Halal Business Development Strategy for MSMEs: A Sharia Economic Perspective

The rapid growth of the global halal economy presents significant opportunities for Micro, Small, and Medium Enterprises (MSMEs), especially in Muslim-majority countries like Indonesia. This research aims to analyze strategies for developing halal businesses among MSMEs through the lens of the Sharia economic perspective. Using a qualitative-descriptive method supported by literature review, case analysis, and expert interviews, the study explores both the potential and challenges MSMEs face in adopting halal practices. Key findings indicate that many MSMEs still lack awareness, access to halal certification, and integration of Islamic economic principles in their operations. The research proposes a comprehensive model to guide MSMEs in aligning their business practices with Sharia values covering halal certification, ethical finance, social responsibility, and sustainability based on maqasid al-shariah. This study offers practical implications for policymakers, halal authorities, and Islamic financial institutions in providing support and incentives to strengthen halal MSME development. Academically, the research fills a gap by integrating halal business strategy with the foundations of Islamic economics, contributing to a more holistic understanding of the halal sector’s role in empowering MSMEs and promoting ethical entrepreneurship.