Bat-Erdene B. is 46 years old and lives with his wife and two daughters in Arhangai province of Mongolia. He and his family live in a ger, a traditional Mongolian nomadic tent. His oldest daughter, 20, is a university student while his youngest son, 15, attends a local high school. His wife sells farm supplies for livestock in the central city of province. Bat-Erdene operates a timber trading business in his town. He started his business in 2004 with 1,500,000 MNT of working capital which was used to purchase a vehicle. Over years of operation, he has built a stable and successful operation and his working capital has grown to 4,000,000 MNT. He purchases his timber from Bulgan province and sells it back to the local town for profit. He has gained much experience and also has a wide range of customer both in Arhangai and Bayanhongor provinces. He is a modest and hardworking man. He is requesting a 3,000,000 MNT loan to buy more timber and logs in order to increase his sales.
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.