Tourists could find they have the beach to themselves

The World Tourism Organisation said nervousness about travel had already knocked the fragile industry before a war had even begun.

And it warned of further damage ahead.

The slowdown in bookings has been compounded by the unknown illness emerging from Asia, leading to the cancellation of holidays across the Continent.

'Lesser of two evils'

These latest blows to world travel come at a crucial time for an industry teetering on recovery, following the September 11 attacks and general economic gloom in many parts of the world.

It is likely that in the next few months, thousands of jobs will disappear Francesco Frangialli, World Tourism Organisation

But the World Tourism Organisation warned that the situation would probably get far worse.

"It is likely that, in the next few months, thousands of jobs will disappear," warned the organisation's secretary general Francesco Frangialli.

Mr Frangialli said the only hope was that any conflict would be over quickly.

"If the conflict is short and brings a reduction of uncertainties, that will be the lesser of two evils."

Travel bug

While the war dominates travel fears, a mysterious respiratory disease has caused another dent in Asia's travel industry, still struggling to recover after last December's bomb in Bali.

Cases and suspected cases have been reported in Canada and several countries in Asia, and linked to nine deaths so far.

US tourists have boosted India's economy

Regional health authorities are now warning against unnecessary travel to affected areas because travellers returning home are in danger of spreading the disease.

"Several tour operators have alerted us to cancellations of trips to Singapore," said the Singapore Tourism Board.

In Hong Kong, tourism officials said the disease had curtailed incoming visitors with new bookings down by 80-90% in the past few days.

Tourism, particularly from mainland China, is a major source of revenue for Hong Kong businesses which are already suffering a sharp downturn because of falling prices and rising unemployment.

The outbreak has come at a particularly bad time for the sporting world, ahead of the Hong Kong Sevens rugby tournament on 28-30 March.

Getting it over with

Elsewhere, the threat of a war has been enough to persuade nervous travellers to stay home.

Greek ministers are hoping for a swift war

"There have been up to 80%... cancellations from tourists in Western countries," said an Indian tour operator Vikram Madhok.

India's tourism industry is still recovering from last year's near war between India and Pakistan.

But with the US and Europe making up its main visitors, it now faces a re-run of the post-September 2001 reluctance to travel overseas.

"If it is a quick war, and they are over and done with it soon, it may not be all that bad," said Mr Madhok.

Closer to home, the Greek tourism industry is hoping for a swift end to the conflict.

Summer bookings are frozen at 15% below those of last year as holidaymakers await an end to the fighting.