Badamgarav H. is 47 years old and lives with her husband and two children in the Central province of Mongolia, in a ger, a traditional Mongolian nomadic tent. Her son attends a local primary school while her husband has been working as a driver in the power station of the province for eleven years. Badamgarav has run a food retailing business since 2008 out of two rented stalls at the local market called Altan-Eh. She decided to start her business when she worked for a local garment factory and traveled a lot to China and gained experience in how to manage a business. She began with working capital of one million MNT and it has now reached 4,300,000 MNT. Thanks to her successful business, Badamgarav was able to remodel the yard and house in where the family lives. She says: “I would have a comfortable apartment with my business profit.” Badamgarav is a hard-working woman who is requesting a 3,500,000 MNT loan in order to purchase a fridge, freezer, and also increase her working capital.
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.