Togoontumur C. is a 38-year-old widow who has one daughter, Enhzul, who is six years old and goes to a local elementary school. Togoontumur lives with her mother and daughter in Arhangay, one of Mongolia's central provinces. Her mother is retired and stays home, taking care of Togoontumur’s daughter. In 2005, Togoontumur started a business selling souvenirs. She buys unprocessed sheep's wool from local herders, then makes it into a variety of items that remind visitors of Mongolian culture and tradition. She makes most of her income in the summer, when many tourists head to Mongolia. Her dream is to open her own shop in the future. She has applied for this loan to buy raw materials such as wool, paint and wire.
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.