The long-awaited rapprochement now centres on an unlikely competition for advantage in all but abandoned Gaza Strip.
They were once close allies, before relations soured six years ago when an Israeli naval raid killed 10 Turkish activists.
Now, after many months of negotiation, a deal has been reached to restore relations between Israel and Turkey.
Turkish leaders describe it as a “diplomatic victory”, and announced 10,000 tonnes of humanitarian aid is being shipped to Gaza on Friday, via an Israeli port.
Israel hopes the restoration of relations will pave the way for multibillion-dollar gas deals.
What do both countries stand to gain from being friends again? And how will the deal be seen in an increasingly troubled region?
Presenter: Dareen Abughaida
Daniel Nisman – Head of the Levantine Group, a geopolitical risk and research consultancy
Sinan Ulgen – Visiting Scholar at Carnegie Europe