Gov’t prepares to restructure Jordan Post — minister

Postal service’s losses estimated at JD3m

1. Jordan Post (Photo Jordan Post Website)
A general view of the headquarters of the Jordan Post in Amman. (Photo: Jordan Post)
AMMAN Ministry of Digital Economy and Entrepreneurship is preparing to restructure the Jordan Post Co, Ahmed Al-Hanandeh said on Saturday, according to Al-Mamlaka TV. The postal service is estimated to be losing around JD million every year.اضافة اعلان

Under the 2023 budget draft law, the government has extended JD2.5 million in additional funds to the Digital Economy Ministry to financially support the postal service’s operations.

"The Jordan Post is a national institution that is as old as the state, and we are proud of it and its role and history. It has been transformed into a private company whose shares are wholly owned by the government, and it suffers from financial problems and structural weaknesses,” Hanandeh said.

The minister attributed most of the company’s losses to bank interests and fines for late receivables.

"We are working to restructure, reform, and develop the company’s operations, infrastructure, and systems," Hanandeh said, stressing that the national post office should improve its revenues and operations in the future.

He said that there is a comprehensive plan Jordan Post, which includes upgrading its infrastructure, diversifying the services it provides to customers, as well as expanding the support services the company can offer government agencies across the country.

The minister also talked about the importance of e-commerce, which could help increase the company’s revenues, about activating existing licenses, and benefiting from new services, in addition to doing a cost analysis.

Hanandeh said that people prefer private postal companies because they lack confidence in the national postal service.

“Today, the number of postal parcels is decreasing everywhere, since online correspondence has reduced the volume of parcel exchange, and therefore the post is handling a lower volume of parcels than before,” he said.

Regarding the possibility of attracting a partner to work with the company, Hanandeh said that "if a strategic partner wishes to operate the company, we have no problem discussing this issue but it must be a strategic partner capable of developing postal operations".

As for delays in paying employees’ salaries, he said: “The company has financial problems and the salaries are delayed because it is a private company owned by the Government Investment Company, but managed by the private sector under the umbrella of the Ministry of Industry, Trade, and Supply. But this does not mean that we have abandoned it.”

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