Female SHG members experienced a three-fold increase in income from FY19 to FY24
A recent study conducted by the State Bank of India’s Economic Research Department has revealed a threefold increase in income for female Self-Help Group (SHG) members during FY19-FY24. The report highlights a significant growth in the accounts of urban female SHG members, with the highest increase observed in the age group under 27 years.
With a total of 8.5 million SHGs comprising 9.21 crore members, the report emphasizes the rise of ‘Lakhpati Didis’ – agile women entrepreneurs. The bank-SHG linkage, now prevalent in 97.5 percent of SHGs, has been hailed as a game-changer after three decades, enabling credit accessibility and economic value addition for members.
The robust bank relationship has facilitated credit onboarding and financial support, leading to a tripling of income for female SHG members. The SHG portfolio of banks has now reached Rs 2 trillion, showcasing the impact of credit linkage, digital access, targeted policy measures, and entrepreneurial spirit on income growth.
Most female SHG members are aged between 35 to 50 years, with a median age of 43 years. The report highlights an overall increase in income for SHG members across rural and urban areas, with around 65 percent of rural members experiencing an upward movement in relative income from FY19 to FY24.
The study underscores the transformative impact of SHGs on female economic empowerment, reflecting the success of financial inclusion and support systems in fostering entrepreneurship.
