Muhkhjargal B. is a 26 year old young lady who lives with her husband in the Arkahngai province of Mongolia. Her husband is a goat herder and they do not have any children yet because they want to save money in order to provide for the family. She started her clothing sales business in 2007 by renting a small stall in the Central market to sell a variety of products that have been imported from China. At first, the working capital was 500 000 turgug (~350 USD) but soon grew to over 1 200 000 tugrug (~800 USD). Today, she focuses on her dream of owning her own small shop in the future. She is requesting a 1 500 000 tugrug (~1050 USD) loan to purchase more men and women apparel for her growing store.
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.