Honduran economic zones in ‘limbo’ after government repeal

By MARLON GONZÁLEZ
Associated Press

TEGUCIGALPA, Honduras (AP) — A plan to create special self-governing zones for foreign investors in Honduras has been thrown into limbo because the new government has repealed a law many criticized as surrendering sovereignty. The zones were inspired by libertarian thinkers as a way to draw investment to the impoverished country. They not only were free from import and export taxes, but could set up their own internal forms of government, as well as courts, security forces, schools and even social security systems. Critics were worried that the zones could become nearly independent statelets. President Xiomara Castro has now signed a measure passed by Honduras’ Congress to repeal it.