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Greece approves purchase of $4bn Israeli air defense system

Athens, Tel Aviv, and Washington are forming an Eastern Mediterranean energy bloc to counter regional trade and energy networks

The Cradle | July 23, 2026

Israel is set to supply Greece with a layered air defense network under an agreement valued at up to $4 billion, Greek Defense Minister Nikos Dendias announced on 23 July, with the same round of approvals covering several drone models and the C-390 military transport aircraft manufactured by Embraer.

Dendias said the government security council, KYSEA, had signed off on the plans in principle earlier this year and has now cleared the procurement contracts.

Greece aims to build a multi-layered network capable of intercepting ballistic missiles, aircraft, and drones, named “Achilles Shield.” The system’s core will rely on radars and missiles supplied by the Israeli firms Rafael and IAI.

“It will be ready and fully operational within 35 months, starting from today,” Dendias stated, noting that at least 25 percent of the system will be manufactured by Greek companies.

Athens currently relies on US-made Patriot batteries and aging Russian S-300 systems to guard its airspace, and has earmarked roughly €28 billion (around $32 billion) for a rearmament drive running through 2036.

Under that program, Greece intends to acquire as many as 40 F-35 fighter jets from the US, along with frigates from France and Italy.

Defense spending in Greece stands at close to 3.5 percent of gross domestic product, outpacing most other NATO members, a level Athens attributes to its long-running dispute with Turkiye.

Greece and Israel maintain close economic and diplomatic relations, running an air training center on Greek soil, staging annual joint military exercises, and working together on anti-drone systems and cybersecurity.

Joint military drills between Athens and Tel Aviv resumed in early July, ending a lengthy suspension brought on by Israel’s genocide in Gaza over the past three years. Israel’s Channel 12 called the cooperation between both countries “part of a broader strategic plan taking shape in the region.”

Beyond military cooperation, the US, Israel, Greece, and Cyprus launched the Eastern Mediterranean Energy Center (EMEC) in early June.

The framework for cooperation on energy and critical infrastructure security involves offshore natural gas projects, research, and technological development, with the wider aim of expanding hydrocarbon output and connectivity schemes such as the India–West Asia–Europe Economic Corridor (IMEC).

Officials from Greece, Cyprus, and Israel had already discussed that alignment at a private diplomatic conference in Athens in May, and weighed a “formal strategic alignment” to capitalize on regional shifts. They also positioned IMEC as an alternative to the Strait of Hormuz – which remains closed as a result of the US war on Iran – and as a direct counter to China’s Belt and Road Initiative (BRI).

July 24, 2026 - Posted by aletho | Militarism | Cyprus, Greece, Israel, United States