Maldives National Association of Construction Industry (MNACI) raised concerns over the government delays in paying private contractors for state-initiated projects.
MNACI said that private construction companies, contracted for various state-initiated projects under the Public Sector Investment Program (PSIP) or other projects face delays in receiving their payments.
The contractors also, under the agreement, generally spends from their own funds to execute the project, which it gets compensated added with the service profit in the billed invoice to the government.
Due to delays in payments by the state, several contractors are challenged in paying to their workers or to third-party suppliers.
MNACI urged the government to compensate the contractors for its shortcomings similar to its imposition of fines on contractors for failing to deliver within the contracted period.
