Explain the role of self help groups in the rural society

The term ‘self-help’ has historical significance and is widely used for cooperation survival. Self-help groups (SHG) play a significant role in transforming the rural economy. Its unprecedented growth helps the resurgence of the weaker section of society in terms of outreach, social position, and sustainability. Among different SHGs, ‘Kudumbashree’ of Kerala constitute the largest women SHGs in India. The Government of Kerala launched the programme for poor women on 17 May 1998. Grassroots of ‘Kudumbashree’ are ‘Neighbourhood Groups’ (NHGs). Kudumbashree functions through NHGs. This study analyses the social impact of NHGs by taking samples from the tribal and non-tribal areas in the district of Palakkad, Kerala. A detailed survey conducted among 600 respondents with identified social variables. Since the 1970s, SHGs have been playing an essential role in different states of India by contributing mostly to democratize many institutions that stand for the deprived sections of the society. It tries to create social stability through financial inclusion and play an active role in the social empowerment of the people in rural areas. The theoretical foundations of the SHGs are deeply linked with the framework of sociology. Theoretically, SHGs may stimulate empowerment and increase the participants’ sense of control and can be linked to the concept of social learning. SHGs role in empowering women in rural areas is significant. The social impact of SHGs on women’s empowerment is...

Explain the role of Self-Help Groups (SHGs) in the rural society. Answer: Explanation: • organise rural poor , in particular women , into small self-help groups (SHGs) and pool (collect) their savings . • It has 15-20 members who save Rs. 25 - Rs100 regularly as per their ability to save. • After a year or two , the group become eligible for the loan and the loan is sanctioned in the name of the group . • Members can take small loans from the group itself to meet their needs. • The group charges interest on these loans . • The group members take all the decisions regarding loan activities like savings , interests etc. • In case of non-repayment of loans is followed up by other members . • SHGs overcomes the problem of lack of collateral. Answer to be written in exam: • SHGs play an important role in rural society it organises rural poor , in particular women , into small self-help groups (SHGs) and pool (collect) their savings . • A typical SHG has 15-20 members who meet and save regularly. Saving per member varies from Rs. 25 - Rs.100 or more depending on the ability of the people to save. • After a year or two, if the group is regular in savings, it becomes eligible for availing loans from the bank. The loan is sanctioned in the name of the group and is meant to create self-employment opportunities for the members. • Members can take small loans from the group itself to meet their needs. • The group charges interest on these loans but this is still less than what the mon...

Important of Self Help Groups(SHGs):- • Financial Inclusion – SHGs incentivise banks to lend to poor and marginalised sections of society because of the assurance of returns. • Voice to marginalised – SHGs have given a voice to the otherwise underrepresented and voiceless sections of society. • Social Integrity – SHGs help eradicate many social ills such as dowry, alcoholism, early marriage, etc. • Gender Equality – By empowering women SHGs help steer the nation towards true gender equality. • Pressure Groups – SHGs act as pressure groups through which pressure can be mounted on the government to act on important issues. • Enhancing the efficiency of government schemes – SHGs help implement and improve the efficiency of government schemes. They also help reduce corruption through social audits. • Alternate source of livelihood/employment – SHGa help people earn their livelihood by providing vocational training, and also help improve their existing source of livelihood by offering tools, etc. They also help ease the dependency on agriculture. • Impact on healthcare and housing – Financial inclusion due to SHGs has led to better family planning, reduced rates of child mortality, enhanced maternal health and also helped people fight diseases better by way of better nutrition, healthcare facilities and housing. • Banking literacy – SHGs encourage people to save and promote banking literacy among the rural segment. Categories • • (31.9k) • (8.8k) • (764k) • (248k) • (2.9k) • (5...

Self-help groups (SHGs) are a form of grassroots organizations that operate in rural areas. They are typically composed of about 10–20 members who are from similar socio-economic backgrounds, such as farmers or laborers, and who come together with the aim of working to improve their well-being and access to better resources. One of their main goals is to support each other in times of need, both financially and emotionally. These groups have become increasingly popular in recent years due to their success in providing people with the opportunity to increase their financial security, access credit, and get involved in more market-oriented activities, such as producing and selling products. SHGs also provide a platform for members to share ideas, discuss problems, and work together to develop strategies for success. The role of SHGs in rural society can be seen in various areas. They provide a sense of solidarity and community among members, create opportunities for social and economic development, promote gender equality, and help strengthen government programs and policies. SHGs are an important source of capital, enabling members to save and borrow money. This helps people to reduce poverty and expand their income sources. The groups also help to address issues of illiteracy by giving people the opportunity to learn new skills and share knowledge. Finally, they offer members a support network and a sense of belonging. Shg is an organisation which is run by the group of pe...