Abstract:
This study was conducted to assess the Contributions of Self Help Groups (SHGs) for
Livelihood Improvement of Women Living under Extreme Poverty in three Woredas of Nifas -
Silk Lafto Sub-City, Addis Ababa. In this study, an attempt has been made to assess the
effectiveness of self-help groups in changing the members’ livelihood. To achieve the study
objectives, the researcher used descriptive survey and exploratory research designs and mixed
qualitative and quantitative approaches. With purposive sampling techniques, from each of the
three woredas strong, medium and poor Self-help groups were taken. Data collection methods
used in this study includes in-depth interview, observation, focus group discussion and
document review. A Focus Group Discussion (FGD), Six SHGs members, two persons from
each group, three SLE coordinators and two from woreda officers was held. Both quantitative
and qualitative methods of data analysis ware employed. Among the urban areas Nifas-Silk Lafito Sub City is one of the poorest areas where many women face various livelihood
problems in Addis Ababa. Save Lives Ethiopia (SLE) is a local NGO that mainly focuses on
poverty reduction intervention addressing the poor women problems in SHG approaches. The
study shows that it has a significant impact on lives of the members, in changing challenges to
opportunities and opportunities improved the life of poor women impacting on economic and
social life. The study identified the contributions of SHGs for livelihood improvement and
played a great role in improving saving culture, social life, emotional intelligence and
leadership skill of the poor women. On the other hand, SHGs encountered critical challenges
in the process of implementing the concept among the community such as financial and
material help expectations from the project, lack of market place and illiteracy of most
members of the group. The study concluded that through participating in SHGs, it is possible
to bring sustainable development and change in the economic life of the members such as level
of income, education and health care,. Finally, the Study stressed that the SHG approach is
efficient, effective and sustainable that should be adopted by other development actors.
