The Impact of SHG Participation and Microfinance on Women’s Empowerment: A Comprehensive Study from Rohilkhand

Abstract

Self-Help Groups (SHGs) have emerged as vital tools in promoting women’s empowerment, particularly in rural settings. This study investigates the impact of SHG participation and microfinance on women’s empowerment in the Rohilkhand region, a socio-economically diverse area in Northern India. Using a mixed-methods approach, the research analyzes the relationship between SHG membership and multiple empowerment dimensions—economic, social, political, and personal. Furthermore, it explores the role of microfinance in enhancing economic independence and decision-making abilities among women in SHGs. The study utilizes both quantitative data from a survey of 150 respondents and qualitative insights derived from in-depth interviews. Descriptive and inferential statistical analyses, including regression and clustering, are employed to identify key factors influencing empowerment outcomes. The findings highlight significant associations between education level, membership duration, and economic independence, revealing that SHG participation substantially fosters empowerment, particularly when complemented by microfinance services. This research provides evidence that supports the development of tailored policy interventions and targeted support programs to enhance the effectiveness of SHGs and microfinance in empowering rural women. The study's findings offer valuable insights for policymakers, NGOs, and other stakeholders involved in designing and implementing women’s empowerment initiatives in similar socio-economic contexts.