PRIME CA to use part of telco fees to save Posta’s unviable branches

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📰 Kenya

PRIME CA to use part of telco fees to save Posta’s unviable branches 02.06.2026

Business Daily Africa

The Communications Authority of Kenya (CA) is repurposing funds from the Universal Service Fund (USF) to prevent the closure of 17 commercially unviable Posta branches. These branches, initially slated for shutdown as part of a larger plan to close 125 offices and save Sh1 billion annually, will now be refurbished into "smart post offices." The USF, typically used for expanding mobile and fiber optic infrastructure in underserved areas, has had its mandate broadened by CA to include legacy postal services. Posta CEO John Tonui confirmed the conversion to digital use, including virtual postal addresses via the M-Post platform, with CA earmarking Sh3.1 billion for postal and courier service improvements up to 2027. This initiative supports Posta's ongoing restructuring following a recent profit of Sh488 million in the year to June 2025.

Business Daily Africa Full Article

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