Question

what are the purpose behind setting up of SEZs​

Answer 1

SEZs are located within a country's national borders, and their aims include increased trade balance, employment, increased investment, job creation and effective administration. To encourage businesses to set up in the zone, financial policies are introduced.

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Answer 2

sez's are established to attract mnc's to start up their business in their country, it's main purpose is to earn foreign exchange, government provides all necessary and latest facilities in sezs and also allow some extension of labour laws, mnc's here don't need to pay tax for five years when they put up production unit in sez