intensify self help groups (shg): minister of rural development

Thursday, November 18, 2004

Dr. Raghuvansh Prasad Singh, Minister of Rural Development has emphasized on intensifying the Self Help Group Movement in the country. He was reviewing the performance of Swarnjayanti Gram Swarozgar Yojana (SGSY).The Minister has directed to undertake close monitoring of the functioning of the DRDAs in order to ensure that large number of Self Help Groups are formed and empowered. In this process, facilitators/NGOs should be involved in a big way. It has been emphasized that in order to empower the Self Help Groups, a system of monthly coordination at the branch level with the SHG members should be introduced.

In the year 2004-05, as against the budgetary allocation of Rs. 1,000 crores, a sum of Rs. 523.49 crores has already been released. The DRDAs has already utilized Rs.377.23 crores.

Under the programme, so far 18.53 lakh Self Help Groups have been formed out which 9.96 lakh Groups have passed Grade I and 4.6 lakh has passed Grade II. 1.99 lakh Groups have already taken up the economic activity. Thus, with the movement of Self Help Groups approximately 20 lakhs rural families have already taken up economic activity under SGSY. The Minister has directed that by the end of this financial year, all those Self Help Groups which has passed Grade I should take up the economic activity. There are about 8 lakh more Groups which has passed Grade I. When all these Groups take up the economic activity then about 80 lakh families would come under the economic activity arena. Thus by the end of the financial year, about 1 crore families would take up economic activity under SHG Movement.

In this scheme, individuals/swarozgaris have also been assisted. So far 49.21 lakh swarozgaris has been assisted out which 11.05 lakh are Scheduled Castes and 7.16 lakhs are Scheduled Tribes beneficiaries. Women swarozgaris amount to 22.2 lakhs.

In the current financial year, the total credit target of all the banks under SGSY is Rs. 2507.67 crore out of which the banks have dispersed a credit of Rs. 48.43 crores. In different banks, across the country, 2,60,299 loan applications are pending for sanction. It has also been noticed during the review that there are large number of bank branches in the country which have not dispersed even a single case in this financial year. The Minister has directed to collect branch-wise information from all the DRDAs about their performance under SGSY. The Minister has also directed that the non-cooperating attitude of certain banks is a matter of grave concern and Ministry should take appropriate steps to get rid of this problem.

Under SGSY, the emphasis has been laid down on imparting skill upgradation training to the unemployed rural youths in a big way. A Task Force, under the Chairmanship of Additional Secretary, has been constituted to work out the details of this proposed scheme. It is being planned to provide training to one crore people in a year so as to ensure their self-employment.

With a view to bring families above poverty line, the Ministry has sanctioned 150 Special Projects to different DRDAs in the country. The performance of implementation of the Special Projects have not been found satisfactory. The Minister has accordingly directed that the concerned implementing agencies should be directed to take up the implementation effectively and within the prescribed time-frame. The Minister has also emphasized on creation of the infrastructure for the Self Help Groups in the rural areas particularly strengthening of rural markets. Integration of Self Help Groups Movement with various other social service programmes have also been highlighted.