Govt accepts over 10,000 MSME claims worth Rs. 256 crore

The government has accepted more than 10,000 claims of MSMEs involving refunds worth Rs 256 crore under a dispute resolution scheme Vivad se Vishwas-I.

Under the scheme, MSMEs could claim a refund of 95% of performance or bid security and liquidated damages forfeited by government departments and public sector entities during the Covid-19 period. The scheme, announced in 2023-24 Budget, opened on April 17 and the last date for submission of claims for relief on the GeM portal was July 31.

“In a major relief to the micro, small and medium enterprises (MSMEs), various ministries/departments of the 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,” a finance ministry statement said.