Oyuntsetseg B. is 47 years old and has been living with her husband and daughter in the central province of Mongolia for 30 years. She and her family live in a ger, a traditional Mongolian housing tent. Her husband works as a driller for the Central Water Company in their town while her daughter is a student in Ulaanbaatar, the capital city of Mongolia. Oyuntsetseg operates a hair salon in her town, sharing the salon and the rent with several of her friends who are beauticians and hairdressers. Oyuntsetseg started the salon in 1980 and since then her business has grown steadily over the years and is popular in the area. Although her cooperation with her friends has proven to be successful, Oyuntsetseg dreams of being on her own. She says, "I would like to open my own beauty and hair salon in the future." She is requesting a 2,300,000 MNT loan to purchase beauty products for her business and to use some of the money for her daughter's tuition fees.
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.