Ministry of Finance
azadi ka amrit mahotsav g20-india-2023

Claims of more than 10,000 MSMEs accepted under Vivad se Vishwas-I scheme since launch


Rs. 256 crore relief grant to MSMEs ensures bank credit flow and freeing up guarantees

Posted On: 26 SEP 2023 1:43PM by PIB Delhi

In a major relief to the Micro, Small and Medium Enterprises (MSMEs), various Ministries/ Departments of Government of India have accepted more than 10,000 claims of MSMEs under Vivad se Vishwas - I scheme aimed at providing relief to MSMEs for the COVID-19 Pandemic period. This has led to grant of more than Rs. 256 crore to MSMEs and increased flow of bank credit through freeing up of guarantees.

The highest relief of Rs. 116.47 crore has been granted by the Ministry of Petroleum and Natural Gas (MoPNG). This includes the claims settled and amount paid by the agencies under the administrative control of the MoPNG.

Performance of TOP FIVE Ministries in terms of claims settled and amount paid is given in the table below:

 

Name of Ministry

Amount paid (crore)

Number of claims accepted

Ministry of Petroleum and Natural Gas

116.47

2,807

Ministry of Railways

79.16

2,090

Ministry of Defence

23.45

424

Ministry of Steel

14.48

244

Ministry of Power

6.69

119

 

The Vivad se Vishwas I – Relief for MSMEs scheme was announced by the Union Finance Minister in the Budget Speech 2023-24. The scheme was launched by Ministry of Finance through Government e-Marketplace (GeM) portal on 17.04.2023.  The last date for submission of claims for relief, on the GeM portal, under the scheme was 31.07.2023.  GeM had developed a dedicated portal for the purpose of this scheme.

The Department of Expenditure had issued instruction detailing the scheme and procedure for lodging claim on 11.04.2023. Scope of the scheme was subsequently expanded to include works procurement and earning contracts. Under the scheme relief by way of refund of 95% of the deducted performance security, bid security and liquidated damages was provided. Relief was also provided to MSMEs debarred for default in execution of contracts. The relief provided under this scheme were in continuation to the efforts of the Government in promoting and sustaining the MSME sector severely impacted by the COVID-19 pandemic.

****

NB/VM/KMN



(Release ID: 1960806) Visitor Counter : 1814