Greece to sign $3.6b. Israeli air defense deal, creating 'Achilles Shield' against Turkey and Iran

Greece is poised to ink a $3.6 billion defense pact with Israel on Monday in Tel Aviv, marking the nation's largest arms deal to date. This comprehensive air defense system aims to bolster Greece's defenses against potential threats emanating from Turkey and Iran. The agreement, which has been in negotiation for three years, is expected to significantly enhance Greece's aerial security capabilities.

Under the deal, Greece will procure an integrated, multilayered air defense network. The lion's share of the funds will be directed towards Rafael Advanced Defense Systems, which will supply Greece with David's Sling systems for intercepting heavy rockets and ballistic missiles. Additionally, Greek forces will receive mobile SPYDER systems to counter unmanned aerial vehicles and drones. Israel Aerospace Industries will provide the Barak MX system, designed to protect against aircraft and missiles.

To manage the incoming systems, a national-level command-and-control center will be established, incorporating artificial intelligence functionalities. This advanced command center will mirror Israel's existing defense network. Greek companies are anticipated to reap about €700 million from the deal as subcontractors for Rafael Advanced Defense Systems and Israel Aerospace Industries.

The agreement, colloquially known as "Achilles Shield" in Greece, will see the deployment of SPYDER batteries on Greek islands, including popular tourist destinations frequented by Israeli citizens. The project's significance is underscored by it being the largest defense export deal in Israel's history thus far. Notably, IAI signed a $3.5 billion export deal with Germany for the Arrow 3 missile defense system in 2023, while Elbit Systems inked a $2.3 billion agreement with a foreign customer this year. Rafael signed a framework agreement with Romania for SPYDER systems valued at $2 billion.

Greece has already established itself as a significant customer for Israel's defense sector, having previously purchased Spike missiles, Spice precision-guided bombs, Heron 2 drones, and IAI's Rampage missiles from Rafael, Elbit Systems, and IAI respectively. This latest defense deal is poised to further fortify the strategic partnership between Greece, Cyprus, and Israel, as all three nations have been stepping up security coordination in recent years, driven by mounting tensions with Turkey. Cyprus has reportedly also acquired Israel's Barak MX system to safeguard its airspace.