Financial Inclusion in India – A Study on Bank Financing to Self Help Groups in Warangal District, Telangana State

Abstract

The Self Help Groups have been a revolution in India.  The emergence of SHGs in the country has lead to a contribution to the economic prosperity and growth of marginalized and weaker sections.  Under Financial inclusion, the government has taken an initiative to make the SHGs to avail the access to banking services and this has benefited many SHG groups at state and mandal level to avail the financial benefits in the form of loan assistance for empowering themselves.  In this study, a detailed evaluation is made on the achievement of financial inclusion in India further, the status of SHGs under bank linkage in the state of Telangana and in particular to Warangal District (including Warangal Rural and Warangal Urban districts).  Further, the support of various banks towards loan disbursal in the district is also been evaluated in the study.  The study is based on the report of NRLM, SERP, MEPMA and Socio Economic Outlook reports.