Namibia Postal Holdings (NamPost) says it will prioritise the introduction of Electronic Fund Transfer (EFT) and a mobile application as it works towards improving its banking services.
The national postal operator said it however remains unlikely that it will set up and install its own Automated Teller Machine (ATM) for cash transactions, rather it will continue collaborating with commercial banks to service customers on its behalf by transacting on their ATM.
“We are looking into the future of introducing new banking features. Currently one can’t do direct transfer into NamPost using EFT, but that process has to be done through Standard Bank, thus this is something we are very busy with trying to remedy the situation. This is the big thing coming up, then also looking at digital banking as well to use mobile applications,” said Mbo Luvindao, NamPost’s Executive for Financial Services
At the moment one can send money using NamPost however that is done over the counter within the branch, and require the recipient to also access the fund in the branch banking hall.
NamPost’s banking business arm offers payment solutions, transactional banking, savings and investments, insurance and micro-lending.
The cash and swiping transaction services were launched in 2019 when NamPost became interoperable and certified to use Visa.
“NamPost is a non-bank financial institution, the difference from commercial being that it does not offer home, personal and vehicle loans including overdraft. This is though NamPost has a microlending segment but that is regulated under Namfisa. However, as much as payment wise is concerned, we are like a commercial bank,” said Luvindao.
In terms of having its own ATMs, Luvindao said it is a mammoth and expensive task to undertake, thus NamPost will in the meantime consider using the services of other commercial bank teller machines.
“It is a deliberate decision we took, we thought about having our own ATMs but it is a costly investment and also maintenance is quite expensive, that is why we entered into agreements with other commercial banks. But if we are to have our own ATM systems, the amount we charge is likely to be higher to absorb cost, which will then be against our motto of financial inclusion as our business model focuses on low-income earners. That is why you find banks charging more for withdrawing because they need to cover maintenance costs and so forth,” he said.
The finance executive could however not entirely rule out the possibility of having its own ATM.
He made these remarks when celebrating 31 years of NamPost’s continued operations. Since 1992 the company’s assets have grown from N$32 million to over N$1 billion and has increased its postal office boxes to 112,000.
NamPost has 131 branches across the country, of which 53 of them exist where there are no commercial banking institutions, thus serving as the only financial provider.
“Financial inclusion is quite an important economic driver that is why we are in areas where others cannot be as we want everyone to be involved in growing. We have our footprints in all 14 regions and 114 constituencies in Namibia making up 95%,” said Benjamin Jakobs, the Executive for Retail Channel.
At the same occasion, Jakobs announced the new design of the Philately Stamps featuring a Sengis, to be officially launched in Khorixas on Tuesday.
“This is the new development we are having, and soon in future we shall be introducing crypotstamps. Therefore, I wish to encourage people to collect stamps as they accrue value over years. Also, stamps are very important when sending mail signifying that you have paid for the services as without it the mail shall not be processed and delivered,” he said.