Cost escalation of the Paphos to Polis Chrysochous road project

The Paphos to Polis Chrysochous road project is facing a significant budget increase, with critics estimating an additional cost of 43 million euros. The project originally began with a contract signed in 2021 with the Greek firm Intrakat, now Aktor, at an initial cost of 73 million euros excluding VAT. In 2024, the government terminated the contract, citing excessive demands from the contractor for additional time and funding. Former officials Averof Neophytou and Yiannis Karousos argue that had the government negotiated instead of terminating, the project could have been completed for approximately 98 million euros. Following the termination and the launch of a new tender, the lowest bid currently stands at 124.85 million euros. When accounting for the 16 million euros already paid to the initial contractor, the total project cost is projected to reach approximately 141 million euros. Critics highlight that this represents a 44 percent increase compared to the previous budget scenario, raising concerns about the management of public funds. The first phase of the project covers a 15.5-kilometer stretch connecting Ayia Marinouda to Stroumbi.