New Zealand Post says it is unlikely it will receive any significant capital injection from the Government over the next couple of years.
The postal operator had asked the Government for money to help fund the growth of its subsidairy Kiwibank and meet stronger capital requirements.
It has previously said it could provide the capital itself, but it wants the money for expanding its operations.
Standard & Poors last year cut the creditworthiness of New Zealand Post and Kiwibank by one notch to A+.
New Zealand Post says it's likely to contribute the $100 million needed by its banking unit to meet tougher capital requirement rules and fund future growth.
Speaking at the commerce select committee, New Zealand Post chairman, Sir Michael Cullen said New Zealand Post is considering stumping up, as long as its main mail business doesn't decline sharply.
"We believe that we're in a position to indicate to the bank that that $100 million will be available and that of course is subject always to changing circumstances and if the postal business declines much more rapidly than forecast then that would be a change in circumstances."
New Zealand Post has sold its stake in Datacom and its head office building in Wellington, to reduce debt.
Sir Michael says the money will come from a variety of sources, including retained earnings and driving efficiency in the business.
He says the organisation will be planning over the next few years for the fact it won't be getting any capital injection.
Sir Michael says the company is experiencing a steady decline of mail volumes - about 6% per year - and there is no indication that will tail off.
New Zealand Post is seeking changes to its deed with the Government to cut weekly mail deliveries and introduce self-service kiosks which Sir Michael says will keep its postal business profitable.
However, New Zealand Post says it's unlikely there will be cuts to its main postal services in the next two years.
Sir Michael says the company recognises it needs to come up with better answers for rural contractors than just cutting back.
He says he doesn't believe there will be a lot of postal shop closures, but there may be relocations.