Malaysia Defense Budget Stands at USD 3.5 Bn in 2017, According to SDI Report Published at MarketPublishers.com09 Oct 2017 • by Natalie Aster
LONDON – Malaysia’s defense budget is estimated at USD 3.5 billion as of 2017, which represents a drop of 17.6% YoY. Over 2013-2017, the country’s defense budget posted a CAGR of -8.58%. The major factor responsible for the declining military budget is the lower share of GDP allocated to defense sector. Malaysia has also suspended several of its novel procurement programs and is increasingly promoting the modernisation of its existing equipment to curtail costs. This is part of endeavors by the country’s government to implement economic reforms and stabilise the economy. Malaysia has also released its 11th five-year growth plan, wherein plans for attaining economic upswing have been well drawn up. With the implementation of the plans the Malaysian GDP is likely to rise.
During the analysis period, the national MoD allocated an average of 21.1% of the overall defense budget to capex, while an average of 78.9% was set aside for current expenses. In the foreseeable future, allocation to capex is poised to remain at 23.2% on average. For the next 2 years, allocation towards capex is projected to slightly decrease owing to the postponement of a number of procurement programs.
In-demand research report “The Future of the Malaysia Defense Industry - Market Attractiveness, Competitive Landscape and Forecasts to 2022” created by SDI offers an unprejudiced, deep analysis of the market on a global level.
It provides the national defense industry market size and sheds light on the demand drivers and growth propellers for the sector. The study briefly reviews the country’s spending and modernisation patterns. The report gives true insights into procurement schedules laid down within the country, and breaks down the military budget pertaining to capex and current expenses. It also identifies the main challenges the industry players are faced with in the country. It includes Porter’s five force analysis of Malaysia’s defense sector. The research limelights the dynamics of the domestic imports and exports over the last 5 years, uncovers the 5 leading defense investment prospects during the next decade. The research publication canvasses the competitive scenario in the industry and provides an all-round overview of dominant players, including key insights like key alliances, strategic incentives, and a brief sum-up of financials.
Follow SDI catalogue to find more in-demand reports by this publisher.