Tsegmid T. is 34 years old and lives with his wife and three children in Uvs, Mongolia. He and his family live in their ger /Mongolian nomadic housing tent. His wife operates a sewing business by producing a variety of deels, a traditional Mongolian coat, in their home.Tsegmid has been operating a taxi service for the past five years after moving to the capital city of the province. He used to live a nomadic lifestyle in the country, herding his livestock.
Over the years, he has built a stable taxi service with a monthly revenue of between 150,000 and 180,000 MNT. He wants to change cars and get a more convenient, faster one. He has sold his previous car at 2,000,000 MNT and soon will purchase a new car in Ulaanbaatar. Tsegmid is a very clever and talkative person. He is requesting a 2,000,000 MNT loan in order to purchase a new Japanese car at 4,500,000 MNT for his taxi 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.