A STUDY ON THE PERFORMANCE OF MICRO FINANCE FOR SHG IN INDIA

Abstract

Microfinance is the provision of financial services to the underprivileged, who are typically viewed as being unbankable. The concept of microfinance movement was adopted and launched in India by the National Bank for Agricultural and Rural Development (NABARD). In contrast to microcredit, that provides tiny loans to borrowers, microfinance provides a wide range of financial services, such as savings accounts and insurance. The formal financial system in India is connected to lending to low-income families through two models: the SHG and MFI bank linkage programmes. Using secondary data, the current study is built. Data from the National Bank for Agricultural and Rural Development (NABARD) has been gathered that is pertinent. (Status of microfinance in India report). The goal of the current study is to evaluate how well India's microfinance industry is performing.