Ensemble of Self Help Groups, now ~8.5 million strong and having ~9.21 crore members is furthering a revolution whose first credible offering can be seen in the ever-swelling proportion of Lakhpati Didis, agile women entrepreneurs in a uniquely Indian way.
According to a latest report by the State Bank of India (SBI), female SHG members’ accounts have shown an increase in income by 3 times during FY19-FY24.
The Lakhpati Didi program, implemented by the Ministry of Rural Development, Government of India, aims to catalyze economic empowerment and financial independence among women in rural areas.
A Lakhpati Didi is a Self-Help Group member who earns an annual household income of Rupees One Lakh (₹1,00,000) or more. This income is calculated for at least four agricultural seasons and/or business cycles, with an average monthly income exceeding Rupees Ten Thousand (₹10,000), so that it is sustainable.
Across strata of states, the catch-up played by other ‘aspirational’ states, besides the champion states like Andhra Pradesh and Telangana which are the leaders in SHGs, is making the playbook enticing and turning the SHG phenomenon into a sweeping revolution.
Data shows Southern States where the SHG movement first started alone do not have Lakhpati Didis. Females of Uttarakhand, Punjab, Gujarat, Odisha, Bihar, too are benefiting from SHGs. SHG is now a mass movement, the report said.
As per the data collated by SBI, female SHG members of Haryana, MP, West Bengal, Karnataka and Jharkhand are expected to cross annual income of Rs 1 lakhs in 1 year of Lakhpati Didis. Female SHG members of UP, Maharashtra, Chhattisgarh, and Rajasthan may take 2 years to earn an annual income of Rs 1 lakhs.
It also shows that out of top 20 districts with highest avg credit income of Female SHG Members, 15 are rural districts.
With the rise of income of female SHG members, rural female Labour Force Participation Rate (all ages) is also rising.
“This not so surreptitious revolution of SHGs signifies adding new realms to ‘Of the women, By the Women But for the NATION’ mantra is helping in computing women’s share in contribution to GVA / economic output through a formalization drive that captures the increasing share of women in formal sector as evidenced through increasing female LFPR,” the report said.
Mascots of new Bharat- Lakhpati Didis
Celebrating the International Women’s Day, Prime Minister Narendra Modi highlighted the transformative impact of the Lakhpati Didi Yojana, empowering women across the nation since its initiation. Underscoring their contribution as a robust pillar for the development of Viksit Bharat, he also emphasized the pivotal role of women associated with Self Help Groups
In a post on X, PM Modi said, “Lakhpati Didi Yojana is becoming a major medium to empower women across the country. Women associated with self-help groups are a strong link in building a developed India”.
Also Read: FM bullish on women empowerment through entrepreneurship, schemes like ‘Lakhpati Didi’
In the interim budget of 2024, Finance Minister Nirmala Sitharaman had also pointed out how 83 lakh SHGs, comprising 9 crore women, are reshaping the rural socio-economic landscape by fostering empowerment and self-reliance.
“Their success has assisted nearly one crore women to become Lakhpati Didis already. They are an inspiration to others. Their achievements will be recognised by honouring them,” she said.
Buoyed by the success, it was decided on 01 February, 2024 to enhance the target of lakhpati didi yojana from 2 crore to 3 crore women.
