Lakhpati Didi: Building Livelihoods Through SHGs
Self-help groups have already changed rural India. Millions of women who once had no bank account now save regularly, take loans from their group and speak up in village meetings. The next step is to turn these groups into engines of steady income. The government's Lakhpati Didi goal, which aims to help SHG women earn at least one lakh rupees a year, captures this ambition well. In my work with rural women, I have seen that the journey from saver to entrepreneur needs four things: the right activity, skills, credit and markets.
What 'Lakhpati Didi' means
A Lakhpati Didi is a self-help group member whose household earns an annual income of at least one lakh rupees, sustained over time, through livelihood activities. The initiative works through the Deendayal Antyodaya Yojana–National Rural Livelihoods Mission and state missions; in Rajasthan, this is Rajeevika. It brings together training, bank credit and market linkages for SHG women.
Choosing the right livelihood
The best activity is one that fits local demand, the woman's skills and the time she can give alongside household responsibilities. Common options in Rajasthan include:
- Dairy and goat rearing, with better breeds, feed and veterinary care.
- Vegetable cultivation, nursery raising and kitchen gardens for local markets.
- Food processing: pickles, papad, spices, millet snacks.
- Handicrafts and textiles: block printing, embroidery, bandhej.
- Services: tailoring, beauty services, digital services centres and banking correspondents.
- Small retail shops and input supply for farmers.
Skills come first
A loan without skills often becomes a burden. Short practical training in the chosen activity, basic bookkeeping, pricing and quality makes a big difference. Many women also need confidence in using mobile phones for payments and orders. My earlier article on [financial literacy for rural women](/insights/financial-literacy-for-rural-women-savings-insurance-pensions) explains the money skills every woman entrepreneur needs.
Credit that fits the business
SHGs can access bank loans through linkage programmes, and individual members can apply for enterprise loans as their businesses grow. The key is to borrow for productive assets, keep repayments regular and avoid using business loans for consumption. Groups that maintain good records and repayment histories get larger loans over time.
Markets make the difference
Many women's enterprises struggle not with production but with selling. Collective marketing through SHG federations and producer groups gives better prices and bargaining power. Fairs, government emporiums, online marketplaces and tie-ups with local shops and institutions open new channels. Branding, packaging and consistent quality help products move from village fairs to city shelves. ATTPL Agritech's [agri marketplace](https://agri.attplai.com/agri-marketplace) and [women agripreneur programme](https://agri.attplai.com/women-agripreneur) aim to connect rural producers with buyers.
Keeping records and planning growth
Women who keep simple records of what they buy, sell and earn quickly see which products make money and which do not. A notebook or a basic mobile app is enough to start. With records, a woman can price her products properly, plan when to buy raw material, show her bank a clear picture when she needs a larger loan and decide when to expand. Groups can appoint a trained bookkeeper who helps members keep their accounts in order and prepares monthly summaries for group meetings.
Growth should be planned in small, safe steps: add one more animal, one more product line or one more market at a time, and only when the existing business is running smoothly and repayments are regular.
Building leaders, not just earners
When a woman earns, she also gains confidence to lead. Many SHG members go on to become community resource persons, federation leaders and panchayat representatives. I have written about how [self-help groups build women's leadership](/insights/self-help-groups-and-women-leadership-in-rural-rajasthan) in rural Rajasthan. Supporting these leaders with mentoring, as described in my [mentoring framework for young women entrepreneurs](/insights/mentoring-young-women-entrepreneurs-a-practical-framework), multiplies the impact.
How families and communities can help
- Share household work so that women have time for their enterprise.
- Support women's travel for training and markets.
- Keep business income in the woman's own bank account.
- Celebrate women's achievements in village meetings.
Technology can also help women run their businesses better; [ATTPL IT](https://it.attplgroup.com/) builds simple digital tools for small enterprises.
Maya's takeaway
Lakhpati Didis are built step by step: the right activity, practical skills, fair credit and reliable markets, supported by families who believe in women's potential.
Frequently asked questions
Who is a Lakhpati Didi?
A self-help group member whose household earns at least one lakh rupees a year on a sustained basis through livelihood activities.
Which agency supports SHGs in Rajasthan?
Rajeevika, the Rajasthan Grameen Aajeevika Vikas Parishad, is the state rural livelihoods mission that works with SHGs.
What is the best livelihood for SHG women?
It depends on local demand, skills and time. Dairy, food processing, handicrafts, vegetable farming and services are common choices.
Sources
This article is general information and a leadership perspective. It is not legal, financial, tax, medical or investment advice. Please consult a qualified professional for your situation. Facts and figures are taken from the public sources listed above and may change.
Maya Godara
Co-Founder & Managing Director, ATTPL HOLDCO / ATTPL GROUP, Jaipur, Rajasthan, India.
More from Maya Godara
Self-Help Groups and Women's Leadership in Rural Rajasthan
How self-help groups build women's leadership in rural Rajasthan: savings and credit, livelihoods, decision-making and what helps SHG leaders grow.
Read the article