In a long-awaited step forward for the Royal Malaysian Navy (RMN), the second vessel in the troubled Maharaja Lela-class frigate program, KD Raja Muda Nala (hull number 2502), was officially launched on May 9, 2025, at the Lumut Naval Shipyard. While the launch is being celebrated as a milestone in the country’s defense modernization efforts, it also underlines the ongoing challenges Malaysia has faced in naval procurement, including budget overruns, delays, and corruption.
KD Raja Muda Nala is currently undergoing post-launch outfitting at the Lumut Naval Base, a phase expected to last three weeks. This marks a continuation of the project’s progress after years of stagnation and scrutiny. The vessel joins KD Maharaja Lela (2501), the lead ship of the Maharaja Lela-class frigates, and three other RMN vessels at various stages of construction or maintenance at Lumut: KD Teguh Samudera (272), KD Ledang (13), and KD Jebat (29).
The Maharaja Lela-class, originally envisioned as the centerpiece of Malaysia’s Second Generation Patrol Vessel (SGPV) program, represents an ambitious attempt to domestically build modern surface combatants. Designed based on France’s Gowind-class corvettes, the ships have evolved into multi-role frigates with a full-load displacement of 3,100 tons. The project, however, has been beset with complications almost from the start.
The SGPV initiative was launched in 2011 to replace the RMN’s aging fleet and improve its ability to conduct maritime surveillance, interdiction, and defense operations across Malaysia’s territorial waters. Multiple international shipbuilders vied for the contract, including Germany’s ThyssenKrupp with the MEKO 200 and the Netherlands’ Damen Schelde with its Sigma 10514 class. Ultimately, Malaysia awarded the RM9 billion contract to Boustead Heavy Industries Corporation (BHIC), which partnered with France’s Naval Group (formerly DCNS), the original designer of the Gowind-class.
Construction of the ships was to be conducted locally, with hull work taking place at Lumut and electronic systems integrated in Cyberjaya. The first ship, KD Maharaja Lela, was originally scheduled for commissioning by 2019, with the remaining five to follow at six-month intervals.
But the program quickly ran aground. Changes to the original design—intended to increase capability—led to increased displacement, more sophisticated sensors, and advanced weaponry, all of which escalated costs and complicated timelines. By 2020, not a single ship had been delivered, despite significant payments already made.
Public scrutiny intensified following multiple reports of financial mismanagement and delivery delays. A 2021 investigation by Malaysia’s Public Accounts Committee (PAC) revealed that RM1.4 billion had been misappropriated and that the contract was awarded through direct negotiations, sidestepping open tender requirements. This led to accusations of cronyism and a failure in oversight mechanisms meant to safeguard public spending.
The situation culminated in the indictment of Ahmad Ramli Mohd Nor, former managing director of BHIC and a former RMN chief, on charges of criminal breach of trust in August 2022. The case remains a touchstone in discussions about defense procurement transparency in Malaysia.
As the program faltered, the government briefly considered transferring the project to France’s Naval Group, but that option was rejected by Parliament in favor of retaining BHIC. The decision was controversial but signaled the government’s commitment to preserving domestic defense industrial capabilities, even amid operational failures.
In financial terms, the fallout was stark. The cost of the program ballooned from RM9 billion to RM11.2 billion by 2023, with the unit cost per ship reaching RM2.24 billion—or approximately USD 948 million in 2024 figures. The sixth ship in the series, KD Mat Kilau (2506), was formally cancelled.
Despite the delays and controversy, the Maharaja Lela-class represents a leap in capability for the RMN. Each frigate is powered by four MTU 20V 1163 M94 diesel engines in a Combined Diesel and Diesel (CODAD) configuration, producing a total of 29,600 kW (roughly 39,700 horsepower). This enables speeds of up to 28 knots, with a cruising range of 5,000 nautical miles at 15 knots and an endurance of 21 days.
The ships are designed for a crew of 138 and can support various helicopters and unmanned aerial vehicles (UAVs) of up to 10 tons, including the Super Lynx 300 and EC725. The aviation facilities include a full hangar and helideck, a critical feature for extended deployments in the vast maritime zones of Southeast Asia.
KD Raja Muda Nala is equipped with an advanced sensor and combat suite centered around Naval Group’s SETIS Combat Management System. Its radar capabilities include the Thales SMART-S Mk2 3D search radar, while underwater detection is handled by a Kingklip Mk.1 hull-mounted sonar and a CAPTAS-2 towed array sonar from Thales Underwater Systems. For fire control, the ship uses Rheinmetall’s TMEO Mk2 and TMX/EO Mk2 electro-optical systems.
On the electronic warfare front, it is outfitted with the Thales Vigile system and Wallop’s Super Barricade decoy launcher. The ship’s armament includes a stealthy Bofors 57mm main gun, two 30mm MSI DS30M cannons, and eight Kongsberg Naval Strike Missiles (NSM) for anti-ship warfare. Sixteen vertical launch system (VLS) cells are installed for the VL MICA surface-to-air missile system, although the missiles themselves have yet to be delivered.
The ship’s launch followed its transfer to the shiplift area on May 7, 2025. Between May 3 and May 5, its mast, radome, and primary sensors were installed. Now docked beside its sister ship KD Maharaja Lela, KD Raja Muda Nala will spend the next several weeks undergoing outfitting, including systems integration and calibration.
Interestingly, the vessel was originally designated KD Syarif Masahor. The name was changed mid-construction—around the 70 percent completion mark—to KD Raja Muda Nala, honoring a historical warrior figure from Selangor. The renaming was widely perceived as an attempt to rebrand the vessel and signal a fresh chapter in the LCS saga.
According to RMN officials and shipyard representatives, the final stages of outfitting will include the installation and testing of the NSM missile systems, in line with a 2015 Letter of Award to Kongsberg valued at €20 million. The agreement also covers the integration hardware and interface development for compatibility with the SETIS CMS.
The Maharaja Lela-class consists of five planned ships—down from the original six—with varying degrees of completion. The lead ship, KD Maharaja Lela, was laid down in March 2016 and launched in August 2017. It is still undergoing fitting and is now expected to enter service in 2026. KD Raja Mahadi (2503) was laid down in December 2017 but has not yet been launched. KD Mat Salleh (2504) was laid down in October 2018, and KD Tok Janggut (2505) is awaiting steel-cutting.
The project’s painfully slow progress continues to raise questions about Malaysia’s ability to manage large-scale defense procurement independently. With regional powers such as China expanding their naval footprint in the South China Sea, delays in delivering capable surface combatants have strategic implications for Malaysia’s maritime security.
The Maharaja Lela-class is the RMN’s first real attempt at producing high-end surface combatants domestically. While the intention to build a sovereign defense industry is laudable, critics argue that Malaysia has sacrificed operational readiness for industrial ambitions that its current infrastructure and institutional framework are not prepared to support.
Military analysts point out that while the ships are designed with cutting-edge systems, Malaysia’s operational needs require dependable, timely delivery over ambitious technical capability. As neighboring countries continue to expand and modernize their naval forces, Malaysia risks falling behind—both in terms of deterrence and power projection.
The LCS program has become a lightning rod for political criticism, often cited as an example of procurement gone awry. Several parliamentary sessions have been devoted to debating its cost and viability. Yet, the government has chosen to double down on the existing builder rather than scrap the program entirely or outsource to a foreign shipyard.
Moving forward, the successful outfitting and sea trials of KD Raja Muda Nala will be crucial in regaining public trust. According to the Ministry of Defence, sea trials are scheduled for late 2025 or early 2026. If successful, the ship may enter service within the RMN’s 15th Strategic Plan, which aims to build a leaner, more versatile force by 2030.
KD Raja Muda Nala’s launch represents a critical juncture—not just for the ship itself but for Malaysia’s broader ambitions in naval modernization and defense self-reliance. While the ship floats, the program remains under the heavy burden of past missteps. Whether this milestone proves to be a turning point or merely another chapter in a troubled saga will depend on what happens next: on the dock, at sea, and in the halls of Malaysia’s government.
