Chimed, 37, is married and lives with his wife and three sons in the Uvurhangai province of Mongolia. They live in a rented house. They used to live in a small village and came to the province center four years ago. Two of his sons attend local primary school.
He started his clothing business in 2007. Now he sells different types of clothing at an outdoor stall at a local market. His sister helps him to purchase clothing from Erlian, the closest border city of China. As he has gained enough experience in the clothing business, he wants to expand his business. He is requesting a loan of 2,000,000 Mongolian tugriks to purchase more clothing for his business. His wife says, "We want to expand our business and buy a house where we can have a comfortable life with our children."
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.