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Postal corporation urged to monetize assets, attain self-sustainability

The National Treasury and the Communications Authority of Kenya (CA) have called on the Postal Corporation of Kenya (PCK) to aggressively leverage its expansive countrywide network and optimise underutilised public assets to achieve operational self-sustainability.

Speaking during the 152nd World Post Day celebrations at the Kenyatta International Convention Centre (KICC) in Nairobi, Public Investments and Assets Management Principal Secretary Cyrell Odede Wagunda said that the Postal Corporation of Kenya must shift from merely maintaining infrastructure to earning viable commercial returns on its physical properties, fleets and technology.

Wagunda emphasised that under the framework of the Government Owned Enterprise (GOE) Act 2025, the Postal Corporation of Kenya will operate strictly on commercial principles without relying on Exchequer funding going forward.

“PCK holds a unique physical footprint reaching every corner of this country—an asset very few public or private institutions possess,” Wagunda stated.

“Our task is to make it work harder for Kenyans, optimise idle public assets and build a modern, multi-service logistics platform carrying e-commerce, financial and digital services.”

Wagunda challenged the management of the Postal Corporation of Kenya to rebrand and aggressively market its offerings to effectively compete against private logistics providers and digital platforms.

He clarified that under the GOE Act, designated public service obligations in remote and commercially non-viable regions will be clearly costed, defined and funded separately through government budgetary allocations or subsidies to ensure a fair evaluation of the Corporation’s commercial performance.

To position Kenya as a regional e-commerce hub, Postal Corporation of Kenya Postmaster General and CEO, John Tonui, announced a major strategic agency agreement with QuanZhou QuanLan Logistics Information Technology, designating the Postal Corporation of Kenya as the official super-agent for Eastern and Central Africa.

“This partnership demonstrates our commitment to moving beyond traditional postal services and embracing cross-border e-commerce, warehousing, customs facilitation, and last-mile delivery,” Tonui noted.

“Our ambition is to make the postal network a platform that allows Kenyan entrepreneurs, especially micro, small, and medium enterprises, to reach customers across Africa and globally,” he said.

Tonui revealed that the Postal Corporation of Kenya’s footprint of over 600 postal outlets nationwide serves as a primary driver for bringing public and commercial services closer to citizens.

He added that the Corporation is prioritising investments in human capital and digital skills to equip staff for the modern logistics environment.

Communications Authority of Kenya (CA) Director General David Mugonyi highlighted regulatory interventions designed to enhance fair competition and service quality across the postal and courier sector.

Mugonyi disclosed that CA has deployed Radio Frequency Identification (RFID) tracking equipment across 30 post offices to evaluate service delivery and is actively supporting the modernisation of the Postal Corporation of Kenya through Local Area Network (LAN) installations in 17 counties.

“The post is not disappearing; it is evolving to a future defined by logistics, parcel delivery, addressing, financial services, and digital solutions,” Mugonyi said.

“The revised market structure promotes fair competition among operators of all sizes while strengthening quality of service monitoring,” he said.

According to the Universal Postal Union (UPU), more than 660,000 post offices and 4.6 million postal staff globally form one of the world’s largest ecosystems, acting as a one-stop shop for citizens, businesses, and governments.

Lidiway Nyakio from Karamugi Girls High School in Chuka was awarded 1st position in the 55th UPU International Letter-Writing Competition for Young People 2026.

She was recognised as the national winner for her compelling letter written to a friend on the importance of human connection, trust and empathy in an increasingly digital world.

By Lilian Gichohi and Samuel Njoroge

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