South of Bang Thao is Kamala Beach, a curving strip of coral sand backed by coconut palms. Unlike the more upscale enclaves to the north, Kamala Beach had some reasonably priced accommodations. The area suffered some of the worst destruction on Phuket during the tsunami but has fully recovered. You won't see many (if any) signs of the damage, but many local taxi drivers and shop owners can give personal accounts of the day the wave hit.
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