Baku H. is 31 years old and lives with his mother, wife and two sons in Bayan-Ulgiy province in western Mongolia. He and his family live in a "ger," a traditional Mongolian housing tent. His wife works as a salesperson and has a monthly salary of 70,000 Mongolian tugriks (MNT).
Baku currently operates a taxi service in his town. He has been engaged in this business since 2007 and has built a successful and stable operation in a short time. Moreover, he also transports a variety of raw materials in addition to his taxi service. He hopes to buy new truck and start a transportation business in the future.
With the help of his business, he was able to improve his family's standard of living. For the future, he says, "I am planning to save enough money for my children's future education."
Baku is requesting a 1,500,000 MNT loan to repair his truck as well as to purchase grasses at 500,000 MNT and three tons of coals for winter preparation.
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.