President Muizzu ratifies Zakat Bill

President Mohamed Muizzu has ratified the Zakat Bill, establishing a new legal framework to regulate the collection and distribution of Zakat in Maldives.

The bill was approved by the 20th Parliament at its 28th sitting of the third session on 3 December 2025.

The Act sets out the organisation, receipt and distribution of Zakat in line with Islamic principles. It also creates a Zakat Fund to safeguard contributions, distribute them to eligible beneficiaries and invest the funds in accordance with Islamic Sharia.

The fund will be held in a dedicated account at the Maldives Monetary Authority, separate from the state’s public accounts, and the authority will serve as the fund’s custodian.

The existing Zakat Fund established under the Public Finance Act will be transferred, along with its assets, into the new fund.

Under the Act, the national Zakat policy, including the collection and distribution of assets will be set by the president on the advice of the minister responsible for Islamic affairs.

A Zakat Council will also be established to advise the minister and the Maldives Zakat House on administering the system.

The Act places the Maldives Zakat House under the ministry as a government agency.

All its responsibilities, assets, facilities and budgetary allocations will be transferred to the new agency. A Sharia Advisory Committee, appointed by the president, will provide guidance and oversight on matters relating to Zakat.

Following ratification, the bill has been published in the government gazette. The Act comes into force on 1 January 2026.