Baasandorj T., 43, lives with his wife and three sons in the Hovd province of Mongolia. The family live live together in a ger, a traditional Mongolian nomadic tent, in his brother's fence. The older two children attend a local high school and the youngest son is in kindergarten.
Baasandorj and his wife operate the family business, a car repair service and machinery parts trading business, in their town, out of a rented shipping container. They started this business in 1996 and have since built a stable operation. At first, the couple rented a small stall to sell a variety of machinery parts but after a year of successful business operation, they managed to expand their business by renting a bigger work place, which is the container. Their earnings have enabled them to buy a plot of land and they hope to one day move to this land, after building a fence and connecting power.
For the future, Baasandorj plans to expand his car repair service. He is a hardworking man and is requesting a 2,500,000 MNT loan to renovate his old tools and equipment for his car repair service and purchase more machinery parts from Ulaanbaatar, the capital city of Mongolia, to sell at his container.
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.