Malaysian Government Leases Helicopters to Avoid Financial Burden

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Malaysian Government Leases Helicopters to Avoid Financial Burden
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The government of Malaysia is adopting a leasing system for acquiring helicopters for use by government agencies and security forces, aiming for transparency and to mitigate financial burdens. Prime Minister Datuk Seri Anwar Ibrahim explained that leasing reduces maintenance and repair costs, which can exceed initial purchase prices.

: The government is using a leasing system in the acquisition of helicopters for use by government agencies and security forces because it is more transparent and helps avoid financial burdens on the nation, the Dewan Rakyat was told today.

“Even though it might be cheaper if we just buy it, but in the end, we find that the maintenance costs of the helicopters are higher than the initial purchase price,” he said during the Minister’s Question Time. Defence Minister Datuk Seri Mohamed Khaled Nordin had previously said that the government would lease 28 helicopters from Italian defence firm Leonardo through a contract worth RM16 billion for a period of 15 years, for several agencies, including the MAF.

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