Zakat House Forecasts Record Growth in Zakat al-Mal Collections for 2024

Maldives Zakat House expects this year's Zakat al-Mal collections to surpass the record high of USD 10.99 million set last year. Current trends indicate a significant surge in contributions, driven by increased public awareness and the introduction of a new legislative framework. Speaking on PSM News' "Raajje Miadhu" programme, Zakat House Director General Sheikh Imthithaau Abbas revealed that collections have steadily climbed compared to the same period last year. By the end of June, nearly USD 5.19 million had been collected, representing a 100 percent increase over June of the previous year. Sheikh Imthithaau attributed this growth to the strengthening of Zakat House's operations and the introduction of the Zakat Act. He noted that these developments have bolstered public confidence and educated citizens on their religious obligations, leading to higher participation and larger contributions. Data from the Maldives Inland Revenue Authority (MIRA) supports this upward trend. In June alone, Zakat al-Mal collections totaled approximately USD 1.37 million, doubling the USD 687,000 collected in June last year. Provisional state figures further confirm the trend, showing USD 5.16 million received so far this year—a 29 percent increase over the USD 3.99 million collected during the same period last year. Zakat al-Mal is a mandatory religious contribution for Muslims whose wealth exceeds the "nisab" threshold for one full lunar year. Currently, the threshold is based on 595 grams of silver, valued at approximately USD 2.38 per gram, placing the minimum wealth requirement at USD 1,416.12. To further professionalize the process, the Maldives is implementing its first dedicated Zakat Act. This comprehensive legal framework defines the categories of zakat, identifies those liable to pay, and outlines the types of assets subject to the tax. The Act is designed to ensure that funds are managed and distributed according to Islamic principles to promote social welfare and equity across the archipelago.