Malaysia has signed MoUs with Turkiye and South Korea for G2G defence procurement to eliminate agent reliance.
PORT DICKSON: Malaysia has signed memoranda of understanding (MoUs) with Turkiye and South Korea to undertake government-to-government (G2G) defence procurement, said Defence Minister Datuk Seri Mohamed Khaled Nordin.
He said the mechanism is a new approach that will be adopted for selected defence procurement projects, with several other countries, including Italy and France, also proposing that acquisitions be carried out through the same method.
“We have identified specific projects that will be implemented on a G2G basis. Previously, all companies, whether original equipment manufacturers, agents or others, could participate in open tenders. This time, however, procurement will be carried out through G2G arrangements. We have already signed two MoUs to facilitate this approach.
“At the same time, we want to ensure that the countries we deal with are trustworthy, willing to transfer technology to Malaysia and able to help develop our domestic defence industry,” he told reporters here today.
Last Friday, Prime Minister Datuk Seri Anwar Ibrahim said the government had successfully reduced the cost of acquiring Littoral Mission Ships (LMS) by 15 per cent through direct negotiations between the governments of Malaysia and Turkiye. Anwar said the G2G approach was introduced to eliminate reliance on agents, which had previously driven up the cost of acquiring the country’s defence assets.
Mohamed Khaled added that the approach not only enables the government to secure more competitive prices but also guarantees supply through the commitment of the supplier country’s government. He said G2G procurement is expected to ensure a more transparent process while offering better prices by eliminating intermediaries, thereby enhancing the effectiveness of the country’s defence assets.
“What is important is that our services, whether the Army, Navy or Air Force, determine the specifications required. It does not mean the government purchases equipment at will, but rather in collaboration with the services that require those assets,” he said.
Meanwhile, Mohamed Khaled said threats to national security are no longer confined to traditional forms such as armed conflict, but now include a wide range of hybrid threats targeting society, public thinking and perceptions.
“Among the emerging threats are attacks through social media as well as disruptions to critical infrastructure and facilities, such as water and electricity supplies, which can have a direct impact on the public,” he said.
He said the public must be made aware that the responsibility of defending the nation should not rest solely with the Malaysian Armed Forces. The Whole-of-Nation Defence (HANRUH) concept, introduced by the government, aims to cultivate a culture of shared responsibility for national defence among the public.
