Role of Swaranjayanti Gram Swarozgar Yojana (SGSY) in Socio-Economic Development of Rural Punjab

Study revealed that economic self-independence and promotion of saving were the major purposes of the respondents while forming self-help groups (SHGs). Football making, dairy, tailoring etc. were the major activities started by the beneficiaries of the SGSY programme in the area under study. About half of the respondents faced problems in loan sanctioning procedure. VLWs, BDO officials and other concerned personnel were found the major recipients of bribe. Majority of the respondents had more access to the credit facility after joining the SHGs. Dependence on money lenders was reduced to 29% from 91% which indicates towards the positive role of SHGs in rural areas. Majority of them started saving between Rs.200-800 per month. Half of the sampled respondents were able to create assets under SGSY. However 1/4th of the respondents diverted the loan to some other purposes. Some of the problems such as excessive stress due to dual responsibility, too many formalities in the banking procedure, marketing problems and lack of training were felt by the respondents, yet beneficiaries of SGSY programme indicated toward economic and social betterment after joining the self-help groups.