Income and Expenditure Pattern of SHG and Non SHG Rural Households of Telangana

A major objective of the SHGs (Self Help Groups) is to alleviate poverty, by extending banking services to the poor, thereby helping them to enhance employment and income opportunities to come out of poverty. Geeta Manmohan et al., (2008) views that, Micro finance is such a tool, which directly hits the poverty by helping poor or enabling them not only to survive, but also to improve their standard of living. SHGs reduce poverty and vulnerability of the poor by increasing capital / asset formation at the household level, improving household and enterprise incomes, enhancing the capacity of individuals and households to manage risk (Swamy and Tulasimala 2013). The study was carried out in Dokur and Aurepalle villages of Mahaboobnagar, with the aim to compare the SHG household and Non SHG households in terms of socio economic conditions. Sixty SHG households and 15 Non SHG households were selected from each of the two villages, forming a total of 120 SHG and 30 Non SHG households. The income and expenditure of the selected SHG and Non SHG households were obtained, through a structured schedule. The data indicated that, in the high income category SHG were more in number, whereas 27% of each fell in the middle and 34% and 43% of SHG and Non SHG were in low income per annum. Non SHG households were spent high income on food than the SHG, whereas expenditure on health was higher for the SHG, than the Non SHG. The expenditure pattern for clothing and children's education were same for the SHG and Non SHG households. Policy-makers and program implementers must act today, to fulfil the gap and enhance the program results in all over the country, as program has fast and positive effect in changing the society.