#1capital bank As of March 2023 Investor Relations 1#2Index 1. Group Corporate Profile and Financial Highlights. 2. Corporate Governance. 3. Macroeconomic Developments and Banking Sector highlights. capital bank 2#3Section 1 Group Corporate Profile and Financial Highlights capital bank 3#4| Our Vision, Mission and Strategic Pillars Vision To be one of the leading banks in the region placing our customers and people at the heart of our journey and enabling them to make informed life decisions. Mission To simplify daily banking and support economic prosperity through digitisation, innovation and personalised customer experience. Strategic Pillars: Operational Excellence Enhance our digital capabilities and continue our digital transformation journey through continuous innovation while building an efficient future-ready infrastructure. Customer Centricity Expand into a holistic value proposition that meets the banking and investment needs of our clients and revolves around service excellence and elevated customer experience. Sustainable Growth Grow the Group's regional footprint, promote cross-border banking, diversify sources of revenue and optimize risk management framework to create sustainable and profitable growth that maximizes shareholders' value. Our People Invest in our strongest asset; our people, through creating an inspiring workplace culture focused on the continuous building of capabilities. 4#5| Our Values We Put our Clients First Customer Experience We Act with Integrity Integrity Our People Our Capital People We Embrace the Journey Resilience and Innovation We Think Big Ambition We are All Owners at Capital Accountability Our clients are at the heart of all we do. We make every decision and measure every outcome based on how well it serves our customers. We Listen to our customers and strive to create an experience catered to their individual and unique needs through offering dynamic and personalized treatment. We are honest, transparent and committed to do what is best for our partners. We openly collaborate in pursuit of the truth. When choosing between what is right and what is easy, we always choose what is right. Our ethical accountability is our corporate identity. Our people are the cornerstone of everything we do. The strength of Capital Group lies in the strength of our people. We invest in our people to maximize their potential and excel as leaders. We care for each other; and we create a work environment that enables employees to have both pride & enthusiasm towards the impact they are creating. At Capital, we are resilient, and our strong foundation empowers us to approach everyday with curiosity, to seek out challenges by turning them into innovative opportunities that paves the way for constant growth. We adopt, adapt and act quickly. We acknowledge that the path to success is a continuous learning journey. Our shared and common drive towards growth and achievement makes us vibrate at a higher frequency with contagious enthusiasm towards accomplishment. we focus on solutions, and we arrive everyday inspired to make the impact through our talent, passion and hard work. We take the responsibility for outcomes and are empowered to make the decisions that will lead to those outcomes. We use our critical thinking capabilities and learnings from the past to take initiatives that allow us to collaboratively reach excellence. 5#6| Our Journey • Established in 1995 in Amman - Jordan, Capital Bank is a publicly listed bank, quoted at the Amman Stock Exchange. • • Capital Bank expands into the Iraqi market and acquires a majority stake in the National Bank of Iraq (NBI). • NBI's outlook becomes geared towards expansion and the Bank's structure changes to a corporate governed one. • • Capital Investments - the investment banking and brokerage arm of Capital Bank Group is established. Currently, Capital Investments provides asset management, brokerage and corporate finance advisory services through its offices in Jordan, Iraq and the UAE/Dubai International Financial Center (DIFC). • • Capital Bank completed the acquisition of Bank Audi branches and operations in Jordan and Iraq. Capital Bank Group through its subsidiary NBI is granted a license to establish a branch in Riyadh following the approval of the Saudi Council of Ministers. • Capital Bank launches its all-digital bank 'Blink'. • Capital Bank issues a tier I perpetual bond listed on Nasdaq Dubai. Capital Bank raises capital and Saudi Arabia's Public Investment Fund (PIF) becomes a strategic investor with ~24% stake. • Capital Bank completes the acquisition and merger of Société Générale de Banque Jordanie. Growth Establishment Expansion Diversification Acquistion 1995 2005 2006 2021 2022 • Capital Bank goes into the leasing business in Jordan and Iraq. • Capital Bank embarks on an all- encompassing transformation Journey. Going Further Today 6#7| A Regional Bank - With a Diversified Business Model (Q1, 2023) Global Presence Across 4 Markets (Jordan, Iraq, K.S.A. and U.A.E.) 2,198 Employees Globally capital Jordan Asset Contribution: 77%. NOI Contribution: 60%. national bank of iraq Iraq Asset Contribution: 22%. NOI Contribution: 35%. 37 Branches in Jordan 24 Branches in Iraq 1 Branch in K.S.A. capital investments Asset Contribution: 1%. NOI Contribution: 5%. 7#8| A Regional Bank - With a Diversified Business Model Capital Bank Jordan Capital Investments - DIFC Subsidiary (100%) Capital Investments - Jordan Subsidiary (100%) National Bank of Iraq Subsidiary (61.85%) Capital Leasing Subsidiary (100%) Capital Investments - Iraq (100%) National Leasing - Iraq (51%) *** National Bank of Iraq KSA Branch (100%) ZIGHE Blink Digital Channel (100%) 80#9| Capital Bank Group - Snapshot March 2023 3rd Largest In the Jordanian market. USD 10.6b Total Assets Sturdy Capital Base Above CBJ requirement of 14.125%. CAR at 14.45% Market Heavyweight Fastest growing bank since year 2020. USD 5.0b Net Loans Stable Credit Rating Solid Coverage Ratio Including collaterals, the ratio will be 129.5% Strategic Investor 97.2% b11 bb MOODY'S gente CAPITAL Public Investment Fund since June 2022. USD 872m Market Cap Generating Superior Returns through a Robust Foundation. 18.0% $ 914m ROE Equity Listed on Nasdaq Dubai's Market Perpetual bond Tier 1. $ 100 million Sound Cost to income ratio. 40.5% Efficiency Ratio Rising Trend 17% Dividends as a percentage of capital (2022). Sufficient Reserve Of high quality liquid assets. Strong LCR at 243% Credit Quality. 4.23% NPL 1 As of end of 2022 - ranked with a positive outlook. 9#10| Group Consolidated Financials In USD Mn In USD Bn Income Statement Items 2021 2022 Q1 2022 Q1 2023 Balance Sheet Items 2021 2022 Q1 2023 Net Interest Income 144 224 44 63 Total Cash & Equivalents 1.0 1.4 2.0 Gross Operating Income 194 297 58 97 Net Credit Facilities 3.0 4.6 5.0 Total Operating Expenses (102) (156) (27) (41) Investment Portfolio 1.7 3.1 2.9 Net Operating Income 92 141 32 56 Total Assets 6.1 9.8 10.6 Provision (28) (40) (9) (13) Customer Deposits 3.9 6.9 7.6 Net Acquisition Impact 36 35 35 Cash Margins 0.3 0.6 0.6 Income Tax Expense (14) (9) (2) (6) Paid up Capital 0.3 0.4 0.4 Net Profit 86 128 56 37 Total Equity 0.6 0.9 0.9 10#11- | Strong Financial Track Record – Balance Sheet (USD millions) Total Assets (CAGR 57%) Net Loans (CAGR 50%) Investments Portfolio (CAGR 64%) Q1, 2023 2022 2021 2020 3,877 Q1, 2023 2022 2021 6,081 10,624 Q1, 2023 9,814 Cash & Balances (CAGR 70%) 2020 618 1,041 1,411 Represents stock bonds and shares 2022 2021 2020 1,996 2,043 Q1, 2023 2022 2021 2,982 Customer Deposits & Margins (CAGR 67%) 2020 2,575 4,238 5,001 Q1, 2023 4,604 2022 2021 2020 968 Q1, 2023 8,159 7,432 2022 2021 1,668 Total Shareholders' Equity (CAGR 31%) 553 2020 502 2,942 3,138 914 920 11#12Strong Financial Track Record - Income Statement (USD millions) Net Interest Income Q1 2023 Q1 2022 44 63 +43% Gross Operating Income Q1 2023 97 +67% Q1 2022 58 Total Operating Expenses Q1 2023 Q1 2022 26 41 +58% CAGR 52% CAGR 38% CAGR 52% 2022 224 2022 297 2022 155 2021 144 2021 194 2021 102 2020 97 2020 156 2020 68 Net Operating Income Q1 2023 56 +75% Q1 2022 32 2022 2021 2020 CAGR 26% Provisions Q1 2023 13 +44% Q1 2022 9 142 2022 92 2021 88 2020 CAGR 6% 40 40 28 35 Net Income Q1 2023 37 -34% Q1 2022 56 CAGR 73% 2022 2021 2020 43 128 86 12 12#13| Strong Financial Track Record – Ratios - Net Interest Margin (Spread) NPL Ratio Provision Coverage Ratio 5.30% 97% 5.07% 92% 91% 4.81% 2.98% 2.97% 2.82% 4.23% 74% 2.44% 2020 2021 2022 Q1, 2023 2020 2021 2022 Q1, 2023 2020 2021 2022 Q1, 2023 Efficiency Ratio 48.0% 45.3% 43.5% 40.5% 2020 2021 2022 Q1, 2023 Including collaterals, coverage ratio for 2022 is 131% and 130% for Q1 2023. 2 Excluding one-offs and non-recurring items. Capital Adequacy Ratio 16.31% 14.87% 14.45% 8.6% 13.74% Return on Equity Ratio (Annualised) 18.7% 18.0% 16.3% 2020 2021 2022 Q1, 2023 2020 2021 2022 Q1, 2023 33 13#14| Strong Financial Track Record - Ratios (annualised) Return on Assets Loan to Deposit Ratio Non Interest Income / Total Revenue 1.7% 85% 37.6% 35.1% 1.6% 76% 1.4% 67% 66% 25.8% 1.2% 24.4% 2020 2021 2022 Q1, 2023 2020 2021 2022 Q1, 2023 2020 2021 2022 Q1, 2023 Liquidity Coverage Ratio 175.4% 136.2% 243.4% 226.0% Net Stable Funding Ratio 121% 113% 134% 132% 0.178 Earnings Per Share * 0.556 0.541 0.496 2020 2021 2022 Q1, 2023 2020 2021 2022 Q1, 2023 2020 2021 2022 Q1, 2023 2021 and 2022 include one-off gain related to acquisitions. * Q1 Annualised. 14#15Loan Portfolio Breakdown Assets Breakdown 8% +57% 6% +61% 7% +9% Gross Portfolio Breakdown 8% ■ Corporate ■SMES 6% 32% USD 5.4 bn 49% ■ Retail 25% 27% 28% 32% 16% 17% 19% 14% 51% 49% 47% 47% 10% ■Governmental Total gross loan portfolio reached USD 5.4 billion as of 31.03.2023; of about half of which consisted of Corporate clients. 5% By Sector 15% ■Construction Manufacturing 23% ■ Others USD 5.4 bn 15% Public Sector & Utilities 18% 24% 2020 2021 2022 Q1, 2023 ■Net loans Cash & Balances Investments Other Assets Well distributed amongst several diversified sectors. Retail Financial 15#16| Deposits Breakdown Liabilities Breakdown +64% 3% 6% +61% +9% 3% 3% 10% 12% 11% 15% 11% 6% 6% 6% 6% 77% 78% 70% 71% 2020 2021 2022 Q1, 2023 Customer Deposits Customer Margins Loans & Borrowings Banks & FI Other Liabilities Customer Deposits by Segment 15% 44% USD 7.6 bn ■ Corporate 37% ■ SMEs ■ Retail ■ Governmental 4% As of end of Q1 2023, retail clients remained the highest constituent of total customer deposits at 44%. Customer Deposits by Type Current & Savings 38% USD 7.6 bn CDs & Deposits 62% 16#17| Strong Capital Base 16.31% 14.54% Capital Adequacy Walkthrough RWA Movement 4.9% 0.6% 0.6% 0.7% 14.87% 14.45% 13.74% 13.57% 11.9% 9.7% 9.4% 13.15% 12.88% CBJ minimum 14.125% 16.5% 2020 2021 2022 Q1, 2023 Primary Capital Capital Adequacy Basel minimum 12% By March 2023, Capital Ratios were above the minimum regulatory requirements; CAR ratio is at 14.45% against Basel and Central Bank of Jordan's requirement of 12% and 14.125% respectively. 87.5% 89.7% 89.9% 78.6% 2020 2021 2022 Q1, 2023 ■Credit RWA Operational RWA Market RWA Consolidated USD 000s Tier 1 Capital Tier 2 Capital Total Regulatory Capital Total RWAS Capital Adequacy 2020 Q1 2023 374,571 774,716 45,525 57,816 50,323 420,096 500,212 772,226 825,039 2,575,896 3,363,273 5,619,691 5,709,792 16.31% 14.87% 13.74% 14.45% 2021 2022 442,396 723,724 48,502 17#18| Peer Comparison - Year 2022 Total Assets¹ Net Loans¹ Deposits¹ Equity² Net Profit² البنك العربي Arab Bank 39.2 16.1 27.2 5,543 462 ARAB BANK بنك الإسكان Housing Bank Housing Bank 11.9 6.0 7.5 1,776 187 capital Capital Bank 9.8 4.6 6.9 920 128 بنك الاتحاد Bank al Etihad Bank al Etihad 9.4 5.6 7.3 790 62 بنك القاهرة عمان CairoAmman Bank Cairo Amman Bank 5.2 3.0 3.5 595 49 49 البنك الأردني الكويتي Jordan Kuwait Bank 5.0 2.7 3.4 674 JORDAN KUWAIT BANK 26 26 ahli Jordan Ahli Bank 4.3 2.2 2.9 466 24 بنك الأرضين Bank of Jordan Bank of Jordan 4.1 2.1 2.8 765 57 57 1 USD billions. 2 USD millions. 18#19Market Share for Jordan Branches - Year 2022 Item Banking Sector* Growth** Capital Bank Jordan* Growth** Market Share Market Market Share Share Dec 20 Dec 21 Dec 22 Total Assets 90,468 5.1% 8,557 63% 4.3% 6.1% 9.5% Deposits 59,388 6.5% 5,807 85% 4.0% 5.6% 9.8% Loans 45,968 8.5% 3,872 72% 3.9% 5.3% 8.4% *In USD billions. ** Growth is measured against December 2021; Capital Banks's growth includes SGBJ acquisition. Capital Bank continues to outperform the banking sector in Jordan with growth in assets reaching 63% compared to end of 2021. While total assets market share has gone up from 4.3% in 2020 to 9.5% in 2022. 19#20| Capital Bank Stock Listed on: Amman Stock Exchange (ASE). Symbol: CAPL. ISIN: JO1101711017. Subscribed Shares: 263,037,121 Free Float: 45.6%. Share Turnover*: 11.11%. Major Investors with 5% Ownership or More (31.03.2023) 5.36% ■Saftey First Investment Company (PIF) 7.19% Year Opening Price Closing Price High Price Low Price Q1 2023 JOD 2.44 JOD 2.35 JOD 2.60 JOD 2.29 2022 JOD 2.03 JOD 2.44 JOD 3.10 JOD 2.00 7.42% 2021 JOD 0.98 JOD 2.03 JOD 2.06 JOD 0.98 2020 JOD 1.00 JOD 0.98 JOD 1.03 JOD 0.79 Capital Bank Share vs ASE 20 and Banking Index (Closing Price Q1 2023) 3.90 4.13 4.19 3.15 Q1, 2023 2.60 2.44 ↓ 2.03 2022 1.35 2.35 0.98 1.07 2021 ■ Saad Al Janaabi ■ Social Security 23.97% ■ Sa'id Samih Darwazeh Market Cap in USD millions 0.81 2020 2021 2022 Q1, 2023 2020 276 Banking Index (000 PT) Closing Price (JOD) ASE Index 20 (000 PT) * Volume of traded shares over the past 12 months divided by number of outstanding shares. 573 872 905 20 20#21| Capital Bank Stock - Versus Peers Dividends as a Percentage of Capital Dividend Pay-Out Ratio Ahli Kuwait Jordan Cairo Capital Housing Etihad Arab 2022 8% 8% 18% 10% 17% 25% 10% 25% 12021 7% 7% 18% 9% 15% 20% 10% 20% 2020 4% 0% 12% 12% 12% 12% 10% 12% Ahli 2022 95.0% 2021 98.7% 2020 76.9% Kuwait Jordan Cairo Capital Housing Etihad Arab 64.1% 88.8% 54.3% 49.2% 59.5% 36.5% 48.9% 136.3% 99.2% 52.3% 49.2% 57.2% 38.6% 82.1% 0.0% 67.7% 130.5% 79.2% 88.9% 53.3% 352.7% Price to Earnings Ratio Price to Book Value Ratio Ahli Kuwait Jordan Cairo Capital Housing Etihad Arab Ahli Kuwait Jordan Cairo Capital Housing Etihad Arab 2022 12.70 13.25 10.76 7.36 6.36 8.88 9.09 9.55 2022 0.65 0.52 0.82 0.63 1.17 0.96 0.69 0.80 2021 13.68 2020 14.80 26.36 11.50 8.05 5.15 5.22 8.62 20.07 2021 0.59 0.44 0.87 0.68 1.04 0.48 0.65 0.82 -47.88 10.78 10.98 7.55 13.42 10.59 121.11 2020 0.48 0.47 0.85 0.54 0.55 0.45 0.61 0.69 Source: Amman Stock Exchange. 21#22National Bank of Iraq – In Brief Business Overview - National Bank of Iraq (NBI) is one of the leading commercial banks in Iraq, offering various banking services. The Bank was established in 1995 and is headquartered in Baghdad, Iraq. NBI is publicly traded on the Iraq Stock Exchange (symbol: BNOI) and is ranked first amongst privately held banks in terms of total assets. Capital Bank of Jordan ('Capital Bank') owns a majority stake of ~ 62% in NBI. NBI provides a range of innovative banking services through three main segments, namely personal, corporate, and SMEs. NBI also provides Brokerage Services, Leasing, Custody Services and Investment Services (including trading in gold, foreign currency and oil). NBI has access to a large network of correspondent banks directly and through Capital Bank in addition to solid relations with foreign and international development financial institutions such as Saudi Exim Bank, PROPARCO and the IFC. Capital increased to become IQD 270 billion. Commenced operations of its newly established branch in KSA and added a new revenue stream through the Leasing Company. NBI's capital is raised to IQD 100b, adopting a new strategy focused on building capacity and improving infrastructure to service large corporates. National Bank of Iraq established as a publicly traded private bank in Iraq with a capital of IQD 400m. Timeline 2022 2021 NBI acquired Bank Audi's branches in March 2021, further strengthening positioning in Iraqi market. NBI's capital was raised to IQD 250b, with Capital Bank's 2013 ownership stake rising to 61.85%. 2011 2005 1995 Capital bank of Jordan acquires a 59% stake in NBI. becoming the main shareholder to drive the bank towards a corporate governed bank. Key figures Q1, 2023 IQD 348bn. USD 266m. Total Equity of NBI IQD 3.1trn. TII USD 2.4bn. Assets * As of 15 March 2023 ע 106% Increase in net Operating Income IQD 1.0bn. USD 797m. Net Loans ון. Stable (bb)* Rating by Capital Intelligence IQD 2.3trn. USD 1.7bn. Deposits of NBI Key facts Q1, 2023 8-790 Number of Employees + 150K Clients served 0° E NSFR At 141% 157 ATMs LCR At 165% 24 Branches 22 22#23National Bank of Iraq - A Snapshot 2021 48% Assets Breakdown 33% 12% 7% In USD Mn Key Income Statement Items 2021 2022 Q1 2022 Q1 20231 Gross Operating Income 57 75 9 32 Total Operating Expenses (32) (40) (4) 34% Net Operating Income 25 35 55 Provisions (2) (9) (1) +45% One-off and Non Recurring Items² (7) 250 451- (12) (5) 1 Tax (4) (5) (1) (3) 8% 3% Net Profit 19 14 3 13 2022 39% 42% 11% 7% Q1, 2023 33% 56% Net Loans ■Cash & Balances Other Assets Investments Liabilities Breakdown 2021 77% Key Figures & Ratios 2021 2022 Q1 20231 Total Assets 1,236 1,656 2,394 Net Credit Facilities 592 651 797 Total Deposits 792 1,054 1,749 9% 7% 4% 3% Capital Adequacy Ratio 24.5% 20.8% 21.8% 39% Net Interest Margin (Spread) 6.16% 6.44% 6.20% Efficiency Ratio 56.1% 53.6% 36.4% NPL Ratio 2.5% 2.6% 2.0% +49% Coverage Ratio 78.7% 88.5% 100.4% 6% 5% 4% 3% 1 Exchange rate against dollar became IQD 1310 versus IQD 1460 in previous years. 2022 74% 8% 7% 8% 3% Q1, 2023 82% Customer Deposits Customer Margins Loans & Borrowings Banks & Fl Other Liabilities 2 Includes one-time provisions in addition to KSA branch and leasing company establishment costs. 23#24• • • Blink - The All Digital Neobank • Launched in February 2022, Blink targets unbanked, underbanked millennials and Gen-Zs within the retail banking space in Jordan. First regionally to offer unsecured lending in the form of credit cards through an capability. end-to-end digital lending Blink offers a completely new and unique user interface and experience that is different from other banks; it focuses on simple bank-jargon-free transparent ways of banking to foster financial literacy, educate customers and empower them to get their financial freedom. Some of the services offered are digital onboarding, eKYC, virtual and physical debit and credit cards, payments and other daily banking digital services. Blink has also partnered with players outside the financial services industry to bring lifestyle value added services, in the form of promotions, discounts, cash back, etc. m NO Cancel G Total Balance 7,896.00 309 My Debit Card blink Zein Malhas Add money ហ S Flip card 24 24#25| Digital Transformation – To Drive Sustainable Growth • Improved Self-Service Capabilities The launch of Capital Bank's mobile banking application and platform resulted in high number of eligible clientele utilising the service - of which almost 100% digital adoption was achieved on Corporate and SME clients; with nearly 60% performing their daily transactions via the application. - • • Customer Centricity & Experience Centralised customer communication over the mobile application to ensure updated, important and relevant information is being commuted across all channels in real time. Engaged Capital Bank's customers into digital gamification within the application. Enhanced Efficiency & Productivity Capital Bank has introduced more than 17 new digital services during the year, and is using multiple payment methods (locally and internationally) enhancing efficiency and productivity to both the client and the Bank, and reducing traditional branch visiting. • • Ecosystem and Partnerships In 2022 Capital Bank introduced a seamless integration with Capital Investments to easily link customers' bank accounts at Capital Bank to their investment portfolios at Capital Investments within the application. The application has also been integrated with Jordan Government's digital service 'SANAD' linking the client to over 100 services provided by the Government. • Innovation in Payments In Q1 2023, Apple Pay was launched to customers allowing them to link any card to Apple Wallet and enjoy convenient and safe payment contactless and online. • As for Android user, contactless payments have been introduced using Capital Bank's cards to be used on any payment point device that accepts NFC. • • Increased Digital Adoption Capital Bank's Point of Sale devices are distributed amongst a high number of merchants, resulting in a significant growth in card usage and contactless payments. Capital Bank has witnessed a positive experience evident by the sustainable growth in daily digital banking transactions and the increasing number of customer logins. 25#26| Group Guidance Medium / Long Term Guidance - 2026 محلاها £ F F Total Assets CAGR to be higher than 10%. Cost to income Ratio To be less than 40%. Capital Adequacy Return on Equity Ratio Dividends Pay-out Ratio To exceed 14.5%. To surpass 14% on the consolidated level. To range between 40% - 50% of net income. 26#27| Capital Bank of Jordan - Credit Rating MOODY'S CAPITAL Intelligence Moody's as of November 2022 Current Outlook LT Counterparty Risk Rating (Foreign) LT Counterparty Risk Rating (Domestic) Ba3 Capital Intelligence as of 15.12.2022 Core Financial Strength Current Outlook bb Ba3 LT Currency (Foreign) B+ Positive ST Counterparty Risk Rating (Foreign) NP ST Currency (Foreign) B Positive ST Counterparty Risk Rating (Domestic) NP Bank Standalone - BSR b+ Stable LT Bank Deposits (Foreign) B1 Positive LT Bank Deposits (Domestic) B1 Positive ST Bank Deposits (Foreign) ST Bank Deposits (Domestic) LT Counterparty Risk Assessment ST Counterparty Risk Assessment Baseline Credit Assessment Adjusted Baseline Credit Assessment NP NP Ba3(cr) NP(cr) b1 b1 27 22#28ESG - Awareness and Approach ENVIRONMENTAL SOCIAL GOVERNANCE • • • • • Capital Bank implements a regular Environmental & Social ('E&S') performance assessment through an E&S board-approved policy that is based on IFC standards. The bank has fully integrated the E&S procedures pertaining to categorisation, assessment and monitoring into the credit approval system. Designated credit/front office staff members have received adequate E&S training through the IFC E-learning platform to enable them to report any E&S risk as part of their standard processing of transactions. According to Capital Bank's E&S policy, Capital Bank categorises its transactions based on exposure to E&S risk sectors, performs an analysis for relevant transactions to assess the identified risks, mitigates and manages risks associated to those transactions by identifying the problems and designing adequate solutions using IFC Standards. Capital Bank also monitors the E&S performance of clients through staff annual site visits and questionnaires. Capital Bank takes active measures to reduce its environment footprint, through implementing waste, paper and plastic recycling in partnership with local NGOs such as collecting and recycling plastic bottle caps (under the Green Wheelz Initiative) and used paper (in cooperation with Princess Alia Foundation). 28#29ESG - Awareness and Approach ENVIRONMENTAL SOCIAL GOVERNANCE • • Capital Bank is in the process of preparing a full sustainability report in cooperation with EY and will be accredited by GRI; to be launched by the first half of 2023. In Q1 2023, Capital Bank continued its commitment to support pressing national issues, especially in the fields of education and socio-economic development to sponsor the academic and skill enhancement programmes geared towards disadvantaged students from around Jordan. Capital Bank extended its partnership with the following NGOs and Civil Society organisations: • • - Queen Rania Foundation. - Injaz for Education & Entrepreneurship. - Elia Nuqul Foundation. - Loyac Jordan for Youth Employability. - Eywa' Centre for Special Education. - AL Bunayyat Centre for Special Education. Capital Bank previously launched an Employee Educational Grant programme whereby it continues to cover the educational fees of selected employees' children; based on a set criteria. Capital Bank continues to support socio-economic development targeting under-privileged members in the society in partnership with entities, some of which being: - The Jordanian Hashemite Fund for Human Development. - Aman Fund for Aman Fund for the Future of Orphans. - Orphan Support Association - Mafraq. - The Crown Prince Foundation. 29 29#30Section 2 Corporate Governance capital bank 30#31| Creditable Board of Directors Name Appointment Role H.E. Mr. Bassem Al-Salem Chairman, Non-Executive H.E. Bassem Khalil Al-Salem 2010 Chairman H.E. Said Samih Darwazah 2021 Vice Chairman Social Security Corporation 2009 Member Represented by Shaden Ziyad 'Darwish ALHaji' One of the founders of the Bank. Appointed as Chairman of the Board in 2010. Previously served as the Jordanian Minister of Labor and Minister of Finance and was a member of the Jordanian Senate. Served on the boards of several prominent private and publicly listed companies, including the Association of Banks in Jordan and the Social Security Corporation. Composition Stats Hotaf Investment Company Experience Masters > 25 years experience Masters >25 years experience Undergraduate >15 years experience Masters 2009 Member Represented by Mr. 'Mohammed Ali' Khaldoun Al-Husry Investments & Integrated Industries >25 years experience Masters 2009 Member Representing Omar Mohamed Shahrour Al-Jadara Company for Real Estate Investment 2009 Member Represented by Sultan Bin Mohammed Al-Seif Al-Khalil Company for Investments Represented by Khalil Hatem Al-Salem Mohamad Hasan AlHaj Hasan 2009 Member 2017 Independent >25 years experience Undergraduate >15 years experience Undergraduate >15 years experience Masters >15 years experience Masters Khalid Walid Nabilsi 2017 Independent >20 years experience Undergraduate Yousef A.Y. Ensour 2021 Independent H.E. Abubaker Siddeq AlKhoori 2021 Independent ☐ All members are non-executive. ■ 4 out of 13 members are independent. The Safety First Investment Company - PIF Represented by Muteb Bin Mohammad Alshathri The Safety First Investment Company - PIF Represented by Lamya Mohammed AlFozan 2022 Member 2022 Member >20 years experience Undergraduate >20 years experience Masters > 15 years experience Masters > 15 years experience 31#32Highly Experienced Management Team Name BUSINESS Mr. Dawod Al Ghoul Nadim Abawat Group CEO Linda Al Tarazi Position Group Deputy CEO, International Group Chief Transformation Officer Group Chief Institutional Banking Officer Joined Gender 2022 2022 ■ Appointed in March 2020. ■ Over 28 Yasser Kleib Mohammad Othman Rami Al Khuffash Ali Abu Swai 2004 68% Group Chief Consumer Banking Officer 2020 Group Chief Investment and Treasury Officer 2022 Group Chief Treasurer 1997 years of extensive experience in financial and strategic planning, investments and financial restructuring. Served on the board of several Ayman Abu Dhaim 32% CEO, National Bank of Iraq 2011 Omar Namoos Bashar Amad CEO Capital Investments DIFC - 2023 CEO Capital Investments 2023 Zein Malhas CEO, Blink 2018 Education Manar Ameen General Manager, Capital Leasing 2022 CONTROL reputable institutions Master 48% across the Samer Al-Aloul Group Chief Banking Officer 2021 MENA region. Rafat Khalil Group Chief Audit Executive 2007 52% Bachelor's ■ Regional and global investment and Rawan Said Acting Group Chief Risk Officer 2023 financial institutions. Manar Aabidi Munis Haddadin Group Chief Credit Officer 2018 Group Chief Compliance Officer 2021 SUPPORT Izzidin Abu Salameh Manar Al Nsour Mohammed Mu'az Yosif Saptis Group Chief Operating Officer Group Chief Financial Officer Group Chief Legal Counsel Chief Human Resources and Shared Services Officer Touleen M. Barto Group Chief Marketing and Corporate Communications Officer 2021 Average Experience 2001 2003 2023 25 Years 2021 32#33| Solid Governance and Decision Making General Assembly Board of Directors Secretary of the Board Compliance Committee Risk Committee Audit Committee Credit Committee Corporate Governance Remuneration Committee Strategy Committee Chief Compliance Officer Chief Risk Officer Chief Audit Executive Technology Governance Committee Direct reporting Appointment Indirect Reporting 33#34Section 3 Macroeconomic Developments and Banking Sector Highlights capital bank 34#35|| Jordanian Economy Highlights Real GDP Growth Rate 2.7% 2.4% 2.2% 1.4% 0.3% Inflation Rate 4.2% 3.9% Foreign Currency Reserves (USD Bn) 15.9 18.0 17.3 16.8 2020 2021 2022 Proj. 2023 2020 2021 2022 Mar, 2023 2020 2021 2022 Mar, 2023 -1.6% Jordan established a track record of fiscal reform implementation and prudence (backed by the IMF) which will likely contribute to a further narrowing of its fiscal deficit and a decline in government debt over the next few years. The annual inflation rate in Jordan reached 4.2% in 2022, dropping to 3.9% as of March 2023. Upward pressure came mostly from prices of housing and utilities, notably fuels and electricity. Financial challenges in the electricity sector are exacerbating fiscal pressures as subsidies have increased considerably on the back of high international commodity prices. Foreign Currency Reserves reached USD 16.8 billion as of March 2023 - a decrease of 3% from year end of 2022 which amounted to USD 17.3 billion. 1 Includes gold and SDRs. Source: Central Bank of Jordan, Department of Statistics and the International Monetary Fund (IMF). 35#36|| Jordanian Banking Sector 51.9 Total Bank Deposits (USD Bn) 55.7 59.4 59.4 || 40.4 Total Bank Loans (USD Bn) 42.4 46.7 46.0 Prime Lending Rate 8.33% 8.37% 10.80% 11.09% 2020 2021 2022 Feb, 2023 2020 2021 2022 Feb, 2023 2020 2021 2022 Feb, 2023 Standing at USD 59.4 billion as of February 2023, Total Bank Deposits witnessed an increasing trend throughout the years. At USD 46.7 billion, Banks' Total Loans similarly witnessed an increasing trend, with Loan to Deposit ratio reaching 78.5% in comparison to 77.4% by end of 2022. Given the several increases on interest rate since 2022, the Prime Lending Rate for banks stood at 11.09% as of February 2023. Source: Central Bank of Jordan. 36#37Iraqi Economy Highlights Real GDP Growth Rate 7.7% 7.0% 0.6% 4.2% Inflation Rate 6.5% 6.4% 6.0% Foreign Currency Reserves (USD Bn) 64.2 54.4 100.1 102.6 2020 2021 2022 Proj. 2023 2020 2021 2022 Feb, 2023 2020 2021 2022 Feb, 2023 -15.7% The Government's revenues are dominated by oil exports; thus, Iraq's economy for the short term will continue to be affected by oil prices. Source: International Monetary Fund (IMF) and the Central Bank of Iraq. Inflation remained elevated during 2022 fueled by rising energy prices, demand pressures and high global commodity prices due to supply side disruptions. According to the IMF the rate is expected to hit 6.6% in 2023. Record oil exports in conjunction with high oil prices have brought in record oil revenues for the Iraqi government and pushed international reserves to their highest levels in more than two decades. 37#38| Disclaimer Capital Bank of Jordan ('Capital Bank') has taken reasonable measures that the information and data it presents on the Investor's Presentation on this website is accurate and current. However, Capital Bank makes no express or implied warranty regarding the accuracy, adequacy, usefulness, reliability and the completeness of the information or data provided in the Investor's Presentation, which may have been provided by third parties or otherwise. Capital Bank hereby expressly disclaims all legal liability and responsibility to persons or entities that use or access this Investor's Presentation and its content, based on their reliance on any information or data that is available through the Investor's Presentation. 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