Greece is set to sign a $3.6 billion defense deal with Israel on Monday in Tel Aviv, a major agreement that will provide Athens with a multilayered air defense system against potential threats from Turkey and Iran.
The agreement, negotiated over three years, will become the largest defense export deal in Israel’s history.
A Greek delegation will sign the agreement with Israel’s Defense Ministry to purchase air defense systems valued at $3.6 billion, slightly below earlier estimates. The deal will provide Greece, for the first time, with an integrated, multilayered defense network.
Most of the funds will go to Rafael Advanced Defense Systems, which will supply Greece with David’s Sling systems designed to intercept heavy rockets and ballistic missiles, as well as mobile SPYDER systems designed to counter unmanned aerial vehicles and drones. Israel Aerospace Industries will provide the Barak MX system, which is designed to defend against aircraft and missiles.
The agreement also includes a national-level command-and-control center to operate the systems and manage launches, similar to the system used in Israel. The center will incorporate artificial intelligence capabilities.
Greek companies are expected to receive about €700 million of the deal’s total value as subcontractors for Rafael and IAI.
The project is known in Greece as “Achilles Shield” and will include deploying SPYDER batteries on Greek islands, including popular vacation destinations visited by many Israelis.
The largest defense export deal in Israel’s history to date was IAI’s first export sale of the Arrow 3 missile defense system to Germany, worth $3.5 billion, signed in 2023. Elbit Systems announced a $2.3 billion deal with a foreign customer this year, according to reports from the Persian Gulf, while Rafael signed a framework agreement with Romania this year to sell SPYDER systems worth $2 billion.
Greece has already become a major customer of Israel’s defense industry, purchasing Spike missiles and Spice precision-guided bombs from Rafael, Rampage missiles from Elbit Systems and IAI, and Heron 2 drones from IAI.
The air defense agreement is expected to further strengthen the strategic partnership between the two countries, with Israel playing a key role in helping protect Greek airspace.
Greece, Cyprus, and Israel have strengthened their security coordination in recent years amid growing tensions with Turkey. Cyprus has also reportedly purchased Israel’s Barak MX system to defend its airspace, according to foreign reports.