Question

How do SHGs promote thrift among their members?

• A. By forcing members to deposit large sums of money
• B. By encouraging regular, small savings and pooling resources for collective benefit
• C. By distributing money freely to all members
• D. By investing members’ money in high-risk ventures

Answer 1

Answer:

B. By encouraging regular, small savings and pooling resources for collective benefit

Thrift is a key aspect of SHGs, where members contribute small amounts regularly to create a common fund. This pooled resource is used to meet the members' financial needs, such as loans for small businesses, education, and healthcare.