Question
Which of the following are the objectives of SEZ Act?
i. Generation of additional economic activity ii. Promotion of exports of goods and services iii. Promotion of investment from domestic and foreign sourcesSolution
India was one of the first in Asia to recognize the effectiveness of the Export Processing Zone (EPZ) model in promoting exports, with Asia's first EPZ set up in Kandla in 1965. With a view to overcome the shortcomings experienced on account of the multiplicity of controls and clearances; absence of world-class infrastructure, and an unstable fiscal regime and with a view to attract larger foreign investments in India, the Special Economic Zones (SEZs) Policy was announced in April 2000. After extensive consultations, the SEZ Act, 2005, supported by SEZ Rules, came into effect on 10th February 2006, providing for drastic simplification of procedures and for single window clearance on matters relating to central as well as state governments.  The main objectives of the SEZ Act are: •Generation of additional economic activity •Promotion of exports of goods and services •Promotion of investment from domestic and foreign sources •Creation of employment opportunities •Development of infrastructure facilities
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