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Puerto Vallarta is on the Rio Cuale, lying between green, palm covered mountains and the sparkling blue Bahia de Banderas (Bay of Flags). It's in Jalisco state, one hour ahead of neighboring Nayarit. Formerly a quaint seaside village, Vallarta has been transformed into a world famous resort city with 2.5 million visitors annually (one million foreigners, 1.5 million Mexicans). Some of the most beautiful beaches, secluded and romantic just a few years ago, are now dominated by giant luxury megaresorts. Tourism Vallarta's only industry has made it a bilingual city, with English almost as commonly spoken as Spanish. But the cobblestoned streets, lined with oldfashioned white adobe buildings with red tile roofs, still make Vallarta one of Mexico's most picturesque coastal cities.

Vallarta's attractions suit all tastes and pockets, with idyllic white sand beaches, water sports and cruises, horseback rides and tours, shopping, art galleries, abundant restaurants and active nightlife.