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Paphos Municipality: Light and Chaos Regarding European Loan Funding for Projects

Published February 17, 2026, 09:16
Paphos Municipality: Light and Chaos Regarding European Loan Funding for Projects

Problems have been revealed in the management of European loan funding for projects in the Municipality of Paphos. The municipal group of DIKO submitted a complaint regarding the problematic management of three projects, resulting in their exclusion from EU funding, which led to intervention by a European body. The projects concern the Historical Documentation Center, the renovation of the core of the Anavargos district and the southern area of the city's commercial center. The Municipality of Paphos signed a loan agreement with the EIB to finance the Historical Documentation Center, while co-financing was secured for the other two projects through the “Thalia 2021-2027” Program. However, due to accessibility problems, the projects in Anavargos and Theoskepasti were rejected by the “Thalia” program. To avoid double funding (from the EIB loan and the “Thalia” program), it was decided to transfer the loan to cover the projects in Anavargos and the commercial center. The remaining amount of the loan will be allocated to other projects of the Municipality. The DIKO municipal group accuses the municipal authorities of lack of transparency and mismanagement, which burdens the Municipality with additional debts. The case highlights the need for increased control and transparency in the management of European funds, as well as careful planning and implementation of projects, in order to avoid loss of resources and delays.