#1Cardenal Copete Rojo (Paroaria Coronata) Photo credit: Leonardo Colistro República Oriental del Uruguay Investor Presentation November 2021 Ministerio de Economía y Finanzas BANCO CENTRAL DEL URUGUAY#21 8 Key Credit Highlights. Low Incidence of COVID-19 pandemic in 2020; swift vaccination plan in 2021 has effectively contained the virus spread, after virus surge in first half of this year. 2 3 6 Economic recovery underway, driven by foreign direct investment, stronger industrial production and higher commodity exports. 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. 7 Uruguay is a top global performer on ESG fundamentals; 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 ...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 steadfast vaccination campaign Uruguay: Covid-19 cases and vaccinations (1) (As of November 11th, 2021) 90 5,000 1% of people with one dose 80 4,000 1% of people with two doses 70 1% of people with 60 booster shot 3,000 New cases (LHS)* 50 People vaccinated in LATAM, by number of dose (1) (Share of total population, as of November 11th, 2021) People with one dose People with two doses ■People with third booster shot 2,000 1,000 Mar-20 Aug-20 Jan-21 Jun-21 Nov-21 (*) 7-day rolling average of new cases 40 - 30 20 10 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 for all those who received previously two doses of Sinovac (approximately 1,500,000 people). (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#6The economy is gaining momentum 6 Garza (Garza Mora Ardea) Photo credit: Leonardo Colistro.#7The economy grew in the second quarter of 2021, though showing uneven performance across sectors Quarterly real GDP (In %, yoy change) 15 10 5 -5 -10 11.3 Cummulative real growth of sectors of GDP (Index, base 100 = 2019Q2) Agriculture and livestock Manufacturing -Construction GDP 140 120 100 80 109 102 97 93 -15 60 2019Q1 2019Q4 2020Q3 2021Q2 2019Q2 2019Q4 2020Q2 2020Q4 2021Q2 7 Source: Central Bank of Uruguay#82 Leading economic indicators suggest that an economic recovery is underway, with a positive impact on fiscal revenues Gasoline Demand (1) (Rolling 7-day average, YoY change, in %) 164 50 10 Manufacturing Production (2) (YoY real change, in %) Peak 30 20 20 10 O 12.2 -10 -30 -20 -70 -30 Jan-20 May-20 Sep-20 Jan-21 Jun-21 Sep-21 Jan-19 Sep-19 May-20 Jan-21 Sep-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 O -10 6.4 ساب Sep-19 Sep-20 Sep-21 -20 Jan-20 May-20 Sep-20 Jan-21 May-21 Sep-21 (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#92 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 Commodities Exports Prices (2) (Index base 100 = January 2017) 140 Exports to China 90 Total Exports 80.8 130 70 50 30 10 -10 -30 -50 Jan-20 (1) Source: Uruguay XXI. 120 17.2 110 Jul-20 Jan-21 Jul-21 Oct-21 100 لسر 130.3 90 Jan-17 Nov-17 Sep-18 Jul-19 May-20 Mar-21 Sep-21 9 (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#102 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 O -2 -4 2016Q4 2018Q2 2019Q4 3.0 الس 2021Q2 Investment projects presented under COMAP regime (1) (Cumulative) 3,000 Total intended investment (in US$ million) 2,000 Number of projects (RHS) 1,000 3,000 2,000 1,000 Jan-19 Sep-19 May-20 Jan-21 Aug-21 (1) Source: Ministry of Economy and Finance of Uruguay. 10 (2) Source: Central Bank of Uruguay. Figures of the Financial Account of the Balance of Payments were revised.#112 Recovery in consumer confidence has been uneven, reflecting a still healing labor market Consumer Confidence Index (1) 55 Moderate optimism 50 45 Moderate pessimism 149.7 40 Jan-20 May-20 Sep-20 Jan-21 May-21 Sep-21 Unemployment Insurance by type of regime and Employment Rate (2) Number of beneficiaries of unemployment insurance, in thousands 200 Employment rate, in % of working age population 58 160 120 80 40 Partial Traditional 56 55.8 54 52 51.4 50 48 Jan-20 Jul-20 Jan-21 Jul-21 Oct-21 11 (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.#12Pillars of the new fiscal rule are aligned 12 Cisnes en lago. Photo credit: Leonardo Colistro.#133 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%). 13#143 ...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 -5 Headline Structural 1 -6 (1) Gross Borrowing (Bonds + Loans) 5,891 (2) Amortizations (Bonds Loans) 2,205 Fiscal rule cap 0.6 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% (3) Accumulated Financial Assets 574 Net Indebtedness - (1) - (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. 3,113 Legal limit on net indebtedness was set at US$ 3,500 million 14#153 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 Sep-2021* -1 -3 -4.0 -5 Interest payments -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 -5.0 Central Government deficit for 2021 is projected at 4.9% of GDP. given assumed real an GDP growth of 3.5%. 15#16Enhancing the monetary policy framework 16 Viudita Blanca Común (xolmis irupero). Photo credit: Leonardo Colistro#174 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, twice 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. 17#184 Inflation has been trending significantly down, although remains slightly above inflation target Headline Inflation (1) (YOY, in %) 12 10 8 6 4 7.9 Q7.3 Tradable and Non-Tradable Inflation (2) (YOY, in %) 16 12 -Tradable inflation Non-tradable inflation Inflation 8.4 expectation (year-end) 8 7.6 4 2 Sep-19 Feb-20 Jul-20 Dec-20 May-21 Oct-21 Dec-21 Sep-19 Feb-20 Jul-20 Dec-20 May-21 Oct-21 (1) Source: National Institute of Statistics and Central Bank of Uruguay. Median inflation expectations based on Central Bank's market survey as of October 2021. (2) Source: Central Bank of Uruguay. 18#194. The nominal exchange rate has shown relative stability over the last year, including during risk-off episodes 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-June 2021) 1.6 1.2 0.8 0.4 Uruguay 0.0 1Q19 3Q19 1Q20 3Q20 1Q21 3Q21 (1) Source: ECLAC, based on Bloomberg. (2) Source: Official National Statistics of each country. 35 55 30 25 20 15 10 5 T 30.2 19#204 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* 3.6 2021* 1/ End-period; data for deposits includes only private non-financial sector (*) As of September 2021. 20#215 Moderate current account deficit and large international reserves Current Account Balance of Uruguay (Rolling 4-quarters, in % of GDP) 2.0 1.0 0.0 -1.0 -2.0 ודי Goods and Services Balances of Uruguay (Rolling 4-quarters, in % of GDP) 7 6 15 4 3 2 1 Balance of Goods ■Balance of Services 5.0 -2.3 -0.5 -3.0 -1 2016Q4 2018Q2 2019Q4 2021Q2 2016Q4 2018Q2 2019Q4 2021Q2 Source: Central Bank of Uruguay. 21#226 Government forges ahead with structural and market- friendly reforms Covid-19 Solidarity Fund Urgent Consideration Law 2020-2024 Budget Law ✓ 2020 Accountability 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. 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. 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. 22#23Strong ESG foundations Lechucita de campo (Athene cunicularia). Photo credit: Leonardo Colistro 23#24Uruguay Poland Barbados Hungary Romania Jamaica Costa Rica Suriname UAE Argentina Mongolia PURUC 20 Trinidad And Tobago Paraguay Belarus Namibia Malaysia South Africa Morocco Mexico Senegal Peru Georgia Kazakhstan Brazil Indonesia Philippines Kuwait polivia Saudi Arabia 40 Ecuador Russia Sri Lanka Ukraine Dominican Republic Qatar UPDIOL Vietnam. Pakistan Tajikistan Turkey | China Guatemala Egypt Bahrain Uzbekistan Kenya Zambia ୦୨ Cote D'Ivoire Papua New Guinea Lebanon Mozambique 100 80 Uruguay (#1) -250 -150 63 countries Source: J.P. Morgan Chase & Co. using data from RepRisk, Sustainalytics and Climate Bonds Initiative. 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." 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. -350 Oruguay Panama Hungary Ghana Chile Saudi Arabia Qatar Argentina Romania Oman Philippines Colombia Dominican Republic Poland Jamaica Kazakhstan Costa Rica Ukraine Russia Ecuador Mongolia Sri Lanka Trinidad And Tobago Paraguay El Salvador Morocco Kuwait Peru Belarus Senegal Georgia Bolivia Armenia Barbados sunname Emerging Markets' ESG Score (Index, 100 best performance; as of end-October, 2021) -50 Rwanda Tajikistan Papua New Guinea Mozambique Vietnam Uzbekistan Zambia Gabon Cote D'Ivoire Lebanon South Africa Jordan Guatemala Kenya Azerbaijan 24 Egypt Dantain Pakistan 50 Malaysia Mexico China 7 Uruguay is on top of global performers on ESG 150 250 Uruguay fundamentals Weight change when moving from Conventional EMBI to ESG-Adjusted EMBI (In basis points; as of end-October, 2021)#257 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 20 30% 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 25#267 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 Latin America and Caribbean 0.15 Ranked #1 in the: л 0.1 • WEF Energy Transition Index among Emerging and Developing Countries Uruguay 0.05 • MSCI Environmental Pillar Index among all countries in the world • Green Future Index, MIT Technology Review 1990 1994 1998 2002 2006 2010 2014 2018 (1) Source: World Bank 26#277 • ESG: 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. Creation of the Ministry of Environment (July, 2020). The Government joined the Coalition of Finance Ministers for Climate Action (October, 2020). The Central Bank joined the Network for Greening the Financial System (November, 2020), and announced a diversification strategy of the international reserves' portfolio towards a green bonds' investment fund (September, 2021). The Helsinki Principles were explicitly incorporated in the 2020-2024 Government Budget Law, putting climate resilience at the center of the planning and design of economic policies and fiscal management (December, 2020). The Ministry of Industry and Energy launched the national road-map for green hydrogen production. The Government will launch in November 2021 its Long Term Strategy on Climate Change, with an aspirational goal of net-zero Co2 by 2050. I I 1 I 1 I 1 I I I 27 I I#28G ESG: Uruguay is a bastion of institutional, political and social stability in LatAm, ranking alongside most developed nations Political Stability and Democracy (1) (Percentile rank, year 2020) Adherence to the Rule of Law (2) (Numerical score out of 1, year 2021) 0000 0.8 100 "Full Democracies" 80 60 40 20 о 0.6 0.4 0.2 O.O Civil Unrest (3) (Index out of 10, first quarter of 2020) 10 8 00 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). 28#297 Uruguay's is an investment grade, low-beta country, with lowest sovereign risk spread in LATAM Uruguay's sovereign credit ratings (1) (As of November 11th, 2021) Baa2/BBB /BBB Baa3/BBB- /BBB (low) Moody's RI S&P DBRS Fitch __Investment Grade Outlook: (Stable) (Positive) (Stable) (Stable) (Negative) Last update: Aug-21 Jun-21 Apr-21 Jan-21 Jun-21 (1) Source: Moody's, S&P, R&I, DBRS-Morningstar and Fitch. (2) Source: Bloomberg Sovereign Risk Premia (2) (EMBI spread in bps, as of November 11th, 2021) 1,7391 400 300 200 100 136 HE 111 20 29#30Resilient debt structure and sustainable financing strategies Hornero (Vanellus chilensis), in the door of his nest. Photo credit: Emi Abe#318 Proactive debt management strategies to de-risk debt portfolio while keeping borrowing costs contained 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 60 40 20 Gross Debt Net Debt 61.8 80 57.0 15 13.3 13 60 51.4 11 40 20 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 31#3280 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 end-September) Indonesia Chile Turkey Bahrain Philippines Ghana Romania Colombia Egypt Abu Dhabi (UAE) Panama Peru Mexico Oman Pakistan Saudi Arabia Serbia Ivory Coast Hong Kong Maldives Croatia Paraguay Brazíl Malaysia Rep. of Benin Sharjah (UAF) Uruguay Georgia Dom. Rep. Armenia Russia Ukraine Kenya Guatemala Senegal North Macedonia Uruguay: Treasury Notes Issuances in Domestic Market (2) (In US$ million equivalent, as of end-September, 2021) 2,000 Total annual issuances Issuance accumulated through Sept. each year 1,500 Foreign currency Local currency 1,000 500 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. T 2012 2014 2016 2018 2020 2021 YTD 32#338 Funding needs and financing sources for 2021 Flow of Funds in 2021 (US$ mm, projections) FINANCING NEEDS 4,964 Primary Deficit (1) 1,264 Interests Payments (2) 1,492 Amortizations of Bonds and Loans (3) 2,142 Change in Financial Assets (4) 66 FUNDING SOURCES 4,964 Disbursements from Multilaterals and Fin. Instit. 600 As of mid-October Total Issuance of Market Debt (5) Others (net) (6) Memo Item: Government Net Indebtedness (GNI) (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. 4,317 47 2021, almost 72% of annual targeted bond issuance has been completed 2,709 (3) For 2021, includes the obligations coming due on a contractual basis and bonds repurchased and early redeemed through October 29, 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. 33 33#348 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-September 2021) 4,000 ■Foreign Currency Local Currency Credit Lines Multilaterals 3,000 with 2,000 1,000 Liquid Assets Precautionary liquidity buffer Debt service obligations over the next 12 months (1) Debt service includes amortization plus interest payments. Source: Debt Management Unit, Ministry of Economy and Finance of Uruguay Available precautionary credit lines with multilaterals totalize USD 2.0 billion: Corporación Andina de Fomento (US$ 750 million); World Bank (US$ 180 million) • Fondo Latinoamericano de • Reservas (US$ 665 million) Inter-American Development Bank (US$ 450 million) 34#35Cornerstones 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. Diversify sources of funding across of funding across markets and continue building a large and diverse investor base. • Align sovereign funding strategies with achieving ambitious environmental targets: working on a Sustainability-Linked Sovereign Bond tied to Uruguay's climate change commitments under the Paris Agreement. 135#36República Oriental del Uruguay THANK YOU