Self Help Groups have emerged as a powerful instrument in poverty alleviation and empowerment of women in the rural economy. SHGs, through the network of commercial banks, co-operative banks, regional rural banks, NABARD, and NGO’s have been rendering financial services to the poor women. SHGs upgrade their status in the society.
Self Help Groups have been formed to establish a large number of microenterprises in the rural areas, and build upon the potential of the rural poor. It is rooted in the belief that rural poor in India have competencies and, given the right support, can be successful producers of valuable goods/services. The formation of Self Help Groups is conceived as a holistic programme of micro-enterprises covering all aspects of selfemployment namely organization of rural poor into Self Help Groups and their capacity for improvement of skills of activity clusters, infrastructure build-up, technology, credit and marketing. The great merit of the Self Help Group is its ability to inculcate among its members a sound habit of thrift, savings and banking. Self Help Groups have been recognized as useful vehicles to help the poor in accessing financial resources not available to them previously and help them break away from the grip of exploitative money lenders.
SHGs have not only improved the economic status of their members but also changed their entire outlook towards society, education, women’s rights and so on. SHGs comprising mainly of illiterate and semi-literate women, have exhibited versatility and sensitiveness to the issues haunting them.
The formation of Self-Help Group in rural areas have created awareness among poor women about social issues and emboldened them to take up their cause with the authorities. The SHGs have also created confidence among women to work in unison for their collective economic development. Therefore, it could be said that the concept of SHG has sown the seeds of a silent revolution at the village level. It has paved way for women to spell out their views and to participate in the local administration.
For citing this article, use:
- Santhi, C. T. (2021). A study on the socio economic developments of Self help groups in virudhunagar district.