The centre has eased provisions of the Vivad se Vishwas scheme, announced in the last Union budget, while operationalising it. Officials told ET that pending recoveries of performance security – for defaults during the pandemic – from MSMEs will be slashed by 95%. Refund of multiple performance guarantees, accrued against a tender, will also be allowed to the bidder. FM Nirmala Sitharaman had in her Budget 2023-24 speech announced the scheme aimed at providing relief to the MSME sector. The scheme operationalised from April 17 will remain open for applications till June 30. The scheme will also allow revocation of debarment of contractors on grounds of default in execution of contracts.
