#1SBN Holdings Ltd. NAMIBIA IS OUR HOME, WE DRIVE HER GROWTH Kunene River - Namibia Financial results presentation for the year ended 31 December 2022 Standard Bank Also trading as Stanbic Bank#2Overview of 2022 Standard Bank Also trading as Stanbic Bank#33 Value drivers Client focus Employee engagement Risk and conduct Operational excellence Shareholders & Investors See impact Truly Digital, Truly Human approach • Differentiated personalized offers Invested in employee development Employee engagement, health and wellbeing Workforce diversity . • Information security, data privacy, cybersecurity Third-party risk as we transform to a platform and ecosystem business Improved System Stability Reliability of digital transaction channels Growth through sustainable strategies Improved financial performance Dedicating 1% of Net Profit to CSI ID primary needs in SDGs Standard Bank#4salesforce ACHIEVEMENTS 2022 emeafinance 2022 EMEA Finance African Banking Awards® Winners #EndlessPossibilities African Banking Awards 2022 Disruptor Award Best Bank Best Investment Bank 2022 4 BANKING GLOB & FINANCE AWARDS AWARDS 2022 Global Banking & Finance Awards® winners: Best Investment Bank in Namibia #Endless Possibilities Best Investment Bank 2022 World Economic Magazine Award winners 2022 Best Investment Bank Namibia Standard Bank#5FY22 FY21 LO 5 Overview of results Strong underlying momentum in our core operations Income before credit Impairments FY22: N$ 2.7 bn FY21: N$ 2.4 bn ROE +11.9% 8.60% 13.70% FY22 FY21 Impairments Profit for the Year FY22: N$ 161 mil FY22: N$ 624 mil FY21: N$ 289 mil FY21: N$ 366 mil - 44.2% CREDIT LOSS RATIO 0.60% +70.5% COST TO INCOME FY22 62% 1.09% FY21 65% Standard Bank#62022 Financial Performance Standard Bank Also trading as Stanbic Bank#77 Profit After Tax N$'000 Positive Impact Negative Impact 366,211 215,490 Non-interest revenue, +6.1% 91,871 127,538 25,740 67,368 36,243 12,297 624,280 FY21 NII growth Fee & commission Trading revenue Other revenue Credit impairments Operating expenses Tax FY22 +17.5% +1.4% +31.8% +13% (44.2%) +5.8% +34.3% +70.5% Standard Bank#8Profit After Tax 12 FY22 N$ 'mil FY21 N$ 'mil change % Net interest income Non-interest revenue 1 445 1 229 17.5 1 283 1 283 6.1 Total income 2 728 2 438 11.9 Credit impairment charges (161) (289) (44.2) Net Income before operating expenses 2 567 2 149 19.4 Operating expenses (1679) (1587) +5.8 . KEY TAKEOUTS 2022 has been a year of renewed recovery for the group with strong growth in profit after tax of over 71%. SBN Holdings also successfully raised N$400 million in its debut green bond issuance, enabling the group to accelerate its progress in transitioning to a low carbon. Profit After Tax 624 366 70.5 economy Credit loss ratio 0.60% 1.09% Cost-to-income ratio 62% 65% Return on equity 13.7% 8.6% 8 Standard Bank#99 Income & Expenses TOTAL INCOME 1 229 N$ 'm NII 1 445 1 209 ■FY21 ■FY22 1 283 EXPENSES 1 587 1 679 289 161 CREDIT IMPAIRMENTS ■FY21 ■FY22 • • KEY TAKEOUTS Net interest income (NII) increased by 17.5%, predominantly due to the steady 300 basis point (bps) increase in the repo rate and ongoing improvement of the net interest margin, up from 3.9% to 4.4%. Non-interest revenue increased by 6.1% driven by 31.8% growth in trading revenue as well growth in the bancassurance revenue and newly acquired property portfolio. ⚫ Credit impairments decreased by 44.2% year on year, primarily due to the ongoing implementation of our 2021 non-performing loan reduction strategy and the achievement of related strategic initiatives. Operating expenses increased by 5.8% to N$1.7 billion, below the • average annual inflation of 6.1%. Standard Bank OPERATING NIR N$ 'm EXPENSES#1019 Capital and Dividends 17.7 17 16.0 15.6 15.2 14.7 14.7 14.7 15 14.4 13.3 13.3 12.9 13 11 9 7 11.9 5 FY17 FY18 FY19 FY20 FY21 FY22 10 - Tier 1 Capital Adequacy Ratio -Total Capital Adequacy Ratio Dividends Dividend per Share (cents) Return on Equity 46 (FY21: 15) KEY TAKEOUTS • The group maintained its strong capital adequacy ratios with total regulatory capital at 17.1%. • The ROE improved from 8.6% to 13.7%. The group is well- positioned to achieve its ROE target of a minimum of 15% by 2025 Dividend per share increased by 31c a share to 46c per share 13.8 (FY21: 8.6) Standard Bank#1111 Measuring our financial progress Remain committed to achieving our 2025 ambition FY22 2025 Ambition Revenue growth Cost-to-income ratio Credit loss ratio 5% -9% <60% 70 - 100 bps Profit growth ROE FY21 11.9% 3.2% 62% 65% 60bps 109bps Sustainable growth +70.5% -13.1% >15% 13.7% 8.6% Standard Bank#12Client Segments Standard Bank Also trading as Stanbic Bank#13CHNW Performance Drivers Net interest revenue FY22: N$804mn FY21: N$ 733mn Profit After Tax FY22: N$279m FY21: N$269m Impairments FY22: N$110mn FY20: N$151mn 4% Paypulse transactional values FY22: N$ 534mn FY21: N$ 442mn KEY TAKEOUTS • Increase in profit was due to the 300 bps increase in repo rate but also through a deliberate plan to reduce impairments. Increase in costs above inflation was due to a reallocation of costs between CHNW, BCB and CIB. . Credit impairments were down to focused actions to manage impairments. • Refer to note 37 13 ↑ 10% √27% ↑ 21% Standard Bank#1414 Corporate and Investment Banking Performance Drivers Loans & Advances to Customers FY22: N$5.3bn FY21: N$3.9bn 135.5% Profit After Tax FY22: N$380m FY21: N$211m ↑ 80% Net interest revenue FY22: N$407mn FY21: N$262mn ↑55.4% Non-interest revenue FY22: N$397m FY21: N$349m ↑13.8% KEY TAKEOUTS CIB's profit for the year increased significantly by 80% year on year due to strong growth of Loans and Advances to customers by 35.5%, which contributed significantly towards the 55.4% growth of NII. Both revenue trading (increased by 31.8%) and electronic banking transaction fees (increased by 46%) were the drivers for the 13.8% growth in NIR year on year • Refer to note 37 Standard Bank#15BCB Profit After Tax FY22: N$13m FY21: (N$59m) 122% Performance Drivers Net interest revenue FY22: N$263mn FY21: N$ 233mn Non-interest revenue FY22: N$203mn FY21: N$157mn Impairments FY22: N$156.6mn FY21: N$281.9mn 15 ↑ 13% ↑ 29% ↓ 65% KEY TAKEOUTS • The key priority for BCB was to • reduce its non-performing loan ratio and to become a profitable unit. It is therefore pleasing to report that BCB delivered N$13.2 million profit for the year. Profit after tax increased by 122% mainly due to the increase in repo, very strong growth in NIR of 29% and the 65% reduction in impairments. • Refer to note 37 Standard Bank#16Society Economy Environment Standard Bank Also trading as Stanbic Bank#17Supporting Our Communities Health and Community Development Partnership between MVA and SBN to renovate the hospital's emergency unit, which serves more than 200 patients a day The Buy-a-Brick project built 51 homes in 2022 Education Standard Bank rewards the top three best performing Grade 10 and Grade 11 learners in each region · • CLIMATE CHANGE & ENVIRONMENTAL SUSTAINABILITY The MycoHAB continues to impress globally and was featured on the Wall Street Journal MycoHAB is focused on turning encroacher bushes into food and building materials 17 Standard Bank#18Looking forward Standard Bank Also trading as Stanbic Bank#1919 Strategic Priorities + +4 + II Bo Client Focus Top quartile client and partner satisfaction scores Revenue growth 5% to 9% Employee Engagement Upward trend in eNPS Increasingly diverse workforce Improved workforce return on investment Risk and Conduct Operate within risk appetite and conduct framework Common equity tier 1 (CET 1) ratio > 11% Credit loss ratio 70bps to 100bps Operational Excellence Lower cost to serve Cost-to-income below 60% System security and stability Improving data monetisation Financial Outcome ☐ Sustained headline earnings growth ROE of above 15% R SEE Impact Support the development of alternative building materials Standard Bank#202023 Macro Outlook - The beginning of the end of the pandemic and pent-up consumer demand provide a positive backdrop, however geopolitical developments are a risk Global growth to remain above trend, financing conditions to tighten and inflation to fade¹ • • Global growth 2.9 %, sub-Saharan Africa 3.8% and Namibia 3.2% Sub-Saharan Africa Global financial conditions could tighten more if global inflation pressures persist longer-than-expected leading to higher borrowing costs and a higher risk of debt distress in many SSA economies. SSA food systems, already stressed by elevated costs of farming inputs and weather-induced production losses, remain particularly vulnerable to further disruptions that could lead to surging food prices and increased food insecurity. This together with increased frequency and severity of climate change induced weather shocks could further disrupt agriculture and delay large infrastructure and mining projects in some countries. 20 • Much broader and sustained economic recovery, subject to the external environment • Real GDP growth of 4.2% in 2022 and 3.2% in 2023 before moderating to 2.9% in 2024 • Inflation expected to moderate over the year, averaging 5.3% and 4.3% in 2023 and 2024 respectively • Namibia • Gradual rate hike cycle; +25bps in Feb-23, expect a further 25bps hike in 2023 A commitment to fiscal sustainability, but require economic diversification policy and structural reforms to drive sustainable growth 1 Subject to developments in Russia and Ukraine and the broader implications of actions taken, 2 Ministry of fiancé Economic Outlook, (February 2023) IMF global economic outlook (Jan 2023) 12 Standard Bank#2121 Disclaimer - Forward looking statements The Group may, in this document, make certain statements that are not historical facts and relate to analyses and other information which are based on forecasts of future results and estimates of amounts not yet determinable. These statements may also relate to our future prospects, expectations, developments and business strategies. By their very nature, forward looking statements involve inherent risks and uncertainties, both general and specific, and there are risks that the predictions, forecasts, projections and other forward-looking statements will not be achieved. If one or more of these risks materialise, or should underlying assumptions prove incorrect, our actual results may differ materially from those anticipated. You should understand that a number of important factors could cause actual results to differ materially from the plans, objectives, expectations, estimates and intentions expressed in such forward-looking statements. Standard Bank#22Thank you Standard Bank Also trading as Stanbic Bank