To install Fabric Loader on a Minecraft server via Hostinger Game Panel, run the Fabric installer on your computer, zip the generated server files, upload and extract them in File Manager, and set fabric-server-launch.jar as the startup jar. Fabric Mod Loader is similar to Forge, but it is lightweight and modular. Some key advantages for Fabric compared to Forge:
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The fabric used much fewer server resources
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Many of the Fabric mods are made with optimization in mind
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Ability to run any snapshots you want. Even the latest ones
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The fabric also makes fewer changes to the game and is, therefore, less prone to bugs
How to Install Fabric Loader
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Download Universal Fabric Installer
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Run the installer on your personal computer, choose the server on the top menu, then choose Minecraft version, and click install:

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After clicking install, it might say that it could not find 1.18.1 server jar, click Download server jar, after that select Done:

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Now there should be 3 files, server.jar, fabric-server-launch.jar, and fabric installer. Also, there should be a libraries folder:

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Delete fabric installer and create a zip archive with all 3 of those files (make sure it is indeed .zip file as this is crucial in order to upload the file to Game Panel:

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Upload the .zip file to your Game Panel’s File Manager and extract the files by clicking extract here:

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Now right-click on fabric-server-launch.jar and choose set as startup jar:

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Start the server
Your Minecraft server now runs on Fabric Loader. To add mods, upload them to the mods folder.