The Authority is Nigeria's Investment Promotion Agency for investment into the Free Zone areas in Nigeria . The licensing, monitoring and regulation of Free Zones Scheme in Nigeria is vested on the Nigeria Export Processing Zones Authority by the Nigeria Export Processing Zones' Act 63, of 1992
Several factors are responsible for the adoption of Free Zones Scheme in Nigeria , amongst which are the diversifications of the revenue base of the economy, employment generation and to encourage export through local production.
The enabling Act also confers on the Authority the power to approve and grant all licenses and permits to the exclusion of all other Agencies, enforce obedience and compliance to rules and regulations. In effect, the Act is an omnibus law, which permits the Authority and its Board the power to define the policy directions and provide a One-Stop-Shop business transaction without bureaucracy.