Israel to Sign Largest Defense Deal in Its History With Greece

Israel will sign a $3.6 billion agreement with Greece to export air and missile defense systems to build the Achilles Shield system. This will be the largest defense export deal in Israel’s history.

The Jerusalem Post reported this.

The large-scale agreement will provide Athens with a multilayered air defense system against potential threats from Turkey and Iran.

Most of the funds will go toward the purchase of Rafael’s SkyCeptor variant of the David’s Sling system, designed to intercept cruise and ballistic missiles.

The systems are being considered as replacements for the S-300 systems, which have lost support because of strained relations with Russia. The new systems will complement the modernized Patriot batteries, which remain the backbone of Greece’s air defense.

Greece will also purchase mobile SPYDER air defense systems to replace the Russian Osa-AK and Tor-M1 systems, as well as Barak MX systems to replace the U.S.-made Hawk system.

The agreement also includes establishing a national-level command-and-control center to manage the systems and launches, similar to the one Israel uses. The center will have artificial intelligence capabilities.

Negotiations over the air defense sale continued for three years. They were suspended because of Israeli military operations in the Gaza Strip, but after a ceasefire was established, Greece revived the project in November 2025, emphasizing its strategic importance.

The agreement is expected to further strengthen the strategic partnership between the two countries, with Israel playing a key role in protecting Greek airspace.

The Greek government has already approved a defense procurement package under a long-term military modernization program that includes acquiring Israeli air defense systems.

The government also approved the purchase of Heron 1 unmanned systems, 10 V-BAT Class II aircraft, and SAR satellites, countermeasures against maritime drones, and 10 specialized underwater vehicles.

The package also includes funding to modernize four Hydra-class frigates (MEKO 200HN) and purchase three Embraer C-390 Millennium military transport aircraft under an intergovernmental agreement with Portugal.