The Minister of Communications, Science and Technology Mr. Mothetjoa Metsing has announced that the Lesotho Post Bank (LPB) will open branches in the districts of Butha-Buthe and Mohale’s Hoek thereby increasing number of its branches from 12 to 14.

Addressing members of the National Assembly on Thursday, Mr. Metsing said the two branches to be opened before the end of this year will enhance the bank’s intention to offer better banking options and affordable services to all including the poor and rural dwellers.

The two branches will be in addition to already operational branches in Maseru, Machache, Katse, Thaba-Tseka, Semonkong, Mapoteng, Maputsoe, Pitseng, Mapholaneng, Quthing, Mount Moorosi and Qacha's Nek.

He said the Butha-Buthe post bank branch will be opened between April and May while date to open Mohale's Hoek branch is yet to be decided upon.

He further said preparations to offer loans to cooperatives and members of cooperatives have already started and it is expected that they will operate as soon as agreements and necessary conditions have been reached.

Speaking about the achievements of LPB, the Minister said the bank is now able to cater for 50 percent of its running costs and the expectation is that it will be fully independent after two years.

He said the management of the bank has also been improved through the establishment of the Board of Directors, which is already operational adding that the government has helped by increasing share capital from M5 million to M10 million in accordance with the conditions of Central Bank.

Meanwhile the LPB together with the Lesotho Government and International Fund for Agricultural Development (IFAD) have agreed to start micro-finance lending programme.

Established in 2005, LPB is a government-owned institution mandated to provide accessible and affordable financial services to Basotho countrywide. It has 51,000 customers and works in strategic partnership with Lesotho Postal Services.

Source: LENA 13/03/2008