Exciting News from Mol Bulak!

June 3, 2011

By: Alyssa McGarry

Mol Bulak Success

Kiva Field Partner Mol Bulak recently achieved a milestone we are excited to congratulate them on! The Kyrgystan based MFI recently reached a benchmark of 5,000 clients and $1,500,000 on Kiva.org. Please join us in congratulating our Field Partner for their hard work, dedication and service to those who need it most!

The mission of Mol Bulak is to successfully build long-term business relations with customers through provision of flexible and fast financial solutions to those in need.

Mol Bulak Finance is strongly committed to the principles of sustainable development on the basis of 3 PPP concepts - People (building human capital and taking care of its customers and the society as well), Profit (to be profitable to grow further) and the Planet (taking care of the environment). The Company is the only MFI in Kyrgyzstan who delivers its services to customers 365 days a year. They offer individual loan products and group loan products targeted at low-income women entrepreneurs.

Mol Bulak History

Six years ago, there was speculation and apprehension about establishing another microcredit organization in Krygystan due to the over-saturated microfinance market in the country. However, despite all the comments and concerns, another microcredit company, Mol Bulak Finance, opened its doors in Kyrgyzstan.

Now, Mol Bulak Finance is one of the most successful companies in Kyrgyzstan and the company has over one hundred offices, 70,000 clients and more than 800 employees. The Mol Bulak Finance philosophy is to be unique and to continue believing in themselves and in their own strength. The company's motto is “We Are Running Ahead!” The organization believes that it should continue to develop and focus on delivering value to its customers and the Kyrgyz people.

Mol Bulak Borrower Stories

The stories of Mol Bulak Finance customers share the same lively character and tireless efforts, just like the history of the company.

Several years ago, Tanikulova Burmakan left her home in the Osh region to move to the capital city of Bishkek in search of a better life. Burmakan’s story had a lot of ups and downs, tears and joy, but in the end she achieved her goals. Mrs. Burmakan started her business by trading vegetables in the Osh market; but, then she switched to wholesale potato trade in Issyk-Kul region. Suddenly she found herself bankrupt and was forced to sell her property and relocate with her family to an apartment in the village of Belovodskoye. Selling vegetables on a table outside of her apartment was insufficient so Burkmakan decided to apply for a loan from Mol Bulak Finance. Initially, she borrowed small amounts at 5000-10000 soms (Kyrgyz currency). Gradually she increased the amounts of her loans and expanded her business, which allowed her to buy an apartment and open a second-hand store in the village of Belovodskoye. After working for about a year, Burmakan decided to open a convenience store near her house where she sells groceries, soap, detergents, etc. Currently, Burmakan’s loans reach 100,000 soms allowing her to renovate her apartment and buy new furniture.

Another client, Daniyarova Umutkan, has been involved in a sewing business for more than ten years. In 1998, she started her business at home, focusing on sewing women's clothes to order. Gradually she gained the necessary experience to find work in a sewing shop in Bishkek city. There she gained more experience in sewing children's clothing and traditional Kyrgyz clothing. Umutkan ultimately decided to open her own sewing shop and signed a lease for her own facility. Umutkan’s business was flourishing, but after giving birth to her son she had to suspend her business and return to the Toktogul region. Once her son turned one year old, she initiated her business in Toktogul by leasing an office and hiring employees. Her new business specialized in made-to-order garments and bedding sets. Gradually, Umutkan acquired regular customers who wanted to buy her goods in bulk for resale. However, Umutkan lacked the capital to increase the inventory and trade turnover. In the summer of 2009, Mol Bulak Finance, partnered with Kiva, opened a branch office in Toktogul. Umutkan became interested in the attractive loan products that offered favorable interest rate conditions.

Umutkan gathered a group of borrowers who collectively took a loan of 10,000 soms. Then Umutkan invested the money in purchasing inventory for her business, which in turn increased sales volume. Since then, Umutkan took two more Kiva loans from Mol Bulak Finance. At this time, she stopped leasing the office space to save money on electricity costs during winter and continued to sew at home. She has one employee who Umutkan pays a salary and she partners with wholesale buyers to purchase additional inventory. She also works on custom orders for individual customers. In the near future, Umutkan aspires to take a out a larger loan from Mol Bulak Finance so she can purchase land in Toktogul and build her own sewing shop.

Minikeeva Makoun is a borrower from Tokmok office and first applied for a loan in March of 2010. Due to insufficient income, Makoun was never able to receive loans before she borrowed from Mol Bulak Finance. When she least expected it, Mol Bulak’s loan officers approached her at her home where they consulted about her initial problems of obtaining a loan. After learning of the mission, goals, and objectives of the company, Makoun gathered a group of borrowers and took out a loan 5,000 soms. Makoun used the loan proceeds to purchase four hens and a rooster, and she began selling eggs at local market. She also purchased a pump, which Makoun used for watering the garden where she began to grow vegetables. After a while, Makoun and her son came to the Mol Bulak’s branch and expressed their gratitude. They thanked the staff for believing in her, giving her a chance to improve her family’s welfare and obtain at a better life for her and her son. She applied for a second loan in the amount of 10,000 soms, which she used to make small home repairs, buy winter clothes, and pay for her son’s driving lessons. With his drivers license Makoun’s son hopes to get a better job. Daniiar, an employee of Mol Bulak stated, “It is necessary to note that Makoun is an honest, conscientious, responsible person and we at Mol Bulak were pleased that our company provides the opportunity to help everyone without exception, because our mission is to build a successful, professional, long-term relationships with people in need of financial services.”

In Janurary of 2011, Mol Bulak gathered its staff at a corporate event called “Inspiration” to discuss 2010 operating results and congratulate staff on their performances. Tanikulova Burmakan, Daniyarova Umutkan, and Minikeeva Makoun were all invited to the event and their inspirational stories were shared with the attendees. Mol Bulak congratulated these clients for their perseverance and hard work by gifting them with LCD television sets!