Online Registration

ISO 9001:2015

INSPIRA-JOURNAL OF MODERN MANAGEMENT & ENTREPRENEURSHIP(JMME) [ Vol. 16 | No. 1(II) | January - March, 2026 ]

Impact of Self-Help Groups on Financial Inclusion and Rural Development: A Study of Gangoh Block, Uttar Pradesh

Palak Singhal, Dr. Somprabh Dubey & Prof. (Dr.) Devinder Narain

This study examines the impact of Self-Help Groups (SHGs) on financial inclusion and rural development with special reference to Gangoh Block, Uttar Pradesh. Rural India continues to face challenges such as limited access to formal financial services, low-income levels, and socio-economic inequalities. SHGs have emerged as grassroots institutions that promote savings, provide access to credit, and support livelihood opportunities. The study is based on both primary and secondary data, with primary data collected from 120 respondents using structured questionnaires. The findings reveal that SHGs have significantly improved financial inclusion, as reflected by high bank account ownership, increased access to credit, and reduced dependence on informal lenders. Participation in SHGs has also led to income growth, employment generation, and diversification of livelihood activities. Furthermore, SHGs have played a crucial role in empowering women by enhancing financial independence, confidence, and participation in decision-making. Improvements in savings behavior, living standards, and social status were also observed. However, challenges such as low financial literacy, lack of training, and limited market access continue to hinder their full potential. The study concludes that SHGs are effective instruments for inclusive rural development and recommend strengthening institutional support, financial education, and market linkages to maximize their impact.

Singhal, P., Dubey, S. & Narain, D. (2026). Impact of Self-Help Groups on Financial Inclusion and Rural Development: A Study of Gangoh Block, Uttar Pradesh. Journal of Modern Management & Entrepreneurship, 16(01(II)), 106?115. https://doi.org/10.62823/JMME/16.01(II).8885

Books

  1. Kothari, C. R. (2004). Research Methodology: Methods and Techniques. New Delhi: New Age International Publishers.
  2. Datt, R., & Sundharam, K. P. M. (2021). Indian Economy. New Delhi: S. Chand & Company Ltd.
  3. Sharma, R. K., & Gupta, S. K. (2019). Rural Development in India. New Delhi: Deep & Deep Publications.
  4. Armendáriz, B., & Morduch, J. (2010). The Economics of Microfinance. Cambridge: MIT Press.

Government Reports and Publications

  1. Government of India. (2024). Economic Survey of India. Ministry of Finance.
  2. Government of India. (2023). National Rural Livelihoods Mission (NRLM) Annual Report. Ministry of Rural Development.
  3. NABARD. (2023). Status of Microfinance in India Report. National Bank for Agriculture and Rural Development.
  4. NITI Aayog. (2023). Multidimensional Poverty Index Report. Government of India.
  5. Reserve Bank of India (RBI). (2023). Report on Financial Inclusion. RBI Publications.
  6. Census of India. (2011). Primary Census Abstract. Government of India.

Research Articles and Journals

  1. Nichols, H., Haldar, S., & Mahajan, V. (2021). Role of SHGs in Financial Inclusion in Rural India. Journal of Rural Development, 40(2), 123–140.
  2. Al-Kubati, M. (2023). Impact of SHG-Bank Linkage Programme on Financial Inclusion. International Journal of Finance and Economics, 8(1), 45–60.
  3. Pandey, R. (2025). SHGs and Financial Inclusion: A State-Level Analysis. Indian Journal of Economics, 102(4), 89–105.
  4. Basak, S. (2024). Socio-economic Impact of SHGs on Rural Women. Journal of Development Studies, 56(3), 210–225.
  5. Survase, P. (2024). Financial Inclusion through SHGs in Rural Maharashtra. International Journal of Social Sciences, 9(2), 150–168.
  6. Gokhru, M. (2023). SHGs as Instruments of Poverty Alleviation. Journal of Microfinance and Development, 12(1), 77–92.

Websites and Online Sources

  1. Ministry of Rural Development. (2024). Retrieved from: https://rural.nic.in
  2. National Bank for Agriculture and Rural Development (NABARD). (2024). Retrieved from: https://www.nabard.org
  3. Reserve Bank of India (RBI). (2024). Retrieved from: https://www.rbi.org.in
  4. World Bank. (2021). Global Findex Database. Retrieved from: https://www.worldbank.org
  5. Pradhan Mantri Jan Dhan Yojana (PMJDY) Portal. (2024). Retrieved from: https://pmjdy.gov.in

Reports and Digital Sources

  1. Government of India. (2024). Digital India Programme Report.
  2. UIDAI. (2024). Aadhaar Enabled Payment System Report.
  3. NPCI. (2024). Unified Payments Interface (UPI) Annual Report.

DOI:

Article DOI: 10.62823/JMME/16.01(II).8885

DOI URL: https://doi.org/10.62823/JMME/16.01(II).8885

Download Full Paper:

Download