Batrentsen S. is 36 years old and lives with his wife and two children in Arhangai province of Mongolia in their own ger-a traditional Mongolian housing tent. His family has been living in this place for six years. He started his business in 2006 with working capital of 1,500,000 MNT which has increased to 4,000,000 MNT since. The increased profits are due to his good business skills and good customer service.
Batrentsen has cultivated very good relationships with both his customers and his suppliers. He believes that these relationships are the key to his success. He has worked hard to own a small clothing shop where he sells a variety of clothes. Batrentsen would like to expand his product offering and is therefore requesting a 3,000,000 MNT loan. He will use the funds to import a greater number of products from Ereen, a border city of China.
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.