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PEMURNIAN SISTEM PEMBIAYAAN PENDIDIKAN NEGERI KEDAH PATUH SYARIAH (UJRAH), SISTEM PEMBIAYAAN PENDIDIKAN NEGERI KEDAH (SPPNK)

Can the Kedah education financing scheme impose ujrah and ta'widh charges in a Shariah-compliant way?

Short answer

The Kedah State Fatwa Committee proposed that the scheme operate on the ta'awun (mutual assistance) concept, with repayment equal to the amount financed (zero ujrah), but stated that a fixed ujrah of RM350 per year is more suitable if ujrah is charged.

KedahOpinion (irsyad)

A reference, not a fatwa. First sentence of the summary below — read the original fatwa and consult your state authority before acting.

Authority
Kedah State Mufti Department
Status
Opinion (irsyad)
Series
Irsyad Al-Fatwa
Topic
Transactions & Finance

No evidence of gazettement in the source — this is not a gazetted fatwa.

Summary

The Kedah State Fatwa Committee proposed that the scheme operate on the ta'awun (mutual assistance) concept, with repayment equal to the amount financed (zero ujrah), but stated that a fixed ujrah of RM350 per year is more suitable if ujrah is charged. A ta'widh (compensation) charge may be imposed on recipients who fail to repay without reasonable cause and it is not riba, while those facing hardship or inability are exempted. Rescheduling or restructuring of repayment is allowed, and ujrah charges are not subject to zakat because SPPNK represents the state government.

Written in our own words from the original fatwa — check the source before acting on it.

Ya, caj ta'widh (kos pampasan) boleh dikuatkuasakan ke atas penerima biaya yang gagal membuat bayaran tanpa alasan yang munasabah sehingga pembiayaan selesai.

Excerpt from the original fatwa · Kedah

Read the full fatwa on the Kedah website (new tab)

How to cite

Cite the original fatwa and its authority. Rujuk Fatwa is only where you found it.

Kedah State Mufti Department. “PEMURNIAN SISTEM PEMBIAYAAN PENDIDIKAN NEGERI KEDAH PATUH SYARIAH (UJRAH), SISTEM PEMBIAYAAN PENDIDIKAN NEGERI KEDAH (SPPNK)”, date not stated. https://ifatwa.kedah.gov.my/wp-content/uploads/2023/11/Irsyad-al-Fatwa-Pemurnian-Sistem-Pembiayaan-Pendidikan-Negeri-Kedah-Patuh-Syariah-UJRAH-2-5.pdf. Found via Rujuk Fatwa: https://rujukfatwa.com/en/fatwa/kedah-education-financing-ujrah-tawidh-shariah-compliant/