Explain the importance of self help groups (SHGS) in rural areas
What is self help group (SHGs) ?
Self help groups – A Self-Help Group (SHG) is a small, self-organized group of impoverished individuals who are preferably from similar socioeconomic backgrounds. They gather together to solve their common difficulties through self-help and mutual assistance. The SHG encourages its members to save tiny amounts of money; these savings are deposited at a bank.
These groups are also known as mutual help, mutual aid, or support groups, and are associations of people who help one another. A self-help group’s members are united by a common condition, such as a sickness or addiction.
The Indian labour consists of many people mostly women who belong to the rural population. Due to the shortage of resources, opportunities, and social constraints, they’re unable to elevate their living conditions. Self-help groups are the way to pave a far better opportunity for ladies and expand their success horizons.
Self-help groups are informal groups that come together to beat their common problems and improve their standard of living. The members of such groups belong to an identical social and economic background. SHGs are self-governed and controlled groups where the members voluntary come up with the quantity they will conveniently save out of their earnings. It acts as the mutually agreed contribution to the common fund and is employed to supply loans to the members. SHGs have emerged as an efficient tool in elevating people from below the poverty level and improving their living conditions and social station by promoting self-employment.
Members of Self-help groups (SHGs)
- Individuals who belong to an equivalent social and economic background can become a member of Self-help groups
- One person from each family is often a member of an SHG
- The members of SHGs are generally either only men or only women
- Generally, there are 15-20 members in a Self-help group
What are the characteristics of Self-Help Groups (SHGs)?
The features and characteristics of the Self-Help groups are as follows:-
- The ideal size of Self-help groups is 10 to twenty members. This limit is about as in bigger groups, active participation can’t be experienced by all the members.
- Self-help groups are informal and voluntary associations. They have not been registered under any Act or law of the govt.
- Only one member from each family shall join. This ensures the participation of families within the groups.
- Self-help groups either contain men or women. The mixed group isn’t given preference. This owes to the mindset of people in rural areas where women’s participation is restricted.
- Reports have stated that as compared to men’s groups, women’s groups function and perform better.
- Every member of the Self-help groups belongs to an equivalent socio-economic background. This is often done to make sure a hesitation-free environment and proper communication among the members.
Benefits of self help groups / Importance of self help groups
- Self-help groups help in women’s empowerment by making them independent financially and intellectually.
- It has a serious role to play in combating social evils like gambling, alcoholism, white plague, and more. It instils better habits within the members and leads them to be responsible and become better individuals.
- It helps in elevating the utilization opportunities in rural India and for the agricultural and concrete amongst poor people. It supports micro-level entrepreneurship which reduces the dependence on one source of income and widens income horizons for the members.
- On being a member of SHGs, quick access is provided to government policies and schemes. The schemes are meant for the marginalized and backward section of the society from which most of the members belong.
- It helps in improving the quality of living by providing employment opportunities through micro-finance entrepreneurship. It improves the living standard, Health Care, birth control and literacy rates of the weaker sections of the society.
- It helps within the financial discipline because the members are encouraged to open savings bank accounts which a brief marginalized Savings and improvement in living conditions by spending on education, health, and more
- It increases the active participation within the democracy of the members and all other aspects of the government The weekend marginalized section of the society would be included within the government which might pave way for better roles and policies for his or her development and betterment
Why do we need to have SHGs?
To address issues at the ground level: India is a country with diversified culture, tradition, and historical antecedents, among other things. As a result, the government’s ability to handle socioeconomic problems on its own is limited. As a result, bringing together people who are dealing with similar issues could be a game-changer for the Indian economy. Thus, we need to have SHGs to cater to this requirement.
Related articles
Planning- Concept, Importance, Limitations, and Process
NATURE AND SIGNIFICANCE OF MANAGEMENT
Institutional weaknesses in Indian agriculture
Prepare CBSE Class 10 & CBSE Class 12 with our Animated Video lectures and Interactive Live Online Classes
Here at Takshila Learning, we provide School Online Classes from Preschool to Class 12 for all subjects. We provide the best online tuition classes for Class 1 to 12th Class and other classes that comprise Animated Video lectures and Live Online Classes that will help students to grasp concepts easily. We also provide Worksheets & Assignments, Doubt sessions, Free Encyclopedia, NCERT Solutions for Class 6 to 12th, and Exam Guru to monitor your progress, i.e., subject-wise and topic-wise. So now Enjoy E-Learning with Takshila Learning.
Learning is fun now!
Subscribe to our social channel.
Enroll today & Get Free Demo Class!
Call at 8800999280 / 8800999283 / 8800999284 fill the form for any other details:
0 responses on "Self help group and importance of self help groups (SHGS) in rural areas"