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PM Advocates for Direct Government-to-Government (G2G) Defence Purchases

Prime Minister Datuk Seri Anwar Ibrahim has endorsed the government-to-government (G2G) procurement model for defence equipment, describing it as more efficient, transparent, and cost-effective, and a remedy to the delays and inflated costs associated with third-party agents.

In Parliament during Minister’s Question Time, responding to concerns over Malaysia’s defence readiness amid rising regional tensions, the Prime Minister remarked:

“When we negotiate directly with governments, costs are immediately reduced because we have eliminated the excessively high agent fees. That is why the process is now completed; in the past, orders would always get stuck.”

He noted that this G2G framework has become the government’s default strategy for strategic procurements, pointing to its successful application in projects with Korea, Türkiye, and Italy, thus enabling smoother progress.

When pressed on potential acquisitions—such as Black Hawk helicopters or F/A‑18 fighter jets—Anwar emphasized that the Royal Malaysian Air Force Technical Committee will make the final determination. He stated plainly: 

“They will be fully responsible for determining readiness; if it cannot be justified, we will not sign. That is clearly our policy.”

The Prime Minister also flagged elevated military activities in the southern Philippines—particularly involving US and Philippine forces—and described Malaysia’s response: 

“I contacted President Bongbong Marcos and he said it was in response to China’s offensive. But this is, of course, concerning and compels us to step up our preparedness in Pulau Banggi and Sabah to safeguard our defence.” 

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  • I am Abigail, a journalist at The Ledger Asia, covering business and finance with a focus on the Malaysian Stock Market and key economic developments across Asia. Known for clear, accessible reporting, I deliver insights that help readers understand market trends, corporate movements, and regional news shaping the Asian economy.

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