Israel, Greece sign massive ‘Achilles Shield’ defense deal

Israeli defense companies to build advanced air defense network for Greece, part of a €3 billion agreement between the two countries.

By World Israel News Staff

Israel and Greece signed a roughly €3 billion defense agreement Monday under which Israeli companies will build a nationwide, multi-layered air and missile defense network for Greece, marking the largest defense export agreement ever signed between the two countries.

The agreement, known as the “Achilles Shield,” was signed at the Israeli Defense Ministry headquarters in Tel Aviv by ministry Director General Amir Baram and Greek General Directorate for Defense Investments and Armaments chief Ioannis Bouras. Greece’s Defense Ministry put the program’s precise budget at €3.035 billion and said implementation would begin immediately.

The system will combine several of Israel’s most advanced air defense platforms into a unified national network designed to counter ballistic missiles, aircraft, cruise missiles and drones.

The package includes Rafael’s David’s Sling and SPYDER systems, Israel Aerospace Industries’ BARAK MX, ELTA-made MMR multimission radars and a new Rafael-developed national command-and-control system that will integrate Greece’s air defense assets.

Israel’s Defense Ministry said it is the first time the country has agreed to provide another nation with a complete defense architecture covering such a broad range of aerial threats.

A separate €26 million agreement signed alongside the main deal will provide Greece with Rafael’s Drone Dome counter-drone systems for the protection of strategic facilities.

Defense Minister Israel Katz described the agreement as part of a broader strategic relationship between Jerusalem and Athens.

“Israel and Greece share common strategic interests and face shared regional challenges,” Katz said. He added that the countries would continue strengthening their defense cooperation as regional powers seek greater influence in the Eastern Mediterranean.

Baram said the agreement reflected “Israel’s technological edge and the proven track record of our defense systems in the field.”

The deal comes as Greece carries out one of the largest military modernization programs in its history. Athens plans to spend roughly €28 billion through 2036 on new weapons and defense infrastructure, including F-35 fighter jets, new frigates and the Achilles Shield network.

Greece currently spends close to 3.5% of its GDP on defense, among the highest levels in NATO.

Greek Defense Minister Nikos Dendias has presented Achilles Shield as a central component of the country’s “Agenda 2030” military overhaul, arguing that drones, ballistic missiles, cyber warfare and other emerging technologies have transformed the requirements of national defense.

“Modern conflicts have already altered the parameters of military defense and deterrence,” Dendias said, adding that technological developments have made older defense doctrines increasingly obsolete.

The Greek Defense Ministry said Monday that 19 Greek companies are already participating in work connected to the project.

Athens has made domestic industrial involvement a major condition of its procurement strategy, with Dendias previously saying Greek companies should receive at least 25% participation in major weapons programs.

Greece has also sought technology transfers and access to source code so that its armed forces can independently maintain and modify critical systems.

The Israeli Defense Ministry likewise said the agreement would expand cooperation with Greek industry and include transfers of technology and expertise.

David’s Sling will provide one of the long-range layers of the new network.

The Rafael-developed system is designed to intercept ballistic and cruise missiles as well as other advanced aerial threats. Greece will become only the second foreign customer for David’s Sling after Finland. The system has also been used operationally by Israel against Iranian ballistic missiles.

BARAK MX will provide another layer capable of engaging aircraft, drones and missiles, while the mobile SPYDER system is designed for shorter-range air defense. ELTA’s MMR radars will provide surveillance and target tracking, with the various components linked through the new national command network.

The agreement further deepens a defense partnership that has expanded steadily over the past decade. Israel and Greece previously signed a $1.65 billion agreement for Elbit Systems to establish and operate an international flight-training center in Greece, while the countries have also conducted extensive joint military exercises and pursued additional missile, drone and artillery purchases.

The growing partnership comes against the backdrop of longstanding Greek tensions with Turkey over territorial waters, maritime boundaries and airspace in the Aegean and Eastern Mediterranean.

Israel’s own relationship with Ankara has also become increasingly strained, adding strategic importance to Jerusalem’s defense ties with Greece and Cyprus.

For Israel, the agreement represents another major success for a defense-export sector that reached record levels in 2025. Israeli arms exports surpassed $19 billion last year, up roughly 30% from 2024, with missiles, rockets and air defense systems accounting for more than half of total sales.

The Achilles Shield agreement ranks among Israel’s largest-ever defense exports. Germany’s acquisition of the Arrow 3 missile defense system remains larger following an expansion that brought the overall value of that program to approximately €5.6 billion.

GreeceIsrael-Greece relationsIsraeli arms