Banking on women’s empowerment

The shortest route to empowerment is economic independence and SHGs can contribute towards that goal

The names Gargi, Maitreyi, Arundhati of yore are learnt by us as kids, just as we heard of Rani Laxmi Bai, Razia Sultan and Ahilya Bai Holkar. In recent times Matangini Hazra, Sarojini Naidu and Indira Gandhi are some names to be proud of. They remind us that women can achieve — only, why are they so few?

We need to refocus our energies towards increasing these numbers.

Collaborative efforts are required should we hope to achieve this goal within reasonable timelines.

As a public sector banker, an area we need to constantly monitor is priority sector lending. Within this, the lending to self help groups (SHGs) has immense potential to improve the lives of women and their families. In our experience wherever we have responsible NGOs working alongside SHGs, the bank results have been far superior. This establishes the fact that merely advancing credit is not enough. Good extension services are a must if we are to see these efforts bearing fruit. I recall the work some prominent NGOs were doing for the chikan worker SHGs in Lucknow. The NGO would procure raw materials — fabric and thread — in bulk and supply them to workers, bringing efficiency on the supply side. Members would then study fashion trends in domestic markets and abroad to guide the workers on the choice of material, colour and design. They would organise quality improvement workshops, teach packaging and organise sales through tie ups with distributors or exhibitions. The NGOs would also teach basic accounting and book keeping. For active involvement, the SHGs did well and bank lending increased. The standard of living of SHG members showed improvement and their quality of discourse changed from meeting their daily needs to finding ways of ensuring better nutrition and education for their children. There was also a greater eagerness to ensure the well being of the girl child. We need similar models for the success of the SHG movement.

A farmer prepares the land before the rains so that the water gets absorbed in the soil. If this is not done the water will run off the land eroding precious top soil. The SHGs — if properly prepared and helped — can increase their credit absorption capacity, but if left to themselves, the money gets frittered away leaving them worse off than before.

Time and again we have seen that the quickest way to empowerment is economic independence. The SHG movement has been a great contributor towards that goal. The government must create the platforms for such collaborations. Corporates, too, can help by putting SHGs into their supply chains wherever feasible. Academia can step in by providing options for sustainable technology. Have you ever observed the use of implements in rural India? They need a lot of improvement and this is where the academic institutions can play a part. Collaboration is a route to women’s empowerment, and on this Women’s Day, let us resolve to make it happen.

Happy Women’s Day.