Abstract: The present research study was carried out to find out the effectiveness of the scheme of Swarnajayanti Gram Swarojgar Yojna (SGSY) in Udham Singh Nagar district of Uttarakhand. On the basis of the collected data it is clear that how much the programme was effective to its beneficiaries i.e. swarojgaris and to the SHGs. The knowledge about important issues such as overall project cost, loan and subsidy that can be availed by different groups of society was missing in some cases. This information remained confined to the group leader, because of ineffective leadership and due to ignorance on the part of SHG members. But in most of the cases, SHGs 75 per cent were well acquainted with this aspect. The progress of SHG needs to be periodically reviewed and monitored to isolate the hindering factors and enabling smooth functioning of the unit. A block level committee is formed for this purpose. Although all the surveyed areas had this committee but their functionality was questionable, because some of the SHGs 37.5 per cent were unaware about this reporting unit. So it was not functional in some of the cases and did not play its role as it should. When it comes to the income of the SHG members, half of the surveyed SHGs had no knowledge about the stipulated guidelines of the government on monthly income.