Malaysia’s 15-Year Helicopter Leasing Program with Leonardo
Malaysia has launched a landmark 15-year helicopter leasing program with Leonardo and local partner Weststar, marking the largest government rotorcraft modernization in the country’s history. Under the agreement, up to 28 new-generation helicopters of various types will be delivered, mostly between 2026 and 2027, and leased to the Malaysian government for 15 years. The deal is worth roughly RM 16-16.5 billion (about $3.5 billion), covering helicopter supply, insurance, maintenance, spare parts, training, and other services. Defence Minister Mohamed Khaled Nordin described the expenditure as “highly reasonable” given these inclusions.
The program brings a mix of Leonardo rotorcraft to Malaysia’s fleet. Notably, it introduces the AW149 utility helicopter into the Royal Malaysian Air Force (RMAF) and Army for combat search and rescue (CSAR) and transport roles. Malaysia already operates other Leonardo models: for example, the RMAF currently fields four AW139 intermediate twins (acquired via prior leases), and the coast guard has acquired AW189 medium twins. These AW-family helicopters will serve diverse missions. Officials say the fleet will be used by agencies such as the police, fire and rescue (Bomba), maritime agency, and armed forces for law enforcement, transport, firefighting, EMS, search-and-rescue, maritime surveillance, disaster relief, and CSAR operations. The fleet expansion also replaces ageing platforms (like the retired Sikorsky Nuri) and standardizes capabilities across branches.
Under the lease contract, Weststar delivers the helicopters and provides local support and training. The Defence Minister explained this is a lease-to-own arrangement, i.e, after 15 years, the government can purchase all 28 helicopters for a nominal RM1 each. Distribution has been announced as 12 helicopters to the RMAF, 7 to the Royal Malaysian Police, 4 to the Maritime Enforcement Agency, 2 to the Royal Malaysian Navy, 2 to Fire & Rescue, and 1 to the Prime Minister’s Department. This wide allocation underscores the goal of “strengthening the operational capabilities of relevant agencies” through a modern fleet, as Weststar’s chairman, Syed Azman Syed Ibrahim, noted. The lease contract also guarantees minimum availability (85% readiness) and covers full MRO support, so end-users need not handle maintenance contracts or procure spare parts.
Deliveries are planned mainly for 2026–2027. Training and deployment will leverage Leonardo’s regional helicopter training academy in Malaysia, which already supports over 70 operators and 240 aircraft. Officials say the helicopters will start fulfilling missions soon after delivery, enhancing Malaysia’s capabilities. Prime Minister Anwar Ibrahim emphasized that the government structured the deal on a government-to-government basis (backed by Italy) to ensure transparency and cost control. Leonardo’s managing director, Gian Piero Cutillo, praised the partnership, saying it will “deliver greater rotorcraft capabilities to benefit national defence and security and the local communities”. In sum, Malaysia’s new Leonardo helicopter lease is a comprehensive Malaysian government helicopter upgrade, aimed at modernizing the fleet across military and civilian services, improving mission readiness, and spreading costs via leasing.