Mexico`s public finances have been hit by a fall in the price of oil, on which it counts for export revenue, and it is hoped that cancelling `Guadalajara 2017` will save the country around 85 million dollars (75 million euros).
“We have informed the international swimming federation (Fina) that Mexico will no longer host the world championships,” said sports official Jesus Mena, a 46-year-old former Olympic diver who won a bronze in the 10m platform in 1988.
Mexico has already spent 9.5 million dollars (8.4 million euros) on the event and will have to pay 5 million more to Fina.
A planned high speed rail network, which would have been Latin America`s first such transport system, has also been abandoned.
The 2015 world swimming championships, which are held every two years, are to be staged in Kazan in Russia, while the 2013 edition was in Barcelona, Spain.