Investor Day Summary

(%) STABLE ECONOMIC FUNDAMENTALS IN CANADA Low unemployment rate supporting growth in Canadian Economy UNEMPLOYMENT RATE 14 12 10 Canada 8 6 4 2 0 US T 90 92 94 96 98 00 02 04 06 08 10 12 14 16 18 Sources: Scotiabank Economics, Statistics Canada, BLS. Data through April 2018. INFLATION • • Strengthening economic growth and a gradual rebound in non-energy exports Household spending remains buoyant, underpinned by relatively low and stable unemployment, as well as low borrowing costs Population and labour force growth supported by strong immigration Stable inflation within Bank of Canada target band LABOUR FORCE PARTICIPATION RATE 6 Canada Bank of Canada Target Inflation Band ha (%) 22222 70 68 66 64 62 US -2 60 00 02 04 06 08 10 12 14 16 18 Sources: Scotiabank Economics, Statistics Canada, BLS. Data through March 2018. Canada US 90 92 94 96 98 00 02 04 06 08 10 12 14 16 18 Sources: Scotiabank Economics, Statistics Canada, BLS. Data through April 2018. Scotiabank 51

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