A plan to create special self-governing zones for foreign investors in Honduras has been thrown into limbo with the new government's repeal of a law many criticized as surrendering sovereignty.
The zones were inspired by libertarian and free-market thinkers as a way to draw foreign 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. They were authorized by a constitutional amendment and an enabling law passed in 2013.
