bu i ld i ng an i nc lu s i ve f i nanc i a l s e ctor i n i nd i a
85
The average savings per SHG (Table 4.4) had regis-
tered an increase since 2012. Between 2012 and 2013
the average savings per SHG rose by nearly 36 per cent.
It rose by another 17 per cent during 2013–14. As on
31 March 2014 average savings per SHG stood at Rs.
13,322, with the average SHG savings with commercial
banks being Rs. 16,485.
The decline in number of SHGs savings-linked to
banks was substantial in the northern and north-eastern
states. Even Andhra Pradesh recorded a 4 per cent drop
in this number. Among the major states, Karnataka,
Tamil Nadu and Kerala recorded a positive growth as on
31 March 2014 when compared to a year earlier.
The substantial increase in average SHG savings over
the years suggests that they are being well-integrated into
the banking system. The increase in the ratio of SHGs
savings as a proportion of loan outstanding to SHGs,
however, indicates a longer-term trend of contraction of
credit facilities to them. The proportion of savings-linked
SHGs to SHGs with loans outstanding has declined
from 70 per cent in March 2010 to 61 per cent in March
2013 and further 56 per cent in March 2014. There con-
tinues to be a need for a wider range of savings products
and options to be provided to SHGs by the banking
system. This is over and above the universal opening
of individual accounts as part of the proposed financial
inclusion mission.
4.2 REGIONAL SPREAD OF BANK
LENDING UNDER SBLP
Appendix 4.2 presents the comparative picture of
SHGs with outstanding loans across states over the past
two years (31 March 2012 to 31 March 2014). There
has been a decline of nearly 6 per cent in the number
of SHGs with outstanding loans as on 31 March 2014
as compared to the previous year. The southern re-
gion overwhelmingly contributed to the decline with
the leading states of Andhra Pradesh, Tamil Nadu,
Karnataka and Kerala all registering a decline ranging
from about 4 to 23 per cent in the number of SHGs with
loan outstanding. States which registered a big increase
in the number of SHGs with loans outstanding dur-
ing 2013–14 were Chhattisgarh, Madhya Pradesh and
Uttar Pradesh. The average loan outstanding ranged from
Rs. 50,509 per SHG in the Eastern region to approxi-
mately Rs. 143,137 per SHG in the Southern region. In
all other regions the average SHG loan outstanding was
within a narrow range of approximately Rs. 60,000 to
Rs. 65,000.
Table 4.5 gives the share of different regions in SHGs
with outstanding loans over the over the period 31 March
2010 to 31 March 2014. It is observed that overall there
has been little change in the number of SHGs with bank
loans outstanding. The number of SHGs substantially
T
ABLE
4.4
Average Savings of SHGs by Agency
Agency
Year
CBs
RRBs
Coop banks
Total
Average savings per SHG (Rs)
2010
9,055
7,134
11,348
8,915
2011
9,784
7,235
11,696
9,402
2012
8,986
6,111
8,972
8,230
2013
13,571
7,493
9,629
11,229
2014
16,485
9,281
10,086
13,322
% share in savings accounts
2010
58
26
16
100
2011
58
27
15
100
2012
58
27
15
100
2013
56
28
16
100
2014
54
28
17
100
% share in total savings with banks
2010
59
21
20
100
2011
60
20
19
100
2012
63
20
17
100
2013
67
19
14
100
2014
67
20
13
100
