From Perth Now

MEXICO plans to invest 180 billion pesos ($A14.84 billion) in tourism infrastructure to turn the country into a global power in the industry, President Enrique Pe’a Nieto says.

“Mexico has everything necessary to become a tourism power at the global level,” the president told industry leaders gathered at the 39th Tourism Fair in the Caribbean resort city of Cancun on Wednesday.

Travel agency representatives, tourism industry executives and officials from all levels of government listened as Pe’a Nieto discussed Mexico’s advantages in terms of natural beauty, cultural offerings and historic sites.

“Today, Mexico is the No 2 tourism destination in the Americas and the only Latin American country that ranks in the top 25 most-visited nations in the world,” Pe’a Nieto said.

The government plans to pursue a three-pronged strategy to develop Mexico’s tourism infrastructure.

The beaches and colonial districts in the country’s main tourist destinations will be renovated, and the “magic towns” program will be expanded to 100 locations, the president said.

New offerings will be developed at Meso-American heritage sites, with sustainable areas being created in Chichen Itza, Palenque, Calakmul and Teotihuacan, while convention centres and 20 new public parks are built at Mexican beaches, Pe’a Nieto said.

The third element in the strategy is to modernise and refurbish Mexico’s ports and airports to make them more attractive for arriving tourists, the president said.

Mexico welcomed 23.7 million foreign tourists in 2013, generating revenues of more than $US13.8 billion ($A14.93 billion), Pe’a Nieto said.

Meanwhile, economists have cut their forecast for Mexico’s economic growth in 2014 to 3.01 per cent, down from 3.09 per cent in March.

The figure came from the Bank of Mexico’s April survey of 35 financial analysis and economic consulting groups, while the Mexican government is maintaining its growth forecast for this year at 3.9 per cent.

First-quarter economic data suggests that growth in 2014 will be lower than what had been anticipated several months ago, the Bank of Mexico said in late April, although it cited an increase in exports and improvement in some consumption and private-investment indicators as bright spots.

The economists polled by the central bank also slightly reduced their growth forecast for 2015 to 3.91 per cent, down from 3.92 per cent in March.

But their forecast for 2016 growth remained unchanged at 4.08 per cent.

Those economists predict that Mexico’s economy will grow at an average clip of 4.04 per cent over the next 10 years.

They estimate that Mexico’s consumer-price index will rise 3.85 per cent in 2014 and that the exchange rate will stand at 13.01 pesos to the US dollar at year’s end, virtually unchanged from the March survey.

The economists predict Mexico will post a $US5.07 billion trade deficit and a current account deficit of $US23.39 billion and that foreign direct investment will amount to $US24.57 billion in 2014.

For more on this story go to: http://www.perthnow.com.au/business/breaking-news/mexico-to-invest-a15b-in-tourism/story-fnhrvfsf-1226910178021