The flourishing Vietnamese restaurants owned by 'boat people' have been hit by an economic slump due to the hostage crisis spawned by the Abu Sayyaf Group in far-flung Jolo and Basilan, southern Philippines, a Vietnamese told Gulf News.

Village chairman Che Nat Giao, 37, said they are also affected by the Abu Sayyaf incident and the World Trade Centre bombing in New York last September 11.

Tourists no longer visit their village to eat at their restaurant, which is run by their cooperative. Che, 37, is optimistic that Palawan, 900 km southwest of Manila, will bounce back.

All the Vietnamese there want to help the local economy because they do not want anything bad to happen to Palawan. Che said they consider themselves 'adopted Filipinos.

Most of them have a noodle shop business which locals call "chaolongan". They are found all over Puerto Princesa City. It is a term coined from the delicious rice noodle served with mungbean sprout and wild chili called chaolong.

It is a favourite among locals, especially among those who stay out late in the evening because most "chaolongans" operate 24 hours. Chaolong, French bread and Vietnamese spring rolls have become part of the local cuisine just like native cashew nuts.

Market vendor Manny Basconada said he cannot imagine Puerto Princesa without the Vietnamese. Every February, tourists and local residents flock to the Vietnamese Village for the traditional 'Chinese New Year' celebration.

Tourists were often mesmerised by the traditional tikoy (food wrapped in coloured paper), candies for children and a lot of merry-making as former Vietnamese boat people celebrated the start of the year.

In the Vietnamese Village, other enterprising Vietnamese earn a living selling goods ranging from jewellery to umbrellas on an installment basis. They go around the town on motorcycles offering their merchandise at rock-bottom prices.

They also offer loans to those who need money immediately. The interest is lower than that of the lending investors or pawnshops and the payment terms are easy. You can pay whatever amount anytime.

Most of them avoid any misunderstandings with Filipinos and try to be friends with everybody. Those who have remained in Palawan have no intention of going back to Indo-China or joining their relatives in the United States.

Che, for example, arrived in Puerto Princesa City in 1989, when the Vietnam war was over. He said he was not a refugee but a political migrant.