Polish Post Office prepares to face banks

Facing competition from commercial banks, Poczta Polska (PP), the Polish post, is broadening its offer of financial services to individual clients. Bar code reading devices, to be online by Q3 2004, will allow for fast cash transfers to bank accounts from PP offices. Software integration with databases of state-run pension funds will facilitate cash transfers to individuals who collect their pensions at post offices. Along with basic deposit services, PP will also be able to open credit lines, and facilitate credit card transactions. Tadeusz Bartkowiak, president of Poczta Polska, complained, however, that the post office cannot develop fast enough as its status as a public company does not allow for such forms of financing as a commercial entity can enjoy. “If we changed our legal status we could issue stock to finance our investments,” said Bartkowiak. There are no chances of PP doing so, and thus it has to rely on bank loans.