What is the basic idea behind the SHGs for poor? Plz explain.
1.shgs are groups organised in rural areas.
2.rural poor,in particular women,organise into small SHGs and collect their savings.
-a typical shg has 15-20 members.
3.members can take small loans from the group itself to meet their needs.
-the group charges less intrest an these loans.
4.after a year or two the group becomes eligible to avail loans from the banks.
-the loan is meant to create self employment oppportunities for the members.