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Breaking India News Today | In-Depth Reports & Analysis – IndiaNewsWeek > Politics > Muslim Travel Market Growth Spurs Competition Among Asian Tech Firms and Startups
Politics

Muslim Travel Market Growth Spurs Competition Among Asian Tech Firms and Startups

Indianewsweek By Indianewsweek July 29, 2026 5 Min Read
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Thailand’s tourism sector is under pressure to enhance Muslim-friendly facilities and services to capture a growing market of Muslim travelers. The latest report highlights a drop in Thailand’s ranking among non-OIC destinations for Muslim travel, urging improvements in policies and promotions to compete effectively.

Declining Rankings and Competitive Pressures

According to CrescentRating and Mastercard’s Global Muslim Travel Index 2026, Thailand has fallen to fifth place among non-OIC destinations, down from its previous ranking of second during 2015-2019. This drop is attributed not to a loss of interest in Thailand as a travel destination but rather to increasing competition from nations like Hong Kong and Taiwan, which are heavily investing in Muslim-friendly services.

Fazal Bahardeen, CEO of CrescentRating and HalalTrip, noted that while Thailand has made strides in its tourism infrastructure, other countries have intensified their efforts to attract this lucrative market. The findings indicate that while Thailand’s score improved recently, it has to sustain this momentum against a backdrop of sharper competition.

Barriers to Progress

Despite having a stable performance over the past decade, Thailand faces significant challenges in effectively delivering and showcasing its Muslim-friendly services. One critical issue is the disparity between physical readiness—such as facilities in hotels—and digital visibility. Many establishments offer amenities for Muslim travelers, but these options are not adequately promoted or verified.

This lack of visibility hampers integration into AI-driven travel platforms, which struggle to identify trustworthy Muslim-friendly offerings. Bahardeen stresses the need for Thailand’s tourism operators to adopt recognized standards and accreditations. Doing so would foster trust among global Muslim travelers, ultimately increasing the country’s appeal.

The Need for Clear Policies

Another significant hurdle for Thailand’s tourism sector lies in frequent policy changes, which create uncertainty for both travelers and tourism operators. Recent confusion over the status of a 60-day visa-free policy has raised concerns about how coming regulations will be enforced.

According to the report, most eligible nationalities are now anticipated to receive just 30-day visa-free permits. However, no official announcement regarding enforcement dates has been made. The instability in regulations, along with inconsistent enforcement, highlights an urgent need for clearer communication and a more transparent visa system.

Bahardeen emphasizes that Thailand benefits from its vibrant halal food scene, especially in areas like Bangkok and the southern provinces, and that integrating faith-based requirements within the hospitality sector remains a strength. Still, sustained investment in developing tailored travel options and comprehensive digital services is necessary for growth.

Why It Matters

The implications of these findings resonate beyond Thailand, particularly within the AI and digital travel sectors. As travel platforms increasingly rely on algorithms and AI for personalized customer experiences, the lack of visibility for Muslim-friendly offerings could hinder market growth. For developers, ensuring that their platforms are equipped to effectively identify and promote such services is crucial. Additionally, fluctuating regulatory environments can complicate the integration of travel technologies, impacting the broader tourism industry.

Frequently Asked Questions

What is the significance of the Global Muslim Travel Index?

The Global Muslim Travel Index provides benchmarks for countries based on their efforts to attract Muslim travelers, helping guide investments and policy improvements within the tourism sector.

Which countries lead the rankings for Muslim-friendly tourism?

As of the 2026 index, Singapore ranks first, followed by Hong Kong, Taiwan, and the UK, with Thailand maintaining its position in fifth place.

What challenges does Thailand face in attracting Muslim travelers?

Thailand struggles with the visibility of its Muslim-friendly offerings, the need for standardized accreditations, and ongoing uncertainties surrounding tourism policies and regulations.

How has AI impacted the travel industry for Muslim travelers?

AI technologies enhance personalized travel experiences, but without sufficient data on Muslim-friendly offerings, many potential services remain unrecognized, limiting their visibility to travelers.

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