Self-Help Groups (SHGs) in India
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Questions and Answers

What is the purpose of forming SHGs?

  • To generate an attractive volume of deposits
  • To build solidarity among poor women (correct)
  • To act on issues related to health and nutrition
  • To reduce bank transaction costs
  • How many members are typically in an SHG?

  • 5-10
  • 10-15
  • 15-20
  • 20-25 (correct)
  • What is the 'SHG Bank Linkage' program?

  • A program to link SHGs to banks (correct)
  • A program to provide loans to SHGs
  • A program to provide financial stability to SHGs
  • A program to provide training to SHG members
  • Study Notes

    • SHGs are community-based groups with 10-25 members who pool their resources to become financially stable.
    • SHGs offer poor women a platform for building solidarity.
    • SHGs allow women to come together and act on issues related to their own lives, including health, nutrition, governance and gender justice.
    • Many SHGs in India have borrowed money from banks under the 'SHG Bank Linkage' program.
    • The advantages of financing through SHGs include the reduction of bank transaction costs and the generation of an attractive volume of deposits.

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    Description

    Learn about the concept and advantages of Self-Help Groups (SHGs) in India, which provide a platform for poor women to build solidarity, address issues related to their lives, and achieve financial stability through community-based initiatives like the 'SHG Bank Linkage' program.

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