Hishigjargal D. lives with her husband and two children in Arhangai province, one of Mongolia's central provinces. Her oldest daughter, 8 years old, is a 2nd grade student in a local high school. Her youngest daughter is just 1 year old and stays home. Khishigjargal runs a small public bathhouse for locals. These bath houses are quite common in places like Arhangai province since many of the local people live in traditional tents and do not have any access to hot water. They visit here once in a while and take hot showers for sanitary purposes. Since there are only two bathhouses in the town, many locals often come in her bathhouse and take hot showers. Her husband helps in her business and takes care of heating the bathhouse. She requests a loan to purchase coal for heating her bathhouse.
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.