Agios Stefanos (Gr. Άγιος Στέφανος, meaning Saint Stephen) was originally a fishing village for the nearby village of Avliotes. In 2011, its population was 176. It is located 35 km from Corfu town, approximate transfer time by car is 1h 15 min. It has a safe harbor on the north west side of Corfu Island, where the four Diapontia Islands (Othonoi, Erikoussa, Mathraki and Diaplo) can be seen, while further away the Adriatic Sea is the natural frontier between Greece and Italy. Fishing is still a very important part of the local economy. Agios Stefanos (Beach) attracts a number of tourists each summer.

Surrounded by lush greenery, this lovely beach has crystal water and soft sand. Delicious taverns and cafeterias line up the beach as well as many hotels and rooms to let. This is a quiet and calm place ideal for families and people who want to relax. At the end of the beach, there is a small marina for fishing boats and private yachts.