Thinking of canceling your trip to South Korea because of the MERS virus outbreak? Relax, the government will insure you.
More than 100,000 tourists have already dropped plans to visit the country, and if many more stay away the economy could lose billions of dollars.
South Korea now says that foreign visitors will be automatically insured against the risk of contracting Middle East Respiratory Syndrome."To relieve the anxiety of the foreign tourists, we will develop and promote [an] insurance package that compensates foreign tourists if they are confirmed with MERS during their stay in South Korea," a spokesperson for the Ministry of Culture and Tourism said.The government is still working out the details with an insurance company, and it's not immediately clear how much cover will be provided, or when the plan will go into effect.But it's part of a broader effort to reassure travelers. The country's main tourism website, for example, prominently displays the phone number of a MERS hotline specifically for tourists.
South Korea MERS death toll at 20; 8 more cases diagnosed
The government estimates that a 20% decline in visits during the peak June to August tourism season would cost the industry $900 million in lost revenue. A 50% decrease in numbers would cost $2.3 billion.South Korea's economy was looking shaky even before the MERS outbreak killed 20 people. On Wednesday, the government announced eight new cases, ringing the total number to 162 -- 18 of whom are in an "unstable" condition.
South Korea races to limit economic fallout from MERS
Last week, the Bank of Korea warned that MERS posed a significant threat, and cut its main interest rate to a record low to try to contain the fallout. By making it cheaper for companies and households to borrow, the central bank is hoping to stoke domestic demand.
South Korea's economy is home to major global companies such as Samsung (SSNLF) and Hyundai (HYMTF), and heavily dependent on exports. Domestic consumption has been weak in recent months, and external demand has slowed.The International Monetary Fund warned last month that officials should take measures to stimulate the economy if signs of a recovery did not emerge soon. It expects growth to stagnate around 3.3% this year.
More than 1,400 meters above sea level, amidst Nepal's
treacherous alpine terrain, an entire mountain is shaking.
The terrifying tremors last for about five
seconds. They send the few villagers left in the remote village
of Mandre -- a 174km drive northwest of Kathmandu,
when roads are passable -- scrambling down the mountainside towards the
relative safety of the plains. Most of the village has taken refuge there since
the devastating 7.8-magnitude earthquake struck more than a week ago.
We hear a landslide below us. In the distance,
three more can be seen, triggered by the jolt.
Sunil
Bishokerma, making his way up the mountain with his brother to search for his
missing family members, tells us his whole body is in shock.
No assistance
We are making our way on foot in an attempt to
reach Barpak, a village in Nepal's
Western Region. It lies more than 2,000 meters above sea level, at the
epicenter of the deadly April 25 quake which has claimed 7,365 lives.The route
here has involved an eight-hour drive west from Nepal's capital, along a bumpy
road winding its way along the banks of the Trishuli River.As we drive among
stunning Himalayan scenery, the effects of the earthquake gradually reveal
themselves.We meet a mother, Miru, who tells us her family have lost
everything. The only consolation -- that they still have their daughter
Sanjita, who was nearly killed when their house collapsed.At a local grocery
store, we meet a group from a village further up the mountain. They've been
walking down to the road every day since the quake hit to try to get
assistance, but so far none has arrived.The little aid we do see is generated
by the community. We encounter 10 friends who say they have driven 100 km (62 miles) on their motorbikes to
distribute supplies."We have heard that (the) earthquake affect(ed) that
village and we came to help them," says one.Further along, we reach the
end of the road. Massive boulders have tumbled down the mountainside, crushing
a digger and blocking the road, cutting off what lies beyond from a vital
lifeline to aid. From here we must continue on foot.
Abandoned village
The
arduous path up the mountain is marked with gaping crevasses and uprooted
trees, tossed down the slope. Porters say we should proceed with caution, as
the steep walkway is unstable and there is a constant threat of falling debris
from the frequent tremors.
The
village of Mandre -- or what is left of it -- is
unnervingly empty.
Unlike
many other villages we've passed through, there are no shelters pitched next to
the ruined homes.
There
are only markers of what has been lost. A child's doll -- a Winnie the Pooh
plush toy -- lies abandoned amid the scattered stones and broken timber of what
was once a home. There's a fresh grave for three young women, marked with a
traditional necklace showing one was married.
Nepalese
troops arrive to dig out the bodies of livestock buried beneath the rubble, the
decomposing carcasses leaving a heavy stink in the air. But there's no sign
that any aid has made it here, other than three tents dropped days earlier.
complete devastation
Further up the mountain -- a seven-hour trek
from where we left our vehicle, stopping to film along the way -- we finally
reach Barpak.
The scene is one of complete devastation. The
mountainside is dotted with white stones marking graves of the freshly buried.
Ninety-five percent of the homes here are destroyed -- those that survived are
made of brick and concrete, as opposed to the stone and timber construction
that predominates.
The village is a sea of debris: corrugated iron
and piled timber. There's a din of clanking and hammering, as residents
undertake the work of dismantling the wreckage themselves.
Even here, at the earthquake's epicenter, aid
has been frustratingly slow in arriving. One of the few signs of assistance is
an Indian army medical team, treating the infected head wound of an injured
girl, who cries as they insert stitches.
'Best we can'
Why more assistance has failed to make it from Kathmandu to here, where it is needed most, seems
inexplicable.
But Nepal's Information Minister
Minendra Rijal says the country's response is the best it could do, given the
paucity of its resources and the magnitude of the disaster.
"Given the resources we have, given the
situation that we're facing, I would say we're doing the best we can," he
tells CNN.
"I'm not saying that it could not have been
better -- it could have been better -- but I would not say this is something to
complain a lot about."
He compared the government's response to the U.S.'s struggle
to respond to Hurricane Katrina -- and disputed claims that unlike Katrina,
this earthquake was anticipated.
"This was also unexpected," he said.
"The
preparations that were made in the workshops and seminars were simply of no
use... No one forecasted an earthquake which would span as large an area as it
did, which would affect as many people as it did."
Tearful reunion
Back in Barpak, Bishokerma chases information
from locals about the fate of his family members.
He has received no word from them since the
quake.
There's an ominous piece of news from a local
resident: she says a girl was killed on their street.
Things do not look promising on the approach to
the site of their former home, now a cascade of rubble. Bishokermawalks slowly, dreading what he may
discover.
But there's good news. His aunt rushes out from
a tent and throws her arms around him.
"My god, they are okay," says
Bishokerma, as tears stream down his cousin's face.
They have lost almost everything. But at least
they are alive.
