Botswana is taking a significant step towards modernizing its financial infrastructure with the introduction of Digipost by BotswanaPost, the country’s official postal operator known for its innovative services in finance, logistics, postal, communications, and agency sectors. This new digital post office initiative is set to bolster economic growth and enhance financial inclusivity within the nation.
Digipost is a smart application-based service that expands the traditional concept of a post office by allowing individuals and small to medium-sized enterprises (SMEs) to act as resellers of postal services. This digital extension opens up opportunities for entrepreneurs from various sectors to become postal agents, thus democratizing the provision of essential services.
The services offered through Digipost are comprehensive and include PosoMoney cash withdrawals and deposits, post box renewals, payment of insurance premiums, Motshidisi funeral plans, purchases of airtime and electricity, mobile money transfers, DSTV subscriptions, and the management of virtual post boxes.
In a move to make the platform even more accessible, BotswanaPost has announced plans to introduce a USSD feature. This addition will enable customers using feature phones, which are prevalent in many communities, to access DigiPost services, thereby reaching out to even more underserved populations.
As of late 2023, approximately 24% of Botswana’s population remains unbanked. With this in mind, BotswanaPost is setting an ambitious goal to connect over 500,000 individuals, with a focus on youth and women, to its PosoMoney and DigiPost services within the next three years. This initiative is expected to play a crucial role in advancing financial and digital inclusion across the country.
BotswanaPost, as the national postal operator, is committed to offering, developing, operating, and managing an array of postal services at an affordable cost. The organization prides itself on its extensive network, which includes more than 136 post offices and kiosks strategically located throughout Botswana. This widespread presence ensures that customers have convenient access to postal services in a secure and reliable business environment, facilitating efficient service delivery across the nation.
BotswanaPost is set to enhance its financial services by introducing an agency banking service that will leverage its extensive network of post offices and kiosks. This service will be supported by over 400 biometric Point of Sale (POS) terminals, which are designed to facilitate efficient and secure financial transactions for customers.
At present, the Post Office branch network plays a crucial role in the community by processing payments for over 100,000 Social Service Grant Disbursements each month, demonstrating its capacity to handle large-scale financial distributions.
Looking ahead, BotswanaPost has ambitious plans to expand its PosoMoney mobile money solution. The organization aims to attract over 194,000 new wallet subscribers within the next five years and anticipates managing 4 million wallet transactions on a monthly basis.
Market research from Statista forecasts a significant growth trajectory for Botswana’s digital payments sector. The total transaction value in the digital payments market is projected to reach $1,528 million in 2024. Furthermore, with an expected annual growth rate (CAGR) of 9.59% from 2024 to 2028, the market value is estimated to climb to a substantial $2,204.00 million by the end of that period.
Tebogo Lebotse Sebego, the Chief Corporate Affairs & Sustainability Officer at BotswanaPost, has expressed enthusiasm about the launch of DigiPost. She describes it as a ‘phenomenal’ income-generating solution for families and entrepreneurs alike, marking a significant milestone in Botswana’s ongoing digital transformation journey.
Kalin Radev, the CEO of Software Group, has expressed pride in the partnership with BotswanaPost, emphasizing the collaborative efforts to broaden the range of services offered, diversify revenue sources, and solidify BotswanaPost’s essential role in the digital financial services sector within Botswana. This partnership is indicative of a shared commitment to enhancing the financial landscape and supporting the digital economy in the region.
