ABKI - Release of the Full Year Basel III Pillar 3 Report as at 30 September 2020, as prescribed by The Banks Act AFRICAN BANK LIMITED (Incorporated in the Republic of South Africa) (Registered Bank) (Registration No. 2014/176899/06) Company code: ABKI (“African Bank” or the “Bank”) RELEASE OF THE FULL YEAR BASEL III PILLAR 3 REPORT AS AT 30 SEPTEMBER 2020, AS PRESCRIBED BY THE BANKS ACT African Bank is pleased to announce the release of the full year Basel III Pillar 3 report, as at 30 September 2020, (“Pillar 3 Report”), as prescribed in terms of Regulation 43 of the Banks Act (Act No. 94 of 1990) (the “Banks Act”). The Pillar 3 Report covers African Bank and its holding company, African Bank Holdings Limited, a registered bank controlling company registered under Section 44(1) of the Banks Act. The full version of the Pillar 3 Report can be accessed on the Bank’s website via the following url: https://www.africanbank.co.za/ under Regulatory Announcements – Basel Pillar III Announcements within the Investors section of the website. The overall balance sheet of the Bank remains strong, with advances well provided for and high capital adequacy ratios. Cash and surplus liquid asset holdings amount to R4.6 billion. Liquidity risk, interest rate risk and foreign exchange risk are managed within a conservative risk appetite framework. The overall impact of the strong balance sheet structure, as expressed in the conservative risk appetite, is evidenced in the various sections of the Pillar 3 Report which, as of 30 September 2020, includes a CET1 ratio of 31.2%, a leverage ratio of 26.0%, a liquidity coverage ratio of 624% and a net stable funding ratio of 137% at the African Bank level. Consequently, African Bank and African Bank Holdings Limited operate well above the minimum required regulatory levels in respect of all prudential ratios. 26 January 2021 Debt Sponsor RAND MERCHANT BANK (A division of FirstRand Bank Limited) Date: 26-01-2021 08:00:00 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.