Case Study of the Day: Mahila Nidhi – India’s First All-Women Run Co-Operative Bank

Context: The Rajasthan Chief Minister recently approved a proposal for giving 8% interest subsidy on loans obtained by the members of women’s self help groups (SHGs) from Mahila Nidhi — the State’s first-ever women’s cooperative fund.

About Mahila Nidhi

• ‘Rajasthan Mahila Nidhi‘ was launched in 2022, and was formed through Rajasthan Rural Livelihood Development Council (Rajivika), with a sanction of Rs.50 crore grant for the first two years.
• Scheme Objectives
  • Help women self-help groups and provide loans from banks.
  • Increase the income of poor and marginal women.
  • To ensure the social and economic progress of women through skill development.

• Features
  • Under the scheme, women will now get easy loans for everyday needs, business expansion and entrepreneurship.
  • Loans up to Rs 40,000 will be deposited in 48 hours.
  • Loans above Rs 40,000 will be deposited in the bank account of the group of members applied within a time frame of 15 days.
• Impact
  • It has significantly brought down the number of loan applications by women pending in the banks, as they have been getting easy and adequate loans for their daily needs and self-employment from the fund.
  • At present 2.70 lakh self-help groups (SHGs) have been formed in 33 districts of the state connecting 30 lakh families.
  • Around 36 lakh families in Rajasthan are expected to get benefits from Rajasthan Mahila Nidhi.
• Benefits of Schemes like Mahila Nidhi
  • Strengthening of women self-help groups with easy loans.
  • Increase the income of poor and marginalized sections.
  • Aid in social and economic progress of women through skill development.

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