Answer: SHGs are informal groups where people come together to overcome their common problems, to save money, share resources, and support each other. They are often formed by women who are marginalized or excluded from traditional financial institutions. SHGs can play a major role in promoting gender equality and empowerment in a number of ways.

 Self-help groups can promoting gender equality and empowerment:

• Economic empowerment: SHGs provide women with access to finance, training, and business development services, enabling them to start their own enterprises and generate income. This not only improves their economic status but also gives them greater decision-making power within their households and communities.

○        For example, in Rajasthan, the Mahila Kisan Sashaktikaran Pariyojana (MKSP) project has helped over 200,000 women farmers form SHGs and improve their income levels.

• Social empowerment: These groups provide a platform for women to speak up and participate in decision-making processes at the local level.

○        For instance, Kerala's Kudumbashree Mission empowers women through SHGs to combat alcoholism with campaigns, counseling, and collaborations.

• Increased political participation: SHGs can help women to become more involved in the political process by providing them with training in leadership and advocacy skills.

○        For example, in Kerala, the Kudumbashree project has helped over 300,000 women form SHGs and participate in local governance.

• Reduced violence against women: Self-help groups can provide a safe space for women to share their experiences of violence and to receive support from other women.
• Improved health and well-being

○        For example, in Odisha, the Mission Shakti project has helped SHGs set up community health centers, provide health insurance, and offer training programs in health and hygiene.

Major issues faced by SHG in achieving gender equity and gender empowerment:

• Social Barriers:
  • The prevailing patriarchal mindset in Indian society can lead to negative perceptions and biases towards women-led initiatives,
  • Geographical mobility: In the case of SHGs dominated by women, it is found that there is no stability of the units as many married women are not in a position to associate with the group due to the shift of their place of residence
  • Lack of Education and Awareness: Even though the authorities take measures for creating awareness among the group members about the schemes beneficial to them, still the majority of the group are unaware of the schemes of assistance offered to them.
• Limited institutional support: Inadequate training facilities, lack of Workshops for skill development and incentives for training.
• Financial Constraint: Due to the limited financial autonomy at home, women’s SHGs fail to augment their collateral corpus adequately. This makes banks reluctant to finance projects led by such SHGs.
• Limited market linkages: Low rural literacy hinders information gathering and effective product marketing. Additionally, SHGs face challenges in marketing due to digital illiteracy, limiting access to digital opportunities.

Addressing these challenges requires targeted interventions, capacity building, policy support, and resource allocation to maximize the impact of SHGs in empowering women and promoting gender equality.