Bank Indonesia projects global Muslim fashion consumption to reach US$311 billion

JAKARTA: Bank Indonesia (BI) has forecast the consumption of global Muslim fashion to climb to US$311 billion in 2024, while the figure merely reached US$277 billion in 2019.

“As for Indonesia, the spending on the Muslim fashion sector in 2019 had reached US$16 billion and is among the top five countries, with the highest spending, after Iran, Turkey, Saudi Arabia, and Pakistan,” BI’s Director of the Department of Sharia Economics and Finance¬†Bambang Himawan stated during the 2021 ISEF Kick Off Online Exhibition Press Conference in Jakarta on Friday.

Himawan stressed the importance of developing the national Muslim fashion sector, so that it can penetrate the global market.

The central bank is collaborating with various strategic partners to encourage the development of Indonesian halal products, such as Muslim fashion, through various e-commerce platforms to hold exhibitions, which are also part of the 2021 Indonesia Sharia Economic Festival (ISEF) event.

Himawan noted that the Muslim fashion sector, which is the flagship in Indonesia’s halal industry, managed to rank third in the world during the second quarter of 2021.

“Rapid development shows the urgency of developing the halal industry in the framework of a comprehensive Islamic economy and finance to support the national economic recovery,” he remarked.

He believes that Indonesia should be able to develop a halal industry that can both serve the needs of the domestic market as well as capitalize on the global market.

BI remains committed to developing the halal industry sector that employs a halal value chain ecosystem approach that includes five main sectors: integrated agriculture, halal food, Muslim fashion, halal tourism, and renewable energy.

He highlighted that halal food and Muslim fashion could be the leading sectors to drive national economic recovery.

Thus, the central bank also hosted the Indonesian Sharia Creative Industry Program, wherein during the second quarter of 2021, the organization had 505 business members across Indonesia, with membership comprising MSMEs in the halal food and Muslim fashion sectors.

© Antara News

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