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Microfinance: A Tool for Empowering Women in India
Abstract
In India, microfinance, dominated by Self Help Groups (SHGs), has provided an effective mechanism for providing financial services to the “unreached poor”, and also in strengthening underprivileged and discriminated women in the society and thus significantly contributing to gender equality and women empowerment. The present chapter attempts to analyze the concept of women empowerment and its various indices such as GDI, GEM, and Women's Empowerment Index (WEI) in detail for India. The chapter explores the linkage between the role of microfinance and the empowerment of women in rural and urban India. The study reveals that though micro finance is supposed to provide an effective tool for financial and social upliftment of the poorer sections of the society, particularly women, but its penetration depends on a multifaceted and integrated network and so both the self-help bank model and the MFI model may have achieved some positive growth, but their performances are not quite deterministic when compared with other countries of the world.
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