Self-Help Group Membership and Reported Changes in Rural Household Income in Gumla District, Jharkhand: A Retrospective Empirical Study

Abstract

Self-Help Groups (SHGs) are widely used in India as platforms for savings, credit access, livelihood support, and women’s collective action. This retrospective observational study examines reported changes in monthly household income among 535 active female SHG members from five selected blocks of Gumla district, Jharkhand: Sisai, Ghaghra, Basia, Kamdara, and Chainpur. Respondents reported income categories for the period before joining an SHG and for the current/post-membership period. Income brackets were analysed both as ordinal categories and through midpoint values (₹1,000, ₹3,500, ₹7,500, ₹12,500, and ₹17,500). The transition matrix shows that 500 respondents (93.46%) moved to a higher income bracket, 35 (6.54%) remained in the same bracket, and none moved to a lower bracket. The midpoint-based estimated mean monthly household income increased from ₹2,925.23 (SD = ₹1,816.49) to ₹7,649.53 (SD = ₹2,656.36), an estimated difference of ₹4,724.30 (95% CI [₹4,539.14, ₹4,909.46]; paired t(534) = 50.12, p < .001). A Wilcoxon signed-rank analysis also indicated a strong upward shift in the ordinal income distribution (W = 0, |Z| = 20.14, p < .001). Because pre-membership income was recalled retrospectively and the design lacks a non-SHG comparison group, these results should be interpreted as a strong within-sample association rather than a causal estimate of SHG impact. The findings support further longitudinal research using contemporaneous baseline measurement, continuous income data, and an appropriate comparison group.