A Project on

WOMEN SAVING SCHEME

Presentation by Mr.

Group members
Mr.
Ms. N.Nandini

WOMEN SAVING SCHEME

When we do the best we can, we never know what miracle is wrought

in the life of another. - Helen Keller

in our life, or

Introduction
-

It is a group of 10-20 members, usually local women. SHGs have been traditionally
supported by NGOs or by government agencies. Members of the group make small
regular savings contributions over a few months to collect enough capital which is then
used for lending to the group members for any purpose. The loans are made in small
amounts and this forms the basis of micro-finance. SHGs also encourage members to use
the loans to set up micro enterprises.

A self-help group is a financial intermediary comprising of a group of like-minded people

especially women who come together to pool their small savings to a common fund and
agree to meet their emergency needs on mutual help basis.

Group is a silent revolutionary concept that is taking place in the credit delivery system.
Micro-finance through SHGs offers best form of credit for reaching the unreached and
the under-reached. The SHG concept has gained momentum due to active participation of
banks.

'Self-help Group' is a voluntary association of poor formed with the common goal of
social and economic empowerment.

The members volunteered to organise themselves into a group for the eradication of
poverty of the members. They agree to save regularly and convert their savings into a
common fund known as the group corpus. The members of the group agree to use this
common fund and such other funds that they may receive as a group through a common
management.

History of women saving scheme

This scheme was started by Dr. Mohammad Younis in 1943 in Bangladesh. Today every
rural bank in Bangladesh is developed through this scheme.
In India the first women saving scheme was started in Amravati district back 1976. Every
month during the introduction stage of this scheme the womens use to contribute 25 paisa.
Broad Guidelines for Group Formation
Normally, the number of members in a group should not exceed twenty; otherwise
registration becomes compulsory. Generally, a self-help group may consist of ten to twenty
persons. However, in difficult areas like deserts, hills and areas with scattered and sparse
population and in case of economically weaker and/or physically disabled persons, this number

may be from five to twenty. Generally, all members of the group should
belong to
families below the poverty line. However, if necessary a maximum of 20%
and in
exceptional cases, where essentially required, upto a maximum of 30% of the members in a
group may be taken from families marginally above the poverty line living contiguously with
BPL (Below Poverty Line) families and if they are acceptable :o the BPL members of the group.
However, the APL members will not be eligible for the subsidy under the scheme. The BPL
families must actively participate in the management and decision making, which should not
ordinarily be in the hands of APL (Above Poverty Line) families. Further, APL members of the
SHG shall not become office bearers (Group Leader, Assistant Group Leader or Treasurer) of
the group.
The group shall not consist of more than one member from the same family. A person
should not be a member of more than one group. The group should device a code of conduct
(Group Management norms) to bind itself. This should be in the form of regular meetings
(weekly or fortnightly), functioning in a democratic manner, allowing for a free exchange of
views, participation by the members in the decision making process. The group should be able
to draw up an agenda for each meeting and take up discussions as per the agenda. The members
should build their corpus through regular savings. The group should be able to collect the
minimum voluntary saving amount from all the members regularly in the group meetings. The
savings so collected will be the group corpus fund.
The group corpus fund should be used to advance loans to the members. The group should
develop financial management norms covering the loan
sanction procedure, repayment schedule and interest rates. The members in the group meeting
should take all the loaning decisions through a participatory decision making process. The group
should be able to prioritise the loan applications, fix repayment schedules, fix an appropriate rate
of interest for the loans advanced and closely monitor the. repayment of loan instalments from
the loanee.
The group should operate a bank account preferably in their service area bank branch, to
deposit the balance amounts left with the groups after disbursing loans to its members. The
group should maintain simple basic records such as minutes book, attendance register, loan
ledger, general ledger, cash book, bank pass book and individual pass books.

SCHEMES FOR WOMEN

1.
PNB
MAHILA
UDYAM
NIDHI
SCHEME
To meet gap in equity. The women entrepreneurs will be assisted for setting up of new projects in
tiny /small scale sector and rehabilitation of viable sick SSI units. Existing tiny and small scale
industrial units and service industries undertaking expansion , modernization technology up
gradation & diversification can also be considered.
2.
PNB
MAHILA
Samridhi
Yojna
Under This Scheme , four schemes have been launched under the umbrella of one scheme. These
are
for
purchase
of
required
infrastructure
for
Setting
up
of
1)
Tailoring shop/Boutique, i.e. for purchase of Sewing Machines, etc.
2) ISD/STD Booths, i.e. for Security Deposits with MTNL/other Agencies like Reliance/Tata
Indicom.etc., for purchase of Fax Machine, Xeroxing/Photocopier Machine, etc.
3)
Beauty Parlor, i.e. for purchase of Furniture, Chairs, Bench etc.
4) Cyber Cafe, i.e. for purchase of Computers and furniture like computer tables, chairs etc. and
for recurring expenditure as per the need of the activity.
3.
Scheme
For
Financing
Creches
To provide support services for women empowerment to working women in terms of crches
with necessary services by making cheaper and easier credit available for financing Creches. The
women will be assisted for purchase of required infrastructure for setting up Crches like basic
equipment, utensils, stationers, growth monitoring equipments, fridge, cooler/fan, water filter,
etc. and for recurring expenditure for one month.

4.
PNB
Kalyani
Card
Scheme
For meeting working capital credit requirement of allied agricultural activities/ misc farm/nonfarm activities either singly or in combination with other activities. The literate/illiterate women
dwelling in rural / semi-urban areas who have attained the age of majority shall be eligible under
the Scheme. Such Women shall include individuals, farmers, landless laborers, agricultural
laborers, tenant farmers, share croppers, lessee farmers, etc. The women desirous of undertaking
non-farm sector activities should have aptitude/experience and capability for undertaking the
activity chosen for self employment.

5.
PNB
Mahila
Sashaktikaran
Abhiyan
Under
this
scheme,
following
concessions
will
be
admissible
Interest rate to be relaxed by 0.25% in Non-Priority Sector Advances and 0.50% in Priority
Sector
advances

 Margin to be reduced to 10%, wherever the margin requirement is more than 10%
Waiver
of
50%
upfront
fee
(wherever
applicable)
Trade Related Entrepreneurship Assistance And Development (TREAD) Scheme
The scheme envisages extension of credit by the bank and grant by the Govt of India to NGOs
for the benefit / on lending to women either through SHGs or individually for setting up of small
& micro enterprises in non farm sector.

ADVANTAGE TOWARDS THE SOCIETY WITH INDIVIDUAL DEVELOPMENT

1. Channel of Financial Inclusion :
Usually, commercial banks are not very keen to lend money to the poor. In order to include
the poor in the credit delivery system, the government decided to launch the SHG-Bank
Linkage Programme (SBLP). The objective of the SBLP model is to include all groups of
people in the credit system. SHG members are from a diverse background covering different
social and economic categories like the Below Poverty Line population, Scheduled Castes
and Tribes, minorities and women.
2. Resource Mobilization :
SHGs play a very important role in mobilizing savings of the poor, many of whom
individually do not make use of the banking system to save. Under the SBLP, as on March
2009, SHGs held total savings of ? 5,545 crore with banks.
3. Promote Savings and Banking Habit :
A very large number of poor people do not have access to banks. SHGs play a very important
role in linking them to the banking system by promoting savings habit in rural areas. People
are motivated to save because of the benefits they get from such savings through the SHGs.
Most of the share of SHG savings is held by commercial banks and regional rural banks.
4. Improve the living conditions of the poor :
One of the major objectives of the SHG-Bank Linkage Programme is reduction of poverty. It
is assumed that investments made with the credit provided by SHGs would generate income
and contribute significantly to family earnings. Studies have shown that in many cases the
provision of micro-credit to poor women has created a positive impact in this respect.

5. Women Empowerment :
SHGs have been successful in making a number of rural women economically, socially and
politically more empowered. Studies have pointed out a positive relationship between SHG
membership and women's participation in politics. Many SHG women members have
participated in and won Panchayat elections.
~
INIATIVES TAKEN BY THE GOVERNMENT TO START WOMEN SAVING SCHEME.
BhartiyaMahila Bank

It has been decided that the bank will be called the BhartiyaMahila Bank as it will have connect
with rural India, which was the main idea behind setting up a women's bank In his budget speech
this year, Finance MinisterP Chidambaram had announced that the government would establish a
women's bank and provided for 1,000 Crore as initial capital.
"The discussion with the Planning Commission states that They will soon approve a provision of
1,000 Crore under the Plan during 2013-14,"
The BhartiyaMahila Bank will not offer any concessional rates to women, though. "It is a
commercial bank, which will follow the guidelines stipulated by the Reserve Bank of India," the
official said. The bank will primarily draw its human resource from existing employees in public
sector banks.
"The idea is to empower women in the country and bring banking services at their doorstep. The
bank will take initiatives to open accounts of women not only through branches but by
organising camps all across the country," he said.
The women's bank will support and coordinate with self-help groups and other organisations to
promote lending to women. It will also tie up with existing state-run financial institutions to
provide other services such as insurance and pension products.
According to the finance ministry's estimates, the bank will expand its presence up to 500
branches by its fourth year of operations.
Chidambaram had earlier said that initially there would be one branch in each major region of
the country - North, South, East, West and the North-East. He had argued in his budget speech
that women got a raw deal from many institutions, including public sector banks.

"A number of people have told me clearly there is a bias to lend to men rather to women,"
Chidambaram had said, adding that a public sector bank for women would be a good institution
that would address issues usually ignored by banks.

Corporation Bank has launched savings scheme for women

Corporation Bank, has launched a new loan-linked savings bank account called Corp Mahila
Power. The release said that Corp Mahila Power was designed for working women or women
with independent source of income. The account stipulates maintaining a quarterly average
balance of Rs. 2,500.
The accountholder is provided with personalized cheque book, debit card, any-branch banking,
Internet banking and SMS or mobile banking, free of cost. The bank also offers personal accident
insurance cover of Rs. 1 lakh to the accountholder. The release said that the accountholder can
take a personal loan of up to Rs. 1 lakh, depending on her income. The scheme includes terms as
applicable to regular SB & Personal Loan and other loan Accounts.
The bank has planned to recruit 1,200 people this fiscal with an aim to achieve its target of
adding 200 branches to its network. The banks processes of opening new branches are on and the
expansion will be across the country, particularly in the northern states.
CONCLUSION

Now women in Maharashtra do not have to approach money lenders, as they can get credit at a
low rate of interest that they could never get before from other banks or credit institutions. The
main outcome is they have gained confidencethey have vision for their future, which results in
planning for their future. Women are respected by their families and communities and have
become financial advisers. Now we have started thinking about ourselves and giving
importance to us! women have said.
We never used to think of ourselves but only for the children and the family, one woman said.
But now we should be healthy, we should spend on our health. In the annual general meeting,

the women unanimously recommended that NGOs in the area focus their work on education for
children.
These achievements do not mean there are no disappointments. Along with womens increased
responsibility comes more workthey must manage the house and finances, plan for the future,
and do other daily tasks. We are not creating superwomenwe want men to share the
responsibilities.

It was observed that these economically, socially and psychologically backward women become
informed very quickly through Bachat Gat activities. it can be seen that once they get motivated,
they start treading confidently and then all their embarrassment, fear, doubts, etc. fall apart. Their
success is also helpful in another uncommon way .Now, they have real stories of success to tell,
from which many others might be similarly encouraged to grow economically and socially.

The strength of a woman is not measured by the impact that all her hardships in life have
had on her; but the strength of a woman is measured by the extent of her refusal to allow
those
hardships
to
dictate
her
and
who
she
becomes.
C. JoyBell C.

Case Study of a boy named Gulamrasul sheikh

Child profile
Name: Gulamrasul Shaikh
Age: 7
DOB: 11/10/05
Birth place: Bombay

Gender: Male
Religion: Muslim
Mother tongue: Urdu
Fathers name: Aftab
Mothers name: Afroja
Family members: 7
Observation analysis:
The family to which the boy belongs to lies on the edge of below poverty line where the monthly
income of the Karta is around 5000 i.e. 0.60L PA. He is a mechanic by profession with no
educational back up and same is the situation with his wife. The family size is of 7 consisting of
5 childrens and parents. The family migrated from Bihar in hope of better future with work
conditions and children education,

Problem :
The real problem of this case more than poverty is illiteracy and lack of awareness.
Due to pressure from the forefathers of a male child and lack of knowledge in use of protection it
leaded to pressure to serve more with a little in hand.. No proper family planning and no
awareness of government facilities provided and their newly introduced campaign has been
notified.
Seen in most case , Students are drop out due to delay in fees and thereby no Annual results has
been issued from private educational institute neither an leaving certificate has been handed over
which makes the child hanging in the middle .
Benefits:
Thanks to Ngo project crayon where they can lay their head with some creativity and learning ,
prompting them for a motivational move to lead a better future, new activity grooves them to be
involved and be touch with studies till they get confirmed admission from their respective
schools . In this way they can learn to implement good habits and there by pass to their friends
who are nearby in the slums areas. In addition Project crayon provides a meal for a day which
counts a lot for the dried eyes with great hopes ..
This is the way they can be far from crimes like theft and even stay away from bad company
where they can be easily used in smuggling or get trapped in child trafficking or drugs racket.

Future growth:
The case study also supports side way business where the childs mother implies her skills in
making plastic bangles for their living in a same way where she can stabilize her family living,
By analyzing the childs background , it has been estimated that there will be pressure on the
child to earn at the early stage because before him 2 girl child has been observed .
The future prospective of the child is bright because the child is an brilliant star showing major
rays to improve where the percentage he got is above 81% at the age of 7 so if proper guidance is
passed to this child he can be the next respected professor who can give light to more growing
little seeds mentioned as the future of tomorrow..
Moral:
That is what learning is. You suddenly understand something you've understood all your
life, but in a new way.
Doris Lessing