The Grenada government said it would begin paying August salaries to public servants, but gave no reason for the delay in meeting its financial obligations to the estimated 4,000 employees.
In a brief statement on Monday night, the Tillman Thomas government said it "regrets the delay, and that payments would have begun Tuesday and completed today, Wednesday.
On Monday, the government was criticised after it issued a weekend statement advising public servants that the August salaries would not be paid on time.
"I want to express my own empathy with the circumstances of these public workers," said former tourism minister Peter David, noting that there already exists high unemployment in the country.
The main opposition New National Party said that teachers were forced to begin a new school term on Monday without salaries.
This is the second time this year that the estimated 4,000 public servants have not been paid on time. In June, there were similar concerns after public servants salaries were delayed by a week and several employment projects suspended due to a lack of funds.
The latest government statement gave no indication where the funds had been sourced to meet the payments.
Finance Minister Nizam Burke, who is in Trinidad and Tobago on official government business, told the Caribbean Media Corporation that he would not comment.
Media reports had speculated that the government would tap the National Insurance Fund to pay the salaries.
The new statement noted that pensioners and beneficiaries of public assistance were paid last Thursday.