xiv
Foreword
survey and case study research. It provides compelling evidence on the factors that determine success in SEZ programs, and charts the performance of a representative sample of African SEZs against regional and global standards. Although for the most part the performance of SEZs has been relatively disappointing, the book’s analysis also reveals much heterogeneity in the effectiveness of SEZs, both in Africa and around the world. This diversity—in terms of objectives, institutional approaches, and operational models—suggests opportunities. The Export Processing Zone models that were at the heart of the success of traditional zone programs in East Asia and Latin America during the 1970s through the 1990s are no longer relevant in the postcrisis world; they are likely to fail in Africa. But by focusing on comparative advantage and on integration—with national industrial policies, among government institutions and the private sector, and between zones and domestic markets—SEZs have the potential to contribute to improving Africa’s competitiveness and its integration with the global economy, thereby helping to create jobs and raising incomes. This book provides a wealth of information for researchers, policy makers, and the development community at large. As the World Bank Group continues its efforts to support investment, job creation, and industrial development in Africa and in low-income countries around the world, it is critical that we build on such evidence-based analysis to assist with the consideration, design, and implementation of potentially valuable but complex policy instruments like SEZs. This book makes a valuable contribution to that effort. Bernard Hoekman Director, International Trade Department World Bank