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 third quarter of the 28 February 2022 financial year end are set out below: 3rd Quarter 2022 2nd Quarter 2022 30 November 2021 31 August 2021 Capital Capital Adequacy Adequacy R’000 Ratio % R’000 Ratio % COMMON EQUITY TIER 1 CAPITAL (CET1) 30 557 063 36.5 29 547 542 36.5 Additional Tier 1 capital (AT1)(1) 25 897 0.0 25 897 0.0 TIER 1 CAPITAL (T1) 30 582 960 36.5 29 573 439 36.5 General allowance for credit impairment 715 172 675 502 TIER 2 CAPITAL (T2) 715 172 0.9 675 502 0.9 TOTAL QUALIFYING REGULATORY CAPITAL 31 298 132 37.4 30 248 941 37.4 REQUIRED REGULATORY CAPITAL(2) 9 214 280 8 901 223 (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%. 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. Directive 5 of 2021 issued on 20 May 2021 stated that the 1% Pillar 2A requirement will be reinstated on 1 January 2022. 3rd Quarter 2022 2nd Quarter 2022 30 November 2021 31 August 2021 R’000 R’000 LIQUIDITY COVERAGE RATIO (LCR) High-Quality Liquid Assets 78 034 323 71 657 162 Net Cash Outflows(1) 2 714 334 2 464 399 Actual LCR 2 875% 2 908% Required LCR(2) 80% 80% (1) Capitec has a net cash inflow after applying the run-off factors, therefore the 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 financial market turmoil due to Covid-19 where market liquidity has decreased, and banks expected to be under increased pressure to comply with the prescribed LCR requirements. Directive 8 of 2021 issued on 29 October 2021 stated that the minimum LCR requirement will be increased to 90% with effect from 1 January 2022, and to 100% with effect from 1 April 2022. 3rd Quarter 2022 2nd Quarter 2022 30 November 2021 31 August 2021 R’000 R’000 NET STABLE FUNDING RATIO (“NSFR”) Total Available Stable Funding 159 534 561 151 029 190 Total Required Stable Funding 66 759 227 62 742 405 Actual NSFR 239.0% 240.7% Required NSFR 100% 100% 3rd Quarter 2022 2nd Quarter 2022 30 November 2021 31 August 2021 R’000 R’000 LEVERAGE RATIO Tier 1 Capital 30 582 960 29 573 439 Total Exposures 178 471 628 167 100 306 Leverage Ratio 17.1% 17.7% 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 15 December 2021 Sponsor - PSG Capital Date: 15-12-2021 12:50:00 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.