O. is 36 years old and lives with her husband and three children in the Bayanhongor province of Mongolia. She and her family live together in a ger, a traditional Mongolian nomadic tent. Her oldest daughter, 11 years old, attends a local secondary school while the younger two children, 4 and 2 years old, stay at home.
O. and her husband operate two businesses: the first, a used shoe retail business and the second, a restaurant. O. is mainly responsible for their restaurant, which they began in 2008 by purchasing an older restaurant in their town. Her husband is responsible for their shoe retail business, which they began in 2000 by renting a stall in the local market. Because of the success with their restaurant, they are planning on opening a second location in their town.
O. is requesting a 1,000,000 tugrug loan in order to purchase more used shoes and other goods to sell in their stall.
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.