The termination of the Paphos-Polis road construction contract has prompted strong reactions from both Disy and Akel, who blame each other and successive governments for issues affecting major public projects across Cyprus.

The public works department announced on Monday that the study and construction of the first phase of the Paphos-Polis road has been terminated.

Construction company Aktor (formerly Intrakat) CEO Alexandros Exarchou is now seeking over €35 million in damages through the courts.

Disy, in its statement released on Wednesday, raised broader concerns about the collapse of large development projects in the country, citing the need for better oversight and management to avoid such contract failures.

“One contract after another for significant development projects is terminated, increasing the sense of stagnation and impasse,” the party said, adding that the repeated project delays and cancellations are harming the country’s growth and public morale.

Disy called for an immediate review of the public contracting process and parliamentary discussions to limit misuse of appeals, which they believe has contributed to the disruptions.

Akel’s statement focused mostly on the Paphos-Polis road project, attributing blame to former President Nicos Anastasiades and his administration, and to President Nikos Christodoulides.

Akel highlighted this contract’s failure as part of a series of halted or cancelled projects, including the Vasiliko natural gas terminal and the Larnaca port and marina redevelopment.

“The former and current governments’ mismanagement has put vital public works at risk,” Akel’s statement said, stressing that these failures directly impact taxpayer resources and the country’s development.

The party further urged Christodoulides to take immediate steps to resume the road’s first phase and open bids for the next phase to ensure completion.

It then called on the Audit Office to investigate the causes of the contract’s collapse, citing a need for accountability at every stage of the bidding process.

Transport Minister Alexis Vafeades assured earlier on Wednesday that the Paphos-Polis highway remains a high priority and will be completed in three years.

Regarding the contractor’s statement that they would seek €35 million in damages, the minister rejected the claim, citing legal grounds and adding that the government followed the procedures as outlined by law.

“We did everything within the contractual limits to reach a resolution,” he told StockWatch, questioning whether critics expected the government to yield to the contractor’s demands for an additional €36 million and a 59-month extension.