Sri Lanka’s 200-year-old postal service is being pushed to modernize or risk shutdown, with the government warning that state funding cannot continue unless profitability and efficiency are achieved.
Sri Lanka’s postal service stands at a turning point as the government weighs its future. While 731 new postal assistants were appointed this week to fill long-standing vacancies, Health and Mass Media Minister Dr. Nalinda Jayatissa made it clear that the post office cannot continue to drain the treasury indefinitely. Unless reforms and modernization plans succeed in making the postal service profitable, the government may be forced to consider closing or restructuring parts of the system.
The ceremony at Temple Trees marked the first major recruitment drive since 2021, addressing nearly 2,000 vacancies that had left the Department of Posts in crisis. With Cabinet approval, 1,000 new appointments were authorized, and the balance of 269 will follow soon. These recruits, categorized under Grade III of the Primary Non-Skilled Service, are expected to play a vital role in reviving a postal service with more than 200 years of history but increasingly seen as outdated.
Minister Jayatissa revealed that Rs. 2,085 million has been allocated this year alone for postal reforms. Funds include Rs. 250 million for lorries, Rs. 320 million for cabs, Rs. 180 million for 1,500 tablet computers to digitize sub-post offices, Rs. 75 million for computers, and Rs. 40 million to provide solar energy to selected outlets. In addition, Rs. 600 million will finance the construction of 20 new post offices before year’s end, while another Rs. 600 million has been set aside to modernize 209 branches nationwide. These measures, the Minister said, are aimed at making the post office more efficient, reliable, and revenue-generating.
However, he stressed that this level of investment comes at a time when the postal service is an increasing burden on state finances. The Department, with nearly 20,000 employees, consumes far more than it earns, leaving the treasury to cover the losses. Jayatissa made it clear that the government will no longer tolerate this imbalance indefinitely. If individual post offices or sub-post offices fail to generate income equal to or greater than their operating costs, their future viability will be questioned.
The Minister called on the Postmaster General, department management, and the new recruits to rise to the challenge of turning the postal service into a profitable and trusted institution. He emphasized that the sector’s survival now depends on collective responsibility, efficiency, and innovation. The aim, he said, is not just to serve the public with reliability but to create additional income streams for the government, transforming the postal service into an asset instead of a liability.
For many Sri Lankans, the post office is still a critical link in daily life, from rural communities dependent on mail delivery to citizens using financial and logistical services. Its long history has made it part of the national fabric, but in an era of email, instant messaging, and private couriers, its traditional role has weakened. This has forced policymakers to rethink how the service can adapt, incorporating technology and alternative revenue models.
Jayatissa’s remarks underscore the urgency of reform. He said plainly that if, after all these investments, the postal service cannot be made profitable, then difficult decisions will follow. This could mean closures, mergers, or a complete restructuring of how postal services operate in the country. For now, the challenge is clear: profitability must replace dependency.
Sri Lanka’s postal service is at a crossroads. With new recruits, massive modernization funds, and political will behind it, the next phase could determine whether this 200-year-old institution becomes a model of efficiency or faces an uncertain future.
