Sounds ignorant.
Actually depending on the sec of Islam is really more a thing of a non believer in God this means any faith that is not a judo christian.
This is state in Sharia law even that they have a reduced tax rate when it was fully enforced back in the day. This is a term they may use for foreign people they doubt their like commitment as well for like causes that support their country.
This in particle is a translation thing that is just a distinction.
It is however taken out of context by extremist so to speak so this is not to be like mistaken that it is not just that this is the real meaning as more educated Islamic faith based people see it.