PAC DEMANDS PAYMENT OF OUTSTANDING SUPPLIERS

News

…MPs say delayed payments are hurting small businesses and the wider economy

BY MBONO MDLULI

LOBAMBA The Public Accounts Committee (PAC) has made it clear that Government suppliers who are still owed money should be paid without further delay.

The matter was raised on Monday, June 8, 2026, when the Ministry of Finance appeared before the PAC in the House of Assembly.

Matsanjeni South Member of Parliament (MP) Hon. Sabelo Ndlangamandla expressed concern about the impact delayed payments were having on businesses, particularly small and medium enterprises that depend heavily on Government tenders for survival.

Ndlangamandla said many businesses in Eswatini rely on Government contracts and services as a major source of income. He noted that when Government delays payments, it becomes difficult for those businesses to continue operating effectively.

He said the consequences extend beyond the business owners themselves, as employees working for those companies also suffer when salaries and operational expenses cannot be met on time.

“Our economy relies heavily on small businesses, many of which depend on Government tenders. When these suppliers are not paid on time, it affects not only the businesses but also the workers who depend on them for their livelihoods,” said Ndlangamandla.

Concern Over Growing Arrears

Somntongo MP Hon. Sandile Nxumalo also raised concerns about Government arrears and questioned why suppliers continued to face payment delays while the country continued servicing debt obligations.

Nxumalo observed that discussions about Government owing billions of Emalangeni had been ongoing for several years.

He said he found it difficult to understand why suppliers remained unpaid while substantial amounts continued to be spent on servicing debt and interest payments.

“Since 2017, we have been hearing that the country owes billions. At the same time, billions are being spent on interest payments. Those who have delivered services to Government should also be paid,” said Nxumalo.

He questioned how the system operated when interest payments continued while some suppliers waited for extended periods to receive money owed to them.

“We are paying interest on debts, but suppliers are still waiting for payment. Perhaps there are things we do not fully understand, but these are questions that need answers,” he added.

Call For Urgent Intervention

Nxumalo appealed to the Ministry of Finance to prioritise settling outstanding payments owed to suppliers.

He expressed hope that progress would be made in the coming weeks and that businesses would finally receive the money owed to them.

“I pray that by July, suppliers will have received their payments,” he said.

Suppliers Seen As Key Economic Partners

Members of the PAC emphasised that suppliers play an important role in supporting Government programmes and service delivery.

They argued that timely payment of suppliers was not only a matter of fairness but also an important economic issue, as many businesses use Government contracts to sustain operations, create employment and contribute to economic growth.

The MPs maintained that delayed payments can create cash-flow challenges for businesses, forcing some to scale down operations, delay salaries or struggle to meet their own financial obligations.

PAC Pushes For Accountability

The discussion formed part of broader concerns raised by MPs regarding Government finances, arrears and the need to improve financial management systems.

Committee members stressed that businesses that fulfil Government contracts should not be left waiting indefinitely for payment.

The PAC indicated that it would continue monitoring the matter and expects the Ministry of Finance to provide clarity on how outstanding supplier payments will be addressed.

(Courtesy Pic)