The Defence Ministry said in a statement that today's test is a "major milestone" in the development of the Arrow 3.
Ministry official Yair Ramati said the system was "fully tested," but did not mention specifics. It is designed to strike targets outside the atmosphere, intercepting missiles closer to their launch sites.
It is part of a multilayered system Israel is developing to protect itself from a range of missile threats, from short-range rockets in the Gaza Strip and Lebanon to longer-range threats from Iran.
The system is expected to be operational around 2016.
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