Malaysia ranks top in the Global Islamic Economy for the 12th year

According to the State of the Global Islamic Economy (SGIE) Report 2025/2026, Malaysia has secured the top position in the Global Islamic Economy Indicator, maintaining its leadership in the global halal economy for the 12th consecutive years.

The report stated the achievement reflected the strength of its halal ecosystem, particularly in halal trade facilitation, certification excellence and industry development.

Malaysia also showed continued strength across key sectors, ranking first in halal food, Islamic finance as well as halal pharmaceuticals and cosmetics, aside from maintaining top-tier positions across all six sectors of the Islamic economy.

Halal Development Corporation Bhd (HDC) Chairman, Prof Dr Mohd Afandi Salleh said, Malaysia’s continued leadership in the global Islamic economy demonstrates its commitment to advancing the halal economy based on quality, trust and ethical values.

“Through stronger halal trade connectivity and proactive halal diplomacy, we are contributing to a more integrated and resilient global halal economy,” he said, as reported by Bernama.

The chairman elaborated, Malaysia will continue to champion innovation, sustainability and international collaboration, ensuring the halal industry remains competitive and future-ready as the sector evolves.

State of the Global Islamic Economy (SGIE) is a prominent, multi trillion dollar economic sector spanning seven key consumer areas: halal food, pharmaceuticals, cosmetics, modest fashion, travel, media & recreation, and Islamic finance. (photo credit: Salaam Gateway)

In 2025, Malaysia recorded RM68.52 billion in halal exports, representing a 10.9 per cent year-on-year increase.

The halal industry currently contributes 4.3 per cent to national exports,which reflects strong and sustained global demand for Malaysian halal products, particularly in the food and beverage and halal ingredients segments.

Globally, Muslim consumer spending reached US$2.6 trillion (RM10.47 trillion) in 2024 and is projected to grow to US$3.56 trillion (RM14.34 trillion) by 2029, highlighting the scale and momentum of the halal economy.

This positions Malaysia as a preferred hub for halal manufacturing and distribution, connecting global supply chains to fast-growing Muslim consumer markets.

In addition to trade, Malaysia has enhanced its role in halal thought leadership and diplomacy by actively influencing global discourse through international platforms, forming strategic partnerships, and implementing capacity-building initiatives.

These efforts contribute to greater alignment of halal standards, enhanced market access and stronger collaboration among industry players worldwide.

The SGIE 2025/2026 report also highlighted emerging opportunities across sectors, including the digitalisation of halal certification, blockchain-enabled traceability, Islamic digital finance and sustainable halal production, areas where Malaysia is well-positioned to lead and collaborate globally.