Bookcases filled with free books were installed in the post office foyer on Boxing Day and have proved popular with bibliophiles and bargain-hunters.
The initiative was instigated by a group of Dunedin friends to encourage people to read more books, one of the organisers, Kare Grayson, said yesterday.
"We all really love books, so we've left a variety of books here, which people are welcome to take away to read and to add to," she said.
"It's not like we're doing any harm. They're hardly going to arrest us for installing a library, are they?"
About 100 books had been removed since the library was installed.
"We've been writing false inscriptions in some of the books, just for a bit of fun. We're really hoping other people will also join in and leave their unwanted books here. That way, it will become an ongoing organic process."