EMPOWERING WOMEN, BUILDING ECONOMIES: A LOOK AT SELF-HELP GROUPS, BANK HEALTH, AND THE PATHWAY TO SELF-RELIANCE.

Abstract

This study investigates the relationship between Self-Help Groups (SHGs), women's participation, bank health, and their combined contribution to building a self-reliant economy. Analysing data from India (2011-2022), the research reveals a significant growth in SHGs, particularly those with high women's participation. This expansion coincides with increased loan disbursements, highlighting the role of SHGs in financial inclusion. However, rising Non-Performing Assets (NPAs) point towards potential financial stress within SHGs. Regression analysis suggests that while the mere presence of SHGs isn't statistically significant for economic outcomes, factors like loan distribution and women's participation rate are positively correlated. Interestingly, the impact of loan outstanding on economic outcomes appears insignificant. The positive association between NPAs and economic outcomes presents a complex scenario, warranting further investigation into the financial health of SHGs. Overall, the findings emphasize the multifaceted approach needed to achieve sustainable women's empowerment and economic self-reliance. It underscores the importance of promoting women's active participation in SHGs, alongside robust banking practices and responsible management of NPAs. This holistic approach can contribute significantly to building a self-reliant economy.