L. Sukhbaatar is 30 years old and lives with his wife and two young children, ages 1 and 3, in Arkhangai province in central Mongolia. He and his family live in a ger, a traditional Mongolian nomadic housing tent. His oldest son already attends kindergarten, and his wife, a photographer, stays home with the little one. Sukhbaatar operates a vegetables trading business in his town. He provides a large selection of vegetables, some of which he harvests himself, to his customers. This year, he wasn't able to harvest carrots and must purchase them. Sukhbaatar started his grocery business in 2006 with working capital of 500,000 tugrugs (~350 USD). After several years of successful business activity he has used his earnings to provide for his family and was recently able to purchase a car. Today, his working capital exceeds 5,000,000 tugrugs (~3500 USD). For the future, he hopes for continued success and says, " My only wish is to provide for my children's future edcucation." He is requesting a 1,400,000 tugrug (~980 USD) loan to purchase carrots for his grocery 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.