Amgalan T. is 29 years old and currently lives with his wife and two children in Arhangai province, one of Mongolia's central provinces. His two daughters are 2 and 8 years old.
Amgalan is a talented carpenter. He runs a small wood carpentry and processing shop, called "Arts Ovor." He started this wood processing business with his father in 2000. When he started, his capital was about 450,000 MNT ($1 USD=1,450 MNT). Since the start, his small business has grown and now his working capital has reached 3,500,000 MNT. He hopes to expand his business and eventually buy a small car for his family. He requests a loan to purchase wood for his 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.