Investor Presentaiton

Economic forecast and impact on mBank Group Impact of COVID-19 pandemic materializes in volumes, revenues and provisions Key economic indicators Short-term outlook for mBank 2019 2020F 2021F Net interest income & NIM (Negative) GDP growth (YoY) 4.1% -4.2% 4.6% Domestic demand (YoY) 3.5% -3.8% 4.3% Private consumption (YoY) 3.9% -2.6% ■ Reduction of interest rates by 140 bps in total will translate into lower interest income and strong pressure on margin ■ Insufficient space for deposit repricing equivalently to rate cuts 4.4% Investment (YoY) 6.9% -9.5% 5.3% Net Fee & Commission income (Slightly negative) Inflation (eop) 3.4% 2.2% MPC rate (eop) 1.50% 0.10% 1.8% 0.10% ■ Lower sales of banking products, curbed new loan production ■ A decrease in customer activity, rise of price sensitivity CHF/PLN (eop) 3.92 4.11 3.95 EUR/PLN (eop) 4.25 4.40 4.30 Total costs (Neutral) Banking sector - monetary aggregates YoY 2019 2020F 2021F Corporate loans 3.0% -6.7% 6.4% Household loans 6.1% 2.4% -0.8% Mortgage loans 6.7% 2.7% -0.9% Non-mortgage loans 5.1% 2.0% -0.5% Corporate deposits 10.0% 17.7% Household deposits 9.7% 5.6% 8.3% -1.7% Source: mBank's estimates as of 03.07.2020. Strictly-disciplined management of operating expenses ■ Rising amortisation due to ongoing investments in IT Higher contribution to the Deposit Guarantee Scheme ■ Loan Loss Provisions (Negative) ■ The financial standing of corporate and retail borrowers can worsen in the coming quarters due to the expected deterio- ration of the macroeconomic situation ■ The anti-crisis stimulus package may limit the negative impact of the recession on the asset quality mGroup Covered bonds Cover Pool Polish Economy Real Estate Market 43 Legislation

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