**Introduction**

The correct answer is option 'B' - 1992. SHG stands for Self-Help Group, and it is an important initiative that was introduced in India in 1992. Let's understand the background and significance of SHGs in detail.

**Background**

In the early 1990s, poverty and unemployment were major challenges faced by many communities in India. The government realized the importance of empowering individuals and communities to uplift themselves from poverty. This led to the introduction of the Self-Help Group (SHG) movement.

**Explanation**

1. **Definition and Purpose of SHGs:**
- Self-Help Groups are small voluntary associations of people, usually from similar socio-economic backgrounds, who come together to address their common problems.
- The primary purpose of SHGs is to enable members to save money, access credit, and engage in income-generating activities.

2. **Key Features of SHGs:**
- SHGs are formed with 10-20 members, mostly women, from the same locality or community.
- They meet regularly to discuss and address their socio-economic issues.
- Members contribute a small amount of money regularly as savings, which is collectively managed by the group.
- SHGs have a democratic structure, with elected leaders and regular meetings where decisions are made collectively.

3. **Role of NGOs and Banks:**
- NGOs (Non-Governmental Organizations) play a crucial role in the formation and capacity building of SHGs.
- They provide training on various aspects such as bookkeeping, leadership, and entrepreneurship to the members.
- Banks and financial institutions provide credit facilities to SHGs, based on their collective savings and repayment track record.
- SHGs also act as intermediaries between banks and their members, facilitating the flow of credit to individuals who otherwise may not have access to formal financial services.

4. **Impact of SHGs:**
- SHGs have brought about significant positive changes in the lives of their members.
- Members have gained economic independence, improved their standard of living, and become more confident and self-reliant.
- SHGs have played a crucial role in poverty alleviation, women empowerment, and rural development.
- They have also facilitated the growth of microenterprises and entrepreneurship at the grassroots level.

**Conclusion**

The introduction of SHGs in 1992 has been a turning point in empowering individuals and communities in India. By providing access to credit, encouraging savings, and promoting entrepreneurship, SHGs have played a vital role in poverty alleviation and rural development. The impact of SHGs has been significant, leading to economic independence and improved living conditions for many individuals.

In 1991-92 NABARD started promoting self-help groups on a large scale. And it was the real take-off point for the 'SHG movement'. In 1993, the Reserve Bank of India also allowed SHGs to open saving accounts in banks.