New Delhi: Ministry of Finance on Thursday was extended until March 2023 the benefits of reducing performance security in government contracts.
According to the rules, a successful bidder was awarded the government contract must deposit the security of 5-10 percent of the contract value with the government.
To help commercial entities and tidal contractors on liquidity step on the first wave of Covid pandemic, the Ministry of Finance in November 2020 reduces the security of this performance to 3 percent for all tenders / contracts issued or concluded until 31 December 2021.
The Ministry of Finance said on Thursday said that the government India has decided to extend the interests of reduced performance security of 3 percent until March 31, 2023, for all central government tenders published / closed until March 31, 2023.
“Relief, this industry can spread additional resources in the implementation of the project as the implementation of the right project Time and economical by the industry is very important for the development of high-speed infrastructure as expected through national infrastructure pipes, “the Ministry said.
Relief has benefited the industry, especially in the construction, manufacturing and service sectors and will enable them to respond with enthusiasm for the demands of the government for implementing efficient projects, he added.