BBVA Bancomer/2018 Annual Report

Social programs GRI 103-1, 103-2 and 103-3 Over the last 12 years, BBVA Bancomer has been working alongside the Mexican government in creating a robust strategy for apportioning funds under various social programs to the relevant beneficiaries. This has been achieved through a broad and extensive infrastructure that provides significant coverage and outreach, and with rules and procedures in place to ensure the transparency of the process. When it comes to managing social programs, BBVA Bancomer has to provide service to the many people who receive aid from the federal, central and municipal government. Under these programs, social aid is paid into the beneficiary's bank account, whereupon the funds can be drawn using the associated debit card. The two departments that BBVA Bancomer serves and that have the largest number of beneficiaries under social programs are the Secretariat of Agriculture, Stockbreeding, Rural Development, Fishing and Food ("SAGARPA", now known as "SADER")-responsible for channeling federal resources into rural development across Mexico- and the Secretariat of Social Development ("SEDESOL", now the Secretariat of Welfare) -tasked with administering federal support for elderly citizens aged over 65- followed by the support program for students from Mexico City who are enrolled at public high schools, known as "Prepa Sí". A total of 246 workshops were held in 2018, benefitting 20,291 people. To provide products and services that generate positive benefits for recipients of government aid, BBVA Bancomer is looking to incorporate more initiatives that will contribute towards this objective. A prime example here is the creation of digital platforms intended for younger people, granting them access to all the benefits and aid. Target 2019 The enormous benefits and huge potential of the digital era, which will see BBVA BANCOMER spearheading innovation within our country's financial market, will lay the foundations for promoting the digitalization of social programs from 2019 onward, in line with the federal government's financial inclusion strategy. BBVA VISA Replacing expired debit cards In 2018, the Bank continued to offer card renewal services in areas accessible to beneficiaries, without forcing them to travel to cities or municipal capitals to change their cards. Program # Cards renewed in 2018 SAGARPA SEDESOL 53,434 30,316 9 This means renewals due to debit card expiration, confirmed through the Bank's system. Effectiveness ratio⁹ (%) 99% 98% Financial literacy "learning pills" for beneficiaries of social programs As an important complement to the programs, beneficiaries can attend financial literacy workshops to receive information on savings, life insurance and other useful subjects. The following subjects are addressed: • Saving Debit card • Life insurance Use of digital channels • Secure use of digital channels 15 75 BBVA Bancomer/2018 Annual Report

View entire presentation