Lhamsuren B. is a 29 year old single mother. Her only daughter, Hongorzul, is 6 and attends an elementary school. Her family lives in a rented home in a "ger" (traditional nomadic tent) district of Ulaanbaatar, the capital city of Mongolia. In 2007, she started running a children's clothes stall at Narantuul, the biggest outdoor market in Ulaanbaatar. She used to run a retail business of buying and selling raw materials. With her previous business profits, she bought a stall at the Narantuul market and started her clothing business. Once a month she goes to Ereen, a Chinese border city, to buy children's clothes at wholesale prices. Lhamsuren requests a loan to purchase summer clothes to increase her business inventory. Her hope is to have her own place to live.
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.