Psathi is a village in the Paphos district in Cyprus. The village is built at an altitude of 445 metres above the surface of the sea.
To the west it borders with the village of Polemi, to the north with Drynia, to the northeast with Mylia, to the east with Agio Dimitriano and to the south with Houlou.
It is well historical fact that Psathi was a feud during the ruling of the Franks and the Venetian. According to Florio Voustonio Psathi was given to Petro D’Avila. Later on it was given as a present from King Jacob B to Vera Jiblet the nanny of Queen Aikaterini Kornaro.