Special Economic Development Zone (ZEDE) of a binational nature Ecuador-Colombia: analysis of legal feasibility

Abstract

The Ecuadorian and Colombian regulations governing the special economic development zones are analyzed, and the current and non-current regulatory frameworks in both countries are described, identifying challenges, similarities and differences that infer in its implementation. The focus of the research is qualitative of descriptive and documentary type, under the analysis of Ecuadorian and Colombian regulations. It is concluded that, despite the common objectives and tax incentives, the lack of institutional articulation and legal uncertainty make it difficult for a Special Economic Development Zone (ZEDE) to become a reality between Tulcán and Ipiales. Recommendations related to strengthening solid binational cooperation are proposed considering a border, inclusive and sustainable development model. From an economic point of view, tariff preferences would lead to a strengthening of activities and an increase in investment, that with a joint ZEDE of both cantons they would contribute to the progress, development and good living of the inhabitants. Although both countries are part of the Andean Community of Nations integration process, limitations persist in the application of the regulatory framework, which restricts its real effects on the well-being of the population.