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VOL. 6, ISSUE 2 (2024)
Barriers to financial inclusion: A study with reference to self-help groups in SPS Nellore district, Andhra Pradesh
Authors
M Harita, A Amruth Prasad Reddy
Abstract
According to the latest data released by the National Bank for
Agriculture and Rural Development (NABARD), more than 80% of self-help groups
(SHGs) are established by women, and the loans they give are around 85.5%.
Almost half of SHGs are still not credit-linked. There are also regional
differences between the number of funds and the average loan amount. The
southern region of India accounts for 36% of all bank connections, while the
northern (5.4%) and northeastern (5.6%) regions account for less. There are
many factors hindering progress in women's financial inclusion; the most important
of these is the influence of culture. The main objective of the study is to
identify the barriers that limit women's access to financial services. The study finds that financial inclusion has 5 items with Cronbach's
alpha of 0.738, it can be interpreted that there is high reliability in the
items. Barriers have five items that exhibited high reliability with Cronbach's
alpha of 0.769. The sampling frame is the rural and urban areas in Nellore district
which is comprised of 5 revenue divisions and 47 mandals. The sample size is
400. Quota sampling has been adopted to collect the necessary data. Both
primary and secondary data have been collected for the present study. The study
found that the age group (F = 4.979, p < 0.05), years of relation with SHGs
(F = 3.952, p < 0.05), duration of availing microfinance with SHGs (F =
4.482, p < 0.05), education qualification (F = 8.379, p < 0.05), nature
of employment (F = 4.002, p < 0.05) and location (t = 14.715, p < 0.05)
of SHG's members have association with barriers of financial inclusion.
However, it is found that average income (t = .964, p < 0.05) and family
size (t = .870, p > 0.05) have no association with barriers to financial
inclusion. It is concluded that the lack of Knowledge, Traditions, and customs,
Lack of property, Lack of sustainable cash flows, and Family permission are
some of the barriers faced by women members of SHGs.
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Pages:51-54
How to cite this article:
M Harita, A Amruth Prasad Reddy "Barriers to financial inclusion: A study with reference to self-help groups in SPS Nellore district, Andhra Pradesh". International Journal of Management and Commerce, Vol 6, Issue 2, 2024, Pages 51-54
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