Micro Financing through Women Self- help Groups and Its Socio-Economic Impact A Case Study of Konkan Region of Maharastra

Abstract

Micro finance programmes have been receiving a considerable attention worldover for their potential to generate income and employment and alleviate poverty. Theexperience shows that the micro finance programme has a high degree of out reach towomen i.e. 82.67 per cent of the aggregate clients in India in 2010, 73 per cent in LatinAmerica, 70 per cent in Africa and 88 per cent in Asia. In India, National Bank forAgriculture and Rural Development (NABARD) sponsored SHG-Bank linkageprogramme is the fastly growing micro finance programme in the world covering 97million poor households as on 31st March, 2011.

The research paper was focused to find out whether micro finance reallycontributed to the socio-economic development of the group members? Out of 350Women groups promoted by Sadbhav Foundation, Raigarh district, Manav SadhanVikas, Kudal, Sindhudurga district and Matru Mandir, Ratnagiri district (Maharashtrastate, India ) 77 (22 per cent) were selected and 154 members were contacted.

After joining the groups, the monthly average income and savings of therespondents had shown increase by 133.73 per cent and 76.27 per cent respectively. Theconfidence level of the respondents had increasd to a great extent. They had reportedactive participation in socio economic activities. Overall personality index had showngrowth of 59.01 per cent. It was inferred that micro financing through women self helpgroups had brought a positive change in the lives of the members. The study concludedthat poor, discriminated and underprivileged women if join the groups, can come out ofpoverty. So, conducive environment is needed to be created in the country to give boostto women self-help groups.

Key words: Micro finance, Warm money, Social security, Empowerment