Self-Help Groups (SHGs) have emerged as one of
the major strategies in group formation, bank linkages and many have focused on
skill development through income generation activities, which to a large extent
inculcates thrift and credit management among the economically deprived section
For many SHGs, who consider accessing the mainstream banking activities as a heavy task, banks have established linkages with SHGs through provision of micro finance commonly known as financial inclusion to promote the livelihood activities of members.
Financial inclusion is considered to be one of the effective medium for empowerment of women. Financial inclusion established by the banks with the SHGs not only renders credit support but also savings and other services.
Our facilitations with bankers like NABARD Financial Services (NABFINS) and ICICI has developed the SHG - Bank Linkage Programme and has contributed much towards financial inclusion among our Self Help Groups. SHGs in our blocks – Musiri, Manaparai and Corporation which were referred to nationalized banks during the last the past years have helped them avail loans to the tune of Rs.1,17,84,000/- through NABFINS Financial Services and Rs.8,10,54,100/- through ICICI Bank Limited. Around 458 Self Help Groups with 5952 members have benefited through financial inclusion. Members use these loans to initiate Income generation activities thereby providing them the opportunity to help break the cycle of poverty