Staff Reporter

Subsidy component is Rs.1.50 crore; bank loan Rs.11.39 crore

CHENNAI: As part of the government target to provide revolving funds to 8,000 self-help groups in Chennai this financial year, Local Administration Minister M.K. Stalin on Sunday disbursed Rs.12.89 crore to women belonging to 1,500 SHGs.

Speaking at a function organised by the Chennai Corporation to disburse funds, he said, “With the disbursal of revolving funds to 1,500 groups today, we have provided a total of Rs.26.26 crore to 7,419 SHGs in Chennai district.”

Thousands of women associated with many of the 19,927 SHGs in the city participated in the function. As the loan repayment by women SHGs in the State was 99 per cent, Tamil Nadu continued to be among the successful States in the development of SHGs, Mr. Stalin said.

The 1,500 women SHGs received a subsidy component of Rs.1.50 crore and bank loan of Rs.11.39 crore, he added.

According to a press release issued by the Chennai Corporation, a total of 5,000 urban women SHGs were provided revolving funds in 2006-2007 and the number went up to 25,000 the next fiscal. Indian Bank branches in various parts of the city, including Thiruvanmiyur, Chetpet and Pallavaram, provide banking services for the SHGs.

Urging the SHG members to excel in their work, the Minister said the women SHGs started in Dharmapuri in 1989 had grown considerably in the State with the contribution of a large number of hardworking members. Around 69,990 women SHGs in the State had received Rs.405.33 crore by the end of January in the current fiscal.

At the function, awards were distributed to best performing SHGs. Shakthi SHG of Basin Bridge got the Manimegalai award. One of the recipients, D.Pushpavalli of Muthumathi SHG, said the subsidy of Rs.10,000 would be very helpful for their business.

Minister for Information Parithi Illamvazhuthi, Mayor M.Subramanian, Member of Parliament Dayanidhi Maran and Chennai Corporation Commissioner Rajesh Lakhoni participated.