Examination of special economic zones’ contribution to sustainable development in South Africa: using coega idz and musina-makhado sez as examples

Abstract

This study investigates the extent to which Special Economic Zones (SEZs) in South Africa— specifically the Coega Industrial Development Zone (IDZ) and the Musina-Makhado Special Economic Zone (MMSEZ)—enable or disable sustainable development. SEZs are often promoted as tools for industrialisation, job creation, and regional growth, yet their socioeconomic and environmental impacts remain contested. The study adopts a qualitative multisite case study approach, focusing primarily on communities adjacent to the SEZs. Due to the COVID-19 pandemic, which restricted mobility and altered community engagement, data collection relied heavily on virtual and socially distanced interviews, complemented by document analysis, observation, and policy review. The methodology was adapted to merge social and economic dimensions, as community perceptions of employment, skills development, and local enterprises’ growth were deeply intertwined. Environmental sustainability was also examined through the lens of livelihoods, recognising that local communities’ well-being depends on access to and management of natural resources. Data was analysed thematically, using Miles and Huberman’s approach, with findings interpreted through the Triple Bottom Line, Institutional Theory, and the Capability Approach.