Islamic tourism has a large potential market value and will provide significant benefits to the people. This paper analyzes the perceptions of tourism stakeholders towards the potency of Islamic tourism development in the lake of Ngebel, Ponorogo East Java. The findings of the study revealed that all respondents have a good or positive perception of implementing Islamic tourism. They will likely support the implementation of the Ngebel Lake as an Islamic Tourism site. The paper suggests that local government needs to support and help business vendors fulfill administrative and business legality needs. Additionally, socialization about the importance of food, halal certification for consumer protection is needed.