Otgonbayar L. is 40 years old and lives with his wife and four children in Hovd province, western Mongolia. He and his family live together in a 'ger', a traditional Mongolian nomadic tent. The elder three children, ages 15, 12, and 10, all attend local secondary school while his youngest son, age 6, attends a local kindergarten.
Otgonbayar operates a meat retail business in his town’s local market with help of his wife. He started his first grocery trading business in 1997 and has been operating his meat trading business at the local market since 2008. Over the many years of business, he has built up a stable and successful operation as well as gaining much experience as a businessman. He purchases a variety of meats from the countryside and sells it at the market for a profit. Otgonbayar is requesting a 1,800,000 MNT loan to purchase livestock 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.