I think gov should do it in two paralel ways:
1-commit to this programme, say RM10 per year, while at the same time provide grant to new design from other companies or educational institutions, say RM 1 million a year for research. Conduct competition, the winner will get grant for development of RM2 million.

2-buy latest UAV from oversea, get used to it. But set a budget of only around RM100mill initial, RM 12mill yearly operation and RM 10 mill yearly for modification/upgrading. I suggest look for China as source, as they got quite an advanced technology for UAV/UCAV by copying US.