Israel to build Greece air defense system in $3.5 bn deal

Israel has sealed a $3.5 billion defence export agreement to build Greece a comprehensive, multi-layered air defence system known as Achilles Shield.

The agreement finalised on Monday is Israel’s largest-ever defence export contract with Greece and one of the biggest in the country’s history.

Prime Minister Benjamin Netanyahu called it “a direct continuation of the Eastern Mediterranean alliance” forged a decade ago with Greece and Cyprus.

The PM noted that it serves as further proof of the capabilities of Israel’s defence and technological industries and expresses the strengthening of regional alliances.

Director-General of Israel’s Defence Ministry Amir Baram said the deal reflected the “technological edge and the proven track record of our defense systems in the field”.

Israel will supply Greece with the Barak MX system, MMR multi-mission radars for air surveillance, Spyder systems and David’s Sling, which Finland ordered recently.

The European nation will also receive a new national command-and-control system, developed by Rafael, to integrate its air defence capabilities.

A supplementary $30 million agreement will see Israel supply Greece with Rafael’s Drone Dome systems to protect strategic sites against drones and bolster existing defences.

Additionally, Israel will expand defence-industrial cooperation with Greece, which is steadily increasing its military capabilities amid tensions with neighbouring Turkey.

The long-standing rivalry between Greece and Turkey stems from the dispute over maritime boundaries, territorial airspace and the division of Cyprus, though both remain NATO allies.

Over the next decade, Athens plans to spend $33 billion on the Achilles Shield anti-ballistic, anti-aircraft and anti-drone system, as well as on U.S. F-35 jets and frigates from France and Italy.