Sinn Féin asking two Foyle MLAs to consider their positions is an "internal matter" amid efforts to address recent election disappointments, a senior party figure has said.
Conor Murphy did not deny reports that Martina Anderson and Karen Mullan have both been asked to consider their positions following a review in the constituency.
The party is setting up an electoral strategy group in Derry after a run of poor results locally.
In December 2019, Elisha McCallion lost the Foyle Westminster seat to SDLP leader Colum Eastwood by more than 17,000 votes.
Earlier that year the party lost five seats on Derry City and Strabane District Council, losing its position as the single largest party on the local authority.
After losing her Westminster seat, Ms McCallion was appointed to the Irish Senate.
But she resigned last year alongside two Sinn Féin officials over an initial failure to return money given out by a Stormont emergency Covid fund.
A subsequent party review has resulted in an "implementation plan" which last week saw the local party leadership in Derry asked to step aside, the Irish Examiner reported.
The newspaper also reported Ms Anderson and Ms Mullan have been given until June to decide if they will resign from their roles.
Mr Murphy was asked on BBC Radio Ulster's Good Morning Ulster programme what was meant by the two MLAs being asked to consider their positions.
The Finance Minister said the party is attempting to "fix" issues in preparation for future elections.
He said: "What it means is that the party, like any sensible party in a specific geographical area where you're having poor election results - and that's in contrast to better results right across Ireland - then has to recognise that there are issues there that the party needs to examine those internally in terms of the local organisation and see how they can put together solutions to fix those and to get ready for upcoming elections.
"And that's simply what the party is doing. It is an internal matter and any party that is sensible and is ambitious about how it grows and it wants to bring about political change right across Ireland will try and look where it's not performing well electorally and try and see how it can fix those things.
"That's simply a matter of what's going on in Derry."
Ms Anderson and Ms Mullan were both co-opted into the Stormont Assembly.
Ms Anderson replaced Raymond McCartney in March last year after earlier stepping down from her MEP role as a result of Brexit.
Ms Mullan became a Foyle MLA in June 2017 after the post was vacated by Ms McCallion when she was elected MP for the constituency.
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