Halal Industry Targeted As A New Source Of National Economic Growth

JAKARTA - The government through the Fiscal Policy Agency (BKF) of the Ministry of Finance (Kemenkeu) is trying to encourage the halal industry sector to contribute more to the national economy.

Head of the Financial Sector Policy Center of BKF Adi Budiarso said this step was a strategy in creating a sustainable economy.

In addition, he said, the sharia sector has the potential to become a new source of growth for Indonesia.

The government continues to spur sources of growth, one of which is through the halal industry. With a Muslim population of more than 230 million people and the capacity of the halal industry, ranging from food and beverages, pharmaceuticals, cosmetics, finance, to tourism, Indonesia has shown significant potential to develop the halal economy as a country's growing engine," he said in a press release, Monday, August 28.

Adi revealed that one concrete proof of government support was realized through the implementation of the 7th Annual Islamic Finance Conference in Jakarta this week. It was stated that a number of issues that will be discussed related to the development of the halal ecosystem, strengthening the halal industry, halal financing.

"We want this forum to be able to produce insights, innovations, collaborations, and valuable strategies on how to develop a strong halal economy and finance as a source of growth," he said.

According to Adi, the government and related parties also held a call of paper (CFP) event to take advantage of valuable information and insight from academics and practitioners to be a reference source for stakeholders and policymakers, especially in the field of Islamic economics and finance.

"Halal perceptions as a universal value of Islam and the capacity to exceed its business, have provided guarantees and trust to halal industry players (producers) and consumers in dealing with challenging market conditions that remain competitive and profitable," he stressed.

For information, throughout 2020 the global halal economic market is estimated to have reached 2.30 trillion US dollars.

This figure is believed to reach 4.96 trillion US dollars by 2030 in line with the increasing demand for halal products.