Israel Signs Landmark $3.5 Billion Air Defense Deal With Greece

Israel and Greece have signed a landmark $3.5 billion "Achilles Shield" defense agreement, under which Israel will establish a multi-layered air defense system in Greece. The deal, signed in Tel Aviv on Monday, includes Israeli-made systems such as David's Sling and Spyder from Rafael Advanced Defense Systems, and the Barak MX from Israel Aerospace Industries (IAI).

Israeli Defense Minister Yoav Gallant stated that the agreement reflects shared strategic interests and common regional challenges, emphasizing that both nations will continue to deepen their security cooperation to maintain stability amidst attempts by hegemonic powers to destabilize the region. Greece has become a significant customer for Israel's defense industries in recent years, purchasing various missiles, rockets, and drones.

The "Achilles Shield" deal is the largest ever between the two countries, equaling the value of Israel's first Arrow 3 deal with Germany, which was the largest defense transaction in Israel's history. This agreement is part of Greece's substantial $28 billion rearmament budget, driven by threats and provocations from Turkey and Iran. Greece is also acquiring F-35 fighter jets from the U.S., Rafale aircraft, and warships from France.

This is the first time Israel's Ministry of Defense will provide a complete defense system against a wide range of threats, including ballistic missiles, aerial attacks, and hostile unmanned aerial vehicles. Greece will also acquire Rafael's Drone Dome system for drone interception and a new national command and control system. As part of the government-to-government agreement, Israel will enhance industrial-security cooperation, including technology transfer to the Greek industry, which will be responsible for producing components worth approximately $700 million, about 23% of the deal's value.

Rafael Chairman Uzi Landau highlighted that Greece is the second European country to acquire the David's Sling system, calling it a strategic milestone. IAI Chairman Boaz Levy noted that their air defense systems have proven effective in recent conflicts, including intercepting ballistic missiles outside the atmosphere.