Bali fears tsunami could affect recovery

Bali fears tsunami could affect recovery

Slobodan Lekic, Associated Press/Bali

Still recovering from terrorist attacks and the SARS crisis,
Indonesia's premier travel destination is facing a new concern -
a possible downturn because of the earthquake and tsunami
disaster.

Although not directly affected by the waves that devastated
the northern tip of Sumatra some 2,800 kilometers (1,800 miles)
away, many people in Bali are worried that the Dec. 26 tragedy
could derail their fledgling recovery.

"We have had cancellations by foreigners in the past month,"
said Sri Uluwati, manager of a complex of villas for rent in
Bali's exclusive Seminyak district. "We managed to rent some
villas to drop-in tourists, but this is not good news."

Travel agents say that tourist arrivals from Japan and
Australia -- Indonesia's biggest markets -- dipped only slightly
after the tsunami because visitors from the Pacific rim region
know that Sumatra is at the other end of Indonesia's vast
archipelago.

Still, many industry operators are furious with the government
in Jakarta for allegedly doing nothing to explain this fact to
potential visitors from other parts of the world, who may be less
familiar with Indonesia's geography.

Bali resorts and other businesses broadcast banner headlines
on their websites to inform interested guests that the island is
far away from the tsunami-affected coastlines of Sumatra.

With over US$5 billion in earnings, Indonesia's tourism sector
has emerged in the past decade as one of the country's largest
non-energy, foreign-currency earners. Bali accounts for about 60
percent of the industry's income.

But the number of visitors plummeted in the wake of the
terrorist bombings in October 2002 that killed more than 200
people at two nightclubs in Bali's Kuta district, most of them
foreigners.

The slump, which saw the number of visitors drop to about
990,000 from 1,290,000 the previous year, was exacerbated by the
severe acute respiratory syndrome (SARS) outbreak that curtailed
travel throughout Asia in 2003 and general uncertainty generated
by the U.S.-led invasion of Iraq.

Nearly a third of Bali's workers lost their jobs, officials
estimated. Resort restaurants were eerily empty and many hotels
had so few guests that owners closed them down for maintenance.

Bali had been a destination since the 1930s for travelers
seeking a tranquil refuge at an exotic island retreat. It became
internationally famous for lush tropical jungles, dramatic
volcanic scenery, emerald green rice terraces and elaborate
temples.

Bali's culture and physical beauty fueled the tourism sector's
expansion for decades. That was deflated overnight by the
bombing.

More than two years on, the island outwardly seems on track
for a full recovery. Tourist numbers rose steadily, and in 2004
hit a record 1,450,000 arrivals. But earnings have lagged behind
those prior to the 2002 bombings, and the economy remains
vulnerable.

Since the bombing "we have only been getting tourists from
this region whose length of stay is short. Long-haul tourists
from Europe have still not returned," said Meity Robot, vice
chairman of the Indonesian Tourism Council.

But Meity is hopeful the tsunami -- which killed more than
123,000 people in northern Sumatra -- will not have a long-term
effect on tourism.

"Yes, the tsunami will have some impact on Indonesia's tourism
industry, but it will not be significant," she said. "We are
still known for great surfing and diving, exotic lifestyle,
scenery and warm hospitality."

She noted that foreign governments had issued travel warnings
for tsunami-hit destinations such as Phuket in Thailand, which
could make Bali a more attractive alternative.

Residents dependent upon the tourist trade dreading the
possibility of another downturn.

"I lost my job after the Kuta bombings," said Dodi Rizal, a
taxi driver in Bali's provincial capital, Denpasar. "Of course we
are all worried that this could happen again because of the
tsunami."

Nini, a waitress in a restaurant on Seminyak's trendy Jl.
Oberoi, remembers the empty beaches, shops, hotels and nightspots
that followed the terrorist attack.

"We pray that the (effects of the) tsunami will not hit us
here," said Nini.

"It has caused enough devastation in Aceh."