Towards Sustainable Livelihoods and Decent Work in Rural India through Grassroot Governance Institutions such as Self-Help Groups

Authors

  • Pramila Satpathy Research Scholar, School of Rural Management, XIM University, Bhubaneswar Author

DOI:

https://doi.org/10.66635/42fz5d11

Keywords:

Self-Help Group (SHG), Environmental Social and Governance (ESG), Informal Sector, Sustainable Development Goals (SDG)

Abstract

There are plenty of informal economies in the rural sectors of developing nations, as people have less access to formal employment and fewer job opportunities. Women in rural India have managed to become self-employed through ‘Self Help Groups,’ which promote savings. Though these groups have gained much academic and practical recognition as microfinance organizations, their role in generating decent jobs and improving the quality of employment through economic sustainability has not received enough attention from researchers and policymakers alike. The new paradigm of development now recognizes ESG criteria as measures of sustainable economic growth. However, this approach overlooks the significance of community-based rural businesses and concentrates exclusively on large firms.

Through this investigation, light is shed on the interconnection between development approaches that emphasize ESG factors and current research on Self Help Groups (SHGs) in rural business ventures. In associating SHGs' operating mechanisms to ESG factors and rural livelihood development, this paper creates a theory based on qualitative interview analysis and institutional analysis of women SHG's in rural Odisha, India. The micro credit group forms the basis of an institution that empowers women by questioning the prevailing status quo in an effort to move forward towards a better economic future. The incorporation of self-help institutions into the ESG approach means shifting attention from corporations to social institutions, leading to inclusive rural economic reconstruction.

 

References

1.Adger, W.N. (2000), ‘Social and ecological resilience: are they related?’, Progress in Human Geography, Vol. 24 No. 3, pp. 347–364, doi: 10.1191/030913200701540465.

2.Balamurugan, P. and Selvaraj, D.A. (2014), ‘Microfinance and poverty alleviation: An analysis with SHGs contribution’, International Journal for Research in Management and Pharmacy, Vol. 3 No. 1, pp. 7–14.

3.Bonny, B.P. and Rajendran, P. (2013), ‘Evaluation of Self Help Groups (SHG) as a social enterprise for women empowerment’, Journal of Tropical Agriculture, Vol. 51 No. 1, pp. 60–65.

4.Colak, M. and Sarioglu, M. (2025), ‘The Effect of Corporate Governance on the Quality of Integrated Reporting and ESG Risk Ratings’, Sustainability, MDPI, Vol. 17 No. 11, p. 4868, doi: https://doi.org/10.3390/su17114868.

5.Diniz, E.M. and BErMann, Ce. (2012), ‘Green economy and sustainability’, Estudos Avançados, SciELO Brasil, Vol. 26 No. 74, pp. 323–330, doi: https://doi.org/10.1590/S0103-40142012000100024.

6.Dyck, A., Lins, K. V, Roth, L. and Wagner, H.F. (2019), ‘Do institutional investors drive corporate social responsibility? International evidence’, Journal of Financial Economics, Vol. 131 No. 3, pp. 693–714, doi: https://doi.org/10.1016/j.jfineco.2018.08.013.

7.Fernandez, A.P. (2006), ‘History and Spread of the Self-Help Affinity Group Movement in India’, Occasional Papers -Knowledge for Development Effectiveness.

8.Gray, R. (2006), ‘Social, environmental and sustainability reporting and organisational value creation? Whose value? Whose creation?’, Accounting, Auditing & Accountability Journal, Emerald Group Publishing Limited, Vol. 19 No. 6, pp. 793–819, doi: https://doi.org/10.1108 /09513570610709872.

9.Khamisu, M.S. and Paluri, R.A. (2024), ‘Emerging trends of environmental social and governance (ESG) disclosure research’, Cleaner Production Letters, Vol. 7, p. 100079, doi: https://doi.org/10.1016/j.clpl.2024.100079.

10.Kumar, N., Raghunathan, K., Arrieta, A., Jilani, A. and Pandey, S. (2021), ‘The power of the collective empowers women: Evidence from self-help groups in India’, World Development, Elsevier, Vol. 146, p. 105579, doi: https://doi.org/10.1016/j.worlddev.2021.105579.

11.Lavers, T. and Tighe, E. (2016), ‘The role of decent work in ending poverty in the rural economy’, World Employment and Social Outlook, Wiley Online Library, Vol. 2016 No. 2, pp. 143–162, doi: https://doi.org/1 0.1002/wow3.86.

12.Mahapatra, R. (2024), ‘Women’s Day 2024: “She” is for Self Help Empowerment’, Down to Earth, available at: https://www.downtoe arth.org.in/governance/women-s-day-2024-she-is-for-self-help-empowerment-94819.

13.Mattera, M. and Alba Ruiz-Morales, C. (2020), ‘UNGC principles and SDGs: perception and business implementation’, Marketing Intelligence & Planning, Emerald Publishing Limited, Vol. 39 No. 2, pp. 249–264, doi: https://doi.org/10.1108/MIP-08-2018-0319.

14.Nath, D., Chintey, M.P. and Saikia, M. (2025), ‘Self-Help Groups in Enriching Women’s Empowerment: A Bibliometric Synergy and Case-Based Perspective from Assam’, International Journal of Community Well-Being, Vol. 9 No. 1, p. 7, doi: 10.1007/s42413-025-00287-8.

15.Nyathi, D. (2025), ‘Rural transformation in the Global South: Livelihood shocks, Diversification and Household well-being’, International Review of Philanthropy and Social Investment, Centre on African Philanthropy and Social Investment (CAPSI), Vol. 4 No. 1, pp. 83–100.

16.Ong, J.H., Khatibi, A., Mohd Talib, Z. and George, R.A. (2025), ‘Ethical leadership in environmental, social and governance (ESG) adoption for Malaysian micro, small and medium enterprises (MSMEs)’, International Journal of Ethics and Systems, Emerald Publishing Limited, Vol. 41 No. 3, pp. 657–684., doi: https://doi.org/10.1108/IJOES-08-2024-0266.

17.Ostrom, E. (1990), Governing the Commons: The Evolution of Institutions for Collective Action, Cambridge university press, Cambridge, doi: https://doi.org/10.1017/CBO9780511807763.

18.Riyazahmed, K. (2025), ‘SKDRDP–A Success Tale of Sustainable Rural Development’, Business Ethics (General), Corporate Social Responsibility, SAGE Publications: SAGE Business Cases Originals, doi: https://doi.org/10.4135/9781071947548.

19.Scoones Ian. (1998), Sustainable Rural Livehoods A Framework For Analysis.

20.Singh, B. (2025), ‘Women ’ s empowerment through SHG-bank linkage in rural India’, International Journal of Foreign Trade and International Business, Vol. 7 No. 2, pp. 157–159, doi: https://www.doi.org/ 10.33545/26633140.2025.v7.i2b.184.

21.Singh, S., Ruivenkamp, G. and Jongerden, J. (2011), ‘A State of the Art of Self Help Groups in India’, Journal of Human Ecology, Vol. 36 No. 2, pp. 91–102, doi: 10.1080/09709274.201 1.11906422.

22.Touch, V., Tan, D.K.Y., Cook, B.R., Liu, D.L., Cross, R., Tran, T.A., Utomo, A., et al. (2024), ‘Smallholder farmers’ challenges and opportunities: Implications for agricultural production, environment and food security’, Journal of Environmental Management, Vol. 370, p. 122536, doi: https://doi.org/10.1 016/j.jenvman.2024.122536.

23.Venkatesu, E. (2016), ‘Model villages in the context of state, civil society and the market: emerging paradigm in India’, in Rumki Basu, M.S.R. (Ed.), Governance in South Asia, 1st Editio., Routledge India, London, pp. 209–226, doi: https://doi.org/10.4324/9781315394268.

24.Xheneti, M. and Madden, A. (2025), ‘Women’s entrepreneurship in the informal economy: A socio-spatial perspective’, Human Relations, Sage Publications Sage UK: London, England, Vol. 78 No. 9, pp. 1123–1162, doi: https://doi.org/10.1177/00187267241288661.

25.Yohe, G. and Tol, R.S.J. (2002), ‘Indicators for social and economic coping capacity—moving toward a working definition of adaptive capacity’, Global Environmental Change, Elsevier, Vol. 12 No. 1, pp. 25–40, doi: https://doi.org/10.1016/S0959-3780(01)00026-7.

Downloads

Published

2026-05-15

How to Cite

Towards Sustainable Livelihoods and Decent Work in Rural India through Grassroot Governance Institutions such as Self-Help Groups. (2026). Journal of Asia Entrepreneurship and Sustainability, 22(3s), 29-43. https://doi.org/10.66635/42fz5d11