what is performance bank guarantee ????

This are mainly application to those companies whose product are subject to after sales services.  In order to comply with the terms and conditions of the contract the Contractree want that they should ensure after sales service of the product supplied to them and hence require some some of financial guarantee which may be in the shape of Performance quarantee.  In case of failure to comply the terms and condition the contractree can redeem the proceed of the performance bank guarantee