Erdenebat L. is 32 years old and lives with his wife and three children in Bayanhongor province of Mongolia. He and his family live together in a ger, a traditional Mongolian nomadic tent. All three children attend a local school, while his wife operates a clothes trading business in a rented stall at the Ayanchin market. He operates a taxi service using his own car. He and his family used to live in the countryside, leading a nomadic lifestyle, but unfortunately they lost all their livestock during a harsh winter and moved to his current town where he started his transportation business in 2000 after purchasing his own small car.
After several successful years driving a taxi, he was able to save up money to start another business by selling a variety of clothing items, imported from China, in a rented stall at the local market, in 2006. Today, both businesses have become stable. Erdenebat is a talkative and open-minded man. He will save enough money to purchase an apartment with 2-3 rooms for his family, in the future. Erdenebat is requesting a 1,000,000 MNT loan in order 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.