
From Meru Raya to Baku, a Halal Economy Takes Shape Across Muslim Nations
Cultural festivals, a Jakarta Islamic expo and billion-dollar finance deals reveal a coordinated push to capture the burgeoning Muslim travel market and build a digital workforce.
At the Bulatan Sultan Azlan Shah in the Malaysian town of Meru Raya, the four-day Malaysia Cultural Festival opened late last week to the aroma of sizzling satay and the shimmer of songket fabric under marquees. More than a hundred activities — from traditional dance troupes to stalls selling artisanal crafts — were displayed, but the event was also a carefully calibrated instrument of economic strategy. Deputy Tourism Minister Chiew Choon Man told the crowd that Malaysia is intensifying its promotional drive in high-performing source markets such as China, India and Japan, while also courting long-haul visitors from Russia, Germany and Australia. The country logged 42.2 million international arrivals in 2025 and a further 3.4 per cent rise in the first five months of this year, he noted, framing the festival as a stepping stone towards Visit Malaysia Year 2026.
Almost concurrently, a more corporate gathering was unfolding 1,500 kilometres away in Jakarta. The International Islamic Expo 2026 filled the halls of the JICC with exhibitors from 16 countries — airlines, hotel chains, hajj and umrah operators — alongside investors and government procurement officers. Officials from Indonesia’s tourism ministry described the event as a vehicle to ‘strengthen Muslim-friendly tourism and expand collaboration in building a competitive, sustainable global halal ecosystem.’ Indonesian planners point to the country’s second-place ranking on the Mastercard-CrescentRating Global Muslim Travel Index 2026 as evidence of momentum. Meanwhile, the newly designated Minister of Hajj and Umrah, Mochamad Irfan Yusuf, used the platform to announce a technology-driven overhaul of hajj visa issuance, aiming to grant pilgrims earlier certainty through data integration and digitisation, while also improving facilities for elderly and disabled worshippers.
A week earlier, on the shores of the Caspian, the Islamic Development Bank Group held its annual meetings in Baku under the theme ‘Regional Integration for Sustainable Prosperity.’ The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), a multilateral insurer within the group, signed seven agreements valued at more than $1 billion. The deals covered infrastructure, trade finance and banking cooperation spanning Nigeria, Turkey, Uganda and other member states. A high-level panel discussed how Shariah-compliant risk mitigation could unlock cross-border capital along corridors connecting Central Asia, the Caucasus, Turkey and Europe. ICIEC’s chief executive, Dr. Khalid Khalafalla, characterised the agreements as turning ‘regional integration ambitions into bankable opportunities.’ For Baku, long touted as a strategic hub, the gatherings burnished its role as a node in an expanding network of Islamic finance and trade.
Far from the expo floors and ministerial suites, a quieter, longer-term effort grinds forward in Bangladesh. The IsDB-BISEW IT Scholarship programme, co-funded by the Islamic Development Bank and the Bangladeshi government, trains graduates from any academic background — philosophy, history, commerce — into certified IT professionals. The fully subsidised courses cover web development, networking and graphic design, and claim a 92 per cent job placement rate, channelling graduates into local tech firms and freelance remittances. It is a model of the human capital investment that officials in Jakarta and Kuala Lumpur acknowledge must underpin the glossy vision of a halal travel economy; without a digitally literate workforce, the infrastructure of Muslim-friendly tourism — from booking platforms to cashless payment systems — remains an aspiration.
As evening fell on Meru Raya, the cultural festival’s final performances wound down and vendors began folding their canopies. The Visit Malaysia Year 2026 banners, however, stayed in place, catching the last light — a silent promise that the drumbeats and deal-making would only intensify.
How the same story is told elsewhere.
2 editorial groups · 1 languages
Southeast Asian governments are actively cultivating a halal tourism ecosystem, using large-scale expos and strategic partnerships to attract investors and boost visitor numbers. The sector is portrayed as a rising economic pillar with global recognition, evidenced by awards and ministerial commitment to hajj and umrah service innovation.
Multilateral Islamic financial institutions are expanding their role in the global halal economy, signing billion-dollar agreements to support trade, investment, and development across member countries. The focus is on strategic partnerships and Shariah-compliant instruments that drive long-term prosperity.
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