Pakistan Post-HBL Strategic Alliance Fulfills Legal Obligations

Responding to a letter written to Transparency International seeking to thwart an agreement between Pakistan Post and Habib Bank Limited (HBL) for the digitalisation of financial services, Muhammad Akhlaque Rana, director general of PP, has said that the historic accord fulfills all legal obligations.

The two organisations had entered into a 20-year strategic alliance to further financial inclusion by leveraging digital technology last month.

HBL, under this agreement, will invest in technology, infrastructure and capacity enhancement to the Pakistan Post with the objective of enabling its financial services in far flung areas of the country.

It is pertinent to mention that a Pakistani citizen had sought to hamper the launch of this digital service by writing a letter to Transparency International alleging misconduct.

Terming it as one of the biggest project in the public interest of the country, Rana said the project would be executed with Rs118 billion without spending a single penny from the national exchequer. Public Procurement Regulatory Authority (PPRA) rules only apply when investment is made by the state, he added.

“Through this initiative, Pakistan Post will not only stand on its own feet but will also play its role in the national economy through investment,” said the PP DG. “Pakistan Post was bearing a deficit of over Rs13 billion two years ago, but its revenue has now increased by about Rs8 billion compared to Rs11 billion in 2017-2018,” he added.

“According to the agreement, the country’s postal services will be operated on modern technology. With this project, Pakistan Post operations will be in line with the requirements of the Financial Action Task Force (FATF),” said the PP DG.

This would also enable delivery of ATM cards to all pensioners, iPads to all postmen and ensure availability of biometric machines and computers at every post office in the country. All these facilities, Rana said, will also be available in remote villages, which accounts for 85 per cent of the country’s population.

“Pakistan Post will have its own e-commerce portal. The entire Pakistan Post system will be transformed from manual to electronic ensuring transparency.”

Source: https://tribune.com.pk/pakistan-post