Wednesday, 31st March 2010
In Business In Japan,
New postal plan announced in Japan
The Japanese government has announced a new postal service plan aimed at reducing privatisation in the sector.
Under the scheme, the government is to increase the current limit on postal bank deposits and keep the third stake in the post office group that it currently owns. The post office service in Japan is currently under reform and decisions on the future of the group have so far appeared to split the country's cabinet.
Postal reform minister Shizuka Kamei said that the limit on deposits in postal savings accounts will be increased to 20 million yen from the current ceiling. Any money that is raised with this increase is to be put back into developing the service.
The idea of a government-backed Japan postal service has led to an uneasy feeling in Washington, with the US administration expressing concern that it could limit the chance for overseas firms to make moves into the country.
Written by Kimberley Homer.