Malaysia signs $2.3 billion in defence deals at biennial fair

Korea Aerospace Industries

25/05/2023 10:38

KUALA LUMPUR, May 25 (Reuters) - Malaysia's defence
ministry on Thursday said it had signed agreements worth 10.1
billion ringgit ($2.28 billion) at this year's biennial Langkawi
Maritime and Aerospace (LIMA) exhibition, including several new
asset procurements.  
    They include the purchase of 18 FA-50 light attack aircraft
from Korea Aerospace Industries (KAI), and four units of
Sikorsky's Black Hawk helicopters to be leased from Malaysian
firm Aerotree Defence and Services, the ministry said in a
statement. 
    KAI, South Korea's sole warplane manufacturer, won a bid to
supply the jets to Malaysia for about $920 million, media had
reported in February.
    The acquisitions come as Malaysia looks to upgrade or
replace several aging military assets. The government allocated
17.7 billion ringgit  ($3.99 billion) for the defence ministry
under this year's budget, a 10% increase from its funding in
2022. 
    The Royal Malaysian Air Force will also be acquiring three
unmanned aerial systems from Turkish Aerospace Industries, and
two maritime patrol aircraft from Italian firm Leonardo SpA, the
defence ministry said.  
    "Plans are in place to procure more defence assets under the
next Malaysian Rolling Plan," the ministry said, referring to
the country's five-year economic roadmap series.
      
  

($1 = 4.4350 ringgit)

 (Reporting by Rozanna Latiff; Editing by Kanupriya Kapoor)
 ((rozanna.latiff@thomsonreuters.com; +603 2333 8004; Reuters
Messaging: @rozlatiff on Twitter))