Otgonbayar is 37 years old and lives with his wife and two young children in Uvurhangai province, Mongolia. He and his family live in a ger, a traditional Mongolian nomadic tent. His eldest child attends a local secondary school while the youngest one stays at home.
Otgonbayar and his wife operate a retail clothing business in their town. Otgonbayar is responsible for importing the products from China while his wife is responsible for selling the products in the market. They sell a variety of clothes, such as pants, jackets, boots and shirts. Otgonbayar began his business in 2006 and attributes his success to his good business sense and accounting skills. In the future, he is planning to expand his business and widen his product line. He says, “I worked in Korea before where I gained much business experience. With my business knowledge I am expanding and improving my business.” Otgonbayar is requesting a 4,000,000 MNT loan in order to purchase more products from China to sell at the market.
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.