Tserenbyamba S. is 28 and lives with her parents and three-year-old son in Uvurhanghay, one of Mongolia's southern provinces. Her parents receive a government pension, but her mother has been ill lately. Although Tserenbyamba has her own one-bedroom apartment in town, she has rented it out to pay for medicine for her sick mother.
After she graduated from university in 2001, Tserenbyamba started a small retail business selling women and men's clothing. Early that year, she opened a small stall in the local market, and in December 2008, she rented another stall in a new shopping center that just opened. She usually buys clothing from the wholesale markets in Ulaanbaatar, the capital of Mongolia. She hopes she can afford all the medicine her mother needs, and would eventually like to open her own clothing shop. Tserenbyamba is applying for this loan to buy more clothing from Ulaanbaatar to sell to her customers.
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.