Muslim travel index shifts: Malaysia reclaims crown as Indonesia slips

In a notable reshuffle within Southeast Asia’s tourism leadership, Malaysia has reclaimed the sole top spot in the 2025 Mastercard-CrescentRating Global Muslim Travel Index (GMTI), while neighbouring Indonesia - previously joint leader - has slipped, highlighting the shifting currents in a competitive and high-growth market.

Since 2015, the GMTI has tracked the performance of destinations in attracting and accommodating Muslim travellers. Malaysia’s consistency over the decade stands out, culminating in its return to the top in 2025. But beyond its headline position, the broader rankings reveal a complex and evolving picture, particularly for markets in Southeast Asia that have historically competed on cultural familiarity and halal infrastructure.

Malaysia’s success is underpinned by a deliberate national strategy. The country has invested heavily in halal certification systems, inclusive tourism policies, and a clear cultural positioning that integrates Islamic heritage with modern amenities. This approach, long refined, is paying dividends.

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“Malaysia sets a benchmark for how destinations can integrate inclusivity into their national tourism strategies,” the report noted. “As a multiethnic, Muslim-majority country, it offers travellers the opportunity to experience traditions and festivals in a welcoming and modern context.”

By contrast, Indonesia’s drop from joint first in 2023 and 2024 to fifth place in 2025 - tying with Qatar - raises questions about its pace. Though the country offers a compelling blend of heritage destinations, religious facilities, and government support through the Masterplan Ekonomi Syariah Indonesia, it faces challenges in delivering consistent quality and accessibility across its vast geography.

The contrast between the two is not for lack of ambition on Indonesia’s part. Cities such as Jakarta, Yogyakarta, and Lombok have made considerable strides in halal tourism infrastructure. Yet, as new players invest in purpose-built Muslim-friendly experiences, the expectations of Muslim travellers are evolving faster than many destinations can adapt.

The Middle East has made its presence felt across the rankings, with Türkiye, Saudi Arabia, and the UAE now jointly holding second place. Each brings a unique proposition - cultural heritage, spiritual destinations, and world-class infrastructure - that has raised the bar. Oman and Kuwait have also staged returns to the top 10, adding further pressure to long-standing leaders.

Meanwhile, non-OIC destinations are increasingly punching above their weight. Hong Kong, for example, now ranks third among non-OIC destinations, supported by over 180 halal-certified restaurants and more than 60 establishments earning Muslim-friendly accreditation from CrescentRating since June 2024. 

Singapore, once seen as the region’s non-OIC pioneer, continues to lead among non-OIC destinations but has dropped out of the overall top 10 - a development that may reflect intensifying competition and shifting traveller priorities. Thailand and the Philippines are gaining ground in Southeast Asia, supported by warm hospitality, expanding halal-certified services, and increasing government attention to the needs of Muslim travellers.

The 2025 GMTI identifies five key behavioural shifts - from digital detox getaways and smart halal travel apps to the rise of the solo and female Muslim travellers - that destinations must internalise if they are to remain competitive.

“As we launch the 10th edition of the Mastercard-CrescentRating GMTI, we celebrate an eleven-year journey of innovation with Mastercard,” said Fazal Bahardeen (pictured, third from left), founder and CEO of CrescentRating. “This report is a catalyst for change, shaping tourism policies globally.”

As projections show 245 million Muslim travellers by 2030 with spending hitting USD$230 billion, the race to serve this dynamic segment has only just begun.

“Tourism is a powerful driver of economic growth in Southeast Asia, supporting job creation, empowering local tourism businesses, and advancing national development agendas,” said Safdar Khan, division president for Southeast Asia at Mastercard. “The 10th edition of the Mastercard-CrescentRating GMTI reflects a long-standing collaboration built on shared purpose to help shape a more resilient, inclusive, and opportunity-rich travel ecosystem.”

Globally, the Trailblazers quadrant features 32 destinations - both OIC and non-OIC - that currently lead the Muslim travel space, welcoming 111 million travellers or 62% of total global Muslim arrivals. Meanwhile, destinations in the Potential Leaders quadrant, such as the UK, Maldives, Taiwan, and Hong Kong, signal strong future promise, collectively attracting around 9 million visitors.

Interestingly, a closer look at regional scores reveals that success is not simply a function of Muslim population size. Eastern Asia, for instance, with a Muslim population of just 1.5%, continues to outperform expectations due to its investment in infrastructure and traveller experience. As the index shows, it is a destination’s strategic intent - not demographics alone - that now defines its ability to compete in this increasingly sophisticated segment.

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