Socio-economic Empowerment of Women through Self Help Groups: An Empirical Study in Odisha, India

The past three decades have witnessed tremendous emphasis and policy support to the collectivization of women into self-help groups (SHG) for their socio-economic empowerment; consequently, there is a surge in the numbers of the SHGs in the country. The present study was undertaken in Khordha district of Odisha with 80 SHG women to reflect on the impact of being in SHG on incremental employment, income, expenditure, and savings. It also assessed how the decision-making ability of SHG members is influenced by different determinants. The constraints that challenge SHG were also evaluated. The majority of SHG members were able to get additional employment under different activities by SHG finance. All the members (100%) reported increased income after they join the SHGs. Gini ratio-a measurement of inequality has shown improvement from 0.489 to 0.154 after the women joined an SHG. An upward shift in expenditure has been observed as 85% of women after joining SHG expend more than INR 2000 compared to just 11.25% before they were part of the group. Before SHG inclusion, only 25% of women used to save INR 100 or more a month but post participation in SHG, 85.25% of members reported to have saved more than INR 100 every month. However even after joining SHG, both household and financial decision-making capacity is largely determined by education level of the women, age, the number is working days. Challenges in marketing products, competitive market environment, inadequate financial services, and lesser scope of business skilling opportunities are the major challenges, the SHGs face very often. A target-specific and well-directed supports from the government will act as an enabler for the sustainable growth of this SHG initiative.