The rural economy of Madhya Pradesh is strengthening faster the rural economy with the increasing economic activities of women’s self-help groups. In 2023-24, banks, including public, private, and regional rural banks provided loans worth Rs. 3584 crores to 1,63,500 self-help groups helping them to start economic activities. Since 2012-13, a total of Rs. 10,337 crores bank loans have been provided to 7.09 lakh self-help groups.

Over the past five years, the banks are giving more  loans as these groups are becoming financially empowered. Minister for Rural Development Minister Prahlad Singh Patel has expressed gratitude to the banks for providing credit facilities to the hardworking members of self-help groups. He urged the banks to liberally support the SHGs acknowledging their repaying capacity. He emphasized that economic self-reliance of families living in villages will enhance the prosperity of rural areas. Madhya Pradesh will realize Prime Minister Narendra Modi's vision of self-reliant and prosperous villages.12-fold Increase in Bank Loan DistributionIn 2019-20, bank loans worth Rs 303 crores were disbursed.

In contrast, Rs 3584 crores were disbursed in 2023-24, a 12-fold increase in bank loan distribution over the past five years. The Non-Performing Assets (NPA) of these SHGs is only 1.1%, which demonstrates that the enterprising women of Madhya Pradesh strictly observe financial discipline. In 2020-21, Rs 510 crores bank loans were provided while in 2021-22, Rs 1408 crores, and in 2022-23, Rs 2452 crores were disbursed. At national level, the annual growth rate of bank loan distribution over the past five years is 39%, whereas Madhya Pradesh has achieved a 217% annual growth rate in loan distribution to these groups. In 2024-25, as many as 68 thousand 414 self-help groups received loans worth Rs. 1101 crore from public, private, and regional rural banks for their economic activities.

The Aradhana Livelihood Self-Help Group, consisting of 14 members from Khandaphari Gram Panchayat in Lanjhi Development Block, Balaghat, was formed in 2017. The group took a loan of  Rs 1.5 lakh in 2020, repaid it, and in 2021 took a loan of Rs 3 lakh, which was repaid to take Rs 6 lakh loan in 2022. With increased repaying capacity and and enhanced confidence, the group took a Rs 10 lakh loan in March last year. Many members are engaged in two or three economic activities simultaneously.

Parvati Budhajale runs a grocery shop and also runs murmura (puffed rice) making unit. Bhojakli Sonwane does farming and also involved in furniture making, earning up to Rs 1.4 lakh annually.The Ambika Self-Help Group, consisting of 12 members from Simariya village in Khairi Gram Panchayat, Seoni Development Block, was formed in 2020 with Prabha Chaudhary as its head. They initially took a loan of  Rs 1.5 lakh from Union Bank of India. After repaying it, they took a second loan of Rs 3 lakh in 2021-22 and then Rs 6 lakh loan in 2023-24. All twelve members have started small economic activities. Savita Chaudhary opened a general store, earning Rs 1.20 lakh annually. Pooja Sonia runs a small dairy with a yearly income of  Rs 1.22 lakh.

Similarly, the Shri Krishna Self-Help Group, with a capital of Rs 73,560, was established in 2018 in Beasapurakala Gram Panchayat, Mohkhed Development Block, Chhindwara District. Initially, they took a Rs 1 lakh loan from Madhya Pradesh Rural Bank's Beasapurakala branch. After repaying it in two years, they took a Rs 2 lakh loan in 2020 and a Rs 6 lakh loan in 2022. The group’s eleven members started their preferred activities. Kanchan Bunkar and Babita Gulwaskar began a vegetable-selling business, earning Rs. 1. 25 lakh and Rs 1.5 lakh annually, respectively. Group president Mamta Indourikar’s clothing and tailoring business earns her Rs 1.80 lakh annually.

The Shri Ganesh Self-Help Group, consisting of ten members from Chhota Bardha Gram Panchayat in Thikari Development Block, Barwani District, has taken loans four times. Formed in 2016, they first took Rs 1 lakh loan from Madhya Pradesh Rural Bank’s Anjad branch in 2018. Subsequent loans were Rs 2 lakh in 2019, Rs 2.5 lakh in 2020, Rs 2.80 lakh in 2022, and Rs 10.80 lakh at the end of the year. Each member has started their own business with a total of Rs 25 lakh. The group’s president, Manju Goyal, began a woolen decoration and toy business, earning ?Rs. 2.28 lakh annually. Other member Kavita Jeetendra started an animal husbandry business, earning Rs 1.32 lakh annually.