Emirates NBD Investor Presentation

August 2017 2

Important Information

Disclaimer

The material in this presentation is general background information about the activities of Emirates NBD Bank PJSC (Emirates NBD), current at the date of this presentation, and believed by Emirates NBD to be accurate and true. It is information given in summary form and does not purport to be complete. Some of the information that is relied upon by Emirates NBD is obtained from sources believed to be reliable, but Emirates NBD (nor any of its directors, officers, employees, agents, affiliates or subsidiaries) does not guarantee the accuracy or completeness of such information, and disclaims all liability or responsibility for any loss or damage caused by any act taken as a result of the information. The information in this presentation is not intended to be relied upon as advice or a recommendation to investors or potential investors and does not take into account the investment objectives, financial situation or needs of any particular investor. An investor should seek independent professional advice when deciding if an investment is appropriate.

Due to rounding, numbers and percentages presented throughout this presentation may not add up precisely to the totals provided.

Forward Looking Statements

Certain matters discussed in this presentation about the future performance of Emirates NBD or members of its group (the Group), including without limitation, future revenues, earnings, strategies, prospects and all other statements that are not purely historical, constitute “forward-looking statements”. Such forward-looking statements are based on current expectations or beliefs, as well as assumptions about future events, made from information currently available. Forward-looking statements often use words such as “anticipate”, “target”, “expect”, “estimate”, “intend”, “plan”, “goal”, “seek”, “believe”, “will”, “may”, “should”, “would”, “could” or other words of similar meaning. Undue reliance should not be placed on any such statements in making an investment decision, as forward-looking statements, by their nature, are subject to known and unknown risks and uncertainties that could cause actual results, as well as the Group’s plans and objectives, to differ materially from those expressed or implied in the forward-looking statements.

There are several factors which could cause actual results to differ materially from those expressed or implied in forward-looking statements, such as changes in the global, political, economic, business, competitive, market and regulatory forces; future exchange and interest rates; changes in tax rates; and future business combinations or dispositions.

Emirates NBD undertakes no obligation to revise or update any statement, including any forward-looking statement, contained within this presentation, regardless of whether those statements are affected as a result of new information, future events or otherwise. 3

UAE Economic Update

Highlights Real GDP growth forecasts

• Non-oil growth in the UAE appears to have accelerated in H1 2013 2014 2015 2016F 2017F 2017, based on PMI survey data. However, OPEC’s decision to Operating Operating Environment S. Arabia 2.7 3.7 4.1 1.7 0.5 extend output cuts through Q1 2018 has led us to revise down our UAE 4.7 3.3 3.8 3.0 2.0 projections for oil sector growth this year and next Qatar 4.0 3.5 3.3 2.0 2.5 Kuwait 1.1 0.5 1.8 2.1 -1.0 • As a result, we have downgraded our 2017 growth forecast to Oman 4.4 2.5 5.7 3.7 1.0 2.0% from 3.4% previously. We expect Dubai to grow at a faster Bahrain 5.4 4.4 2.9 3.0 2.2 rate than Abu Dhabi as it won’t be as affected by lower oil output GCC (average) 3.3 3.2 3.8 2.3 1.1 Egypt 2.1 2.9 4.4 4.3 3.5 • The Emirates NBD Purchasing Managers’ Index for the UAE Jordan 2.8 3.1 2.4 2.0 2.8

increased to 56.0 in July from 55.8 in June, signalling a strong rate Lebanon 3.0 1.8 1.5 2.4 3.1 Emirates NBD Profile NBD Emirates of growth in the non-oil private sector last month Tunisia 2.9 2.3 0.8 1.1 2.8 Morocco 4.4 2.6 4.5 1.0 4.7 MENA (average) 2.8 2.7 3.8 3.1 3.7 Source: Bloomberg, Emirates NBD Research Oil Price and UAE oil production UAE PMI – Non oil private sector activity

3.2 125 62.0

3.0 100 60.0 2.8 75 58.0 2.6

M M bpd 50

Financial & Operating & Operating Financial Performance 2.4 56.0 USD per USDper barrel 2.2 25 54.0

2.0 0

52.0

Strategy

Jul-13 Jul-14 Jul-15 Jul-16

Apr-13 Oct-13 Apr-14 Oct-14 Apr-15 Oct-15 Apr-16 Oct-16 Apr-17

Jan-14 Jan-15 Jan-16 Jan-17 Jan-13 50.0 UAE Oil Production (lhs) ICE Brent (rhs) Jan 15 May 15 Sep 15 Jan 16 May 16 Sep 16 Jan 17 May 17

Source: Bloomberg, Emirates NBD Research Source: Markit / Emirates NBD Appendix 4

Dubai Economic Update (1/3)

Highlights Composition of Dubai GDP

• The Emirates NBD Dubai Economy Tracker Index was broadly Dubai GPD by Sector (%) – Q4 2016

unchanged in July at 56.3, still signaling robust expansion in the Operating Operating Environment non-oil private sector Others Dubai’s economy expanded 3.9% y-o-y in Q4 2016. Hospitality 25% Trade • 30% (restaurants and hotels) was the fastest growing sector in Dubai at 14.2% followed by Real Estate at 8.9% Hosp 7% Constr. & RE Transportat & 13% Storage Emirates NBD Profile NBD Emirates 7% Manuf. Financial 8% services 11% Source: Dubai Statistics Centre Emirates NBD Dubai Economy Tracker Index Dubai: Key sector growth rates in Q4 2016

64 14.0 62 12.0 60 10.0 8.0 58 14.2 6.0 Financial & Operating & Operating Financial Performance 56 4.0 8.9 6.7 54 5.5 2.0 3.5 52 1.3 0.0 1.1

Strategy 50 48 Jan-15 May-15 Sep-15 Jan-16 May-16 Sep-16 Jan-17 May-17

Source : Markit, Emirates NBD Research Source: Dubai Statistics Centre Appendix 5

Dubai Economic Update (2/3)

Highlights Dubai Airports passenger traffic

• Passenger traffic at the Dubai International Airport (DXB) rose to 40 1200 37 million in Jan-May 2017, up 6.7% y/y Operating Operating Environment 1000 35

• Passenger traffic is expected to exceed 89 million at DXB by the 800 end of 2017, according to Dubai Airports 30 600 37 25 35 • Dubai’s hotel occupancy rates remained high averaging 78.0% in 32 400 30 H1 2017 up from 76.3% in the same period a year ago 27 20 23 200 20 The supply of hotel rooms in Dubai increased by 5.7% y/y in June • 15 0 2017 to 94,705 rooms. The Department of Tourism and Jan-May Jan-May Jan-May Jan-May Jan-May Jan-May Jan-May Emirates NBD Profile NBD Emirates Commerce Marketing (DTCM) is targeting 140,000 to 160,000 2011 2012 2013 2014 2015 2016 2017 hotel rooms by the end of the decade Passenger traffic (LHS) Freight volumes (RHS)

Source: Dubai Airports, Emirates NBD Research Hotel occupancy and RevPAR Top 10 visitors by nationality in Jan-May 2017

100 25 % % of total 7.26mn visitors India y/y growth 20 90 13.0% 15 80 10 Other Saudi Arabia 70 5 45.2% 9.2% 0

60 -5 Financial & Operating & Operating Financial Performance 50 -10 UK -15 7.9% 40 Oman -20 5.0% 30 -25 Oct-12 Apr-13 Oct-13 Apr-14 Oct-14 Apr-15 Oct-15 Apr-16 Oct-16 Apr-17 Pakistan

Strategy 3.8% Average hotel occupancy rates, % (LHS) US Germany Iran China 3.8% Average revenue per available room, y/y growth, 3M MA (RHS) 3.4% 3.5% 5.0%

Source: STR Global, Emirates NBD Research Source: Department of Tourism and Commerce Marketing, Emirates NBD Research Appendix 6

Dubai Economic Update (3/3)

Highlights Dubai residential yield • Dubai residential property prices continued to decline in Q2 2017. Apts Yields (LHS) Villas Yields (RHS) Apartment price decline by -0.3% y/y in June compared with -7.1% Operating Operating Environment 8.4 5.4 y/y in January in 2017. Villa prices fell nearly -11.0% y/y in June 5.2 • The slower contraction in residential real estate prices over the 8.0 first six months of 2017 has been accompanied by higher 5.0 transaction volumes; with overall transaction volumes increased 7.6 4.8 by 46.7% y/y in H1 2017 compared with -27.0% decline recorded in H1 2016. USD strength still remains a constraint on demand, 7.2 4.6 particularly for foreign investors 4.4 6.8

• Apartments yields remained unchanged averaged 7.4% in H1 4.2 Emirates NBD Profile NBD Emirates 2017 compared with 7.8% in H1 2016. Whilst villa yields remained 6.4 4.0 unchanged averaging 4.8% in both H1 2017 and H1 2016 Jan-15 Jun-15 Nov-15 Apr-16 Sep-16 Feb-17 Source: Phidar Advisory, Emirates NBD Research Dubai residential property prices Dubai transaction volumes

6 Apartments Villas 600 Apartments (LHS) Villas (RHS) 140

3 500 120 0 100 400 -3 80 Financial & Operating & Operating Financial Performance -6 300

% y/y % 60 -9 200 -12 40 100 Strategy -15 20 -18 0 0 Jan-15 May-15 Sep-15 Jan-16 May-16 Sep-16 Jan-17 May-17 May-14 Nov-14 May-15 Nov-15 May-16 Nov-16 May-17

Source: Phidar Advisory, Emirates NBD Research Source: Phidar Advisory, Emirates NBD Research Appendix 7

UAE Banking Market Update

Highlights Bank deposit and loan growth

• Money supply (M2) slowed to 6.1% y/y in July compared with Bank Loans (% y/y) Bank deposits (% y/y) AD ratio (RHS) 18% 110% 7.3% y/y in June 2017

Operating Operating Environment 16% 14% 105% • Bank deposits increased by AED 3.1bn and 7.15% y/y to AED 12% 1592.2bn in July 10% 100% 8% 95% • Although the 3m EIBOR rate has increased in recent months, this 6% has been mostly due to higher USD rates, with the spread over 3m 4% 90% LIBOR narrowing 2% 0% 85% -2%

-4% 80%

Emirates NBD Profile NBD Emirates

Jun-11 Jun-12 Jun-13 Jun-14 Jun-15 Jun-16 Jun-17

Mar-11 Mar-12 Mar-13 Mar-14 Mar-15 Mar-16 Mar-17

Dec-10 Sep-11 Dec-11 Sep-12 Dec-12 Sep-13 Dec-13 Sep-14 Dec-14 Sep-15 Dec-15 Sep-16 Dec-16 Source: UAE Central Bank; loan growth gross of provisions UAE banking market (AED Bn) GCC banking market

Banking Assets Assets USD Bn % GDP(3) Gross Loans 304 1287 1591 (1) UAE 723 168

KSA 609 63 Deposits 320 1269 1589 Financial & Operating & Operating Financial Performance Qatar 359 211

Kuwait 226 214 Assets 456 2198 2654 Bahrain(2) Strategy 57 169

Oman 80 Emirates NBD Other Banks Total 102

Source: UAE Central Bank Statistics and ENBD as at June 2017 1) Includes Foreign Banks; 2) Excludes Foreign Banks; 3) GDP data is for FY 2017 forecasted. KSA as at July 2017; UAE, Qatar, Kuwait and Oman as at June 2017; Bahrain as at April 2017.

Appendix Source: UAE Central Bank; National Central Banks and Emirates NBD forecasts. 8

Emirates NBD at a glance

A leading bank in the region Largest branch network in the UAE

• Market share in the UAE (as at 30 June 2017) Dubai 101 Ras al-Khaimah (5) Abu Dhabi 27 Operating Operating Environment - Assets 17.2%; Loans 19.1%; Deposits 20.1% Sharjah 18 Umm al-Quwain (2) Fujairah (2) Other Emirates 11 Ajman (2) • Leading retail banking franchise in the UAE with the largest Total 157 Dubai (101) distribution network, complemented by a best-in-class mobile and Sharjah (18) online banking platform

• Fully fledged financial services offerings across retail banking, private banking, wholesale banking, global markets & trading, investment banking, brokerage, asset management, Abu Dhabi (27)

merchant acquiring and cards processing Emirates NBD Profile NBD Emirates

Credit ratings International presence

Long Term / Most Recent Short Term Outlook Rating Action

Ratings affirmed A+ / F1 Stable

(22-Feb-2017) Financial & Operating & Operating Financial Performance Issuer In-Depth A3 / P-2 Stable (26 July 2017)

Strategy LT FCR and FSR A+ / A1 Stable Branch upgraded (12-Oct-16) Rep office

Egypt (64 branches) Appendix 9

Emirates NBD is the regional leader in digital innovation

2012 2015 Introduced Introduced New Direct Remit to ENBD Pay Dynamic IVR Pakistan Remit to Pak in just 60 secs NFC based mobile contactless payment service

Operating Operating Environment Introduced Inaugurated Started Direct Remit to FutureLab multichannel CRM Philippines Pepper Robot foundation and Remit to Phil in mePay Mobile Banking vision 2013 cardless cash just 60 secs Introduced withdrawal Get Queuing Ticket Introduced For the first time in Introduced Introduced Direct Remit 2 st the region 1 Generation of IPO Subscription Mobile Cash 2017 Mobile Banking App through ATM, Online Remit cash to any and Mobile Indian Mobile number Introduced Digital Bank Introduced Remote Cheque for Millennials The new ITM Deposit for the first Investment Portfolio The First video based Emirates NBD Profile NBD Emirates Introduced time outside of US Widgets on Mobile interactive teller machine mePay and Canada Banking ICCS Collect in MENA Introduced P2P money digital warehousing transfer service for and processing of cheques Emirates NBD Customers IVR for SME Introduced Introduced Direct Remit 2 Mobile Direct Remit to Remit to India Introduced Egypt Remit to Egypt Mobile number in in just 60 secs CRM Cockpit app 2014 Direct Remit to India just 60 secs smart, paperless and Remit to India in just instant banking 60 secs Introduced Introduced Direct Remit to Sri Introduced Social Banking Lanka Remit to SL Introduced Western Union Twitter inquiry service for in just 60 secs Introduced FaceBanking Transfers through the first time in MENA Shake n’ Save video banking facility mobile banking for allows to talk to an 4.5/5 the first time in the The First Mobile 2016 Savings product advisor for assistance

Financial & Operating & Operating Financial Performance region (Avg. Rating) in the region

Introduced InstaLoan th best app The first instant paperless Strategy worldwide loan disbursal in MENA 6 (as ranked

by Forrester) Best Digital Bank in the Middle East Appendix 10

Emirates NBD is one of the largest banks in the GCC

x% 2016 vs. 2015

Operating Income Net Profit * Loans Total Deposits Operating Operating Environment USD Bn, 2016 USD Bn, 2016 USD Bn, 2016 USD Bn, 2016

6.3 45% 3.4 10% 143 34% 139 28%

4.9 7%

6% 2.5 3% 79 85 8% Emirates NBD Profile NBD Emirates

4.1 11% 1% 2.2 14% 68 84 (2%)

4.0 (3%) 2.0 2% 60 7% 73 6%

Financial & Operating & Operating Financial Performance 2.9 2% (3%) 1.6 0% 55 69 8%

Strategy 2% 1.4 (0%) 2.6 1% 44 46 0%

Appendix * Net Income to Equity Shareholders 11

Profit and Balance Sheet Growth in Recent Years

Revenues and Costs (AED Bn) Profits (AED Bn)

Revenues Costs Pre-Provision Operating Profits Net Profits Operating Operating Environment +10% +11% +7% 15.2 4.9 10.5 +30% 7.2 14.4 14.7 4.7 10.1 9.9 7.1 4.2 4.4 11.9 3.8 10.2 2.4 7.7 5.1 7.4 7.7 7.1 2.5 6.5 5.1 5.2 4.7 3.8 3.5 -3% 2.3 2.3 -9% +5% 6.3 7.5 1.9 2.3 5.2 3.9 5.0 4.0 0% 3.3 2.8 3.2 2.6 7.6 7.7 2.5 1.4 5.2 5.5 7.0 1.9 1.9 2.1 2.2 4.9 5.3 5.2 1.3 3.3 3.7 3.3 3.6 1.8 2.3 Emirates NBD Profile NBD Emirates 1.3 2012 2013 2014 2015 2016 H1 17 2012 2013 2014 2015 2016 H1 2012 2013 2014 2015 2016 H1 2012 2013 2014 2015 2016 H1 17 17 17

Assets and Loans (AED Bn) Deposits and Equity (AED Bn)

Assets Loans Deposits Equity

+10% +10% +7% +12% +2% +5% 448 456 290 304 311 320 48 50 Financial & Operating & Operating Financial Performance 407 271 287 +3% 45 +3% 363 238 246 258 41 342 218 240 35

308 214 31 Strategy

2012 2013 2014 2015 2016 H1 17 2012 2013 2014 2015 2016 H1 17 2012 2013 2014 2015 2016 H1 17 2012 2013 2014 2015 2016 H1 17

Equity is Tangible Shareholder’s Equity excluding Goodwill and Intangibles. All P&L numbers are YTD, all Balance Sheet numbers are at end of period

Appendix Source: Financial Statements 12

Emirates NBD delivered a strong set of results in H1-17 amidst an uncertain environment H1 2017 at a glance 2017 Macro themes

Operating Operating Environment H1 2017 vs. Regional Global 2017 guidance • Resilience of UAE • Emirates NBD’s Profitability Net profit AED 3.89 Bn economy balance sheet +5% y-o-y underpinned by positioned to benefit non-oil activity from rising interest growth rates Net interest 2.41% 2.35 – 2.45% + margin • Robust business • Improved banking

Emirates NBD Profile NBD Emirates sentiment system liquidity to Cost-to-income 30.2% 33% support private ratio • Improving liquidity sector growth Credit Quality NPL ratio 6.1%  • Impact on GCC of • Potential Euro area Coverage ratio 123.5%  prolonged standoff volatility from with Qatar implementation of Capital & Tier 1 ratio 18.3% Brexit and key Liquidity • Strong dollar government impact on Dubai elections Capital adequacy 20.7% tourism

Financial & Operating & Operating Financial Performance ratio - • Tensions in the Korean Peninsula AD ratio 95.0% 90-100%

Strategy LCR ratio 157.3%

Assets Net Loan growth 5% ytd mid-single digit Appendix 13

H1-17 Financial Results Highlights

Highlights Key Performance Indicators

Operating Operating Environment Better / Better / AED Mn H1-17 H1-16 H2-16 • Net profit of AED 3,894 Mn for H1-17 improved 5% (Worse) (Worse) y-o-y Net interest income 5,185 5,099 2% 5,012 3% • Net interest income improved 2% y-o-y as loan Non-interest income 2,268 2,572 (12%) 2,065 10% growth more than offset NIM contraction Total income 7,453 7,671 (3%) 7,077 5% • Non-interest income declined 12% y-o-y due to Operating expenses (2,253) (2,476) 9% (2,412) 7% lower one-off gains from the sale of investment Pre-impairment securities. Non-interest income improved 10% 5,201 5,195 0% 4,665 11% operating profit

Emirates NBD Profile NBD Emirates compared to H2-16 as the earlier period was impacted by the devaluation of the Egyptian Pound Impairment allowances (1,260) (1,456) 13% (1,152) (9%) Operating profit 3,940 3,739 5% 3,513 12% • Costs improved 9% y-o-y as cost control measures Share of profits from introduced in 2016 have taken effect. This gives 12 61 (80%) 74 (83%) Emirates NBD headroom as we embark on a multi- associates year planned investment in our digital offering and Taxation charge (58) (82) 29% (66) 12% a technology refresh Net profit 3,894 3,718 5% 3,521 11% • Provisions of AED 1,260 Mn improved 13% y-o-y Cost: income ratio (%) 30.2% 32.3% 2.1% 34.1% 3.9% as cost of risk continues to normalize on the back Net interest margin (%) 2.41% 2.58% (0.17%) 2.37% 0.04% of improving asset quality metrics • NPL ratio improved to 6.1% and coverage ratio AED Bn 30-Jun-17 30-Jun-16 % 31-Dec-16 % Financial & Operating & Operating Financial Performance strengthened to 123.5% • Liquidity Coverage Ratio (LCR) of 157.3% and AD Total assets 456.2 425.8 7% 448.0 2% ratio of 95% demonstrates healthy liquidity position Loans 304.0 286.0 6% 290.4 5%

Strategy • NIMs widened since the beginning of the year as Deposits 319.9 297.6 7% 310.8 3% loans reset at higher EIBOR rates and Deposit and Wholesale funding costs receded on improved AD ratio (%) 95.0% 96.1% 1.1% 93.4% (1.6%)

liquidity NPL ratio (%) 6.1% 6.6% 0.5% 6.4% 0.3% Appendix 14

Q2-17 Financial Results Highlights

Highlights Key Performance Indicators

Operating Operating Environment Better / Better / AED Mn Q2-17 Q2-16 Q1-17 • Net profit of AED 2,021 Mn for Q2-17 increased 8% (Worse) (Worse) q-o-q and 6% y-o-y Net interest income 2,699 2,544 6% 2,486 9% • Net interest income improved 6% y-o-y as loan Non-interest income 1,137 1,221 (7%) 1,131 0% growth and higher EIBORs offset NIM contraction. Net interest income improved 9% q-o-q due to loan Total income 3,836 3,766 2% 3,617 6% growth coupled with an improvement in NIMs Operating expenses (1,136) (1,226) 7% (1,116) (2%) Pre-impairment • Non-interest income declined 7% y-o-y due to lower 2,699 2,540 6% 2,501 8% operating profit

Emirates NBD Profile NBD Emirates gains from sale of investment securities in Q2-16 Impairment allowances (621) (626) 1% (639) 3% • Costs improved 7% y-o-y as cost control measures Operating profit 2,078 1,914 9% 1,862 12% introduced in 2016 have taken effect Share of profits from (26) 34 (176%) 39 (168%) • Provisions of AED 621 Mn improved 1% y-o-y and associates 3% q-o-q as cost of risk continues to normalize on Taxation charge (31) (38) 17% (27) (14%) the back of improving asset quality metrics Net profit 2,021 1,910 6% 1,873 8% • NPL ratio improved to 6.1% and coverage ratio strengthened to 123.5% Cost: income ratio (%) 29.6% 32.6% 3.0% 30.9% 1.3% • Liquidity Coverage Ratio (LCR) of 157.3% and AD Net interest margin (%) 2.49% 2.55% (0.06%) 2.33% 0.16% ratio of 95% demonstrates healthy liquidity position AED Bn 30-Jun-17 31-Dec-16 % 31-Mar-17 % Financial & Operating & Operating Financial Performance • NIMs widened since the beginning of the year as loans reset at higher EIBOR rates and Deposit and Total assets 456.2 448.0 2% 452.0 1% Wholesale funding costs receded on improved liquidity Loans 304.0 290.4 5% 295.3 3%

Strategy Deposits 319.9 310.8 3% 319.2 0% AD ratio (%) 95.0% 93.4% (1.6%) 92.5% (2.5%)

NPL ratio (%) 6.1% 6.4% 0.3% 6.3% 0.2% Appendix 15

Net Interest Income

Highlights Net Interest Margin (%)

2.91 2.90 Operating Operating Environment • NIMs improved 16 bps q-o-q as rate rises flowed into loan 2.85 yields and funding pressures receded. NIMs tightened 17 2.83 2.80 2.90 bps y-o-y on higher funding costs 2.85 2.82 2.62 • Loan yields improved 8 bps q-o-q as loans reset at higher 2.76 2.75 2.58 rates due to the recent rise in interest rates and were flat 2.62 2.54 2.51 y-o-y 2.49 2.55 2.44 • Contribution from both Deposits and Treasury have 2.33 improved as impact from higher funding costs eased 2.29

Emirates NBD Profile NBD Emirates 2.41 • We expect some further improvement in NIMs in subsequent quarters as the effect of recent rate rises flow through Q414 Q115 Q215 Q315 Q415 Q116 Q216 Q316 Q416 Q117 Q2 17 • NIM guidance is maintained at the 2.35-2.45% range Qtrly NIM YTD NIM

Net Interest Margin Drivers (%)

Q2-17 vs. Q1-17 H1-17 vs. H1-16 2.49 2.58 (0.01) Financial & Operating & Operating Financial Performance 0.04 0.03 (0.09)

2.33 0.08 (0.07) 2.41 Strategy

Q1 17 Loan Yield Deposit Treasury Q2 17 H1-16 Loan Yield Deposit Cost Treasury H1-17

Cost & Other & Other Appendix 16

Non-Interest Income

Highlights Composition of Non Interest Income (AED Mn)

Better / Better /

Operating Operating Environment • Core gross fee income declined 2% y-o-y and AED Mn Q2-17 Q2-16 Q1-17 (Worse) (Worse) 7% q-o-q on lower income from foreign exchange and derivatives partly due to fewer Core gross fee income 1,283 1,313 (2%) 1,373 (7%) working days and from increased volatility in Fees & commission (236) (221) (7%) (232) (2%) global FX trading markets expense • Income from property declined 23% y-o-y on Core fee income 1,047 1,091 (4%) 1,141 (8%) lower demand for property sales and improved Property income / (loss) 23 30 (23%) (109) 121% 121% q-o-q due to a downward revaluation of Investment securities & illiquid inventory in Q1-17 67 100 (33%) 100 (33%) Emirates NBD Profile NBD Emirates other income • Investment securities & other income was 33% Total Non Interest Income 1,137 1,221 (7%) 1,131 0% lower y-o-y due to the one-off gain from the sale of investment securities in Q2-16 Trend in Core Gross Fee Income (AED Mn)

-2% -7% 1,313 1,373 1,212 1,283 1,078 364 410 302 312 101 55 48 42 52 42

Financial & Operating & Operating Financial Performance 726 696 7771 749 766

168 156 160 162 174

Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Strategy Forex, Rates & Other Fee Income

Brokerage & AM fees Trade finance Appendix 17

Operating Costs and Efficiency

Highlights Cost to Income Ratio (%)

• In Q2-17, costs improved by 7% y-o-y Operating Operating Environment helped by a containment in staff costs 33.7 34.5 following cost control measures 32.6 implemented in 2016 32.0 33.1 • Cost-to-Income Ratio improved further in 32.7 32.0 32.3 30.9 Q2-17 as the 2% increase in costs was 30.2 more than offset by 6% increase in 30.9 income 29.6

Emirates NBD Profile NBD Emirates • Costs expected to be within 2017 guidance range as cost base is now right Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 sized Target CI Ratio (YTD) CI Ratio • This gives Emirates NBD headroom as we embark on a multi-year planned Cost Composition (AED Mn) investment in our digital offering and a technology refresh 1,226 1,218 1,194 1,116 1,136 +2%

819 817 737 738 732

Financial & Operating & Operating Financial Performance 98 107 89 91 97 89 1001 86 90 91 212 206 269 202 222

Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Strategy

Staff Cost Occupancy Cost Depr & Amort Other Cost Appendix 18

Credit Quality

Highlights Impaired Loan & Coverage Ratios (%)

• NPL ratio improved to 6.1% 118.5 120.8 120.1 122.5 123.5 Operating Operating Environment 111.5 113.5 • Impaired loans were steady at AED 20.2 Bn during 2017 99.6 helped by AED 696 Mn of write backs & recoveries in H1-17 76.1 66.2 • H1-17 cost of risk at 76 bps (annualized) continued to 59.8 49.4 57.5 43.4 improve as net impairment charge of AED 1,260 Mn 13.9 improved 13% y-o-y 4.3 4.0 3.6 • Coverage ratio strong at 123.5% 7.9 7.1 6.9 6.6 6.4 6.4 6.3 6.1 9.5 10.3 10.3 Emirates NBD Profile NBD Emirates • Total portfolio impairment allowances amount to AED 7.4 Bn or 3.18% of credit RWAs Q4 11 Q4 12 Q4 13 Q4 14 Q4 15 Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17

Impact of DW % Coverage ratio, excl. DW % NPL ratio Coverage ratio

Impaired Loans and Impairment Allowances (AED Bn)

Impaired Loans Impairment Allowances +1% 23.3 23.2 23.9 24.1 24.3 24.3 24.7 24.9

20.3 20.8 21.0 20.4 20.1 20.3 20.1 20.2 -1% Financial & Operating & Operating Financial Performance

18.0 18.5 18.5 18.7 19.1 19.3 14.4 14.4 14.3 14.1 13.8 14.0 13.7 13.8 17.8 17.8

0.7 0.5 0.6 0.6 0.7 0.7 0.7 0.7 0.7 0.7 0.8 0.8 0.8 0.8 0.8 0.8 5.3 0.1 5.8 5.9 5.5 0.1 5.6 0.1 5.5 0.1 5.6 0.1 5.6 0.1 4.7 4.6 5.0 4.8 5.0 4.8 4.7 4.7

0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 Strategy Q3 15 Q4 15 Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3 15 Q4 15 Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17

Core Corporate Retail Islamic Other Debt Securities Appendix 19

Capital Adequacy

Highlights Capitalisation

• In Q2-17, Tier 1 ratio improved by 0.5% to 18.3% and CAR 20.5 20.5 21.2 20.2 20.7 Operating Operating Environment increased by 0.5% to 20.7% 18.3 17.9 18.0 • Increase in Tier 1 capital from retained earning more than 18.7 17.8 offsetting modest increase in risk weighted assets 51.8 53.5 54.4 53.4 55.3 6.6 6.7 6.5 6.4 6.4

45.3 46.8 47.8 47.0 48.9

Emirates NBD Profile NBD Emirates Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 T2 T1 T1 % CAR %

Capital Movements Risk Weighted Assets – Basel II (AED Bn) AED Bn Tier 1 Tier 2 Total Capital as at 31-Dec-2016 47.8 6.5 54.4 +5% Net profits generated 3.9 - 3.9 253.5 260.6 256.2 263.8 267.1 24.1 25.7 25.7 FY 2016 dividend paid (2.2) - (2.2) 24.1 5.1 5.5 25.7 5.0 7.3 8.4

Financial & Operating & Operating Financial Performance Tier 1 Issuance/Repayment - - - 231.0 230.9 233.0 Tier 2 Issuance/Repayment - - - 224.3 225.4 Amortisation of Tier 2 - - - Interest on T1 securities (0.3) - (0.3) Strategy Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Other (0.3) (0.1) (0.4)

Capital as at 30-Jun-2017 48.9 6.4 55.3 Operational Risk Market Risk Credit Risk Appendix 20

Funding and Liquidity

Highlights Advances to Deposit (AD) Ratio (%) • Liquidity Coverage Ratio (LCR) of 157.3% and AD ratio of 118.5

95% demonstrates healthy liquidity position Operating Operating Environment • Liquid assets* of AED 63.1 Bn as at Q2-17 (15.7% of total liabilities) 105.1 • Debt & Sukuk term funding represent 10% of total liabilities 102.0 98.1 99.5 • AED 1.6 Bn of term debt maturing in remainder of 2017. In H1- 95.9 96.1 95.2 94.2 95.0 17, AED 4.8 Bn of private placements issued in 4 currencies ` 92.8 93.4 92.5 with maturities out to 10 years

Emirates NBD Profile NBD Emirates • Maturity profile for 2017 and 2018 affords the Group ability to Q4 09 Q4 10 Q4 11 Q4 12 Q4 13 Q4 14 Q4 15 Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 consider public and private debt issues opportunistically Target range AD Ratio

Composition of Liabilities/Debt Issued (%) Maturity Profile of Debt Issued (AED Bn)

Liabilities (AED 400.9 Bn) Debt/Sukuk (AED 41.6 Bn) Maturity Profile of Debt/Sukuk Issued Syn bank Banks borrow. 100% = AED 41.6 Bn 6% 2% Others Loan secur. 12.9

4% 0% Financial & Operating & Operating Financial Performance Customer Debt/Sukuk Sukuk 6.4 deposits 10% 5.9 1% 5.1 5.1 80% EMTNs 3.7 7% 1.6 Strategy 0.6 0.2 0.1 0.1

2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027

*Including cash and deposits with Central Banks but excluding interbank balances and liquid investment securities Appendix 21

Loan and Deposit Trends

Highlights Trend in Gross Loans by Type (AED Bn)

• Gross loans grew 5% in H1-17 with +6% Operating Operating Environment good growth in Corporate lending +5% • Corporate lending grew 6% in H1-17 320 329 due to growth in real estate, trade and 310 314 315 294 303 FI sectors 279 285 271 221 225 226 227 233 242 • Consumer lending grew 1% in H1-17 209 215 across a range of products, particularly 1 202 207 mortgages 30 31 33 35 35 35 27 28 29 30 • Islamic financing declined 1% in H1-17 due to a slowdown in new business as 40 43 46 48 51 54 54 53 52 52

Emirates NBD Profile NBD Emirates Emirates Islamic tightened underwriting 1 1 1 0 0 0 0 0 0 0 standards Q1 15 Q2 15 Q3 15 Q4 15 Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 • Deposits grew 3% since the start of the Corporate Consumer Islamic* Treasury/Other year and 7% y-o-y • CASA deposits grew 7% since the start of the year and represent 56% of total Trend in Deposits by Type (AED Bn) deposits +7%

312 311 319 320 +3% 287 291 298 274 269 7 7 7 8 260 7 6 7 6 6 5 133 131 113 122 133 135 99 110 99 121 Financial & Operating & Operating Financial Performance 1

157 159 164 160 172 169 172 169 179 181

Strategy Q1 15 Q2 15 Q3 15 Q4 15 Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17

Other Time CASA Appendix 22

Profit and Balance Sheet Growth in Recent Years

Total Gross Loans (AED 329 bn) Corporate Loans (AED 106 bn) Treasury/Other Cont. Corporate Trans. & com.

Operating Operating Environment Retail 7% 106 3% 35 (32%) Trade RE (11%) 0 14% 35% (0%)

Manuf. 7% 52 1% Others** (16%) 8% 136 Islamic*

Emirates NBD Profile NBD Emirates (41%) Per. - Corp. 3% 22% Sovereign Serv. Fin Inst

Retail Loans (AED 35 bn) Islamic* Loans (AED 52 bn)

Others RE 13% 19% Overdrafts Personal Personal 8% 34% 3% Fin Inst

Financial & Operating & Operating Financial Performance 49% 8% Serv. Car Loans 11% 6% 2% Others** 4% Strategy 15% 7% 16% 2% Manuf. Credit Cards 2% Trade Mortgages Cont. Time Loans Trans. & com.

* Islamic loans net of deferred income; **Others include Agriculture & allied activities and Mining & quarrying Appendix 23

Divisional Performance

• Revenues increased 7% y-o-y and declined 2% q-o-q Balance Sheet Trends Revenue Trends • In Q2-17, fee income accounted for 33% of total AED Bn +7% AED Mn RBWM revenue

Operating Operating Environment +2% -2% • Loans grew 2% across a range of products particularly 152.1 1,670 1,629 mortgages; and deposits by 7% from end 2016 141.6 1,522 625 539 • The bank continues to optimize its distribution network 583 with 580 ATMs and 94 branches as at 30-Jun-17

• RBWM enhanced its digital banking leadership by 38.7 39.4 940 1,045 1,090

Retail Banking & BankingRetail launching a new online platform featuring a rich user

Wealth ManagementWealth interface, intuitive widgets and FaceBanking (video Emirates NBD Profile NBD Emirates banking facility). In May 2017, the bank launched SkyShopper, an e-commerce platform enabling Q4-16 Q2-17 Q2 16 Q1 17 Q2 17 shopping across multiple stores from the same portal Loans Deposits NFI NII

• EI well positioned after the 2016 business review as Balance Sheet Trends Revenue Trends reflected by the 182% increase in half-year net profit AED Bn AED Mn +2% -3% • Revenues declined 3% q-o-q and declined 6% y-o-y -3% 613 599 579 • Financing receivables declined 3% from end 2016 due 171 to a slowdown in new business as EI tightened 41.1 41.8 179 182 36.5 35.5 underwriting standards

Financial & Operating & Operating Financial Performance • Customer accounts increased 2% from end 2016 as EI’s focused approach to improve liabilities mix and 442 420 397

Islamic BankingIslamic cost of funding led to a shift from expensive wakala deposits to CASA balances. As at end Jun-17, CASA Strategy represented 69% of EI’s customer deposits Q4-16 Q2-17 Q2 16 Q1 17 Q2 17 • As at 30-Jun-17, EI had 63 branches and an ATM & Financing receivables NFI NII

CDM network of 206 Customer accounts Appendix 24

Divisional Performance (cont’d)

• Wholesale Banking revenues increased 12% q-o-q Balance Sheet Trends Revenue Trends and 11% y-o-y AED Bn 0% AED Mn

Operating Operating Environment • Loans grew 7% from end 2016 due to growth in real +7% +12% estate, trade and FI sectors 225.9 211.5 1,276 • Deposits held steady from end 2016 1,146 1,142 325 • Net Interest Income grew 20% y-o-y reflecting 352 318 improved loan yields and better cost of funding as high yield deposits rolled off 100.1 99.9 950

Retail Banking & BankingRetail • Focus in 2017 on enhancing customer service quality 794 824 Wealth ManagementWealth in key sectors, share of wallet, increased cross-sell of Emirates NBD Profile NBD Emirates Treasury and Investment Banking products and larger Cash Management and Trade Finance penetration Q4-16 Q2-17 Q2 16 Q1 17 Q2 17 Loans Deposits NFI NII Revenue Trends • GM&T revenues increased 9% y-o-y and declined 26% q-o-q AED Mn -26% • NII showed strong growth due to positioning of balance sheet and higher interest rates in H1-17 175 • NFI decreased 53% q-o-q and 38% y-o-y largely due 118 129 to decline in trading and investment revenues from

Financial & Operating & Operating Financial Performance Credit Derivatives and FX Trading due to increased 168 79 volatility in regional and global markets 126

Islamic BankingIslamic • Sales revenues saw strong growth due to higher 50

volumes in FX products -7 6 Strategy • Global Funding raised AED 4.8 Bn of term debt via Q2 16 Q1 17 Q2 17 private placements

NFI NII Appendix 25

Emirates NBD’s core strategy is focused on the following building blocks Operating Operating Environment

Key Deliver an excellent customer

Objective experience (with digital being the focus) Emirates NBD Profile NBD Emirates

Strategic Run an Drive Levers Drive core efficient geographic business

organization expansion

Financial & Operating & Operating Financial Performance Strategy

Enablers Build a high performing organization Appendix 26

Highlights of strategic achievements in 2016

2016 Strategic Priorities Key Achievements

• Extend servicing of products through online, • Won Best Bank in the Middle East, Best Bank in the UAE and Best Digital 1 mobile, social channels Bank in the Middle East at the Euromoney Awards for Excellence 2016 –

Operating Operating Environment Deliver an • Reinforce ENBD’s position as a digital first bank in UAE and Middle East to win in all three categories. excellent customer innovator in the region via best-in-class • Awarded ‘Best Bank UAE - 2016’ by The Banker, second year in a row. experience online and mobile banking services • Emirates NBD’s mobile banking app crossed 400K active users and • Keep investing in new digital channels, Increased digital offerings like DirectRemit (to Sri Lanka and Egypt), products, and capabilities Emirates NBD Pay, mePay and SmartPass. 2 • Drive asset growth and cross-sell in Retail • Transformation on track with key investments in developing our non- and Islamic lending offering and services and Transaction Banking enhanced to Drive core include a host-to-host channel and a corporate cheque printing service. • Diversify wholesale banking loans portfolio business • Retail loans growth of 14%, asset growth of 10%, with consistent efforts in Emirates NBD Profile NBD Emirates • Grow fee income via improved Transaction Banking, Treasury and online offerings launching best-in-class offerings. Islamic Financing Receivables growth of 8% (ENBD Group).

3 • Optimize IT landscape to increase agility and • Healthy capital adequacy ratio at 21.2% and Tier 1 capital ratio at 18.7% enable digital banking • Advances to deposits ratio improved 0.8% to 93.4% amid tighter liquidity. Run an efficient • Streamline key processes and enhance cross- • Drove profitable growth by controlling NPLs from 7.1% to 6.4%. organization functional collaboration throughout Group • Successfully implemented new core banking system in Emirates Islamic. • Enhance risk governance and compliance controls • As part of an AED 500 mn planned digital initiatives investment in the next • Align risk appetite to strategy and use of capital three years, the bank launched Emirates NBD Future Lab™. 4 • Sustain our growth path and deepen footprint in Egypt and other offshore locations • Received a license to operate a full fledged branch in India and expect to

Financial & Operating & Operating Financial Performance Drive geographic start operations on Q3 2017. expansion • Catalyze growth in current international markets • Approval to open three additional branches in KSA. • Continue to evaluate potential organic and inorganic opportunities in selected markets Strategy 5 • Continue to drive nationalisation efforts with • National Leadership Program launched and implemented to identify and a focus on developing local leadership talent develop National leaders for the future. Build a high • Improve performance management with • High Potential Talent and High Performers identified and efforts made to performing greater recognition for high performers maintain high levels of engagement and retention. organization • Continue successful Employee Engagement • Emirates NBD engagement level in 2016 stood at 64% compared to 62% Appendix level programs for Global Commercial Banks and 53% for GCC Commercial Banks. 27

Strategic priorities for 2017

Pillars of our strategy Key focus areas

1

Operating Operating Environment Deliver an excellent • Continue to deliver superior customer experience via investing into new digital channels, products, and capabilities customer experience (with digital being the • Reinforce ENBD’s position as a digital innovator in the region via best-in-class online and mobile banking services focus) • Launching digital platform in the corporate and transaction banking to provide seamless service to corporate clients

2 • Continue cross-sell efforts in the Retail business and focus on gaining market share in all products and segments • Rebalance the Islamic franchise with a focus on delivering profitable growth Drive core business • Continue diversification of wholesale banking loans portfolio to include broader representation of sectors and segments Emirates NBD Profile NBD Emirates • Increase fee and commission income via improved Transaction Banking, Treasury and online offerings

3 • Transform the IT platform to increase agility and enable digital banking through an organization wide plan • Streamline and automate key processes while working on the end to end digitization program Run an efficient • Align risk appetite and portfolio management framework to optimize risk return matrix and focus on lowering cost of risk organization • Enhance cross-functional collaboration through alignment of KPIs and optimization of governance structures • Identify areas of further operational efficiencies (cost and process)

4 • Sustain our growth path and deepen footprint in Egypt and develop other offshore locations Drive geographic • Drive new markets and catalyze growth in current international markets by focusing on cross border trade and other

Financial & Operating & Operating Financial Performance expansion opportunities • Continue to evaluate potential organic and inorganic opportunities in selected markets

5 • Continue to drive nationalization efforts with a focus on developing local leadership talent Strategy Build a high performing • Improve performance management through people management capabilities and reward systems

organization • Keep the momentum on employee engagement through leadership commitment and impactful action plans Appendix 28

2016 & H1 2017 Selected Awards Operating Operating Environment

Best Retail Bank in the Middle East’, ‘Best Retail ‘Smart Financial Services ‘Best equity house in the Bank in UAE’ and ‘Auto Loan ‘Top banking brand in the Excellence Award’ Middle East’ Product of the Year in Asia UAE’

Pacific’ Emirates NBD Profile NBD Emirates

‘Bank of the Year – UAE Emirates NBD’s Fitness ‘Most Improved Website’ and 2016’ ‘Sector Fund of the Year’ Account recognised for ‘Best Social Media Reach’ – innovation in digital banking

Emirates Islamic Financial & Operating & Operating Financial Performance

Strategy ‘Best Digital Bank in the Middle East’, ‘Best Bank in ‘Best Prepaid Program – ‘Best Retail Customer the UAE’ and ‘Best Bank in Emirates Islamic’ ‘best Customer Experience Service’ and ‘Best Online the Middle East’ Team’

Banking Services’ Appendix 29

Large Deals Concluded in H1 2017

THE ISLAMIC REPUBLIC OF CITY LAND REAL ESTATE BANK FOR INVESTMENT AFREXIMBANK PUMA INTERNATIONAL PAKISTAN DEVELOPMENT AND DEVELOPMENT OF FINANCING S.A. VIETNAM USD 650,000,000 USD 142,741,748 USD 632,900,000 AND EUR USD 400 million 499,600,000 Operating Operating Environment USD 50,000,000

SYNDICATED TERM LOAN PROJECT FINANCE Syndicated Revolving Credit FACILITY FACILITY TERM LOAN FACILITY DUAL TRANCHE TERM Facility June 2017 June 2017 June 2017 LOAN FACILITY May 2017 May 2017 Mandated Lead Arranger and Mandated Lead Arranger and Mandated Lead Arranger and Mandated Lead Arranger and Bookrunner Sole Coordinator Sole Coordinator Initial Mandated Lead Bookrunner

Arranger and Bookrunner Emirates NBD Profile NBD Emirates

ZIRAAT KATILIM BANKASI JUMEIRAH GROUP LLC T.C. ZIRAAT BANKASI .A.S. ALBARAKA TURK KATILIM TURKIYE VAKIFLAR .A.S. BANKASI BANKASI T.A.O. USD 160,000,000 AND EUR USD 1,450,000,000 USD 278,000,000 AND EUR USD 213,000,000 USD 188,500,000 AND EUR 69,000,000 706,500,000 716,500,000

DUAL CURRENCY TERM DUAL CURRENCY CONVENTIONAL AND LOAN FACILITY DUAL CURRENCY TERM

SYNDICATED MURABAHA MURABAHA FACILITIES SYNDICATED MURABAHA LOAN FACILITY Financial & Operating & Operating Financial Performance FACILITY April 2017 FINANCING FACILITY April 2017 May 2017 May 2017 April 2017 Mandated Lead Arranger and Mandated Lead Arranger and Mandated Lead Arranger and Mandated Lead Arranger and Bookrunner, Joint- Initial Mandated Lead Bookrunner, Joint- Bookrunner BookrunnerAgent Coordinator and Publicity Arranger and Bookrunner Coordinator and Publicity

Agent Agent Strategy

Appendix As of end June 2017 Investor Relations

PO Box 777

Emirates NBD Head Office, 4th Floor

Dubai, UAE Tel: +971 4 201 2606 Email: [email protected]