Ukraine's Postal Service Could Become a Bank, Saving State Billions Annually.

Ukraine's Postal Service Eyes Banking Transformation

According to Novyny.live: Igor Smilyansky, the Director General of Ukrposhta, has announced a potential plan to transform the national postal service into a bank. This move could save the state approximately 2 billion hryvnias each year. Smilyansky explained that the government currently spends around 2 billion hryvnias annually on delivering pension payments in cash. This significant sum could be saved by establishing banking services and transitioning people to cashless transactions.

"Is it normal in a state where we have people with disabilities and veterans, and we serve over 600,000 bedridden individuals? It's not normal. People have the right to receive services regardless of their physical condition," stated Igor Smilyansky.

Upcoming Reforms for Ukrposhta

Regarding other upcoming changes, from February 10, 2023, Ukrposhta will return all international parcels not received by the addressee free of charge. Furthermore, a large-scale rebranding is planned for early February 2026, which will include an updated logo and font. A new service within the Ukrposhta app for paying for and managing parcels is also scheduled for launch by the end of February 2026.

These reforms represent a major shift for the state-owned enterprise, which operates one of the largest networks in the country. The transformation into a bank and the introduction of new services could substantially alter the company's financial model and improve service accessibility for the public. Shifting pensioners to cashless payments, in particular, could not only reduce state expenditures but also enhance financial inclusion. Simultaneously, the rebranding and new technological solutions have the potential to significantly improve the consumer experience, a crucial factor in today's competitive service market.