Volume : 6, Issue : 3, March - 2017

Cashless economy- The demand of the day

K. Sowmya

Abstract :

Self help groups enhance the equality of the status of women as participant and  decision maker in the democratic, economic, social and cultural spheres of life.  The basic principles of the SHGs are group approach, mutual trust, organisation of small and manageable groups, group cohesiveness, spirit of thrift,  demand based lending, collateral free loan, peer group pressure, skill training, capacity building and empowerment.  At present, 1.40 lakh groups are functioning with 23.83 lakh members.  It is observed that, SHGs are suffering due to lack of management skill, training, marketing, availing financial assistance, government support etc.  Keeping this in mind,  the present study is carried out to examine the efficacy of SHGs in the study area. It is found that 85 (34%) respondents have completed only primary education. It is found that 140(56%) respondents monthly income is between Rs.10,001 and  Rs.15,000. Hence, it is suggested that informal groups can be constituted by themselves to create a reliable and potential source of income  to  enhance the earning capacity of  scheduled caste women in SHGs. It is concluded that the formation of Self-Help Groups is “not ultimately a micro-credit project but an empowerment process”.