An analysis on progress of microfinance under shg-bank linkage programme in India

In the development paradigm, micro-finance has evolved as a need-based programme for women empowerment and alleviation of poverty. Micro-finance has become one of the most effective interventions for economic empowerment of the poor. The main objective of this paper is to discuss the progress of microfinance under SHG-Bank linkage programme in India; the aim of the microfinance programme is to provide income generating activity by reducing the unemployment and to eradicate poverty. NABARD provides capital support to various MFIs which in turn provides financial assistance to SHG'S. Further, this study also helps to know the present status and operating system of SHGs (Self Help Groups) for mobilization of saving, loans disbursement and outstanding loans, delivery of credit to the needy, establishing linkage with banks and examines the social benefits derived by the members. Secondary data was gathered from various sources.