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Source: http://haaretz.com/hasen/spages/966833.html
Iran Gave Syria Over $1 Billion for Arms Purchases
[Ha'aretz] Barak Ravid - Iran is making huge efforts to upgrade the Syrian army and provided Syria with more than $1 billion to buy surface-to-surface missiles, rockets, anti-tank missiles and anti-aircraft systems. Syria is buying more missiles than tanks, on the assumption that attacking the Israeli home front would deter Israel and help to determine the war. The London-based Asharq Alawsat newspaper reported in July 2007, during Iranian President Ahmadinejad's visit to Damascus, that he promised Bashar Assad that Iran would finance Russian and North Korean weapons deals for $1 billion. In exchange, Syria reportedly undertook not to proceed with the peace process with Israel. Israel is also concerned over Iran's continuing weapon deliveries to Hizbullah via Syria. Recently, Iran sent Hizbullah a number of deliveries, including a large amount of explosives.