#1Cardenal Copete Rojo (Paroaria Coronata) Photo credit: Leonardo Colistro República Oriental del Uruguay Investor Presentation December 2021 Ministerio de Economía y Finanzas#2Key Credit Highlights 1 8 Swift vaccination plan in 2021 has effectively contained the virus spread so far, after virus surge in the first half of this year. 2 7 3 Strong economic recovery underway, driven by foreign direct investment, stronger industrial production and higher commodity exports. 6 4 5 Fiscal targets met in 2020 under new fiscal rule; continued targeted support for vulnerable companies and households during 2021, while aiming for improved structural fiscal balance. Monetary policy focused on reducing inflation and anchoring inflation expectations, based on enhanced monetary policy framework. Resilient current account and large international reserve buffers. Government forges ahead with structural reforms, including social security, public enterprises and international trade integration. Uruguay is among the top global performer on ESG fundamentals; the government is committed to climate action policies towards a low-carbon economy. Sovereign funding strategies focused on de-risking debt portfolio in a cost- efficient way, as well as linking debt financing to environmental goals. 2#31 Effective response to the COVID-19 pandemic in 2020. Government did not impose mandatory lockdown, but rather appealed to citizens´ "responsible freedom"... Total confirmed cases in 2020 (1) (Per million people, as of December 31st, 2020) Global Freedom Index (2) (Index, numerical score from O to 100, year 2020) 70,000 60,000 50,000 40,000 30,000 20,000 10,000 о Uruguay Feb-20 Apr-20 Jun-20 Aug-20 Oct-20 Dec-20 100 80 60 40 20 Uruguay ranked 6h Worldwide in 2020 (1) Source: Our World in Data. (2) Source: Freedom House - Freedom in the World Report 2021 (A country is awarded O to 4 points for each of 10 political rights indicators and 15 civil liberties indicators; a score of O represents 3 the smallest degree of freedom and 4 the greatest degree of freedom.#41 ...which allowed for a comparatively smaller deterioration of macroeconomic fundamentals in 2020. Real GDP Contraction in LatAm in 2020 (1) (In %) -2 Deterioration in Fiscal Balances in LatAm in 2020 (2) (Change between 2019 and 2020 in fiscal deficit in % of GDP) 8 -6 -5.9 6 -10 -14 -18 4 2 1.8 Note: Regional and country specific information is as aggregated or reported, as applicable. Each such country information may be calculated differently and aggregated by each respective source using various methodologies. Accordingly, this comparison is for illustrative purposes only and we do not purport assert that the above information is actually comparable. Source: Official National Statistics. (1) (2) Source: Fitch Sovereign Data Comparator, as of June 2021, except for Uruguay that corresponds to official fiscal outturns as reported by the Ministry of Economy and Finance. In all cases, corresponds to the General Government. 4#51 After surging in March-June 2021, virus spread has decreased significantly through a steadfast vaccination campaign Uruguay: Covid-19 cases and vaccinations (1) (As of December 23rd, 2021) 5,000 100 People vaccinated in LATAM, by number of dose (1) (Share of total population, as of December 23rd, 2021) People with one dose People with two doses ■People with third booster shot 1% of people with one dose 4,000 1% of people with two doses 80 1% of people with booster shot 3,000 60 New cases (LHS)* 2,000 1,000 Mar-20 Sep-20 (*) 7-day rolling average of new cases • 40 20 O Mar-21 Sep-21 Dec-21 383301-4 20 40 60 80 Total purchase of 7,85 million vaccine doses (Sinovac, Pfizer and AstraZeneca), plus a donation of 500,000 Pfizer from the United States. In October 2021, the Government agreed with Pfizer-BioNTech to purchase 3.7 million additional doses for 2022. . Starting in August, 2021, Uruguay began applying a third booster dose of the Pfizer vaccine. • During January and Februry 2022 there will be arriving 400 thousand doses of Pfizer to incoulate children from 5 to 11 years old, (1) Source: Our World in Data. In the case of Uruguay, it uses total population as estimated by the National Statistics Institute. Latest data available for each country. 5#6Uruguay stands out globally as one of the countries with the highest rate of people inoculated with a third booster shot, providing more protection against new variants Covid-19 vaccine booster doses administered (1) (Share of total population, as of December 23rd, 2021) how Uruguay LO 5 10 15 20 25 25 30 35 40 45 (1) Source: Our World in Data. Total number of vaccine doses administered, divided by the total population of the country. Booster doses are doses administered beyond those prescribed by the original vaccination protocol. No data 0 0#7The economy is gaining momentum 7 Garza (Garza Mora Ardea) Photo credit: Leonardo Colistro.#8-15 -10 19Q1 19Q2 -5 19Q3 Source: Central Bank of Uruguay 10 5 19Q4 20Q1 10 zooz 15 20Q3 The economy accelerated its growth in the third quarter of 2021, reaching pre-pandemic levels Quarterly real GDP YOY change (In %) Seasonally Adjusted real GDP (Index) 2OQ4 85 95 5.9 88 91 94 24 97 46 100 19Q4- 20Q1- 20Q2 103 20Q3 20Q4 8#92 Leading economic indicators suggest that the economic recovery continued into the fourth quarter of 2021, with a positive impact on fiscal revenues Gasoline Demand (1) (Rolling 4-week average, YoY change, in %) 108 - Peak Manufacturing Production (2) (YoY real change, in %) 30 60 60 20 20 20 10 6.9 -10 -20 -20 -60 -30 Jan-20 Apr-20 Jul-20 Oct-20 Jan-21 Apr-21 Aug-21 Nov-21 Jan-19 Aug-19 Mar-20 Oct-20 May-21 Oct-21 Investment in Machinery and Equipment (3) (Index, in physical volume, base 100 = Jun-17) 140 120 100 80 Sep-17 Sep-18 Tax Revenue Collection (4) (YoY real change, in %) 133 20 10 -10 11.1 تسال -20 Sep-19 Sep-20 Sep-21 Jan-20 May-20 Sep-20 Jan-21 May-21 Sep-21 Nov-21 9 (1) Source: Ministry of Economy and Finance. (2) Source: National Statistics Institute (3) Source: Chamber of Industries of Uruguay (4) Source: Tax General Directorate, Ministry of Economy and Finance#102 Higher commodity prices and goods exports are lifting the agricultural sector; the government seeks to expand trade flows and trade agreements Uruguay remains firmly committed to international trade openness, integration and free flow of goods and services with the world Export of Goods (1) (YoY change in dollar value, in %) 110 Total Exports 90 Exports to China 70 50 30 10 -10 -30 UT -50 Jan-20 Jul-20 Jan-21 65.4 65.0 Jul-21 Nov-21 Commodities Exports Prices (2) (Index base 100 = January 2017) 140 133.0 130 120 مساد 110 100 90 T Jan-17 Nov-17 Sep-18 Jul-19 May-20 Mar-21 Nov-21 (1) Source: Uruguay XXI, based on data from the Uruguayan Customs Office (exports from Free Trade Zones to the rest of the world are not included). (2) Source: CPA Ferrere, based on Bloomberg and National Institute of Meat of Uruguay (INAC). Weighted-average of soybeans, meat, rice, dairy products, and pulp exports 10#112 Ramp up in foreign direct investment and new tax incentives for fixed capital formation underpin the construction sector FDI Net Capital Inflows (2) (Rolling 4-quarters, in % of GDP) UPM's Pulp Mill (1) " UPM will invest a total of US$ 3 billion (5.5% of GDP) to build a 2.1 million-tonne greenfield eucalyptus pulp mill in central Uruguay. ■ Proceeding according to schedule. More than 3,000 people are currently working at the construction site. Central Railway Project (1) ▪US$ 1 billion investment in a Central Railway that will run from the city of Paso de los Toros to the port of Montevideo (273 km long). ■Public-Private-Partnership (PPP) modality. 4 2 -2 -4 2016Q4 2018Q2 3.0 الس 2019Q4 2021Q2 Investment projects presented under COMAP regime (1) (Cumulative) 3,000 Total intended investment (in US$ million) 3,000 Number of projects (RHS) 2,000 2,000 1,000 1,000 Jan-19 Aug-19 Mar-20 Oct-20 May-21 Nov-21 (1) Source: Ministry of Economy and Finance of Uruguay. 11 (2) Source: Central Bank of Uruguay. Figures of the Financial Account of the Balance of Payments were revised.#122 Consumer confidence broke through into the optimism area for the first time since the pandemic outbreak, reflecting a gradual recovery of the labor market Consumer Confidence Index (1) Unemployment Insurance by type of regime and Employment Rate (2) 55 Number of beneficiaries of unemployment insurance, in thousands 200 Moderate optimism 160 50.6 50 45 Moderate pessimism 40 Jan-20 Jul-20 Jan-21 Jul-21 Nov-21 120 80 40 Employment rate, in % of working age population 58 Partial Traditional 56.8 56 54 52 51.4 50 48 Jan-20 Jul-20 Jan-21 Jul-21 Oct-21 12 (1) Source: SURA Chair of Economic Confidence - Catholic University of Uruguay and Equipos Consultores Consulting firm. (2) Source: Social Security Bank of Uruguay, Ministry of Labor and Social Security and National Institute of Statistics.#13Pillars of the new fiscal rule are aligned 13 Cisnes en lago. Photo credit: Leonardo Colistro.#143 Strong commitment to fiscal discipline based on prudent macroeconomic management... Central Government Fiscal Balance (1) (In % of GDP)) -1 2016 2017 -5 Primary Balance Interest payments -Overall Balance -7 2018 2019 2020 (1) Does not Include extraordinary inflows to the Social Security Trust Fund. Source: Central Bank of Uruguay; Ministry of Economy and Finance of Uruguay -4.0 -5.8 The Government met the 2020 target set in the Budget Law, even accounting for the re- basing of GDP (using previous national accounts estimates, which implies a lower nominal GDP, the fiscal balance observed would have been -6.3% of GDP, and the fiscal target was set at -6.6%). 14#153 ...meeting all three pillars of the new fiscal in 2020, strengthening fiscal credibility. Structural balance target, to account for business cycle fluctuations and one- off/temporary spending and revenue items Headline (1) and Structural Balance (2) (In % of GDP) Cap on real growth in primary expenditure in line with potential real economic growth Primary Spending (Annual real variation, in %) 4 Binding maximum level of annual net indebtedness in absolute dollar amounts Net Indebtedness in 2020 (US$ mm) -1 -2 -3 3 2 -4 -4.3 Headline 1 -5 Structural -6 (1) Gross Borrowing (Bonds + Loans) 5,891 (2) Amortizations (Bonds + Loans) 2,205 Fiscal rule cap (3) Accumulated Financial Assets 0.6 Net Indebtedness - (1) - (2) - (3) 2016 2017 2018 2019 2020 The target for the structural fiscal balance in 2020 was set at -4.4% 2016 2017 2018 2019 2020 The cap for real expenditure growth in 2020 was set at 2.3% (1) Does not Include extraordinary inflows to the Social Security Trust. Fund. (2) The Structural Balance is the fiscal balance that accounts for business cycle fluctuations and one-off/temporary spending and revenue items. Source: Ministry of Economy and Finance of Uruguay. 574 3,113 Legal limit on net indebtedness was set at US$ 3,500 million 15#163 For 2021, the government is targeting an improvement in the fiscal balance within the rules-based framework Central Government Fiscal Balance (1) (In % of GDP) 2016 2017 2018 2019 2020 Oct-2021* -1 -3 -4.0 Interest payments -5 -7 Primary Balance -Overall Balance (*) Last 12 months. (1) Does not Include extraordinary inflows to the Social Security Trust Fund. Source: Central Bank of Uruguay; Ministry of Economy and Finance of Uruguay -5.8 -4.7 Central Government deficit for 2021 is projected at 4.9% of GDP. given assumed real an GDP growth of 3.5%. 16#17-2 O 3 Fiscal rule in 2021 has aimed to continue consolidating structural public finances Headline and Structural Balance (1) Primary Spending Net Indebtedness in 2021 (In % of GDP) (Annual real variation, in %) (US$ mm, projections) -3 -3.2 -4 Headline -5 -4.9 Structural -6 2020 2021 2022 2023 2024 2025 -2 ώ -4 -1 3 2.3 (1) Gross Borrowing 4,779 (Bonds + Loans) 2 Fiscal rule cap: 2,3% 1 (2) Amortizations (Bonds + Loans) 2,033 2020 2021 2022 2023 2024 2025 (3) Accumulated Financial Assets 13 - Net Indebtedness - (1) (2) (3) 2,732 The target for the structural fiscal balance in 2021 was set at -3.2% The cap for real expenditure growth was set at 2.3% for 2021 Legal limit on net indebtedness in 2021: US$ 2,990 (US$ 2,300 million + 30% safeguard clause invoked) Source: Ministry of Economy and Finance of Uruguay. (1) The Structural Balance is the fiscal balance that accounts for business cycle fluctuations and one-off/temporary spending and revenue items. The potential real economic growth means the growth rate calculated the output of the economy that implies the entire use of productive factors, both labor and capital. 17#18Enhancing the monetary policy framework 18 Viudita Blanca Común (xolmis irupero). Photo credit: Leonardo Colistro#194 Monetary policies focused on bringing down inflation and anchoring inflation expectations within target 1 Commitment to Lower Inflation Key focus is to lower inflation and anchor inflation expectations within the target band in a sustainable way. Short-term Interest Rate as ■ 2 new Policy Instrument New monetary policy instrument under inflation targeting regime. Designed to improve market signals and allows for fine-tuning of monetary policy at higher frequency. Enhanced 3 Transparency in Communication 4 Counter-cyclical Monetary Policy Stance Higher frequency in Monetary Policy Committee (MPC) meetings, published minutes of MPC, relaunched inflation survey, among others. ■ Publication of Central Bank's inflation projections and survey of firms' inflation. expectations. ■ To respond to the Covid-19 health emergency, monetary policy had been in an expansionary mode. ■ As the pandemic has eased, the Central Bank announced a gradual shift towards a more contractionary monetary policy stance, three times increasing the reference rate by an cumulative 125 bps, to 5.75% by November 11th, 2021. 5 Financial De- Dollarization Rebuilding markets in local currency to mitigate financial dollarization and developing FX derivatives markets. Source: Central Bank of Uruguay. 19#204 Inflation has been showing an uneven behaviour, still remaining slightly above inflation target Headline Inflation (1) (YOY, in %) 12 10 8 7.9 6 4 2 Nov-19 May-20 Nov-20 May-21 Nov-21 Inflation expectation (next 12 months) Tradable and Non-Tradable Inflation (2) (YoY, in %) 16 12 -Tradable inflation Non-tradable inflation 07.0 8 8.0 7.8 Oct-22 4 Nov-19 May-20 Nov-20 May-21 Nov-21 (1) Source: National Institute of Statistics and Central Bank of Uruguay. Median inflation expectations based on Central Bank's market survey as of November 2021. (2) Source: Central Bank of Uruguay. 20#214 Change to short term interest rate as the monetary policy instrument has resulted in less volatility in the interbank interest rate Central Bank's Projected Inflation Path (1) (YOY, in %) 12 10 8 σ Central Bank's projections as of September 2021 Interbank interest rate and Monetary Policy Rate (MPR) (2) (In %) 9 8 7 Year-end inflation expectations 6.9 2 Mar.-18 Mar-19 Mar.-20 Mar.-21 Mar. 22 Mar.-23 6.5 5 4 MPR Interbank interest rate (average) Implementation of the MPR regime 3+ Mar-20 Jul-20 Nov-20 Mar-21 Jul-21 Nov-21 21 (1) Source: Central Bank of Uruguay; Quarterly forecasts of the baseline scenario of the Central Bank as of December 2021. Break evens as of December 22, 2021. (2) Source: Central Bank of Uruguay. Before September 2020, the monetary policy instrument was the M1'monetary aggregate growth target. 5.75#224 The nominal exchange rate has shown relative stability over the last year, including during risk-off episodes; large international reserve buffers Nominal Exchange Volatility in LatAm (1) International Reserves in Latam (2) (Quarterly average of absolute value of daily percent changes) (In % of GDP, as of end-September 2021*) 1.6 1.2 0.8 0.4 0.0 1Q19 35 55 29.5 30 25 20 15 10 5 Uruguay 3Q19 1Q20 3Q20 1Q21 3Q21 4Q21* (*) As of December 23 (1) Source: ECLAC, based on Bloomberg. (2) Source: Official National Statistics of each country. 22 (*) Except Panama which is as of June 2021#234 Banking sector remains profitable and well-capitalized with high liquidity levels Solvency and liquidity of the banking system Number of times de minimum regulatory capital 2.1 2.0 1.9 1.8 1.7 1.6 1.5 1.4 Jun-19 Dec-19 Jun-20 Banking system's exposure to non-residents (To the non-financial sector, % of total) 1/ Liquidity ratio*, in % 60 62 41.5 40 59.9 1.9 58 56 20 O 2001 20 18.1 54 15 10 52 5 50 Dec-20 Jun-21 (*) Share of liquid assets (maturity up to 30 days) over total assets. Source: Central Bank of Uruguay. 2001 Deposits Loans 9.6 2021* 3.7 2021* 1/ End-period; data for deposits includes only private non-financial sector (*) As of October 2021. 23#245 Moderate current account deficit on the back of a resilient balance of goods and services during the pandemic Current Account Balance of Uruguay (Rolling 4-quarters, in % of GDP) 2.0 1.0 0.0 -1.0 -2.0 ודי -2.3 Goods and Services Balances of Uruguay (Rolling 4-quarters, in % of GDP) Balance of Goods ■Balance of Services 7 6 15 4 3 2 1 5.0 -0.5 -3.0 -1 2016Q4 2018Q2 2019Q4 2021Q2 2016Q4 2018Q2 2019Q4 2021Q2 Source: Central Bank of Uruguay. 24#256 Government forges ahead with structural and market- friendly reforms Covid-19 Solidarity Fund Urgent Consideration Law Approved on April 8th, 2020 Voted unanimously by all parties, to be managed by the Executive branch. ■Fund earmarks the budgetary resources to address the emergency, keeping tabs of the Covid- related expenditures and where and how the money is spent. Approved on July 9th, 2020 ■Changes in the tax code for small businesses. ■Changes in the regulatory framework for energy markets. ■Commission of experts of the Pension Reform submitted the diagnosis on March 23rd 2021 and has 90 days onwards to present a comprehensive reform to Congress. ■ Draft of new fiscal framework. 2020-2024 Budget Law ✓ Approved on December 18th, 2020 New governance for public enterprises: performance targets and accountability. Environmental and ESG-focused policies (Helsinski Principles). Implementation of new fiscal institutionality. 2020 Accountability Law Approved on October 26th, 2021 ■ Achievement of 2020 fiscal targets. ■ Updated macro and fiscal projections for the 2021-2025 period. Focus on the efficiency of primary expenditures and the implementation of social programs addressing child poverty and housing for lower-income families On September 29, 2021, the Fiscal Advisory Council was established (a technical, honorary and independent body) tasked with assessing the overall implementation of the fiscal rule). Source: Ministry of Economy and Finance of Uruguay. 25 25#26Strong ESG foundations 26 Lechucita de campo (Athene cunicularia). Photo credit: Leonardo Colistro#27Barbados Poland ruguay Hungary Jamaica Romania Chile Costa Rica Trinidad And Tobago UAE Mongolia Panama 20 Argentina Oman Paraguay Belarus Namibia Malaysia Mexico South Africa orocco 40 Rwanda Kazakhstan Brazil Kuwait Indonesia Philippines Ukraine Ecuador Bolivia El Salvador Saudi Russia Dominican Republic Tajikistan Colombia Vietnam 60 Gabon Pakistan Izbekistan Turkey China Bahrain Kenya Guatemala Zambia Cote D'Ivoire Papua New Guinea Lebanon Mozambique 100 80 Uruguay (#4) -250 7 Uruguay is among the top global performers on ESG fundamentals Emerging Markets' ESG Score (Index, 100 best performance; as of end-November, 2021) Weight change when moving from Conventional EMBI to ESG-Adjusted EMBI (In basis points; as of end-November, 2021) -150 63 countries Source: J.P. Morgan Chase & Co. using data from RepRisk, Sustainalytics and Climate Bonds Initiative. Disclaimer: "Information has been obtained from sources believed to be reliable but J.P. Morgan does not warrant its completeness or accuracy. The Index is used with permission. The Index may not be copied, used, or distributed without J.P. Morgan's prior written approval. Copyright 2021, J.P. Morgan Chase & Co. All rights reserved." -350 Oruguay Panama Hungary Chile Ghana Saudi Arabia Qatal Romania Argentina Oman Colombia Philippines Dominican Republic Poland Jamaica Kazakhstan Costa Rica Ukraine Peru Sri Lanka Russia Ecuador Mongolia Trinidad And Tobago Paraguay Morocco El Salvador Kuwait Belarus Georgia Senegal Bolivia Barbados Armenia urmame -50 Rwanda Tajikistan Vietnam Mozambique Papua New Guinea Zambia Gabon Lebanon Jordan Uzbekistan Cote D'Ivoire South Africa Kenya Guatemala 27 50 Azerbaijan Egypt Pakistan Mexico Malaysia China 150 250 Uruguay#287 ESG: Uruguay's electricity matrix is mostly based on renewable resources, partly as a result of a steady growth in wind energy in the last decade... Electricity Generation by Source (1) (% of total, 2020) 4% 6% Electricity Generation from Wind Energy (1) (% of total) 50 Wind 40 Hydro 40% 20% Biomass 30 ■Solar Fossil Fuel 30% 20 Uruguay ranks #2 in the world in share of electricity production from wind and solar sources in 2020(2) (1) Source: National Energetic Balance 2020, Ministry of Industry, Energy and Mining. (2) Source: Ember's Global Electricty Review 2021 10 40.0 2011 2013 2015 2017 2019 2020 28#297 ESG: Uruguay is at the forefront of environmentally-friendly policies, reflected in low carbon intensity CO2 Emissions Intensity (1) (kg per 2011 PPP GDP) 0.25 0.2 0.15 Ranked #1 in the: л 0.1 • WEF Energy Transition Index among Emerging and Developing Countries 0.05 • MSCI Environmental Pillar Index among all countries in the world Latin America and Caribbean Uruguay • Green Future Index, MIT Technology Review 1990 1994 1998 2002 2006 2010 2014 2018 (1) Source: World Bank 29#30ESG The Government is committed to climate action policies The goal is to make economic growth consistent with a pathway towards low greenhouse gas emissions and a climate-resilient economy, through macroeconomic, fiscal and financing policies. The Government joined the Coalition of Finance Ministers for Climate Action The 2020-2024 Government Budget Law, explicitly incorporated the Helsinski Principles Central Bank announced a diversification strategy of the international reserves portfolio towards a green bonds' investment fund J I The Government launched its Long Term Strategy on Climate Change, with an aspirational goal of net-zero Co₂ by 2050 I I I July 2020 October 2020 November 2020 December 2020 April 2021 September 2021 October 2021 November December 2021 2021 Creation of the Ministry of Environment The Central Bank joined the Network for Greening the Financial System The Ministry of Industry and Energy and the Ministry of Finance launched the national road-map for green hydrogen production A tax on CO2 emissions from the use of gasoline was approved by Congress Uruguay takes over as Chair of the Development Committee of the World Bank and IMF; as part of the proposed agenda, the country will advocate for cheaper multilateral loans for countries that implement strong environmental policies 30#31ESG: Uruguay is a bastion of institutional, political and G social stability in LatAm, ranking alongside most developed nations Adherence to the Rule of Law (2) (Numerical score out of 1, year 2021) Political Stability and Democracy (1) (Percentile rank, year 2020) 0000 0.8 100 "Full Democracies" 80 60 40 20 0.6 0.4 0.2 O.O Civil Unrest (3) (Index out of 10, first quarter of 2020) 10 8 Corruption Perception (4) (Rank, year 2020) 180 6 4 2 120 60 о 10,5 (1) Source: Worldwide Governance Indicators, World Bank (2021) and The Economist Intelligence Unit (2021). (2) Source: World Justice Project (2021). (3) Source: Verisk Maplecroft ((2020). (4) Source: Transparency International (2021). 31#327 Uruguay's is an investment grade, low-beta country Uruguay's sovereign credit ratings (As of December 2021) Baa2/BBB /BBB Baa3/BBB- /BBB (low) Investment Grade Latest credit rating action (2) December 2021. Confirmed Uruguay's Fitch Ratings rating at BBB-, and improved outlook DBRS to stable from negative. November 2021. Uruguay's rating affirmed at BBB (low), and improved the outlook to positive from stable. MOODY'S INVESTORS SERVICE August 2021. Affirmed Uruguay's rating at Baa2, outlook remained stable. R&I June 2021. Confirmed Uruguay's rating at BBB with positive trend. Moody's R&I S&P DBRS Fitch Outlook: (Stable) (Positive) (Stable) (Positive) (Stable) STANDARD & POOR'S RATINGS SERVICES MCGRAW HILL FINANCIAL April 2021. Affirmed Uruguay's rating at BBB with stable trend. (1) Source: Moody's, S&P, R&I, DBRS-Morningstar and Fitch. 32#33Resilient debt structure and sustainable financing strategies Hornero (Vanellus chilensis), in the door of his nest. Photo credit: Emi Abe#348 Proactive debt management strategies to de-risk debt portfolio... Gross and Net Debt Stock of the Central Government (As of end-period, in % of GDP) Currency and Maturity Composition of Debt (As of end-period) 80 Foreign Currency (FX) 100 -Average Time to Maturity (in years, RHS) 15 60 40 20 Gross Debt Net Debt 61.8 80 57.0 60 40 20 13.3 13 51.4 11 9 7 2016 2017 2018 2019 2020 2021Q3* 2005 2009 2013 2017 2021Q3 (*) Preliminar Source: Debt Management Unit, Ministry of Economy and Finance of Uruguay 34#358 while keeping borrowing costs contained; Uruguay has the lowest sovereign risk spread in LATAM Central Government cost of debt (1) (Average interest rate on outstanding debt, in %, end-period) Sovereign Risk Premia (2) (EMBI spread in bps, as of December 23rd, 2021) 1,753 14.0 7.4 Dollars Fixed-rate 13.0 pesos (RHS) 6.6 5.8 12.0 400 11.0 300 10.0 5.0 CPI-linked 4.7 200 9.0 8.9 4.2 100 8.0 3.4 3.4 7.0 2006 2009 2012 2015 2018 2021Q3 (1) Source: Debt Management Unit, Ministry of Economy and Finance of Uruguay. (2) Source: Bloomberg H 129 35 555#368 In 2021, Uruguay's bond issuance has been mostly in local currency, with a growing relevance of the domestic market Emerging Markets: Sovereign International Bond Issuances during 2021 (*) (1) (In US$ million, as of December 9th, 2021) Chile Indonesia Bahrain Peru China Turkey Philippines Ghana Romania Colombia Saudi Arabia Abu Dhabi United Arab Emirates Uruguay: Treasury Notes Issuances in Domestic Market (2) (In US$ million equivalent) 2,500 Joint operations with Central Bank Regular calendar issuances 2,000 Hong Kong Panamá Mexico Oman I Foreign currency 1,500 Pakistan Serbia Ivory Coast Local currency 1,000 Maldives Croatia Paraguay Brazil Uruguay Malaysia Rep. of Benin Sharjah (UAE) Georgia Dom. Rep. Armenia Korea Russia Ukraine Kenya Guatemala Senegal Gabon North Macedonia О 5,000 10,000 15,000 20,000 (*) For countries with several transactions in multiple currencies during the year, it shows the sum of total amount issued. Excludes European EM countries that have issued in Euros. (1) Source: Bloomberg/(2) Source: Debt Management Unit, Ministry of Economy and Finance of Uruguay. 500 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 36 1,944#378 Funding needs and financing sources for 2021 and 2022 Flow of Funds (US$ mm, projections as of December 30th, 021) 2021 2022 FINANCING NEEDS 4,861 3,691 Primary Deficit (1) 1,325 247 Interests Payments (2) 1,489 1,573 Amortizations of Bonds and Loans (3) 2,033 1,851 Change in Financial Assets (4) 13 21 FUNDING SOURCES 4,861 3,691 Disbursements from Multilaterals and Fin. Instit. 659 350 Total Issuance of Market Debt (5) 4,120 3,230 Others (net) (6) 82 111 Memo Item: Government Net Indebtedness (GNI) 2,732 1,708 (1) Excludes extraordinary transfers to the public Social Security Trust Fund (SSTF). (2) Includes interests payments to the SSTF on its holdings of Central Government debt. (3) For 2021, includes the obligations coming due on a contractual basis and bonds repurchased and early redeemed through end-November 2021. (4) Change in liquid assets of the Treasury and other financial assets (assets of the SiGa trusts and assets with other public sector entities, product of loans contracted by the Republic in representation of the same); a negative value (-) implies a de-accumulation of assets. (5) Includes bonds issued domestically and in international markets. (6) Includes exchange rate and market price valuation effects. Source: Ministry of Economy and Finance of Uruguay. 37#388 Large liquidity buffers and precautionary credit lines of the Central Government provide financial backstops Liquidity Buffers of the Government and Short-Term Debt Service Obligations (1) (In US$ million, as of end-November 2021) * 4,000 3,000 2,000 ■Foreign Currency ■Local Currency Credit Lines - with Multilaterals 1,000 Liquid Assets Precautionary liquidity buffer Debt service obligations over the next 12 months Available precautionary credit lines with multilaterals totalize USD 1.9 billion: • Corporación Andina de Fomento (US$ 750 million); Fondo Latinoamericano de Reservas (US$ 665 million) Inter-American Development Bank (US$ 450 million) (*) Does not include the procceds from Samurai bond issuance nor the special auction carried out in the domestic market in December 2021.. (1) Debt service includes amortization plus interest payments. Source: Debt Management Unit, Ministry of Economy and Finance of Uruguay 38#39Cornerstones of debt management strategy and sustainable financing . Seek a balanced currency composition of debt in terms of local and foreign currency. Maintain a healthy average maturity of debt, to keep roll-over risks low. markets and Diversify sources of funding across markets continue building a large and diverse investor base. • Align sovereign funding strategies with achieving ambitious environmental targets to address climate change. 139#408 Developing a Sustainability-Linked Sovereign Bond for Uruguay · The Ministry of Finance of Uruguay, together with the Ministries of Environment, Industry and Energy and Agriculture and Livestock, is working on a novel Sovereign SLB tied to Uruguay`s climate action outcomes. We plan to follow a "performance-based" approach: embedding environmental targets based on Greenhouse Gas (GHG) emissions, as set out in the NDCs submitted by Uruguay under the Paris Agreement. ➡ Connecting the objectives of sovereign debt funding with the imperative of tackling climate further strengthens the commitment of the country to its sustainability agenda, enhancing accountability and credibility. I I 1 I I 1 I I I I 40#41República Oriental del Uruguay THANK YOU