42
Figure 7.4 Enforced Payment-Weakened Relationship
7.3
Group dynamics and Voluntary savings
It has been interesting to note what SHG members do with their pooled funds. It is one
thing to that groups have enhanced trust due to voluntary saving. However does this
translate into action? We find that most members both in Tamil Nadu and Karnataka do
not loan funds to their peers and start a business nor do they invest in their peers business
(Figure 7.5 and 7.6). One reason for the same is that they are unsure if their peer’s
activity will succeed. As told to us by a member “It is one thing to sympathize with a
friend but another to invest in their business.”
Disagree
Somewhat
Agree
TN
94.78
3.65
1.56
Karnataka
89.33
6.33
4.33
0
20
40
60
80
100
Percenatge
