She started the business with 400,000 MNT of working capital ($1 USD=1,500 MNT) and sells her products from outside her house, which is located next to the road. An advantage of selling her products outside her home is that there is no rent. Her business capital has increased to 1,600,000 MNT. The business usually peaks during the summer time. As the summer approaches, she is requesting a loan to purchase more milk.
About XacBankThis 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.
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