UAE behind the USD 2.3 bn arms deal with Israel: Report

This marks a significant shift in the narrative around Middle East arms deals.

The United Arab Emirates (UAE) is likely the “mystery” client behind the USD 2.3 billion deal with Israeli military technology company Elbit Systems, according to a French report, with Israeli media also echoing the claim.

On November 17, Elbit Systems had announced the largest deal in its history, a USD 2.3 billion agreement with a confidential international client to deliver weapons systems over the next eight years.

At the time of the deal, the two parties had signed a confidentiality agreement, and combined with the Israeli media ban, the identity of the international client remained undisclosed, in what is reported to be the biggest and most influential arms trade deal carried out by the Israeli Defence Ministry,

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Following the report published in French news publication Intelligence Online, Israeli media, too, reiterated the claim, suggesting that the UAE was indeed behind the transaction, marking a significant shift in the narrative around Middle East arms deals.

Soon after the agreement was signed last month, weapons manufacturer Elbit had reportedly shared with the stock exchange that the deal involved a “strategic solution for an international customer.”

Meanwhile, according to the Israeli Tech and Startup news Cacalist Tech, the transaction may “erode Israel’s military edge in the Middle East due to the highly advanced and sensitive system at its core.”

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Changing UAE-Israel relations

Historically, the UAE did not have formal diplomatic relations with Israel. Like other Arab nations at the time, the UAE had long opposed official ties due to the Israeli military operations in Palestine. At most, their engagement included links in areas such as renewable energy, where Israel had participated in the International Renewable Energy Agency (IRENA).

Then came the Abraham Accords in 2020, which dramatically changed relations between the two states. The UAE had agreed to “normalise” its diplomatic ties with Israel through these the agreement facilitated by the United States.

After the normalisation, solid ties were established between the two countries, including the exchange of ambassadors, with the UAE recently purchasing land in Israel to build a permanent embassy, marking the first time a Gulf country had purchased land inside Israel for diplomatic facilities.

Even after October 7, 2023, when Hamas attacked Israel and the subsequent Israeli genocide in Gaza, the two nations continued to maintain their official economic and diplomatic ties.

As of now, there has been no official statement from either government confirmed the claim.

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