Impact Assessment of Self-Help Groups towards Rural Development: A Case Study of Madhya Pradesh, India

Abstract

This article is based on primary and secondary information and examines the premise that Self Help Groups (SHGs) have significant positive impacts on rural development and women's empowerment in Madhya Pradesh, India. The context for this paper derives from the current emphasis on microfinance in rural finance discourse and its increasing importance as a development tool in the fight against poverty. The methodology of the present study relied on primary data collected from 1,500 SHG members through structured surveys and interviews in Nalchha, Tirla, and Umarban blocks of Dhar District, Madhya Pradesh, supplemented by review of relevant literature. The paper concludes that SHGs play a vital role in livelihood development, women's empowerment, and community transformation when supported with appropriate training and enterprise development interventions.