Whether the Self-Help Group - Bank Linkage Programme is Sustainable? An Empirical Evidence from India


  • M. Srikanth Associate Professor & Head, Centre for Entrepreneurship Development & Financial Inclusion, NIRDPR, Hyderabad - 500030
  • Lagesh M. A. Assistant Professor, Department of Economics, IBS Hyderabad, Shankarapalli Road, Hyderabad - 501203




Micro Finance, SHG-BLP, Sustainability, India, Composite Index.


In this paper, we examined the sustainability of Self-Help Group-Bank Linkage Programme (SHG- BLP) in India by collecting primary data on 133 SHGs across three states namely, Andhra Pradesh, Madhya Pradesh and Odisha. By constructing a composite index on various forms of sustainability of the SHGs, we found that about two-thirds of the SHGs have a ‘medium level of sustainability’ and over one-fifth of them have a ‘high level of sustainability.’ While Andhra Pradesh and Odisha (with low and medium levels of NPAs, respectively, compared to the national average) possess SHGs with ‘medium to high’ composite sustainability, Madhya Pradesh (with a high level of NPAs) has SHGs associated with ‘low to medium’ composite sustainability. Our findings have policy implications for the stakeholders since the lower level of NPAs reflects the longer sustainability of the SHG-BLP.


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How to Cite

Srikanth, M., & M. A., L. (2022). Whether the Self-Help Group - Bank Linkage Programme is Sustainable? An Empirical Evidence from India. Journal of Rural Development, 40(3), 351–372. https://doi.org/10.25175/jrd/2021/v40/i3/155727

Author Biographies

M. Srikanth, Associate Professor & Head, Centre for Entrepreneurship Development & Financial Inclusion, NIRDPR, Hyderabad - 500030

Centre for Entrepreneurship Development & Financial Inclusion (CEDFI), Associate Professor & Head

Lagesh M. A., Assistant Professor, Department of Economics, IBS Hyderabad, Shankarapalli Road, Hyderabad - 501203

Assistant Professor, Department of Economics, IBS Hyderabad


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