Abstract:
Self Help Groups (SHGs) are common grassroots member - based institutions in which people
join to take actions in addressing different issues pertaining to poverty reduction and
improving their socio-economic situations. This research report is an output of a case study
investigation on examining the contributions of SHGs to the socio-economic development of
their members in two wards of Shinyanga District (i.e. Samuye and Rizumbi). In this study.
data. both primary and secondary was collected from the field using various data collection
techniques including interview, questionnaire, föcus group discussion and documentary
review. The data were analyzed both qualitatively and quantitatively, Statistical Packages of
Social Scientist (SPSS) being helpfull in the analysis. Findings showed that. the groups were
purely informal and people joined for various motives including credit and savings social
support and technical support. The study also revealed that, members of SHGs performed
different economic activities including farming, livestock keeping and petty business. In
addition to social assistance, the functions of the groups focused at assisting members in
improving the activities they performed. From the findings, the report recommends that, SHGs
as favourable grassroots institutions, if institutionalized. they will be effective of mobilizing
efforts and resources of poor people in the course of combating poverty. As it was found that
group action works better than individual, it is recommended that SHGs when formalized may
be used by community development actors in addressing poverty concerns in the community.
