Advertisement
Indonesia
This Week in AsiaEconomics

No sign of Bali volcano, but it has already destroyed this

Though it has yet to yield a major eruption, Mount Agung still has tens of thousands displaced and is scaring away visitors who fear getting stuck by flight cancellations after their end-of-the-year celebrations

3-MIN READ3-MIN
Passengers wait in line at a ticketing counter at Ngurah Rai International Airport near Denpasar, Bali, Indonesia. Weeks ago tourists were stranded by disruptions from the Bali volcano. Photo: Reuters
Muhammad Cohen

Bali’s tourism industry is struggling to have a merry Christmas as Mount Agung gurgles over the Indonesian holiday island. Four months of heightened seismic activity has yet to produce a major eruption, but has still managed to devastate a crucial tourism season.

Airport closures in late November prevented international travellers from going home for a few days, while tens of thousands of villagers living near the volcano have been unable to go home for months. They’re the most directly impacted of Bali’s 4.2 million residents, but volcano fallout and responses have spread across the island and beyond.

Tourism is Bali’s lifeblood; an estimated 70 per cent of the economy is linked to its 5 million international arrivals and 10 million domestic visitors. Alit Wiraputra, Bali chapter chairman of Kadin, Indonesia’s national chamber of commerce, estimates tourism related revenue losses at US$250 million so far since the volcano alert was issued in September. At government urging, banks have given Bali businesses a six-month hiatus from loan repayments.
Select Voice
Select Speed
1x
AI-generated voice