Vietnam Post and telecommunication sectors to be separated

Administration of post and telecommunication operations is to be partitioned in 2007 in a plan approved by the Prime Minister Phan Van Khai.

The move aims to bring Vietnam’s postal services up to par with other countries in the region and spur development of both sectors by 2010.

Under the approved project, the postal and telecommunication sectors are to work independently to provide internationally-recognised services. By 2010 Vietnam should have 13,000 outlets nationwide, ranging from large post offices to small village kiosks, each serving about 7,000 residents on avarage.

In the PM’s decision, he stressed the emphasis the Government places on domestic and foreign economic sectors investing in postal industry development. He said the Government encourages foreign investment of up to 100 per cent.

The postal sector is expected to step up ongoing “advanced technology transfer” so that it will eventually be able to produce hardware and software of international standards.

Prime Minister Khai’s directive called on the postal and telecommunication sectors to improve their production capacity with better equipment, to be able to meet 80 per cent of postal, telecommunication and informational technology requirements of Vietnamese consumers by 2010.

He called on the sectors to promote co-operation, exchanges and joining the international marketplace. The postal and telecommunication sectors should specialise in making Vietnamese products and services and strengthen exports, he said.

The PM’s decision was explicit in its call for the postal and telecommunication sectors to develop service outlets, post offices, and the agents network. It underlined the importance of reducing investment and wage costs. More importantly, he said, they must mobilise the society’s unused resources to further develop the post and telecommunication sectors.

When it is established, the new Vietnam Postal Corporation will be initially funded by the Vietnam Post and Telecommunication Group but the funding should reduce gradually. – VNS

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