Senate threatens NIPOST privatisation over operating at a loss

Ima Elijah 17:43 - 14 November 2023

President of the Senate, Godswill Akpabio. [Twitter: Godswill Akpabio]

The Senate has threatened to fully privatise the Nigerian Postal Service (NIPOST) if the agency fails to reverse its financial losses.

In a warning issued on Tuesday, November 14, 2023, the Senate has threatened to fully privatise the Nigerian Postal Service (NIPOST) if the agency fails to reverse its financial losses.

The declaration came during the 2024-2026 Medium-Term Expenditure Framework (MTEF) public hearing held in the nation's capital.

Senator Sani Musa, Chairman of the Joint Committee on Finance, expressed deep concern over NIPOST's operational inefficiencies, particularly its widespread unproductivity and dismal revenue generation, notably from stamp duties.

During questioning, the Chairman addressed Omotola Odeyemi, the Post-Master General of the Federation (PMG), admonishing the agency for its lack of functionality across the country.

The committee directed the PMG to furnish them with a comprehensive list of all NIPOST staff, including details on their allocations and salaries, for further scrutiny by the Upper chamber.

The committee granted NIPOST a two-year window to formulate a viable plan for the revival of its services and a strategic shift in its business model to attain self-sufficiency and cease operating at a loss.

Failure to do so within the stipulated timeframe would compel the Senate to enact legislation, paving the way for the complete privatisation of NIPOST.