Free Economic Zones (FEZs) are designated areas within a country where businesses can operate with fewer regulations and lower taxes. These zones aim to attract foreign investment, boost trade, and create jobs by providing incentives such as tax breaks and simplified customs procedures. FEZs often focus on specific industries, such as manufacturing or technology, to promote economic growth. Countries like China and United Arab Emirates have successfully implemented FEZs, leading to increased economic activity and development in those regions.