Postbank to get licence by December

Postbank - the banking arm of the Post Office - is to convert itself into a full-service retail bank by the end of the year and its application for a banking licence is to be fast-tracked through the system according to an article published in Business Day.

It says the conversion to a bank will potentially make it a formidable competitor for the big four banks in South Africa. The application would be done under the Postbank Act, which established Postbank as a subsidiary of the Post Office.
It will cater for many of those people classified as the "unbanked poor" in South Africa.

Business Report says that a special committee under the Department of Communications will be responsible for overseeing the process of establishing Postbank, which will offer savings, investment and transaction accounts such as the Mzansi Card, along with money transfers.

Business Report says that Postbank will lend and borrow money and will sell investment products.

Read the report in Business Day.
Read the Business Report article.
Find out more about Postbank.