This Discussion Paper builds on the findings and conclusions of a study commissioned by the Global Information and Communication Technologies (GICT) Department of the World Bank and carried out by ING Bank in March 2004, “The Role of Postal Networks in Expanding Access to Finance.”
The study comprises a review of about 60 developing countries in five regional landscapes, based mainly on secondary data. It provides a further in depth analysis of seven of those countries (Egypt, Kazakhstan, Namibia, Romania, Sri Lanka, Uganda, Vietnam) chosen for their most valuable features in terms of successful business model or reform failure, and the lessons that can be drawn from them. The study provides a unique insight into the worldwide provision of postal financial services. It identifies the strengths, weaknesses, opportunities, and threats faced by the postal sector—from a financial sector perspective and from a communication sector angle (traditional postal and information technology-based communication services). It also documents elements of best practice.
Lastly, it offers a variety of strategic options covering several dimensions (policy, legal, regulatory, institutional, technology, capacity building, and corporate strategies). A limited number of country case studies are included in this paper to present a concise story. Readers may consult the full description in the five regional landscapes or the seven country studies found in Volume II of this paper.
This paper builds on the analytical findings of the study as well as on World Bank operational experiences over the past few years in postal financial services reforms. The paper seeks primarily to raise awareness and share knowledge among policy makers and champions of reform. It shows the potential offered by post offices in the agenda of access to finance, and summarizes some enabling prerequisites and key success factors. Finally, the paper shares lessons learned and recommendations that target the stakeholders of reform.