Finland has extended the term of its memorandum of understanding (MoU) on defense cooperation with Israel for another decade. Under this new agreement, cooperation between the two nations will continue in areas such as defense research and development, mutual collaboration, and the procurement of defense equipment.
Finland’s state broadcaster, Yle, reported that Finnish Defense Minister Antti Häkkänen approved the extension in early 2024, despite facing intense criticism due to the ongoing war in Gaza. The agreement, valid until 2034, had not been made public prior to Yle’s report.
According to the report, the MoU on defense cooperation between Finland and Israel was originally established in 2013. As the expiration date approached, Helsinki proposed renewing the agreement in early 2024.
The previous agreement had a five-year term; however, Finland proposed extending it for ten years this time. Major General (Ret.) Eamir Baram, Director General of Israel’s Ministry of Defense, consented to the proposal.
In a letter to Yle, the Israeli Ministry of Defense stated, “On behalf of the Israeli Ministry of Defense, I accept the extension of the MoU for another 10 years, as proposed by Finland. We are grateful for our fruitful cooperation and look forward to continuing our joint projects and activities.”
Several major Israeli defense companies already have subsidiaries in Finland. Additionally, these companies maintain significant collaborations with various local Finnish firms.
According to data from the defense and technology outlet Defense & Tech, Finland’s purchases from the Israeli defense industry amounted to only a few million dollars just a few years ago. Currently, that figure has reached hundreds of millions of dollars annually and continues to rise.
The largest single defense procurement deal between the two countries involved the David’s Sling air defense system; Finland purchased it for €316 million in 2023.
Prior to that, in 2022, the Israeli company Rafael supplied Spike anti-tank missiles to the Finnish Army. The contract was valued at €213 million.
The third-largest procurement involved Gabriel anti-ship missiles for the Finnish Navy, purchased in 2018 for €162 million. Currently, there are approximately 20 ongoing defense projects between Finland and Israel.
The agreement to extend the memorandum of understanding was likely signed during the visit of General Janne Jaakkola, Commander of the Finnish Defence Forces, to Israel. He visited the country from August 3 to 6.
According to a press release from the Finnish Armed Forces, during the visit, Jaakkola and his Israeli counterparts discussed the changing security situation and multi-layered air defense systems.
