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Congress Of Honduras Approves Repeal Of Special Economic Zones Which May Lead To Investor-State Disputes

May 5, 2022

On April 21, 2022, the Congress of Honduras unanimously repealed the law which allowed for the creation of special economic zones with their own autonomous legislation and exempted from certain taxes, known as Zones for Employment and Economic Development. This law was enacted in 2013 to attract and promote foreign investment in the country, and the Congress' recent decision has now left ZEDE's investors and administrators in a legal limbo.

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