Lhagvasuren is 34 years old and lives with his wife and three daughters in a ger, a traditional Mongolian yurt, in the Uvurhangai province of Mongolia. His wife is a tailor who owns a clothing-making business. His older two daughters, age 11 and 13, go to a local secondary school while the youngest, who hasn’t reached school age, stays home.
Lhagvasuren manages a welding business in his town. He started his business in 2007 and is planning to expand in the future. In addition, he manages a taxi service business and uses his own motorcycle to supplement his earnings. Lhagvasuren is planning to buy a container, which can be used as his workshop, to increase his business sales and service new customers. He is a hardworking man who says, “I want to buy more equipment in order to provide quality service for my customers, so I can expand my business.”
Lhagvasuren is requesting a 1,000,000 MNT loan to purchase equipment for his business.
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.