Emirates Post Group Holding is trying to tap into demand for deliveries from small businesses.
Emirates Post Group Holding is trying to tap into demand for deliveries from small businesses.

Postal overhaul means cheaper PO Boxes for the UAE



Businesses will soon be able to rent cheaper PO Box addresses under an overhaul of the national commercial postal service.

Emirates Post Group Holding (EPGH) announced yesterday it would reform its mailing system from January 1 to try to capture more demand for deliveries from small businesses.

"Companies can save money in the administration surrounding their business," said Ibrahim bin Karam, the chief commercial officer of EPGH, the state-owned postal service and logistics company.

"The financial crisis has increased companies' focus on cutting costs, so they don't want to recruit more staff to organise their post. This will help."

The reform will integrate services offered by EPGH subsidiary companies Emirates Post, the UAE's postal corporation, and Empost, the national courier service.

It will mean businesses can pay for a range of different postal services that combine the cost of renting a PO Box and courier delivery.

Under the changes, businesses with the highest volumes of mail can pay Dh12,000 (US$3,267) a year to rent a PO Box address and receive their mail six times a week. Previously they would have to pay an extra Dh750 for the address fee.

Smaller companies with lower mail volumes will pay Dh750 a year for PO Box rental and other mail services.

The move is part of an overall integration of services between the two companies that will involve Empost springing up in all 120 Emirates Post branches across the country by the end of March.

"We have tailored the services to companies depending on their size and their volume of mail," said Sultan al Midfa, the chief executive of Empost. "In the past we had only one service targeting the large corporates, and so we have improved the options available."

PO Box rental charges for households have not changed. Nationals and expatriates with resident visas can pay Dh200 a year to rent an individual PO Box.

Company Profile

Company name: Hoopla
Date started: March 2023
Founder: Jacqueline Perrottet
Based: Dubai
Number of staff: 10
Investment stage: Pre-seed
Investment required: $500,000

Credit Score explained

What is a credit score?

In the UAE your credit score is a number generated by the Al Etihad Credit Bureau (AECB), which represents your credit worthiness – in other words, your risk of defaulting on any debt repayments. In this country, the number is between 300 and 900. A low score indicates a higher risk of default, while a high score indicates you are a lower risk.

Why is it important?

Financial institutions will use it to decide whether or not you are a credit risk. Those with better scores may also receive preferential interest rates or terms on products such as loans, credit cards and mortgages.

How is it calculated?

The AECB collects information on your payment behaviour from banks as well as utilitiy and telecoms providers.

How can I improve my score?

By paying your bills on time and not missing any repayments, particularly your loan, credit card and mortgage payments. It is also wise to limit the number of credit card and loan applications you make and to reduce your outstanding balances.

How do I know if my score is low or high?

By checking it. Visit one of AECB’s Customer Happiness Centres with an original and valid Emirates ID, passport copy and valid email address. Liv. customers can also access the score directly from the banking app.

How much does it cost?

A credit report costs Dh100 while a report with the score included costs Dh150. Those only wanting the credit score pay Dh60. VAT is payable on top.