President Dr Mohamed Muizzu’s decision to ensure that student loans for higher education and training, both domestically and abroad, comply with Islamic financial principles has been met with approval from religious scholars and leaders.

The president instructed that loans issued for students should be restructured to adhere to Islamic norms, eliminating any non-compliant elements. His directive also includes changes to administrative fees associated with student loans, ensuring that previous borrowers are reimbursed for any deductions made. Additionally, the one per cent administrative fee previously charged on student loans will be removed entirely, and no further charges will be imposed beyond the original loan amount.

Religious figures have welcomed the initiative, viewing it as a positive step toward ensuring financial practices align with Islamic teachings. Dr Ali Zahir bin Saeed Gasim, Vice-Chancellor of the Islamic University of Maldives, expressed gratitude towards the president for taking measures to make student loans Sharia-compliant. He noted that such reforms would be encouraging for those who prioritise adherence to religious principles.

Sheikh Ahmed Sameer Ibrahim, Vice President of Jamiyyath Salaf, also praised the decision, stating that the move strengthens Islamic values in financial dealings. He acknowledged the president's role in ensuring that students can pursue education without concerns about religious non-compliance.

Additionally, religious scholar Sheikh Shafiu Abdulla described the decision as a positive development for Maldivian students. He highlighted that many students and their families had raised concerns about the structure of student loans, and this reform would provide reassurance to those who seek to align financial matters with Islamic principles.