Khaled reveals RM12bil military overhaul to boost defence in 2025

Major investments in naval, air, and ground assets to enhance Malaysia’s security capabilities

Defence Minister Datuk Seri Mohamed Khaled Nordin announced a RM12 billion allocation to enhance Malaysia's military assets and capabilities.– Azim Rahman/Scoop file pic, January 16, 2025

KUALA LUMPUR – A staggering RM12 billion has been allocated to the Malaysian Armed Forces (ATM) to acquire vital assets and equipment to enhance the nation’s defence capabilities in 2025, said Defence Minister Datuk Seri Mohamed Khaled Nordin.

Among the key acquisitions approved this year, he revealed, are the 105mm Pack-Howitzer artillery for the Army, surface-to-surface missiles (SSM) for the KD Jebat frigate of the Royal Malaysian Navy, and three Medium Altitude Long Endurance Unmanned Aerial Systems (MALE UAS).

Speaking at the Defence Ministry’s 2025 New Year Address at Wisma Pereira today, Mohamed Khaled stressed the Ministry’s commitment to ensuring the timely progress of other crucial assets.

Notably, the Littoral Combat Ship (LCS) 1 has already reached an impressive 96.52% completion and has commenced the Harbour Acceptance Trials (HAT) and Sea Acceptance Trials (SAT).

“LCS2 has been launched and is currently undergoing ‘Setting To Work’ (STW), while LCS3 is in the final stages of preparation and is scheduled for launch in January 2026,” he said.

Mohamed Khaled also updated on the other LCS vessels, with LCS4 and LCS5 projected to reach 65.05% and 48.72% completion, respectively.

The second batch of Littoral Mission Ships (LMS) is also progressing steadily, with the combined work on the three vessels expected to hit 13.8% by June 2025. LMSB2-1, LMSB2-2, and LMSB2-3 are forecast to reach 17.1%, 13.9%, and 10.4% completion, respectively.

In terms of air assets, the construction of the FA-50M (Block 20) light fighter aircraft, procured from Korea Aerospace Industries (KAI), has reached 48% completion, with the first two aircraft expected to arrive in October 2026.

The Ministry is also set to receive two Maritime Patrol Aircraft (MPA) to boost surveillance capabilities of Malaysia’s maritime borders, with deliveries scheduled for June and September 2026.

Mohamed Khaled reaffirmed that upgrading the ATM’s assets is one of the top ten priorities outlined in the Ministry’s 2025 strategic plan, ensuring Malaysia’s defence systems meet the current and future security challenges. – January 16, 2025