President Felipe Calderon Hinojosa of Mexico has confirmed Huatulco will receive an unprecedented investment of 54 million pesos (£2,577,386) in 2008 to develop Huatulco as a tourism destination. This is five times greater than the average investment since 2000.

Huatulco is a coastal town in the Mexican state of Oaxaca where the foothills of the Sierra Madre del Sur mountains meet the Pacific Ocean. Huatulco is about 500km south of Acapulco and is divided into four main districts; the tourism industry will be developed around the town’s nine bays.

The Federal Government, the 12 Secretaries of State, the Oaxaca state government and the Huatulco local government have signed an agreement to implement a strategic and diverse programme to stimulate major economic growth for the local community and draw more national and international visitors to the area.  The government and the private sector both recognise the potential for tourism in  Huatulco and will work together with the community to ensure all developments, whether directly or indirectly linked to tourism, are properly co-ordinated and progressed.  President Calderon said: “Huatulco will be the symbol of what the government, private initiatives and the public can achieve together following a clear action plan”.

Over the next six years 2,500 new hotel rooms will be built catering for all markets, with a focus on the premium traveler.  The government is liaising with prestigious international brands and the private sector to build boutique hotels, five star properties, a golf course and low rise condominiums.  Elizondo Torres, Minister of Tourism in Mexico, said: “It is important for us to work with international as well as national companies because they have the experience of the demands of tourism, and the aim for the development of Huatulco is to attract tourists from around the world”. Other important plans for tourism include the expansion of Huatulco airport to enable it to welcome direct flights from Europe and Asia and the provision of tourism amenities.

Improving the quality of life for those living in Huatulco is an equally significant component of the development programme. Credit will be offered for local people to start small and medium sized businesses, and housing and education projects will receive considerable investment."

Manuel Diaz Cebrian, Director of the Mexico Tourism Board UK, Ireland, Sweden and The Netherlands, said: “The sensitive and sustainable development of Huatulco as a tourism centre demonstrates the commitment of all stakeholders in the Mexican tourism economy to work together. The support for the local community and infrastructure are vitally important for the enduring success of tourism initiatives, which increasingly form a fundamental part of the Mexican economy.”