This document discusses the sustainability of self-help groups (SHGs) in three key areas: parameters of sustainability, dimensions of sustainability, and policy and implementation level changes needed. The parameters include long-term continuation owned by members, adoption of systems, scaling up, partnerships, multiple products/services, financial self-sufficiency, and meeting member needs/demands. The dimensions are institutional, financial, and developmental. Policy changes proposed include not requiring individual accounts and encouraging development-oriented SHG federations. Implementation changes center around federations not engaging in lending, ensuring similar member socioeconomic status, strengthening NGO and MIS systems, and building community capacity.

1. SUSTAINABILITY OF SHGS
T U S H A R K R IS H N A

2. PARAMETERS OF SUSTAINABILITY
• Institution continuation – Long term.
• Owned, controlled and managed by People.
• Pucca system and adoption of systems.
• Scaling up for sustenance
• Established partnership with Mainstream
• Multiple products and services depending upon the
needs.
• Meeting its own expense.
• Fulfilling the developmental and demands of the
members.
• Identity at higher level.

3. DIMENSIONS OF SUSTAINABILITY
Institutional
Financial
Developmental

4. POLICY LEVEL REQUIREMENT
Regulatory bodies like RBI or NABARD shall not
insist on individual account when they are
already part of Financial inclusion through
SHGs.
Development oriented SHG Federations should
be encouraged by banks and funding
agencies.
No subsidies.

5. IMPLEMENTATION LEVEL CHANGES
FOR SUSTAINABILITY OF SHGS
Federations – lending activity discouraged
Members of SHGs should have same socio economic
status
NGOs to be in programme mode
NGO competencies assessment
Strengthened MIS system

6. IMPLEMENTATION LEVEL CHANGES
FOR SUSTAINABILITY OF SHGS
SHG is a business proposition not a charity
proposition
Capacity building of NGOs and leaders of people
institution
Banks should give more focus for SHGs rather than
MCIs.
Capacity of the Community to be built up to the extent
that they are able to take up their own issues.

7. IMPLEMENTATION LEVEL CHANGES
FOR SUSTAINABILITY OF SHGS
In the regions where the movement have not picked up
to the desired level, Development programmes
can be routed through SHGs.
SHG is a temple at the grassroot level.
Decision of the SHG at each level.

8. THANK YOU