Minister in the Presidency Jeff Radebe has announced the long awaited grants payment deal between the South African Social Security agency (Sassa) and the South African Post Office.
He says the final services agreement was signed the past Thursday, although initial agreements were signed in November.
The Constitutional Court had given Sassa a deadline of the past Friday to find a new service provider.
Commercial banks will be integrated into the system.
Radabe explains the various places where social grant beneficiaries can go to collect their money from the first of April 2018.
“The hybrid model further identifies the role of the secondary economy merchants such as general dealers, corner shops, spaza shops, village banks and cooperatives in townships and rural areas outside of the 5 kilometres radius, which are legally registered in South Africa.”
SAPO and Sassa will now work together to ensure that 17 million social grants recipients receive their grants in April in 2018.
Announcing the long awaited deal, Radebe says this hybrid model will also protect the information of recipients.