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Purchasing, leasing ATM assets based on MINDEF’s financial priorities – Adly

KUALA TERENGGANU: The decision to procure defence assets for the Malaysian Armed Forces (ATM), whether through leasing or purchasing, depends on the priorities and financial management of the Ministry of Defence (Mindef).

Deputy Defence Minister Adly Zahari said that typically, the purchase of defence assets required a greater financial commitment compared to leasing.

“In fact, if we look closely, there are many segments (of defence assets). When it comes to combat and operational assets, we usually opt for purchase. However, when considering various aspects, for logistical support assets and similar requirements, we may take leasing into account.

“What’s important for us is how we manage our finances,“ he said when asked to comment on the government’s decision to lease defence assets such as helicopters for ATM use.

He made the comments after officiating the ATM Veteran Entrepreneurs Empowerment Programme (PUVET ATM) at the state level in Terengganu today.

Adly said that the decision to lease the assets still met the needs of Mindef as outlined in the Defence White Paper (KPP).

“The most important aspect is that it remains within the framework of our KPP, whether to acquire new technology in our assets through purchase or direct leasing.

“We continuously review this from time to time. Collaboration between Mindef, the Ministry of Economy, and the Ministry of Finance is ongoing to ensure we can enhance our priorities in safeguarding our territories and borders,“ he said.

Meanwhile, when asked about the RM21.2 billion allocation from the government to Mindef in Budget 2025, Adly said it would be used not only for national security and defence purposes but also for the well-being of its staff and personnel.

“This includes maintenance work for the Armed Forces Family Housing (RKAT), facilities at camps and ATM bases, strengthening support for ATM veterans, and more.”

“The 7.08 per cent increase from last year’s budget, I believe, will provide benefits not only to members in service but also to veterans,“ he said.

Meanwhile, Adly added that Mindef was in constant communication with the Malaysian Battalion (MALBATT 850-11) stationed in southern Lebanon to receive daily reports and ensure the current status and safety of the peacekeeping forces in the volatile region.

“We continuously conduct assessments from time to time. Mindef also receives reports from the United Nations Interim Force in Lebanon (UNIFIL) to make informed decisions.

“We understand that the families of our personnel are concerned about MALBATT 850-11, but we also know that the Defence Minister (Datuk Seri Mohamed Khaled Nordin) has mentioned in Parliament that our personnel are safe,“ he said.

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