expand S.H.G and write it's importance
Answers
Answer:
the full form is self help groups
Explanation:
its importance is
SHG’s help in pooling the savings of the members, who are poor people
Members can get timely loans for a variety of purposes
They get loan at a reasonable rate of interest.
It helps borrowers to overcome the problem of lack of collateral and documentation.
It saves them from exploitation of the money lenders.
This interest income becomes an extra source of income of the members
Answer:
Meaning of Self-Help Group (SHG):
SHG is a holistic programme of micro-enterprises covering all aspects of self-employment, organization of the rural poor into self Help groups and their capacity building, planning of activity clusters, infrastructure build up, technology, credit and marketing.
It lays emphasis on activity clusters based on the resources and the occupational skills of the people and availability of markets.
ADVERTISEMENTS:
Self-Help Group refers to self-governed, peer controlled, informal group of people with same socio-economic background and having a desire to collectively perform common purposes. Here poor people voluntarily come together to save whatever amount they can save conveniently out of their earnings, to mutually agree to contribute to a common fund and to lend to the members for meeting their productive and emergent needs.