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Defence ministry to overhaul military procurement after fund freeze

MINDEF will implement new checks, including multi-service committees and open tenders, to improve transparency in MAF procurement following a corruption-linked fund freeze.

JOHOR BAHRU: The Ministry of Defence will implement significant improvements to the Malaysian Armed Forces asset procurement system following a freeze on procurement funds.

Minister Datuk Seri Mohamed Khaled Nordin said the new measures were agreed upon after recent discussions with the Ministry of Finance.

He stated that future procurement committees must include representatives from across all services, rather than a single branch, to enhance transparency and ensure checks and balances.

READ MORE: Defence ministry seeks clarity on frozen military procurement funds

“For example, if a procurement is carried out by the Royal Malaysian Navy, the committee must also include representatives from other services such as the Army or the Air Force,” he told reporters after an event here.

Mohamed Khaled added that equipment procurement from abroad must first go through an open international tender to avoid costly agent involvement.

The Ministry of Finance has also mandated a representative from the Home Ministry to sit on the tender board for major defence procurements.

He assured that the freeze does not affect the MAF’s operational readiness, as it excludes critical daily operational needs.

Exempted items include food supplies for personnel on operations, as well as essential logistics like vehicle fuel and spare parts.

“When personnel are deployed for operations, they need food supplies. Vehicles also require fuel and spare parts,” he explained.

On Jan 16, Prime Minister Datuk Seri Anwar Ibrahim directed a temporary freeze on all MAF and police procurement decisions linked to corruption issues.

The freeze followed controversy involving alleged corruption and abuse of power by several former top leaders of the armed forces.

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