Ø      Objectives :

à  To provide thrift, credit and other financial services to the poor in all areas enabling them to raise their income levels and standard of living.

Ø      Desired Characteristics of the group :  

à  10-20 members (Maximum not to exceed 20, as it requires registration)

à  Active existence for 6 months ( which is the lead period for stabilization)

à  Group meetings have to be regular with 100% attendance of members

à  Savings by all members

à  On lending among members with the thrift contributed by the members

à  Active participation by all

à  Adoption of economic activity

Ø      Loan Amount :

à  Upto 10 times of the group savings including interest on savings.

à  OD limit to well run SHGs

Ø      Margin :

à  30% of wholesale market price of the produce.

Ø      Interest to be charged :
           

Ø      Repayment :

à  Maximum 36 months