Mexico's Acapulco Hopes for Rebound as Virus, Violence Drop

Members of Mexico's National Guard keep watch during the reopening of the beaches and hotels after confinement measures were eased this week, in Acapulco, Mexico July 2, 2020. (Reuters)
Members of Mexico's National Guard keep watch during the reopening of the beaches and hotels after confinement measures were eased this week, in Acapulco, Mexico July 2, 2020. (Reuters)
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Mexico's Acapulco Hopes for Rebound as Virus, Violence Drop

Members of Mexico's National Guard keep watch during the reopening of the beaches and hotels after confinement measures were eased this week, in Acapulco, Mexico July 2, 2020. (Reuters)
Members of Mexico's National Guard keep watch during the reopening of the beaches and hotels after confinement measures were eased this week, in Acapulco, Mexico July 2, 2020. (Reuters)

Mexico’s Pacific coast resort of Acapulco is putting its hopes on a return of tourists as the number of coronavirus cases drops and the violence that drove travelers away slowly declines.

The governor of the state of Guerrero said Friday that hotels will now be allowed to accept guests at 40% capacity, up from 30% previously under pandemic restrictions. Gov. Hector Astudillo bragged that Acapulco has reduced the number of COVID-19 deaths to an average of 9.6 per day and alleviated the overcrowding that plagued the city's hospitals earlier in the pandemic.

The city, once ranked as the fifth most deadly in Mexico, has fallen to 44th place. Homicides were down about 20% in the first half of 2020, compared to the same period of 2019.

President Andrés Manuel López Obrador visited the once-glamorous resort Friday and pledged to fix pollution problems that affect the resort’s famous bay.

“We are going to clean up Acapulco, we are going to clean up the bay so that there is no more pollution. That is my commitment,” he said. In June, heavy rains caused storm drains to overflow, sending sewage and waste into the bay.

Unlike most experts, López Obrador predicted a quick end to the pandemic.

“What I feel — my prediction — is that soon, very soon, we will return to normality,” the president said. “Economic activity is returning, tourism is returning to Acapulco, but I predict that in a month, two months, we will have very favorable conditions.”

Even if those predictions are fulfilled, it will still be a long road back for Mexico’s battered tourism industry. In the first quarter, tourism revenues were down 51.5% and figures for the second quarter are certain to be worse.

With about 800,000 hotel rooms, Mexico's has the world's seventh-largest hotel infrastructure. In 2018, tourism accounted for 8.7% of Mexico's GDP and provided about 2.3 million jobs.

Many of those jobs have evaporated in the pandemic. Even under the best-case scenario, if travel alerts were lifted — Mexico currently has the highest “do not travel” alert from the US State Department — hotels in Mexico would end the year with only about 47% occupancy, on average.



Indian Minister to Asharq Al-Awsat: We Expect Steady Growth in Tourism Between New Delhi and Riyadh

Saudi Minister of Culture Prince Badr bin Abdullah bin Farhan holding talks with India’s Minister of Tourism and Culture Gajendra Singh Shekhawat,X)
Saudi Minister of Culture Prince Badr bin Abdullah bin Farhan holding talks with India’s Minister of Tourism and Culture Gajendra Singh Shekhawat,X)
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Indian Minister to Asharq Al-Awsat: We Expect Steady Growth in Tourism Between New Delhi and Riyadh

Saudi Minister of Culture Prince Badr bin Abdullah bin Farhan holding talks with India’s Minister of Tourism and Culture Gajendra Singh Shekhawat,X)
Saudi Minister of Culture Prince Badr bin Abdullah bin Farhan holding talks with India’s Minister of Tourism and Culture Gajendra Singh Shekhawat,X)

India’s Minister of Tourism and Culture Gajendra Singh Shekhawat said he was optimistic about the future of tourism ties between his country and Saudi Arabia, saying that many young Saudis choose India as a favored tourist destination, while a good number of Indian tourists traveled to Saudi Arabia last year, expecting further steady growth in this movement over the coming years.

Building on this, he affirmed his country’s commitment to establishing broad practical cooperation with Riyadh, covering key sectors including economy, culture, and tourism. He also highlighted a set of challenges facing the global tourism sector, calling for joint governmental efforts to strengthen its resilience and adopt sustainability principles.

Speaking to Asharq Al-Awsat on the sidelines of the UN Tourism 26th General Assembly in Riyadh, the Indian minister said that global tourism is undergoing a major transformation that requires “stronger collaboration between governments and industry to enhance resilience, embrace sustainability, and ensure benefits are shared widely.” He looked forward to launching future joint production projects and initiatives with Saudi Arabia.

On this occasion, he congratulated Saudi Arabia for their successful hosting of the Assembly this year, noting that he had seized the opportunity to interact with his counterpart Ministers in Tourism and Culture during the visit, and to visit some prominent historical and cultural sites in the Kingdom.

Challenges Facing the Sector

The Indian minister acknowledged that the global tourism sector is going under a period of adjustment and facing multiple interconnected challenges, while international travel has rebounded post-pandemic, with many destinations still suffering from staff shortages, limited air connectivity, and uneven business recovery.

He added that climate change continues to pressure the sector to adopt sustainable practices, while geopolitical tensions and safety concerns affect traveler confidence. Tourists increasingly seek meaningful, tech-driven, and eco-conscious experiences, prompting destinations to rethink their travel offerings. Popular destinations face over-tourism, whereas emerging ones often lack the infrastructure for responsible growth. Persistent issues also include skills shortages, slow digital adoption among smaller operators, and the need for more inclusive and accessible tourism.

Tourism’s Economic Contribution

Regarding the size and economic contribution of tourism in India, and the steps taken by the Indian government to attract more foreign tourists, Shekhawat said that India is a prominent tourist destination and has shown consistent growth over the last few years.

He added that tourism contributes about 5% of the total GDP and supports close to 80 million direct and indirect jobs, serving as a principal source of foreign exchange earnings.

Shekhawat noted that his government has launched comprehensive reforms and focused investments to grow the tourism sector, including visa reforms, destination development, emphasis on healthcare and wellness tourism, and international partnerships.

He confirmed that India has opened the e-visa process where Saudi nationals can apply online and receive tourism visa within 72 hours.

India–Saudi Cooperation

Shekhawat emphasized that India and Saudi Arabia share deep-rooted cultural and historical ties based on centuries of exchange, trade, and people-to-people connections, stressing that cultural and tourism cooperation remain key pillars of our strategic partnership.

He said: “To further strengthen this bond, a Ministerial Committee on Tourism and Cultural Cooperation was established under the India–Saudi Arabia Strategic Partnership Council during the State Visit of Hon’ble Prime Minister of India to the Kingdom in April 2025.”

The Minister added: “During my current visit, I had a fruitful meeting with Saudi Minister of Culture, HH Prince Badr bin Abdullah bin Farhan Al-Saud and we also signed an MoU on Cultural Cooperation between our two countries. We discussed ways to enhance our cultural ties, promote exchanges between our cultural institutions, and intensify participation in each other’s cultural events and festival.”

Shekhawat concluded: “Many young Saudis choose India as a favored tourist destination, and a good number of Indian tourists traveled to Saudi Arabia last year. We expect these numbers to grow steadily over the coming years.”


Saudi Industrial Production Index Increases by 9.3% in September

GASTAT said Saudi Arabia’s Industrial Production Index for September 2025 rose by 9.3%. SPA
GASTAT said Saudi Arabia’s Industrial Production Index for September 2025 rose by 9.3%. SPA
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Saudi Industrial Production Index Increases by 9.3% in September

GASTAT said Saudi Arabia’s Industrial Production Index for September 2025 rose by 9.3%. SPA
GASTAT said Saudi Arabia’s Industrial Production Index for September 2025 rose by 9.3%. SPA

The General Authority for Statistics (GASTAT) announced on Monday that Saudi Arabia’s Industrial Production Index for September 2025 rose by 9.3% compared to the same month last year.

Compared to September 2024, the sub-indices for mining and quarrying and for manufacturing activities rose by 11.0% and 6.3%, respectively.

The sub-index for electricity, gas, steam, and air conditioning supply increased by 12.6%, while the sub-index for water supply, sewerage, waste management, and remediation activities grew by 9.2%.

The oil activities index increased by 10.1%, while the non-oil activities index rose by 7.3% compared to September 2024.


Riyadh, Ottawa Launch Foreign Investment Agreement and Reactivate Joint Commission

The Saudi Minister of Investment meets with the Canadian Minister of Trade. Asharq A-Awsat
The Saudi Minister of Investment meets with the Canadian Minister of Trade. Asharq A-Awsat
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Riyadh, Ottawa Launch Foreign Investment Agreement and Reactivate Joint Commission

The Saudi Minister of Investment meets with the Canadian Minister of Trade. Asharq A-Awsat
The Saudi Minister of Investment meets with the Canadian Minister of Trade. Asharq A-Awsat

Saudi Arabia and Canada have launched negotiations on a Foreign Investment and Protection Agreement in the Canadian capital, Ottawa, a move reflecting the shared commitment to strengthening bilateral economic relations.

The talks coincided with a visit by a high-level Saudi delegation led by the Minister of Investment, Eng. Khalid Al-Falih, during which both sides announced the reactivation of the Joint Economic Commission.

These developments are gaining significant momentum, supported by Canada’s endorsement of Saudi Vision 2030 and the two countries’ willingness to expand their economic partnership across vital and non-oil sectors.

The Canadian Ambassador to Saudi Arabia, Jean-Philippe Linteau, told Asharq Al-Awsat that Canada was thrilled to welcome Al-Falih.

“His meetings with Prime Minister Mark Carney, Minister of Trade Maninder Sidhu and Foreign Minister Anita Anand, as well as with senior Canadian business leaders, were a clear illustration of Canada’s desire to grow the economic partnership between Saudi Arabia and Canada,” said Linteau.

The diplomat added that “there is growing momentum because of Canada’s support for the Kingdom’s Vision 2030 goals and the visit helped advance key engagement on trade and investment as well as partnerships in sectors such as education, mining, AI and infrastructure.”

In 2024, Saudi Arabia was Canada’s largest merchandise trading partner in the Middle East. Two-way merchandise trade between the two countries in 2024 was valued at approximately $4.1 billion.

Over 150 Canadian companies are active in Saudi Arabia, offering competitive solutions in artificial intelligence and frontier technology, healthcare, infrastructure, mining, defense products, and creative industries.

During their meeting in Ottawa, Sidhu and Al-Falih announced the launch of negotiations for a Foreign Investment and Protection Agreement between Canada and Saudi Arabia. They also announced the reactivation of the Joint Economic Commission, a treaty-based mechanism to promote trade and economic initiatives of mutual benefit.

Sidhu and Al-Falih welcomed the October 23 signing of a memorandum of understanding between Export Development Canada and the Saudi EXIM Bank.

The increased partnership between Canada and Saudi Arabia will boost business opportunities, increase bilateral trade and unlock export opportunities and investments in Canadian and Saudi Arabian companies alike.

The two ministers also discussed future strategic sector partnerships between Canadian and Saudi Arabian companies, including in the areas of artificial intelligence and frontier technologies, healthcare, infrastructure, mining, defense, and creative industries.

They also met with business leaders and industry stakeholders, participated in a business round table with Invest in Canada and focused on deepening Canada-Saudi relations by highlighting commercial success stories between Canadian and Saudi companies.

“Saudi Arabia is an important market for Canada as our largest bilateral merchandise trading partner in the Middle East. We’re committed to advancing economic cooperation and mutually beneficial investment opportunities to foster greater commercial prosperity for Canadians and Saudis,” Sidhu said in a statement.

“I look forward to strengthening the relationship between our two countries and promoting continued cooperation for our businesses, industries and workers,” he added.