The Special Economic Zones (SEZs) are considered to be the drivers of growth for an economy. It is considered a tool for growth, development, rising exports and employment generation. It is an instrument that attracts Foreign Direct Investment (FDI) into the economy. The role of policy makers is considered to be the most important to make sure that all these objectives of SEZs are achieved. The government has provided various incentives in the form of single window clearance mechanism to reduce the bureaucratic delays, tax concessions, providing land at cheaper rates, duty free import of materials, 100% FDI via automatic route except for some items, exemption from Minimum Alternate Tax, the benefit of external commercial borrowings up to a certain limit etc. There is a need to develop sustainably so that the future of the economy is not endangered.