Is it permissible for a teacher to award a grade of 95/100 to a student who has memorized the entire Qur'an in the Islamic Culture subject, knowing that the grade is originally based on studying the material and taking exams, and it is feared that this might be an injustice to other students and an incentive to memorize the Qur'an for the sake of the grade rather than for reward?

This depends on the university's regulations and the teachers' prerogatives. If the university stipulates that grades should be given solely based on academic achievement, then the teacher is not allowed to give additional marks. However, if the university grants the teacher the authority to assign grades based on various types of knowledge, then there is no objection to distinguishing those who have memorized the Quran, as they have memorized the constitution of the Ummah and its eternal law. Nevertheless, the teacher should balance the grade for the subject being tested with activities and behavior, so that students are equal in what they are tested on, while the memorizer of the Quran is distinguished in what is specific to them alone. There is no harm in encouraging students to memorize, while reminding them of the necessity of sincerity to Allah Almighty.