Tag: Nipost

The postal sector is one of the core infrastructure sectors of the economy. Improved efficiency and customer responsiveness in this sector has the potential to stimulate growth, to promote globalization and to facilitate the rise of e-commerce. Across the organization for Economic Co-Operation and Development (OECD) of which Nigeria is a member, traditional state owned and regulated public utility industries have been transformed by reforms, which have fundamentally changed the way these industries are regulated. The former reliance on State control and regulation has given way to greater reliance on competition and market forces, which has lead to greater focus on efficiency, innovation and meeting the needs of consumers. Nigeria has witnessed reforms in key sectors of its economy, which has visibly led to improved efficiency, unfortunately, to date, these reforms, have largely bypassed the postal sector. The postal sector in most OECD countries remains dominated by a state owned vertically integrated monopoly still protected from the forces of competition. Interestingly however, Nigeria seems set to join the League of Nations who have carried out postal reforms with the recent advertisement by the Bureau of Public Enterprises (BPE) and the secretariat of the National Council on Privatization (NCP) asking qualified firms and organization to apply for advisory functions.

The Bureau of Public Enterprises (BPE) has in Abuja announced that it will restructure Nigeria Postal Service (NIPOST) into new business units in its bid to reform and privatise the enterprise. The unbundled units which will then be privatised to conclude the reform of the enterprise, will however be preceded by a performance agreement between the enterprise and the ministry of communication as recommended by the NETHPOST Consultancy BU of Netherlands which conducted the feasibility analysis on the restructuring of the NIPOST.