The South African Post Office will play a lead role in distributing social grants as of April 1, 2018.
This was an announcement made by Minister in the Presidency, Jeff Radebe, at a media briefing in Pretoria on Sunday morning.
EWN reporter, Lindsay Dentlinger says the Post Office won't the be the only role player but commercial banks have been brought into the party to help with the distribution of grants.
Sassa and SAPO struggled to reach an agreement in the past months until government was brought in to intervene in the matter.
The plan is for the people to receive their social grants directly through their bank accounts and those who don't have bank accounts there are still negotiations taking place with banks to create low cost bank accounts for beneficiaries.— Lindsay Dentlinger, EWN reporter
Dentlinger says retailers and spaza shops will also be brought in to distribute social grants through those channels.
She says negotiations are still underway in parliament for about three million beneficiaries in rural areas who get their grants delivered to them and who cannot get to the Post Office because of distance.
There were indications that a tender will go out for that portion of the payment system. I think there is a plan to have the Post Office play a role to payout cash.— Lindsay Dentlinger, EWN reporter
There are still some concerns about the Post Office meeting the April deadline as there is still a lot to be done in a short time, says Dentlinger.
To hear more of this report by Lindsay Dentlinger, listen below: