D. is 30 years old and lives with her husband and two children in a house in the Uvurkhangai province of Mongolia. Her son and daughter both attend a local secondary school and her husband is a taxi driver in their town. D. operates a retail cosmetic business and beauty salon in a rented space. Her business started in 2000 and has grown steadily over the years due to her loyal customers. Twice a month, D. transports beauty products from Mongolia’s capital city, Ulaanbaatar, back to her business. She wants her children to be able to continue their education at university so that they can contribute to their country’s development. D. is requesting a 4,000,000 tugrug (~2800 USD) loan in order to purchase more beauty products and tools for her growing salon.
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.