Ground realities of self help group – bank linkage programme: An empirical analysis

The Self Help Groups (SHGs) under Indian micro finance programme have become a vehicle to pursue diverse developmental agendas and even for the profit motive. Removal regional disparity in the implementation of the programme leads to target oriented approach which again considered as hindrance the qualitative growth of the movement. Several rating systems for micro-finance interventions and Self-Help Groups (SHGs) have been developed in the past which lacks uniformity. The present study differs from earlier studies as it covers twenty eight quality parameters to evaluate the quality of SHGs based on survey of literature. Further, this paper tries to access the grass root issues relating to quality assessment of SHGs and the normal course of functioning of SHGs in the study area. The study is undertaken in three development blocks of Nagaon Districts of Assam during 2010–11. It is observed that due to fast growing of the SHG-bank linkage programme, the quality of SHG has come under stress. Some of the factors affecting the quality of SHGs are the target oriented approach of the government in preparing group, inadequate incentive to NGO's for nurturing their groups etc.