Parliament to debate revised Pension Act amendment in extraordinary session

The ruling People’s National Congress (PNC) has reintroduced an amendment to the Pension Act to allow individuals suffering from serious illnesses, such as cancer, to withdraw money from their pension accounts before reaching retirement age.

The original amendment, proposed by Galolhu North MP Mohamed Ibrahim (Kudu) of the Maldivian Democratic Party (MDP), was rejected on October 21 after debate earlier that month. Despite support from 61 PNC members, the bill was thrown out of Parliament.

The government has now revived the proposal with additional provisions. Milandhoo MP Hassan Mufeedh Abdul Qadir submitted the revised amendment, which is scheduled for debate in an extraordinary session on Monday.

Under the proposed changes, individuals seeking treatment for serious illnesses would be eligible to withdraw pension funds regardless of age. The funds could be disbursed either in full or in installments. Another provision would allow pension account holders to pay the remaining 80 percent of Hajj costs through their pension if they have already paid 20 percent to the Hajj Corporation.

President Dr. Mohamed Muizzu, speaking during recent meetings with Male' city residents, said the government intends to expand pension fund access in line with his campaign promises.

“Now we are going to send another amendment to the Pension Act,” he said. “I want to include more things, taking into account my promise in the presidential election and what comes in the meetings.”

He added that a separate bill would soon be submitted to Parliament to allow pension funds to be used for housing and other essential needs.

Responding to a question from an island resident, the President said the government would propose further amendments to enable pension withdrawals in special circumstances.

“So as I promised, some of them have already started to be expanded,” he said.

Currently, pension funds are used to pay for Hajj, but withdrawals for medical treatment or other purposes are restricted. Under existing law, pension payments begin at age 65.