Batsuh T. is 30 years old and lives with his wife and son in their own ger – a traditional housing tent – in Hovd province, western Mongolia. His wife works as a tailor while he operates a carpentry business in their town. Batsuh has been working as a carpenter since 2005 and over this period, he has earned the loyalty of his customers because of the quality of his work and service. His business is more profitable in the summertime than in the cold season. In the future, Batsuh would like to own his own carpentry shop and expand his product line in order to grow his customer base. He is requesting a 1,500,000 MNT loan in order to purchase more timber for his growing 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.