diff --git a/Cargo.lock b/Cargo.lock
index 794e18089..469dc03e1 100644
--- a/Cargo.lock
+++ b/Cargo.lock
@@ -460,6 +460,15 @@ version = "0.9.5"
 source = "registry+https://github.com/rust-lang/crates.io-index"
 checksum = "28c122c3980598d243d63d9a704629a2d748d101f278052ff068be5a4423ab6f"
 
+[[package]]
+name = "copy_dir"
+version = "0.1.3"
+source = "registry+https://github.com/rust-lang/crates.io-index"
+checksum = "543d1dd138ef086e2ff05e3a48cf9da045da2033d16f8538fd76b86cd49b2ca3"
+dependencies = [
+ "walkdir",
+]
+
 [[package]]
 name = "core-foundation"
 version = "0.9.3"
@@ -1709,9 +1718,9 @@ dependencies = [
 
 [[package]]
 name = "once_cell"
-version = "1.18.0"
+version = "1.19.0"
 source = "registry+https://github.com/rust-lang/crates.io-index"
-checksum = "dd8b5dd2ae5ed71462c540258bedcb51965123ad7e7ccf4b9a8cafaa4a63576d"
+checksum = "3fdb12b2476b595f9358c5161aa467c2438859caa136dec86c26fdd2efe17b92"
 
 [[package]]
 name = "openapi-generator"
@@ -2120,6 +2129,7 @@ version = "0.5.0"
 dependencies = [
  "schemars",
  "serde",
+ "serde_json",
 ]
 
 [[package]]
@@ -2428,6 +2438,15 @@ dependencies = [
  "safe-regex-compiler",
 ]
 
+[[package]]
+name = "same-file"
+version = "1.0.6"
+source = "registry+https://github.com/rust-lang/crates.io-index"
+checksum = "93fc1dc3aaa9bfed95e02e6eadabb4baf7e3078b0bd1b4d7b6b0b68378900502"
+dependencies = [
+ "winapi-util",
+]
+
 [[package]]
 name = "schannel"
 version = "0.1.22"
@@ -3083,6 +3102,7 @@ dependencies = [
  "anyhow",
  "axum",
  "axum-test-helper",
+ "copy_dir",
  "env_logger",
  "hyper",
  "jsonschema",
@@ -3574,6 +3594,16 @@ version = "0.9.4"
 source = "registry+https://github.com/rust-lang/crates.io-index"
 checksum = "49874b5167b65d7193b8aba1567f5c7d93d001cafc34600cee003eda787e483f"
 
+[[package]]
+name = "walkdir"
+version = "2.5.0"
+source = "registry+https://github.com/rust-lang/crates.io-index"
+checksum = "29790946404f91d9c5d06f9874efddea1dc06c5efe94541a7d6863108e3a5e4b"
+dependencies = [
+ "same-file",
+ "winapi-util",
+]
+
 [[package]]
 name = "want"
 version = "0.3.1"
@@ -3710,6 +3740,15 @@ version = "0.4.0"
 source = "registry+https://github.com/rust-lang/crates.io-index"
 checksum = "ac3b87c63620426dd9b991e5ce0329eff545bccbbb34f3be09ff6fb6ab51b7b6"
 
+[[package]]
+name = "winapi-util"
+version = "0.1.6"
+source = "registry+https://github.com/rust-lang/crates.io-index"
+checksum = "f29e6f9198ba0d26b4c9f07dbe6f9ed633e1f3d5b8b414090084349e46a52596"
+dependencies = [
+ "winapi",
+]
+
 [[package]]
 name = "winapi-x86_64-pc-windows-gnu"
 version = "0.4.0"
diff --git a/changelog.md b/changelog.md
index 3e2f56c75..c024c6e50 100644
--- a/changelog.md
+++ b/changelog.md
@@ -2,6 +2,11 @@
 
 ## [Unreleased]
 
+### Added
+
+- Support for reading Native Query SQL from files.
+  ([#372](https://github.com/hasura/ndc-postgres/pull/372))
+
 ### Changed
 
 - Do not print information about when the cli decides not to write to a file.
diff --git a/crates/configuration/src/configuration.rs b/crates/configuration/src/configuration.rs
index 4d55ae26c..a8c215662 100644
--- a/crates/configuration/src/configuration.rs
+++ b/crates/configuration/src/configuration.rs
@@ -60,14 +60,29 @@ pub async fn parse_configuration(
     environment: impl Environment,
 ) -> Result<Configuration, Error> {
     let configuration_file = configuration_dir.as_ref().join(CONFIGURATION_FILENAME);
-    let configuration_file_contents = fs::read_to_string(&configuration_file).await?;
-    let configuration: version3::RawConfiguration =
+
+    let configuration_file_contents =
+        fs::read_to_string(&configuration_file)
+            .await
+            .map_err(|err| {
+                Error::IoErrorButStringified(format!("{}: {}", &configuration_file.display(), err))
+            })?;
+    let mut configuration: version3::RawConfiguration =
         serde_json::from_str(&configuration_file_contents).map_err(|error| Error::ParseError {
             file_path: configuration_file.clone(),
             line: error.line(),
             column: error.column(),
             message: error.to_string(),
         })?;
+    // look for native query sql file references and read from disk.
+    for native_query_sql in configuration.metadata.native_queries.0.values_mut() {
+        native_query_sql.sql = metadata::NativeQuerySqlEither::NativeQuerySql(
+            native_query_sql
+                .sql
+                .from_external(configuration_dir.as_ref())
+                .map_err(Error::IoErrorButStringified)?,
+        );
+    }
     let connection_uri =
         match configuration.connection_settings.connection_uri {
             ConnectionUri(Secret::Plain(uri)) => Ok(uri),
diff --git a/crates/configuration/src/error.rs b/crates/configuration/src/error.rs
index a1a0c8586..3d2015672 100644
--- a/crates/configuration/src/error.rs
+++ b/crates/configuration/src/error.rs
@@ -21,6 +21,10 @@ pub enum Error {
         file_path: std::path::PathBuf,
         message: String,
     },
+
+    #[error("I/O error: {0}")]
+    IoErrorButStringified(String),
+
     #[error("I/O error: {0}")]
     IoError(#[from] std::io::Error),
 }
diff --git a/crates/connectors/ndc-postgres/src/connector.rs b/crates/connectors/ndc-postgres/src/connector.rs
index f714ccc9a..877d00c9d 100644
--- a/crates/connectors/ndc-postgres/src/connector.rs
+++ b/crates/connectors/ndc-postgres/src/connector.rs
@@ -253,6 +253,9 @@ impl<Env: Environment + Send + Sync> ConnectorSetup for PostgresSetup<Env> {
                     ]))
                 }
                 configuration::Error::IoError(inner) => connector::ParseError::IoError(inner),
+                configuration::Error::IoErrorButStringified(inner) => {
+                    connector::ParseError::Other(inner.into())
+                }
             })
 
         // Note that we don't log validation errors, because they are part of the normal business
diff --git a/crates/query-engine/metadata/Cargo.toml b/crates/query-engine/metadata/Cargo.toml
index bd368a0b5..a3c2d5194 100644
--- a/crates/query-engine/metadata/Cargo.toml
+++ b/crates/query-engine/metadata/Cargo.toml
@@ -10,3 +10,6 @@ workspace = true
 [dependencies]
 schemars = { version = "0.8.16", features = ["smol_str"] }
 serde = { version = "1.0.197", features = ["derive"] }
+
+[dev-dependencies]
+serde_json = "1.0.114"
diff --git a/crates/query-engine/metadata/src/metadata/native_queries.rs b/crates/query-engine/metadata/src/metadata/native_queries.rs
index 54d21836d..304d6380d 100644
--- a/crates/query-engine/metadata/src/metadata/native_queries.rs
+++ b/crates/query-engine/metadata/src/metadata/native_queries.rs
@@ -5,6 +5,7 @@ use super::database::*;
 use schemars::JsonSchema;
 use serde::{Deserialize, Serialize};
 use std::collections::BTreeMap;
+use std::fs;
 
 // Types
 
@@ -20,7 +21,7 @@ pub struct NativeQueryInfo {
     /// SQL expression to use for the Native Query.
     /// We can interpolate values using `{{variable_name}}` syntax,
     /// such as `SELECT * FROM authors WHERE name = {{author_name}}`
-    pub sql: NativeQuerySql,
+    pub sql: NativeQuerySqlEither,
     /// Columns returned by the Native Query
     pub columns: BTreeMap<String, ReadOnlyColumnInfo>,
     #[serde(default)]
@@ -46,6 +47,149 @@ pub struct ReadOnlyColumnInfo {
     pub description: Option<String>,
 }
 
+/// This type contains information that still needs to be resolved.
+/// After deserializing, we expect the value to be "external",
+/// and after a subsequent step where we read from files,
+/// they should all be converted to NativeQuerySql.
+#[derive(Debug, Clone, PartialEq, Eq, Serialize, Deserialize)]
+#[serde(rename_all = "camelCase")]
+#[serde(from = "NativeQuerySqlExternal")]
+#[serde(into = "NativeQuerySqlExternal")]
+pub enum NativeQuerySqlEither {
+    NativeQuerySql(NativeQuerySql),
+    NativeQuerySqlExternal(NativeQuerySqlExternal),
+}
+
+impl NativeQuerySqlEither {
+    /// Extract the actual native query sql from this type.
+    /// If this happens before reading a file, it will fail with an error.
+    pub fn sql(self) -> Result<NativeQueryParts, String> {
+        match self {
+            NativeQuerySqlEither::NativeQuerySql(NativeQuerySql::Inline { sql }) => Ok(sql),
+            NativeQuerySqlEither::NativeQuerySql(NativeQuerySql::FromFile { sql, .. }) => Ok(sql),
+            NativeQuerySqlEither::NativeQuerySqlExternal(NativeQuerySqlExternal::Inline {
+                inline,
+            }) => Ok(inline),
+            NativeQuerySqlEither::NativeQuerySqlExternal(
+                NativeQuerySqlExternal::InlineUntagged(inline),
+            ) => Ok(inline),
+            NativeQuerySqlEither::NativeQuerySqlExternal(NativeQuerySqlExternal::File {
+                ..
+            }) => Err("not all native query sql files were read during parsing".to_string()),
+        }
+    }
+}
+
+impl From<NativeQuerySqlExternal> for NativeQuerySqlEither {
+    /// We use this to deserialize.
+    fn from(value: NativeQuerySqlExternal) -> Self {
+        NativeQuerySqlEither::NativeQuerySqlExternal(value)
+    }
+}
+
+impl From<NativeQuerySqlEither> for NativeQuerySqlExternal {
+    /// We use this to serialize.
+    fn from(value: NativeQuerySqlEither) -> Self {
+        match value {
+            NativeQuerySqlEither::NativeQuerySqlExternal(value) => value,
+            NativeQuerySqlEither::NativeQuerySql(value) => value.into(),
+        }
+    }
+}
+
+/// A Native Query SQL after file resolution.
+/// This is the underlying type of the `NativeQuerySqlEither` variant with the same name
+/// that is expected in the metadata when translating requests. A subsequent phase after de-serializing
+/// Should convert NativeQuerySqlExternal values to values of this type.
+#[derive(Debug, Clone, PartialEq, Eq)]
+pub enum NativeQuerySql {
+    FromFile {
+        file: std::path::PathBuf,
+        sql: NativeQueryParts,
+    },
+    Inline {
+        sql: NativeQueryParts,
+    },
+}
+
+impl NativeQuerySql {
+    /// Extract the native query sql expression.
+    pub fn sql(self) -> NativeQueryParts {
+        match self {
+            NativeQuerySql::Inline { sql } => sql,
+            NativeQuerySql::FromFile { sql, .. } => sql,
+        }
+    }
+}
+
+// We use this type as an intermediate representation for serialization/deserialization
+// of native query sql location/expression.
+#[derive(Debug, Clone, PartialEq, Eq, Serialize, Deserialize, JsonSchema)]
+#[serde(rename_all = "camelCase")]
+#[serde(untagged)]
+/// Native Query SQL location.
+pub enum NativeQuerySqlExternal {
+    /// Refer to an external Native Query SQL file.
+    File {
+        /// Relative path to a sql file.
+        file: std::path::PathBuf,
+    },
+    /// Inline Native Query SQL string.
+    Inline {
+        /// An inline Native Query SQL string.
+        inline: NativeQueryParts,
+    },
+    InlineUntagged(
+        /// An inline Native Query SQL string.
+        NativeQueryParts,
+    ),
+}
+
+impl NativeQuerySqlEither {
+    /// Convert an external native query sql type to NativeQuerySql,
+    /// including reading files from disk.
+    pub fn from_external(
+        &self,
+        absolute_configuration_directory: &std::path::Path,
+    ) -> Result<NativeQuerySql, String> {
+        match self {
+            // unexpected we get this, but ok.
+            NativeQuerySqlEither::NativeQuerySql(value) => Ok(value.clone()),
+            NativeQuerySqlEither::NativeQuerySqlExternal(external) => match external {
+                NativeQuerySqlExternal::File { file } => {
+                    parse_native_query_from_file(absolute_configuration_directory.join(file))
+                }
+                NativeQuerySqlExternal::Inline { inline } => Ok(NativeQuerySql::Inline {
+                    sql: inline.clone(),
+                }),
+                NativeQuerySqlExternal::InlineUntagged(inline) => Ok(NativeQuerySql::Inline {
+                    sql: inline.clone(),
+                }),
+            },
+        }
+    }
+}
+
+impl From<NativeQuerySql> for NativeQuerySqlExternal {
+    /// used for deserialization.
+    fn from(value: NativeQuerySql) -> Self {
+        match value {
+            NativeQuerySql::Inline { sql } => NativeQuerySqlExternal::Inline { inline: sql },
+            NativeQuerySql::FromFile { file, .. } => NativeQuerySqlExternal::File { file },
+        }
+    }
+}
+
+impl JsonSchema for NativeQuerySqlEither {
+    fn schema_name() -> String {
+        "NativeQuerySql".to_string()
+    }
+
+    fn json_schema(gen: &mut schemars::gen::SchemaGenerator) -> schemars::schema::Schema {
+        NativeQuerySqlExternal::json_schema(gen)
+    }
+}
+
 /// A part of a Native Query text, either raw text or a parameter.
 #[derive(Debug, Clone, PartialEq, Eq)]
 pub enum NativeQueryPart {
@@ -55,19 +199,24 @@ pub enum NativeQueryPart {
     Parameter(String),
 }
 
-/// A Native Query SQL after parsing.
-#[derive(Debug, Clone, PartialEq, Eq)]
-pub struct NativeQuerySql(pub Vec<NativeQueryPart>);
+/// A Native Query SQL parts after parsing.
+#[derive(Debug, Clone, PartialEq, Eq, Serialize, Deserialize)]
+#[serde(from = "String")]
+#[serde(into = "String")]
+pub struct NativeQueryParts(pub Vec<NativeQueryPart>);
 
-// Serialization
+impl From<String> for NativeQueryParts {
+    /// Used for de-serialization.
+    fn from(value: String) -> Self {
+        parse_native_query(&value)
+    }
+}
 
-impl Serialize for NativeQuerySql {
-    fn serialize<S>(&self, serializer: S) -> Result<S::Ok, S::Error>
-    where
-        S: serde::Serializer,
-    {
+impl From<NativeQueryParts> for String {
+    /// Used for serialization.
+    fn from(value: NativeQueryParts) -> Self {
         let mut sql: String = String::new();
-        for part in self.0.iter() {
+        for part in value.0.iter() {
             match part {
                 NativeQueryPart::Text(text) => sql.push_str(text.as_str()),
                 NativeQueryPart::Parameter(param) => {
@@ -75,42 +224,13 @@ impl Serialize for NativeQuerySql {
                 }
             }
         }
-        serializer.serialize_str(&sql)
-    }
-}
-
-struct NQVisitor;
-
-impl<'de> serde::de::Visitor<'de> for NQVisitor {
-    type Value = NativeQuerySql;
-
-    fn expecting(&self, formatter: &mut std::fmt::Formatter) -> std::fmt::Result {
-        formatter.write_str("A Native Query SQL")
-    }
-
-    fn visit_str<E>(self, value: &str) -> Result<Self::Value, E>
-    where
-        E: serde::de::Error,
-    {
-        // todo: write a better parser
-        let sql = parse_native_query(value);
-
-        Ok(NativeQuerySql(sql))
+        sql
     }
 }
 
-impl<'de> Deserialize<'de> for NativeQuerySql {
-    fn deserialize<D>(deserializer: D) -> Result<NativeQuerySql, D::Error>
-    where
-        D: serde::Deserializer<'de>,
-    {
-        deserializer.deserialize_str(NQVisitor)
-    }
-}
-
-impl JsonSchema for NativeQuerySql {
+impl JsonSchema for NativeQueryParts {
     fn schema_name() -> String {
-        "Native_query_sql".to_string()
+        "InlineNativeQuerySql".to_string()
     }
 
     fn json_schema(gen: &mut schemars::gen::SchemaGenerator) -> schemars::schema::Schema {
@@ -120,9 +240,18 @@ impl JsonSchema for NativeQuerySql {
 
 // Parsing
 
-/// Parse a native query into parts where variables have the
-/// syntax `{{<variable>}}`.
-fn parse_native_query(string: &str) -> Vec<NativeQueryPart> {
+/// Read a file a parse it into native query parts.
+pub fn parse_native_query_from_file(file: std::path::PathBuf) -> Result<NativeQuerySql, String> {
+    let contents: String = match fs::read_to_string(&file) {
+        Ok(ok) => Ok(ok),
+        Err(err) => Err(format!("{}: {}", &file.display(), err)),
+    }?;
+    let sql = parse_native_query(&contents);
+    Ok(NativeQuerySql::FromFile { file, sql })
+}
+
+/// Parse a native query into parts where variables have the syntax `{{<variable>}}`.
+fn parse_native_query(string: &str) -> NativeQueryParts {
     let vec: Vec<Vec<NativeQueryPart>> = string
         .split("{{")
         .map(|part| match part.split_once("}}") {
@@ -139,18 +268,20 @@ fn parse_native_query(string: &str) -> Vec<NativeQueryPart> {
             }
         })
         .collect();
-    vec.concat()
+    NativeQueryParts(vec.concat())
 }
 
+// tests
+
 #[cfg(test)]
 mod tests {
-    use super::{parse_native_query, NativeQueryPart};
+    use super::{parse_native_query, NativeQueryPart, NativeQueryParts, NativeQuerySqlExternal};
 
     #[test]
     fn no_parameters() {
         assert_eq!(
             parse_native_query("select 1"),
-            vec![NativeQueryPart::Text("select 1".to_string())]
+            NativeQueryParts(vec![NativeQueryPart::Text("select 1".to_string())])
         );
     }
 
@@ -158,11 +289,11 @@ mod tests {
     fn one_parameter() {
         assert_eq!(
             parse_native_query("select * from t where {{name}} = name"),
-            vec![
+            NativeQueryParts(vec![
                 NativeQueryPart::Text("select * from t where ".to_string()),
                 NativeQueryPart::Parameter("name".to_string()),
                 NativeQueryPart::Text(" = name".to_string()),
-            ]
+            ])
         );
     }
 
@@ -170,14 +301,14 @@ mod tests {
     fn multiple_parameters() {
         assert_eq!(
             parse_native_query("select * from t where id = {{id}} and {{name}} = {{other_name}}"),
-            vec![
+            NativeQueryParts(vec![
                 NativeQueryPart::Text("select * from t where id = ".to_string()),
                 NativeQueryPart::Parameter("id".to_string()),
                 NativeQueryPart::Text(" and ".to_string()),
                 NativeQueryPart::Parameter("name".to_string()),
                 NativeQueryPart::Text(" = ".to_string()),
                 NativeQueryPart::Parameter("other_name".to_string()),
-            ]
+            ])
         );
     }
 
@@ -185,11 +316,31 @@ mod tests {
     fn one_parameter_and_curly_text() {
         assert_eq!(
             parse_native_query("select * from t where {{name}} = '{name}'"),
-            vec![
+            NativeQueryParts(vec![
                 NativeQueryPart::Text("select * from t where ".to_string()),
                 NativeQueryPart::Parameter("name".to_string()),
                 NativeQueryPart::Text(" = '{name}'".to_string()),
-            ]
+            ])
+        );
+    }
+
+    #[test]
+    fn parse_inline_untagged() {
+        assert_eq!(
+            serde_json::from_str::<NativeQuerySqlExternal>(r#""select 1""#).unwrap(),
+            NativeQuerySqlExternal::InlineUntagged(NativeQueryParts(vec![NativeQueryPart::Text(
+                "select 1".to_string()
+            )]))
+        );
+    }
+
+    #[test]
+    fn parse_inline_tagged() {
+        assert_eq!(
+            serde_json::from_str::<NativeQuerySqlExternal>(r#"{ "inline": "select 1" }"#).unwrap(),
+            NativeQuerySqlExternal::Inline {
+                inline: NativeQueryParts(vec![NativeQueryPart::Text("select 1".to_string())])
+            }
         );
     }
 }
diff --git a/crates/query-engine/translation/src/translation/query/native_queries.rs b/crates/query-engine/translation/src/translation/query/native_queries.rs
index 2fd4153e9..675cb7fd7 100644
--- a/crates/query-engine/translation/src/translation/query/native_queries.rs
+++ b/crates/query-engine/translation/src/translation/query/native_queries.rs
@@ -31,6 +31,8 @@ pub fn translate(env: &Env, state: State) -> Result<Vec<sql::ast::CommonTableExp
         let sql: Vec<sql::ast::RawSql> = native_query
             .info
             .sql
+            .sql()
+            .map_err(Error::InternalError)?
             .0
             .into_iter()
             .map(|part| match part {
diff --git a/crates/tests/databases-tests/src/citus/configuration_tests.rs b/crates/tests/databases-tests/src/citus/configuration_tests.rs
index e69eb3173..13272ab1e 100644
--- a/crates/tests/databases-tests/src/citus/configuration_tests.rs
+++ b/crates/tests/databases-tests/src/citus/configuration_tests.rs
@@ -23,4 +23,5 @@ async fn configuration_conforms_to_the_schema() {
         common::CHINOOK_NDC_METADATA_PATH,
     )
     .await
+    .unwrap()
 }
diff --git a/crates/tests/databases-tests/src/cockroach/configuration_tests.rs b/crates/tests/databases-tests/src/cockroach/configuration_tests.rs
index e69eb3173..13272ab1e 100644
--- a/crates/tests/databases-tests/src/cockroach/configuration_tests.rs
+++ b/crates/tests/databases-tests/src/cockroach/configuration_tests.rs
@@ -23,4 +23,5 @@ async fn configuration_conforms_to_the_schema() {
         common::CHINOOK_NDC_METADATA_PATH,
     )
     .await
+    .unwrap()
 }
diff --git a/crates/tests/databases-tests/src/postgres/configuration_tests.rs b/crates/tests/databases-tests/src/postgres/configuration_tests.rs
index 6beb6ae7b..3133ec3d3 100644
--- a/crates/tests/databases-tests/src/postgres/configuration_tests.rs
+++ b/crates/tests/databases-tests/src/postgres/configuration_tests.rs
@@ -37,6 +37,7 @@ async fn configuration_v3_conforms_to_the_schema() {
         common::CHINOOK_NDC_METADATA_PATH,
     )
     .await
+    .unwrap()
 }
 
 #[tokio::test]
diff --git a/crates/tests/databases-tests/src/postgres/snapshots/databases_tests__postgres__configuration_tests__get_configuration_schema.snap b/crates/tests/databases-tests/src/postgres/snapshots/databases_tests__postgres__configuration_tests__get_configuration_schema.snap
index 76fd0dc95..fe3eb72fe 100644
--- a/crates/tests/databases-tests/src/postgres/snapshots/databases_tests__postgres__configuration_tests__get_configuration_schema.snap
+++ b/crates/tests/databases-tests/src/postgres/snapshots/databases_tests__postgres__configuration_tests__get_configuration_schema.snap
@@ -799,7 +799,7 @@ expression: schema
           "description": "SQL expression to use for the Native Query. We can interpolate values using `{{variable_name}}` syntax, such as `SELECT * FROM authors WHERE name = {{author_name}}`",
           "allOf": [
             {
-              "$ref": "#/definitions/Native_query_sql"
+              "$ref": "#/definitions/NativeQuerySql"
             }
           ]
         },
@@ -831,7 +831,45 @@ expression: schema
         }
       }
     },
-    "Native_query_sql": {
+    "NativeQuerySql": {
+      "description": "Native Query SQL location.",
+      "anyOf": [
+        {
+          "description": "Refer to an external Native Query SQL file.",
+          "type": "object",
+          "required": [
+            "file"
+          ],
+          "properties": {
+            "file": {
+              "description": "Relative path to a sql file.",
+              "type": "string"
+            }
+          }
+        },
+        {
+          "description": "Inline Native Query SQL string.",
+          "type": "object",
+          "required": [
+            "inline"
+          ],
+          "properties": {
+            "inline": {
+              "description": "An inline Native Query SQL string.",
+              "allOf": [
+                {
+                  "$ref": "#/definitions/InlineNativeQuerySql"
+                }
+              ]
+            }
+          }
+        },
+        {
+          "$ref": "#/definitions/InlineNativeQuerySql"
+        }
+      ]
+    },
+    "InlineNativeQuerySql": {
       "type": "string"
     },
     "ReadOnlyColumnInfo": {
diff --git a/crates/tests/databases-tests/src/postgres/snapshots/databases_tests__postgres__configuration_tests__get_rawconfiguration_v3_schema.snap b/crates/tests/databases-tests/src/postgres/snapshots/databases_tests__postgres__configuration_tests__get_rawconfiguration_v3_schema.snap
index b7de07cbd..3b0c77908 100644
--- a/crates/tests/databases-tests/src/postgres/snapshots/databases_tests__postgres__configuration_tests__get_rawconfiguration_v3_schema.snap
+++ b/crates/tests/databases-tests/src/postgres/snapshots/databases_tests__postgres__configuration_tests__get_rawconfiguration_v3_schema.snap
@@ -787,7 +787,7 @@ expression: schema
           "description": "SQL expression to use for the Native Query. We can interpolate values using `{{variable_name}}` syntax, such as `SELECT * FROM authors WHERE name = {{author_name}}`",
           "allOf": [
             {
-              "$ref": "#/definitions/Native_query_sql"
+              "$ref": "#/definitions/NativeQuerySql"
             }
           ]
         },
@@ -819,7 +819,45 @@ expression: schema
         }
       }
     },
-    "Native_query_sql": {
+    "NativeQuerySql": {
+      "description": "Native Query SQL location.",
+      "anyOf": [
+        {
+          "description": "Refer to an external Native Query SQL file.",
+          "type": "object",
+          "required": [
+            "file"
+          ],
+          "properties": {
+            "file": {
+              "description": "Relative path to a sql file.",
+              "type": "string"
+            }
+          }
+        },
+        {
+          "description": "Inline Native Query SQL string.",
+          "type": "object",
+          "required": [
+            "inline"
+          ],
+          "properties": {
+            "inline": {
+              "description": "An inline Native Query SQL string.",
+              "allOf": [
+                {
+                  "$ref": "#/definitions/InlineNativeQuerySql"
+                }
+              ]
+            }
+          }
+        },
+        {
+          "$ref": "#/definitions/InlineNativeQuerySql"
+        }
+      ]
+    },
+    "InlineNativeQuerySql": {
       "type": "string"
     },
     "ReadOnlyColumnInfo": {
diff --git a/crates/tests/databases-tests/src/postgres/snapshots/databases_tests__postgres__openapi_tests__openapi__up_to_date_generated_schema.snap b/crates/tests/databases-tests/src/postgres/snapshots/databases_tests__postgres__openapi_tests__openapi__up_to_date_generated_schema.snap
index 1598fcb42..e75341467 100644
--- a/crates/tests/databases-tests/src/postgres/snapshots/databases_tests__postgres__openapi_tests__openapi__up_to_date_generated_schema.snap
+++ b/crates/tests/databases-tests/src/postgres/snapshots/databases_tests__postgres__openapi_tests__openapi__up_to_date_generated_schema.snap
@@ -781,7 +781,7 @@ expression: generated_schema_json
           "description": "SQL expression to use for the Native Query. We can interpolate values using `{{variable_name}}` syntax, such as `SELECT * FROM authors WHERE name = {{author_name}}`",
           "allOf": [
             {
-              "$ref": "#/components/schemas/Native_query_sql"
+              "$ref": "#/components/schemas/NativeQuerySql"
             }
           ]
         },
@@ -811,7 +811,45 @@ expression: generated_schema_json
         }
       }
     },
-    "Native_query_sql": {
+    "NativeQuerySql": {
+      "description": "Native Query SQL location.",
+      "anyOf": [
+        {
+          "description": "Refer to an external Native Query SQL file.",
+          "type": "object",
+          "required": [
+            "file"
+          ],
+          "properties": {
+            "file": {
+              "description": "Relative path to a sql file.",
+              "type": "string"
+            }
+          }
+        },
+        {
+          "description": "Inline Native Query SQL string.",
+          "type": "object",
+          "required": [
+            "inline"
+          ],
+          "properties": {
+            "inline": {
+              "description": "An inline Native Query SQL string.",
+              "allOf": [
+                {
+                  "$ref": "#/components/schemas/InlineNativeQuerySql"
+                }
+              ]
+            }
+          }
+        },
+        {
+          "$ref": "#/components/schemas/InlineNativeQuerySql"
+        }
+      ]
+    },
+    "InlineNativeQuerySql": {
       "type": "string"
     },
     "ReadOnlyColumnInfo": {
diff --git a/crates/tests/tests-common/Cargo.toml b/crates/tests/tests-common/Cargo.toml
index dbeec40df..2a95a2290 100644
--- a/crates/tests/tests-common/Cargo.toml
+++ b/crates/tests/tests-common/Cargo.toml
@@ -35,3 +35,4 @@ tokio = { version = "1.36.0", features = ["full"] }
 tokio-postgres = "0.7.10"
 tracing = "0.1.40"
 uuid = {version = "1.7.0", features = [ "v4", "fast-rng", "macro-diagnostics" ]}
+copy_dir = "0.1.3"
diff --git a/crates/tests/tests-common/src/common_tests/configuration_v3_tests.rs b/crates/tests/tests-common/src/common_tests/configuration_v3_tests.rs
index 335b6b957..e1839b329 100644
--- a/crates/tests/tests-common/src/common_tests/configuration_v3_tests.rs
+++ b/crates/tests/tests-common/src/common_tests/configuration_v3_tests.rs
@@ -58,19 +58,23 @@ pub async fn configure_initial_configuration_is_unchanged(
         .expect("configuration::introspect")
 }
 
-pub async fn configuration_conforms_to_the_schema(chinook_ndc_metadata_path: impl AsRef<Path>) {
+pub async fn configuration_conforms_to_the_schema(
+    chinook_ndc_metadata_path: impl AsRef<Path>,
+) -> anyhow::Result<()> {
     check_value_conforms_to_schema::<RawConfiguration>(
         read_configuration(chinook_ndc_metadata_path).await.unwrap(),
     );
+    Ok(())
 }
 
 async fn read_configuration(
     chinook_ndc_metadata_path: impl AsRef<Path>,
 ) -> anyhow::Result<serde_json::Value> {
-    let contents = fs::read_to_string(
-        get_path_from_project_root(chinook_ndc_metadata_path).join("configuration.json"),
-    )
-    .await?;
+    let absolute_configuration_directory = get_path_from_project_root(chinook_ndc_metadata_path);
+
+    let contents =
+        fs::read_to_string(absolute_configuration_directory.join("configuration.json")).await?;
+
     let mut multi_version: serde_json::Value = serde_json::from_str(&contents)?;
 
     // We assume the stored NDC metadata file to be in the newest version, so to be able to make
diff --git a/crates/tests/tests-common/src/ndc_metadata/configuration.rs b/crates/tests/tests-common/src/ndc_metadata/configuration.rs
index 7e417906f..ceb27c17b 100644
--- a/crates/tests/tests-common/src/ndc_metadata/configuration.rs
+++ b/crates/tests/tests-common/src/ndc_metadata/configuration.rs
@@ -15,30 +15,68 @@ use super::helpers::get_path_from_project_root;
 pub async fn copy_ndc_metadata_with_new_postgres_url(
     main_ndc_metadata_path: impl AsRef<Path>,
     new_connection_uri: &str,
-    new_ndc_metadata_path: impl AsRef<Path>,
+    temp_deploys_path: std::path::PathBuf,
+    db_name: &str,
 ) -> anyhow::Result<()> {
-    let ndc_metadata_path =
-        get_path_from_project_root(main_ndc_metadata_path).join("configuration.json");
+    let ndc_metadata_dir_path = get_path_from_project_root(main_ndc_metadata_path);
+    let ndc_metadata_path = ndc_metadata_dir_path.join("configuration.json");
+
+    let new_ndc_metadata = serde_json::from_str::<RawConfiguration>(
+        &std::fs::read_to_string(&ndc_metadata_path)
+            .map_err(|err| anyhow::anyhow!("{}: {}", &ndc_metadata_path.display(), err))?,
+    )
+    .map_err(|err| anyhow::anyhow!("{}: {}", &ndc_metadata_path.display(), err))?;
 
-    let new_ndc_metadata: RawConfiguration =
-        serde_json::from_str(&fs::read_to_string(ndc_metadata_path).await?)?;
     let new_ndc_metadata = set_connection_uri(new_ndc_metadata, new_connection_uri.into());
 
-    let new_ndc_metadata_dir = get_path_from_project_root(new_ndc_metadata_path);
-    fs::create_dir_all(&new_ndc_metadata_dir).await?;
+    let temp_deploys_path = get_path_from_project_root(temp_deploys_path);
+
+    // make sure the directory where all temp deploys are copied to exists
+    fs::create_dir_all(&temp_deploys_path)
+        .await
+        .map_err(|err| anyhow::anyhow!("{}: {}", &temp_deploys_path.display(), err))?;
+
+    let new_ndc_metadata_dir = temp_deploys_path.join(db_name);
+
+    copy_dir::copy_dir(&ndc_metadata_dir_path, &new_ndc_metadata_dir).map_err(|err| {
+        anyhow::anyhow!(
+            r#"copy_dir failed.
+from: {}
+to: {}
+error: {}"#,
+            &ndc_metadata_dir_path.display(),
+            &new_ndc_metadata_dir.display(),
+            err
+        )
+    })?;
+
     let new_ndc_metadata_path = new_ndc_metadata_dir.join("configuration.json");
     fs::write(
-        get_path_from_project_root(new_ndc_metadata_path),
+        get_path_from_project_root(&new_ndc_metadata_path),
         serde_json::to_string_pretty(&new_ndc_metadata)?,
     )
-    .await?;
+    .await
+    .map_err(|err| {
+        anyhow::anyhow!(
+            "{}: {}",
+            &get_path_from_project_root(new_ndc_metadata_path).display(),
+            err
+        )
+    })?;
     Ok(())
 }
 
 /// Erase test NDC metadata file created at `ndc_metadata_path`
 pub async fn delete_ndc_metadata(ndc_metadata_path: impl AsRef<Path>) -> anyhow::Result<()> {
     let absolute_path = get_path_from_project_root(ndc_metadata_path);
-    fs::remove_dir_all(absolute_path).await?;
+    fs::remove_dir_all(&absolute_path).await.map_err(|err| {
+        anyhow::anyhow!(
+            "{}: {}",
+            &get_path_from_project_root(absolute_path).display(),
+            err
+        )
+    })?;
+
     Ok(())
 }
 
diff --git a/crates/tests/tests-common/src/ndc_metadata/mod.rs b/crates/tests/tests-common/src/ndc_metadata/mod.rs
index c932d1199..d27c8a3d5 100644
--- a/crates/tests/tests-common/src/ndc_metadata/mod.rs
+++ b/crates/tests/tests-common/src/ndc_metadata/mod.rs
@@ -22,14 +22,18 @@ impl FreshDeployment {
     ) -> anyhow::Result<FreshDeployment> {
         let (db_name, new_connection_uri) = database::create_fresh_database(connection_uri).await;
 
-        let new_ndc_metadata_path = PathBuf::from("static/temp-deploys").join(&db_name);
+        let temp_deploys_path = PathBuf::from("static/temp-deploys");
 
         configuration::copy_ndc_metadata_with_new_postgres_url(
             ndc_metadata_path,
             &new_connection_uri,
-            &new_ndc_metadata_path,
+            temp_deploys_path,
+            &db_name,
         )
         .await?;
+
+        let new_ndc_metadata_path = PathBuf::from("static/temp-deploys").join(&db_name);
+
         Ok(FreshDeployment {
             db_name,
             ndc_metadata_path: new_ndc_metadata_path,
diff --git a/crates/tests/tests-common/src/router.rs b/crates/tests/tests-common/src/router.rs
index 781cde31d..c2de3c5cf 100644
--- a/crates/tests/tests-common/src/router.rs
+++ b/crates/tests/tests-common/src/router.rs
@@ -21,7 +21,8 @@ pub async fn create_router(
         connection_uri.to_string(),
     )]);
     let setup = PostgresSetup::new(environment);
-    let state = ndc_sdk::default_main::init_server_state(setup, absolute_configuration_directory)
+
+    let state = ndc_sdk::default_main::init_server_state(setup, &absolute_configuration_directory)
         .await
         .unwrap();
 
diff --git a/justfile b/justfile
index 0350c5b77..429146618 100644
--- a/justfile
+++ b/justfile
@@ -51,7 +51,7 @@ dev: start-dependencies
   OTEL_SERVICE_NAME=ndc-postgres \
     cargo watch -i "**/snapshots/*" \
     -c \
-    -x 'test -p query-engine-sql -p query-engine-translation -p databases-tests --features postgres' \
+    -x 'test -p query-engine-metadata -p query-engine-sql -p query-engine-translation -p databases-tests --features postgres' \
     -x clippy \
     -x 'run --bin ndc-postgres -- serve --configuration {{POSTGRES_V3_CHINOOK_NDC_METADATA}}'
 
diff --git a/static/citus/v3-chinook-ndc-metadata/configuration.json b/static/citus/v3-chinook-ndc-metadata/configuration.json
index a4fe04f36..1c641ab9f 100644
--- a/static/citus/v3-chinook-ndc-metadata/configuration.json
+++ b/static/citus/v3-chinook-ndc-metadata/configuration.json
@@ -841,7 +841,7 @@
     },
     "nativeQueries": {
       "address_identity_function": {
-        "sql": "SELECT {{address}} as result",
+        "sql": { "inline": "SELECT {{address}} as result" },
         "columns": {
           "result": {
             "name": "result",
@@ -865,7 +865,9 @@
         "description": "A native query used to test support for composite types"
       },
       "album_by_title": {
-        "sql": "SELECT * FROM public.\"Album\" WHERE \"Title\" LIKE {{title}} AND \"AlbumId\" < {{id}}",
+        "sql": {
+          "inline": "SELECT * FROM public.\"Album\" WHERE \"Title\" LIKE {{title}} AND \"AlbumId\" < {{id}}"
+        },
         "columns": {
           "AlbumId": {
             "name": "AlbumId",
@@ -913,7 +915,9 @@
         "description": null
       },
       "array_reverse": {
-        "sql": "SELECT array_agg(t.x) as reversed FROM (SELECT x FROM unnest({{array}}) WITH ORDINALITY AS t(x,ix) ORDER BY t.ix DESC) as t(x)",
+        "sql": {
+          "inline": "SELECT array_agg(t.x) as reversed FROM (SELECT x FROM unnest({{array}}) WITH ORDINALITY AS t(x,ix) ORDER BY t.ix DESC) as t(x)"
+        },
         "columns": {
           "reversed": {
             "name": "reversed",
@@ -941,7 +945,9 @@
         "description": "A native query used to test support for arrays as inputs"
       },
       "array_series": {
-        "sql": "SELECT 3 as three, array_agg(arr.series) AS series FROM (SELECT generate_series({{from}},{{to}}) AS series) AS arr",
+        "sql": {
+          "inline": "SELECT 3 as three, array_agg(arr.series) AS series FROM (SELECT generate_series({{from}},{{to}}) AS series) AS arr"
+        },
         "columns": {
           "series": {
             "name": "series",
@@ -983,7 +989,7 @@
         "description": "A native query used to test support for arrays"
       },
       "artist": {
-        "sql": "SELECT * FROM public.\"Artist\"",
+        "sql": { "inline": "SELECT * FROM public.\"Artist\"" },
         "columns": {
           "ArtistId": {
             "name": "ArtistId",
@@ -1006,7 +1012,9 @@
         "description": null
       },
       "artist_below_id": {
-        "sql": "SELECT * FROM public.\"Artist\" WHERE \"ArtistId\" < {{id}}",
+        "sql": {
+          "inline": "SELECT * FROM public.\"Artist\" WHERE \"ArtistId\" < {{id}}"
+        },
         "columns": {
           "id": {
             "name": "ArtistId",
@@ -1038,7 +1046,9 @@
         "description": null
       },
       "count_elements": {
-        "sql": "SELECT array_length({{array_argument}}, 1) as result",
+        "sql": {
+          "inline": "SELECT array_length({{array_argument}}, 1) as result"
+        },
         "columns": {
           "result": {
             "name": "result",
@@ -1064,7 +1074,9 @@
         "description": "A native query used to test support array-valued variables"
       },
       "delete_playlist_track": {
-        "sql": "DELETE FROM public.\"PlaylistTrack\" WHERE \"TrackId\" = {{track_id}} RETURNING *",
+        "sql": {
+          "inline": "DELETE FROM public.\"PlaylistTrack\" WHERE \"TrackId\" = {{track_id}} RETURNING *"
+        },
         "columns": {
           "PlaylistId": {
             "name": "PlaylistId",
@@ -1097,7 +1109,9 @@
         "isProcedure": true
       },
       "insert_album": {
-        "sql": "INSERT INTO public.\"Album\" VALUES({{id}}, {{title}}, {{artist_id}}) RETURNING *",
+        "sql": {
+          "inline": "INSERT INTO public.\"Album\" VALUES({{id}}, {{title}}, {{artist_id}}) RETURNING *"
+        },
         "columns": {
           "AlbumId": {
             "name": "AlbumId",
@@ -1154,7 +1168,9 @@
         "isProcedure": true
       },
       "insert_artist": {
-        "sql": "INSERT INTO public.\"Artist\" VALUES ({{id}}, {{name}}) RETURNING *",
+        "sql": {
+          "inline": "INSERT INTO public.\"Artist\" VALUES ({{id}}, {{name}}) RETURNING *"
+        },
         "columns": {
           "ArtistId": {
             "name": "ArtistId",
@@ -1195,7 +1211,9 @@
         "isProcedure": true
       },
       "make_person": {
-        "sql": "SELECT ROW({{name}}, {{address}})::person as result",
+        "sql": {
+          "inline": "SELECT ROW({{name}}, {{address}})::person as result"
+        },
         "columns": {
           "result": {
             "name": "result",
@@ -1227,7 +1245,9 @@
         "description": "A native query used to test support for composite types"
       },
       "summarize_organizations": {
-        "sql": "SELECT 'The organization ' || org.name || ' has ' || no_committees::text || ' committees, ' || 'the largest of which has ' || max_members || ' members.' AS result FROM (SELECT orgs.* FROM unnest({{organizations}}) as orgs) AS org JOIN LATERAL ( SELECT count(committee.*) AS no_committees, max(members_agg.no_members) AS max_members FROM unnest(org.committees) AS committee JOIN LATERAL ( SELECT count(*) as no_members FROM unnest(committee.members) AS members) AS members_agg ON true) AS coms ON true",
+        "sql": {
+          "inline": "SELECT 'The organization ' || org.name || ' has ' || no_committees::text || ' committees, ' || 'the largest of which has ' || max_members || ' members.' AS result FROM (SELECT orgs.* FROM unnest({{organizations}}) as orgs) AS org JOIN LATERAL ( SELECT count(committee.*) AS no_committees, max(members_agg.no_members) AS max_members FROM unnest(org.committees) AS committee JOIN LATERAL ( SELECT count(*) as no_members FROM unnest(committee.members) AS members) AS members_agg ON true) AS coms ON true"
+        },
         "columns": {
           "result": {
             "name": "result",
@@ -1253,7 +1273,9 @@
         "description": "A native query used to test support array-valued variables"
       },
       "value_types": {
-        "sql": "SELECT {{bool}} as bool, {{int4}} as int4, {{int2}} as int2, {{int8}} as int8, {{float4}} as float4, {{float8}} as \"float8\", {{numeric}} as numeric, {{char}} as char, {{varchar}} as \"varchar\", {{text}} as text, {{date}} as date, {{time}} as time, {{timetz}} as timetz, {{timestamp}} as timestamp, {{timestamptz}} as timestamptz, {{uuid}} as uuid",
+        "sql": {
+          "inline": "SELECT {{bool}} as bool, {{int4}} as int4, {{int2}} as int2, {{int8}} as int8, {{float4}} as float4, {{float8}} as \"float8\", {{numeric}} as numeric, {{char}} as char, {{varchar}} as \"varchar\", {{text}} as text, {{date}} as date, {{time}} as time, {{timetz}} as timetz, {{timestamp}} as timestamp, {{timestamptz}} as timestamptz, {{uuid}} as uuid"
+        },
         "columns": {
           "bool": {
             "name": "bool",
diff --git a/static/cockroach/v3-chinook-ndc-metadata/configuration.json b/static/cockroach/v3-chinook-ndc-metadata/configuration.json
index 8ebb22c4c..276327239 100644
--- a/static/cockroach/v3-chinook-ndc-metadata/configuration.json
+++ b/static/cockroach/v3-chinook-ndc-metadata/configuration.json
@@ -826,7 +826,7 @@
     },
     "nativeQueries": {
       "address_identity_function": {
-        "sql": "SELECT {{address}} as result",
+        "sql": { "inline": "SELECT {{address}} as result" },
         "columns": {
           "result": {
             "name": "result",
@@ -850,7 +850,9 @@
         "description": "A native query used to test support for composite types"
       },
       "album_by_title": {
-        "sql": "SELECT * FROM public.\"Album\" WHERE \"Title\" LIKE {{title}} AND \"AlbumId\" < {{id}}",
+        "sql": {
+          "inline": "SELECT * FROM public.\"Album\" WHERE \"Title\" LIKE {{title}} AND \"AlbumId\" < {{id}}"
+        },
         "columns": {
           "AlbumId": {
             "name": "AlbumId",
@@ -898,7 +900,9 @@
         "description": null
       },
       "array_reverse": {
-        "sql": "SELECT array_agg(t.x) as reversed FROM (SELECT x FROM unnest({{array}}) WITH ORDINALITY AS t(x,ix) ORDER BY t.ix DESC) as t(x)",
+        "sql": {
+          "inline": "SELECT array_agg(t.x) as reversed FROM (SELECT x FROM unnest({{array}}) WITH ORDINALITY AS t(x,ix) ORDER BY t.ix DESC) as t(x)"
+        },
         "columns": {
           "reversed": {
             "name": "reversed",
@@ -926,7 +930,9 @@
         "description": "A native query used to test support for arrays as inputs"
       },
       "array_series": {
-        "sql": "SELECT 3 as three, array_agg(arr.series) AS series FROM (SELECT generate_series({{from}},{{to}}) AS series) AS arr",
+        "sql": {
+          "inline": "SELECT 3 as three, array_agg(arr.series) AS series FROM (SELECT generate_series({{from}},{{to}}) AS series) AS arr"
+        },
         "columns": {
           "series": {
             "name": "series",
@@ -968,7 +974,7 @@
         "description": "A native query used to test support for arrays"
       },
       "artist": {
-        "sql": "SELECT * FROM public.\"Artist\"",
+        "sql": { "inline": "SELECT * FROM public.\"Artist\"" },
         "columns": {
           "ArtistId": {
             "name": "ArtistId",
@@ -991,7 +997,9 @@
         "description": null
       },
       "artist_below_id": {
-        "sql": "SELECT * FROM public.\"Artist\" WHERE \"ArtistId\" < {{id}}",
+        "sql": {
+          "inline": "SELECT * FROM public.\"Artist\" WHERE \"ArtistId\" < {{id}}"
+        },
         "columns": {
           "id": {
             "name": "ArtistId",
@@ -1023,7 +1031,9 @@
         "description": null
       },
       "count_elements": {
-        "sql": "SELECT array_length({{array_argument}}, 1) as result",
+        "sql": {
+          "inline": "SELECT array_length({{array_argument}}, 1) as result"
+        },
         "columns": {
           "result": {
             "name": "result",
@@ -1049,7 +1059,9 @@
         "description": "A native query used to test support array-valued variables"
       },
       "delete_playlist_track": {
-        "sql": "DELETE FROM public.\"PlaylistTrack\" WHERE \"TrackId\" = {{track_id}} RETURNING *",
+        "sql": {
+          "inline": "DELETE FROM public.\"PlaylistTrack\" WHERE \"TrackId\" = {{track_id}} RETURNING *"
+        },
         "columns": {
           "PlaylistId": {
             "name": "PlaylistId",
@@ -1082,7 +1094,9 @@
         "isProcedure": true
       },
       "insert_album": {
-        "sql": "INSERT INTO public.\"Album\" VALUES({{id}}, {{title}}, {{artist_id}}) RETURNING *",
+        "sql": {
+          "inline": "INSERT INTO public.\"Album\" VALUES({{id}}, {{title}}, {{artist_id}}) RETURNING *"
+        },
         "columns": {
           "AlbumId": {
             "name": "AlbumId",
@@ -1139,7 +1153,9 @@
         "isProcedure": true
       },
       "insert_artist": {
-        "sql": "INSERT INTO public.\"Artist\" VALUES ({{id}}, {{name}}) RETURNING *",
+        "sql": {
+          "inline": "INSERT INTO public.\"Artist\" VALUES ({{id}}, {{name}}) RETURNING *"
+        },
         "columns": {
           "ArtistId": {
             "name": "ArtistId",
@@ -1180,7 +1196,9 @@
         "isProcedure": true
       },
       "value_types": {
-        "sql": "SELECT {{bool}} as bool, {{int4}} as int4, {{int2}} as int2, {{int8}} as int8, {{float4}} as float4, {{float8}} as \"float8\", {{numeric}} as numeric, {{char}} as char, {{varchar}} as \"varchar\", {{text}} as text, {{date}} as date, {{time}} as time, {{timetz}} as timetz, {{timestamp}} as timestamp, {{timestamptz}} as timestamptz, {{uuid}} as uuid",
+        "sql": {
+          "inline": "SELECT {{bool}} as bool, {{int4}} as int4, {{int2}} as int2, {{int8}} as int8, {{float4}} as float4, {{float8}} as \"float8\", {{numeric}} as numeric, {{char}} as char, {{varchar}} as \"varchar\", {{text}} as text, {{date}} as date, {{time}} as time, {{timetz}} as timetz, {{timestamp}} as timestamp, {{timestamptz}} as timestamptz, {{uuid}} as uuid"
+        },
         "columns": {
           "bool": {
             "name": "bool",
diff --git a/static/postgres/v3-chinook-ndc-metadata/configuration.json b/static/postgres/v3-chinook-ndc-metadata/configuration.json
index 132d78b29..89039abc8 100644
--- a/static/postgres/v3-chinook-ndc-metadata/configuration.json
+++ b/static/postgres/v3-chinook-ndc-metadata/configuration.json
@@ -1098,7 +1098,7 @@
     },
     "nativeQueries": {
       "address_identity_function": {
-        "sql": "SELECT {{address}} as result",
+        "sql": { "inline": "SELECT {{address}} as result" },
         "columns": {
           "result": {
             "name": "result",
@@ -1122,7 +1122,9 @@
         "description": "A native query used to test support for composite types"
       },
       "album_by_title": {
-        "sql": "SELECT * FROM public.\"Album\" WHERE \"Title\" LIKE {{title}} AND \"AlbumId\" < {{id}}",
+        "sql": {
+          "inline": "SELECT * FROM public.\"Album\" WHERE \"Title\" LIKE {{title}} AND \"AlbumId\" < {{id}}"
+        },
         "columns": {
           "AlbumId": {
             "name": "AlbumId",
@@ -1170,7 +1172,9 @@
         "description": null
       },
       "array_reverse": {
-        "sql": "SELECT array_agg(t.x) as reversed FROM (SELECT x FROM unnest({{array}}) WITH ORDINALITY AS t(x,ix) ORDER BY t.ix DESC) as t(x)",
+        "sql": {
+          "inline": "SELECT array_agg(t.x) as reversed FROM (SELECT x FROM unnest({{array}}) WITH ORDINALITY AS t(x,ix) ORDER BY t.ix DESC) as t(x)"
+        },
         "columns": {
           "reversed": {
             "name": "reversed",
@@ -1198,7 +1202,9 @@
         "description": "A native query used to test support for arrays as inputs"
       },
       "array_series": {
-        "sql": "SELECT 3 as three, array_agg(arr.series) AS series FROM (SELECT generate_series({{from}},{{to}}) AS series) AS arr",
+        "sql": {
+          "inline": "SELECT 3 as three, array_agg(arr.series) AS series FROM (SELECT generate_series({{from}},{{to}}) AS series) AS arr"
+        },
         "columns": {
           "series": {
             "name": "series",
@@ -1240,7 +1246,7 @@
         "description": "A native query used to test support for arrays"
       },
       "artist": {
-        "sql": "SELECT * FROM public.\"Artist\"",
+        "sql": { "inline": "SELECT * FROM public.\"Artist\"" },
         "columns": {
           "ArtistId": {
             "name": "ArtistId",
@@ -1263,7 +1269,9 @@
         "description": null
       },
       "artist_below_id": {
-        "sql": "SELECT * FROM public.\"Artist\" WHERE \"ArtistId\" < {{id}}",
+        "sql": {
+          "inline": "SELECT * FROM public.\"Artist\" WHERE \"ArtistId\" < {{id}}"
+        },
         "columns": {
           "id": {
             "name": "ArtistId",
@@ -1295,7 +1303,9 @@
         "description": null
       },
       "count_elements": {
-        "sql": "SELECT array_length({{array_argument}}, 1) as result",
+        "sql": {
+          "inline": "SELECT array_length({{array_argument}}, 1) as result"
+        },
         "columns": {
           "result": {
             "name": "result",
@@ -1321,7 +1331,9 @@
         "description": "A native query used to test support array-valued variables"
       },
       "delete_playlist_track": {
-        "sql": "DELETE FROM public.\"PlaylistTrack\" WHERE \"TrackId\" = {{track_id}} RETURNING *",
+        "sql": {
+          "inline": "DELETE FROM public.\"PlaylistTrack\" WHERE \"TrackId\" = {{track_id}} RETURNING *"
+        },
         "columns": {
           "PlaylistId": {
             "name": "PlaylistId",
@@ -1354,7 +1366,9 @@
         "isProcedure": true
       },
       "insert_album": {
-        "sql": "INSERT INTO public.\"Album\" VALUES({{id}}, {{title}}, {{artist_id}}) RETURNING *",
+        "sql": {
+          "inline": "INSERT INTO public.\"Album\" VALUES({{id}}, {{title}}, {{artist_id}}) RETURNING *"
+        },
         "columns": {
           "AlbumId": {
             "name": "AlbumId",
@@ -1411,7 +1425,9 @@
         "isProcedure": true
       },
       "insert_artist": {
-        "sql": "INSERT INTO public.\"Artist\" VALUES ({{id}}, {{name}}) RETURNING *",
+        "sql": {
+          "inline": "INSERT INTO public.\"Artist\" VALUES ({{id}}, {{name}}) RETURNING *"
+        },
         "columns": {
           "ArtistId": {
             "name": "ArtistId",
@@ -1452,7 +1468,9 @@
         "isProcedure": true
       },
       "make_person": {
-        "sql": "SELECT ROW({{name}}, {{address}})::person as result",
+        "sql": {
+          "inline": "SELECT ROW({{name}}, {{address}})::person as result"
+        },
         "columns": {
           "result": {
             "name": "result",
@@ -1484,7 +1502,7 @@
         "description": "A native query used to test support for composite types"
       },
       "summarize_organizations": {
-        "sql": "SELECT 'The organization ' || org.name || ' has ' || no_committees::text || ' committees, ' || 'the largest of which has ' || max_members || ' members.' AS result FROM (SELECT orgs.* FROM unnest({{organizations}}) as orgs) AS org JOIN LATERAL ( SELECT count(committee.*) AS no_committees, max(members_agg.no_members) AS max_members FROM unnest(org.committees) AS committee JOIN LATERAL ( SELECT count(*) as no_members FROM unnest(committee.members) AS members) AS members_agg ON true) AS coms ON true",
+        "sql": { "file": "./native_queries/summarize_organizations.sql" },
         "columns": {
           "result": {
             "name": "result",
@@ -1510,7 +1528,9 @@
         "description": "A native query used to test support array-valued variables"
       },
       "value_types": {
-        "sql": "SELECT {{bool}} as bool, {{int4}} as int4, {{int2}} as int2, {{int8}} as int8, {{float4}} as float4, {{float8}} as \"float8\", {{numeric}} as numeric, {{char}} as char, {{varchar}} as \"varchar\", {{text}} as text, {{date}} as date, {{time}} as time, {{timetz}} as timetz, {{timestamp}} as timestamp, {{timestamptz}} as timestamptz, {{uuid}} as uuid",
+        "sql": {
+          "inline": "SELECT {{bool}} as bool, {{int4}} as int4, {{int2}} as int2, {{int8}} as int8, {{float4}} as float4, {{float8}} as \"float8\", {{numeric}} as numeric, {{char}} as char, {{varchar}} as \"varchar\", {{text}} as text, {{date}} as date, {{time}} as time, {{timetz}} as timetz, {{timestamp}} as timestamp, {{timestamptz}} as timestamptz, {{uuid}} as uuid"
+        },
         "columns": {
           "bool": {
             "name": "bool",
diff --git a/static/postgres/v3-chinook-ndc-metadata/native_queries/summarize_organizations.sql b/static/postgres/v3-chinook-ndc-metadata/native_queries/summarize_organizations.sql
new file mode 100644
index 000000000..58c5e163d
--- /dev/null
+++ b/static/postgres/v3-chinook-ndc-metadata/native_queries/summarize_organizations.sql
@@ -0,0 +1,22 @@
+SELECT
+  'The organization ' || org.name || ' has ' || no_committees :: text || ' committees, ' || 'the largest of which has ' || max_members || ' members.' AS result
+FROM
+  (
+    SELECT
+      orgs.*
+    FROM
+      unnest({{organizations}}) AS orgs
+  ) AS org
+  JOIN LATERAL (
+    SELECT
+      count(committee.*) AS no_committees,
+      max(members_agg.no_members) AS max_members
+    FROM
+      unnest(org.committees) AS committee
+      JOIN LATERAL (
+        SELECT
+          count(*) AS no_members
+        FROM
+          unnest(committee.members) AS members
+      ) AS members_agg ON TRUE
+  ) AS coms ON TRUE