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at is the Purpose of JLG?

Providing Credit to Small and Marginal Farmers, Tenant Farmers, Oral Lessee, Landless

Labourers and Artisans

Providing Collateral free Loan to Groups

Building Confidence beteen Groups and Ban!s

To mitigate t"e credit ris! b# a# of group d#namics, peer pressure, credit discipline and

cluster approac"$

To provide self emplo#ment and increase production of agricultural products$

What are the features of JLGs?

%$ Members s"ould "ave a common activit#$

&$ Members need not to "ave a land title$

'$ Members s"ould be of t"e same village$

($ Onl# One member of a famil# can become a member of )LGs$

*$ Members s"ould not be a defaulter of ban! loan$

+$ Member s"ould "old regular meetings$

Who can promote JLGs?

)LGs can be promoted b# Business FacilitatorsCorrespondents, -GOs, Farmers Clubs, Farmers

Federations, Panc"a#ati .a/ 0nstitutions, Agricultural 1niversit#, Ban! Branc"es, PACS,Cooperative Societies, 0ndividuals, mF0s and Man# Ot"ers$

What is difference between SHG and JLG?

S2G is primaril# an Saving oriented groups "ic" borroing poer is determined based on its

saving$ 2oever, )LG is a credit oriented group "ic" is primaril# formed to avail loan from t"eban!formal credit institutions$

What are the Models of JLG ?

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A ban! can finance a )LG in to a#s eit"er financing to group directl# or individual in t"e

groups$ 0n bot" of t"e cases all members of )LG is responsible for repa#ing t"e loan amount$

Documents Required b !an" for JLG

)LG s"ould be first promoted b# an# individualsinstitutions 3)LGs Promoting 0nstitutions4$T"ereafter, ban! re5uires 67C, Loan Application, 0nter Se Agreement and 8P-$

What is the role of JLG Promotin# $nstitutions?

%$ Maintaining Account .egister for Credit Lin!age and .epa#ment 8etails .egister

&$ Capacit# Building of )LG members

'$ 9:plaining t"e benefits of )LGs to Membersban!s$

%ational !an" for riculture and Rural De'elopment

(%&!&RD) * JLGs Scheme

-ABA.8 supports formation of )LG in pro/ect mode for availing micro credit from ban!st"roug" all its offices across 0ndia$ T"e sc"eme is implemented t"roug" good -GO, Farmers

Clubs etc$ -ABA.8 "as publis"ed one boo!let on Success Stories of )LGs "ic" is available on

its ebsi