Analyzing the Relationship Between Shg and Micro Finance

Abstract

Micro-finance has developed as a need-based program for empowering women and reducing poverty as part of the development paradigm. One of the most successful strategies for improving the lives of the underprivileged via increased economic opportunity is microfinance. To reduce unemployment and end poverty, microfinance programs like the one discussed in this article attempt to help people start small businesses and start earning an income right away. To help small and medium-sized enterprises (SHGs), NABARD funds several MFIs. In order to help the world's poorest people and give them a better chance to survive in today's uncertain economy, India recognized the need of a poverty reduction program that used microfinance. Over 26 percent of India's population lives in rural poverty, according to the country's economic data, making it a top priority for the government and society at large to find solutions.