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Self Help Group (2. SHG Working (A group of people from a neighborhood in…
Self Help Group
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2. SHG Working
A group of people from a neighborhood in rural areas especially women who come together to save money & solve common problems
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After a couple of years, when the group has regular savings, it becomes eligible to get loans from the bank
The members can take loans for repaying mortgage, buying seeds, fertilizers, sewing machine, cattle etc
3. SHG Management
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The group decides who should be given loan, how much loan should be given, interest rate, mode of repayment etc
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If a member is unable to pay a loan, the other members follow it up very seriously
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4. Advantages of SHGs
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They have regular meetings and they are able to discuss and find solutions to other social problems such as health, nutrition, domestic violence etc