Changing Economic Order: Turkey Rises To Top Among Muslim-Majority Economies
By ALIYU AMINU ABUBAKAR ABDULLAHI (A. A. A. A.) SHEHU
Turkey Takes the Economic Lead
TURKEY has emerged as the world’s largest Muslim-majority economy by nominal Gross Domestic Product (GDP), overtaking both Indonesia and Saudi Arabia in a development that reflects changing economic dynamics across the Islamic world.
Recent international economic estimates place Turkey’s economy at approximately $1.64 trillion, ahead of Indonesia’s $1.54 trillion and Saudi Arabia’s $1.39 trillion. The United Arab Emirates ranks fourth with about $622 billion, while Malaysia completes the top five at roughly $516 billion. The figures broadly align with recent international economic assessments, although estimates vary slightly depending on the institution and reporting period.
The ranking highlights a significant shift in economic leadership among Muslim-majority nations, particularly as countries pursue different growth strategies amid global economic uncertainty.
Beyond the Rankings
Turkey’s rise is the product of several converging factors. The country has maintained a broad-based industrial economy supported by manufacturing, construction, tourism, defence production, automotive exports, agriculture and an expanding services sector.
Unlike many resource-dependent economies, Turkey possesses a diversified production base that allows it to generate growth from multiple industries. Its strategic location between Europe, Asia and the Middle East has also strengthened its role as a manufacturing and logistics hub.
Although Turkey continues to grapple with high inflation and currency volatility, its economy has remained resilient through sustained exports, domestic production and government-backed industrial policies. The IMF projects continued economic growth while noting persistent inflationary pressures that remain a major policy challenge.
Indonesia Remains a Rising Giant
Despite slipping to second place, Indonesia continues to be one of the fastest-growing major economies in the developing world.
With a population exceeding 280 million people, Southeast Asia’s largest economy has maintained annual growth of around five per cent, supported by strong domestic consumption, natural resources, manufacturing and downstream mineral processing reforms. The IMF continues to describe Indonesia as a global economic bright spot because of its macroeconomic stability and structural reforms.
Analysts note that Indonesia’s long-term demographic advantage and expanding middle class could still position it among the world’s largest economies over the coming decades.
Saudi Arabia’s Economic Transformation
Saudi Arabia remains one of the wealthiest economies in the Muslim world but has experienced slower nominal GDP growth due largely to fluctuations in global oil prices and OPEC+ production adjustments.
Nevertheless, Riyadh continues to invest aggressively in economic diversification through its Vision 2030 programme, expanding sectors such as tourism, entertainment, manufacturing, logistics and technology to reduce dependence on petroleum exports. Recent IMF assessments indicate that non-oil activities now account for an increasingly important share of the Kingdom’s economic expansion.
Emerging Economic Centres
The United Arab Emirates and Malaysia continue to strengthen their positions through diversified economic strategies.
The UAE has developed into a global financial, logistics and aviation hub while expanding investments in artificial intelligence, renewable energy and advanced technology.
Malaysia, meanwhile, has demonstrated resilient growth driven by electronics manufacturing, exports, technology and prudent macroeconomic management. The IMF recently highlighted the country’s stable inflation and strong domestic demand as key drivers of its economic performance.
A New Economic Landscape
Economists caution that nominal GDP rankings fluctuate because they are influenced by exchange rates, inflation and revisions to national accounts, meaning leadership positions can change over time.
Even so, Turkey’s emergence as the largest Muslim-majority economy illustrates the growing diversification of economic power within the Islamic world. It also underscores how manufacturing capacity, export competitiveness and industrial policy are increasingly complementing natural-resource wealth as determinants of economic influence.
