:
1) When the area to be declared to be of low population density, it should have the opinion of the National Institute of Statistics (INE) certifying the situation in accordance with the provisions under Article 329 of the Constitution of the Republic; Y,
2) When the area to be declared to be located in an area of high population density, prior to its creation should hold a plebiscite in the area that the area is located, it can be decreed its creation only if the result of the consultation is favorable pursuant to Article 5 of the Constitution of the Republic.
5. What are the legal basis for a ZEDE?
political division of the country (Art 294.):
In addition to the departments and municipalities we have:
Areas subject to special arrangements
Administration of justice (Art. 303)
The ZEDE are subject to the judiciary and courts have exclusive competence in areas of the country subject to special arrangements created by the Constitution of the Republic and other units to bring the law.
6. What are the benefits of a ZEDE?
It is : The best opportunity to grow economically at a rapid pace
It is : The best opportunity to generate jobs of all types and levels
It is the best opportunity to have education and health services first
It is : The best opportunity to create and strengthen the sense of pride and local identity positive
It is : The best opportunity to support the development of the country through the economic contributions
It is the best opportunity to enter into agreements to boost local development
It is the best opportunity to become a center of national and international investment
It is the best opportunity to avoid international migration for employment
7. What is the special status of the ZEDE?
Subject to special tax regime
They must I be economically self-sustaining
Apply the plebiscite and referendum
Enjoy administrative functional autonomy
Congress approves creation
Collapses debentures State
Congress creates / modifies the organic law qualified majority
8. What are the factors opposition to ZEDE?
Fear of competitiveness
Resistance to change
political / ideological interests
9. Who will rule in ZEDE?
Technical Secretary will be chosen by a committee for the Adoption of Best Practices, in turn chosen by the President of the Republic.
10. What is the difference with the previous draft Special Development Regions?
Application of Justice: The Supreme Court appoints the judges through the Judicial Council among the members of a list of candidates proposed by the committee to adopt best practices.
11. Are there other places in the world ZEDE?
They do exist. In fact, they have as a reference the experience of the Special Administrative Regions of China (Hong Kong, Shenzhen, Shanghai Macao), in addition to East and Southeast Asia as it is South Korea (Songdo) and Singapore.
Due to the economic success that these places have had, countries like: Japan, Cuba and North Korea are establishing similar legislation in order to recreate the economic miracle that has happened in the cities mentioned above.
12. Can you freely access any Honduran a ZEDE?
Yes, there is not an impediment prohibiting it, in fact employers are prohibited to employ less than ninety (90) percent of Honduran workers and pay them less than eighty-five (85) percent of total wages They earned in their respective companies.