Currency and Interest Rate Outlook

K KASIKORNTHAI ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK Example of Economic Aspect: ESG Risk Management ■KBank has integrated ESG considerations into the risk management framework, with particular attention given to risks related to lending, investment, products, and services At the management level Lending activities are structured so as to demonstrate environmental and social responsibility as follows Board of Directors Risk Oversight Corporate Governance Committee Committee Sustainable Development Sub-committee Credit Risk Management Sub-committee Business Units Monitoring and Controlling Function Board of Directors Approving risk management policy, frameworks, risk limits and risk appetites Risk Oversight Committee Overseeing and ensuring compliance with consolidated risk management policies and strategies and acceptable risk appetite Assessing risk management policies and strategies to cover all risks including emerging risks Corporate Governance Committee Overseeing, monitoring, and undertaking sustainable development ■ Determining and approving credit policy addressing environmental and social impact management in lending and investment activities Ensuring effective practice of ESG risk management and sustainable development operations Business units Screening environmental and social risks of projects to be supported Ensuring and monitoring projects' compliance with regulations/ environmental and social management plans ■Monitoring and Controlling Functions Ensuring credit policy and procedure compliance Reporting project finances and concerning environmental and social issues to the Corporate Governance Committee • At the transaction level The Bank ensures that lending transactions violate neither the law nor social ethics, for example Offences relating to narcotics Offences relating to gambling Offences relating to exploitation of natural resources Offences relating to embezzlement Offences relating to terrorism Offences relating to human trafficking Environmental and Social Assessment Check if requests do not fall under Exclusion list, and conduct preliminary Environment, Social and Governance screening check Secure endorsement by Heads of Business and Enterprise Risk Management (Only for Project Finance requests) Conduct detailed specific industry, ESG aspects and credit analysis for request approval Approve/reject requests within delegated lending authority along with designating environmental and social impact conditions บริการทุกระดับประทับใจ K KASIKORNTHAI ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK Examples of Economic Aspect: CG and Anti-Corruption Corporate Governance ■ Reviewing KBank practices under Thai IOD, ASEAN CG Scorecard, and Dow Jones Sustainability Indices (DJSI) criteria, including the Sustainable Development Policy in accordance with the Bank's business and Sustainable Development Goals Implementing a strategic plan for CG activities to enhance compliance by directors, executives, and staff with CG principles, Code of Conduct, and Anti-Corruption Policy through ➤ Organizing training courses and continually communicating via e-Learning system Communicating with companies within KASIKORNBANK FINANCIAL CONGLOMERATE to ensure consistency of operations ■ Reviewing the Statement of Business Conduct, the Code of Conduct, the Statement of CG Principles, CG Policy, and related Charters; keeping them up-to-date in accordance with ➤ Ongoing business operations and Bank Sustainability Compliance with laws, international practices, and best practices as prescribed by regulatory agencies and competent agencies Note: Thai IOD = Thai Institute of Directors; CG = Corporate Governance Anti-Corruption • KBank, KAsset, and KSecurities co-signed a declaration of the "Private Sector Collective Action Coalition Against Corruption (CAC)" project and have been recognized as CAC certified companies since 2013 • BOD approval and annual reviews of Anti-Corruption Policy, including issues such as bribes and inducements, gifts and benefits, charitable contributions and sponsorships, and political participation • Internal Communication on Anti-Corruption Policy to ensure proper practices within the organization by Organizing training courses for executives and employees Communicating with all directors, executives and employees via KBank electronic networks and website • Communicating with suppliers on operational guidelines, including Guidelines for acknowledgement and compliance related to business ethics, human rights, labor, occupational health and safety, and the environment corruption policy and practices Communication on business operations in compliance with anti- Arrangement of supplier meetings on KBank's procurement procedures Communication with customers and suppliers on No Gift Policy for all occasions and festive seasons Provision of various channels to receive information, complaints and whistle-blowing บริการทุกระดับประทับใจ 111 112

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