Self Help Group

Introduction

A Self Help Group (SHG) is a small, voluntary association of people, often women, who come together to address common problems and improve their socio-economic conditions through mutual help and savings.

Key Features

  • Usually comprises 10–20 members
  • Members contribute small savings regularly
  • Provides loans to members at low interest
  • Promotes empowerment and self-reliance

Example

In India, SHGs have empowered rural women to start small businesses and gain financial independence.

Conclusion

SHGs are powerful tools for poverty alleviation, community development, and women empowerment, especially in rural and semi-urban areas.

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