Question

what is basic idea behind shgs for the poor explain in your own words ​

Answer 1

$\bf\large\underline\purple{Answer:-}$

➤ The basic idea behind the SHGs is meant to create self – employment opportunities for the poor. The SHGs help poor borrowers to overcome the problem of lack of collateral. They can get timely loans for a variety of purposes and at a reasonable interest rate.

❒_______________________

Answer 2

Answer:

• SHG's contain a group of women.(Usually 15-20 members).
• Each member can contribute about Rs 25-100 depending on the nature of the SHG.
• Loans are given in a SHG with a reasonable interest rate.
• If a member takes a loan and does not pay the loan back in time,the member is watched closely by the group members until the loan is repaid.
• Due to this,the banks will be lending to give loans to the group without any collateral.
• The group can also open a bank account under the name of the group.