Can the credibility dimensions of Islamic religious leaders (ULAMA) encourage MSMEs to apply for halal certificate? Evidence from Indonesia

Purpose This study aims to examine the influence of Islamic religious leaders’ (ulama) credibility, comprising attractiveness, trustworthiness and expertise, on micro, small and medium enterprises’ (MSME) intention to apply for halal certificate, with trust and perception as mediating variables and religiosity as a moderating variable. Design/methodology/approach This study used a quantitative approach using non-probability sampling and distributed questionnaires via Google Forms. Data were analyzed using partial least squares structural equation modeling (PLS-SEM) with SmartPLS 4.0. A total of 228 Muslim MSME entrepreneurs who met the criteria: being business owners, aged 17–65 and aware of at least one instance of ulama support for halal certificate, participated in this study. Findings The bootstrapping test in PLS-SEM revealed that out of the 11 hypotheses tested, seven were supported while four were rejected. The credibility dimensions of trustworthiness and expertise among Islamic religious leaders significantly influenced MSMEs’ perceptions and trust, whereas attractiveness showed no significant effect. Furthermore, MSMEs’ perceptions and trust in halal certificate policies were found to have a significant impact on their intention to apply for halal certificate. However, religiosity did not significantly moderate the relationship between perception or trust and the intention to apply for halal certificate. Research limitations/implications This study is limited to Java-based Muslim MSMEs and examines only Islamic religious leaders (ulama) as endorsers, excluding other potentially influential figures such as celebrities or influencers. Practical implications The findings of this study highlight the strategic importance of selecting religious leaders (ulama) as advocates of the halal certificate ownership policy, recommending those with high levels of trustworthiness, credibility and expertise in Islamic jurisprudence (fiqh), halal certification standards and contemporary business practices. Originality/value To the best of the authors’ knowledge, this is the first empirical study to examine the influence of ulama’s credibility and their role in shaping Muslim MSMEs’ perceptions, trust and intention to apply for halal certificate in support of the Indonesian government’s target of issuing 10 million halal certificates by 2026.