Role of self-help groups through microfinance for women self-employment special reference to Nallur D.S. division.

Abstract

Women all over the world are engaged in a number of self-employment activities in order to improve their livelihoods. The usage of local resources, creation of employment opportunities, per capita income, national productivity and the increase of income are all at the background of such self-employment efforts. One drawback to carry forward self-employment pursuits, is the shortage of financial resources. This is remedied by micro financial resource building. This research studies the role of self-help groups in the provision of microfinancial resources. In the first place, the objectives of this include the identification of micro-financial institutions, the various self-help groups created by such institutions, recognizing the micro-Financial institutions and the activities of self-help groups in so far as their activities are concerned towards savings, provision of loan facilities and also finding out the problems encountered during such activities as well as providing the solutions to such problems. This descriptive research is based on primary and secondary data. For the purposes of this study, groups having female members with in Nallur Divisional Secretariat area have been selected. These groups are also found to be members of non-governmental organizations. They are engaged in various small scale enterprises. They also take part in group savings activities. When they obtain loans, they stand surety for one another. This procedure guarantees the repayment of loans, and also induces the habit of saving. However they have to face various problems such as insufficient income from their enterprises, shortage of funds, loan repayment, lack of marketing opportunities, depending on traditional activities and insufficient strengthening etc. The problems of these groups could be solved and their income increased, if the funds allocated by nongovernmental institutions are increased and the necessary strengthening offered, whereby their poverty could be reduced and their livelihoods improved.