PKR has questioned Putrajaya's intention to purchase a RM3.5 billion French-made Mistral-class warship when the country is facing an economic downturn.

At a press conference today, PKR secretary-general Rafizi Ramli referred to a report in The International Daily dated Aug 26, which said French Defence Minister Jean-Yves Le Drian is leading a defence industry delegation to Malaysia on this deal.

The team reportedly arrived yesterday, and would meet Prime Minister Najib Abdul Razak and Defence Minister Hishamuddin Hussein.

Rafizi ( photo ) said the French had struck a deal to sell two custom-made warships to Russia and delivered them in 2014 and 2016 respectively, but the deal was cancelled due to Russia's dismal human rights record.

It is understood that France has been under pressure from its Nato allies not to proceed with the deal from its onset, but the pressure had raised sharply since the escalation of the Ukrainian crisis, especially with the shoot-down of Malaysian Airlines MH17 last year.

Now, Rafizi added, the French do not know what to do with the two ships and are planning to sell one to Malaysia.

"The warship's estimated cost was US$600 million (RM2.4 billion) in 2012, and inflated to US$650 (RM2.6 billion)," he said, adding that this was just the building cost.

The full cost, he added, which includes arming of the warship as well as training and maintenance, is expected to be around US$3.5 billion or RM14 billion.

'Explain full costs'

According to a reference, the full cost of the Mistral may climb to as high as RM14 billion when training and maintenance fees are factored in.

"I call upon both Najib and Hishammuddin to explain its full cost, comes next Parliament sitting, including the cost of helicopters and technical support.

"They also need to explain why the government intends to buy a warship which is custom-made to suit the geography and war strategy of Russia.

“Buying a warship is not like buying a car, you don’t go to a salesroom to pick, you actually begin with what actually is the defence strategy of your own country,” said the Pandan parliamentarian.

These need to be revealed to the public before any decision is made. At least a committee must be set up in august house to further discuss the matter, given that arms procurement are secret, he added.

"The country normally identifies its defence strategy, budget and specifications before choosing the type of ships they need and have the manufacturer build accordingly.

"We never go shopping (when comes to defence procurement). That’s why I asked why are we shopping for a warship that wasn’t made for us?” he asked.

No discussion

However, Reuters quoted Hishammuddin later today saying that there was no discussion about the Mistral when he met his French counterpart.

Instead, Hishammuddin ( photo ) reportedly announced that the Malaysian government is reviewing a French proposal to purchase 16 Rafael multirole combat jets .

According to the The International Daily report, Dassault Aviation, Thales, Safran, DCNS, MBDA and DCI are among industry players that will meet Najib and Hishammuddin.

The Mistral is a class of amphibious assault ships designed to support landing operations with its fleet of combat and transport helicopters, landing crafts, and a complement of ground troops including main battle tanks and other vehicles.

Contrary to some media reports, the Mistral is not classified as an aircraft carrier due to its design focus on supporting ground operations rather than servicing strike aircraft, and its flight deck is also too small to handle fixed-wing aircraft.

Previous arms procurement had caused concern as in the Scorpene submarine deal, where it was alleged that RM500 million in kickbacks were involved. The Defence Ministry was under Najib at that time.

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