The Persian doctors of religion were granted full freedom to preach the Shi’ah doctrine and were paid by the State for their missionary activities.
The new Sultan restored back to power the Afāqis while relegating the Deccanis to a position of insignificance.
He married the famous woman warrior Chand Sultana, daughter of Nizam Shahis of Ahmadnagar.
The greatest event of Ali's reign was the successful formation of the confederacy of the Deccan Sultans against Vijayanagar and their victory over the latter at the Battle of Rakkasagi – Tangadagi in Talikoti in 1565.
During Ali's reign diplomatic relations with the Mughal Emperor Akbar were established and envoys were exchanged.