Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Pastimes : The Hot Button Questions:- Money, Banks, & the Economy -- Ignore unavailable to you. Want to Upgrade?

To: maceng2 who wrote (838)	10/14/2005 3:24:13 AM
From: maceng2	Read Replies (1) \| Respond to of 1417

Japan's postal shake up approved news.bbc.co.uk Junichiro Koizumi sees postal reform as a key measure Japan's upper house has approved a bill to privatise the country's post office, in a key victory for Prime Minister Junichiro Koizumi. The legislation is the central plank in Mr Koizumi's plans for economic reform. Many in his own party had opposed the bill, but Mr Koizumi won a snap election and increased his majority, replacing opponents with supporters. Post office reform will create a private sector financial powerhouse with trillions of dollars in savings. The final hurdle had been the upper house of parliament. It was this house which voted down an earlier reform bill in August, prompting Mr Koizumi to call the election. On Friday, the bill passed by 134 votes to 100 and will now become law. JAPAN POST IN NUMBERS Manages 25% of Japan's personal assets 25,000 offices and 260,000 employees 330 trillion yen (nearly $3 trillion) in savings and deposits 85% of population has postal savings Profile: Junichiro Koizumi In August, many of the opposing votes came from Mr Koizumi's Liberal Democratic Party, whose MPs have long relied on the post office's huge reserves to fund vote-winning public works projects - and on rural postmasters to help drum up support. September's landslide victory persuaded several former opponents to switch sides. Huge savings State-owned Japan Post runs a savings bank with more than $3 trillion (£1.7 trillion) in assets, making it possibly the largest financial institution in the world. It runs nearly 25,000 post offices and employs some 260,000 workers. Under Mr Koizumi's plan, the postal system would be fully private by 2017. The process is expected to start in 2007, but political wrangling has forced the government to delay the launch for six months, and possibly into 2008. Analysts say the prime minister sees the reforms as essential to stimulate growth and open up government-dominated sectors to greater competition.