The Corporation shifts the subsidiary sectors into independent commercial companies that generate profits enticing the private sector to enter into a partnership with the Corporation, and therefore fulfil the requirements of shifting them into public shareholding companies. Based on Saudi Post's successful experience in establishing "Naqel" Company and shifting the postal transportation sector into a specialized commercial company specialized in logistic transportation in partnership with the private sector, it decided to shift 4 business units into 3 private companies as follows:
Those companies have been incorporated and officially registered. During 2015, the activities and assets of these companies will be gradually shifted and they will be supported with specialized resources to ensure their success and development.
Saudi Post has several strategic objectives as part of Saudi Vision 2030 to be come enabler for the economy. SP objectives are:-
Strategic Objectives 2 | Accelerate the restructuring and regulation of the postal sector |
Relevant Vision 2030 Objectives | Relevant Vision 2030 Objectives Expand privatization of governmental services Improve performance, productivity and flexibility of public authorities |
Key Performance Indicator | Baseline | Target 2020 | Unit | Regional Benchmark | Global Benchmark |
Percentage achievement of the postal sector regulatory framework activation (the mail system, regulator for the postal sector) |
50 | 100 | Percentage | 100 | 100 |
Total size of the CEP market in KSA |
2 | 3.78 | SAR Bn | Under Study | Under Study |
Strategic Objectives 10 | Complete the transformation of the Saudi Postal Corporation towards a commercially viable company |
Relevant Vision 2030 Objectives | Expand privatization of governmental services |
Key Performance Indicator | Baseline | Target 2020 | Unit | Regional Benchmark | Global Benchmark |
Total revenues of Saudi postal services |
1.02 | 2.75 | SAR Bn | 3.5 | 4.3 |
Value of Government subsidy provided to the Saudi Postal Corporation |
2 | 0 | SAR Bn | 0 | 0 |