Tsolmonbaatar lives with his parents, sisters and brothers in southern Mongolia. Since 2001, he has earned a living by running an inter-city taxi service. Five times a week, he travels from his town to the capital, a distance of 250 km. He works hard, and was able to buy a new car some time ago. He is applying for a loan for 1,500,000 MNT to buy spare parts for this car so that he can continue to provide uninterrupted service to his customers.
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.