Special economic zones (SEZ) and Foreign Direct Investments Abstract: For a country to thrive, one of the most key aspects is the relationship with other countries around the world. Coordination of countries help us to build a prosperous society and world at its best. There are many strategies to achieve this goal, however one of the majors is by increasing business, trades between the countries, introducing flexibility of import and export of goods, etc. At this stage, Special economic zone (SEZ) & Foreign Direct Investment (FDI), comes to play. These are the strategies which help strengthen the economy of countries and improve the living conditions of people.