Athens has formally approved the largest defense procurement in Greek history, signing contracts for a multi-layer air defense system built around Israeli technology, a $4 billion bet called “Achilles Shield.”
Defense Minister Nikos Dendias announced Thursday that the country’s security council, KYSEA, had approved contracts for a comprehensive anti-ballistic, anti-aircraft and anti-drone system using Israeli radars and interceptors from Rafael Advanced Defense Systems and Israel Aerospace Industries. The system is expected to be fully operational within 35 months.
“This is the most significant overhaul of Greece’s air-defense posture in decades,” Dendias told journalists in Athens.
The decision marks a decisive strategic shift. Greece currently operates a patchwork of aging US Patriot batteries and Russian S-300 systems, the latter an increasingly difficult liability as EU and NATO policy tightens restrictions on Russian military equipment. Achilles Shield will replace these legacy systems with Israeli SPYDER short-range units, Barak MX medium-range interceptors, and SkyCeptor missiles for the long-range tier.
At least 25% of the system will be produced by Greek companies, a condition that reflects Israel Aerospace Industries’ 2023 acquisition of Greek defense firm Intracom Defense and the deepening industrial integration between the two countries.
The approval goes beyond air defense. Greece also signed for three Embraer C-390 military transport aircraft, 10 British-built VICTA mini-submarines for special operations, US V-BAT drones, and Israeli Heron unmanned aerial vehicles.
Greece spends nearly 3.5% of GDP on defense, a higher share than most NATO members, driven primarily by its long-standing dispute with Turkey. The two countries, both NATO members, have come close to open conflict multiple times over maritime borders, energy rights in the Eastern Mediterranean, and the status of Aegean islands.
The broader context matters. Athens plans to spend roughly €28 billion through 2036 modernizing its armed forces, including the purchase of up to 40 F-35 fighter jets from the US and frigates from France and Italy. The Achilles Shield contract alone is worth up to €3.5 billion.
For Israel, the deal consolidates its position as Greece’s preferred defense partner. The two countries already operate a joint air training center on Greek territory, hold annual military drills, and cooperate on anti-drone systems and cybersecurity. Last year, Athens bought 36 Israeli-made rocket artillery systems for about €650 million.
For NATO, Greece’s pivot to Israeli systems creates a practical question: as one of the alliance’s southeastern anchors shifts its supply chain from US and Russian systems to Israeli hardware, how interoperable will its defense network remain with the rest of the alliance? The Greeks say the systems are “NATO-standard.” Time will tell whether that claim holds up in a joint exercise, or in a real fight.