Decisions about whether Israel will select Boeing’s KC-46A tanker and ask for additional Lockheed Martin F-35s will depend on the result of current negotiations about the size of the US Foreign Military Funding (FMF) package that the nation will receive over the next 10 years.

Within the next few months, the allies are expected to agree the draft of a memorandum of understanding covering US funding to Israel’s military. Sources indicate that the Obama administration is likely to increase the FMF package by up to $1 billion for the decade to be covered in the new accord, which would set its contribution at about $4.1 billion a year.

Israeli officials have said within the past few days that even with this increase, the sum will not be enough to cover the defence needs of Israel following Iran’s nuclear agreement with the West. [..]