Scholars are seeking to identify how to integrate faith into diplomacy constructively. Proponents of faith-based diplomacy recognise that incorporating faith into peacemaking activities assists in alleviating identity-based conflict and religiously motivated violence in the contemporary international system. A promising strategy within the scope of faith-based diplomacy is interfaith dialogue. The study and practice of interfaith dialogue have been reinvigorated since the advent of 9/11, and yet the link between interfaith dialogue and diplomacy remains underdeveloped. The cases of Indonesia and the United States show that states can effectively use interfaith dialogue to achieve policy objectives, and yet some policies are detrimental to achieving goals. Faith-based diplomacy and interfaith dialogue can be innovative diplomatic perspectives useful in addressing contemporary global issues.