Economic Empowerment of Women through Self-Help Groups: Evidence on Income, Employment and Entrepreneurship from Ananthapuramu District, Andhra Pradesh.

Abstract

Self-Help Groups (SHGs) have emerged as an important grassroots mechanism for improving women’s access to finance, livelihood opportunities and economic participation in rural India. The present study examines the economic changes associated with SHG participation among women in Ananthapuramu district of Andhra Pradesh, with particular emphasis on household income, occupational transformation, self-employment, entrepreneurial engagement and contribution to household income. A multi-stage random sampling method was employed to select 320 SHG women from five revenue divisions, comprising 160 Muslim minority and 160 non-minority respondents. Primary data were collected through a structured interview schedule and analysed using frequencies and percentages to compare respondents’ economic conditions before and after SHG membership. The findings reveal substantial economic improvement following participation. The proportion of respondents belonging to households earning below ₹10,000 per month declined from 56.88% before SHG membership to 5.31% afterwards. Household industry/self-employment increased from 22.50% to 44.69%, while participation in petty business increased from 5.00% to 17.19%, indicating a shift towards more independent income-generating activities. Women’s financial contribution to their households also strengthened considerably: moderate contribution increased from 35.00% to 55.94%, while significant contribution increased from 6.56% to 22.19%. The findings demonstrate that SHG participation is associated with improved income, occupational diversification, self-employment and women’s financial contribution to their households. Strengthening enterprise-oriented training, productive credit, market linkages and entrepreneurial support could further enhance the sustainability of these economic gains.