Padang City Government to Switch Civil Servant Salaries to Sharia System from 1 July

The Padang City Government is taking a strategic step to strengthen the sharia economic and financial ecosystem. Starting 1 July 2026, the salary payment system for thousands of civil servants within the Padang City Government will be switched to a sharia financial system. The policy was confirmed by Deputy Mayor Maigus Nasir during the opening of the Regional Committee for Sharia Economy and Finance (KDEKS) Working Meeting at Bagindo Aziz Chan Hall, Aie Pacah City Hall, on Wednesday (24/6). ‘Insya Allah, starting 1 July 2026, the salaries of tens of thousands of Padang City Government civil servants will use the sharia system. This Islamic New Year momentum must be a starting point for changing the mindset and governance of Padang City. When a halal system is available, we must strive to implement it fully,’ said Maigus. According to Maigus, the transfer of the civil servant salary payment system is a tangible implementation of Padang City’s development vision, which emphasises regional progress based on religious values and local culture. Maigus explained that strengthening the sharia economy in Padang City has a strong regulatory foundation, including Law Number 17 of 2022 concerning West Sumatra Province, which reinforces the philosophy of Adat Basandi Syarak, Syarak Basandi Kitabullah (ABS-SBK). The policy is also in line with the newly enacted Padang City Regional Regulation on Strengthening Customary Institutions and Preserving Minangkabau Cultural Values. However, Maigus acknowledged that the implementation of the sharia economy still faces several challenges, particularly regarding the readiness of human resources and the dominance of the conventional financial system, which has been more familiar to the public. ‘We still face challenges in the form of limited human resources who truly understand the sharia economy, as well as the strong influence of the conventional system. Therefore, education and collaboration are very important,’ he said. To accelerate the transformation, Maigus invited all stakeholders to strengthen synergy, involving the banking sector, academics, ulama, Islamic community organisations, and regional apparatus. Meanwhile, Head of the Economy and Natural Resources Division of the Padang City Regional Secretariat, Indra Noveri, explained that the KDEKS Working Meeting was held to formulate the work programme for the 2025-2029 period and to devise strategies to accelerate the development of the sharia economy in the region. The meeting featured speakers including KDEKS Padang City Expert Council member Asasriwarni, Executive Director Muhammad Sobri, and National Committee for Sharia Economy and Finance (KNEKS) Director of Sharia Ecosystem Infrastructure Sutan Emir Hidayat, who presented online.