Israel Finalizes $1 Billion Deal for 12 Apache Attack Helicopters
Translated & summarized from Calcalist by baba
Israel's Ministry of Defense and the Pentagon finalized a $1 billion deal for 12 Apache attack helicopters on Wednesday. The agreement was delayed due to a budget dispute between Israeli ministries, but was approved after the government allocated 1 billion shekels by cutting other programs. The helicopters are expected to be delivered in the early 2030s, resolving a significant inter-ministerial conflict.
The story in 5 lines · by baba
- Israel signed a $1 billion deal for 12 Apache attack helicopters from Boeing.
- The deal was finalized after a budget dispute between Israeli Finance and Defense ministries.
- The Israeli government approved a 1 billion shekel allocation to secure the helicopter purchase.
- The helicopters are scheduled for delivery to Israel in the early 2030s.
- The agreement follows three extensions granted by the U.S. administration.
Israel's Ministry of Defense and the Pentagon have signed an agreement for the purchase of 12 AH-64E Apache attack helicopters manufactured by Boeing, in a deal valued at approximately $1 billion. The signing occurred just six days after Israel missed its initial deadline for ordering the aircraft, a delay attributed to a budgetary dispute between the Israeli Ministries of Finance and Defense. The agreement follows three extensions granted by the U.S. administration.
Director General of the Ministry of Defense, Major General (Res.) Amir Baram, instructed the ministry's delegation in the U.S. to finalize the deal after the government's approval and the development of a new budget framework. The helicopters are slated for delivery to Israel in the early 2030s, with the transaction adjusted to accommodate the country's current budgetary constraints. This agreement resolves, at least for now, a recent escalation of tensions between the Finance and Defense ministries.
The deal had previously stalled when a funding source for $288 million of the total $1 billion cost could not be identified. This led to a sharp dispute, with each ministry blaming the other for the failure. Defense officials argued that budgetary disagreements jeopardized the IDF's armament plans, while the Finance Ministry contended that the Defense Ministry altered a previously agreed-upon financing plan, exceeding legal budgetary limits.
The resolution came about through a government decision to allocate 1 billion shekels to the defense budget by cutting funds from a five-year plan for the Arab society for 2027-2029. This move was presented to ministers as a critical and urgent defense procurement necessary to save the Apache deal. Concurrently, a broader plan is underway to implement an additional 2.5 billion shekel cut across various government ministries, bringing the total planned budget reductions to 3.5 billion shekels.
