The Nigerian Postal Service (NIPOST) is a government-owned and operated corporation responsible for providing postal services in Nigeria. It has more than 20,000 employees and runs more than 5,000 post offices and the government want to restructure and commercialise the operations of NIPOST, which will, in turn, give Nigerians six new companies.
The reforms, which include reforming the top management of the organisation, creating commercial business units, diversifying the range of services, and rightsizing the workforce, are aimed at making the postal system self-financing in four years.
One of the six companies expected to break out from the restructuring and commercialisation of NIPOST is microfinance bank, the NIPOST microfinance banks would have structures in the 774 local governments, banking services will be extended to all the under-banked and unbanked communities across the country.
According to the World Bank, only about 40% of adult Nigerians owned bank accounts as of 2017, the proposed NIPOST microfinance is expected to reduce the number of financially excluded persons and provide those in that locality with an opportunity to take a loan of (N)50,000 to do small business and help grow their business.
The other six companies are NIPOST Property and Developing Company, a NIPOST transport and logistics company, a NIPOST e-commerce company and a NIPOST e-government services company apart from the NIPOST digital services company.