J. Altanbold is 37 years old and lives with his wife and son in Kharhorin, which is the capital city of the ancient Mongolian empire. He and his family live in a traditional Mongolian housing tent called a "ger". His son is 14 years old and currently attends a local secondary school.
Altanbold operates a grocery, meat and raw materials trading business in his town with the help of his wife. His wife is responsible for managing the grocery business and Altanbold takes care of the meat and raw materials selling. He purchases his products from herders in the countryside and uses his truck to transport them back to town to sell.
The couple went into business in 1996 after moving to Kharhorin from the countryside. At first they only had a small shipping container where they ran the grocery business, but after growing their business and saving some money they expanded and now rent a stall at a large trading center.
Altanbold hopes to continue his success in the future and says, "My wife and I are working hard to save money for our son's education." He is requesting a 3,000,000 tugrug loan to purchase meat and raw materials for his business.
XacBank was founded in 2001, and listed its first loan on Kiva in January 2009. It is the largest microfinance organization in Mongolia, but also has mainstream commercial operations. XacBank has the vision, scale and innovation to develop and implement new solutions to poverty. It is currently utilizing Kiva’s 0% lending interest rate to return 9% of interest paid from borrowers to them in the form of a savings account at the end of their loans. This not only allows borrowers to gain financially, but also encourages them to save.
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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.