Question

What is the importance of self-help groups (SHGS) in rural areas?

पर्याय

• SHGs are playing a significant role in self-employment by raising the level of income and standard of living for rural people.

• In this framework, one of the most vital aspects of rural self-employment is the formation of SHGs which is a valuable investment in human capital through training and capacity-building measures.

• The group members use collective wisdom and peer pressure to ensure appropriate use of fund and its timely repayment

• All of the above

Answer 1

All of the above

Explanation:

Micro-enterprises and SHGs are playing a vital role in self-employment by boosting the level of income and standard of living for rural people in order to transform the face of the socio-economic environment. In this context, the development of SHGs, which is a beneficial investment in human capital through training and capacity building initiatives, is one of the most important parts of rural self-employment. Rural India has been busy organising SHGs to start up micro-enterprises ranging from dairy to mechanised farming, weaving, poultry, food processing units, and mushroom cultivation. The members of the group employ collective expertise and peer pressure to guarantee that the funds are used appropriately and that they are repaid on time.