Marusya J. is a 61-year-old lady who lives with her husband in Arhangay, one of the Mongolian central provinces. Her family lives in a ger, a Mongolian housing tent on the plot of land they own. Her husband, Batsuh, is a driver. Marusya has been running a small bakery shop since 2005. She bakes a variety of cakes, cookies and bread. As she is a very experienced baker, she could have many repeat clients who purchase her product on a daily basis. When she began her business, she had only 350,000 tugrugs. That is equal to $250 US. As a result of her five years of hard work, her working capital has increased 10 times. To increase her business inventory, she requests a loan to purchase ingredients such as flour, eggs, and sugar for her 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.