Israel says it has successfully tested a system designed to intercept ballistic missiles outside the Earth's atmosphere, the AP reported.

The Arrow system is part of a missile defense system that Israel has developed in recent years to defend itself in future conflicts with Iran or Hezbollah and Hamas.

The Defense Ministry said the system detected the target and destroyed it in outer space, calling the mission a success.

The completion of the test was "an important milestone" for Israel to defend itself against existing and evolving threats in the region, said the statement.

The system was developed by state defense company Israel Aerospace Industries in cooperation with the U.S. Missile Defense Agency.