Over Rs 11 Lakh Crore In Loans Disbursed To Women Self-Help Groups By Banks: Minister

(MENAFN- IANS) New Delhi, July 30 (IANS) Loans worth over Rs 11 lakh crore have been disbursed to women self-help groups (SHGs) through formal financial institutions under the Deendayal Antyodaya Yojana–National Rural Livelihoods Mission (DAY-NRLM), Union Agriculture Minister Shivraj Singh Chouhan said on Wednesday.

This milestone reflects the central government's strong commitment under the leadership of Prime Minister Narendra Modi towards inclusive rural development, financial empowerment of women, and fostering self-reliance at the village level, he added.

Under the Ministry of Rural Development's DAY-NRLM, rural poor women across the country are strengthening their livelihoods through robust community institutions. Through SHGs, they are being provided collateral-free loans, interest subsidies, and other financial support, enabling them to start their own businesses and increase their incomes.

A repayment rate of over 98 per cent clearly demonstrates the initiative's credibility, discipline, and efficient management, said Chouhan.

Appreciating the banking community's support, Chouhan said that banking partners have played a remarkable role in turning the dreams of millions of rural women into reality. The tireless efforts of 'Bank Sakhis' have facilitated SHG-bank linkage and ensured timely loan repayment.

He further said that the main contribution of this banking partnership is the provision of easy loans to SHGs under the priority sector lending, along with accessible banking services for SHG members through simplified processes. The initiative also promotes Aadhaar and mobile seeding of bank accounts and enhances financial literacy.

The repayment systems are being strengthened in the country. 'Bank Sakhis' are increasingly assisting with transactions, loan applications, and documentations, as well as creating awareness about insurance, pensions, and other financial schemes.

Moreover, the Community Based Repayment Mechanism (CBRM) is being fortified to ensure timely loan recovery under this significant programme.

The central government initiatives like DAY-NRLM and 'Lakhpati Didi' are transforming the economic status of millions of women in rural India, he mentioned.

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