Abstract: City of Malang Raya, East Java, Indonesia has two major potencies, tourism and spirituality. Both can be integrated using the Islamic Economic Law principles as a catalyst. In this context, there are three important issues to be studied. Those are the growing of tourism model in Malang, internalization of Islamic principles in Malang’s latest tourism and the potency and strategies for the development of Malang as international halal tourism destination. The kind of study is field research. There are three findings found. First, growing tourism in Malang is dominated by imitative models of capitalism. Second, among the domination of capitalism based tourism in Malang today, there is a shade of implementation of Islamic economic law principles. Third, Malang has the potency to be an international halal tourism destination. The strategy of development should be conducted in accordance with Islamic economics law principles and methods of integration-interconnection between various components includingzoning, tourist attraction, public facilities, tourism facilities, accessibility, investment, government support and the strengthening of identity and local wisdom.