In May 2021, Sri Lanka’s Ministry of Defence (MoD) signed a $50 million agreement with Israel Aerospace Industries (IAI) to upgrade five Kfir fighter jets. This decision, aimed at enhancing the Sri Lanka Air Force's (SLAF) operational readiness, was seen as a strategic move to modernize the aging fleet. However, the project has faced delays and transparency concerns, prompting public debate on its necessity amid the country’s economic difficulties.
Strategic justifications
The SLAF has been clear about the strategic importance of the Kfir upgrade. With the F-7 fleet scheduled for retirement in 2026, the Air Force risks losing its fighter capability entirely if the Kfir jets are not refurbished in time. Group Captain Eranda Geeganage, SLAF spokesperson, emphasized the critical need for these upgrades:
“With the F-7 fleet retiring in 2026, Sri Lanka will lose its fighter capability entirely if the Kfir upgrades are not completed in time. These jets are crucial for maintaining national security and air defense capability.”
The upgrades include advanced radar systems, new communication suites, and modernized helmets, effectively transforming the Kfir jets into 4+ generation fighters. IAI has assured that the refurbishments will extend the jets' operational lifespan to 15 years or 6,000 flight hours.
Delays and implementation challenges
Despite the strategic urgency, the program has encountered significant delays. Two jets are currently 60% complete, while three are 40% complete. According to the Government sources, the first operational jet is now expected by April 2025, two years behind schedule, with the remaining jets slated for delivery by the end of 2025.
The Morning learns that the project’s timeline was impacted by bureaucratic delays and logistical challenges. The SLAF has confirmed that $13 million has been paid to IAI, with $43.5 million remaining to be disbursed in staggered payments until 2027. However, when inquired, the SLAF did not clarified whether interest costs will be included in the installments.
Modernization and Strategic Advantage
The upgrade deal with IAI is intended to transform the Kfir jets into versatile multirole fighters, enhancing their air-to-air and air-to-ground capabilities. The refurbished jets are expected to play a critical role in maintaining Sri Lanka’s air defense, especially in safeguarding its Exclusive Economic Zone (EEZ).
Additionally, IAI is promoting the advanced Kfir NG (New Generation) upgrade, which could further enhance the jets’ capabilities.
However, committing to this next phase could lead to further financial implications, locking Sri Lanka into a long-term modernization cycle.
IAI Executive Vice President Yossi Melamed highlighted the strategic significance of the partnership, stating:
“I am proud that IAI's Kfir has been chosen by customers around the world. This deal is an early step in preparing for future upgrades to the advanced model KNG (Kfir New Generation).”
Economic and public concerns
The timing of the project has drawn sharp criticism, given Sri Lanka’s ongoing economic challenges. While the Kfir upgrade is considered a more cost-effective option b the SLAF compared to purchasing new fighter jets such as the HAL Tejas or JF-17, which would cost $150–200 million, questions remain about the financial burden on an already strained economy.
Former Commander of the Air Force, Air Chief Marshal Udeni Rajapaksa acknowledged the economic difficulties but defended the necessity of the upgrades, stating:
“It’s not a matter of not needing Kfirs, but we must understand and prioritize based on the country’s economic situation. Our priority today is maintaining peace in the Indian Ocean. We aim to upgrade the five Kfir jets by the first half of next year, ensuring national security.”
Transparency and accountability issues
The Government has faced criticism for the perceived lack of transparency surrounding the Kfir upgrade. Key project details were disclosed only after public pressure, drawing comparisons to past military procurement controversies, such as the MiG deal. Cabinet Spokesperson Nalinda Jayathissa admitted:
“We are burdened by decisions made in 2021. If canceling the project were possible, it would be better. Unfortunately, we are locked into it now.”
Balancing national security and economic realities
The Kfir jet upgrade underscores the delicate balance between strategic defense needs and economic constraints. As the project progresses, critical questions remain:
- Is the $50 million investment justified given Sri Lanka’s current economic situation?
- Could alternative solutions have better balanced cost and strategic necessity?
- How can future defense projects ensure greater transparency and accountability?
The outcome of the Kfir upgrade program will serve as a benchmark for Sri Lanka’s ability to navigate complex defense priorities amid challenging economic realities. With national security and financial stability both at stake, the Government’s next steps will be closely watched by analysts, critics, and the public alike.