After Islamist attacks, Tunisia's tourism struggles

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Tunisia tourism trying to rebound one year after attack
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Tunisia tourism trying to rebound one year after attack
Tourists relax on the beach of El Ksar hotel in Sousse, Tunisia June 24, 2016. REUTERS/Zohra Bensemra SEARCH "ZOHRA SOUSSE" FOR THIS STORY. SEARCH "THE WIDER IMAGE" FOR ALL STORIES TPX IMAGES OF THE DAY
A Russian tourist walks in a swimming pool of El Ksar hotel in Sousse, Tunisia June 24, 2016. REUTERS/ Zohra Bensemra SEARCH "ZOHRA SOUSSE" FOR THIS STORY. SEARCH "THE WIDER IMAGE" FOR ALL STORIES
People walk past closed shops in the old city of Sousse, Tunisia June 24, 2016. REUTERS/ Zohra Bensemra SEARCH "ZOHRA SOUSSE" FOR THIS STORY. SEARCH "THE WIDER IMAGE" FOR ALL STORIES
Kamel, 56, a brass carver and vendor of souvenirs, works at his shop as he waits for customers in the old city of Sousse, Tunisia June 23, 2016. REUTERS/ Zohra Bensemra SEARCH "ZOHRA SOUSSE" FOR THIS STORY. SEARCH "THE WIDER IMAGE" FOR ALL STORIES
Tunisians are seen at Dar Al Kamr restaurant during Iftar time at the old city of Sousse, Tunisia June 23, 2016. "Our clientele has changed, we used to receive only foreigners but since the last year terrorist's attack we deal mostly with locals," said Wahid, the restaurant manager. REUTERS/ Zohra Bensemra SEARCH "ZOHRA SOUSSE" FOR THIS STORY. SEARCH "THE WIDER IMAGE" FOR ALL STORIES
Mohammed, 38, a driver of a horse cart waits for tourists along a street while talking in Sousse, Tunisia June 22, 2016. "Our business is almost dead," said Mohammed. "I had to sell two of my four horses, because I do not earn enough to be able to nourish both my family and my horses." REUTERS/ Zohra Bensemra SEARCH "ZOHRA SOUSSE" FOR THIS STORY. SEARCH "THE WIDER IMAGE" FOR ALL STORIES
Khadidja, 60, the only housekeeper kept at her job to maintain the cleanliness of the Imperial Marhaba hotel, which is still closed after it was attacked by a gunman last year, sweeps up the floor at the empty hotel, in Sousse, Tunisia, June 22, 2016. "We think we will re-open next year," said hotel manager Mehrez Saadi. "For now we start by changing the name from the Imperial Marhaba to Kantaoui Bay." REUTERS/ Zohra Bensemra SEARCH "ZOHRA SOUSSE" FOR THIS STORY. SEARCH "THE WIDER IMAGE" FOR ALL STORIES
A memorial plate dedicated to the staff of Imperial Marhaba hotel, which was attacked by a gunman last year, is seen in the garden of the hotel in Sousse, Tunisia June 22, 2016. "We think we will re-open next year," said hotel manager Mehrez Saadi. "For now we start by changing the name from the Imperial Marhaba to Kantaoui Bay." The writing in French reads: "Imperial Marhaba hotel. A tribute to all the staff for their courage and heroism during the tragic events of June 26, 2015." REUTERS/ Zohra Bensemra SEARCH "ZOHRA SOUSSE" FOR THIS STORY. SEARCH "THE WIDER IMAGE" FOR ALL STORIES
The Sousse port is seen from the lookout tower of the Ribat fortress in the old city of Sousse, Tunisia June 23, 2016. REUTERS/ Zohra Bensemra SEARCH "ZOHRA SOUSSE" FOR THIS STORY. SEARCH "THE WIDER IMAGE" FOR ALL STORIES
The gate of the Imperial Marhaba hotel's beach, which was attacked by a gunman last year, is seen locked in Sousse, Tunisia June 22, 2016. "We think we will re-open next year," said hotel manager Mehrez Saadi. "For now we start by changing the name from the Imperial Marhaba to Kantaoui Bay." REUTERS/ Zohra Bensemra SEARCH "ZOHRA SOUSSE" FOR THIS STORY. SEARCH "THE WIDER IMAGE" FOR ALL STORIES
Armchairs are covered with sheets to protect them from dust at the empty Imperial Marhaba hotel hall, which is still closed after it was attacked by a gunman last year in Sousse, Tunisia June 22, 2016. "We think we will re-open next year," said hotel manager Mehrez Saadi. "For now we start by changing the name from the Imperial Marhaba to Kantaoui Bay." REUTERS/ Zohra Bensemra SEARCH "ZOHRA SOUSSE" FOR THIS STORY. SEARCH "THE WIDER IMAGE" FOR ALL STORIES
A tourist police member patrols near the beachside of the Imperial Marhaba hotel which was attacked by a gunman last year in Sousse, Tunisia June 26, 2016. REUTERS/ Zohra Bensemra
Czech boys build sandcastles at the beachside of the Imperial Marhaba hotel which was attacked by a gunman last year in Sousse, Tunisia June 26, 2016. REUTERS/ Zohra Bensemra
Russian tourits are are buried in the hot sand as they relax at the beachside of the Imperial Marhaba hotel which was attacked by a gunman last year in Sousse, Tunisia June 26, 2016. REUTERS/ Zohra Bensemra
Tourist police members patrol at the beachside of El Ksar hotel in Sousse, Tunisia June 26, 2016. REUTERS/ Zohra Bensemra
A tourist jokes with a beach seller at the beachside of El Ksar hotel in Sousse, Tunisia June 26, 2016. REUTERS/ Zohra Bensemra
Tobias Ellwood, a British Foreign Office minister, lays flowers with tags bearing names of victims on the beach of the Imperial Marhaba resort, during a memorial ceremony on the first anniversary of an attack by a gunman at the hotel in Sousse, Tunisia June 26, 2016. REUTERS/Zohra Bensemra
Flowers and messages are pictured on the beach of the Imperial Marhaba resort, during a memorial ceremony on the first anniversary of an attack by a gunman at the hotel in Sousse, Tunisia June 26, 2016. REUTERS/Zohra Bensemra
Flowers bearing tags with names of victims are pictured on the beach of the Imperial Marhaba resort, during a memorial ceremony on the first anniversary of an attack by a gunman at the hotel in Sousse, Tunisia June 26, 2016. REUTERS/Zohra Bensemra TPX IMAGES OF THE DAY
Flowers bearing tags with names of victims are pictured on the beach of the Imperial Marhaba resort, during a memorial ceremony on the first anniversary of an attack by a gunman at the hotel in Sousse, Tunisia June 26, 2016. REUTERS/Zohra Bensemra
Tourists pass a plaque dedicated to victims on the beach of the Imperial Marhaba resort, on the first anniversary of an attack by a gunman at the hotel in Sousse, Tunisia June 26, 2016. REUTERS/Zohra Bensemra TPX IMAGES OF THE DAY
A plaque dedicated to victims is pictured on the beach of the Imperial Marhaba resort, during a minute of silence to mark the first anniversary of an attack by a gunman at the hotel in Sousse, Tunisia June 26, 2016. REUTERS/Zohra Bensemra
Flowers and messages are pictured on the beach of the Imperial Marhaba resort, during a memorial ceremony on the first anniversary of an attack by a gunman at the hotel in Sousse, Tunisia June 26, 2016. REUTERS/Zohra Bensemra
Survivors stand on the beach of the Imperial Marhaba resort, before a memorial ceremony on the first anniversary of an attack by a gunman at the hotel in Sousse, Tunisia June 26, 2016. REUTERS/Zohra Bensemra
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SOUSSE, Tunisia, June 25 (Reuters) - A year after 39 mostly British holidaymakers were gunned down on a beach in Sousse, Tunisia's tourist industry is still struggling to recover from the attack and an earlier Islamic State raid on a museum in Tunis.

The Imperial Marhaba hotel attacked by Saifeddine Rezgui remains closed, and other hotels have also shut down as British tour groups, once among the resort's main visitors, stay away.

Tourism accounts for 8 percent of Tunisia's gross domestic product, provides thousands of jobs and is a key source of foreign currency. Lost revenues -- down 35 percent last year, at $1.5 billion -- helped push the dinar currency to historic lows against the dollar and euro this month.

At the shuttered Marhaba, where Rezgui worked his way through the beach to the pool and lobby, killing as he went, bullet holes still mark the outer walls.

Look back at the aftermath of the attack:

31 PHOTOS
Tunisia attack memorials, terrorism
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Tunisia attack memorials, terrorism
A man kisses a Tunisian flag at the site of a shooting attack on the beach in front of the Riu Imperial Marhaba Hotel in Port el Kantaoui, on the outskirts of Sousse south of the capital Tunis, on June 28, 2015. The Islamic State (IS) group claimed responsibility on June 27 for the massacre in the seaside resort that killed nearly 40 people, most of them British tourists, in the worst attack in the country's recent history. AFP PHOTO / KENZO TRIBOUILLARD (Photo credit should read KENZO TRIBOUILLARD/AFP/Getty Images)
SOUSSE, TUNISIA - JUNE 28: Flowers and tributes are left at Marhaba beach near to where 38 people were killed on Friday in a terrorist attack on June 28, 2015 in Souuse, Tunisia. Sousse beaches remain quiet following the Tunisia beach attack which left 38 dead, including at least 15 Britons while numerous tourists returned to the UK with more set to follow in the coming days. (Photo by Jeff J Mitchell/Getty Images)
SOUSSE, TUNISIA - JUNE 28: A candle and flowers are left at Marhaba beach near to where 38 people were killed on Friday in a terrorist attack on June 28, 2015 in Souuse, Tunisia. Sousse beaches remain quiet following the Tunisia beach attack which left 38 dead, including at least 15 Britons while numerous tourists returned to the UK with more set to follow in the coming days. (Photo by Jeff J Mitchell/Getty Images)
A flower lays on a beach was the site of a shooting attack in Sousse, Tunisia, Saturday, June 27, 2015. The morning after a lone gunman killed dozens of people at a beach resort in Tunisia, busloads of tourists are heading to the nearby Enfidha-Hammamet airport hoping to return to their home countries. (AP Photo/Darko Vojinovic)
SOUSSE, TUNISIA - JUNE 27: A woman grieves as she lay flowers at the beach next to the Imperial Marhaba Hotel where 38 people were killed yesterday in a terrorist attack on June 27, 2015 in Souuse, Tunisia. Habib Essid Prime Minister of Tunisia announced a clampdown on security after the attack on a holiday resort.. (Photo by Jeff J Mitchell/Getty Images)
Tourists mourn at the site of a shooting attack on the beach in front of the Riu Imperial Marhaba Hotel in Port el Kantaoui, on the outskirts of Sousse south of the capital Tunis, on June 28, 2015. The Islamic State (IS) group claimed responsibility on June 27 for the massacre in the seaside resort that killed nearly 40 people, most of them British tourists, in the worst attack in the country's recent history. AFP PHOTO / KENZO TRIBOUILLARD (Photo credit should read KENZO TRIBOUILLARD/AFP/Getty Images)
Flower bouqets are seen at the site of a shooting attack on the beach in front of the Riu Imperial Marhaba Hotel in Port el Kantaoui, on the outskirts of Sousse south of the capital Tunis, on June 28, 2015. The Islamic State (IS) group claimed responsibility on June 27 for the massacre in the seaside resort that killed nearly 40 people, most of them British tourists, in the worst attack in the country's recent history. AFP PHOTO / KENZO TRIBOUILLARD (Photo credit should read KENZO TRIBOUILLARD/AFP/Getty Images)
SOUSSE, TUNISIA - JUNE 27: People view flowers placed at the beach next to the Imperial Marhaba Hotel where 38 people were killed yesterday in a terrorist attack on June 27, 2015 in Souuse, Tunisia. Habib Essid Prime Minister of Tunisia announced a clampdown on security after the attack on a holiday resort.. (Photo by Jeff J Mitchell/Getty Images)
SOUSSE, TUNISIA - JUNE 28: Tourists carry a Tunisian flag along Marhaba beach where 38 people were killed on Friday in a terrorist attack on June 28, 2015 in Souuse, Tunisia. Sousse beaches remain quiet following the Tunisia beach attack which left 38 dead, including at least 15 Britons. Around 1,000 tourists returned to the UK with more set to follow in the coming days. (Photo by Jeff J Mitchell/Getty Images)
SOUSSE, TUNISIA - JUNE 28: Holidaymakers view flowers left on Marhaba beach where 38 people were killed on Friday in a terrorist attack on June 28, 2015 in Souuse, Tunisia. Sousse beaches remain quiet following the Tunisia beach attack which left 38 dead, including at least 15 Britons. Around 1,000 tourists returned to the UK with more set to follow in the coming days. (Photo by Jeff J Mitchell/Getty Images)
Camels are seen walking past flower bouquets at the site of a shooting attack on the beach in front of the Riu Imperial Marhaba Hotel in Port el Kantaoui, on the outskirts of Sousse south of the capital Tunis, on June 28, 2015. The Islamic State (IS) group claimed responsibility on June 27 for the massacre in the seaside resort that killed nearly 40 people, most of them British tourists, in the worst attack in the country's recent history. AFP PHOTO / KENZO TRIBOUILLARD (Photo credit should read KENZO TRIBOUILLARD/AFP/Getty Images)
SOUSSE, TUNISIA - JUNE 28: Armed police on patrol on Marhaba beach pass by tributes left to the 38 people killed on Friday in a terrorist attack on June 28, 2015 in Souuse, Tunisia. Sousse beaches remain quiet following the Tunisia beach attack which left 38 dead, including at least 15 Britons. Around 1,000 tourists returned to the UK with more set to follow in the coming days. (Photo by Jeff J Mitchell/Getty Images)
Tourists look at flowers at the site of a shooting attack on the beach in front of the Riu Imperial Marhaba Hotel in Port el Kantaoui, on the outskirts of Sousse south of the capital Tunis, on June 28, 2015. The Islamic State (IS) group claimed responsibility on June 27 for the massacre in the seaside resort that killed nearly 40 people, most of them British tourists, in the worst attack in the country's recent history. AFP PHOTO / KENZO TRIBOUILLARD (Photo credit should read KENZO TRIBOUILLARD/AFP/Getty Images)
SOUSSE, TUNISIA - JUNE 28: Tourists carry a Tunisian flag along Marhaba beach where 38 people were killed on Friday in a terrorist attack on June 28, 2015 in Souuse, Tunisia. Sousse beaches remain quiet following the Tunisia beach attack which left 38 dead, including at least 15 Britons. Around 1,000 tourists returned to the UK with more set to follow in the coming days. (Photo by Jeff J Mitchell/Getty Images)
Tourists mourn at the site of a shooting attack on the beach in front of the Riu Imperial Marhaba Hotel in Port el Kantaoui, on the outskirts of Sousse south of the capital Tunis, on June 28, 2015. The Islamic State (IS) group claimed responsibility on June 27 for the massacre in the seaside resort that killed nearly 40 people, most of them British tourists, in the worst attack in the country's recent history. AFP PHOTO / KENZO TRIBOUILLARD (Photo credit should read KENZO TRIBOUILLARD/AFP/Getty Images)
SOUSSE, TUNISIA - JUNE 27: A man and woman place flowers at the beach next to the Imperial Marhaba Hotel where 38 people were killed yesterday in a terrorist attack on June 27, 2015 in Souuse, Tunisia. Habib Essid Prime Minister of Tunisia announced a clampdown on security after the attack on a holiday resort. (Photo by Jeff J Mitchell/Getty Images)
Tourists take part in a gathering in solidarity with Tunisia's tourism industry, on June 29, 2015 on the island of Djerba, following a deadly gun attack at a holiday resort near Sousse. Tunisia said it had made its first arrests after a beach massacre on June 26 that killed 38 people, as European officials paid tribute to victims of the country's worst jihadist attack. AFP PHOTO / FETHI NASRI (Photo credit should read FETHI NASRI/AFP/Getty Images)
British Home Secretary Theresa May (2nd L), Tunisian Interior Minister Mohamed Najem Gharsalli (C), German Interior Minister Thomas de Maiziere (2nd R) and French Interior Minister Bernard Cazeneuve (R) give a press conference in the Riu Imperial Marhaba Hotel in Port el Kantaoui, on the outskirts of Sousse south of the capital Tunis, on June 29, 2015. Britain's Home Secretary Theresa May vowed that 'the terrorists will not win' after paying tribute in Tunisia to the 38 people, mainly Britons, killed by a jihadist gunman. AFP PHOTO / KENZO TRIBOUILLARD (Photo credit should read KENZO TRIBOUILLARD/AFP/Getty Images)
(L to R bottom) French Interior Minister Bernard Cazeneuve, German Interior Minister Thomas de Maiziere, Tunisian Interior minister Mohamed Najem Gharsalli and British Home Secretary Theresa May lay flowers on the site of a shooting attack on the beach in front of the Riu Imperial Marhaba Hotel in Port el Kantaoui, on the outskirts of Sousse south of the capital Tunis, on June 29, 2015. The Islamic State (IS) group claimed responsibility on June 27 for the massacre in the seaside resort that killed nearly 40 people, most of them British tourists, in the worst attack in the country's recent history. AFP PHOTO / KENZO TRIBOUILLARD (Photo credit should read KENZO TRIBOUILLARD/AFP/Getty Images)
WALSALL, ENGLAND - JUNE 29: Flowers and football tributes are laid outside Walsall Football Club in memory of, Adrian Evans, Patrick Evans and Joel Richards who were among 38 people who killed in a terrorist attack in Sousse, Tunisia on June 29, 2015 in Walsall, England. Owen Richards, aged 16, was injured in the attack but witnessed his brother Joel, 19, uncle Adrian, 49, and grandad Patrick Evans, 79, being killed by the gunman. A total of 38 people, the majority of them British, were killed by a gunmen in an attack on a beach in the Tunisian resort of Sousse. (Photo by Christopher Furlong/Getty Images)
A British resident of Sousse, who refused to be identified, reacts during a gathering at the scene of the attack in Sousse, Tunisia, Sunday, June 28, 2015. The Friday attack on tourists at a beach is expected to be a huge blow to Tunisia's tourism sector, which made up nearly 15 percent of the country's gross domestic product in 2014. (AP Photo/Abdeljalil Bounhar)
A women holds candle during a protest against terrorism in Sousse, Tunisia, Saturday, June 27, 2015. The morning after a lone gunman killed at tens of people at a beach resort in Tunisia, busloads of tourists are heading to the nearby Enfidha-Hammamet airport hoping to return to their home countries. (AP Photo/Darko Vojinovic)
An unidentified tourist reacts as she passes next to the scene of Friday's shooting attack in the coastal town of Sousse, Tunisia, Sunday, June 28, 2015. The Friday attack on tourists at a beach is expected to be a huge blow to Tunisia's tourism sector, which made up nearly 15 percent of the country's gross domestic product in 2014. (AP Photo/Abdeljalil Bounhar)
Flowers are laid at the scene of Friday's shooting attack in the coastal town of Sousse, Tunisia, Saturday, June 27, 2015. Tunisia's prime minister announced on Saturday a string of new security measures including closing renegade mosques and calling up army reservists as thousands of tourists fled the North African country in wake of its worst terrorist attack ever. Tourists crowded into the airport at Hammamet near the coastal city of Sousse where a young man dressed in shorts on Friday pulled an assault rifle and grenades out of his beach umbrella and killed 38 people, mostly tourists. (AP Photo/Leila Khemissi)
Flowers at the scene of the shooting in Sousse, Tunisia, Saturday, June 27, 2015. The morning after a lone gunman killed tens of people at a beach resort in Tunisia, busloads of tourists are heading to the nearby Enfidha-Hammamet airport hoping to return to their home countries. (AP Photo/Darko Vojinovic)
A candle and a note in German reading, "Mourning cannot be seen, not heard, can only be felt. It is a fog without contour. One would like to grasp this fog and pull it away. But the hand grabs into emptiness", at the scene of Friday's shooting attack in Sousse, Tunisia, Saturday, June 27, 2015. The morning after a lone gunman killed dozens of people at a beach resort in Tunisia, busloads of tourists are heading to the nearby Enfidha-Hammamet airport hoping to return to their home countries. (AP Photo/Darko Vojinovic)
A British family, who witnessed the beach massacre by a jihadists gunman the previous week, lay flowers at the site of the attack on the beach in front of the Riu Imperial Marhaba Hotel in Port el Kantaoui, on the outskirts of Sousse south of the capital Tunis, on June 30, 2015. Tunisia's President Beji Caid Essebsi has admitted security services were not prepared for the beach attack, as authorities warned the country is likely to lose more than half-a-billion dollars in tourism revenues. AFP PHOTO / KENZO TRIBOUILLARD (Photo credit should read KENZO TRIBOUILLARD/AFP/Getty Images)
A British family, who witnessed the beach massacre by a jihadists gunman the previous week, mourn as they lay flowers at the site of the attack on the beach in front of the Riu Imperial Marhaba Hotel in Port el Kantaoui, on the outskirts of Sousse south of the capital Tunis, on June 30, 2015. Tunisia's President Beji Caid Essebsi has admitted security services were not prepared for the beach attack, as authorities warned the country is likely to lose more than half-a-billion dollars in tourism revenues. AFP PHOTO / KENZO TRIBOUILLARD (Photo credit should read KENZO TRIBOUILLARD/AFP/Getty Images)
WALSALL, ENGLAND - JUNE 29: Flowers and football tributes are laid outside Walsall Football Club in memory of, Adrian Evans, Patrick Evans and Joel Richards who were among 38 people who killed in a terrorist attack in Sousse, Tunisia on June 29, 2015 in Walsall, England. Owen Richards, aged 16, was injured in the attack but witnessed his brother Joel, 19, uncle Adrian, 49, and grandad Patrick Evans, 79, being killed by the gunman. A total of 38 people, the majority of them British, were killed by a gunman in an attack on a beach in the Tunisian resort of Sousse. (Photo by Christopher Furlong/Getty Images)
Flower bouquets are seen at the site of a shooting attack on the beach in front of the Riu Imperial Marhaba Hotel in Port el Kantaoui, on the outskirts of Sousse south of the capital Tunis, on June 29, 2015. Tunisia said it had made its first arrests after a beach massacre that killed 38 people, as European officials paid tribute to victims of the country's worst jihadist attack. AFP PHOTO / KENZO TRIBOUILLARD (Photo credit should read KENZO TRIBOUILLARD/AFP/Getty Images)
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On a recent day only three tourists were lounging on its beach, where a year ago visitors laid flowers and messages on the sand in memory of those who died on June 26, 2015.

"We think we will re-open next year," said hotel manager Mehrez Saadi. "For now we start by changing the name from the Imperial Marhaba to Kantaoui Bay."

Reviving a tourist industry also hit by the deaths of 21 foreign visitors in another attack by Islamic State gunmen on the Bardo national museum in the capital may take more than a change of hotel names.

Tourist arrivals fell to 5.5 million last year, the lowest in decades, after several European tour companies and cruise operators suspended operations, and numbers this year are expected to be similar.

In 2014, Tunisia had attracted 760,000 holidaymakers from France, 425,000 Germans and 400,000 Britons, according to Euromonitor International.

Tourism Minister Salma Elloumi Rekik told Reuters she was urging European leaders to support Tunisia by lifting warnings against travel to the North African state. She said initial airline bookings for the summer looked positive.

RUSSIANS, ALGERIANS

Since the Bardo and Sousse attacks, Tunisian authorities have stepped up security at major tourism sites and hotels, to try to reassure tourism companies and foreign governments that visitors will be safe.

"There are lots of police around and armed officers in the tourism areas, so it seems very safe," said one Russian tourist visiting the old market area in the capital.

But shopkeepers in the traditional medina in Tunis and the boardwalk along Sousse's long stretch of beach where horse-drawn carts used to ferry visitors said they had yet to see any pick up in activity.

"The number of English tourists is down by 98 percent in Sousse," said regional tourism representative Fouad el Ouad.

Survivors Recall Tunisia Attack

Only 9,000 visitors were currently in the resort, which has 90 hotels and 40,000 beds, he said, compared with around 40,000 in June of previous years.

More than half of those are Russians, targeted as a new market along with visitors from neighboring Algeria.

"We really hope the European tourists start to come back," said a crafts seller in Sousse. "This season there are much less than the last one in terms of the number.

"Maybe we will see the Algerians start to come after Ramadan," he added, referring to the Muslim Holy month, which finishes around July 5.

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