Safety & security (Weakness)
The kidnapping incidents and political instability in certain areas of Mindanao triggered the issuance of travel advisories by the US and Japan and other countries.
In the southern Philippines, Japanese tourists were kidnapped, prompting the government of Japan, the largest source of tourists, to recommend against visiting the Philippines.
The September 11, 2001 (9/11) terrorist attack in the US further declined arrivals from the US.
The Iraq War and the SARS outbreak worsened the performance of the industry.