KUALA LUMPUR, Sept 1 (Reuters) - Malaysia is reviewing a
proposal from France to buy Rafale fighter jets but any decision
would depend on how affordable the aircraft are, Defence
Minister Hishammuddin Hussein said on Tuesday.
Malaysia, which wants to replace its fleet of Russian MiG-29
fighters, is said to be looking at the Rafale, Boeing (NYSE:BA)'s BA.N
F/A-18, Swedish firm Saab's SAABb.ST Gripen and the
Eurofighter Typhoon.
French manufacturer Dassault Aviation AVMD.PA , which
builds the Rafale, is said to be in talks with Malaysia to
supply 16 of the multi-role combat jets. ID:nL5N0VR45B
"It's too soon to announce anything about it," Hishammuddin
told a joint news conference with French Defence Minister
Jean-Yves Le Drian in the Malaysian capital.
"It's part and parcel of the industry and it's a proposal we
look at and I have been very transparent with the Malaysian
public that it's a question of affordability," he added, when
asked about Malaysia's interest in the fighter jet.
A Malaysian decision had been expected this year, but
aviation industry executives have warned that fiscal troubles
stemming from lower prices for oil and commodities could lead to
delays in placing the order.
Hishammuddin also said he had no discussions on Tuesday with
his French counterpart on the procurement of Mistral helicopter
carriers, which the French are trying to sell.
France last year suspended the sale of two Mistral warships
to Russia, after coming under pressure from its Western allies
over Russia's role in the Ukraine crisis.
President Francois Hollande has said there were a number of
potential buyers for the carriers. Countries said to be
interested in the helicopter carrier included Malaysia, Brazil,
Singapore, Canada and Egypt.