AHC:Halt IDF Tech Advancement

I Knew this would be a ban-bait or a flamebait,But...inspired from a thread i saw concerning "Make Iraq A Better Enemy".
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Your challenge is to halt the MASSIVE Advancement on Israeli Defence Force's Millitary Tech on Late 80's,Making them just as strong as the French Or British.
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You'd have to somehow keep the Americans from supplying them with so much equipment and technological help. Since Israel OTL is pretty much America's main ally in the region, you'd probably need a stable, anticommunist Arab state to make support Israel not as important.
 
Israel spends more on defense then all four countries around it combined. That's before you add American aid to Israel, and after you add American aid to Egypt, Jordan and Lebanon.

First thing you need to do is hamper the Israeli economy. The US aid is secondary here.
 
Honestly, it's unlikely, given that Israel is more likely to get into a variety of both inter- and intra-national conflicts than any other country. And while Israel has had a tech lead since at least the 1950's, in an era of asymmetrical warfare, and with an extremely casualty-averse society, Israel almost has no choice but to keep pushing the boundaries.

Your best bet is a comprehensive peace agreement with both the Palestinians and the surrounding states, removing any hostile force at least from Israel's immediate borders. Of course, THAT's a pickle and a half. It does take away the incentive for the tech lead, though.
 
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