The institutions are born out of necessity to serve some cause – economic, social, cultural, political or military. The people behind its organisation have some objects. Self-help groups are voluntary organisations formed and managed by some members themselves. Self-help group is social and economical institution. Consists of 10 to 20 members. The aims are;

• Regularly save the amount from out of their earnings. 
• Collectively agree to contribute to a common fund. 
• Meeting their emergency needs. 
• Taking democratic decisions. 
• Resolving conflicts through discussion in open forum and 
• Providing surety free loans at market driven rates to members.

SHG can achieve the following goals

• Institutional development at the grassroots level. 
• economic independence to the poor especially poor women. 
• generation of mutual trust and cooperation 
• localised planning and participative decision-making 
• Financial discipline 
• inculcate habit of savings 
• leadership development 
• economic self-reliance and social solidarity Income generating activities of SHGs are:

Agriculture related (activity-seed multiplication, bee-keeping, nursery raising etc.)

Small retail business/general stores, brick making, livestock development, animal husbandry, poultry, piggery etc. Cattle feed sales, bicycle repair, milk production and processing, clay-pot i A. making, leaf/paper plate making, flour mill and grain shop, carpentry, iron samthing, welding, garment shop, tailoring, knitting, embroidery, raw sugar making, beauty saloon, fruit/vegetable preservation and processing, motor winding etc. Loans can be availed for the above activities. iA,_ With the self-help group association and cooperative society, can further add to the income of members.