With the upcoming Bihar assembly elections in mind, all political parties are vying for the women’s vote. The current administration is working to financially empower women in Bihar. As part of this effort, the government has provided ₹10,000 to numerous women associated with the Jeevika project, a move seen as a strategic initiative aimed at bolstering their economic independence. However, many women linked to this project are facing financial distress and worry about loan recovery agents seizing the government’s aid.
While the government views this initiative as a welfare measure, the reality differs significantly on the ground. Women connected to Jeevika in Kinaru village, Muzaffarpur district, are burdened by debt. Many struggle to pay loan interest, and now fear that the ₹10,000 aid will be seized by bank recovery agents, who have reportedly stated that the money must be used to repay loans.
Several women are experiencing similar difficulties. Muneja Khatoon mentions that women borrow from their neighbors to repay Jeevika loans, as recovery agents from microfinance companies persistently harass them. Savita Devi shares that she took out multiple loans, creating a double debt burden for her family, with recovery agents constantly pressuring them.
This situation isn’t limited to Kinaru; it extends to neighboring areas. Rekha Devi points out that often, the loan amount received is less than applied for, and sometimes, the debt exceeds the initial proposal. Some families, unable to repay their debts, have left the village, with some women reporting that this debt has led to tragic outcomes, including suicide.
The government has reportedly spent ₹40,000 crore on the Jeevika project, impacting 1.3 crore women. Meanwhile, microfinance companies have distributed approximately ₹50,000 crore in loans. The central question remains: How will the government address the struggles of the women who constitute a significant portion of its voter base?