Investor Presentaiton

Asset Quality Cost of risk¹ Cost of Risk Cyprus - Cost of Risk - Group 4,3% Accumulated provisions Accumulated provisions (€ bn) Provisions % Gross loans 24,1% 3,6% 2,8% 2,8% 2,7% 21,6% 22,2% 22,5% 21,6% 4,0% 18,6% 19,1% 19,3% 20,0% 2,1% 2,2% 2,1% 2,4% 2,4% 2,2% 1,9% 1,7% 1,5% 1,6% 5,0 1Q2014 1H2014 9M2014 FY2014 1Q2015 1H2015 9M2015 FY2015 Dec 2013 Mar 2014 2014 2014 5,0 4,9 Jun Sep Dec 4,9 5,1 5,4 5,4 4,9 5,4 Mar 2014 2015 Jun Sep 2015 2015 Dec 2015 Provision coverage ratios 90+ DPD provision coverage NPEs provision coverage 42% 43% 41% 41% 39% 38% 39% 38% 48% • Group annualised cost of risk for FY2015 was 4,3%; The increase in provisioning levels reflects the assumption changes in the Bank's methodology in line with the regulatory dialogue with the ECB Accumulated provisions totaled €5,4 bn and accounted for 24,1% of gross loans at 31 December 2015 The 90+ DPD provisioning coverage ratio improved to 48% at 31 December 2015; The 90+ DPD provisioning coverage ratio calculated in line with local peers, with reference to the contractual balances of customers, totalled 58%2 The NPEs provisioning coverage ratio improved to 39% at 31 December 2015. The NPEs provisioning coverage ratio calculated in line with local peers, with reference to the contractual balances of customers, totalled 49% 39% 36% 35% 35% 35% 33% 34% 34% 35% Dec Mar Jun Sep Dec 2013 2014 2014 2014 2014 Mar Jun Sep Dec 2015 2015 2015 2015 (1) Calculated as the provisions for impairment of customer loans, including provisions of discontinued operations, (in total €1.307 mn), net of gains on derecognition and changes in expected cash flows on acquired loans (totalling €305 mn) over average gross loans (2) This ratio is calculated by adjusting both the provisions stock and the customer balances to include any unrecognized interest income due on contractual balances. Bank of Cyprus KOINO WKYNРIW 14

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