Performance and Sustainability of Kudumbashree Neighbourhood Groups on Kerala: An Empirical Analysis

Using data from the field survey and secondary sources, the study attempts to analyse the empowerment of women in Kerala through Kudumbashree. Kudumbashree is initiated by the Government of Kerala as the state poverty eradication mission in the year 1998. At present, more than 41 lakh women in Kerala have been brought under the umbrella of Kudumbashree, which accounts to about 23 per cent of the total female population of the state. Out of the total membership, highest share is constituted by the general category, followed by OBC, SC and ST respectively. Districts with greater share in linkage loan possess greater share in count of micro enterprises also. More than 61 thousand Joint Liability Groups practice collective farming in a total area of 35 thousand hectares. More than 66 per cent of the neighbourhood groups (NHGs) in the sample were involved only in micro-finance, and the rest undertook some other entrepreneurial activities. The younger section of the society participated more in the Kudumbashree activities. Among all the NHGs, more than 75 per cent had members among whom more than half lie below poverty line (BPL). More than 80 per cent of the NHGs avail credit from the banks and scheduled commercial/ nationalised banks which form the major source of credit. Logit regression analysis indicated that sustainability was positively and significantly affected by the share of BPL members in total members, per cent of members availing loan and the amount of loan outstanding per member.