Jammu and Kashmir
NABARD, in its effort towards rural development, has sanctioned 1000 Self Help Groups (SHGs) Project for Kishtwar district involving grant assistance of Rs.70 lakh. This project will help in providing banking services to the rural people of Kishtwar, particularly women. Under the project, NABARD will provide grant assistance of Rs. 70 lakh to the Rural Artisan for formation and linkage of SHGs with banks. Self Help Group Bank Linkage Programme has been regarded as one of the most potential initiatives since independence for delivering financial services to the poor in a substantial manner. This will help the rural people in inculcating the saving habit by monthly saving a fixed amount as decided by the SHG. Over a period of time, bank will provide loan in the form of cash credit to the SHGs in the ratio of their savings. Out of the savings and loan amount the SHG member will be able to meet their small and emergent requirement. This will help the poor people to have access to the formal banking system with cheap credit as compared to money lenders. As the SHGs grow, the members will be able to take some economic activity to increase their income on a sustainable basis.
The project will be reviewed and monitoring regularly by constituting Project Implementation and Monitoring Committee in which NABARD, Lead bank, Banker and official from the Rural Artisan will be member. With the implementation of the project, about 5000 to 10,000 families will be benefitted and linked with the formal banking system.