Social capital formation is an important strategy to reduce poverty. Social capital supplements other forms of capital such as physical, financial and human capital and plays a crucial role in poverty alleviation. Social capital manifested in various forms such as structural, cognitive and relational capital (structural dimension) as well as bonding, bridging and linking social capital (network dimension) could enhance the opportunities of the marginalized and excluded groups to have access to resources and socio-emotional goods. Extensive literatures have corroborated the role of social capital in combating poverty. Poverty eradication programmes in India and across the world (Self Help Groups, Kudumbasree, Grameen Bank, etc.,) have relied on building social capital to facilitate the deprived groups to engage with the resource – rich networks enabling them to come out of deprivation and poverty.