Africa Investors’ Conference 2018 London (June 2018)

1 Agenda

 Overview of MCB Group

 Strategic orientations

 Outlook & Performance

 Appendix

2 Overview of MCB Group

3 Snapshot

Established some 180 years ago… . MCB Group is an integrated banking and financial services player . While being the leading player locally, the Group has diversified its activities, notably in the region . MCB Group Ltd has the largest market capitalisation at the local stock exchange, with a share of some 24% based on SEMDEX

Our operations Our stock profile

Market capitalisation Shareholder base Total assets Customers

~ USD 2 billion > 19,000 investors ~ USD 11 billion > 1 million

Employees Branches Our investment-grade ratings (MCB Ltd)

Agency Long term/Short term Outlook ~ 3,400 52 Moody’s Baa3/P-3 Stable

Fitch Ratings BBB-/F3 Stable

4 Recognition and accolades

World Africa

The Banker Top 1000 World Banks 669th (July 2017) Financial soundness Among the 17th in Africa and 1st in Top 1000 Banks in terms of Tier 1 Capital th (in terms of Return on assets: 59 (The Banker Top 1000 World Banks, July 2017) Tier 1 Capital) Return on capital: 133rd 83rd in Africa in terms of market capitalisation (African Business Top 250 Companies, June 2017) Capital assets ratio: 141st 40th in Africa in terms of assets (Jeune Afrique Top 200 Banks, The Africa Report 2017)

Mauritius Best Regional Bank in Southern Africa (African Banker Awards 2017) • Bank of the Year for (The Banker Bank of the Year Awards 2017) Leading regional bank in terms of • Best Bank in Mauritius (Euromoney Awards for Excellence Survey 2017) operating income and profitability • Best Private Bank in Mauritius (PWM/The Banker 2017) (L’Eco Austral, Top 500 Regional, Edition 2017) • Performance Excellence Award attributed by Citibank and J.P.Morgan for MCB’s straight- through processing rate for payments and transfers (2017) Best Banking and Financial Services • Best Distributor Award attributed to MCB Capital Markets Ltd (Structured Retail Products Award 2017 attributed – Euromoney Global, November 2016) to MCB Ltd • Best Risk Management Disclosures (PwC Corporate Reporting Awards 2018)

5 Group structure

MCB GROUP LTD

BANKING* NON-BANKING FINANCIAL* OTHER INVESTMENTS*

MCB INVESTMENT HOLDING LTD (100%) 100% MCB Capital Markets Ltd 57.73% Fincorp Investment Ltd

100% MCB Ltd 100% MCB Equity Fund Ltd

49.99% Banque Française Finlease Co. Ltd 100% Commerciale Océan Indien (Associate) 100% MCB Properties Ltd

100% MCB Factors Ltd 35% Société Générale 80% International Card Processing Moçambique (Associate) Services Ltd

100% MCB Microfinance Ltd 80% 100% MCB Consulting Services Ltd MCB SA 10%

40% Credit Guarantee Insurance Co. 100% MCB Group Corporate Services Ltd (Associate) Ltd 100% MCB Seychelles Ltd

100% MCB Forward Foundation 100% MCB Real Assets Ltd 100% MCB () Private Ltd 95% Blue Penny Museum 5%

* Relate to clusters

6 Strategic orientations

7 Strategic orientations of the Group

Sharpen our domestic Expand our non-bank Grow our international position activities footprint

Key enablers

Strong brand image Rigorous risk Diversified market Innovative and tailored and solid franchise management positioning products and services

Continuous investment Modern and extensive Reinforced human Intra-Group channel capabilities in cutting-edge technologies capacity building synergies

8 Sharpen our domestic banking position

Key strategic focus areas Our positioning

• Enrichment of value proposition to market segments & deepening of customer relationships and Domestic loans and deposits > 170,000 services 39 Comprehensive branches/ registrations distribution channels • Widening the use of digital technology for simplified customer experiences kiosks for ‘Juice’ • Underpinning the development of small and medium enterprises alongside contributing to the Market share: > 40%

take-off of upcoming segments > 7,100 > 180,000 Cards in circulation POS IB customers; Recent developments Terminals 176 ATMs market share 39% of > 40% Market share: > 55% national park . Pursuit of our retail business expansion; extended mortgage involvement; adapted solutions offered across individual segments

. Sustained support provided to SMEs and larger corporate clients, including dedicated assistance in their restructuring endeavours

. Broadened involvement in respect of the provision of the second edition of preferential credit

facilities named ‘Green loans’ ‘Juice’ mobile application enabled with broadened Launch of ‘Touch and Pay’ service functionalities and an enhanced interface since Jan 2018 for small transactions . Bolstering of our private banking and wealth management proposition, backed by capacity- building initiatives and enriched value proposition

. Extension and modernisation of channel capabilities (eg. new version of ‘Juice’ mobile banking service; contactless payments)

Launch of ‘Conciergerie’ service by MCB Private Banking since Dec Launch of our fully redesigned mcb.mu homepage as well as the 2017, providing assistance and information 24/7 to its clients Personal and Private Banking sections of website in May 2017

9 Expansion of our non-bank activities

Key strategic focus areas Our positioning

• Widening our market involvement MCB Capital Markets Major player in Engagement in outsourcing and • Enriching and adapting our value proposition across segments 14 dedicated funds leasing and factoring 10 structured products consulting services • Leveraging brand franchise, referrals and distribution capacity

AUM: ~ Rs 27 billion Recent developments (USD 805 million)

• Reinforced positioning of MCB Capital Markets Ltd in Mauritius and in the region

 Diversified product offerings

 Established itself as a leading transaction advisor and arranger in respect of corporate

finance on the domestic scene

 Continued build-up of assets under management

• Extension of activities of MCB Microfinance to Rodrigues

• Successful exit from investments by MCB Equity Fund Ltd MCB Capital Markets Ltd advised MCB Group on the Opening of an office of MCB Microfinance in acquisition of Club Med's 84.4% shareholding in Rodrigues in Mar 2017 Covifra, with the transaction completed in Oct 2017

10 Growing our international footprint

Key strategic focus areas Our positioning • Energy & Commodities Presence Correspondent banks ‘Bank of Banks’ initiative • International Project finance • Asset & Wealth Management ~ 1,300 ~ 116 clients serviced in 9 countries outside Mauritius • Bank of Banks strategy including ~ 230 in Africa FY 2016/17 o Platform for providing trade finance services including LC re-issuance and confirmation o Dedicated subsidiaries for cards and consulting outsourcing services o Payment services for banking counterparts (SWIFT) • Enrichment of our value proposition in foreign banking subsidiaries

Recent developments

• Widening market coverage of Energy and Commodities business, with inroads notably made in upstream oil and gas business in Africa • Our involvement in international project finance being marked by increased coverage in East Africa and portfolio diversification across key sectors • Further business expansion of the Group’s foreign banking subsidiaries • Strengthened partnerships and ongoing operational assistance provided to banks and financial institutions in Africa, notably by MCB Consulting Ltd • Further progress made in our attempt to expand private banking into Africa • Increased on-the-field visibility and due focus laid on meaningful business relationship

management with selected market players Overseas subsidiaries/ Countries in which MCB associates Rep. Offices MCB is involved

11 Gearing up for the future

Launch of Digital Transformation Programme

Unfolding of HR Transformation Project

Development of a Corporate Sustainability Strategy

12 Outlook & Performance

13 The economic context

11 National Budget 2018/19 at a glance

Medium Term Macroeconomic Framework Pathways for pursuing our transformative journey

 Develop a comprehensive approach to equip youth with skills to integrate the labour market Selected indicators Units 2017/18 2018/19 2019/20 2020/21 Estimates as per National Budget  Create opportunities for private investment by accelerating the move to digitalisation Output and Prices GDPmp Rs bn 476.3 512.2 552.6 597.5  Foster a new wave of import substitution industry and revive export-led production Real GDP Growth Rate - Current market prices % 3.9 4.1 4.3 4.5 Inflation Rate % 4.3 3.5 3.5 3.5  Build the strategic and modern infrastructure needed to achieve high income status Investment Rate % of GDP 17.6 18.4 18.9 19.1

Public Finance  Invest in the protection and enhancement of the environment

Budget Balance % of GDP -3.2 -3.2 -3.0 -2.0  Lift the standard and quality of life of the population Primary Balance % of GDP -0.8 -0.6 -0.3 0.8 Public Debt  Foster the creation of an inclusive and caring society Public Sector Gross Debt % of GDP 63.4 63.1 62.8 60.0 External Sector Current Account Deficit % of GDP -5.5 -4.8 -8.5 -7.3 Key areas warranting attention Gross Official International Reserves Rs bn 222.0 240.0 254.0 265.8  Potentially distortionary outcomes of some policy measures

o Specific fiscal regime for banks • Total public sector investment over the period 2018/19-2020/21 estimated at around Rs 120 billion (Rs 52.6 billion planned for FY 2018/19)  Operationalisation of announced budgetary measures

 Ensuring sound, sustainable and credible debt Management

Source: Ministry of Finance and Economic Development 12 Specific fiscal regime for banks

Deemed Foreign Tax Credit regime Special Levy on Banks

• The Deemed Foreign Tax Credit regime available to banks will be abolished • The Special Levy on Banks is currently: as from 1st July 2019 • 10% of chargeable income for Segment A banking business; and • In its place, a new regime specific for banks will be introduced which will • 3.4% on book profit and 1% on operating income for Segment B banking make no distinction between Segment A and Segment B income business

• The tax rates will be as follows: • The current formula which is scheduled to end by June 2018 will be • chargeable income up to Rs 1.5 billion will be taxed at 5%; and maintained up to June 2019 • chargeable income above Rs 1.5 billion will be taxed at 15% • In addition, an incentive system will be introduced for banks having • The Special levy under the Income Tax Act will be removed with effect from 1st chargeable income exceeding Rs 1.5 billion. Under this system, any July 2019. A Special levy will be introduced under the Value Added Tax Act and chargeable income in excess of the chargeable income for a set base will be charged on the net operating income derived by banks from its year will be taxed at a reduced tax rate of 5% if pre-defined domestic operations conditions are satisfied.

Source: Ministry of Finance and Economic Development 13 Key economic indicators (i)

Economic growth National investment Distribution of GDP, 2017

Manufacturing

WholesaleManufacturing & retail trade; repair of motor vehicles 4.5 23 FinancialWholesale and & insurance retail trade activities 11% 14% Financial and insurance activities 4.0 Accommodation and food service activities 4% Accommodation and food service activities 21 4% TransportationTransportation and and storage 3.5 12% 4% PublicPublic administration administration and defence defence

19 GDP basic prices: Real estate activities 3.0 4% Real estate activities % % of GDP Rs 405.7 bn Professional, scientific and technical activities Professional, scientific and technical activities % % real GDP growth 2.5 5% Education 12% 17 EducationHuman health and social work activities 5% 2.0 HumanConstruction health and social work activities 6% 7% Information and communication 6% 1.5 15 6% Construction 2014 2015 2016 2017(e) 2018(f) 2013 2014 2015 2016 2017(e) 2018 (f) Agriculture, forestry and fishing Information and communication Others Agriculture, forestry and fishing

Others

(e) Revised estimates (f) MCB forecasts 14 Sources: Statistics Mauritius and MCB staff estimates Key economic indicators (ii)

Balance of Payments Surplus Headline Inflation Public sector debt Balance of Payments

30 7 6

25 6 5

5 4.3 20 4

4 % Rs bn Rs 15 3

3 % of GDP of% 10 2 2

5 1 1

0 0 0

2014 2015 2016(e) 2017(e) 2018(f)

Jul-15

Jan-13 Jan-18

Jun-13 Jun-18

Oct-16

Apr-14

Sep-14 Feb-15

Dec-15

Aug-17

Nov-13 Mar-17 Balance of Payments % of GDP (right scale) May-16

EffectiveEvolution exchange of MERI 2 rate (MERI2) * Evolution of rupee vis-à-vis main currencies* Evolution of EURUSD

115 125 1.5 120 110 115 1.4 110 105 1.3 105

100 100 1.2 Dec 2007=100 Dec - 95

Jan 1.1

95 = 100 2013 Jan Index:03 90 1 85 90 80 0.9

85 75

0.8

Jan-14 Jan-16 Jan-18 Jan-13 Jan-15 Jan-17

Sep-14 Sep-16 Sep-13 Sep-15 Sep-17

Jul-15

May-14 May-16 May-18 May-13 May-15 May-17

Jan-13 Jan-18

Jun-13 Jun-18

Oct-16

Apr-14

Sep-14 Feb-15

Dec-15

Aug-17

Nov-13

Mar-17

May-16

Jul-15

Jan-13 Jan-18

Jun-13 Jun-18

Oct-16

Apr-14

Feb-15 Sep-14

Dec-15

Aug-17

Nov-13

Mar-17 May-16 USD GBP EURO

(e) estimates (f) forecasts *An increase/decrease in the index corresponds to a depreciation / appreciation in the Mauritian rupee Sources: Bank of Mauritius, Statistics Mauritius & Ministry of Finance & Economic Development 15 Key credentials and success factors

Underlying enablers for economic progress

 Political and social stability Regional Indicator Global Rank  Dynamic and bilingual workforce rank st  Open and market-based economy World Bank Doing Business Survey (2018) 25th out of 190 1 st  Judicious economic diversification strategy Global Competitiveness Index (2017-2018) 45th out of 137 1  Institutional and regulatory support Corruption Perceptions Index (2017) 54th out of 180 6th st  Reliable infrastructure set-up Forbes Survey of Best Countries for Business (2018) 41st out of 153 1 th  Relatively low tax system Human Capital Index (2017) 74th out of 130 4 st  Investment grade (Moody’s: Baa1) Index of Economic Freedom (2018) 21st out of 180 1 nd  White-listed by OECD Global Innovation Index (2017) 64th out of 127 2 nd  Government-Private sector partnership Travel & Tourism Competitiveness Index (2017) 55th out of 136 2 st Networked Readiness Index (2016) 49th out of 139 1 Gearing up and enhancement of international involvement

 Openness to foreign capital and talents  Network of bilateral agreements  Close historical ties with countries on the competitive edge of technology

16 Sub-Saharan Africa: Key trends and challenges

Evolution of real GDP growth Average real GDP growth rates for 2020-2023

6.0 2000-13 SSA average 5.1 5.7 5.0 5.4 5.5

4.7 4.8 4.6 3.9 4.0 3.7 3.4 3.4 Above 6% 3.6 2.8 % 3.0 Between 4 and 6% Between 2 and 4% 2.0 1.4 Between 0 and 2%

1.0 Below 0% Insufficient data 0.0 2014 2015 2016 2017 (e) 2018 (f) 2019 (f) Avg 2020-23 (f)

Sub-Saharan Africa SSA excl. Nigeria &

• Growth in the region is anticipated to improve, aided notably by stronger global growth, higher commodity prices and improved market access. Nonetheless, GDP growth is expected to plateau below the 4% mark over the medium term, given difficulties faced by larger economies to boost private investment and mounting debt levels.

• That being said, the African continent is engaged into a favourable socio-economic transformation process on the basis of various factors and dynamics. In fact, on excluding Nigeria and South Africa, the real GDP growth of sub-Saharan Africa is likely to stand at relatively appreciable rates

(e) estimates (f) forecasts Sources: IMF World Economic Outlook Database April 2018 17 Financial performance and soundness

21 Profitability Profitability

6 5.4 5.2 5 4.7 4.3 4 3.1 3

2 Profit; Profit; Rs billion

1

0 9-mths to 9-mths to 9-mths to 9-mths to 9-mths to Mar 14 Mar 15 Mar 16 Mar 17 Mar 18

22 Operating income

15 180

12.5 12 11.8 160 10.6 9.8 9 8.7 140

Rs Rs billion 6 120

mths to Mar 14 Mar = to 100 mths -

3 100 Index: 9 Index:

0 80 9-mths to 9-mths to 9-mths to 9-mths to 9-mths to Mar 14 Mar 15 Mar 16 Mar 17 Mar 18

Net interest income Non-interest income Net interest income Growth Index Non-interest income Growth Index

23 Net interest income

10 200

8 7.8 175 7.1 6.6 6.1

6 5.5 150 Rs Rs billion

4 125

mths mths to Mar 14 100= -

2 100 Index: 9 Index:

0 75 9-mths to 9-mths to 9-mths to 9-mths to 9-mths to Mar 14 Mar 15 Mar 16 Mar 17 Mar 18

MUR FCY MUR Growth Index FCY Growth Index

24 Loans and deposits

Gross loans Deposits Gross loans Deposits 240 250 350 205 295 199 300 190 200 220 275 176 179 255 174 90 108 161 250 105 175 160 190 221 72 67 71 103 61 6

200 186 85 160 Rs Rs billion

120 160 Rs billion 66 Rs Rs billion 150 145

80 130 Index: Jun Index:Jun 14 100= Index: Jun Index:Jun 14 100 = 100 187 130 152 170 40 100 136 108 109 50 115 100 104 107 120 0 70 0 100 Jun 14 Jun 15 Jun 16 Jun 17 Mar 18 Jun 14 Jun 15 Jun 16 Jun 17 Mar 18 MUR FCY MUR Growth index FCY Growth index MUR FCY MUR Growth Index FCY Growth Index

25 Liquidity position

180 80

150 144 145 70 124 42 120 55 60

87 52 Rs Rs billion

90 50 % 64 28 60 40 22 103 89 72 30 59 30 42 0 20 Jun 14 Jun 15 Jun 16 Jun 17 Mar 18

Liquid assets - MUR Liquid assets - FCY Liquid assets to deposits ratio (right scale)

Note: Liquid assets comprise cash, balances with BoM, placements, T-Bills and Government securities 26 Assets mix

9% 9% 9% 8% 9%

14% 16% 22% 23% 17% 13% 15% 17% 19% 21%

64% 60% 52% 50% 53%

Other assets Cash and cash equivalents (incl. mandatory balances & placements) Other assets Jun 14 Investment securitiesJun (Held 15 to maturity & Held forJun trading) 16 Cash Junand 17cash equivalents (incl. mandatoryMar 18 balances & placements)

NetOther loans assets and advancesOther assets Investment securities (Held to maturity & Held for trading) Cash and cash equivalents (incl. mandatory balances & placements) OtherNet loans assets and advances Investment securities (Held to maturity & Held for trading) Cash and cash equivalents (incl. mandatory balances & placements) 27 Note: Figures for Net loans and advances Netfor Jun loans 17 and and Mar advances 18 include Corporate Notes. Investment securities (Held to maturity & Held for trading) Net loans and advances Margin

5

4 3.71 3.63 3.43 3.28 3.42

3 % 2

1

0 Jun 14 Jun 15 Jun 16 Jun 17 Mar 18

Net interest margin to average earning assets

28 Non-interest income

5 4.7 200 4.6 3.9 4 3.7 180 3.2 3 160

2 140

mths to Mar Mar 14 to= mths 100

Rs Rs billion -

1 120 Index: 9 Index:

0 100 9-mths to 9-mths to 9-mths to 9-mths to 9-mths to Mar 14 Mar 15 Mar 16 Mar 17 Mar 18 Net fee andNet commissionNetfee andfee andcommission commissionincome income income Profit onProfit exchangeProfit on exchangeon exchange Other incomeOther income Net fee and commissionNet fee and commissionincome growth income index growth index Profit on exchangeProfit on growth exchange index growth index

29 Contingent liabilities

90

75 70.6 73.4

60 52.4 52.7 45

37.3 Rs billion Rs 30

15

0 Jun 14 Jun 15 Jun 16 Jun 17 Mar 18

30 Operating expenses & efficiency

Operating expenses Cost to income ratio

60 6 150 5.2 5 4.8 140 4.3 50 4.1 4.2 47.2 4 130 42.4 41.0 40.8 41.3

3 120 % 40 Rs Rs billion

2 110 mths to Mar 14 =100 - 30

1 100 Index:9 0 90 20 9-mths to 9-mths to 9-mths to 9-mths to 9-mths to 9-mths to 9-mths to 9-mths to 9-mths to 9-mths to Mar 14 Mar 15 Mar 16 Mar 17 Mar 18 Mar 14 Mar 15 Mar 16 Mar 17 Mar 18 Operating expenses Growth Index

31 Credit quality

Credit impairment charges GrossCredit NPL quality ratio 1.2 1.5 10

1.0 1.3 8 7.3

6.2 0.8 1.0 6.2 6.1

6 % 5620.16 0.6 0.8 % 0.84 2995.02 4.9 0.65 4 2625.15 0.60 5620.16 0.4 0.56 0.5 Rs billion Rs 0.53 0.2 0.3 2

0.0 0.0 0 9-mths to 9-mths to 9-mths to 9-mths to 9-mths to Jun 14 Jun 15 Jun 16 Jun 17 Mar 18 Mar 14 Mar 15 Mar 16 Mar 17 Mar 18

Net impairment charges As a % of gross loans and advances (right scale) Gross NPLs to gross loans and advances Note: The ratios have been annualised.

32 Profit distribution

Mar 17 Mar 18

8.0% 7.8% 10.1% MCB Ltd - Segment9.7% A

MCB Ltd - Segment B 44.1% Rs 5.2 bn 48.2% Rs 5.4 bn Foreign banking subsidiaries & associates Foreign banking subsidiaries & associates Non-banking financial33.7% & other investments Non-banking38.4% financial & other investments MCB Ltd - Segment A 9.7%

MCB Ltd - Segment A MCB Ltd - Segment 9.7%B 48.2% MCB Ltd - Segment A 9.7% MCB Ltd - Segment B Foreign banking subsidiaries & associates 48.2% MCB Ltd - Segment A MCB Ltd - Segment B 48.2% 9.7% Foreign banking subsidiaries & associates MCB Ltd - Segment B ForeignNon-banking banking financial subsidiaries & other & investmentsassociates 38.4% 48.2% Non-banking financial & other investments Foreign banking subsidiaries & associates Non-banking financial38.4% & other investments 33 38.4%

Non-banking financial & other investments 38.4% Capitalisation

60 22 54 50 50 20 46 18.9% 42 17.8% 40 37 18 16.5%

30 15.7% 16 % Rs Rs billion 20 14

10 12

0 10 Jun 12 JunJun 13 12 JunJunJun 1214 13 JunJunJun 1315 14 JunMarJun 14 16 15 JunMar 15 16 Mar 16 Jun 14 Jun 15 Jun 16 Jun 17 Mar 18

Tier 2 TierTier 1 2 BISTierTier ratio 2 1 (right-scale)TierBIS 1 ratio (right-scale)BISTier ratio 1 ratio (right-scale) (right-scale)Tier 1 ratio (right-scale)Tier 1 ratio (right-scale)

Note: Capital adequacy figures are based on Basel III 34 ROA & ROE

3.0 20

17.1 17.3 15.5 2.5 14.7 15.0 16 2.2 2.2 2.0 2.0

2.0 1.9 12

ROA; % ROE; ROE; %

1.5 8

1.0 4 Jun 14 Jun 15 Jun 16 Jun 17 Mar 18

ROA (Left scale) ROE (Right scale)

Note: Figures for Mar 2018 have been annualised 35 Share price performance

140

130

120

110

Index: 31 Mar 2017 = 100 2017 Mar Index:31 100

90

Jul-17

Jan-18

Jun-17 Jun-18

Oct-17

Apr-17 Apr-18

Sep-17 Feb-18

Dec-17

Aug-17

Nov-17

Mar-18 Mar-17

May-18 May-17

MCB Group share price index SEMDEX (rebased)

Salient features As at May 2018 40% MCB Group LtdMCB is a constituentGroup Ltd is of a constituentthe Stock Exchange of the Stock of 16% > Mauritius SustainabilityExchange Index of Mauritius (SEMSI)* Sustainability since its launch Index in Foreign shareholding Market share for value traded (SEMSI*) since its launch in September 2015 Sep. 2015

* The SEMSI aims at promoting sustainability, good governance and transparent business practices. It tracks the price-performance of companies listed on the Official Market or the Development & Enterprise Market which demonstrate strong sustainability practices and provides a robust measure of listed companies against a set of internationally aligned and locally relevant environmental, social and governance criteria. 36 Investor Relations Unit Kersley GASPARD – IR Officer Tel: (230) 202-5134 /(230) 202-5558 Email: [email protected] Website: www.mcbgroup.com

mcbgroup.com

37 Appendix

38 Key financial indicators – Income statement

Income statement Year ended to: 9 mths ended to: 30-Jun-13 30-Jun-14 30-Jun-15 30-Jun-16 30-Jun-17 31-Mar-17 31-Mar-18 Rs m Rs m Rs m Rs m Rs m Rs m Rs m Net interest income 7,047 7,256 8,154 8,890 9,411 7,181 7,816 Non-interest income 3,976 5,019 5,060 5,514 6,095 4,574 4,720 Non-interest expense 4,903 5,290 5,526 5,776 6,388 4,798 5,184 Operating profit before provisions 6,121 6,985 7,689 8,629 9,118 6,957 7,353 Net impairment charges 1,081 1,989 1,127 1,022 1,064 812 1,006 Share of profit of associates 257 540 375 735 338 301 301 Income tax expense 918 1,033 1,129 1,537 1,644 1,213 1,181 Profit attributable to ordinary equity holders 4,345 4,365 5,722 6,626 6,702 5,190 5,448

39 Key financial indicators – Statement of financial position

Balance sheet As at As at 30-Jun-13 30-Jun-14 30-Jun-15 30-Jun-16 30-Jun-17 31-Mar-18 Rs m Rs m Rs m Rs m Rs m Rs m Total assets 216,528 240,886 280,013 317,705 345,677 375,457 Cash & cash equivalents* 16,305 20,442 29,601 52,855 60,321 44,898 Investment securities 22,447 35,435 50,689 62,735 74,730 94,664 Net loans 150,604 154,471 168,222 166,697 172,331 192,320 Total deposits 166,113 186,088 221,140 255,262 274,863 294,962 Equity 28,506 30,968 35,933 40,730 45,949 50,650 *Includes placements

40 Financial soundness indicators

Mar-17 Jun-17 Mar-18

Profitability Return of average total assets1 2.1 2.0 2.0 Return on average equity1 16.2 15.5 15.0 Return on average Tier 1 capital1 17.1 16.2 15.8

Efficiency Cost-to-income 40.8 41.2 41.3

Asset quality Gross NPL/Gross loans and advances 5.8 6.1 4.9 Net NPL/Net loans and advances 4.3 4.6 3.3

Liquidity Liquid assets2/Total assets 41.4 41.6 38.6 Loans to deposits 65.4 65.0 67.5 Loans to deposits and borrowings3 62.3 62.4 63.6

Capital adequacy Shareholder equity to assets 13.1 13.3 13.5 BIS risk adjusted ratio4 18.5 18.9 17.8 o/w Tier 1 4 16.1 16.5 15.7 1 Annualised rate for March figures 2 In the computation, liquid assets comprise cash, balances with BoM, placements, T-Bills and Government securities 3 Borrowings include debt instruments 4 Based on Basel III

41 www.mcbgroup.com 42