What is the working of SHG(self help group)????????
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Answers
A self-help group (SHG) is a financial intermediary committee usually composed of 10–20 local women or men. Most self-help groups are located in India, though SHGs can be found in other countries, especially in South Asia and Southeast Asia. SHG is nothing but a group of people who are on daily wages, they form a group and from that group one person collects the money and gives the money to the person who is in need.
Members also make small regular savings contributions over a few months until there is enough money in the group to begin lending. Funds may then be lent back to the members or to others in the village for any purpose. In India, many SHGs are 'linked' to banks for the delivery of micro-credit.
Long answer
A typical Self help groups consist of 15 to 20 members who belong to the same community and neighborhood.they meet and save money periodically savings per each carts from rupees 15 to the persons ability to save .by this system many poor people get their help by taking loans but have to pay a small interest.