Featured NewsJune 17, 2023

Indonesia and Malaysia Dominate as Preferred Destinations for Muslim Travelers

Indonesia and Malaysia have emerged as the leading global destinations for Muslim travelers, according to the recently published Mastercard-CrescentRating Global Muslim Travel Index (GMTI) 2023.

The annual report, now in its eighth year, examines data from nearly 140 countries to provide comprehensive insights into destinations that cater best to the growing halal travel segment.

With Muslim international arrivals reaching 110 million in 2022 and projected to reach 140 million this year, the halal travel market has become a significant segment globally. By 2028, Muslim arrivals are expected to reach 230 million, with estimated expenditures of US$225 billion. Currently, Asia leads in Muslim arrivals, with over 31% of travelers in the region identifying as Muslim.

Both Indonesia and Malaysia, which received equal scores in this year’s index, have been popular choices for Muslim tourists for a long time. Indonesia held the top spot in the 2019 report, while Malaysia has consistently been at the forefront of the GMTI since 2015. Singapore secured the 12th position, making it one of only two countries outside the Organization of Islamic Cooperation to rank in the top 20, along with the UK.

The index evaluates destinations based on four key criteria: Access, Communications, Environment, and Services (ACES). Southeast Asian destinations ranked among the top 10 in all four criteria. In the overall assessment, both Indonesia and Malaysia scored 73 out of 100, Singapore scored 64, Thailand achieved a score of 52, and the Philippines scored 46.

The report also highlights various travel trends among Muslim travelers, influenced by global travel behaviors. The demographic increasingly emphasizes sustainability, prioritizes destinations and activities promoting health and wellness, seeks immersive and authentic experiences, and incorporates personal development into their travel plans.

Fazal Bahardeen, founder and CEO of CrescentRating, stated, “Muslim travelers are often looking for travel plans that align with certain faith-oriented criteria, such as availability of halal foods, prayer facilities, and inclusive communication from destinations.” He further expressed hope that the insights from the 2023 edition would help destinations better understand and engage with this demographic.

Safdar Khan, division president of South-east Asia at Mastercard, emphasized the significance of meeting the evolving needs of faith-based travelers and the role of the GMTI in strengthening tourism offerings. He expressed confidence that the GMTI would contribute to the ongoing recovery and future growth of the Muslim travel sector.

The latest GMTI edition introduces four new tools that provide insights and recommendations for this demographic: the Muslim Travel Intent Tracker, Muslim Traveler Responsible Tourism Framework, GMTI Performance Matrix, and Muslim Women Friendly Destinations.