Over 10,000 Claims Accepted Under Vivad se Vishwas

Supporting MSMEs Amidst the Pandemic: Vivad se Vishwas – I Scheme

In a significant relief to Micro, Small, and Medium Enterprises (MSMEs), multiple Ministries and Government Departments have greenlit more than 10,000 claims under the Vivad se Vishwas – I scheme. This initiative, designed to aid MSMEs during the challenging COVID-19 pandemic, has resulted in grants exceeding Rs. 256 crore disbursed to MSMEs. Additionally, it has facilitated the availability of increased bank credit by freeing up guarantees.

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Leading Ministries in Relief Efforts

The Ministry of Petroleum and Natural Gas (MoPNG) has emerged as the top contributor, granting a relief of Rs. 116.47 crore. This amount includes both settled claims and payments made by agencies under MoPNG’s administrative control.

Here’s a breakdown of the top-performing Ministries in terms of claims accepted and amounts disbursed:

Ministry of Petroleum and Natural Gas

Amount Paid: Rs. 116.47 crore
Number of Claims Accepted: 2,807

Ministry of Railways

Amount Paid: Rs. 79.16 crore
Number of Claims Accepted: 2,090

Ministry of Defence

Amount Paid: Rs. 23.45 crore
Number of Claims Accepted: 424

Ministry of Steel

Amount Paid: Rs. 14.48 crore
Number of Claims Accepted: 244

Ministry of Power

Amount Paid: Rs. 6.69 crore
Number of Claims Accepted: 119

Vivad se Vishwas I – Relief for MSMEs

The Vivad se Vishwas I – Relief for MSMEs scheme was introduced by the Union Finance Minister during the Budget Speech for 2023-24. This scheme was subsequently launched by the Ministry of Finance through the Government e-Marketplace (GeM) portal on April 17, 2023. MSMEs were given the opportunity to submit their claims for relief through the GeM portal until July 31, 2023. To streamline the process, GeM created a dedicated portal for this scheme.

On April 11, 2023, the Department of Expenditure issued comprehensive instructions outlining the scheme and the procedure for submitting claims. The scheme’s scope was expanded to include works procurement and earning contracts. Under the scheme, MSMEs received relief in the form of a 95% refund of deducted performance security, bid security, and liquidated damages. Moreover, MSMEs that had been debarred due to contract execution defaults were also granted relief. These measures align with the government’s ongoing commitment to support and bolster the MSME sector, which has faced severe challenges due to the COVID-19 pandemic.

Priti Palit

Priti Palit, an accomplished edtech writer, boasts a wealth of experience in preparing candidates for multiple government exams. With a passion for education and a keen eye for detail, she has contributed significantly to the field of online learning. Priti’s expertise and dedication continue to empower aspiring individuals in their pursuit of success in government examinations.

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