Pil ar 3 quarterly report

Transcription

1 Pillar 3 quarterly report 1 Name of a bank 2 Chairman of the Supervisory Board Ilir I. Aliu 3 CFO of a bank David Gabelashvili 4 Bank's web page Senior management of the bank ensures fair presentation and accuracy of the information provided within Pillar 3 disclosure report. The report is prepared in accordance with internal review and control processes coordinated with the board. The report meets the requirements of the decree N92/04 of the Governor of the National Bank of Georgia on Disclosure requirements for commercial banks within Pillar 3 and other relevant decrees and regulations of NBG. Table N Table of contents 1 Key ratios 2 Balance Sheet 3 Income statement 4 Off-balance sheet 5 Risk-Weighted Assets (RWA) 6 Information about supervisory board, senior management and shareholders 7 Linkages between financial statement assets and balance sheet items subject to credit risk weighting 8 Differences between carrying values of balance sheet items and exposure amounts subject to credit risk weighting 9 Regulatory Capital 9.1 Capital Adequacy Requirements 10 Reconciliation of regulatory capital to balance sheet 11 Credit risk weighted exposures 12 Credit risk mitigation 13 Standardized approach - effect of credit risk mitigation 14 Liquidity Coverage Ratio 15 Counterparty credit risk

2 Table 1 Key metrics N 30-Sep Jun Mar Dec Sep-17 Regulatory capital (amounts, GEL) Based on Basel III framework 1 Common Equity Tier 1 (CET1) 162,771, ,457, ,007, ,795, ,493,368 2 Tier 1 162,771, ,457, ,007, ,795, ,493,368 3 Total regulatory capital 223,305, ,596, ,229, ,192, ,449,415 Risk-weighted assets (amounts, GEL) 4 Risk-weighted assets (RWA) (Based on Basel III framework) 1,246,086,716 1,143,607,669 1,109,187,542 1,187,966,918 1,445,514,379 Capital ratios as a percentage of RWA Based on Basel III framework 5 Common equity Tier 1 ratio ( 7.0 %) ** 13% 16% 16% 14% 11% 6 Tier 1 ratio ( 8.5 %) ** 13% 16% 16% 14% 11% 7 Total regulatory capital ratio ( 10.5 %) ** 18% 20% 20% 18% 15% Income 8 Total Interest Income /Average Annual Assets 7% 7% 7% 6% 6% 9 Total Interest Expense / Average Annual Assets 2% 2% 2% 2% 2% 10 Earnings from Operations / Average Annual Assets 3% 2% 3% 2% 2% 11 Net Interest Margin 4% 4% 4% 4% 4% 12 Return on Average Assets (ROAA) 2% 2% 3% 2% 1% 13 Return on Average Equity (ROAE) 16% 17% 18% 11% 10% Asset Quality 14 Non Performed Loans / Total Loans 3% 2% 3% 3% 3% 15 LLR/Total Loans 3% 3% 3% 3% 4% 16 FX Loans/Total Loans 78% 79% 79% 80% 80% 17 FX Assets/Total Assets 74% 71% 72% 74% 72% 18 Loan Growth-YTD 0% -5% -7% 15% 7% Liquidity 19 Liquid Assets/Total Assets 25% 20% 20% 21% 22% 20 FX Liabilities/Total Liabilities 85% 85% 86% 87% 85% 21 Current & Demand Deposits/Total Assets 27% 29% 29% 31% 33% Liquidity Coverage Ratio*** 22 Total HQLA 302,901, ,617, ,001, ,201, Net cash outflow 157,168, ,542, ,896, ,086, LCR ratio (%) 193% 153% 125% 136% ** These includes Minimum capital requirements (4.5%, 6%, 8%) and Capital Conservation Buffer (2.5%) according to article 8 of the regulation on Capital Adequacy Requirements for Commercial Banks. *** LCR calculated according to NBG's methodology which is more focused on local risks than Basel framework. See the table 14. LCR; Commercial banks are required to comply with the limits by coefficients calculated according to NBG's methodology. The numbers calculated within Basel framework are given for illustratory purposes.

3 Table 2 Balance Sheet in Lari Reporting Period Respective period of the previous year N Assets GEL FX Total GEL FX Total 1 Cash 23,533,805 28,807,298 52,341,103 26,043,347 28,652,060 54,695,408 2 Due from NBG 6,587, ,388, ,976,322 16,566, ,089, ,656,512 3 Due from Banks 28,020,555 71,988, ,009,497 24,169,066 41,280,918 65,449,983 4 Dealing Securities Investment Securities 12,742, ,742,749 13,739, ,739, Loans 223,327, ,377,169 1,009,704, ,444, ,471, ,915, Less: Loan Loss Reserves -6,222,430-26,686,666-32,909,097-5,029,112-28,446,150-33,475,261 6 Net Loans 217,105, ,690, ,795, ,415, ,025, ,440,678 7 Accrued Interest and Dividends Receivable 1,498,955 3,814,228 5,313,184 1,310,241 3,422,510 4,732,750 8 Other Real Estate Owned & Repossessed Assets 0 X 0 0 X 0 9 Equity Investments 6,298,572 50,005 6,348,577 6,298,572 48,266 6,346, Fixed Assets and Intangible Assets 64,237,289 X 64,237,289 72,640,866 X 72,640, Other Assets 8,224,895 6,664,644 14,889,538 9,618,418 7,848,070 17,466, Total assets 368,250,010 1,040,403,962 1,408,653, ,801, ,367,112 1,270,168,764 Liabilities 13 Due to Banks 0 140,849, ,849, ,200 59,966,671 60,711, Current (Accounts) Deposits 85,293, ,708, ,001,489 88,047, ,243, ,290, Demand Deposits 42,327, ,170, ,497,873 44,678, ,484, ,162, Time Deposits 21,646, ,776, ,422,632 24,435, ,136, ,572, Own Debt Securities Borrowings 30,614, ,161, ,775, ,313, ,313, Accrued Interest and Dividends Payable 863,676 8,079,031 8,942, ,671 8,726,787 9,623, Other Liabilities 10,315,412 8,089,955 18,405,368 9,310,299 11,230,841 20,541, Subordinated Debentures 0 80,530,500 80,530, ,917,500 61,917, Total liabilities 191,060,232 1,047,365,273 1,238,425, ,113, ,018,921 1,098,132,386 Equity Capital 23 Common Stock 88,914,815 X 88,914,815 88,914,815 X 88,914, Preferred Stock 0 X 0 0 X 0 25 Less: Repurchased Shares 0 X 0 0 X 0 26 Share Premium 36,388,151 X 36,388,151 36,388,151 X 36,388, General Reserves 0 X 0 0 X 0 28 Retained Earnings 44,925,500 X 44,925,500 46,733,412 X 46,733, Asset Revaluation Reserves 0 X 0 0 X 0 30 Total Equity Capital 170,228,466 X 170,228, ,036,378 X 172,036, Total liabilities and Equity Capital 361,288,699 1,047,365,273 1,408,653, ,149, ,018,921 1,270,168,764

4 Table 3 Income statement in Lari N Reporting Period Respective period of the previous year N GEL FX Total GEL FX Total Interest Income 1 Interest Income from Bank's "Nostro" and Deposit Accounts 1,502, ,015 2,066,386 2,322, ,153 2,573,242 2 Interest Income from Loans 16,957,814 42,704,662 59,662,476 13,434,489 42,029,677 55,464, from the Interbank Loans 332, , , , from the Retail or Service Sector Loans 12,493,265 28,238,437 40,731,703 9,474,243 28,462,051 37,936, from the Energy Sector Loans 24,987 77, , ,499 61, from the Agriculture and Forestry Sector Loans 425,434 1,253,717 1,679, , ,124 1,113, from the Construction Sector Loans 1,413,147 1,910,476 3,323, ,234 1,356,458 1,846, from the Mining and Mineral Processing Sector Loans 113, , , , , , from the Transportation or Communications Sector Loans 223, ,562 1,059, , ,418 1,003, from Individuals Loans 1,160,133 7,456,102 8,616,235 1,680,593 7,415,372 9,095, from Other Sectors Loans 771,599 2,114,214 2,885, ,845 2,516,792 3,167,637 3 Fees/penalties income from loans to customers 182, , , , , ,829 4 Interest and Discount Income from Securities 939, ,947 1,373,107-1,373,107 5 Other Interest Income Total Interest Income 19,582,644 43,714,803 63,297,447 17,308,371 42,895,972 60,204,343 Interest Expense 7 Interest Paid on Demand Deposits 1,339,655 1,369,015 2,708,670 1,323,059 2,139,564 3,462,623 8 Interest Paid on Time Deposits 1,421,671 4,017,131 5,438,801 1,831,369 5,277,347 7,108,716 9 Interest Paid on Banks Deposits 3,121 2,416,820 2,419, ,748 79, Interest Paid on Own Debt Securities Interest Paid on Other Borrowings 168,175 12,339,200 12,507,375-12,348,760 12,348, Other Interest Expenses Total Interest Expense 2,932,622 20,142,166 23,074,787 3,154,619 19,845,420 23,000, Net Interest Income 16,650,022 23,572,637 40,222,660 14,153,753 23,050,552 37,204,305 Non-Interest Income 15 Net Fee and Commission Income (198,882) 2,704,303 2,505,422 (707,021) 2,275,847 1,568, Fee and Commission Income 4,191,772 3,881,192 8,072,963 3,458,835 3,797,145 7,255, Fee and Commission Expense 4,390,654 1,176,888 5,567,542 4,165,856 1,521,298 5,687, Dividend Income - 11,234 11,234-11,252 11, Gain (Loss) from Dealing Securities Gain (Loss) from Investment Securities Gain (Loss) from Foreign Exchange Trading 4,603,433 4,603,433 7,426,101 7,426, Gain (Loss) from Foreign Exchange Translation 871, ,657 (4,134,333) (4,134,333) 21 Gain (Loss) on Sales of Fixed Assets 182, ,113 1,222,382 1,222, Non-Interest Income from other Banking Operations 1,291, ,825 1,660,320 1,150, ,086 1,622, Other Non-Interest Income 762, , , ,127 84, , Total Non-Interest Income 7,512,296 3,213,798 10,726,094 5,283,877 2,843,939 8,127,816 Non-Interest Expenses 25 Non-Interest Expenses from other Banking Operations 1,513,726 3,584,443 5,098,168 2,431,459 3,169,852 5,601, Bank Development, Consultation and Marketing Expenses 2,204,273 1,710,252 3,914,525 2,395,402 1,127,645 3,523, Personnel Expenses 9,753,761 9,753,761 11,264,250 11,264, Operating Costs of Fixed Assets 165, , , , Depreciation Expense 3,593,389 3,593,389 4,714,074 4,714, Other Non-Interest Expenses 2,779,966 4,541 2,784,507 3,170,695 15,337 3,186, Total Non-Interest Expenses 20,010,913 5,299,236 25,310,149 24,105,293 4,312,834 28,418, Net Non-Interest Income (12,498,618) (2,085,437) (14,584,055) (18,821,416) (1,468,895) (20,290,312) 33 Net Income before Provisions 4,151,405 21,487,200 25,638,605 (4,667,664) 21,581,657 16,913, Loan Loss Reserve (305,301) X (305,301) 2,540,486 X 2,540, Provision for Possible Losses on Investments and Securities - X - - X - 36 Provision for Possible Losses on Other Assets 727 X 727 (1,251,598) X (1,251,598) 37 Total Provisions for Possible Losses (304,574) - (304,574) 1,288,888-1,288, Net Income before Taxes and Extraordinary Items 4,455,979 21,487,200 25,943,179 (5,956,552) 21,581,657 15,625, Taxation 3,755,327 3,755,327 1,810,676 1,810, Net Income after Taxation 700,651 21,487,200 22,187,851 (7,767,228) 21,581,657 13,814, Extraordinary Items - - (101,746) (101,746) 42 Net Income 700,651 21,487,200 22,187,851 (7,868,974) 21,581,657 13,712,683

5 Table 4 N On-balance sheet items per standardized regulatory report in Lari Reporting Period Respective period of the previous year GEL FX Total GEL FX Total 1 Contingent Liabilities and Commitments 34,334,598 27,638,744 61,973,342 28,695,212 49,085,028 77,780, Guarantees Issued 19,886,961 14,540,467 34,427,428 16,924,081 23,623,298 40,547, Letters of credit Issued , , Undrawn loan commitments 14,447,637 13,098,277 27,545,914 11,771,131 24,859,234 36,630, Other Contingent Liabilities 0 17,783 17, ,842 16,842 2 Guarantees received as security for liabilities of the bank 30,614, ,495, ,109, ,015, ,015,335 3 Assets pledged as security for liabilities of the bank 2,373, ,373,000 6,393, ,393, Financial assets of the bank 2,373, ,373,000 6,393, ,393, Non-financial assets of the bank Guaratees received as security for receivables of the bank 95,351, ,927, ,278,790 42,221, ,887, ,109, Surety, joint liability 64,736, ,432, ,168,816 42,221, ,871, ,093, Guarantees Assets pledged as security for receivables of the bank 272,133,936 1,048,152,675 1,320,286, ,430,298 1,006,639,678 1,265,069, Cash 3,815,281 6,797,667 10,612,948 3,096,925 8,612,460 11,709, Precious metals and stones Real Estate: 227,105, ,428,459 1,221,533, ,061, ,486,113 1,181,547, Residential Property 69,731, ,557, ,289,364 81,839, ,221, ,060, Commercial Property 100,615, ,646, ,261,607 98,469, ,051, ,520, Complex Real Estate Land Parcel 56,758, ,149, ,907,316 41,485, ,151, ,637, Other 0 1,075,432 1,075, ,759 1,061,891 1,328, Movable Property 30,039,464 44,372,930 74,412,394 22,573,421 37,048,802 59,622, Shares Pledged 0 452, ,418 38,316 1,081,405 1,119, Securities 8,430, ,430,896 10,030, ,030, Other 2,743,035 2,101,201 4,844, , ,898 1,040,297 6 Derivatives 0 30,422,228 30,422, ,813, ,813, Receivables through FX contracts (except options) 15,269,228 15,269,228 58,504,000 58,504, Payables through FX contracts (except options) 15,153,000 15,153,000 59,309,411 59,309, Principal of interest rate contracts (except options) Options sold Options purchased Nominal value of potential receivables through other derivatives Nominal value of potential payables through other derivatives Receivables not recognized on-balance Principal of receivables derecognized during last 3 month 401, ,266 1,197, ,746 3,370,469 3,488, Interest and penalty receivable not recognized on-balance or derecognized during last 3 month 166, , ,468 57, , , Principal of receivables derecognized during 5 years month (including last 3 month) 6,426,211 34,547,052 40,973,263 7,390,349 32,789,282 40,179, Interest and penalty receivable not recognized on-balance or derecognized during last 5 years (including last 3 month) 2,292,981 11,119,111 13,412,093 2,636,346 11,495,455 14,131,801 8 Non-cancelable operating lease 4, , , , ,325 1,062, Through indefinit term agreement Within one year 4, , ,512 4, , , From 1 to 2 years 0 320, , From 2 to 3 years From 3 to 4 years From 4 to 5 years More than 5 years Capital expenditure commitment 0 0

6 Table 5 Risk Weighted Assets in Lari N 30-Sep Jun-18 1 Risk Weighted Assets for Credit Risk 1,076,992, ,459, Balance sheet items 1,039,745, ,186, Including: amounts below the thresholds for deduction (subject to 250% risk weight) 1.2 Off-balance sheet items 37,186,136 41,170, Counterparty credit risk 61, ,733 2 Risk Weighted Assets for Market Risk 20,132,419 13,186,161 3 Risk Weighted Assets for Operational Risk 148,961, ,961,725 4 Total Risk Weighted Assets 1,246,086,716 1,143,607,669

7 Table 6 Information about supervisory board, directorate, beneficiary owners and shareholders Members of Supervisory Board 1 Ilir I. Aliu 2 Jovanka Joleska Popovska 3 Sandrine Massiani 4 Wolfgang Bertelsmeier 5 Marcel Zeitinger 1 Ketevan Khuskivadze 2 Alex Matua 3 David Gabelashvili 4 Natia Tkhilaishvili Members of Board of Directors List of Shareholders owning 1% and more of issued capital, indicating Shares 1 ProCredit Holding AG & Co. KGaA 100% List of bank beneficiaries indicating names of direct or indirect holders of 5% or more of shares 1 Zeitinger Invest GmbH 17.0% 2 KfW - Kreditanstalt für Wiederaufbau 13.2% 3 DOEN Foundation 12.5% 4 IFC - International Finance Corporation 10.0% 5 TIAA-CREF - Teachers Insurance and Annuity Association 8.6%

8 Table 7 Linkages between financial statement assets and balance sheet items subject to credit risk weighting a b c Carrying values of items Account name of standardazed supervisory balance sheet item Carrying values as reported in published stand-alone financial Not subject to capital statements per local accounting requirements or subject rules to deduction from capital Subject to credit risk weighting 1 Cash 52,341,103 52,341,103 2 Due from NBG 175,976, ,976,322 3 Due from Banks 100,009, ,009,497 4 Dealing Securities 0 5 Investment Securities 12,742,749 12,742, Loans 1,009,704,809 1,009,704, Less: Loan Loss Reserves -32,909,097-32,909,097 6 Net Loans 976,795, ,795,712 7 Accrued Interest and Dividends Receivable 5,313,184 5,313,184 8 Other Real Estate Owned & Repossessed Assets 0 9 Equity Investments 6,348,577 6,194, , Fixed Assets and Intangible Assets 64,237,289 1,262,572 62,974, Other Assets 14,889,538 14,889,538 Total exposures subject to credit risk weighting before adjustments 1,408,653,971 7,457,144 1,401,196,827

9 Table 8 Differences between carrying values per standardized balance sheet used for regulatory reporting purposes and the exposure amounts u in Lari 1 Total carrying value of balance sheet items subject to credit risk weighting before adjustments 1,401,196, Nominal values of off-balance sheet items subject to credit risk weighting 61,966, Nominal values of off-balance sheet items subject to counterparty credit risk weighting 15,269,228 3 Total nominal values of on-balance and off-balance sheet items before any adjustments used for credit risk weighting purposes 1,478,432,849 4 Effect of provisioning rules used for capital adequacy purposes 19,081, Effect of credit conversion factor of off-balance sheet items related to credit risk framework -19,383, Effect of credit conversion factor of off-balance sheet items related to counterparty credit risk framework (table CCR) -14,963,843 6 Effect of other adjustments 7 Total exposures subject to credit risk weighting 1,463,166,335

10 Table 9 Regulatory capital N in Lari 1 Common Equity Tier 1 capital before regulatory adjustments 170,228,466 2 Common shares that comply with the criteria for Common Equity Tier 1 88,914,815 3 Stock surplus (share premium) of common share that meets the criteria of Common Equity Tier 1 36,388,151 4 Accumulated other comprehensive income 0 5 Other disclosed reserves 0 6 Retained earnings (loss) 44,925,500 7 Regulatory Adjustments of Common Equity Tier 1 capital 7,457,144 8 Revaluation reserves on assets 0 9 Accumulated unrealized revaluation gains on assets through profit and loss to the extent that they exceed accumulated unrealized revaluation losses through profit 0 and loss 10 Intangible assets 1,262, Shortfall of the stock of provisions to the provisions based on the Asset Classification 0 12 Investments in own shares 0 13 Reciprocal cross holdings in the capital of commercial banks, insurance entities and other financial institutions 0 14 Cash flow hedge reserve 0 15 Deferred tax assets not subject to the threshold deduction (net of related tax liability) 0 16 Significant investments in the common equity tier 1 capital (that are not common shares) of commercial banks, insurance entities and other financial institutions that 0 are outside the scope of regulatory consolidation 17 Holdings of equity and other participations constituting more than 10% of the share capital of other commercial entities 6,194, Significant investments in the common shares of commercial banks, insurance entities and other financial institutions (amount above 10% limit) 0 19 Investments in the capital of commercial banks, insurance entities and other financial institutions where the bank does not own more than 10% of the issued share 0 capital (amount above 10% limit) 20 Deferred tax assets arising from temporary differences (amount above 10% threshold, net of related tax liability) 0 21 The amount of significant Investments and Deferred Tax Assets which exceed 15% of common equity tier Regulatory adjustments applied to Common Equity Tier 1 resulting from shortfall of Tier 1 and Tier 2 capital to deduct investments 0 23 Common Equity Tier 1 162,771, Additional tier 1 capital before regulatory adjustments 0 25 Instruments that comply with the criteria for Additional tier 1 capital 0 26 Including:instruments classified as equity under the relevant accounting standards 0 27 Including: instruments classified as liabilities under the relevant accounting standards 0 28 Stock surplus (share premium) that meet the criteria for Additional Tier 1 capital 0 29 Regulatory Adjustments of Additional Tier 1 capital 0 30 Investments in own Additional Tier 1 instruments 0 31 Reciprocal cross-holdings in Additional Tier 1 instruments 0 32 Significant investments in the Additional Tier 1 capital (that are not common shares) of commercial banks, insurance entities and other financial institutions 0 33 Investments in the capital of commercial banks, insurance entities and other financial institutions where the bank does not own more than 10% of the issued share 0 capital (amount above 10% limit) 34 Regulatory adjustments applied to Additional Tier 1 resulting from shortfall of Tier 2 capital to deduct investments 0 35 Additional Tier 1 Capital 0 36 Tier 2 capital before regulatory adjustments 60,534, Instruments that comply with the criteria for Tier 2 capital 47,071, Stock surplus (share premium) that meet the criteria for Tier 2 capital 0 39 General reserves, limited to a maximum of 1.25% of the bank s credit risk-weighted exposures 13,462, Regulatory Adjustments of Tier 2 Capital 0 41 Investments in own shares that meet the criteria for Tier 2 capital 0 42 Reciprocal cross-holdings in Tier 2 capital 0 43 Significant investments in the Tier 2 capital (that are not common shares) of commercial banks, insurance entities and other financial institutions 0 44 Investments in the capital of commercial banks, insurance entities and other financial institutions where the bank does not own more than 10% of the issued share 0 capital (amount above 10% limit) 45 Tier 2 Capital 60,534,207

11 Table 10 Reconcilation of balance sheet to regulatory capital in Lari N On-balance sheet items per standardized regulatory report Carrying values as reported in published standalone financial statements per local accounting rules linkage to capital table 1 Cash 52,341,103 2 Due from NBG 175,976,322 3 Due from Banks 100,009,497 4 Dealing Securities 0 5 Investment Securities 12,742, Loans 1,009,704, Less: Loan Loss Reserves -32,909, Of which general loan loss reserves -13,462,407 table 9 (Capital), N39 6 Net Loans 976,795,712 7 Accrued Interest and Dividends Receivable 5,313,184 8 Other Real Estate Owned & Repossessed Assets 0 9 Equity Investments 6,348, Of which above 10% of the share capital of other commercial entities 6,194,572 table 9 (Capital), N Of which significant investments subject to limited recognition Of which below 10% equity holdings subject to limited recognition 0 10 Fixed Assets and Intangible Assets 64,237, Of which intangible assets 1,262,572 table 9 (Capital), N10 11 Other Assets 14,889, Total assets 1,408,653, Due to Banks 140,849, Current (Accounts) Deposits 197,001, Demand Deposits 187,497, Time Deposits 216,422, Own Debt Securities 0 18 Borrowings 388,775, Accrued Interest and Dividends Payable 8,942, Other Liabilities 18,405, Of which general reserves on off-balance items 711, Subordinated Debentures 80,530, Of which tier II capital qualifying instruments 47,071,800 table 9 (Capital), N37 22 Total liabilities 1,238,425, Common Stock 88,914,815 table 9 (Capital), N2 24 Preferred Stock 0 25 Less: Repurchased Shares 0 26 Share Premium 36,388,151 table 9 (Capital), N3 27 General Reserves 0 28 Retained Earnings 44,925,500 table 9 (Capital), N6 29 Asset Revaluation Reserves 0 30 Total Equity Capital 170,228,466

12 Table 11 Credit Risk Weighted Exposures (On-balance items and off-balance items after credit conversion factor) a b c d e f g h i j k l m n o p q weights Risk 0% 20% 35% 50% 75% 100% 150% 250% Risk Weighted Exposures before Credit Risk Mitigation On-balance Off-balance sheet On-balance Off-balance sheet On-balance Off-balance On-balance Off-balance On-balance Off-balance On-balance Off-balance On-balance Off-balance On-balance Off-balance Exposure classes sheet amount amount sheet amount amount sheet amount sheet amount sheet amount sheet amount sheet amount sheet amount sheet amount sheet amount sheet amount sheet amount sheet amount sheet amount 1 Claims or contingent claims on central governments or central banks 27,395, ,380, ,380,971 2 Claims or contingent claims on regional governments or local authorities Claims or contingent claims on public sector entities Claims or contingent claims on multilateral development banks Claims or contingent claims on international organizations/institutions Claims or contingent claims on commercial banks 0 92,430, ,042, ,507,340 7 Claims or contingent claims on corporates ,739,554 42,583, ,322,569 8 Retail claims or contingent retail claims ,846, ,384,701 9 Claims or contingent claims secured by mortgages on residential property Past due items ,925, ,925, Items belonging to regulatory high-risk categories ,552,588 4,850,774 29,455, Short-term claims on commercial banks and corporates Claims in the form of collective investment undertakings ( CIU ) Other items 52,341, ,773, ,773,517 Total 79,736, ,430, ,042, ,846, ,819,276 42,583,015 11,552, ,850, ,197,750,149

13 Table 12 Credit Risk Mitigation in Lari Funded Credit Protection Unfunded Credit Protection Debt securities issued by other Debt securities with a shortterm credit assessment, which Other corporate entities that have a credit Debt securities issued by central Debt securities issued by regional entities, which securities have a governments or central banks, regional governments or local authorities, credit assessment, which has been Debt securities Units in Cash on deposit with, has been determined by NBG to Equities or convertible International assessment, which has been determined by Total Credit Risk Mitigation - Total Credit Risk Mitigation Total Credit Risk On-balance sheet governments or local authorities, public sector entities, multilateral determined by NBG to be Standard gold bullion or without credit collective Central governments or Regional governments Multilateral or cash assimilated be associated with credit quality bonds that are included in a organizations / Public sector entities Commercial banks NBG to be associated with credit quality On-balance sheet - Off-balance sheet Mitigation netting public sector entities, multilateral development banks and associated with credit quality step equivalent rating issued by investment central banks or local authorities development banks instruments step 3 or above under the rules main index institutions step 2 or above under the rules for the risk development banks and international international 3 or above under the rules for the commercial banks undertakings for the risk weighting of short weighting of exposures to corporates organizations/institutions organizations/institutions risk weighting of exposures to term exposures corporates. Total Claims or contingent claims on central governments or central banks Claims or contingent claims on regional governments or local authorities Claims or contingent claims on public sector entities Claims or contingent claims on multilateral development banks Claims or contingent claims on international organizations/institutions Claims or contingent claims on commercial banks Claims or contingent claims on corporates Retail claims or contingent retail claims Claims or contingent claims secured by mortgages on residential property Past due items Items belonging to regulatory high-risk categories Short-term claims on commercial banks and corporates Claims in the form of collective investment undertakings Other items

14 Table 13 Standardized approach - Effect of credit risk mitigation a b c d e f Off-balance sheet exposures On-balance sheet Off-balance sheet RWA before Credit RWA post Credit Risk Off-balance sheet exposures exposures - Risk Mitigation Mitigation exposures post CCF Nominal value RWA Density f=e/(a+c) Asset Classes 1 Claims or contingent claims on central governments or central banks 196,776, ,380,971 55,550,277 28% 2 Claims or contingent claims on regional governments or local authorities Claims or contingent claims on public sector entities Claims or contingent claims on multilateral development banks Claims or contingent claims on international organizations/institutions Claims or contingent claims on commercial banks 100,472,849 22,507,340 22,507,340 22% 7 Claims or contingent claims on corporates 495,739,554 61,966,794 42,583, ,322, ,960,016 99% 8 Retail claims or contingent retail claims 481,846, ,384, ,759,294 75% 9 Claims or contingent claims secured by mortgages on residential property Past due items 3,925,235 3,925,235 3,925, % 11 Items belonging to regulatory high-risk categories 16,403,362 29,455,817 29,455, % 12 Short-term claims on commercial banks and corporates Claims in the form of collective investment undertakings ( CIU ) Other items 125,114,619 72,773,517 72,773,517 58% Total 1,420,277,935 61,966,794 42,583,015 1,197,750,149 1,076,931,495 74%

15 Table 14 Liquidity Coverage Ratio GEL FX Total GEL FX Total GEL FX Total High-quality liquid assets 1 Total HQLA 74,030, ,590, ,621,447 61,006, ,324, ,330,881 Cash outflows 2 Retail deposits 41,379, ,582, ,962,339 8,155,914 53,156,982 61,312,897 1,999,610 13,624,783 15,624,393 3 Unsecured wholesale funding 114,479, ,424, ,903,991 33,587,247 63,101,778 96,689,025 33,618, ,200, ,818,945 4 Secured wholesale funding Outflows related to off-balance sheet obligations and net short position of derivative exposures 35,120,579 40,229,962 75,350,542 6,455,980 9,146,790 15,602,770 2,443,926 3,204,455 5,648,381 6 Other contractual funding obligations Other contingent funding obligations 9,876,339 16,313,479 26,189,817 2,659,987 9,866,630 12,526,617 2,659,987 9,866,630 12,526,617 8 TOTAL CASH OUTFLOWS 200,855, ,550,889 1,133,406,689 50,859, ,272, ,131,308 40,722, ,896, ,618,336 Cash inflows 9 Secured lending (eg reverse repos) 8,512,604-8,512, Inflows from fully performing exposures 212,855, ,227, ,083,080 4,069,391 11,306,717 15,376,108 17,093,618 75,021,256 92,114, Other cash inflows TOTAL CASH INFLOWS 221,368, ,227,439 1,005,595,684 4,069,391 11,306,717 15,376,108 17,093,618 75,021,256 92,114, Total HQLA 78,543, ,358, ,901,732 50,522, ,533, ,056, Net cash outflow 50,949, ,219, ,168,525 10,183,557 16,443,836 26,627, Liquidity coverage ratio (%) % % 192.7% 496.1% % 924% * Commercial banks are required to comply with the limits by coefficients calculated according to NBG's methodology. The numbers calculated within Basel framework are given for illustratory purposes. Total unweighted value (daily average) Total weighted values according to NBG's methodology* (daily average) Total value according to NBG's methodology* (with limits) Total weighted values according to Basel methodology (daily average) Total value according to Basel methodology (with limits)

16 Table 15 Counterparty credit risk a b c d e f g h i j k l Nominal Counterparty Credit Risk Weighted Percentage Exposure value 0% 20% 35% 50% 75% 100% 150% 250% amount Exposures 1 FX contracts 15,269, , , , Maturity less than 1 year 15,269, % 305, , , Maturity from 1 year up to 2 years 5.0% Maturity from 2 years up to 3 years 8.0% Maturity from 3 years up to 4 years 11.0% Maturity from 4 years up to 5 years 14.0% Maturity over 5 years 0 2 Interest rate contracts Maturity less than 1 year 0.5% Maturity from 1 year up to 2 years 1.0% Maturity from 2 years up to 3 years 2.0% Maturity from 3 years up to 4 years 3.0% Maturity from 4 years up to 5 years 4.0% Maturity over 5 years 0 Total 15,269, , , ,077