Malaysia’s well defined policies and cohesive tourism ecosystem continue to enhance the overall experience for Muslim-friendly travellers.
PUTRAJAYA, MALAYSIA 24 JULY 2025: Malaysia reigns as the global leader in Muslim-friendly travel, according to the latest State of the Global Islamic Economy (SGIE) 2024/2025 Report. This recognition demonstrates the country’s long-term investment, strong governance and institutional commitment in building a trusted and structured ecosystem for Muslim travellers and the industry.
“It gives confidence to industry players, encourages innovation, and strengthens our positioning in the global Muslim-friendly travel market,” said Nur Alyssa Coraline Yussin, Director of Research and Training at Islamic Tourism Centre (ITC).
She added: “The ranking is just the tip of the iceberg, though. More than anything, it is a branding that positions Malaysia as an open, inclusive and welcoming nation socially, economically and politically. We should not underestimate the soft power that this recognition provides to the country. It opens doors for opportunities, investments, and negotiations across many diverse economic sectors.”
“Just as the Petronas Twin Towers became an iconic symbol of Malaysia in 1998, today, our leadership in Muslim-Friendly Tourism and Hospitality (MFTH) has become a new landmark of Malaysia’s global identity — a testament to our values of inclusivity, excellence, and cultural pride,” Nur Alyssa said.
Released by DinarStandard, the SGIE Report is an annual publication that analyses and ranks the performance of countries in key sectors of the Islamic economy—including halal food, Islamic finance, Muslim-friendly travel, modest fashion, and more—highlighting opportunities and trends shaping the global Islamic economic landscape.
In the 2024/2025 edition, Malaysia ranked first overall for the eleventh consecutive year. Besides Muslim-friendly travel, the country also excels in key sectors, including Islamic finance, halal food, and halal pharmaceuticals. The rankings consider financial performance, governance, awareness, social impact and innovation across the Islamic economy, with a growing prominence on policy development, certification standards and investment in halal lifestyle sectors.
RECOGNITIONS THAT UPLIFT SMES
Malaysia’s continued success in MFTH, through the efforts of ITC, reflects the close cooperation between government and industry stakeholders. Clear policies, strong regulatory frameworks and a unified commitment from the tourism and hospitality sector have placed Malaysia ahead as a destination of choice for Muslim travellers worldwide.
Among the notable developments contributing to the achievement is the memorandum of understanding signed between ITC and the Malaysian Budget Hotel Association (MyBHA), enabling more small and medium-sized players to venture into the MFTH sector, stretching their reach to the Muslim tourist market. The Muslim-Friendly Tourism and Hospitality Assurance and Recognition (MFAR) and Muslim-Friendly Tourist Guide (MFTG) recognition programmes introduced by ITC continue to support service excellence and increase visibility for certified providers.
HARNESSING DIGITAL TECHNOLOGY AND RESEARCH FOR SUCCESS
Malaysia is also recognised for its performance in the Innovation sub-indicator, ranking second among OIC countries. This includes the launch of initiatives such as the Digital Tourism Innovation Lab by the Malaysia Digital Economy Corporation (MDEC), which is advancing the quality and accessibility of tourism services in the country. In addition, ITC’s research collaboration with academia has helped to introduce new Islamic Tourism potential in Muslim-Friendly hospitality practices and tourism products such as Mosque Tourism and Pondokstay concept.
STRENGTHENING GLOBAL TIES FOR SHARED ECONOMIC GROWTH
Furthermore, the collaborative approach of local industry players to cross-border partnerships is also gaining global attention. In November 2024, a chartered halal cruise collaboration between Saudi Arabia’s AROYA Cruises and Malaysia’s IslamiCruise International Sdn. Bhd. offered a 26-night voyage from Dubai with stops in the Maldives, Oman and Indonesia, with Port Klang, Selangor as a key port of call. The cruise featured Muslim-friendly entertainment, halal food and prayer facilities, showcasing Malaysia’s active role in shaping the future of halal lifestyle travel.
ITC has also played a crucial role in engaging local tourism players to tap the growing Muslim travel market. A case in point is the successful partnership between ITC and Malaysian Inbound Chinese Association (MICA) which brought in 58,000 Chinese Muslim tourists in February and March 2024, with tourist receipts amounting to RM92.8 million.
Investor interest in Muslim-friendly travel is on the rise, reflecting growing confidence in this fast-expanding market. The increasing demand for culturally respectful and family-friendly travel is supported by stronger national branding, infrastructure development and integrated marketing strategies. Malaysia is cited as a high-performing ecosystem, combining clear governance, a sound certification system and industry-led execution.
SUSTAINING MOMENTUM TOWARDS 2026 AND BEYOND
Looking ahead, Malaysia’s continued investment in Muslim-friendly frameworks, infrastructure and capacity-building is key to meeting the projected growth in outbound Muslim travel, valued at USD 2.43 trillion (RM11.42 trillion) in 2023 and expected to reach USD 3.36 trillion (RM15.79 trillion) by 2028.
ITC is advancing Malaysia’s leadership through targeted training, improved destination readiness and strategic partnerships across borders. These efforts align with the Malaysia MADANI framework, which promotes balanced growth, inclusion and sustainability. Malaysia’s leadership in the MFTH sector also supports the United Nations Sustainable Development Goals, including decent work, reduced inequalities and responsible tourism. This positions the country to meet future demand and contribute to the growing momentum ahead of Visit Malaysia 2026, where tourism plays a primary role in inclusive, high-impact national progress.
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