Malaysia has decided to axe a controversial $657 million military helicopter order in the government's first major budget cutbacks since the global financial crisis, an influential news website reported on Sunday. “The Eurocopter deal is off due to the bleak economic times ahead,” the Malaysian Insider said, quoting an unidentified source. It said Finance Minister Najib Razak decided at the weekend to scrap the contract for 12 EC725 helicopters awarded to the European helicopter maker following a review of spending. Najib's spokesman told Reuters said he had not heard about the decision while defence ministry officials had no immediate comment on the story. Malaysia unveiled an economic stabilisation plan last week in its first admission of the effects of the global financial crisis on its trade-dependent economy. Najib said at the weekend he would announce more measures to stimulate the economy when he winds up 2009 budget debate on Nov. 4.
