|
The broad vision of the program is to enable the poor households in accessing adequate
formal credit at their doorsteps through their membership in SHGs. The objective
of the program: Consumption smoothening or even servicing previous high cost debts
Support existing livelihoods Finally, to implement Microcredit Plan (MCP), when
households reach a stage where they can assume a higher degree of risk. The SHG
movement in the Telangana started in 1998, built on the principles of thrift, self-help
and internal lending. The credit worthiness of these groups, which are otherwise
unbanked, having no collaterals, have been built on their group discipline, repayment
culture and accumulated corpus funds; and this resulted in SHG Bank linkage programme,
under which, SHGs are being provided with credit by service area banks as per Micro
Credit Plans of SHGs. Started in 2000, so far, the groups have availed bank loans
of over Rs.50 thousand crores.
|