Home India National Bank For Agriculture and Rural Development Parliament Question: Credit Facility to Women Self Help Grou...
Date: 2025-08-05 Category: Not Applicable State: Union Government Country: India

Parliament Question: Credit Facility to Women Self Help Groups

Issued by National Bank For Agriculture and Rural Development · Not Applicable

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Executive Summary & Key Takeaways

Executive Summary: This document addresses a Lok Sabha question regarding credit facilities for Women Self Help Groups (SHGs) under the Deendayal Antyodaya Yojana-National Rural Livelihoods Mission (DAY-NRLM). It details the loans disbursed, outstanding amounts, steps to enhance credit access for the rural poor, and Non-Performing Assets (NPAs) percentages. Data is current as of August 1, 2025, with cumulative loan disbursement information since the inception of DAY-NRLM. Key Points / Main Content: * **Loan Disbursement and Outstanding Amounts:** * Cumulative loans disbursed to women SHGs since DAY-NRLM inception: Rs. 11,07,479.60 crores. * Outstanding loan amount: Rs. 2,99,833.35 crores. * 22,632 Women SHGs in Shahdol Lok Sabha Constituency have benefitted and have current loan outstanding. * **Government Steps to Facilitate Credit Access:** * Engagement with financial regulators and commercial banks through workshops and forums. * RBI issues a Master Circular on Women SHGs for Public Sector Banks, Private Banks, and Small Financing Banks annually. * NABARD issues similar circulars for Regional Rural Banks (RRBs) and Cooperative banks. * Central Level Coordination Committee meeting held annually with Banks, RBI, NABARD, and other Ministries/Departments. * Consultation meetings on SHG Bank Linkage are held with Public Sector Banks, Private Banks Chairpersons of RRBs, Co operative Banks and SRLMs. * Dedicated staff at the district level and Bank Sakhis at the branch level facilitate loan applications and Community Based Repayment Mechanism (CBRM). * "NRLM SHG-Bank Linkage Portal" (banklinkage.lokos.in) monitors SHG-Bank Linkage and repayment, with data sourced from banks' Core Banking Solution (CBS). * Training is provided to bankers for capacity building and scheme implementation. * **Specific Steps in Chhattisgarh:** * Annual State Level Bankers Committee (SLBC) meetings set credit linkage targets. * Orientation training provided to bankers, with 1,536 bankers/branch officials trained in FY 2025-26. * Community Based Recovery Mechanism is active, supported by 1,482 Bank Sakhis. * **Enhancing Credit Access:** * Loans up to Rs. 3 lakh: Concessional interest rate of 7% per annum. * Loans above Rs. 3 lakh and up to Rs. 5 lakh: Interest rate at 1 year MCLR or other external benchmark-based lending rate or 10% per annum, whichever is lower. * RBI and NABARD issue master circulars with detailed financing instructions. * **Non-Performing Assets (NPAs):** * NPA for Sidhi Lok Sabha Constituency (Madhya Pradesh): 4.30%. * State-wise NPA details for loans to women SHGs are provided in the annexure. * Total NPA: 1.76% Impact Analysis: * **Women Self Help Groups (SHGs):** * *Impact:* Improved access to credit facilities and concessional interest rates to promote livelihoods. * *Action Required:* Utilize available credit facilities effectively and maintain regular loan repayments. * **Banks (Public Sector, Private, Regional Rural, Cooperative, and Small Finance):** * *Impact:* Required to disburse loans to women SHGs under DAY-NRLM and report data to the NRLM SHG-Bank Linkage Portal. * *Action Required:* Implement RBI and NABARD guidelines, participate in coordination meetings, train staff, and ensure data reporting. * **Reserve Bank of India (RBI) and National Bank for Agriculture and Rural Development (NABARD):** * *Impact:* Responsible for issuing master circulars and guidelines for financing women SHGs. * *Action Required:* Continue to issue and update circulars with detailed instructions for banks. * **Ministry of Rural Development (Department of Rural Development):** * *Impact:* Oversees the DAY-NRLM program and monitors SHG-Bank Linkage. * *Action Required:* Facilitate coordination between banks, RBI, NABARD, and SHGs, and monitor the progress of the scheme. * **State Rural Livelihood Missions (SRLMs):** * *Impact:* Responsible for implementing DAY-NRLM at the state level. * *Action Required:* Participate in consultation meetings, train bankers, and support SHGs in accessing credit.

Key Entities Referenced

Deendayal Antyodaya Yojana-National Rural Livelihoods Mission: A national program aimed at poverty reduction through promotion of self-managed self-help groups (SHGs). Self Help Groups: Self-help groups are informal associations of people who come together to address their common problems through self-help and mutual help. Reserve Bank of India: The central bank of India, plays a role in regulating and providing guidelines for banks' lending to SHGs. National Bank for Agriculture and Rural Development: An apex development finance institution in India, facilitates credit to SHGs through Regional Rural Banks and Cooperative Banks. Chhattisgarh: A state in India, specifically mentioned for steps taken to facilitate access to credit for the rural poor. Madhya Pradesh: A state in India, Specifically mentioned as state wise details of percentage of NPA of the loan disbursed to women SHGs. Shahdol Lok Sabha Constituency: A Lok Sabha constituency where 22,632 Women Self Help Groups have benefitted and have a current loan outstanding. Sidhi Lok Sabha Constituency: A Lok Sabha constituency in Madhya Pradesh, with a Non-Performing Assets (NPA) percentage of 4.30.
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O.I.H. GOVERNMENT OF INDIA MINISTRY OF RURAL DEVELOPMENT DEPARTMENT OF RURAL DEVELOPMENT LOK SABHA UNSTARRED QUESTION NO. 2551 ANSWERED ON 05/08/2025 CREDIT FACILITY TO WOMEN SELF HELP GROUPS 2551. Dr. Rajesh Mishra: Smt. KamleshJangde: Smt. Himadri Singh: Shri Pratap Chandra Sarangi: Dr. Vinod Kumar Bind: Smt. Mala RajyaLaxmi Shah: Shri P C Mohan: Shri Bhojraj Nag: Shri VishweshwarHegdeKageri: Smt. ShobhanabenMahendrasinhBaraiya: Shri NabaCharanMajhi: Will the Minister of RURAL DEVELOPMENT be pleased to state: (a) the details of loans disbursed by banks to Self-Help Groups and the outstanding amount of loans till date; (b) the number of Self-Help Groups benefitted therefrom in ShahdolLokSabha Constituency; (c) the steps taken by the Government to facilitate access to credit for the rural poor so far, State-wise particularly in Chhattisgarh; (d) the steps taken by the Government to enhance credit access for the rural poor and the instructions issued to banks for providing credit under this scheme; and (e) the details of percentage of Non-Performing Assets (NPAs) of bank loans disbursed and extended to Self-Help Groups, State- wise including SidhiLokSabha Constituency of Madhya Pradesh? Page 1 of 5ANSWER MINISTER OF STATE IN THE MINISTRY OF RURAL DEVELOPMENT (DR. CHANDRA SEKHAR PEMMASANI) (a): Cumulative loans disbursed by Banks to women Self Help Groups since inception of the DeendayalAntyodayaYojana – National Rural Livelihoods Mission (DAY-NRLM) is Rs. 11,07,479.60crores and the outstanding amount is Rs. 2,99,833.35 crores. (b): In the ShahdolLokSabha Constituency, a total of 22,632 Women Self Help Groups have benefitted/ have a current loan outstanding. (c): Following steps have been taken by the Government to facilitate and enhance access to credit for the rural poor: 1. The Mission has been engaged with financial regulators and commercial banks, at strategic as well as operational level through conduct of several workshops, consultative forums, and capacity building programs these include: - i. Every year, on the request of the Ministry, a Master Circular on Women Self Help Groups is issued by Reserve Bank of India for Public Sector Banks/Private Banks and Small Financing Banks. Similar circular is issued by the National Bank for Agriculture and Rural Development (NABARD) for Regional Rural Banks (RRBs) and Co-operative banks. ii. Every year under the Chairpersonship of Secretary Rural Development a Central Level Coordination Committee meeting is held with Banks, RBI, NABARD and other Ministries/Departments. iii. Consultation meeting on SHG Bank Linkage helds with Public Sector Banks/Private Banks/ Chairpersons of RRBs, Co- operative Banks and SRLMs from time to time. iv. Dedicated staff are placed at district level, besides positioning bank Sakhi at branch level to facilitate submission of loan applications which includes review, enhancements and following up. In addition, Community Based Repayment Mechanism (CBRM) has been instituted to ensure regular repayment of loans. Page 2 of 5v. To monitor the progress of SHG-Bank Linkage and to keep a track of repayment of bank loan by SHGs, a dedicated portal "NRLM SHG-Bank Linkage Portal" (banklinkage.lokos.in) has been developed. The portal sources all its data directly from Core Banking solution (CBS) of banks. All Banks lending to SHGs are sharing data with the portal on monthly basis. vi. Training/orientation to Bankers is provided for their capacity building and implementation of the Scheme. In Chhattisgarh following steps are taken by the Government to facilitate access to credit for the rural poor: i. The meeting with the State Level Bankers Committee (SLBC) is held every year to decide the targets for Credit linkage. Consultation meetings with Banks are also held on SHG-Bank Linkages. ii. Orientation/training to Bankers is provided every year to keep them updated on various provisions of SHG Bank Linkage and facility of Bank Sakhi is also provided. 1,536 Bankers/Branch Officials have been provided training during the financial year 2025-26 in Chhattisgarh. iii. Community Based Recovery Mechanism has been activated in the branch which facilitates credit linkage and loan repayment. To facilitate this, 1,482 bank Sakhi have been positioned in the branches of the banks in Chhattisgarh. (d): To enhance credit access the banks provide credit to women SHGs under DAY-NRLM at concessional rate of interest as per details below: i. For loans up to ₹3 lakh under the scheme, banks extend credit at a concessional interest rate of 7% per annum. ii. For loans above ₹3 lakh and up to ₹5 lakh under the scheme, banks extend credit at interest rate equivalent to their 1 year- MCLR or any other external benchmark-based lending rate or 10% per annum, whichever is lower Page 3 of 5Reserve Bank of India and NABARD issues master circular containing detailed instructions for financing to women SHGs under DAY-NRLM and copy of master circular issued by RBI is available in the link: https://www.rbi.org.in/Scripts/BS_ViewMasCirculardetails.aspx?id=1 2806 and circular issued by NABARD is available in the link: https://www.nabard.org/CircularPage.aspx?cid=504&id=17459. (e): The present percentage of Non-Performing Assets (NPA) of SidhiLokSabha Constituency in Madhya Pradesh is 4.30%. State wise details of percentage of NPA of the loan disbursed to women SHGs are given at Annexure. ***** Page 4 of 5ANNEXURE ANNEXURE REFERRED TO IN REPLY OF PART (e) OF LOK SABHA UNSTARRED QUESTION NO. 2551 TO BE ANSWERED ON 05.08.2025 REGARDING “CREDIT FACILITY TO WOMEN SELF HELP GROUPS”. S.No Name of States & UTs % NPA as on 01.08.2025 1 Andaman & Nicobar Islands 3.18 2 Andhra Pradesh 0.48 3 Arunachal Pradesh 2.74 4 Assam 0.95 5 Bihar 1.6 6 Chhattisgarh 2.47 7 Goa 2.04 8 Gujarat 4.3 9 Haryana 7.88 10 Himachal Pradesh 1.91 11 Jammu & Kashmir 1.31 12 Jharkhand 0.96 13 Karnataka 2.79 14 Kerala 3.53 15 Ladakh 0 16 Lakshadweep 0 17 Madhya Pradesh 2.35 18 Maharashtra 2.78 19 Manipur 4.7 20 Meghalaya 5.75 21 Mizoram 4.83 22 Nagaland 2.27 23 Odisha 1.36 24 Puducherry 5.2 25 Punjab 11.62 26 Rajasthan 2.83 27 Sikkim 0.49 28 Tamil Nadu 4.16 29 Telangana 2.27 Dadra and Nagar Haveli and Daman 30 and Diu 3.49 31 Tripura 1.78 32 Uttar Pradesh 2.6 33 Uttarakhand 3.22 34 West Bengal 1.26 35 Others 0.43 Total 1.76 ***** Page 5 of 5

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