What is self help group? elaborate in 100 words and elaborate it's functions and advantages.(Class 10)(Money & Credit)(Will mark the best answer brainliest)
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Answer:
What are self-help groups?
Self Help Groups (SHGs) are informal groups that consist of people who face similar problems. These people come together to form a group to overcome their common problems to improve their standard of living. They are mostly from a similar socio-economic background and are involved in undertaking small savings amongst themselves in a bank. This amount acts as the fund for the SHGs and is used to provide loans to its members. It is a vital tool to alleviate people from below poverty line and improve social status through the promotion of self-employment.
The advantages of SHGs are as follows:
Combating social evils: The SHGs play a crucial role in overcoming social evils like alcoholism, drug addiction, gambling, etc. Women empowerment: Women SHGs make its members independent from social constraints and allow them to make independent decisions. They can even actively participate in the gram sabha. Active participation in democracy: SHGs can actively participate in the aspects of local governance. This would mean the inclusion of weaker and marginalised sections of the society in the local governance. Increase employment opportunities in rural
What are the limitations of SHGs?
Too much dependence on government and NGOs: Many SHGs are dependent on the promoter agencies for their survival. In case these agencies withdraw their support, the SHGs are vulnerable to downfall. Lacks qualified facilitator: The facilitators do not have professional training with regards to organising SHGs. Lacks up-gradation of skills: Most SHGs are not making use of new technological innovations and skills. This is because there is limited awareness with regards to new technologies and they do not have the necessary skills to make use of the same. Furthermo