4.6. Socio-Cultural Hurdles in Penetration of SHGs in Rural Areas

There has been uneven distribution in the spread of SHGs in India. Socio-cultural factors along with government support and presence of NGOs have been major reasons for that. In March 2001, 71% of the linked SHG, were from southern region consisting of Andhra Pradesh, Karnataka, Kerala and Tamil Naidu.

♤ While poor performing states are also those states which have high incidence of poverty like UP and Bihar.

♤ These are also the states where society is deeply entrenched in patriarchy with limited financial and social role for women.

♤ Also the spirit of entrepreneurship is discouraged in a feudal society. The traditional society dictate strict role for male and female members with little scope for independent decision making and economic freedom.

♤ Due to family responsibilities, majority of the women members cannot give their attention to their enterprises.

♤ One of the major hurdles in lack of support from family members.

♤ Due to male dominated society, women members could not uplift their business followed by lack of social mobility.

♤ There is no stability of the units as many married women are not in a position to associate with the group due to the shift of their place of residence.

♤ In many SHGs strong members try to earn a major share of the profit of the group, by exploiting the ignorance and illiterate members.