Baasandorj D., 27, lives with his wife and daughter in a rented house in Ulaanbaatar, the capital city of Mongolia. His daughter, aged two, is in kindergarten. Baasandarj and his wife operate a meat-trading business in a rented stall at Harharin market, one of the largest markets in the city. They have had this business for the last three years and have built a stable operation. Baasandorj is responsible for purchasing meats from wholesale traders while his wife works as a salesperson in their meat stall. Their working capital has grown to 3,000,000 MNT. Baasandorj is a modest man who plans to expand his business and have his own work place. He is requesting a 3,500,000 MNT loan to purchase and preserve more meat.
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.