Mr Deputy Speaker, Sir, I thank the hon. Member for the question. I am informed by the Mauritius Post Ltd. that as at 30 June 2024, accumulated losses stood at Rs1.5 billion and pension deficit at almost Rs2.6 billion. Moreover, the latest internal audit report has indicated that more than 60 post offices are making losses. Mr Deputy Speaker, Sir, in regard to the measures being envisaged to redress it financial situation, the Ministry of Finance had on 03 March 2025 requested that Mauritius Post Ltd. submits a turn-around plan. The said plan has been approved on 21 April 2025 by the current Board of directors of Mauritius Post Ltd. Same is now at discussion stage with the Ministry of Finance. Since the turn-around plan is under is discussions, it would not be appropriate that I disclose the content thereof. However, I can mention key pillars of the plan – • It targets review of the business model, inter alia leveraging digital technology; • Generating new revenue streams for growth; • HR restructuring plan with fairness in posting at heart, and • Cost efficiency in operations. It should be noted that the MSM administration used posting of post office as a sword of Damocles on the heads of people. Otherwise, there would be punitive transfer and same was executed in many cases. Mr Deputy Speaker, Sir, I will now, with your permission, quickly give details of the factors that have contributed to the downfall of Mauritius Post Ltd –

79 • Staff cost represents 83.29% of the total coast of Mauritius Post Ltd and there has been, notwithstanding its financial loss since 2020, 236 additional recruitments made. This was done without any business plan review which implies that 25% workforce was added without even understanding whether the current workforce was adequate or not to deliver services. • There is also severe competition, obviously from other companies and there has been an ascendance of emails over letters. But the Mauritius Post Ltd did not adapt itself to the disruption in the industry. • Further, there have been malpractices that have accelerated the degeneration of the financial situation of Mauritius Post Ltd. A case in point is a loss of Rs600,000 – a theft of Rs600,000 – by a subcontractor named Proguard and that money has not yet been recovered. The same company, as mentioned, bagged an abusive contract of Rs1.2 million per month even when services are not delivered – that was actually mentioned. So, there have been abuses in terms of the tendering process and nugatory expenditure. Mr Deputy Speaker, Sir, while all this was happening the ex-Minister was still busy identifying new spots for new post offices to be established, again, without an assessment of the current level of the number of post offices and their services. So, this led to dissatisfaction of customers and employees. A full revamping of the situation, Mr Deputy Speaker, Sir, is therefore imperative and I am sure the new Board, as appointed, will do the needful. Thank you.

Thank you. You have one supplementary? Yes.

Can the hon. Minister inform the House whether proper tendering practices have been followed as per public sector procurement guidelines or those approved by the Board, with respect to telecommunication services that Mauritius Post Ltd. uses.

Thank you, hon. Member for this supplementary question. There have been cases where the practices are a little bit grey in the sense that when once a tender is approved, there have been changes even in the supplier or there has been a split of the contract after allocation of the contract and this has been done by the finance department. Therefore, the Board, once appointed, will look into this matter and actions will be taken where they need to be taken. Thank you.

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Thank you. With regard to PQ B/517, hon. Duval is not in the House so, we will have it as a written answer. Next question. Hon. Second Member for Belle Rose and Quatre Bornes! MTPA – INTERNATIONALE TOURISMUS-BÖRSE BERLIN – COST