Swaranjayanti Gram Swarozgar Yojana (SGSY)


SGSY, a major anti-poverty programme is being implemented since 1999, with the prime objective of bringing the assisted poor families above the poverty line by ensuring reasonable and sustained level of income over a period of time. This scheme adopts SHG approach and aims to graduate them from micro credit stage to micro-enterprises stage by providing skill development training, bank credit, infrastructure facilities and much needed marketing support to the products produced by them.

In order to ensure that there is greater convergence of activities taken up for the benefit of SHGs in the District, monitoring of the implementation of SGSY scheme has been transferred to Mahalir Thittam.

The SGSY fund is used to provide subsidy for the Revolving fund and Economic assistance to Self Help Groups. Part of the Scheme component is also utilised for formation of groups and conduct of training for their basic orientation and skill upgradation. Upto 20% of the total allocation can also be spent on putting up of Infrastructure required for promotion of activities of SHGs. The SHGs, after the first grading, are provided with a revolving fund of Rs.50,000 for first linkages (bank loan of Rs.50,000 and Rs.15,000 as subsidy) Rs.1.00 lakhs for second linkages and Rs.1.5 lakhs for third and subsequent linkages. After the second grading, the successful groups are provided with economic assistance, the maximum eligible subsidy being 50% of the project cost with a ceiling of Rs.1.25 lakhs.

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