Malaysian Defence Allocation On The Uptick

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MALAYSIA raised its defence allocation in the outline Budget for 2026, with US$5.1 billion earmarked for the Malaysian Armed Forces (MAF). The allocation is an increase of around 2.92% compared to the previous year. Of the allocation, US$3.3b of the budget is designated for Operating Expenditure (OE) while US$1.8b will be used for Development Expenditure (DE).

Defence minister Khaled Nordin said the 2.92% increase is timely for ensuring the MAF’s readiness to face traditional and non-conventional security challenges. “This is consistent with the findings of the Mid-Term Review of the Defence White Paper (DWP), which underscores the need to upgrade the MAF assets using new technologies. This is particularly important as we face various challenges, including those in the South China Sea”.

The defence minister added that the US$1.8b would be used to maintain and procure more defence assets, including very-short, short and medium-range air defence (VSHORAD, SHORAD, MERAD) platforms for the Army and RMAF respectively, as well as two Multi-Role Support Ships (MRSS) for the RMN among big-ticket procurements.

Chief of Defence Forces (CDF) General Mohd Nizam Jaffar said the MAF would continue to strengthen the capabilities of its services, the Malaysian Army, Royal Malaysian Navy (RMN) and Royal Malaysian Air Force (RMAF) and more capable of projecting force between both of Malaysia’s theatre of operations–Peninsular and East Malaysia. The Tun Sharifah Rodziah Sea Platform static offshore forward operating base (FOB) will cease operations in June 2026, to be replaced with a Multi-Purpose Command Platform.

In addition, the Malaysian Maritime Enforcement Agency (MMEA) will also be procuring a maritime surveillance aircraft (MSA) while awaiting the delivery of the agency’s new Multi-Purpose Mission Ship (MPMS) from Turkiye’s Desan Shipyards scheduled for 2027. Furthermore, the MMEA will also acquire two New Generation Patrol Craft (NGPC) and will soon receive four new Leonardo AW189 helicopters.

The MMEA too awaits the delivery of an ex US Coast Guard Cutter (USCGC) Steadfast, which was handed over to the MMEA in September and scheduled to complete its journey to Malaysia in November. Now crewed by MMEA personnel, the journey was the longest and farthest journey in the agency’s history, crossing the Atlantic Ocean, Mediterranean Sea, Red Sea, Suez Canal and Indian Ocean.–shp/adj/dl (Pix:MAF)