Maldives Zakat House Raises Wealth Threshold for Mandatory Zakat al-Mal Payments

Maldives Zakat House has revised the Nisab for Zakat al-Mal, increasing the minimum wealth threshold required for the mandatory Islamic practice of almsgiving. The adjustment ensures that the threshold remains aligned with current global market values, maintaining the integrity of wealth purification and societal welfare systems. Effective from 21 April, the new Nisab is set at approximately USD 1,416. This marks a notable increase from the previous threshold of USD 1,266, which had been established in December 2023. The calculation is based on the global price of silver, specifically valued at USD 2.38 per gram for a total of 595 grams. In the Maldives, the Nisab serves as the financial benchmark to determine who is eligible and required to pay Zakat. Because the threshold is pegged to silver prices, any fluctuation in the global commodity market directly impacts the minimum amount of wealth a person must possess before Zakat becomes payable. To meet the requirements for Zakat al-Mal, an individual must hold wealth above this threshold for a full lunar year. Once these conditions are met, the mandatory contribution is calculated to support the vulnerable and under-privileged within the community. Since 1 June 2016, the Maldives Inland Revenue Authority (MIRA) has managed the collection of Zakat al-Mal, streamlining the process of gathering these religious contributions to ensure they are distributed effectively across the archipelago.