and convergence of backward and
forward linkages among various
activities of different Groups. Every
group is linked to the Bank thereby
ensuring financial inclusion for
the poor and marginalized. Most
of the SHGs have milch/cattle
rearing, mixed farming, tailoring,
petty shop business etc. where
asset creation is implied in the
enterprises. The key activities is
so chosen that net monthly income
is more than Rs. 2,000 per month
per individual beneficiary. Apart
from this, the Groups have access
to their own savings as well as
matching revolving fund given by
the Bank/Government. Therefore,
linkage with the bank for much
needed capital and liquidity in the
form of assets are provided for
in this program. Therefore, in the
event of any calamity, if there is
damage to the assets for eg. Milch/
cattle death due to flood or cyclone,
micro-insurance is provided for
within the project before approval
by the bank / BDO for release of
loan/subsidy for micro enterprise.
If the asset is of other category,
provision for micro insurance is not
normally made thereby exposing
the assets to the risks of hazards.
For assets like petty shop, tailoring,
pickle and puppad making, insuring
of assets is not being carried out
which exposes the assets to the
vagaries of nature. During flood
or cyclone, the activity part of the
micro enterprises may be affected/
disrupted like the death of the cow
or sheep or goat or poultry or in
case of farming or cultivation,
crops may be submerged since the
crop is normally not insured, the
damage caused on account of the
48
flood or heavy rain is a set back for
the whole Group. But however,
the micro credit available in the
form of Group Corpus comes in
handy during such periods of
distress. The members of the Group
use Group Corpus or if required
revolving fund credit to tide over
the uncertainties arising out of
loss of assets or damage to assets
which hinder flow of monthly
income from the small and medium
enterprises.
Therefore, the presence of micro
financing/micro credit in the Self
Employment Programme is a great
tool of mitigation already available
under the Scheme but not yet put
to maximum use. If all the assets
of key activities/SMEs undertaken
by the SHGs are insured like
crop insurance, cattle insurance or
some risk transfer mechanism is
evolved using the Group Corpus
which is already operated out of a
Bank account, then post-disaster
reconstruction of the asset will
be made easier and the poor and
marginalized women can get back
to business and earn their livelihood
without losing much time.
The major scheme operated
under Wage Employment Scheme
is Mahatma Gandhi National
Rural Employment Gen \