NEW DELHI : The Ministry of Finance on Tuesday said that Micro, Small and Medium Enterprises (MSMEs) have time till 30 June to submit their claims under the scheme meant for compensating them for damages from non-execution of contracts during the covid period.
The ‘Vivad se Vishwas I - Relief to MSMEs scheme’ was announced in the Union Budget 2023-24 by Finance Minister Nirmala Sitharaman.
The relief provided under this scheme is in continuation to the efforts of the government in promoting and sustaining the MSME sector. “In cases of failure by MSMEs to execute contracts during the COVID period, 95 per cent of the forfeited amount relating to bid or performance security will be returned to them by the government.
This will provide relief to MSMEs," Sitharaman had said. The ministry has already issued the broad structure of the scheme and instructions in this regard, extending the relief to cover more cases and relaxing the limits of refunds.