Erdenebulgan L. is 29, married, and has a three year old daughter. His family lives in a "ger" (a nomadic Mongolian tent) district in Arhanghay, one of the Mongolian central provinces. In 2004, Erdenebulgan, along with his brother, started selling bricks to local construction companies. From the beginning, the business has been doing well. Business capital has increased from 200,000 MNT ($1 USD= 1,500 MNT) to 1.5 million MNT. Erdenbulgan dreams of owning a larger brick factory that can meet the needs of larger construction companies. He hopes his only daughter will acheive a high level of education. Erdenebulgan is requesting a loan to buy construction materials for his brick baking.
This loan is being administered through XacBank, a Mongolian for-profit microfinance institution. XacBank is located in every province of Mongolia, reaching some of the most rural micro business clients. With this Kiva loan, there is an opportunity for the entrepreneur to get a savings account including 9% of the interest if they pay back the loan on time. This is a special savings account that XacBank has specifically prepared for the Kiva loan borrowers to promote savings habits.