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What's New in Mexico
by David Baird Lynne Bairstow
Throughout 2006, a presidential election year, Mexico displayed a kind of economic and social stability that it never had in the past. Though the economy has structural problems that will be difficult to correct, things are working well enough to make both the common Mexican and the Wall Street investor hopeful for the near future of the country. The inflation rate is comparable to that of developed economies, and growth has been steady, if not spectacular.
For visitors, this means that they can go ahead and plan their Mexican vacadon in advance without having to worry about the unknown—except when it comes to the weather. Three powerful hurricanes struck Mexico in 2005; Emily, Stan, and Wilma hit between July and October, killing 75 people and causing more than $2 billion in damage. Wilma severely damaged Canciins hotels and washed away many sections of the area's beaches.
But, in spite of the climate-related challenges it faced, Mexico posted a record-breaking year for tourism in 2005, with marked increases in international tourism revenue and arrivals that outpaced positive global tourism trends in 2005. According to statistics released by Mexico s Tourism Secretariat (SECTUR), Mexico received almost 22 million international visitors in 2005, a 6.5% increase in comparison to 2004. Revenue generated by international tourists reached a historic high of nearly $120 billion by the close of 2005, 10% higher than 2004's
revenue of $ 11 billion. Hotel occupancy registered a national average of 58%, a half percentage point higher than in 2004.
PLANNING YOUR TRIP TO MEXICO The Intelligence Reform and Terrorism Prevention Act of 2004 requires that by January 1, 2008, travelers to and from the Caribbean, Bermuda, Panama, Mexico, and Canada have a passport or other secure, accepted document to enter or reenter the United States. As of December 31, 2006, this requirement will apply to all air and sea travel to or from Mexico.
Internadonal tourists to Mexico will be able to make tax-free purchases while vacationing starting on July 1, 2006, thanks to a law recently passed by Mexico's Congress. The new law will grant international visitors a full refund of the tax added to purchases if the buyer adheres to certain criteria. The merchandise must be purchased in Mexico and verified by airport or seaport Customs, and be verified with a receipt presented at time of departure to be worth at least 1,200 Mexican pesos (approximately US$110 at current exchange rates). Reimbursement to tourists will be contingent upon any added costs a possible return may generate.
Here are the highlights on new flight services to Mexico:
• Mexicana Airlines (www.mexicana. com) introduced nonstop service from Baldmore to Mexico City, beginning in December 2005.