The government, along with Nabard, is keen on the proliferation of SHGs, especially in the hilly districts of Himalayana region. Nabard has been supporting various partner agencies with grant assistance to promote and credit link SHGs to banks with the objective of increasing the stock of good quality SHGs. The approach has been to supplement the resources of such self help promoting institutions (SHPIs) which take up SHG promotion as an add on activity with promotional grants, a Nabard source told FE.
As per the revised guidelines, grant assistance has been revised to Rs 4,500 for SHGs of 15 to 20 members, from Rs 3,000 for 10 to 20 members. For hilly districts of the northeastern region, it has been increased to Rs 5,000 for SHGs of 5 members and above and for hilly districts of Himalayan region maximum of Rs 5,000 for SHGs of 5 members and above. A new category of tough district has been introduced wherein an assistance of Rs 6,000 for SHGs of 15 to 20 members would be provided.