SHG Linked Micro-Enterprises - The Kerala Experience

Abstract

Setting up of micro-enterprises or micro-businesses by women seeking microfinance has become a popular employment generation and poverty eradication model in India. The exponential growth of women groups, microfinance institutions and micro-businesses are solid evidences for the myriads of opportunities and advantages the model presents. Different States in India with varied geographical, cultural and political environment are adopting their own modes of promotional efforts in this regard. The Kudumbashree Mission - the poverty eradication mission of the State of Kerala - has been instrumental in facilitating the formation of women groups, micro-enterprises, provision of administrative and financial aid, and monitoring the microfinance activities in the State. The present micro study about the Kudumbashree linked micro-enterprises in three panchayats of the Ernakulam district of Kerala reveals the general and economic prospects of the enterprises along with different problems confronted by micro-entrepreneurs. It also advocates the strategies to be adopted by the enterprises, and promotional agencies to overcome the problems, and survive in the competitive environment.