Nikos Dendias: Greece Is Changing Its Defense Doctrine—From Purchases to Greek “Smart” Weapons

The two major challenges

This was emphasized, among other things, by Minister of National Defense Nikos Dendias, who represented Prime Minister Kyriakos Mitsotakis today, Tuesday, June 23, at the inauguration ceremony for METLEN’s fourth M Technologies industrial facility at the Volos defense hub.

“The country faces two major challenges. The first challenge is readily understood; it is the security challenge facing the country. The country faces a real threat. We are the only country on the planet—the only country on Earth—that has a declared threat of war from a neighbor, the ‘casus belli.’ And for what reason, exactly? In the event that our country exercises a legitimate right—which, in our own judgment, is not a legitimate right, but is included in the European “acquis,” the body of European law. That is, the entire body of law of our European family. And the second point, which is equally important, is one of the three reasons that led the country to bankruptcy in 2010; and that is the current account deficit,” the minister explained.

“We are called upon to use the funds—derived from Greek taxpayers’ contributions—that we spend on the country’s defense to address both of these security challenges,” he emphasized.

He continued: “We must address them in an innovative and different way so that we can achieve the desired result, but also to address the current account deficit, which is damaging the Greek economy, damaging our very existence, and undermining our credibility. Because a poor country cannot be a strong country, and Greece’s destiny is not to be a poor country.”

Speaking about the ministry’s actions, he clarified: “We are promoting and implementing a completely different approach. The first thing we are doing is learning and teaching our country’s Armed Forces; the leadership trains Armed Forces officers—not, as in the past, to simply request the purchase of products, but to articulate operational challenges and seek solutions from the ecosystem for these operational challenges.”.

He cited the example of the threat posed by swarms of drones, emphasizing that the creation of the Hellenic Center for Defense Innovation (ELKAK) makes it possible to pose this question “to be evaluated by the defense industry ecosystem, and for these companies, together with the Armed Forces’ research centers, to provide solutions.”

Products and Technology

And he added: “Not products, but answers! And the difference between a solution and a product is that a product is something tangible and relates to existing technology, while a solution may involve products and technologies still under investigation.”

“From there on, this is evaluated by the Armed Forces, and an order is placed for a product that does not yet exist on the market,” he explained.

As he clarified, for this to happen, we must “significantly accelerate the cycle.”

“A product that has value today may be obsolete in eight to ten months,” he said, citing the example of the Ukrainian drone that was “intercepted” in the Ionian Sea.

“That Ukrainian drone is outdated technology; it was remote-controlled. Nowadays, drones are equipped with Artificial Intelligence,” he emphasized.

“We are called upon to face a different reality. And we must also allow for the risk of failure. And we must subsidize that risk of failure. After all, we’re talking about building prototypes. We must help businesses innovate. We must help entrepreneurs innovate. We must help entrepreneurs experiment, pursue new solutions, and find new answers. This is the first direction—one that must be fully embraced by our country’s political system and, consequently, by Greek society as a whole. “And we must not criminalize a company’s failed attempt by making it front-page news,” he explained.

He continued: “The second thing this government has done is to submit a long-term plan. This is known as the EMPAE, the Unified Long-Term Defense Equipment Program. For the first time in our history, implemented an older law—drafted by Evangelos Venizelos—which mandates that the Ministry of National Defense plan 10–12 years in advance, thereby creating clarity regarding the intentions of the government in power, so that businesses know the general direction—where we’re headed and where we should invest. So that they, too, can adapt accordingly.”

Mr. Dendias then explained: “We need to foster a culture—and not stigmatize this culture—of close cooperation between the Greek defense ecosystem, the Ministry of National Defense, and Greek military leaders. There is no shame in talking with Greek companies. It does not make ministers suspect when they try to guide Greek companies toward the innovation that the rest of the world is pursuing. If there is no such interaction between them, this cannot be achieved. If there are huge barriers, if there is no communication, no coordination, what will happen? We will return once again to the previous situation of being merely a client of foreign companies.”

Speaking about the practical measures taken by the Ministry of National Defense, he referred to his directive to the General Directorate of Armaments, which mandates “that 25% of every system not produced by a Greek company must involve investment in the country.”

“And when we say 25%, just to be clear, for high-tech products we’re not just asking for subcontracting work, as was the case in the past—albeit at much lower percentages, of course. With new technologies, there are codes—source codes and algorithms—and if you don’t have them, you can’t develop the product. And so you become hostage to a supplier, who either develops it or doesn’t, in order to force you to purchase the next version of the same product, paying the full amount up front. So it is important for Greece that, when investments are made in the country, they be accompanied—wherever possible— feasible and useful, by the source code, so that the know-how is also transferred to our own system and adapted to our own capabilities,” Mr. Dendias clarified.

“This will happen because there is exceptional human capital; there are brilliant minds in Greece, and there are also skilled hands that help bring to fruition what those brilliant minds design,” he added.

Creating a productive base

Referring to a country’s resilience, Mr. Dendias emphasized: “There must be production facilities in the country that are capable of establishing a productive base and fostering innovation—that is, of constantly renewing their own products. They must be able to provide the Hellenic Armed Forces, throughout this effort, with continuously updated products so that they can rise to the challenge.”

“What is happening here today is exactly what needs to be done: the creation of innovative, robust Greek manufacturing bases that can help our country stand strong in the future—both in terms of national defense and the national economy. These two pillars are essential to our very existence and to the prosperity of future generations—your children and ours.”

Referring to METLEN Executive Chairman Evangelos Mytilineos, Mr. Dendias emphasized: “You are a major donor to the Ministry of National Defense. You have shaped its aesthetic form and, consequently, its symbolic character. The Ministry of National Defense will never forget this.”

Minister of Development Takis Theodorikakos was also present on behalf of the government and delivered a greeting.

Also in attendance were former Deputy Prime Minister and former Minister Evangelos Venizelos; Magnesia MPs Christos Triantopoulos, Zetta Makri, Christos Boukoros, Member of Parliament Michalis Katrinis, representing PASOK – Movement for Change, the Regional Governor of Thessaly Dimitris Koureta, the Mayor of Volos, Achilleas Beos; the Metropolitan of Demetrias, Ignatius; the Chief of the Hellenic Army General Staff, Lieutenant General Georgios Kostidis; Stellina Siarapi, Secretary General for Private Investments at the Ministry of Development; the Director General of the General Directorate of Defense Equipment and Investments (GDAEE) of the Ministry of National Defense, Major General Ioannis Bouras, heads and representatives of foreign diplomatic missions in Greece, METLEN Executive Chairman Evangelos Mytilineos, METLEN M Technologies Chief Executive Director Vasilis Tsiamis, executives and members of the board of directors, as well as company employees.