INDONESIA. The deadly terrorist bombings which hit Bali on Saturday are likely to cause a serious downturn in the island’s tourism business – its economic lifeblood.
That impact will also be felt in related sectors, particularly travel retail, not just in Indonesia but in source markets for Bali-bound travellers, particularly Australia.
Powerful blasts ripped through three crowded Bali restaurants on Saturday, killing at least 25 people and injuring dozens more. The attacks again focused on popular tourist areas, almost three years after the 12 October Bali nightclub bombings that killed 202 people, including 88 Australians.
Tourism on the island nose-dived after the 2002 attacks and was just beginning a concerted revival. Saturday’s bombings changed all that.
Indonesia’s Tourism Minister Jero Wacik predicted a sharp drop in visitors, but said he hopes Bali will bounce back. But Australian Prime Minister John Howard urged Australians traveling to Indonesia to reconsider their plans. “They should think very hard about going to Bali,” he told reporters in Sydney
