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Consumer spending in Islamic economy sectors forecast to rebound by end-2021, market size slated to reach US$2.3 trillion by 2024

Consumer spending in Islamic economy sectors forecast to rebound by end-2021, market size slated to reach US$2.3 trillion by 2024

Takeaways from the State of the Global Islamic Economy Report 2020/21 will be unveiled at Reimagine: Halal in Asia 2020, providing insights on capturing opportunities in the resilient Muslim market


  • Malaysia (#1) once again tops Global Islamic Economy Indicator for the eighth year. New entrants to the top 15 include Singapore, Sri Lanka, and Nigeria.
  • Travel worst hit while food segment fares the best; global spend on Halal food and beverage forecast to hit US$1.38 trillion by 2024.
  • Investments in Islamic economy-relevant companies totalled US$11.8 billion in 2019/20, a decline of 13 percent compared to the previous year. Indonesia (#1) and Malaysia (#2) ranked ahead in terms of investment activities, while Halal food sector expanded by 219% to $6.3 billion in total deal value.
  • 33 key signals of opportunities identified including: tokenisation of sukuks (Islamic bonds) within Islamic fintech, supply chain shifts, food security investments, nutraceutical demand, domestic tourism, and accelerated digital transformations.

SINGAPORE - Media OutReach - 1 December 2020 - CollabDeen and #HaveHalalWillTravel, Singapore-based Halal lifestyle digital platforms, in partnership with DinarStandard, a US-based research and advisory firm, are hosting a Southeast Asia launch of the State of the Global Islamic Economy Report (SGIE) 2020/21 at the inaugural Reimagine: Halal in Asia 2020 virtual conference on 2 and 3 December 2020. Under the theme of 'thriving in uncertainty', the eighth edition of the Report is supported by the Dubai Islamic Economy Development Centre (DIEDC) and presents an annual update on the Islamic economy, encompassing Halal products, Islamic finance, and lifestyle sectors and services.

This year's SGIE Report, produced by DinarStandard, estimates that Muslims spent US$2.02 trillion in 2019 on food, pharmaceuticals, cosmetics, modest fashion, travel, and media. While this spending reflects 3.2 percent year-on-year growth, Muslim spending in 2020 is forecast to contract by 8 percent due to the impact of the pandemic. However, spending, excluding travel, is forecast to rebound by end 2021, and is slated to reach US$2.3 trillion by 2024, at a cumulative annual growth rate (CAGR) of 3.1 percent. Islamic finance assets are estimated to have reached US$2.88 trillion in 2019 and are estimated to remain at the same level in 2020.

In the Report's Global Islamic Economy Indicator that evaluated 81 countries this year -- Malaysia (#1), Saudi Arabia (#2), the United Arab Emirates (#3), Indonesia (#4), and Jordan (#5) lead the rankings. The rankings recorded improvements by Saudi Arabia and Indonesia and welcomed new entrants Singapore, Sri Lanka, and Nigeria in the top 15. The indicator measures how leading national ecosystems are best able to support the development of Islamic economy business activities.

Fateh Ali, Co-founder & CEO of CollabDeen, said: "Singapore's entry in the top 15 signals both the important role and the momentum of the Islamic economy for Singapore. Singapore's strong performance in Halal products as well as the media and travel segments are positive signs of Islamic economy's role in economic revival post-pandemic. Singapore's share in the over $255 billion per year global Halal trade, as highlighted in the Report, is a significant $2.4 billion, which represents 1% of the total and shows potential and room for growth. Post-pandemic,there will be a rise of disruptive technologies in the digital Islamic economy, unlike anything we have been able to do up until now."

Mikhail Melvin Goh, Founder of #HaveHalalWillTravel, said: "The whole Southeast Asia region is a critical player in the global Islamic economy. In addition to market leaders like Malaysia and Indonesia, Singapore, Thailand, Philippines, South Korea, and Brunei were prominently highlighted in the Report as well. Thailand's #14 ranking globally in Halal products export of $6.2 billion (ahead of Malaysia) and 4.48 million estimated Muslim tourists in 2019 (ahead of Indonesia's) is indicative of the robust regional Islamic economy ecosystem that has developed strongly over time."

Following a record year in 2018/19, investments in Islamic economy-relevant companies globally slowed in 2019/20, dropping by 13 percent to US$11.8 billion. Over 54 percent of investments were within the Halal products category, while Islamic finance and Islamic lifestyle attracted 41.8 percent and 4 percent of the investments respectively. Growth figures were driven by corporate-led mergers and acquisitions, venture capital investments in tech start-ups, and private equity investments.

Abdulla Mohammed Al Awar, CEO of Dubai Islamic Economy Development Centre (DIEDC), said: "The SGIE Report is an annual publication that has gained traction as a trusted and ready reference on the global Islamic economy, and contributes to strengthening Dubai's position as the global capital of Islamic economy. In these uncertain times, the Islamic economy, with its ethical and transparent ecosystem, remains a pillar of strength and a guarantee for a better future. As we look ahead, the values and principles the Islamic economy is based on, coupled with the carefully identified 'signals of opportunities' and the clear recommendations within the Report, provide a roadmap for governments and companies to navigate challenges seamlessly, continue along their path to recovery, and stay on course for long-term prosperity."

Rafi-uddin Shikoh, CEO and Managing Director of DinarStandard, said: "This year's SGIE Report highlights the emerging opportunities that stand out amidst the repercussions of COVID-19, such as global supply chain disruptions, job losses, health services crises, and food security challenges. The 33 'signals of opportunities' identified in the Report, include the tokenisation of sukuks within Islamic fintech and accelerated digital transformations across all sectors prompted by the COVID-19 pandemic. Other signals identified pertain to Halal products, supply chain shifts, food security investments, and nutraceutical demand."

The SGIE Report also continues to highlight Islamic economies' social impact developments in addressing the United Nations' Sustainable Development Goals (SDGs) including initiatives addressing the poverty and food security crisis exacerbated by the COVID-19 pandemic.

The SGIE Report 2020/21 has been produced in partnership with, the largest Islamic economy news and media platform. Strategic partners of this year's SGIE Report include The Islamic Food and Nutrition Council of America (IFANCA) and CIMB Islamic, the CIMB Group's Islamic banking and financial services franchise.

Transcending religious and cultural boundaries at Reimagine: Halal in Asia 2020

With a vision of fostering peace and understanding between communities, CollabDeen and #HaveHalalWillTravel are hosting Singapore's first-ever virtual conference on the Islamic economy from 2 - 3 December 2020. It aims to bring together industry leaders, innovators and entrepreneurs -- regardless of faith -- to learn more about engaging with Muslim consumers and building a stronger Halal ecosystem for continued growth in the region.

The 2-day programme features an insightful line-up of over 30 speakers from around the world to provide fresh perspectives on tapping into the Islamic market that has gained broad and universal appeal, from bringing ready-to-eat halal food into the Japanese market to transforming the tourism sector. For more information on the event, please visit:

Note to editor:

The full State of the Global Islamic Economy Report 2020/21 is available for download at

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