Quarterly Disclosure In Terms Of Regulation 43 Of The Regulations Relating To Banks Capitec Bank Holdings Limited Registration number: 1999/025903/06 Registered bank controlling company Incorporated in the Republic of South Africa JSE ordinary share code: CPI ISIN code: ZAE000035861 JSE preference share code: CPIP ISIN code: ZAE000083838 (“Capitec”) QUARTERLY DISCLOSURE IN TERMS OF REGULATION 43 OF THE REGULATIONS RELATING TO BANKS Capitec and its subsidiaries (“the group”) have complied with Regulation 43 of the Regulations relating to banks, which incorporates the requirements of Basel. In terms of Pillar 3 of the Basel rules, the consolidated group is required to disclose quantitative information on its capital adequacy, leverage and liquidity ratios on a quarterly basis. The group’s consolidated capital and liquidity positions at the end of the first quarter of the 28 February 2022 financial year end are set out below: 1st Quarter 2022 4th Quarter 2021 31 May 2021 28 February 2021 Capital Capital Adequacy Adequacy R’000 Ratio % R’000 Ratio % COMMON EQUITY TIER 1 CAPITAL (CET1) 28 132 461 36.4 27 872 626 35.8 Additional Tier 1 capital (AT1)(1) 25 897 0.0 25 897 0.1 TIER 1 CAPITAL (T1) 28 158 358 36.4 27 898 523 35.9 General allowance for credit impairment 648 295 647 835 TIER 2 CAPITAL (T2) 648 295 0.9 647 835 0.8 TOTAL QUALIFYING REGULATORY CAPITAL 28 806 653 37.3 28 546 358 36.7 REQUIRED REGULATORY CAPITAL(2) 8 500 078 8 558 137 (1) Starting 2013, the non-loss absorbent AT1 and T2 capital is subject to a 10% per annum phase-out in terms of Basel 3. (2) This value is currently 11% of risk-weighted assets, being the Basel global minimum requirement of 8%, the Capital Conservation Buffer of 2.5% and the Domestic Systemically Important Bank (“D-SIB”) capital add-on of 0.5%, disclosable in terms of Directive 4 issued by the Prudential Authority on 27 August 2020. The Prudential Authority issued Directive 2 on 6 April 2020 and temporarily relaxed the Pillar 2A South African country-specific buffer of 1% to provide temporary capital relief to banks during this time of financial stress following the outbreak of the Covid-19 pandemic, in a manner that ensures South Africa’s continued compliance with the relevant internationally agreed capital framework. It is currently anticipated that the 1% Pillar 2A requirement will be reinstated on 1 January 2022. 1st Quarter 2022 4th Quarter 2021 31 May 2021 28 February 2021 R’000 R’000 LIQUIDITY COVERAGE RATIO (LCR) High-Quality Liquid Assets 64 560 155 57 601 979 Net Cash Outflows(1) 2 596 583 2 342 837 Actual LCR Ratio 2 486% 2 459% Required LCR Ratio(2) 80% 80% (1) Capitec has a net cash inflow after applying the run-off weightings, therefore outflows for the purpose of the ratio are deemed to be 25% of gross outflows. (2) The Prudential Authority issued Directive 1 of 2020 on 31 March 2020 and temporarily relaxed the minimum LCR requirement on 1 April 2020 from 100% to 80%. The reason for the decrease is attributable to the current financial market turmoil due to Covid-19 where market liquidity has decreased, and banks expected to be under increased pressure to comply with the currently prescribed LCR requirements. 1st Quarter 2022 4th Quarter 2021 31 May 2021 28 February 2021 R’000 R’000 NET STABLE FUNDING RATIO (“NSFR”) Total Available Stable Funding 138 830 197 136 500 427 Total Required Stable Funding 61 294 638 61 746 242 Actual NSFR Ratio 226.5% 221.1% Required NSFR Ratio 100% 100% 1st Quarter 2022 4th Quarter 2021 31 May 2021 28 February 2021 R’000 R’000 LEVERAGE RATIO Tier 1 Capital 28 158 358 27 898 523 Total Exposures(1) 159 606 340 158 134 375 Leverage Ratio 17.6% 17.6% For the detailed LCR, NSFR and leverage ratio calculations refer to the “Banks Act Public Disclosure” section on our website at www.capitecbank.co.za/investor-relations By order of the Board Stellenbosch 28 June 2021 Sponsor - PSG Capital Proprietary Limited Date: 28-06-2021 03:45:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on, information disseminated through SENS.