The Greek government will open talks on buying some 420 armored vehicles from Russia.
A Defense Ministry official said senior Cabinet officials approved the start of "substantive negotiations" on the purchase, which would include talks on possible joint production of the medium-sized tanks.
The official could not say how much the deal would be worth. He was speaking on customary condition of anonymity.
State NET television said some 1.2 billion EUR(US$1.8 billion) had been budgeted for the military vehicles.
Greek Prime Minister Costas Karamanlis is expected to pay an official visit to Russia on Dec. 17-19.
The government also decided to send up to 12 more military instructors to Afghanistan, where 170 Greek troops are stationed.
The British Prime Minister cuts a sociopathic figure, isolated, stubborn beyond belief, totally wrong and convinced that the world gravitates around her feet
The Basmanny Court of Moscow arrested Michael Calvey, the founder of Baring Vostok investment fund, on allegations of embezzling 2.5 billion rubles from Vostochny Bank. Calvey will be held in custody until April 13