South Africa Plans to Corporatise Post Bank

Tuesday, May 26, 2015

South Africa’s Telecommunications and Postal Services Minister Siyabonga Cwele says the process to corporatise Post Bank is at an advanced state.

The Minister said this when he briefed the media ahead of tabling the department’s Budget Vote speech in Parliament on Thursday 21 May.

“Government remains committed to the programme of financial inclusion through the corporatisation of the Post Bank.

“The audit of the assets and liabilities of Post Office and Post Bank has been completed. Currently, the process is to complete the fit and proper process for the prospective candidates for board membership,” he said.

The department and the South African Reserve Bank were working together towards finalising discussions on the Holding Company in line with the Post Bank Act.

Meanwhile, the Minister said the department would over the coming year also focus on ensuring that the turn-around strategy for the Post Office is implemented.

He said the strategic turn-around plan had been finalised and submitted to Cabinet for approval.

“The task of the department is to monitor the implementation of the strategic turn-around plan.

“The priority is the implementation, including addressing leadership issues through the appointment of the Board and capable management.

“We welcome the commitment of government to increase substantially the business with the Post Office,” he said.

The Minister said his department would work closely to ensure that the turn-around strategy is implemented. This would go a long way in ensuring the sustainability of the Post Office.

Source: CPI Financial (link opens in a new window)

financial inclusion, telecommunications