The President has sanctioned a change to the Pensions Act permitting individuals with terminal illnesses, who have no medical prognosis of living beyond a year, to access their pension funds for treatment costs.

The legislation was approved during the 19th meeting of the initial session of the 2026 Parliament, which took place on Thursday, May 14, 2026.

The Sixth Amendment Bill to the Pensions Act presents changes to the regulations overseeing the basic pension, the criteria for accessing pension funds, and actions to enhance the Pension Office and the entire pension framework.

According to the amendment, pension funds can be accessed in situations of "terminal illness," which is described as a medical assessment indicating that the individual is expected to live for no more than one year even with treatment.

Individuals don masks while positioned in front of a health advisory notice. (Sun Image/Fayaz Moosa)

The amendment also specifies that people whose earnings surpass the basic pension limit for seniors will not qualify for the basic pension.

In the past, pension savings were permitted as collateral solely for down payments on finished apartments.

The updated amendment broadens this, permitting pension funds to serve as collateral for building and repairing homes. Furthermore, the legislation allows for the utilization of pension funds to secure Hajj slots ahead of time.

The legislation also presents various administrative changes intended to enhance the enforcement of the Pensions Act.

The President has now approved the Sixth Amendment to the Maldives' Pensions Act, and it has been published in the Government Gazette.