The US has signed a $30bn deal with Israel for military funding over next ten years, which is a 25% increase over previous years.
At a signing ceremony in Jerusalem, US Under Secretary of State, Nicholas Burns, pledged the US would help Israel maintain a military advantage over its regional foes.
Mr Burns said the US considers the defence aid funding to be an investment in long-term peace.
The package was unveiled by Secretary of State Condoleezza Rice in July.
Is part of a new military pact with US allies in the region aimed at countering the 'negative influences' of al-Qaeda, Lebanon's Hezbollah militant group and enemies in Iran and Syria.