Israel and Greece have concluded an approximately €3bn ($3.5bn) government-to-government (G2G) agreement for a layered Greek air-defence network incorporating Israeli-made missile, radar and command-and-control systems.
The agreement for the programme, dubbed in Greece as Achilles Shield, was signed in Israel on 31 August 2026 by Israel Ministry of Defence (IMOD) director general Major General (Res.) Amir Baram and his Greek counterpart, Ioannis Bouras, signed the agreement on 31 August 2026 in Israel.
The programme covers a package of air-defence systems and related capabilities, including the David’s Sling system, developed by the Israeli Missile Defence Organisation within the IMOD Directorate of Defence Research & Development (DDR&D), with Rafael as prime contractor.
This makes Greece the second European country to procure the David’s Sling system.
Israel will also provide the BARAK MX system produced by Israel Aerospace Industries (IAI), the SPYDER system produced by Rafael Advanced Defence Systems and MMR multi-mission radars for air surveillance produced by IAI’s subsidiary, ELTA Systems.
In addition, Rafael will develop a national command-and-control system intended to integrate the air-defence capabilities.
A separate €26m agreement signed during the meeting covers Rafael’s Drone Dome counter-uncrewed aerial vehicles (UAV) systems, which are intended to protect strategic sites and reinforce existing defences.
According to IMOD, the agreement is the largest defence export deal in the history of Israeli–Greek relations and marks the first time the ministry will deliver an integrated air-and-missile defence package designed to address threats ranging from ballistic missiles and aircraft to hostile UAVs.
As part of ongoing consultations with Greece’s Ministry of National Defence and the bilateral G2G framework, Israel is also expected to broaden defence-industrial cooperation with Greece, including knowledge- and technology-transfer initiatives aimed at supporting local industry.
Amir Baram said: “The ‘Achilles Shield’ deal is a… direct application of the Ministry’s strategy: growing defence exports as a key driver of IDF force buildup, of Israel’s foreign policy influence, and of a stronger national defence industry and economy.
“Government-to-government deals at this scale are more than diplomatic and economic wins – they drive the expansion of Israel’s production lines, build up stockpiles, and strengthen the country’s munitions independence.”
The signing follows Greece’s approval in July this year of the acquisition of a new air-defence system from Israel valued at up to €3.5bn ($4bn).
Greece’s defence budget totalled $11.1bn in 2026, reflecting a compound annual growth rate (CAGR) of about 7% between 2022 and 2026.
GlobalData, a data and analytics company, projects that defence spending will continue to rise at a CAGR of 8.3% over the forecast period, reaching $15.9bn by 2031, driven in part by higher outlays for procurement and personnel programmes.
