Tumenbayar T. lives with his wife in the Arhangai province, one of Mongolia's central provinces. He is 34 and just got married to his wife last year. Tumenbayar drives a micro van between Arhangai province and Ulaanbaatar, the capital city of Mongolia. He has been driving the passenger van between the aimag (province) and Ulaanbaatar for the last nine years. He started his business with a purchase of a small van with 1,000,000 MNT ($1 USD = 1,450 MNT) and today he owns two vans valued at 3,500,000 MNT.
As he is an experienced driver, customers are happy to choose his service for the long trip. In the future, he hopes to purchase a big bus in order to be able to carry more people at once. He requests a loan to purchase new accessories and tires for his micro van.
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.