A burned truck on a street with a man walking in the background and other damaged vehicles in the surroundings.
MEXICO

Six months of cartel warfare plunge Sinaloa into a violence crisis

The struggle between Los Chapitos and Los Mayitos has resulted in 1,273 missing persons, 928 murders, and an economy on the brink of collapse. Merchants face business closures, layoffs, and debts.

Six months after the start of the war between Los Chapitos and Los Mayitos, Sinaloa faces an unprecedented crisis.

The violence has resulted in 1,273 missing persons and 928 murders, but its impact goes beyond the death toll.

The state economy is reeling from the collapse of consumption, the massive closure of businesses, and the increase in delinquency in service and credit payments.

Since the second half of January, key sectors such as commerce, hospitality, and entertainment have experienced a drastic drop in their revenues.

Delinquency and bankruptcies on the rise

The Mexican Bank Association (ABM) warned about the high risk in the credit portfolio in Sinaloa, which exceeds 215 billion pesos. Julio Carranza, president of the organization, ruled out banking facilities, as these have only been implemented in crises due to natural disasters or pandemics.

In Culiacán, the crisis hits especially hard. In the city center, 495 businesses of various types have permanently closed their doors. Óscar Sánchez Beltrán, president of the Union of Shopkeepers, noted that the fear of violence has drastically reduced customer traffic.

"People are afraid to go out, businesses are empty, and debts are piling up", he lamented.

Unemployment and massive closures

The Chamber of Commerce and Tourism Services reported that sales have dropped by 40%, forcing business owners to lay off employees. In the hardest-hit sectors, such as real estate and hospitality, losses exceed 60%.

Karla Fernanda García Beltrán, president of the Restaurant Industry Chamber, confirmed the closure of restaurants and bars, leaving hundreds of workers unemployed.

María Fernanda, owner of a laundry, illustrates the tragedy:
"I used to have contracts with hotels; now, without guests, work has dropped by 70%. We're barely surviving."

Stories like hers are repeated among merchants who, on the brink of bankruptcy, have reduced staff or abandoned their businesses.

A person walking in front of a roll-up door with a
In downtown Culiacán, 495 clothing, entertainment, and technology businesses closed permanently. | La Derecha Diario

Government downplays the crisis

Meanwhile, the state government tries to gloss over the crisis. The Ministry of Economy boasts of providing support amounting to 148 million pesos, but the private sector warns that it is insufficient.

The IMSS reports a slight increase in employment registrations, but business owners point out that 4,000 jobs have been lost in recent months.

Arrests don't stop the violence

The arrests of nearly 900 hitmen, including key operators from both sides, haven't stopped the violence. Although the government insists that homicides have decreased, the reality on the streets and in Sinaloa's businesses tells a different story: the war continues, and the crisis deepens.

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