Coronation Gives Tourism Boost, but UK Economy Still Reeling

A façade mimicking the 1953 Coronation decor by Oliver Messel, decorates the Dorchester Hotel in London, Thursday, April 20, 2023. (AP)
A façade mimicking the 1953 Coronation decor by Oliver Messel, decorates the Dorchester Hotel in London, Thursday, April 20, 2023. (AP)
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Coronation Gives Tourism Boost, but UK Economy Still Reeling

A façade mimicking the 1953 Coronation decor by Oliver Messel, decorates the Dorchester Hotel in London, Thursday, April 20, 2023. (AP)
A façade mimicking the 1953 Coronation decor by Oliver Messel, decorates the Dorchester Hotel in London, Thursday, April 20, 2023. (AP)

Kelly Curto is taking her first trip outside the US, and the die-hard fan of the British royal family is making it the one at the top of her bucket list — heading to London for King Charles III's coronation.

After arriving on May 5, the 44-year-old school bus driver from Long Island and a friend will head to the Mall, the ceremonial avenue to Buckingham Palace where the monarch's pomp-filled procession will pass by the following day.

That's where they plan to spend the night if they can find a good spot to glimpse the gilded horse-drawn state coach, royals and thousands of soldiers filing past — despite splurging on a four-star hotel for their nine-day trip.

"This is like a once-in-a-lifetime opportunity. You get to be part of history," Curto said. "Everybody around the world knows this family. Everybody around the world is going to be watching this coronation — and we get to be a part of that."

The coronation is luring royal enthusiasts fascinated by the ceremonial spectacle — and drama — of the monarchy and far-flung visitors eager to experience a piece of British history. Tour companies, shops and restaurants are rolling out the red carpet, whether it’s a decked-out bus tour of London’s top sights with high tea or merchandise running from regal to kitschy.

The weekend of events starting May 6 will bring a cash infusion to central London businesses, especially hotels, pubs and restaurants, but it won’t do much for UK residents struggling with an economy on the precipice of recession and a cost-of-living crisis that has stirred months of disruptive strikes by workers seeking pay hikes.

For visitors looking to splash out, hotels across London are touting coronation-themed packages, menus and decor.

Those willing to spend an eye-popping 12,995 pounds (over $16,000) can get an overnight stay in the Royal Suite at the five-star Hotel Cafe Royal and a limo ride to the Tower of London for a private tour and viewing of the Crown Jewels.

The Dorchester Hotel, long a favorite with royals and celebrities, concocted a lavish, five-tier coronation cake and put up theater-style draping across its facade to re-create the decorations that it used to mark Queen Elizabeth II’s coronation in 1953.

Many international visitors are drawn by the idea of a "beautiful fairytale" about "the royals and everything that is around them," general manager Luca Virgilio said.

"So there’s a lot of love and a lot of interest. And we are sold out already, which is very encouraging," he said.

The Royal Lancaster Hotel near Hyde Park is serving afternoon tea inspired by Charles’ favorites: roast beef sandwiches, darjeeling tea and damson plum mousse.

The spread features a darjeeling tea cake shaped like crown atop a crimson cushion, while the hotel bar serves a coronation cocktail: a martini with a splash of darjeeling tea, trimmed with gold leaf.

For a different twist, Annie Verhaert, 64, and daughter Claudia Lombaert, 30, from Belgium, boarded a vintage red double-decker bus strung with Union Jack flags for a coronation-themed tour that hits landmarks like Big Ben and Trafalgar Square.

On the way, they sipped tea — using cupholders to prevent spills — and snacked on finger sandwiches and pastries like the "royal scone" from a menu a former royal butler curated for tour operator Brigit’s Bakery.

"We knew the queen all our life," Verhaert said. "And it’s now the first time we see a change on the throne. So it’s special."

And souvenirs are in no short supply, including tea towels, socks, dessert plates and other paraphernalia with coronation insignia from the Royal Collection Trust, purveyor of official memorabilia.

Unofficial merchandise also abounds at shops in tourist areas, with Charles' likeness crudely emblazoned on tote bags, coasters and teabag holders or coronation-branded pens, tins of fudge and playing cards offering more upscale options. Even more items show his mother, who died in September after 70 years on the throne, on everything from mugs to bobblehead figures.

Officials have high hopes that the coronation will provide a vital boost to the country’s tourism industry, which is still reeling from two years of COVID-19 shutdowns. The UK received some 29.7 million visits last year, still nearly a third below 2019.

"Events like this really kick-start the recovery, don’t they? And they put Britain on the world stage again," said Patricia Yates, chief executive of the VisitBritain tourism board.

Queen Elizabeth II’s Platinum Jubilee celebrations last year brought in an extra 2.6 million visitors to London, she said, and Charles’ coronation is expected to have a similar effect.

History, heritage and the royals are the biggest draw for international tourists, Yates said, and royal pageantry is a particular magnet for Americans, who are driving the UK’s tourism recovery.

"We can see a 10% increase in flight bookings through May from the America market," she said. "The big question mark is, of course, China, which was our second-most-valuable market and still not coming back quite in the numbers we would like to see."

The coronation's wider impact on Britain’s economy is less clear.

Tax revenue will get a boost from extra retail spending for parties nationwide. Pubs will be allowed to stay open two hours longer May 5-6.

However, organizing the coronation has a huge cost that some reports estimate could run as high as 100 million pounds, and an extra public holiday on May 8 means a lost day of productivity.

So while the hospitality industry benefits, "the flipside of that is that by giving everybody an extra day off, you’re taking quite a bit of output out of the economy in quite a lot of other sectors," said Andrew Goodwin of Oxford Economics.

The British economy has been essentially stagnant since the start of last year as decades-high inflation squeezes households and small businesses. The International Monetary Fund expects UK output to shrink by the most of any major economy this year.

To keep up with the soaring cost of living, nurses, teachers, postal workers and others have been striking for higher wages. Security guards at Heathrow Airport plan to walk off the job starting May 5, threatening to disrupt travel for the coronation.

"There’s a lot of headwinds that the economy has to battle," Goodwin said.

Brand Finance says the monarchy boosts the UK economy to the tune of 500 million pounds a year, more than making up for the estimated 350 million pounds it costs taxpayers.

However, that boon is less than a third of the London-based consultancy's 2017 forecast. CEO David Haigh blamed the plunge in value on a "disastrous six years" for the royal family, including a scandal involving Prince Andrew, a string of gaffes by minor royals and Harry and Meghan falling out with the family.

Still, "going forward, we still believe that the monarchy generates more in terms of revenue for the UK economy than it costs," Haigh said.

The royals certainly are drawing Curto, who will stay with a friend at the Wellington Blue Orchid hotel in London at a cost of about 3,000 pounds.

They plan to visit Hampton Court Palace, Westminster Abbey, the Tower of London and make day trips to Oxford and the Cotswolds. It won’t be cheap, but Curto won't be pinching pence.

"I plan on enjoying myself without limits," she said. "I know London is an expensive city, so I’m prepared to spend a fair amount."



Iraq Oil Output Exceeds 5 million bpd

Majnoon oil field near the Iraqi city of Basra (Reuters)
Majnoon oil field near the Iraqi city of Basra (Reuters)
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Iraq Oil Output Exceeds 5 million bpd

Majnoon oil field near the Iraqi city of Basra (Reuters)
Majnoon oil field near the Iraqi city of Basra (Reuters)

Iraq produces more than 5 million barrels of oil per day (bpd), Oil Minister Basim Mohammed told state news agency INA on Saturday.

According to Reuters, Iraq is pushing for a higher OPEC production quota as the economic fallout from the Iran war and new investment by oil majors increase pressure on Baghdad to boost output, potentially putting it at odds with the producer group.

The conflict has hit Iraq particularly hard, forcing major export cuts and depriving the state of oil revenue, which accounted for 88% of government income last year.


IMF: Any Slowdown in AI-driven Growth Would be Factor for Central Banks

IMF Managing Director Kristalina Georgieva speaks during the Annual Meetings Plenary at the Annual Meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) at the Queen Sirikit National Convention Center (QSNCC) in Bangkok on October 16, 2026. (Photo by Lillian SUWANRUMPHA / AFP)
IMF Managing Director Kristalina Georgieva speaks during the Annual Meetings Plenary at the Annual Meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) at the Queen Sirikit National Convention Center (QSNCC) in Bangkok on October 16, 2026. (Photo by Lillian SUWANRUMPHA / AFP)
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IMF: Any Slowdown in AI-driven Growth Would be Factor for Central Banks

IMF Managing Director Kristalina Georgieva speaks during the Annual Meetings Plenary at the Annual Meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) at the Queen Sirikit National Convention Center (QSNCC) in Bangkok on October 16, 2026. (Photo by Lillian SUWANRUMPHA / AFP)
IMF Managing Director Kristalina Georgieva speaks during the Annual Meetings Plenary at the Annual Meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) at the Queen Sirikit National Convention Center (QSNCC) in Bangkok on October 16, 2026. (Photo by Lillian SUWANRUMPHA / AFP)

Central bankers around the world would need to consider any slowdown in AI-driven growth as they assess steps in their fight against inflation, International Monetary Fund Managing Director Kristalina Georgieva said on Friday.

Georgieva said concerns about dependence on the AI investment boom and high valuations were impacting markets around the world.

"Things are going up and down, and this is likely to continue," she told an audience at IMF headquarters in Washington, adding that the volatility would complicate the job of central banks at a time when risks to price stability had been growing.

A steep rout in technology stocks on Thursday rippled through markets on fears that ⁠the Democrats' victory ⁠in the US midterm elections would increase regulatory scrutiny of AI and slow the data center build-out, sending investors to the safety of bonds.

The political jitters are hitting an AI trade already on shaky footing due to worry about return on massive spending on AI-related infrastructure, with the meltdown spurring margin calls and spooking retail investors and hedge ⁠funds alike.

Georgieva said the AI investment boom was lifting growth in some countries, helping to offset a negative oil-supply shock triggered by the war in the Middle East, but it was also adding to inflationary pressures and financial stability concerns.

The IMF last month flagged significant growth and financial stability risks from a potential ending of the AI investment boom, among other factors, including a prolonged Middle East war. At the time, it warned that a steep drop in AI investment could lead to a sharp fall in asset prices, ultimately cutting global GDP ⁠by 1.1% ⁠by 2028, including a 1.8% drop in US output.

Georgieva did not repeat the downside forecast on Friday, but acknowledged the recent market volatility.

"Should there be a slowdown in the AI-driven growth impulse, it would need to be factored in as central banks assess the necessary steps in the fight against stubborn inflation," she said.

Democrats are planning to unleash a flood of new legislation targeting artificial intelligence systems and data-center development when they take control of the US Congress in January, Reuters reported on Friday, citing congressional aides and advocates.

That would mark a sharp shift from the Republican-led Congress, where lawmakers largely focused on promoting AI development and declined to pass legislation restricting the technology.


World Food Prices Dip in October, but Remain Higher Than a Year Ago

A worker carries loaves of bread for sale at a bakery in the capital city of Cairo, Egypt November 4, 2026. (Reuters)
A worker carries loaves of bread for sale at a bakery in the capital city of Cairo, Egypt November 4, 2026. (Reuters)
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World Food Prices Dip in October, but Remain Higher Than a Year Ago

A worker carries loaves of bread for sale at a bakery in the capital city of Cairo, Egypt November 4, 2026. (Reuters)
A worker carries loaves of bread for sale at a bakery in the capital city of Cairo, Egypt November 4, 2026. (Reuters)

World food prices edged lower in October as weaker import demand contributed to monthly declines in cereal, dairy and meat prices, but were still nearly 6% higher than a year earlier, the United Nations' Food and Agriculture Organization said on Friday.

The FAO Food Price Index, which tracks monthly changes in international prices for a basket of food commodities, ‌averaged 133.9 points ‌in October, down from a revised ‌135.6 ⁠in September.

The index ⁠was 5.9% higher than a year earlier, but remained 16.4% below its March 2022 peak.

FAO's cereal price index fell 4.5% from September and was 12.6% lower than a year ago, as wheat and maize quotations declined. Wheat prices eased on weak import demand ⁠and improved production prospects, especially in Argentina.

"Expectations of ‌easing constraints on Black ‌Sea export flows added to the downward pressure on prices, ‌although continued disruptions to Black Sea logistics limited the decline," ‌FAO said in a statement.

Maize prices also eased after reaching a three-year high in September, pressured by the US harvest, expectations of ample supplies in South America and renewed ‌prospects of easing tensions in the Black Sea region.

Vegetable oil prices edged up 0.3%, ⁠as ⁠higher soybean and sunflower oil prices more than offset a fall in rapeseed oil prices.

Sugar prices rose 6.6%, their fourth straight monthly increase, to the highest level since December 2024, after rainfall disrupted harvesting in Brazil. They were now 28.8% above a year ago.

The dairy index fell 1.1%, as lower butter and cheese prices linked to ample supplies and subdued demand outweighed gains in milk powder.

The meat index declined 1.2%, while still slightly above its year-earlier level, as ovine and bovine meat prices fell.