UP Rural Women Gain Financial Independence through SHGs, Livelihoods

By: Women Entrepreneurs Review Team | Tuesday, 27 October 2026

Rural women in Uttar Pradesh are gaining financial independence through self-help groups (SHGs), banking services, dairy farming, renewable energy and other livelihood initiatives. These programs are helping women generate income, access employment opportunities and strengthen their role in the state's rural economy.

Since 2017, more than 1.066 million self-help groups have been formed across Uttar Pradesh, bringing together over 12.5 million women. Initially established around savings and mutual support, these groups have expanded into small businesses, financial services and income-generating activities. They also help women develop skills, access resources and work collectively towards economic stability.

More than 16,021 rural women working as Vidyut Sakhis have collectively collected approximately Rs. 3,562 crore in electricity bills, earning over Rs. 46 crore in income. Their work supports electricity bill collection while providing women with an additional source of livelihood and helping improve service delivery in rural communities.

Key Highlights:

• Uttar Pradesh has formed over 1.066 million self-help groups, involving more than 12.5 million women
• Vidyut Sakhis and BC Sakhis are boosting rural incomes through electricity bill collection and banking services
• Women are expanding their livelihoods through dairy farming, solar energy and rural employment programs

Sakhis (Banking Correspondents) are also contributing towards providing digital banking services in the rural areas to the households. Over 39,890 women are engaged in banking services, and have transacted over Rs. 46,000 crore. They have earned a total of Rs. 126.5 crore. These women are facilitating financial inclusion and enhancing their livelihoods by providing financial services in their villages.

Another sign of progress for rural women is an increase in income. Over 2.816 million women in Uttar Pradesh reportedly earned an annual income of more than Rs. Under the Lakhpati Didi category, 1 lakh has been allocated. Their involvement in various livelihood programs reflects the prospects for women to enhance their economic status through such efforts and income generation opportunities.

Furthermore, dairy farming and animal husbandry are helping to ensure women's economic empowerment. Over 388,000 women livestock farmers are engaged in activities related to dairy products in 6,603 villages of 31 districts. The sector has brought in more than Rs. of business. The additional income earned by 5,716 crore was above Rs. These women would get 133 crore each. In addition, over 70,000 women involved in the dairy sector have been upgraded to Lakhpati Didi category.

Solar energy is increasingly being used by women entrepreneurs. Over 5,433 women are working on renewable energy projects in total, generating over 28.5 megawatts. They are playing a role that is opening up new opportunities for people who aren't typically engaged in agriculture and promoting their participation in new industries.

There has also been continued participation of women in the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA). As per the given data, in 2026-27, nearly 570,000 women workers were engaged, that's about 46.44% of the total.

These projects collectively show the role of self-help groups, financial services and initiatives related to dairy farming and renewable energy in increasing the economic opportunities for women in Uttar Pradesh. These initiatives are fostering the financial autonomy of rural women and enabling them to play a stronger role in their households and communities, through diversified income generation.