Yanjindulam G. lives with her husband and her family in a ger, a traditional housing tent in Uvs province, in the western part of Mongolia. Her husband works seasonally in a construction company as a decorator with a salary of 250,000 MNT while Yanjindulam operates a food retail business in their town. She had worked in her town as a nurse for more than 30 years and had been retired in 2009. Her current working capital exceeds 2,000,000 MNT and her daily revenue is between 80,000 and 90,000 MNT. She is planning to expand her small stall and says, “I am trying to afford my youngest son's tuition fees and planning to enlarge my small stall as a supermarket”. Yanjindulam is requesting a 1,000,000 MNT loan in order to purchase a large amount of food products at wholesale prices.
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.