Greece is in talks with Israel to develop a €2bn anti-aircraft and missile defense dome, part of a wider effort to modernize its armed forces as it recovers from a protracted debt crisis.
The defense is likely to mimic Israel's Iron Dome and other systems that intercept short- and long-range missiles fired during attacks by its neighbors amid ongoing conflicts in Gaza and Lebanon.
Greece is keen to invest in its defense to keep up with its NATO ally and compete with arch-rival Turkey, which is also developing its air defenses despite some improvements in relations.
"The plan is to create a multi-layered anti-air and anti-drone system," a source with knowledge of the matter told Reuters after a closed-door conference with Greek Defense Minister Nikos Dendias. "We are in discussions with Israel."
A second official confirmed the scale of the potential deal, adding that Greece must spend 12.8 billion euros by 2035 to modernize its armed forces.