Tumurchudur B., aged 26, lives with his wife and two-year-old daughter in Arhangai province, Mongolia. He and his family live in a ger, a traditional Mongolian housing tent, located in a small yard that they rent.
Tumurchudur operates a wooden furniture manufacturing business in his own small workshop. He runs the business with his wife's help. He started his business with capital of 100,000 MNT after participating in a wooden products manufacturing training course in 2002. Since that time, Tumurchudur has been operating his business successfully and today has increased his capital to a level exceeding 2,900,000 MNT. His business earnings have enabled him to expand his business and purchase new equipment to manufacture his products.
Tumurchudur is a very hardworking person and prides himself on creating a variety of products that his customers will like. He is requesting a 1,800,000 MNT loan to purchase timber and to transport his products to other provinces to sell.
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.