Islam is the major religion in many African countries, especially in the north of the continent. In Comoros, Libya, Western Sahara, at least 99 percent of the population was Muslim as of 202. These were the highest percentages on the continent. However, also in many other African nations, the majority of the population was Muslim. In Egypt, for instance, Islam was the religion of 79 percent of the people. Islam and other religions in Africa Africa accounts for an important share of the world’s Muslim population. As of 2019, 16 percent of the Muslims worldwide lived in Sub-Saharan Africa, while 20 percent of them lived in the Middle East and North Africa (MENA) region. Together with Christianity, Islam is the most common religious affiliation in Africa, followed by several traditional African religions. Although to a smaller extent, numerous other religions are practiced on the continent: these include Judaism, the Baha’i Faith, Hinduism, and Buddhism. Number of Muslims worldwide Islam is one of the most widespread religions in the world. There are approximately 1.9 billion Muslims globally, with the largest Muslim communities living in the Asia-Pacific region. Specifically, Indonesia hosts the highest number of Muslims worldwide, amounting to over 200 million, followed by India, Pakistan, and Bangladesh. Islam is also present in Europe and America. The largest Islamic communities in Europe are in France (5.72 million), Germany (4.95 million), and the United Kingdom (4.13 million). In the United States, there is an estimated number of around 3.45 million Muslims.

According to Cognitive Market Research, the global Islamic Financing market size will be USD 2514.2 million in 2024 and will expand at a compound annual growth rate (CAGR) of 10.50% from 2024 to 2031.

North America held the major market of more than 40% of the global revenue with a market size of USD 1005.68 million in 2024 and will grow at a compound annual growth rate (CAGR) of 8.7% from 2024 to 2031.
Europe accounted for a share of over 30% of the global market size of USD 754.26 million.
Asia Pacific held the market of around 23% of the global revenue with a market size of USD 578.27 million in 2024 and will grow at a compound annual growth rate (CAGR) of 12.5% from 2024 to 2031.
The Latin American market will account for more than 5% of global revenue and have a market size of USD 125.71 million in 2024. It will grow at a compound annual growth rate (CAGR) of 9.9% from 2024 to 2031.
The Middle East and Africa held the major markets, accounting for around 2% of the global revenue. The market was USD 50.28 million in 2024 and will grow at a compound annual growth rate (CAGR) of 10.2% from 2024 to 2031.
The Individual held the highest Islamic Financing market revenue share in 2024.

Market Dynamics of Islamic Financing Market

Key Drivers of Islamic Financing Market

Growing Muslim Population to Increase the Demand Globally

The growing Muslim population globally is expected to significantly increase the demand for Islamic financial products and services in the coming years. With Muslims comprising a substantial portion of the world's population, estimated to reach nearly 30% by 2050 according to demographic projections, there is a natural market for Sharia-compliant banking and investment solutions. As incomes rise and financial literacy improves in Muslim-majority countries and beyond, more individuals and businesses are seeking financial services that align with their religious beliefs and ethical values. Moreover, the increasing affluence and urbanization among Muslim populations contribute to a greater demand for sophisticated financial products, including Islamic mortgages, savings accounts, and investment funds. This growing demand is wider than in Muslim-majority countries. Still, it extends to Muslim communities and individuals residing in non-Muslim-majority countries, as well as non-Muslims who are attracted to the ethical principles and risk-sharing mechanisms inherent in Islamic finance.

Economic Development in Muslim-majority Countries to Propel Market Growth

Economic development in Muslim-majority countries is poised to propel significant growth within the Islamic finance market. As these countries experience robust economic growth, driven by factors such as population growth, urbanization, and natural resource wealth, a corresponding demand for sophisticated financial services that comply with Islamic principles emerges. This demand stems from both individuals and businesses seeking ethical and Sharia-compliant financial solutions to meet their diverse needs. Moreover, the expanding middle class within these countries signifies an increasing appetite for diverse banking and investment products, including Islamic mortgages, savings accounts, and investment funds. As disposable incomes rise and financial literacy improves, more people are turning towards Islamic finance as a viable alternative to conventional banking, recognizing its alignment with their religious beliefs and ethical values.

Restraint Factors Of Islamic Financing Market

Limited Product Offering to Limit the Sales

The limited product offering within the Islamic finance market poses a significant challenge, potentially constraining sales and market growth. Compared to conventional banking, Islamic finance products and services are often more specialized and may only cover part of the spectrum of financial needs for individuals and businesses. This limited range of options can deter potential customers who require a broader array of financial solutions. One of the primary reasons for the limited product offering is the adherence to Sharia principles, which prohibit certain financial activities such as interest (riba) and speculative transactions (gharar). While Islamic finance emphasizes ethical and socially responsible investing, it also imposes constraints on product innovation and development, particularly in areas where conventional finance has mo...

In 2022, Indonesia has the largest population of Muslims worldwide with around 241.5 million. This was followed with around 225.6 million Muslims in Pakistan and 211.16 million Muslims in India.

This study, designed and carried out by the "http://www.asarb.org/" Target="_blank">Association of Statisticians of American Religious Bodies (ASARB), compiled data on 372 religious bodies by county in the United States. Of these, the ASARB was able to gather data on congregations and adherents for 217 religious bodies and on congregations only for 155. Participating bodies included 354 Christian denominations, associations, or communions (including Latter-day Saints, Messianic Jews, and Unitarian/Universalist groups); counts of Jain, Shinto, Sikh, Tao, Zoroastrian, American Ethical Union, and National Spiritualist Association congregations, and counts of congregations and adherents from Baha'i, three Buddhist groupings, two Hindu groupings, and four Jewish groupings, and Muslims. The 372 groups reported a total of 356,642 congregations with 161,224,088 adherents, comprising 48.6 percent of the total U.S. population of 331,449,281. Membership totals were estimated for some religious groups.

In January 2024, the ARDA added 21 religious tradition (RELTRAD) variables to this dataset. These variables start at variable #8 (TOTCNG_2020). Categories were assigned based on pages 88-94 in the original "https://www.usreligioncensus.org/index.php/node/1638" Target="_blank">2020 U.S. Religion Census Report.

Visit the "https://www.thearda.com/us-religion/sources-for-religious-congregations-membership-data" Target="_blank">frequently asked questions page for more information about the ARDA's religious congregation and membership data sources.

This study, designed and carried out by the "http://www.asarb.org/" Target="_blank">Association of Statisticians of American Religious Bodies (ASARB), compiled data on 372 religious bodies by county in the United States. Of these, the ASARB was able to gather data on congregations and adherents for 217 religious bodies and on congregations only for 155. Participating bodies included 354 Christian denominations, associations, or communions (including Latter-day Saints, Messianic Jews, and Unitarian/Universalist groups); counts of Jain, Shinto, Sikh, Tao, Zoroastrian, American Ethical Union, and National Spiritualist Association congregations, and counts of congregations and adherents from Baha'i, three Buddhist groupings, two Hindu groupings, and four Jewish groupings, and Muslims. The 372 groups reported a total of 356,642 congregations with 161,224,088 adherents, comprising 48.6 percent of the total U.S. population of 331,449,281. Membership totals were estimated for some religious groups.

In January 2024, the ARDA added 21 religious tradition (RELTRAD) variables to this dataset. These variables start at variable #9 (TOTCNG_2020). Categories were assigned based on pages 88-94 in the original "https://www.usreligioncensus.org/index.php/node/1638" Target="_blank">2020 U.S. Religion Census Report.

Visit the "https://www.thearda.com/us-religion/sources-for-religious-congregations-membership-data" Target="_blank">frequently asked questions page for more information about the ARDA's religious congregation and membership data sources.

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US Halal Food Market Size 2025-2029

The US halal food market size is forecast to increase by USD 21.63 billion at a CAGR of 9% between 2024 and 2029.

The Halal food market in the US is experiencing significant growth, driven by the increasing demand for healthy and convenient food options. This trend is particularly prominent among the large and growing Muslim population in the country, as well as among consumers seeking healthier alternatives. However, the market faces competition from the established and sizeable kosher food industry. The convenience factor is a key driver for the halal food market, with ready-to-eat and ready-to-cook products gaining popularity. The market is also witnessing innovation in product offerings, such as plant-based and organic Halal food options, catering to diverse consumer preferences. 
Companies seeking to capitalize on this market opportunity should focus on product innovation, meeting the convenience demand, and effective marketing to reach the target audience. Navigating competition from the established kosher food industry and ensuring authenticity and transparency in Halal certification processes are key challenges that require strategic planning and execution.

What will be the size of the US Halal Food Market during the forecast period?

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The Halal food market in the US encompasses a diverse range of meat and non-meat products adhering to Islamic dietary laws. This market exhibits growth, driven by the expanding Muslim population and increasing demand from non-Muslim consumers intrigued by the health and ethical aspects of Halal food. Halal meat, a significant segment, is sourced from animals slaughtered according to specific religious procedures. Hypermarkets and supermarkets dominate the distribution landscape, while online channels are gaining traction. Halal food manufacturers prioritize food safety, investing in advanced technologies like AI and automation from companies such as Fluree PBC and Sinisana Technologies. The market's expansion is not limited to meat products; Halal food products now include beverages, baked goods, and processed items.
Despite the economic slowdown, the Halal food industry remains a vibrant and dynamic sector, catering to the diverse needs and preferences of consumers. The global Muslim population is projected to reach 2.7 billion by 2030, further fueling market growth. Coffee operators and other foodservice providers are also integrating Halal offerings into their menus to cater to this growing consumer base. Raw materials, such as porcine material, are excluded from Halal production, ensuring compliance with religious guidelines.

How is this market segmented?

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Distribution Channel

  Offline
  Online


Application

  Halal MP and S
  Halal cereals and grains
  Halal FV and N
  Halal beverages
  Others


End-user

  Retail
  Foodservice


Product Type

  Meat, Poultry, and Seafood
  Dairy Products
  Cereals and Grains
  Fruits, Vegetables, and Nuts
  Beverages
  Others


Certification

  Halal-Certified
  Non-Certified


Geography

  US

By Distribution Channel Insights

The offline segment is estimated to witness significant growth during the forecast period. Halal food products have experienced sustained growth in the US market, driven by the increasing consumer base and the multicultural nature of the population. Supermarkets and hypermarkets serve as significant distribution channels for these products, with many retailers sourcing halal meat from traditional markets and local butchers. Strict adherence to halal dietary requirements, including the avoidance of porcine material, is ensured during the slaughtering and processing stages. Certification services play a crucial role in the halal food market, providing assurance to consumers about the authenticity and compliance of products with Islamic laws. Multinational food conglomerates, such as Fluree PBC and Sinisana Technologies, have entered the market, offering a wide range of halal food products, including meat, dairy, cereals and grains, fruits and vegetables, and processed foods.

The economic slowdown has not deterred the growth of this market, as consumer awareness of food safety and the health benefits of halal products continues to rise. Halal laboratories and online distribution channels have also emerged to cater to the increasing demand for these products. The future outlook for the halal food market is promising, with the global Muslim population projected to reach 2.2 billion by 2030.

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The Offline segment was valued at USD 28.58 billion in 2019 and s

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Islamic Clothing Market Size 2025-2029

The Islamic clothing market size is forecast to increase by USD 59.2 billion, at a CAGR of 9.1% between 2024 and 2029.

The market, encompassing apparel, sports apparel, swimwear, and ethnic wear, is experiencing significant growth in the digital realm. Key drivers include the rise in product visibility and accessibility through e-commerce platforms, as well as the increasing adoption of omni-channel retailing. However, challenges persist, such as the availability of counterfeit Islamic clothing items online. Brands and retailers must prioritize logistics and security measures to ensure authenticity and customer satisfaction. In the US and North American markets, labels specializing in Islamic clothing continue to expand their online presence, catering to the needs of a growing consumer base seeking modest and culturally appropriate attire. The use of technology, including computers and mobile devices, facilitates seamless shopping experiences for this demographic.

What will be the Size of the Islamic Clothing Market During the Forecast Period?

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The market, also known as the Muslim consumer segment within the Islamic fashion industry, caters to the unique needs and preferences of the global Islamic population. This market encompasses a diverse range of apparel, including abayas, hijabs, prayer outfits, thobes, jubbas, and various forms of head coverings such as the burqa and niqab. The market's growth is driven by the increasing global Islamic population, which is projected to reach 2.2 billion by 2030, and the rising demand for modest fashion that adheres to Islamic dress codes. Online retail distribution channels have significantly influenced the market's expansion, providing convenience and accessibility to consumers.
The lifestyle apparel sector, which includes sportswear for both Islamic men and women, has also gained traction due to the growing interest in health and fitness. Multinational fashion brands have increasingly entered this market, recognizing the potential for consumer investments and product consumption. Despite the growth, challenges persist, including negative reviews and the need for improved product quality and authenticity. Overall, the market continues to evolve, reflecting the diverse needs and preferences of its global consumer base.

How is this Islamic Clothing Industry segmented and which is the largest segment?

The Islamic clothing industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Product

  Ethnic wear
  Sustainable fashion
  Sports wear


End-user

  Islamic women
  Islamic men


Distribution Channel

  Online
  Offline


Material Type

  Cotton
  Polyester
  Silk
  Blended Fabrics


Geography

  North America

    US


  Middle East and Africa

    Egypt
    Turkey


  APAC

    India
    Indonesia
    Pakistan
    South Korea


  Rest of World (ROW)

By Product Insights

The ethnic wear segment is estimated to witness significant growth during the forecast period.

The market caters to the unique needs of Muslim consumers, offering apparel that adheres to Islamic principles. This market encompasses various segments, including abayas, hijabs, prayer outfits, burqas, and niqabs for women, and thobes, jubbas, and sports and fitness wear for men. The Muslim population, estimated at 1.8 billion, presents a significant potential customer base for this industry. Islamic fashion industry growth is driven by cultural and lifestyle factors, particularly in Muslim majority economies. Younger generations are increasingly embracing innovative clothing designs that blend traditional Islamic clothing with contemporary styles, creating a demand for modest fashion wear. Ethnic wear, a popular segment, is particularly sought after during cultural events and significant occasions.

The sports industry also presents opportunities for the market growth, with the increasing popularity of sports hijabs. Consumer investments in sustainable fashion are also influencing the industry. Multinational fashion brands and high street brands are increasingly catering to this market, offering a range of options from luxury to affordable prices. E-commerce platforms are facilitating online retail distribution, addressing logistical issues and expanding market reach.

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The ethnic wear segment was valued at USD 69.50 billion in 2019 and showed a gradual increase during the forecast period.

Regional Analysis

APAC is estimated to contribute 39% to the growth of the global market during the forecast period.

Technavio's analysts have elaborately explained the regional trend

In 2021, Muslims around the world spent a total of *** trillion U.S. dollars across the food, pharmaceutical, cosmetics, fashion, travel, and media/recreation sectors. The global Muslim market has the potential to grow to about *** trillion dollars by 2025. The largest market for Muslim consumers is the halal food and beverage sector.

Between 2023 and 2024, the majority of Muslim immigrants living in the United States were born in another country, with 59 percent of U.S. Muslims born outside the United States. In contrast, most Christian immigrants were U.S. born, with both parents also born in the U.S. during the provided time period.

According to a survey conducted in 2022, ** percent of Jewish Americans said that they made 100,000 U.S. dollars or more in the United States. In comparison, ** percent of Muslim Americans said that they made less than 30,000 U.S. dollars.

In 1800, the population of the modern-day territory of Iran was approximately 6.3 million. This figure would see modest growth throughout the 19th century, as several wars and a mass famine in 1870-1871 (modern estimates put its death toll at around 1.5 million people) were largely balanced out by a surge in migration to Iran; this migration came as the Russian Empire expanded into the Caucuses, and caused a wave of refugees to flee southwards to avoid forced expulsion and ethnic cleansing in the North Caucasus region, particularly from 1864 onwards. As a result, the population of Iran reached ten million by the turn of the 20th century.

Twentieth century growth Iran’s population would begin to grow rapidly in the 20th century, as the discovery of oil in the country in 1908 led to an economic boom, and the socio-economic reforms implemented under Reza Shah would see a number of medical and healthcare advancements across the country. Although unpopular with religious fundamentalists, Reza Shah's reforms had long-term influence on the demographic development of Iran, even after his abdication in 1941. Following the Second World War, Iran became increasingly westernized and developed relatively strong relations with the U.S.; however, western influence, economic imbalances and the oppression of the Mohammed Reza Shah's regime became the driving forces behind the Iranian Revolution, which was one of the most significant moments in the history of the region.

Growth after the Revolution The 1979 Iranian Revolution saw the removal of the Shah and an end to Iran's so called westernization; the monarchy was replaced by an Islamic, theocratic regime led by the Supreme Leader, Ayatollah Ruhollah Khomeini. During Khomeini's decade in charge he oversaw Iran's transition into an Islamic Republic, which implemented radical political and cultural changes in the country, and this coincided with an increased population growth rate in the 1980s. This growth was promoted by the Iranian government, who encouraged a baby boom during the Iran–Iraq War between 1980 and 1988, as part of an effort to increase future Iranian military manpower. As a result of this strategy, the population of Iran would grow from approximately 38.6 million in 1980 to over 56 million just a decade later. Following the implementation of a UN-brokered ceasefire in 1988, population growth in Iran would slow, as economic sanctions and government implementation of family planning policies would lead to a drop in fertility. Population growth has continued steadily into the 21st century, however, and in 2020, Iran is estimated to have a population of 84 million.

In 2023/24, the market size for Islamic fintech in Malaysia amounted to around ** billion U.S. dollars, an increase of approximately *** billion U.S. dollars compared to the market size recorded in the previous year. The value of the Islamic fintech market in the country was forecasted to exceed*** billion U.S. dollars by 2028. Vast potential in Islamic banking Islam is the majority religion in Malaysia, with around **** percent of the population belonging to this religious group. The country also has a dual legal system, with Quranic-based Sharia law mainly governing the personal or family matters of the Malay Muslim population. Thus, there is a large market for Islamic finance in Malaysia. In 2022, the Southeast Asian country was the *****-leading country with the largest Islamic banking assets in the world, after Iran and Saudi Arabia. Call for innovation in Islamic finance Acknowledging the potential of Islamic fintech, the current Prime Minister Anwar Ibrahim pledged 100 million Malaysian ringgit in May 2024 to foster innovation in Islamic finance. This financing has the potential to stimulate further growth in the country’s Islamic fintech market. As of 2023, there were ** Islamic fintech companies in Malaysia. With support from the government, more Sharia-friendly fintech startups will likely flourish in the coming years.