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Pahalgam Terror Attack Strikes Tourism and Economy, Leaving Kashmir in Crisis

Pahalgam, Indian-administered Kashmir – Once a thriving tourist hub, Pahalgam now resembles a ghost town following a deadly terrorist attack that claimed the lives of at least 26 people on Tuesday. The massacre, attributed to the little-known Resistance Front (TRF), marks the deadliest assault in the region in 25 years and raises concerns of escalating tensions between India and Pakistan. Historically, armed rebels in Kashmir had avoided targeting tourists, but the attack has shattered that norm. Hotels and shops along the scenic Liddar River have closed, and the once-bustling town has emptied almost overnight.
Mushtaq Ahmad, a local restaurant owner, recalls being busy the day before but now faces an uncertain future. “We are condemned forever,” he says, expressing doubts that the tourism industry will recover. Arshad Ahmad, a hotelier, was initially overwhelmed with bookings but saw all his customers leave in fear.
The tragedy also claimed the life of Adil Hussain Shah, a local pony rider, who died attempting to protect tourists. His brother, Naushad Shah, shared the details of Adil's heroic actions before his death.
The attack has spurred thousands of tourists to flee Kashmir, fearing further violence. Himani Sharma, a visitor from Haryana, described how she and her family were forced to cut their trip short, while the Indian government made efforts to accommodate the surge in travelers seeking to return home. Chief Minister Omar Abdullah acknowledged the heartbreak caused by the exodus, but emphasized the understandable reasons for tourists' departures.
The attack, coupled with an earlier landslide that had already disrupted travel, has further strained Kashmir’s tourism sector. Local businesses, reliant on the tourism industry, face financial hardship as bookings are canceled en masse. Gulzar Ahmad Wani, a taxi driver in Pahalgam, explained that nearly all his tourist bookings had been canceled since the attack, leaving him in a precarious situation.
Tourism has long been an economic mainstay in Kashmir, but the region’s volatile political climate and past crises have led to fluctuating numbers of visitors. In 2019, the revocation of Article 370 led to a sharp decline in tourism, with further setbacks during the COVID-19 pandemic. However, the industry had been showing signs of recovery in recent years, bolstered by promotional efforts by the Indian government.
Despite this, the attack has raised questions about the future of tourism in the region. Critics argue that efforts to project normalcy in Kashmir have ignored the ongoing unrest and human rights violations. The Indian government’s decision to host the G20 tourism meeting in Kashmir last year was also met with international criticism, further complicating the region’s image.
The local community, especially those in the tourism industry, is now grappling with the aftermath of the attack and its economic consequences. Experts believe the attack could deter future investments, particularly in tourism, and further isolate Kashmir from the global economy. However, some argue that the overall economic impact may be overstated, given that tourism only contributes marginally to the region's GDP.
As the situation unfolds, local residents like Abdul Wahid Wani, a pony operator who helped rescue survivors from the attack, express concern for their livelihoods. Wani, hailed as a hero locally, fears that the attack will have long-lasting effects on tourism, which many in the area depend on for their income.
For the people of Pahalgam, the future remains uncertain, and the attack serves as a stark reminder of the volatility and vulnerability of Kashmir in the face of ongoing political and security challenges.