Greece to spend 25 bln euros in 'drastic' defense overhaul: PM

ATHENS

Greece will spend 25 billion euros ($27 billion) through to 2036 in the "most drastic" defense overhaul in its modern history, Prime Minister Kyriakos Mitsotakis said on Wednesday.

The drive, which includes a new anti-missile, anti-aircraft and anti-drone defensive dome called "Achilles's Shield,” is aimed at addressing rapidly changing geopolitical challenges and fraying transatlantic ties, Mitsotakis said.

"The plan involves the most drastic transformation of the armed forces in the country's modern history," Mitsotakis told parliament.

"The world is changing at an unforeseeable pace."

Greece has traditionally invested at least two percent of gross domestic product on its defense, NATO's spending target, owing to decades of tension with regional rivals Türkiye.

But the new initiative is also designed to make the country of 10.5 million people "a key branch" of the European Union's defense mechanism, contributing one of the bloc's "most advanced" armies, Mitsotakis said.

This year, the nation's military budget doubled to 6.13 billion euros ($6.6 billion).

Alongside Poland, Estonia and Latvia, Greece is now one of the few NATO member states that allocates more than three percent of output to defense.

Greek media reports suggest Athens is in negotiations with Israel to acquire the defensive dome, which also includes enhancing anti-drone systems.

France, Italy and Norway have been also cited as possible suppliers of the new weapons, which include unmanned vessels (USVs), drones and radars.

Greece has sought to strengthen its position on the EU's Eastern Mediterranean border, close to the conflict zones of the Middle East.

Last November, Defence Minister Nikos Dendias said Greece would order four different drone systems and overhaul its armed forces by merging military units.

Athens must cope with a "different reality" and modernise its forces quickly to meet the challenges of the 21st century and those in its relationship with Ankara, Dendias said at the time.