What are the criteria which can be used to assess sustainability of self-help groups (SHGs)? Explain giving suitable examples

Assessing the sustainability of self-help groups (SHGs) is crucial for ensuring their long-term viability and effectiveness in promoting socio-economic development. Various criteria can be employed to evaluate the sustainability of SHGs, focusing on aspects such as financial stability, social capital, governance, capacity building, and impact on members and the community.

Financial Stability: One of the primary indicators of sustainability is the financial health of an SHG. This includes assessing its ability to generate income, maintain savings, and access credit. For instance, SHGs that successfully engage in income-generating activities, such as handicrafts or agriculture, and demonstrate a steady increase in savings contribute to their financial sustainability. The ability to manage loans effectively, without defaulting, is also critical. A well-documented example is the Kudumbashree initiative in Kerala, India, where SHGs engage in various enterprises, leading to financial self-reliance and reduced dependency on external funding.

Social Capital: SHGs are built on the foundation of social networks and relationships among _____ _______ ________ ___ ______ ________.
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