Government has released K10 million to the Zambia Postal Services Corporation (Zampost) to revive the public enterprise, which has been facing operational challenges. The State plans to inject K50 million into Zampost to enable the corporation to operate in a sustainable manner. Recently, workers at Zampost went on strike due to non-payment of their salaries, a move which resulted in the closure of most of their branches.

Minister of Transport and Communications Brian Mushimba told journalists on Thursday that Government released the funds two weeks ago. Mr Mushimba said Government has also made changes to the board and management of the parastatal as it sources for additional money to revive the corporation. “We want to create one-stop shops in all Zampost offices so that people can renew their licences and pay taxes,” Mr Mushimba said. The minister said Government wants to revive Zampost because it is critical to rolling out the Electronic Governance programme.

He said management at the institution has submitted its turnaround strategy which will be fully supported by the State. Mr Mushimba challenged management and the board at Zampost to run the entity like a private enterprise by aligning its systems, people and processes. He said there is need for management to be innovative like other players in the sector and begin to pay dividends to Government.

Mr Mushimba warned that should board members fail to deliver according to their performance contracts, they risk having their employment terminated. The minister said Government will not interfere in the operations of the parastatal but will leave the board and management to make the right decisions. Mr Mushimba said Zampost is embroiled in the misappropriation and misapplication of funds but he is hopeful that the changes made to the institution will bring about a new chapter.

He is impressed with the operations at the Zambia Telecommunication Company (Zamtel), which he said is currently generating K60 million revenue from its 2.3 million subscribers. “Zamtel has a story to tell, it has grown its market share from below 10 to 16 percent. It could have been declaring a dividend had it not been for the double payroll which it has and other obligations,” Mr Mushimba said.