Negotiations are at an advanced stage for a deal worth around €150 million between Israeli defense companies Israel Shipyards and Rafael and the Republic of Cyprus to supply naval vessels equipped with advanced weapons systems, according to a report by Israeli financial newspaper Calcalist, cited by Euronews.
The proposed deal is expected to strengthen defense cooperation between Israel and Cyprus while expanding the naval capabilities of the Cypriot National Guard. It also reflects the two countries’ intention to deepen their strategic ties amid growing concerns over security and stability in the Eastern Mediterranean.
The agreement is expected to be signed in the coming weeks, once the terms have been finalized by the Israeli and Cypriot defense ministries.
The deal is being negotiated as a government-to-government (G2G) agreement aimed at deepening Israel’s defense, diplomatic and economic ties with Cyprus. It is also expected to strengthen the strategic partnership between Israel, Cyprus and Greece.
Cooperation between the Israeli companies and Cyprus is not new. Less than a decade ago, Israel Shipyards supplied the Republic of Cyprus with a patrol vessel to protect its Exclusive Economic Zone (EEZ).
Beyond the supply of naval vessels and weapons systems, Israeli defense sources cited by Calcalist suggest the deal could lead to further commercial cooperation, including in defense manufacturing.
Sources: Euronews, Calcalistec
