An Post has confirmed it is to enter the Irish mortgage market in 2019.

The board of An Post agreed to the move last Friday.

A spokesman said it plans to get into the market by the final quarter of next year.

"We want to offer a greater range of financial services for our customers", he told Newstalk.com.

The firm is now looking for a partner for the offering, as it does not have a banking licence.

That process will begin "in the next couple of weeks", he added.

The offering will see rates of 1% less than what is currently on offer, and will be made available to both new and switching mortgage holders.

Irish lenders have been criticised for charging mortgage interest rates which are higher than Eurozone averages.

An Post is in the process of major change - after announcing the closure of 159 post offices and a major e-commerce drive last month.

The newly configured post office network is to offer a range of parcel and mail services including out-of-hours collections, returns, tracking and redirection.

It will also offer financial services products for individuals and SMEs to include loans, credit cards and more foreign exchange products.

It has also announced that it is to provide local banking in association with the major banks and a full range of State Savings products.

It is also extending its range of local and central Government services - including licensing, payments for local authorities, fines and planning applications.