‘Post Office remains a key strategic asset of govt’

Minister Siyabonga Cwele ensuring the financial stability of the SA Post Office is a top priority.

Picture: Giovanna Gerbi/EWN.

CAPE TOWN - Telecommunications and Postal Services Minister Siyabonga Cwele says the South African Post Office (Sapo) remains a key strategic asset of government and that ensuring its financial stability is a top priority.

Cwele was introducing his department's budget vote in the National Assembly this morning.

The Post Office was given a R650 million cash injection this year, but the minister says it needs nearly R4 billion.

He has told Parliament that efforts to turn around the ailing Post Office are well underway.

"Sapo is correcting the maladministration of the last 10 years by implementing the recommendations of the Special Investigating Unit and the Public Protector, alongside its own home-grown strategic turnaround plan."

Businessman Mark Barnes was appointed the new CEO of the Post Office in January.

Cwele says the appointments of a chief financial officer and other senior officials are being finalised.

"Sapo's financial stability continues to be our top priority."

The minister says while the ailing entity was given R650 million this year, it urgently needs about R3.7 billion to stabilise its operations and start implementing initiatives that generate revenue.

LISTEN: Minister Siyabonga Cwele on broadband & ICT plans ahead of his budget vote in Parliament.