How to Form a Women's Self Help Group in South Asia

Administrative tasks for the SHG

Name the SHG. Ask the members to name their SHG on their own. Names that motivate SHG members will be a good selection. Encourage them towards coming up with this during a meeting.

Put in place a strict bookkeeping in order to ensure accountability and transparency to the members.

Fix meeting dates. Meet at least once every two weeks or weekly.

Using the SHG as a women's savings group

Motivate the women who have joined the SHG to save a fixed amount of money every week or 15 days. Group members themselves should fix the amount according to what they can each afford. SHG savings meetings (weekly or 15 days) can be conducted at SHG members' houses. It helps all the SHG members to know each other better and to understand their economical conditions.

Fix the interest rate on inter-lending with all the SHG members' consent. Interest will be an important form of income for the SHG.

Rotate responsibilities for bookkeeping. SHG books and the money in hand should be rotated among the members after every meeting.

Open an account for the SHG. After 6 to 7 months, open a bank account in the SHG's name in order to enjoy loan benefits provided by government (if relevant in your country).

Make use of the savings. SHG members can use their savings to start a business. The earnings should be equally shared among the members.