The government intends to modernize the Post Office Savings Bank through implementing automated money transfer services, which is expected to reduce the regulatory deficiencies of the crucial service for family islanders.

Minister of Transport and Housing JoBeth Coleby-Davis, who has responsibility for the Post Office Department, earlier this year alluded to the government’s plan to position the Post Office Savings Bank as a form of secure banking for residents on the Family Islands, where commercial banks in recent years have closed their brick-and-mortar operations.

She said yesterday that an enhanced and intentional effort is underway to ensure that all Family Islands have access to some form of secure financial service, in the form of a fully automated money transfer system through local post offices.

“The automated infrastructural upgrade to the Post Office Savings Bank will seek to eliminate the bulk of over-the-counter cash transactions and strengthen accounting controls in New Providence and remote family island locations. The new system of operations will improve the overall efficiency of the bank at all post office locations,” Coleby-Davis said during her contribution to the debate on the 2022/2023 annual budget in the House of Assembly.

A 2012 auditor general report raised concern over the possibility of “fraudulent activities including money laundering” within the Post Office Savings Bank after it was revealed that annual accounts had not been produced for many years.

“We are excited about the forthcoming new features to the Post Office Savings Bank, and as additional service offerings emerge, Post Office customers can benefit from improved services. If you are a family islander who currently uses the Post Office Savings Bank, you would be pleased to know that we are dedicating the necessary resources to make this service faster, more secure, and more convenient so that you have a reliable system in place to meet your banking needs,” Coleby-Davis said.

“The Davis administration is focused on country-wide national development. Family island-specific initiatives like the Post Office Savings Bank often slip through the cracks as Nassau-centric issues get all the attention. But those days are over. Family islanders, we are listening, we are tuned into you, and we will deliver for you. The Post Office Savings Bank is just the start.”

Despite launching the Sand Dollar digital currency, which was expected to service unbanked residents, The Central Bank of The Bahamas said there has not been large-scale adoption of the digital currency.

Coleby-Davis said offering automated money transfer services through the Post Office Savings Bank would appeal to young and older residents who have not yet become familiar with digital currencies.

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