Rwanda: Post Office to Venture into Money Transfer Business
National Post Office, Rwanda is venturing into money transfer business targeting the East African regional market. Already top management of the Rwanda Post Office is in talks with its Kenya and Uganda counterparts to see how they could jointly exploit the underserved regional market.
“We want to diversify our traditional way of earning and reduce the risks and costs of transport for our clients. This service (money transfer) will help our clients to send money in every part of the country (and East Africa) within shortest period of time,” Celestin Kayitare, the director general of National Post Corporation-Rwanda said.
The corporation plans to invest Frw20 million to upgrade some of its software and install new computers to net work some of its branches countrywide.
The move is to positioning the state owned corporation as a leading money transferring agent in the region. Two companies; one from Tunisia and the other from South Africa have been approached to upgrade the software.
However Kayitare could not disclose their names reasoning that it is not good in business. When the Post Office starts money transfer business probably early next year, “The person (using post office services) will only need to identify him or herself to get money at the service centre,” he said.
To remain relevant in the competitive liberalised Rwanda economy the Post Office still deals in stamps, offers banking services and is involved in courier business. The corporation is also a Western Union Money agent.
Kayitare said: “We will first use this service (money transfer) in six branches as a pilot study January next year and then rollout to the remaining branches by the end of June same year.”