The Cabinet this week decided to revamp the two-year-old privatization process for Japan Post group. The decision, which responds to fears among some people that Japan Post group may curtail services in the countryside, emphasizes the public role of Japan Post group.
The privatization begun on Oct. 1, 2007, was aimed at making Japan's postal services, including banking and insurance services, more efficient; ending the practice of using funds deposited in postal savings accounts for wasteful government projects; and, instead, increasing the flow of those funds to the private sector.
Under the government decision this week, Japan Post will be required to make not only postal services but also banking and insurance services available nationwide on an equitable basis. The government also plans to use the network of some 24,000 post offices as bases to help narrow economic gaps and protect the rights of weaker members of society. Post offices would thus serve as outlets for administrative services such as nursing care.