Ganhuyag S. is 48 years old and lives in the Huvsgul province in western Mongolia. He lives with his wife and two children in a ger, which is a traditional Mongolian nomadic housing tent. His daughter is currently attending a university in Mongolia's capital city, Ulaanbaatar, and his son helps his father with the family business. Ganhuyag's wife is employed at a local school as a teacher. Ganhuyag runs a wooden products manufacturing business in his town. He makes a variety of wooden products such as furniture. He started his business in 2001 and has had moderate success. He must design, produce and paint all of his products by hand because he can't afford the necessary tools and equipment. He has found it difficult to save his business earnings and has put all his money into paying his daughter's tuition fees. He says, "My son will soon be married, so I must support him so that he can live separately from his mother and I." Ganhuyag is requesting a 1,000,000 MNT loan to buy more wood and tools to increase his 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.