Fears the attack could dent a revival in tourism have, so far, not been realised
When news of the Australian embassy bombing in Jakarta hit Bali, beach masseuse Ketut Madiana let out a cry of anguish.
'Just when Bali is getting back on its feet, this happens,' Ms Ketut said. 'Please, no need to feel afraid, Bali is safe. There is no terrorism here.'
Her desperate attempt at reassurance has been echoed across the island over the past week, amid fears an exodus of foreign tourists would take its economic recovery back to square one.
Tourism to Bali has been bouncing back from the October 2002 attack on two nightspots that killed 202 people, mostly western tourists.
The streets have been humming with optimism. You have not been able to get a table at Seminyak's trendy restaurants without booking, hotels have been full and charging high-season rates, new developments are springing up across the island and traffic along the main tourist strip in Kuta is gridlocked, just like old times.
The latest official statistics show that in July, foreign arrivals numbered more than any July in history, boosting year-to-date numbers by 60 per cent compared to last year. There were 796,000 foreign visitors in Bali in the first seven months of this year, just short of the 2002 figure.