The Postal Corporation of Kenya has launched Posta Pesa, through which it will offer agency and electronic payment services. Posta Pesa will be available through 600 outlets and is targeting both the government and private sector.

Services offered include cheque, card processing, deposits and withdrawals. The service was launched Tuesday at the General Post Office in an event attended by the Ministry of Information, Communication and Technology Principal Secretary, Joseph Tiampati and the ministry's Cabinet Secretary, Dr. Fred Matiangi.

The system was purchased at a cost of $1 million (KSh. 85 million) and already has National Bank, KCB Bank, Cooperative Bank, Equity Bank, Airtel Money, Orange Money, Kenya Power, Nairobi Water and Sewerage Company and the Kenya Revenue Authority signed up. KCB is also offering cash handling services for Posta Pesa. Speaking at the launch, Dr. Matiang'i said the ministry was looking to fast track adoption of Brazil's Postal Model. Additionally, the ministry was working on a paper to be presented to the Cabinet that would recommend Posta be the sole agency handling processing of all payments to the government. The Cabinet Secretary remarked that Posta was "ours" and we must therefore support the institution.

Postmaster General, Dr. Enock Kinara said Posta had also applied to become Huduma Centres, which are expected to offer egovernment services countrywide.

The post office is looking to boost its revenues of KSh. 3.5 billion annually through offering of agency services.