Namdag A. is 35 years old and lives with his wife and four year old son in Arkhangai province in central Mongolia. He and his family live together in a ger, a traditional Mongolian nomadic tent. A. currently operates a taxi service in his town. He started driving a taxi in 2008 with capital of 400,000 tugrugs (~280 USD) and has found success. He has used his earnings to stabilize his family's financial situation and improve their quality of life. He also was able to purchase a car which he uses as his taxi. Today A.'s working capital exceeds 800,000 tugrugs (~560 USD). For the future, he hopes to continue his business' stable operation so that he can provide for his son's education. He is requesting a 700,000 tugrug (~490 USD) loan to purchase auto-parts so he can make repairs to his car and continue to operate his taxi service.
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.