Bat-Undrah D. is 29 years old and lives with her husband and two children in a house in the Baganuur, one of the remote districts of Ulaanbaatar, Mongolia's capital city. Both of her children attend secondary school while her husband operates a carpentry and construction business to supplement his family's income.
Bat-Undrah manages a cafe in a rented space close to the road where she can attract a large number of customers. She has been engaged in this business since 2009 with one employee to help her. Before starting her own cafe, she used to work as a cook in the Tugs Tuguldur cafe. She plans to expand her cafe and therefore is requesting a 2,000,000 MNT loan in order to purchase necessary equipment such as a freezer, a refrigerator with a glass door, and a stove for her cafe, and also decorate her cafe.
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.