[2019-04-09] Mozambique’s national postal company wants to sell assets to be able to compete with private companies

Source: Macauhub

Mozambican state-owned postal company Correios de Moçambique plans to sell a portion of its real estate assets to reduce the number of workers from 620 to 326 nationwide, announced the chairman of the company’s Board of Directors.

Valdemar Jessen said that the public company needs to raise an amount in Meticais equivalent to about US$2.3 million to reduce staff through early retirement and termination of contracts.

In addition to the sale of five properties, the chairman also mentioned the possibility of selling 50% of the shares representing the share capital of the company, and no objection to this project was expected, “as postal services are no longer a state monopoly.”

He added that the company’s employees, to which the company owes more than 50 million meticals, have a high average age and a low level of schooling, and more than 73% of revenue is taken up with remuneration, “a percentage that exceeds the maximum allowed by the law in force.”

Cited by the AIM news agency, Jessen also said that the decision to sell assets had already been approved by the government, which will improve the company’s financial situation, with the added benefit that this sale will reduce the maintenance costs of the company’s properties.

The board of Correios de Moçambique also wants to of reducing costs to a sustainable and commercially appropriate level in order to compete on an equal footing with the approximately 40 private companies operating in the same area.