Why Are Lodhi Garden And Khan Market In Delhi Famous? Away From The Busy Streets Of Delhi 

Jan 30, 2026

Last Updated on: Sep 24, 2026

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“Mera kaat kaleja dilli

Mera kaat kaleja dilli

Lai gayi kaat kaleja dilli

Mui dilli le gayi…”

Though the context is different, for me, this No One Killed Jessica song sums up Delhi these days.

Even if “Incredible India” calls Lodhi Garden “A green oasis in the heart of Delhi,” the official CPCB report marks the AQI at 283, or poor. 

Furthermore, in a YouTube video published on the “Newslaundry” channel, the vlogger recorded an AQI between 336 and 340, meaning the air quality was very poor. 

Amidst this, the good news is that the New Delhi Municipal Council (NDMC) has launched a waste management and cleanliness drive in Lodhi Garden.

This initiative will help maintain the cleanliness of the garden without impacting its ecology. 

Nevertheless, the Lodhi Garden has always been a public place in Delhi, offering respite from the noise and traffic of Delhi. 

Here’s to a calm day in Delhi at the Lodhi Garden and nearby Khan Market. 

Lodhi Garden: Location, Entry Fee, Timing, Official Website
AddressMain Lodi Road, Beside India International Centre, New Delhi, Delhi – 110003
Entry FeeNil
Photography Fee Nil
Timings6:00 AM – 7:30 PM
Official WebsiteDELHI TOURISM
Photography AllowedYes
Nearest Metro StationJLN Metro Station

What Is The Lodhi Garden?

What Is The Lodhi Garden

The Lodi Garden is a green escape on the Lodi Road in South Delhi.

It is between Safdarjung’s Tomb and Khan Market. 

Covering an area of 90 acres, this Garden is home to many tombs from the Lodi, Sayyid, and Mughal dynasties. 

However, it is more than a place where history breathes through the Indo-Islamic architecture.

With gardens, exercise machines, walking paths, and running tracks, it is a popular place for outdoor fitness activities. 

Also, it is a paradise for art lovers, thanks to its stunning sculptures and art installations.

What Is The History Of The Lodhi Garden?

What Is The History Of The Lodhi Garden

The history of this beautiful garden goes back to the 15th century.

It was the burial ground of the Lodhi lords.

The most significant tombs here are those of Sikandar Lodhi and Mohammed Shah. 

The tombs and ruins were earlier scattered around the village of Khairpur till 1931.

However, in 1936, the villagers were moved from the village, and this monument was created.

The tombs had exotic and native trees around. 

Furthermore, the garden got its name from Lady Willingdon Park after the name of the British Viceroy’s wife. 

It was named the Lodhi Garden in 1947 after India’s independence, in memory of the tombs present here. 

However, the current form we see today is the work of American architects Joseph Allen Stein and Garrett Eckbo in 1968.

They added the rose garden, bonsai park, the lake with a fountain, and a glasshouse. 

A Brief Historical Timeline Of The Lodhi Garden 

1414–1451 (15th Century)• Becomes a burial site for the Sayyid Dynasty
• The Tomb of Muhammad Shah was built in 1444. 
1451–1517• The Lodhi Dynasty (1451–1526) used the tomb.
• Included the Sheesh Gumbad and Bara Gumbad. 
1517–1518• Ibrahim Lodi built the tomb of his father, Sikandar Lodi, after his death in 1517. 
1936• The Khairpur Village was cleared, and a landscaped park called Lady Willingdon Park was constructed. 
1947• India became independent, and Lady Willingdon Park was renamed Lodhi Garden. 
1968• J.A. Stein and Garrett Eckbo enhance the Lodhi Garden as a public place with various additions. 
Present Day• The Archaeological Survey of India protects it for the preservation of its Sultanate-era architecture and diverse flora. 

Visiting The Lodhi Garden: The Tombs And Architecture To See

Whenever I am in Delhi, I make a point to visit the Lodhi Garden.

I love the calming effect and the scent of history here. 

I also take random walks in the park, and each time, the park surprises me with something new.

Even if it is nothing else, a wildflower that I have not seen before will smile at me.

Or a squirrel will greet me and then will be gone in a blink. 

Also, irrespective of the direction of your entrance (East, West, North, and South), you will find ancient buildings here. 

1. The Tomb of Sikandar Lodi To The North

The Tomb of Sikandar Lodi To The North

The magnificent Tomb of Sikandar Lodi is to the north.

It is one of the oldest garden tombs of India. 

Furthermore, it has an octagonal structure.

Also, despite its Indo-Islamic architecture, it has small domed pavilions or Chattris, which were a signature of Rajput architecture. 

Also, the Overhanging Eaves or Chajjas and supporting brackets seen here come from the Rajput legacy. 

2. The Sheesh Gumbad In The Centre

The Sheesh Gumbad In The Centre

The Sheesh Gumbad stands like a witness to time amidst the greenery of the park.

It is a domed building with a cube shape. 

The interior of the dome ceiling is decorated.

Furthermore, from the arched openings on the four sides of the tomb, you will get amazing views of the park. 

The only problem I feel is the presence of selfie-obsessed visitors.

They somehow ruin the mood and do not understand the somberness of the place. 

I even found some pre-wedding shots going on there. 

Call me old-school! But these things irritate me. 

3. Bada Gumbad Or Bara Gumbad To The South

Bada Gumbad Or Bara Gumbad To The South

Bada Gumbad has an architecture similar to the Sheesh Gumbad.

However, living up to its name, this tomb is bigger than Sheesh Gumbad. 

It is also one of the oldest full-domed buildings in the country, and it serves as a beautiful entrance to the adjacent Jama Masjid. 

4. The Jama Masjid Or The Friday Mosque 

The Jama Masjid Or The Friday Mosque

This mosque was built in the 15th century, and it has the typical red sandstone architecture, which was a signature of the Lodhi era. 

Furthermore, here you will notice amazing geometric designs and calligraphy on the arches and columns. 

5. The Tomb Of Muhammed Shah On The Southern End 

The Tomb Of Muhammed Shah On The Southern End

The Tomb of Muhammad Shah is the oldest in the garden, and it is located on the southern end of the park. 

You have to walk through a covered walkway to reach this tomb in an octagonal shape. 

Along with these major tombs and architecture, the park also has many old tombs, structures, and ruins. 

Furthermore, with the recent expansions, there are dedicated Yoga lawns, herb gardens, rose gardens and a glasshouse.

Moreover, there are exercise machines. 

Also, the trees here are home to a handsome population of squirrels, chipmunks and various species of birds.

You will especially notice eagles spiralling over the park. 

Some Practical Tips For Visiting The Lodhi Garden

The Lodhi Garden is a free public space with the richest diversity of plants, historic architecture, and ruins. So, it is a budget-friendly place to visit. 

It is easily accessible by autos and metro routes.

Here is more on how to reach the park, basic amenities, and nearby attractions. 

How To Reach The Lodhi Garden?

The Lodhi Garden is close to four metro stations. 

Station NameMetro LineDistance 
Jor BaghYellow Line1.4 Km
Khan MarketViolet Line1.6 Km
JangpuraYellow Line4.2 Km
JLN StadiumViolet Line2.6 Km

From these metro stations, you can take autos.

If you are coming from Jangpura or the JLN Stadium, you can even book an Uber to avoid negotiations with the local drivers. 

How Much Time Is Required At The Lodhi Garden? 

I don’t have an answer to that.

From an hour to the entire day, the time you spend here will depend on your intent of visit. 

It takes around 20 minutes to complete a walk around the park.

However, if you want to appreciate the tombs and their architecture, it will take longer. 

Also, the rich community of trees here always asks you to stay a little longer.

Moreover, the Lodhi Garden is a popular picnic spot.

Is There A Toilet At Lodhi Garden? 

Yes, there are toilets at Lodhi Garden, and they are well-maintained. 

Are Food And Drinks Available At Lodhi Garden? 

There is no permanent stall of official setup for food and drinks at Lodhi Garden.

However, you will find vendors selling snacks, drinks, ice cream, and the famous chats of Delhi at the entrance. 

Furthermore, inside the park, you will find many wandering vendors.

They set up their stalls on a tripod instantly and make mouthwatering chaats and snacks for you. 

You can even pack your food and have it at the Lodhi Garden for a picnic vibe.

Irrespective of where you get the food from, please be careful about waste disposal. 

However, if you are really hungry and want to gorge on proper Delhi food, head to the nearby Khan Market. 

What Are The Places To Visit Near The Lodhi Garden?

You can combine your day in the Lodhi Garden with a visit to the Safdarjung Tomb and the Khan Market.

Also, you can explore the nearby Lodhi Art District. 

1. The Safdarjung Tomb

Safdarjung Tomb

It is the tomb of the Mughal Empire’s Vazir Safdarjung, and it shows a mix of Persian and Indian styles of architecture. 

It has beautiful marble and red stone architecture.

Moreover, built in 1754, it was the last monumental Mughal garden tomb in Delhi. 

2. The Khan Market 

The Khan Market

You will find all the designer and branded clothes at Khan Market.

It is a high-end shopping district, and it brings you back to the present after a date with history in the Lodhi Garden. 

Furthermore, it is the place to have a posh coffee date, an upscale luncheon, or an artisan cake tasting.

You must try the wood-fired pizzas at the restaurants here. 

Moreover, if you really want to enjoy the evening in South Delhi, Khan Market is the place to be.

The bars and lounges here come to life after sundown. 

How To Reach Khan Market?

You can walk for ten minutes from the north entrance of the Lodhi Garden, or you can take an auto from the south entrance. 

Moreover, there is a metro station called Khan Market on the Violet Line. 

3. The Lodhi Art District

The Lodhi Art District is a few blocks south of the Lodhi Garden.

It was the last housing estate the British had built in India. 

However, today, it is a place that belongs to the Indian artists.

You will find more than 50 street artworks and murals here. 

Take an auto or walk for 15 minutes to reach the Lodhi Art District from Lodhi Garden. 

Where To Stay Near Lodhi Garden?

If you want a luxury experience, you can stay at The Lodhi.

Furthermore, there are many budget-friendly accommodations near Lodhi Garden. 

These are Hotel O Maharaja Inn and Evergreen Delhi Bed and Breakfast.

Finding A Place To Relax In The Heart Of Delhi 

Delhi, the capital of India, has endless attractions in the true sense.

From the Jantar Mantar to Humayun’s Tomb, it is a living tapestry of history and human culture. 

However, whenever you feel overwhelmed by the bustling crowd and noise of Delhi, you can visit the Lodhi Garden and catch your breath. 

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Sibashree is a travel, culture, and leisure writer who has been writing since the age of 12 and professionally since 2014. With more than a decade of travel writing experience and journeys across India and several parts of the world, she brings a deeply personal and thoughtful perspective to her work. A student of English Literature and Mass Communication, Sibashree has always viewed travel as more than movement — for her, it has been a way of understanding people, cultures, and herself. Her passion for spiritual exploration has also led her to many unusual and meaningful destinations over the years. Outside of writing, Sibashree enjoys watching European cinema, reading about global politics, and reflecting on the stories hidden within everyday places.

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Located in the Yucatán, it is also a UNESCO World Heritage Site.  Further, Cancun has the Great Maya Barrier Reef, the second-largest in the world. So, it is a paradise for the scuba divers who want a slice of marine life.  Again, Isla Mujeres is an idyllic island in Cancun for snorkeling, swimming, and spotting whale sharks.  Moreover, the Ecological Reserve is the biggest natural ecosystem in Mexico. Also, the Riviera Maya has some of the largest underwater cave systems in the world. Those are: Ox Bel Ha: 146.7 Kilometers Nohock Na Choch: 61 Kilometers Dos Ojos: 57.7 Kilometers Overall, the diverse tourism attractions in Cancun have made the Cancun International Airport the second busiest in the country. Cabo Vs Cancun Safety: Which One Is Safer? Winner: Cabo 🏆 Like the question of “Is Monterrey Mexico Safe?”, traveler safety in Cancun and Cabo remains a concern. Cancun Traveler Safety The U.S. Government has issued a travel advisory for Cancun in 2025. Quintana Roo, the state where Cancun is located, has a Level 2 caution for tourists.  With robbery being the most frequent crime in Cancun, reaching a whopping 25% of the total crimes in 2024, Cancun has also been struggling with issues such as street scams and violent crimes.  However, increased police presence, surveillance systems, coordination with the hotels, and public awareness campaigns have been the measures to keep the crime rates in this region in check.  Cabo Traveler Safety Is Cabo San Lucas safe? What about the crime scenarios in other parts of Los Cabos? Let’s find out the data.  Cabo is safer than Cancun, with a USA Travel Advisory of “Exercise Increased Caution” in the Baja California Sur area. This caution is similar to that of many European destinations.  However, the murder of a law enforcement officer on 22nd April and the burning of three buses on 24th April, 2025, have created some unrest in the area.  Still, Los Cabos has a lower crime rate than many other areas of Mexico, such as Acapulco and Tijuana.  In addition, there are dedicated tourist police in areas such as Medano Beach and the Marina District.  Moreover, the types of crime here include petty scams and theft. Violent crimes against tourists are rare here.  Cabo Vs Cancun Beaches: Which One Is Better As A Tropical Getaway? Winner: It’s a Tie 🤝 It’s hard to pick a favorite among the beautiful beaches in Cabo and Cancun. Cabo in the Pacific Ocean and Cancun in the Caribbean Sea have very different waters and beaches.  Beaches In Cabo The beaches in Cabo exude the quintessential charm of the Pacific Ocean coast. Further, Cabo sees the Pacific Ocean meeting the Sea of Cortez.  The most beautiful beaches for swimming in Cabo are: Medano Beach and Lover's Beach, along the Sea of Cortez Cabo Pulmo Marine Park Playa Acapulquito and Chileno Beach in the Tourist Corridor The waters here are electric blue, and the coastline is dotted with cacti. Furthermore, from January to April, Cabo is the best place to spot whales and go deepwater fishing.  In addition, you can do scuba diving in Cabo Pulmo, a nearby national marine park. Here, you can meet eels, big-eyed jacks, sea turtles, porkfish, snappers, etc.  Beaches In Cancun Beaches in Cancun show the charm of the Caribbean Sea. Playa Delfines, Playa Langosta, and Playa Tortugas are the most popular among them.  Playa Delfines is a known destination for Jet skiing or parasailing. Also, you can do scuba diving, fishing, and kayaking.  Moreover, you can spot whales if you visit Cancun from June to October.  Cabo Vs Cancun For Partying: Which One Is More Fun?  Winner: Cancun🏆 Cancun is the Spring Break destination in the world. You can dance it out at Mandala Nightclub and enjoy the best cocktails at the JW Lobby Bar.  Los Cabos also has a vibrant nightlife. However, the vibe here is much laid-back. El Squid Roe and Cabo Wabo Cantina are some of the best places to experience the party scene and nightlife of Los Cabos.  Cabo Vs Cancun For Families: Know The Top Attractions Winner: Cabo 🏆 Cancun's natural and cultural attractions are more varied and vivid than those in Los Cabos. However, Los Cabos is a more family-friendly destination because most activities and attractions here are beach-centric, accommodating people of all ages.  Also, the luxury hotels and accommodations in Los Cabos offer a “Next-Level Experience” to visitors.  Moreover, Los Cabos is safer than Cancun in terms of crime rate.  Top Attractions in Los CabosTop Attractions in CancunFamily-Friendly Things to Do in Los CabosFamily-Friendly Things to Do in Cancun‣ Medano Beach‣ Santa Maria Beach‣ Playa el Chileno‣ Lovers Beach‣ Cerritos Beach‣ El Arco‣ Cabo Pulmo National Park‣ Sierra de la Laguna‣ Todos Santos‣ San José del Cabo‣ Chichén Itzá - UNESCO World Heritage Site‣ Isla Mujeres‣ Selvatica Eco Park‣ Mayan Museum of Cancun‣ Zona Arqueologica El Rey‣ Playa Tortugas‣ Xcaret Park‣ Ventura Park‣ Swimming and building sand castles at Medano Beach.‣ Boat tours to visit the Arch of Cabo San Lucas. ‣ Snorkeling in Cabo Pulmo‣ Horseback riding in Baja Outback‣ Whale watching and dolphin encounters.‣ Ferry ride to Isla Mujeres‣ ATV tours and zipline in Selvatica‣ Swimming in Playa Tortugas‣ Visiting Chichen Itza Cabo Vs Cancun For Couples: What Are The Best Things To Do? Winner: It’s a Tie 🤝 If you are traveling as a couple, your favorite destination between Cancun and Los Cabos will depend on your preference.  For example, Cancun is more energetic, while Los Cabos has a laid-back vibe. Cancun further stands out thanks to its Mayan connection.  Also, Cancun has more swimmable beaches than Los Cabos.  The beaches in Los Cabos offer more adventurous experiences to couples. You can swim, surf, dive, and snorkel there. On the other hand, despite having scuba diving facilities, the beaches in Cancun are more resort-centric.  Again, the nightlife in Cancun is more vibrant in Cancun, whereas Los Cabos is a better choice for a gastronomic delight. 4. Cabo Vs Cancun For Solo Travelers Winner: Cancun 🏆 The hotel zone of Cancun is most suitable for solo travelers. It is so because Cancun is walkable and easy to navigate without a car.  Also, Cabo has many hostels and mid-range hotels.  Again, the nightlife scene of Cancun is ideal for socializing and meeting other travelers. You can even easily book day trips to Isla Mujeres or Chichén Itzá through group tours.  On the other hand, Cabo is more spread out, and many of the top experiences, such as deep-sea fishing, fine dining, and fishing ae built around groups and couples.  So, the cost of traveling per person will be higher for solo travelers.  That said, Cabo's tourist police presence and lower violent crime rate make it a reassuring solo pick for travelers prioritizing safety over the social scene. Cabo Vs Cancun Food Scene: Local Flavors And Delicacies Winner: Cabo 🏆 Los Cabos promises a diverse food experience. You can have the best tacos at a beachside shack and indulge in the best haute dining.  You must also try the best handmade tortillas and wines from the North Baja wineries.  Nevertheless, if you want a gourmet experience, visit Cocina de Autor (a Michelin Star restaurant), CarbónCabron, and Lumbre.  Again, San José del Cabo is the best place in Mexico to celebrate the country's “Farm-to-Table” tradition.  Food in Cancun, however, is an ode to the Mayan culture. You will fall in love with the fish cooked in banana leaves and slow-cooked pork here.  Kiosk Verde (a Michelin-mentioned restaurant), El Pocito, and Rosa Negra are some of the most famous eating places in Cancun. Cabo Vs Cancun: Cost Comparison Winner: Cancun 🏆 Cancun is a more budget-friendly destination than Cabo.  It is a more affordable location due to its high flight volume, wider mix of budget and luxury resorts, and lower average nightly rates, making it easier to stretch a vacation budget. Also, Cancun has many all-inclusive resorts. Thus, budgeting for accommodation, food, and drinks is easier in Cancun.  Cabo, by contrast, leans upscale.  Higher import costs make the essentials more expensive here, and the real estate is pricier.  Moreover, the concentration of luxury resorts and Michelin-recognized restaurants pushes average trip costs up Even flights tend to run higher, given fewer budget-carrier routes from the East Coast. That said, Cabo is not uber expensive.  You can find mid-range hotels and beachside taco shacks alongside the five-star resorts.  It simply skews luxury at the top end more than Cancun does. What Is Better Cancun Or Cabo? And The Winner Is… Let’s explore a different side before declaring the winner of this Cabo vs Cancun comparison.  Mexico, these days, earns a lot of foreign investment in tourism. Cancun and Los Cabos are not exceptions in this.  Los Cabos, especially, is located in the Baja California Sur, which is the top destination for attracting foreign investments.  However, foreign investments and the developments here are now harming the local habitat and ecosystem.  The breach of environmental regulations and intrusion into the traditional way of living in these places are posing challenges to local heritage and conservation efforts.  ParameterLos CabosCancunSafetyWinnerRunner-UpBeachesWinnerWinnerAs a Family DestinationWinnerRunner-UpNightlifeRunner-UpWinnerAs a Couple DestinationWinnerWinnerSolo DestinationRunner-UpWinnerFoodWinnerRunner-UpCostRunner-UpWinnerOverall Winner Score55 So, the winner depends on the budget of your trip and the kind of experience you want. Is Cabo Or Cancun Water Warmer? The water in Cancun is warmer than in Cabo because of their geographical locations. Cancun is located in the Caribbean Sea, while Cabo is nestled in the Pacific Ocean.  However, the maximum water temperature in Cabo reaches 31 degrees Celsius, which is higher than the maximum water temperature in Cancun, 30.5 degrees Celsius.  January is the coldest month in Cancun, and August is the warmest. In Cabo, April is the coldest month in terms of water temperature, and the water temperature reaches its maximum in September.  Here is a detailed month-wise comparison of Cabo vs Cancun water temperature based on the National Oceanic and Atmospheric Administration (NOAA) data. MonthMaximum Water Temperature in Cabo (°C)Maximum Water Temperature in Cancun (°C)Minimum Water Temperature in Cabo (°C)Minimum Water Temperature in Cancun (°C)January24.726.520.224February22.726.420.324.1March22.626.420.224.2April23.427.119.625.8May25.628.321.426.4June26.12920.127.5July28.829.822.727.1August30.230.526.728.1September3130.127.928.1October30.729.827.226.7November29.12824.525.8December26.426.821.825.1 Is Cabo A Luxury Destination? Yes, Cabo is a luxury destination. It has Michelin Key hotels, such as: Chileno Bay Resort & Residences, Auberge Resorts Collection (2 Keys) Esperanza, Auberge Resorts Collection (2 Keys) Montage Los Cabos (2 Keys) Waldorf Astoria Los Cabos Pedregal (2 Keys) Nobu Hotel Los Cabos (1 Key) The Cape, a Thompson Hotel (1 Key) These names, featured in the Michelin Guide announcement made on 12th September 2024, continue to provide visitors with their “next-level” of service. Cabo is also home to Cocina de Autor, a Michelin Star restaurant in the Grand Velas Hotel.  However, Cabo's “luxury” quotient is not just limited to Michelin-Key hotels and Michelin-Star restaurant experiences.  From ATVing to snorkeling, scuba diving, whale-watching, and horseback riding, Cabo's outdoor and wellness activities are endless.  Further, the beaches and the beautiful coastlines along the Pacific Ocean and the Sea of Cortez make Cabo one of the most picturesque locations in Mexico, with a laid-back vibe.  In addition, the desert landscape, hot springs, and waterfalls make Cabo vivid and unique. Why Is It So Expensive To Go To Cabo? Los Cabos, one of the safest areas in Mexico, is expensive because of the luxury experience, geographical location, and the growing popularity among tourists. Further, international flights to Cabo are expensive, and there are high immigration and customs charges. However, these are not the only reasons Cabo is an expensive travel destination.  The rise in the number of visitors to Cabo has led to rapid development in the area, which is great. However, it has also made doing business or living here more expensive.  On the other hand, the decreasing national unemployment rate in Mexico1, high inflation, “doubling of wages since 2018) and shortage of laborers have made things worse for the tourism and hospitality businesses in the region.  In other words, businesses also have to maintain their financial health, and operational costs will increase due to increased labor costs and higher dependency on imports for various goods.  So, these facilities, such as accommodations and restaurants, charge travelers more money.  Nevertheless, with Cabo being an expensive location, businesses face challenges in offering customer satisfaction or a value-for-money experience. Starbucks has been one of the most prominent names to flag this issue.  Having said that, strategic investment in the use of technology in these facilities and a lesser dependency on human labor can keep the cost of living or traveling to tourism within limits.  Cancun Vs Cabo Frequently Asked Questions (FAQs) Here are frequently asked questions and answers related to the Cancun vs Cabo comparison. Why Is Cabo Mexico So Popular? Cabo, connected to various US cities through the Los Cabos Airport, is a popular tourist attraction due to its diverse attractions. It has calm and beautiful beaches like Medano, and in the winter, it offers whale-watching activities and adventures such as scuba diving, snorkeling, and big-game fishing.In fact, Cabo San Lucas in the Los Cabos region, known as the “Marlin Capital of the World,” is experiencing significant growth in its sports-fishing industry. Moreover, the desert mountains and unique geological formations such as El Arco add drama to the local landscape. Additionally, you can enjoy luxurious dining and resort experiences here. Want to explore the surroundings? Cabo and its surrounding areas are well accessible by car.  Why Can't We Swim In Cabo? Cabo has many swimming-friendly beaches, such as Medano Beach and Lover's Beach, along the Sea of Cortez, Cabo Pulmo Marine Park, and Playa Acapulquito and Chileno Beach in the Tourist Corridor.   Having said that, many beaches in Cabo, especially along the Pacific Ocean, are unsuitable for swimming. Playa Solmar, Divorce Beach, and Pedregal are beaches where you cannot swim. Strong currents, waves, and rip tides make these beaches unsafe for swimming. Also, the steep drop-offs on many beaches make it difficult to gauge the depth of the water. What Money Is Used In Cabo? The Mexican Peso, the country's currency, is used in Cabo. Cabo also accepts US dollars. Many ATMs dispense US dollars, or resorts convert US dollars to Pesos. However, be careful about the current exchange rate. As of today, 1 USD = 19.44 Mexican Pesos. Also, many local merchants offer you less than the exchange rate while buying goods from them. So, it is best to pay with Mexican Pesos.