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Part 3

Non-Destination Nepal!

Josy Joseph in Kathmandu

Preface | Part 1 | Part 2

"I won't come back."

And with that, American tourist Margaret Taylor, 33, prepares to enter the crowded terminal of the Tribhuvan International Airport.

She and her two children had arrived in Kathmandu on December 30 to celebrate the New Year.

"But it was a nightmare," she says.

After a late dinner on December 31 she had gone to bed. She planned to sightsee the next day.

January 1 dawned, but the streets were held at ransom by anti-Hrithik Roshan mobs. There were demonstrations, spurts of violence.

"For the first two days of New Year we did nothing. I felt so helpless with my children," Taylor says.

They had to stay inside, watching television, which "we could have done at home too". After a tense week, now they were leaving Nepal.

Taylor is not alone. Mob violence, bandhs and political instability are chasing away thousands of tourists.

Statistics released by the Nepal Tourism Board show that in the 12 months that began with the hijack of IC 814 and ended in mayhem, the inflow of tourists by air has fallen 10.61 per cent.

This is the first negative growth that Nepal's tourism industry has recorded in seven years: if 1999 saw 421,181 foreign tourists flying in (86 per cent arrive by air), 2000 could account for just 376,503.

The number of Indian tourists, too, has plunged. By 31 per cent, from 140,000 to 96,000.

A desperate government, hence, has declared 2002 as Destination Nepal Year and targets to bring in one million tourists. But that, many feel, is too ambitious.

"That will remain a dream as long as these bandhs and hartals are here," says Bharat Karki, former chairman of the Royal Nepal Airlines. "There is a visible lack of confidence [among foreign tourists], thanks to the mayhem."

The lack of political will to contain the violence, he goes on, has hit not just tourist arrivals, but the overall infrastructure of the industry.

"Royal Nepal Airlines used to have 19 planes till a few years back. Now we have only nine planes," he says.

"Tourism is one sector in which Nepalese have invested a lot," points out Himalaya S Rana, one of the country's pioneer bankers.

A former finance secretary and the first chairman of the Nepal Rashtriya Bank, he currently heads the Himalayan Bank.

"There are good hotels by South Asian standards, there are a number of good travel agencies, trekking agencies, rafting agencies," Rana says. "But when you have incidents like this, arson, violence and bandhs, the tourists cannot visit the places they want to."

Pradeep Shreshta, president of the Federation of Nepal Chamber of Commerce and Industry, agrees: "It has had a really big impact on our country, business, and tourism."

Tourists who arrived in Kathmandu on the first two days of January had to pay exorbitant prices for rickshaws to take them to their hotels. And once there, they were stuck.

"I paid Rs 500 for a rickshaw. And then for the next two days I had to stay inside!" says European tourist Jason Mark.

The effect on the tourism industry, experts feel, has far-reaching consequences.

"The loss is not just in monetary terms. It is multilevel, long-term," explains Shreshta. "The overall impact on the business environment is heavy. In the past, it has never been to this extent."

For instance, on the second day of violence, December 27, there was a lot of panic among investors. Indians are the biggest foreign investors in Nepal, accounting for over one-third of the total FDI.

The total GDP contribution from Nepal's industry is just 10 per cent, and there is a struggle on to improve this. But it has been set back badly by the bandhs.

Himalaya Rana Himalaya Rana points out that during the violence several Indian establishments and joint ventures with Indian partners were targeted.

"Are they trying to say they are not welcome?" asks Rana, a leading advocate for foreign investment.

During the troubled days, the speculation was that India would intervene. "It was a genuine fear," Kunda Dixit, editor of the Nepali Times.

Columnist Mana Ranjan Josse, known for his strident anti-India writings, looks at the violence as "a determined registration of people's trust in democracy, which is just 10 years old."

He says such crises make the people want to revert to monarchy. "I think the king is behaving like a Hamlet, he can't decide. If it was his father, he would have acted long ago. And said, look I have allowed this for 10 years, now see what is happening. I am also responsible to this country and people," Josse says.

Another reason, as Kunda Dixit points out, could be that Nepal is not yet mature for democracy, as a generation of ineffective politicians runs the kingdom.

"They have no interest in the people who voted them to power. It is a cynical game. This has a backlash against democracy itself.

"People are not just blaming the politicians, they are blaming the system too. That is the most dangerous part," he says.

Concluded.

The Kukri Factor | Part 1 | Part 2 | Part 3

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Photographs: Josy Joseph
Page design: Dominic Xavier

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