President Mohamed Muizzu has ratified amendments to the Pension Act expanding how pension savings can be used, according to the Government Gazette.
The changes allow lump-sum withdrawal in terminal illness cases certified by a doctor, where life expectancy is under one year, to support families during critical medical conditions.
Pension funds can now also be used for building or renovating homes on private land and for Hajj-related payments.
The amendment further tightens eligibility for the basic pension, blocking payments to those earning above the set threshold.
Officials say the reforms aim to increase flexibility while protecting the long-term sustainability of the pension system.
