SHG as Poverty Alliviation Tool: A Case Study of Mayurbahanj District

Abstract

A significant portion of the global population in low- and middle-income brackets faces challenges in accessing institutional credit and financial services. Consequently, the prevalence of rural poverty and unemployment continues to be a significant issue worldwide. Self-help groups could play an essential role in tackling poverty within this context. The idea that localized banking initiatives can alleviate poverty has led to the establishment of SHGs and microfinance institutions, which have significantly contributed to reducing global poverty levels. Particularly in India, collective microfinance programs focusing toward women have shown significant profitability. Currently, the analysis of SHG microfinance is underway to assess its effects on employment, income, and poverty levels. A comprehensive case study of SHG activities in Mayurbhanj would provide insights into how SHGs alleviate poverty in Mayurbhanj District of Odisha.  Additionally, this research will assist policymakers in developing tailored programs that boost SHG-based approaches in similar rural settings.