Investor Presentaiton

Summary of Key Innovations in Uruguay's SSLB Framework Whole Economy Sustainability-Linked Bonds ކ By integrating "whole economy" Paris-aligned commitments into a national financial strategy, Uruguay will introduce a class of financial instruments that can enable Uruguay, and other State Actors, to achieve our shared climate change objectives Mainstream NDC Commitments ✓ Create benchmarks for Sovereign GHG emission intensity reduction and Native Forest Area maintenance goals Help strengthen the credibility in the NDC system Pave way for KPI standardization in order to scale up sustainable finance instruments for sovereigns Robust inter-ministerial coordination The responsibilities and accountability across participants of task force will be agreed and laid out in a Memorandum of Understanding The work of the task force will be backed by an executive decree executed by all Five Ministries involved in the work related to SSLBS ΞΑ Financing mechanism that is incentive-compatible Uruguay seeks to explicitly link its cost of capital to the achievement of the country's forward-looking environmental targets under the Paris Agreement The proposed two-way pricing structure will penalize Uruguay if it does not deliver on its NDC goals (SPT 1.1 & SPT 2.1) and will reward the country if it over performs on its ambitious NDC targets (SPT 1.2 & SPT 2.2). Reporting Uruguay will be the only non-Annex I country to start reporting GHG emissions on annual frequency and with a shorter time lag, on par with industrialized countries Uruguay's efforts to shorten data "lags" and external verification period for GHG emissions to approximately 17 months External Verification United Nations Development Program ("UNDP") will provide accelerated independent external review of both KPIs throughout the 43 life of the bond

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