Investor Presentaiton

1 3 Monetary policies focused on bringing down inflation and anchoring inflation expectations within target. 18 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 3 4 5 new Policy Instrument Enhanced Transparency in Communication Counter-cyclical Monetary Policy Stance Financial De- Dollarization ■ New monetary policy instrument under inflation targeting regime. Designed to improve market signals and allows for fine-tuning of monetary policy at higher frequency. 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. As the pandemic eased and inflationary pressures build up, the Central Bank shifted towards a more contractionary monetary policy stance, increasing the reference rate by an cumulative 700 bps since September 2020, to the current 11.50%. Rebuilding markets in local currency to mitigate financial dollarization and developing FX derivatives markets ■ Adjustments to the level and differentiation of tax rates on interest receipts on by bank deposits and market securities, by type of currency. ■ Encouragement to the participation of public enterprises in the FX derivatives markets. Source: Central Bank of Uruguay. 16

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