Delgermaa O. lives with her husband and four children between the ages of 11 and 17 in Arhanghay, one of Mongolia's central provinces. Her four children are all high school students. Delgermaa has a small business selling dairy products. Her husband helps in her business. Since 2000, she has been visiting herder families and purchasing their dairy products such as milk, cheese, cream and curds. She brings them to the local food market and resells them at a profit. Her husband drives his car from family to family to purchase dairy products whenever more is needed. Since 2000, her business capital has increased from 450,000 MNT to 3,000,000 MNT. In the future, she hopes to create a wholesale market for dairy products in her town. She requests a loan to purchase more dairy products for her business.
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.