Tumruu D. is a married woman who, together with her husband, Erdenehuu, lives in a "ger" (nomadic housing tent) district on the plot of land they own in Arhangay, one of Mongolian central provinces. All her children are living apart with their own families.
Since 2006, with her sibling, Tumruu has been running a dry-cleaning service in a rental place. When she began running her business, her working capital was 5.5 million tugrug (1 USD = 1,100 MNT in 2006). During the last three years of hard work, her capital has increased by 2 million MNT. Tumruu's husband helps his spouse's business if he has time.
During the interview with credit staff Tumruu says that her wish is to have her own place to run her business, since paying a rent fee every month is tough. With this loan she plans to buy new equipment and raw materials for her dry-cleaning 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.