In opening remarks at the Sumatra Islamic Economy Festival 2026 in Palembang, Bank of Indonesia set out its current policy direction for the sharia economy and finance, presenting the sector as a source of economic growth and resilience. Senior Deputy Governor Destry Damayanti said the central bank is focusing on strengthening the halal product ecosystem, Islamic finance, and literacy, inclusion and the halal lifestyle, while using FESyar as a collaborative platform to build the capacity of MSMEs and young people and support inclusive regional growth. The speech pointed to 6.21% year on year growth in Indonesia's halal value chain sector in 2025 and 10.84% year on year growth in Islamic finance in April 2026, alongside credit risk at 2.28%. FESyar Sumatra is part of the Indonesia Sharia Economic Festival 2026 and includes the PESAT, UNGGUL and BERKAH programmes, which aim to strengthen the role of Islamic boarding schools, expand productive waqf and accelerate halal certification for tourism. South Sumatra was presented as a key regional market, with around 7.72 million Muslims, 670 pesantren, 34 sharia commercial bank offices, 15 sharia business units and more than 27,000 halal-certified products.
Bank of Indonesia2026-06-05
Bank of Indonesia outlines sharia economy priorities and regional programmes at Sumatra Islamic Economy Festival
Bank of Indonesia used opening remarks at the Sumatra Islamic Economy Festival 2026 to outline its sharia economy and finance policy direction, prioritising the halal product ecosystem, Islamic finance, literacy and inclusion, and the halal lifestyle, with a focus on MSME and youth capacity-building. The central bank highlighted 6.21% year-on-year growth in the halal value chain in 2025 and 10.84% year-on-year growth in Islamic finance in April 2026, positioning South Sumatra as a key regional market within the Indonesia Sharia Economic Festival 2026.