DEFENCE WHITE PAPER 8. Concentric Areas. Based on the geography and national strategic considerations, Malaysia’s interests are divided into three layers as in Figure 3.1. FORWARD AREA EXTENDED AREA CORE AREA Locations beyond the extended area where Malaysia’s national interests are affected Malaysian Maritime Zone (MMZ), strategic waterways, airspace and critical lines of communications The land masses of Peninsular Malaysia, Sabah and Sarawak; the territorial waters; as well as the air space above them Figure 3.1: Concentric Areas. 9. Malaysia’s areas of interests must be protected and defended at all costs, against any external threats. The Core Area houses the government administrative capital, socio-economic centres and main population zones. The Extended Area is rich in living and non-living resources especially hydrocarbons, as one of the main sources of Malaysia’s revenue. The Forward Area covers locations beyond the extended area, with national interests that include regional stability and efforts towards global peace. Fundamental Principles of Defence 10. 39 Malaysia’s defence strategy is developed based on the following principles: i. Interest-based. Developing plans according to the national interests along the concentric areas; ii. Activist neutrality. Adhering to the principles of non-alignment and actively promoting cooperation by emphasising inclusivity and shared prosperity, alongside shared security and shared identity; iii. Aspired self-reliance. Reducing dependency by strengthening the local defence industry through the advancement of defence science and technology; iv. Innovation and integration. Enhancing Research and Development (R&D) in defence science and technology by emphasising defence capability development through jointness across all sectors; and v. Good gover nance. Institutionalising good governance in national defence management.