Machu Picchu has reopened to tourists after violent protests caused its 'indefinite' closure. AFP
Machu Picchu has reopened to tourists after violent protests caused its 'indefinite' closure. AFP
Machu Picchu has reopened to tourists after violent protests caused its 'indefinite' closure. AFP
Machu Picchu has reopened to tourists after violent protests caused its 'indefinite' closure. AFP

Machu Picchu reopens to tourists to the relief of local guides


Katy Gillett
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Peru's most famous landmark, Machu Picchu, has reopened to tourists after almost a month-long closure caused by violent protests against the country's new president.

"The reopening means that tour operators may fully resume sending clients to Machu Picchu," Manuel Sanchez-Palacios, who works for Peru for Less, confirmed to The National.

A circular from the country's Ministry of Culture said the site could reopen from Wednesday "under the same conditions, schedules and circuits established".

"This decision reaffirms the importance to opt for dialogue and peace," it said.

  • Police guard the San Marcos University in Lima after evicting protesters seeking the resignation of President Dina Boluarte. AP
    Police guard the San Marcos University in Lima after evicting protesters seeking the resignation of President Dina Boluarte. AP
  • A detained anti-government protester sits in the back of a police vehicle at the San Marcos University in Lima. AP
    A detained anti-government protester sits in the back of a police vehicle at the San Marcos University in Lima. AP
  • Police comfort a woman who was harassed by anti-government protesters in Lima. AP
    Police comfort a woman who was harassed by anti-government protesters in Lima. AP
  • Demonstrators take part in a peace march in Lima. AP
    Demonstrators take part in a peace march in Lima. AP
  • Tourists wait outside the Machu Picchu train station after the railway service was suspended due to damage allegedly caused by protesters. Peru closed the entrance to the Inca citadel on Saturday indefinitely, citing security reasons. AFP
    Tourists wait outside the Machu Picchu train station after the railway service was suspended due to damage allegedly caused by protesters. Peru closed the entrance to the Inca citadel on Saturday indefinitely, citing security reasons. AFP
  • Tourists wait outside the Machu Picchu train station after the railway service was suspended. AFP
    Tourists wait outside the Machu Picchu train station after the railway service was suspended. AFP
  • Tourists wait outside the Machu Picchu train station. AFP
    Tourists wait outside the Machu Picchu train station. AFP
  • Tourists wait outside the Machu Picchu train station. AFP
    Tourists wait outside the Machu Picchu train station. AFP

The site and famous Incan trail hike leading up to it were closed last month "indefinitely" as protests raged, leaving many citizens and tourists stranded for hours due to railway damage.

Protests continue in Lima, the country's capital, and other regions in the south, but officials promised to ensure the site and transport links leading to it are safe.

"Now that Peru's prized site is now open, we are hopeful that travellers will be more inclined to travel here," he adds. "This is positive news for all agencies and operators."

Protesters have been demanding the resignation of Peru's President Dina Boluarte, since she was sworn in in December after serving as vice president, with 59 deaths reported as a result. They want her predecessor, the ousted left-wing Pedro Castillo, to be released from jail where he's facing charges of rebellion and conspiracy.

While the site was closed, demand for travel to the country dropped "dramatically", says Sanchez-Palacios, whose company, which experienced a deluge of cancellations following the closure, began offering customers solutions such as lower fees, extended or transferable travel credit and alternative itineraries with other brands in the group.

"Sadly, this will affect tourism for the next few months and all people involved," Sanchez-Palacios told The National at the time. "This includes everyone from the local artisan who depends on selling handmade goods to tourists, to the tour guides and then larger agencies like us.

"As a country, we are hurting socially and politically, and seeing the image of Peru being damaged as well is painful," he added. "I know this is a dream destination for many travellers, and as a Peruvian, I only want to share the beauty of experiencing my country."

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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Some of Darwish's last words

"They see their tomorrows slipping out of their reach. And though it seems to them that everything outside this reality is heaven, yet they do not want to go to that heaven. They stay, because they are afflicted with hope." - Mahmoud Darwish, to attendees of the Palestine Festival of Literature, 2008

His life in brief: Born in a village near Galilee, he lived in exile for most of his life and started writing poetry after high school. He was arrested several times by Israel for what were deemed to be inciteful poems. Most of his work focused on the love and yearning for his homeland, and he was regarded the Palestinian poet of resistance. Over the course of his life, he published more than 30 poetry collections and books of prose, with his work translated into more than 20 languages. Many of his poems were set to music by Arab composers, most significantly Marcel Khalife. Darwish died on August 9, 2008 after undergoing heart surgery in the United States. He was later buried in Ramallah where a shrine was erected in his honour.

Updated: February 16, 2023, 6:02 AM