The Self Help Group (SHG)-Bank Linkage Programme, in the past nineteen years, has become a well known tool for bankers, developmental agencies and even for corporate houses. SHGs, in many ways, have gone beyond the means of delivering the financial services as a channel and turned out to be focal point for purveying various services to the poor. The programme, over a period, has become the common vehicle in the development process, converging importantdevelopment programmes. With the small beginning as Pilot Programme launched by NABARD by linking 255 SHGs with banks in 1992, the programme has reached to linking of 69.5 lakh saving-linked SHGs and 48.5 lakh credit-linked SHGs and thus about 9.7 crore households are covered under the programme, envisaging synthesis of formal financial system and informal sector. In view of the large outreach and pre-dominant position of the microfinance programme, it isimportant to keep a continuous track of the status, progress, trends, qualitative and quantitative performance comprehensively. To achieve this objective, Reserve Bank of India and NABARD issued guidelines in the year 2006-07 to Commercial Banks, Regional Rural Banks and Cooperative Banks to furnish data on progress under microfinance. The data so collected covers various parameters like savings of SHGs with banks, bank loan disbursed to SHGs, bank loanoutstanding against SHGs, gross nonperforming assets of bank loans to SHGs, recovery performance of loans to SHGs. Further, the banks also furnished the data regarding bank loans provided to Micro Finance Institutions (MFIs). NABARD has been bringing out the consolidated document annually. This research presents the bird eye view regarding the small achievement the microfinance vision 2011 of Government of Arunachal Pradesh has made progress under microfinance sector under the model, SHG-Bank Linkage model, the problems encountered by the members of SHGs in moving ahead for the common good of the groups
