NABARD Chairman says SHGs make women financially strong and self-sufficient.
National Bank for Agriculture and Rural Development’s (NABARD) Chairman GR Chintala said that self-help groups (SHGs) have been a key part of making women financially strong and self-sufficient.
During his visit to the Karnataka Vikas Grameena Bank (KVGB) in Dharwad, he spoke to the SHG members and said that the main reason SHGs were started was to free women from economic and social bonds. The goal of SHGs was to give women the skills they needed to make decisions on their own. He said that this could not be done without economic freedom.
Chintala asked the bankers to give loans to women below the poverty line without any restrictions. This would help the women’s economy grow. Also Read | APEDA, NABARD on pilot project to train 30 FPOs to increase agricultural exports.
Regional rural banks (RRBs) have made great progress in many ways, he said, and NABARD is closely watching their progress and giving them advice and help when they need it. Chintala said that RRBs are doing a good job of setting up and connecting SHGs and joint liability groups (JLGs) and taking care of microfinance issues.
Chairman of KVGB P Gopi Krishna talked about how well KVGB has done and how it helps the community. He also talked about the steps the bank has taken as part of the financial inclusion plan.
Agreement with Canara Bank
In the meantime, NABARD and Canara Bank signed a memorandum of understanding about the formation and linking of JLGs. Under this agreement, Canara Bank has to create and credit-link 2,510 JLGs in Karnataka.