Construction of the first phase of the new Paphos–Polis Chrysochous highway has yet to receive final approval. Three months after the tender process concluded, no winning bidder has been selected, and Cyprus' Ministry of Transport continues to evaluate the submitted proposals.
The main reason for the delay is the project's cost. Both bids significantly exceed the original budget, forcing the authorities to look for ways to reduce expenses without altering the highway's key specifications.
Why Construction Has Not Yet Begun
According to Paphos Chamber of Commerce and Industry President Giorgos Mais, two financial bids were submitted in mid-April 2026, each exceeding €120 million. The original construction cost for the first phase had been estimated at €90.2 million, excluding VAT.
As a result, the contractors' proposals are approximately €30 million, or nearly 30%, above the planned budget.
Cyprus' Minister of Transport, Communications and Works is scheduled to hold an extended meeting on July 30 to present updated information on the project. The meeting had originally been planned for July 14 but was postponed due to changes in the minister's schedule. The final evaluation of the tender submissions is expected by September 2026.
After that, the authorities will consider two possible options:
- enter into direct negotiations with the bidders to reduce the project cost;
- cancel the current tender and launch a new procurement process.
What the New Paphos–Polis Chrysochous Road Will Look Like
The future highway is considered one of the largest infrastructure projects in western Cyprus. The road will stretch for 31 km and will be built in several phases. The first phase provides for completing the existing two-lane section between Agia Marinouda and Stroumbi.
The next stage will involve constructing the Stroumbi–Polis Chrysochous section. In the final phase, the first section will be widened to four lanes. The project also includes the construction of modern transport infrastructure:
- tunnels;
- grade-separated interchanges;
- bridges and viaducts;
- pedestrian overpasses and underpasses;
- new connections to the local road network.
The project is expected to significantly improve road safety and reduce travel times between Paphos and the northwestern part of the island.
Why This Road Is So Important for Cyprus
Residents of the Paphos district have been waiting for a modern highway to Polis Chrysochous for many years. At present, the route follows a winding mountain road with limited speeds, where traffic congestion is common during the tourist season. The new highway is expected to:
- significantly reduce travel time between Paphos and Polis Chrysochous;
- improve road safety;
- enhance transport access to the Akamas Peninsula and the island's northwestern coast;
- support the development of tourism, the hospitality sector, and the regional real estate market.
Experts note that the increase in construction costs is largely due to higher prices for building materials, steel, cement, energy, and labor. Similar challenges are currently affecting many major infrastructure projects in both Cyprus and other European countries.
Despite these difficulties, the authorities have reaffirmed that the Paphos–Polis Chrysochous highway remains one of the government's priority infrastructure projects. A final decision on the tender is expected after the technical and legal evaluation of the bids has been completed.