The report on the reality of the global Islamic economy in its eighth edition, entitled “Growth in spite of challenges,” estimates Muslim spending on halal food, modest fashion, halal tourism, halal medicine and cosmetics, halal media and entertainment at $ 2.02 trillion in 2019.
While this figure reflects an annual growth of 3.2% compared to 2018, it is expected that this spending will contract by about 8% during the year 2020, due to the negative effects of the emerging corona virus (Covid-19).
However, the report expects that spending will increase again in various sectors of the Islamic economy, except for halal tourism, by the end of 2021, as it is likely to reach $ 2.4 trillion in 2024.
In this year’s report, the Global Islamic Economy Index covers 81 countries around the world.
Commenting on the report, Sultan bin Saeed Al Mansouri, Chairman of the Dubai Islamic Economy Development Center said: "Disruptions resulting from the coronavirus outbreak have forced nations across the globe, including the UAE, to reprioritize and enhance focus on sectors such as food security. It’s remarkable to note that the halal food and beverages sector, from manufacturing to trading, plays a key role in strengthening our nation’s self-sufficiency."
For his part, Essa Kazim, Governor of the Dubai International Financial Center and Secretary General of DIEDC, said: “Until 2019, the Islamic economy achieved remarkable growth across its sectors. In 2020, it is manoeuvring well amidst the economic repercussions of the pandemic. The figures in the report indicate the critical role of the Islamic finance sector in the overall Islamic economy ecosystem, and its crucial role in the current economic environment.”
