Munkhtogtokh is 42 years old and lives with his wife and four children in Uyurkhangai province of Mongolia. The three oldest children attend high school, while the youngest child is at home. Munkhtogtokh makes furniture in his own shop near the family home. He started this business in 1996 and has since made quality furnishings for the people of his town. Munkhtogtokh wants to one day own a stall in the large central market where he can expand his customer base, sell more furniture and further improve his family’s financial situation. In the 13 years of owning his business, Munkhtogtokh has not only gained experience and knowledge in making quality furniture products, but he has also gained business knowledge. He is requesting a 3,960,000 tugrug (~2800 USD) loan to buy more wood and furniture making supplies for his 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.