Abc holdings 2014 results presentation

2. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
2
AGENDA
Highlights Economic
Review
Operational
Overview
Financial
Review
Strategy
&
Prospects

3. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
3
Highlights
ABCH Group CEO, Mr. Doug Munatsi

4. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
4
Financial Highlights
BWP’ million % Change Dec-13 Dec-12
Attributable profits 49% 198 133
Profit after tax 29% 174 135
ROE - 15.3% 15.3%
Cost to income 5% 66% 71%
EPS (thebe) 10% 79.6 72.1
Dividend per share (thebe) 16% 18.5 16
NAV per share (thebe) 16% 5.64 4.88
Attributable profits
up with impressive
growth in Botswana,
Zambia and
Zimbabwe
Resilient
performance
amidst liquidity
challenges in most
jurisdictions
Cost to income ratio
down due to higher
revenues

5. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
5
Financial highlights
BWP % Change Dec-13 Dec-12
Total assets 18% 15,784 13,408
Loans and advances 15% 10,555 9,144
Deposits 14% 12,209 10,675
Total equity 27% 1,450 1,137
Measured growth in both loans and advances, driven by both retail banking and
wholesale banking

6. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
6
Financial highlights
Strong growth in NAV on the back of retained profits as well as conversion of
IFC debt to equity in April 2013
399
422
597
1,137
1,450
2.73 2.93
4.01
4.88
5.64
-
1.00
2.00
3.00
4.00
5.00
6.00
0
200
400
600
800
1000
1200
1400
1600
2009 2010 2011 2012 2013
Net Asset Value (BWP m) and NAV per share (BWP)
Net asset value Net asset value per share

7. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
7
Economic
Review
ABCH Group CEO, Mr. Doug Munatsi

8. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
8
Economic Growth by Region
3.7
2.8
1.0
6.7
3.3
6.1
3.4
2.3
0.4
6.9
3.4
5.4
-2
0
2
4
6
8
-2
0
2
4
6
8
11
12
13
14
11
12
13
14
11
12
13
14
11
12
13
14
11
12
13
14
11
12
13
14
GDP Growth Avg Growth
World US
Euro Developing
Asia MENA SSA

9. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
9
Global
• Economic
recovery
continues to
gather pace
• Mature
Economies
on a recovery
path
Developed
economies
• Euro zone to
return to
positive
growth
• Uptick in US
economy
Emerging
countries
• Slow down in
growth in
China
• Negative
impact on
commodities
• Currency
depreciations
- impact of
US QE
Sub-Saharan
Africa
• Economic
growth to
remain
strong
• Increased
public
infrastructure
spending
• Euro bond
Issuances
Economic Overview

10. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
10
Economic Growth in ABC Markets
BancABC
Botswana
•Elections in Oct-
14
•Middle income
with GDP per
Capita of
US$7,200
•Relocation of
diamond sorting
to Botswana
BancABC
Mozambique
•Elections in Oct-
14
•Political
disturbances
with opposition
•Strong growth
prospects &
leading FDI
recipient
BancABC
Tanzania
•Elections in
2015
•Among fastest
growing
economies in
Africa
•Low GDP per
Capita US$730
BancABC
Zambia
•Strong
economic
growth
•Trade Surpluses
•Rising GDP per
Capita US$1,650
BancABC
Zimbabwe
•Politically stable
after elections
•Stuttering
growth after
double digit
growth in 2010-
12
•Huge liquidity
challenges
•FDI to remain
low

11. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
11
GDP Growth in ABC Markets
3,000
4,000
5,000
6,000
7,000
8,000
-8
-6
-4
-2
0
2
4
6
8
10
2009 2010 2011 2012 2013 2014
GDP in Botswana
GDP per Capita GDP Growth
%
Growth
US$
Capita
200
300
400
500
600
700
800
6.0
6.5
7.0
7.5
8.0
8.5
9.0
2009 2010 2011 2012 2013 2014
GDP in Mozambique
GDP per Capita GDP Growth
%
Growth
US$
Capita

12. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
12
GDP Growth in ABC Markets (cont’d)
200
300
400
500
600
700
800
5.0
5.5
6.0
6.5
7.0
7.5
8.0
2009 2010 2011 2012 2013 2014
GDP in Tanzania
GDP per Capita GDP Growth
%
Growth
US$
Capita
200
600
1,000
1,400
1,800
5.8
6.3
6.8
7.3
7.8
2009 2010 2011 2012 2013 2014
GDP in Zambia
GDP per Capita GDP Growth
%
Growth
US$
Capita

13. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
13
GDP Growth in ABC Markets (cont’d)
200
400
600
800
1,000
1,200
2
4
6
8
10
12
14
2009 2010 2011 2012 2013 2014
GDP in Zimbabwe
GDP per Capita GDP Growth
%
Growth
US$
Capita
0
2,000
4,000
6,000
8,000
10,000
-3
-2
-1
1
2
3
4
5
2009 2010 2011 2012 2013 2014
GDP in South Africa
GDP per Capita GDP Growth
%
Growth
US$
Capita

14. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
14
2013 Inflation Rates in ABC Markets (%)
5.9
4.2
7.9
7.0
1.6
5.8
0
2
4
6
8
10
Jan-13
Mar-13
May-13
Jul-13
Sep-13
Nov-13
Feb-13
Apr-13
Jun-13
Aug-13
Oct-13
Dec-13
Jan-13
Mar-13
May-13
Jul-13
Sep-13
Nov-13
Feb-13
Apr-13
Jun-13
Aug-13
Oct-13
Dec-13
Jan-13
Mar-13
May-13
Jul-13
Sep-13
Nov-13
Feb-13
Apr-13
Jun-13
Aug-13
Oct-13
Dec-13
TanzaniaMozambiqueBotswana Zambia Zimbabwe South Africa
Inflation either
stable or declining!

15. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
15
Policy Interest Rates
Policy Rates
Dec-12
%
Dec-13
%
Change
Since
Dec-11
Comment
Botswana Bank
Rate
9.5 7.5 (2.00)
Lower inflation allowed Bank of
Botswana to reduce Bank rate (BR)
BR lowered 4-times in 2013
Mozambique
Standing Lending
Facility
9.5 8.25 (1.25)
Loose monetary policy stance. The
SLF lowered 3-times during the
year
Tanzania
91-dy
11.89 13.61 1.72
Higher interest yields despite
declining inflation
Zambia
Policy Rate
9.25 9.75 0.50
Monetary policy tightening in
response to rising inflation

16. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
16
Lending & Deposit Interest Rates
Interest
Rates
Average
lending
rate
%
Average
deposit
rate
%
Spread
Comment
Botswana 10.21 4.91 5.30
Monetary policy transmission is working
Lending & deposit rates have both come
down in line with falling Bank rate
Mozambique 20.09 9.68 10.41
Interest rates have not responded
significantly despite the policy rate being
aggressively reduced over the years
Tanzania 14.02 11.34 2.68
Narrowed Interest rate spread reflecting
improved financial deepening
Zambia 16.3 6.3 10.0
There is pressure to reduce rates which
remain stubbornly high
Zimbabwe 20.0 8.0 12.0
High interest spread still exists
Liquidity squeeze keeping interest rates high

17. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
17
Exchange Rate Movement vs. USD
0 4 8 12 16 20 24
BWP
ZAR
MZN
TZS
ZMK
12
23
1.5
-0.1
7.1
%
YoY: Dec-12 to Dec-13
Depreciation vs. USD
The Following currencies
depreciated vs USD:
•ZAR; 23%
•BWP; 12%
•ZMW; 7%
ZAR weighed down by:
● Labour unrests
● Widening current
account deficit
● US Quantitative
Easing
MZN Stable assisted by
Central Bank
Interventions

18. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
18
Exchange Rate Movement vs. ZAR
All currencies appreciated vs.
ZAR:
•TZS; 18.8%
•MZN; 17.6%
•ZMW; 13.6%
• BWP; 8.8%
Lower imported inflation from
SA
• SA more prone to global shocks
due to closer links with Euro-20 -15 -10 -5 0
BWP
MZN
TZS
ZMK
-8.8
-17.6
-18.8
-13.6
%
YoY: Dec-12 to Dec-
13
Appreciation vs. ZAR

19. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
19
Sizes of Banking Systems in ABC Markets
5,798
6,046
8,328
3,825
4,790
0
2,000
4,000
6,000
8,000
0
2,000
4,000
6,000
8,000
Nov-12
Feb-13
May-13
Aug-13
Dec-12
Mar-13
Jun-13
Sep-13
Jan-13
Apr-13
Jul-13
Oct-13
Nov-12
Feb-13
May-13
Aug-13
Jan-13
Apr-13
Jul-13
Oct-13
US$m
US$m
Total Deposits Credit Pvt
Botswana Mozambique Tanzania Zambia
2013 2013 2013 2013 2013
Zimbabwe

20. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
* Jun-13
0%
2%
4%
6%
8%
10%
12%
Bots Moz Tanz Zam Zim
2013 market share
Deposits Loans Total assets
20
BancABC Market Share
Growing market share in Botswana &
Zimbabwe
Need to grow critical mass in other
markets
0%
2%
4%
6%
8%
10%
12%
Bots Moz Tanz Zam Zim
2012 market share
Deposits Loans Total assets

21. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
21
ABCH Group COO, Mr. Francis Dzanya
Operational
Overview

22. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
22
Group Highlights
Staff
Clients
Channels
Comm
unities
The banking group created 191 jobs in
all subsidiaries
Total client numbers up by 48% to
277,383
BWP10.5bn Total loans and
BWP12.2bn Total deposits
Total branches up by 12 to 73
Total ATMs at 74
Increased community participation
and sponsorships (Dynamos,
Highlanders, Zebras, Green Buffaloes…)

23. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
23
Botswana Highlights
Income statement
•PAT increased from BWP94m
to BWP153m
•NII up 55% to BWP391m
•NIR up by 30% to BWP94m
Statistics
•Staff complement at 284, up
from 234
•Increased branches from 5 to 8
•Increased customer numbers
from 28,735 to 42,421
Loans & deposits
•Loans increased from
BWP3.4bn to BWP3.8bn
•Deposits increased from
BWP4.3bn to BWP4.7bn
•Consumer loans make up 61%
of total loans
Outlook
•Focus on deposit mobilization
and diversification of the
depositor book
•Grow non interest income

24. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
24
Mozambique Highlights
Income statement
•PAT dropped from BWP18m to
BWP9m
•High impairment charge from
BWP18m last year to
BWP51m in 2013
•Fee income grew from
BWP26m to BWP48m
Statistics
•Staff complement at 205, up
from 166
•Increased branches from 8 to
10
•Increased customer numbers
from 6,448 to 11,168
Loans & deposits
•Loans increased from
BWP876m to BWP1.4 bn
•Deposits increased from
BWP1.4bn to BWP2.3bn
•Some in-roads made in retail
loans and deposits
Outlook
•Grow loans and deposits
•Expansion in number of
branches
•Tight control of impairments

25. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
25
Tanzania Highlights
Statistics
•Staff complement at 212, up
from 135
•Branches remained at 4,
added 4 loan centers
•Increased customer numbers
from 6,813 to 21,644
Outlook
•Focus on growing consumer
loans
•Grow deposit base
•Control impairments
•Manage expenses
Income statement
•Disappointing set of results,
losses at BWP20m
•Operating expenses increased
faster than annuity income
•NIR increased from BWP 54m to
BWP68m
•Combined impairments of
BWP136m and loss of BWP94m
Loans & deposits
•Loans dropped from
BWP747m to BWP575m
•Deposits increased from
BWP1.2bn to BWP1.3bn
•Loans transferred to TDFL at
BWP 282m book value

26. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
26
Zambia Highlights
Statistics
•Staff complement at 221, up
from 211
•Branches increased to 22 from
21
•Increased customer numbers
from 62,541 to 88,137
Loans & deposits
•Loans increased from BWP1bn
to BWP1.4bn
•Deposits increased from
BWP834m to BWP1.2bn
•Loans and deposits were
boosted by increased capital
which is now BWP825m
Outlook
•Bank met central bank capital
regulations in Dec 2013
•Leverage additional capital
and grow loans and deposits
•Management of costs key
going forward
Income statement
•PAT increased from BWP36m to
BWP50m
•Impressive growth in non
interest revenue up from
BWP110m to BWP158m
•NPLs well managed – recovered
BWP7.8m
•Cost to income ratio at 62%

27. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
27
Zimbabwe Highlights
Statistics
•Staff complement at 514 from
507
•Increased branches from 21 to
25
•Increased customer numbers
from 84,156 to 114,847
Loans & deposits
•Loans increased from
BWP3.0bn to BWP3.1bn
•Deposits dropped from
BWP3.1m to BWP2.7bn but
increased from half year
position of BWP 2.3bn
Income statement
•PAT increased from BWP103m
to BWP118m
•NII up 78% to BWP404m
•Impairment charge doubled to
BWP92m compared to 2012
Outlook
•Focus on growing retail and
consumer lending
•Grow deposit base and sweat
the retail investment
•Effective cost management
•Reduce NPLs

28. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
28
ABCH Group CFO, Mr. Beki Moyo
Financial
Review

29. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
29
Income statement- BWP
BWP‘ million % Change 2013 2012
Net interest income 50 1,010 673
Impairments (137) (328) (138)
NII after impairments 28 682 535
Non interest revenue 25 692 552
Operating expenses (29) (1,116) (869)
Share of associate results 29 (4) (6)
Profit before taxation 20 254 212
Taxation (3) (80) (77)
Profit for the year 29 174 135
Attributable to
-ordinary shareholders 49 198 133
-minority shareholders (1108) (24) 2
Solid performance
hampered by
significant rise in
impairments of
loans
Impressive growth
in both NII and
NIR

30. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
30
Income Statement- USD
USD‘ million % Change 2013 2012
Net interest income 35 119 88
Impairments (113) (39) (18)
NII after impairments 15 80 70
Non interest revenue 13 82 73
Operating expenses (15) (132) (114)
Share of associate results 36 (0.5) (0.7)
Profit before taxation 7 30 28
Taxation 7 (9) (10)
Profit for the year 16 21 18
Attributable to
-ordinary shareholders 34 24 18
-minority shareholders (1005) (3) 0.3
Solid performance
hampered by
significant rise in
impairments of
loans
Impressive growth
in both NII and
NIR

31. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
31
Positive trend in NAV
Continued growth in NAV on the back of retained profits as well as new
shares issued
399
422
597
1,137
1,450
2.73 2.93
4.01
4.88
5.64
-
1.00
2.00
3.00
4.00
5.00
6.00
0
200
400
600
800
1000
1200
1400
1600
2009 2010 2011 2012 2013
Net Asset Value (BWP m) and NAV per share (BWP)
Net asset value Net asset value per share

32. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
32
Strong performance
58 67
83
133
198
14%
16% 16%
15%
15%
13%
14%
14%
15%
15%
16%
16%
17%
0
50
100
150
200
250
2009 2010 2011 2012 2013
Profit (BWP m) and ROE (%)
Attributable profit ROE
Impressive growth in attributable profits over the past 5 years
ROE flat due to increase in shareholder funds on the back of retention of profits
coupled with share conversion by IFC in 1H-2013.

33. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
33
Attributable profits per entity
BancABC
Bots 49%
BancABC
Moz 3%
BancABC
Tanz (6%)
BancABC
Zam 16%
BancABC
Zim 38%
2013 PAT
94
18
(39)
36
103
153
9
(20)
50
118
(50)
-
50
100
150
200
BancABC
Botswana
BancABC
Mozambique
BancABC
Tanzania
BancABC
Zambia
BancABC
Zimbabwe
Dec-12 Dec-13
2012 and 2013 PAT

34. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
34
Net interest income
0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
6.0%
7.0%
8.0%
9.0%
-
200,000
400,000
600,000
800,000
1,000,000
1,200,000
2009 2010 2011 2012 2013
BWP'000
Net int BWP'000 NIM before impairments NIM after impairments
Phenomenal growth in net interest income – up by 50%
NIM before impairment increased to 7.7% but down to 5.2 % after factoring in
impairments

35. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
35
Net interest income per entity
NII boosted by consumer lending
in Botswana and Zimbabwe
Zambia NII affected by capping of
interest rates by the Government
Tanzania contribution low due to
lower loan book
Botswana
37%
Mozambique
12%
Tanzania
4%
Zambia
8%
Zimbabwe
39%

36. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
36
0.0%
0.5%
1.0%
1.5%
2.0%
2.5%
3.0%
3.5%
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
2009 2010 2011 2012 2013
Creditlossratio
NPLratios
NPL and credit loss ratios
Gross NPL ratio Net NPL ratio Credit loss ratio
Credit loss ratios
Gross NPL increased marginally from 9.2% to 9.8% in 2013
However, net NPLs down to 4.8% from 6.1% in 2012
More aggressive provisioning saw credit loss ratio increase to an all time high
of 3.3%

37. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
37
Impairments and credit loss ratio
Impairments high with increased non-performing loans
Significant provisions made in Tanzania, Zimbabwe and Mozambique
51
16
80
138
328
0.0%
0.5%
1.0%
1.5%
2.0%
2.5%
3.0%
3.5%
-
50
100
150
200
250
300
350
2009 2010 2011 2012 2013
BWP'million
Impairments
Impairments Credit loss ratio

38. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
38
Asset quality and impairments
BWP’ million 2013 2012 2011 2010 2009
Gross loans 11,166 9,460 6,295 3,217 2,130
Non-performing loans 1,118 875 418 268 204
Impairments 611 316 218 138 135
Portfolio impairments 94 78 45 17 13
Specific impairments 517 238 173 121 122
Impairment charge 324 138 80 16 51
NPL as a % of gross loans 9.8% 9.2% 6.6% 8.2% 9.6%
Credit loss ratio 3.3% 1.8% 1.7% 0.6% 2.4%
Implied loss given default 45% 27% 41% 45% 60%
NPL coverage ratio at 55% up from 36% in prior year

39. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
39
Asset quality per business class
Per segment Gross loans NPL NPL ratio
Corporate lending 5,382 923 17.1%
Consumer & retail lending 4,711 141 3.0%
Instalment finance 670 46 6.9%
Mortgage lending 349 7 2.1%
Commercial & property finance 54 1 1.0%
Total 11,166 1,118 10%
Substantial NPLs in Corporate Lending
Relatively good quality in Instalment Finance, Retail and Consumer Lending as
well as Mortgage Lending

40. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
40
Impairment per entity
Significant impairments recorded in Zimbabwe, Mozambique and Tanzania
The 3 entities accounted for 82% of impairment for the year
5 customers account for 73% of the impairments
42
51
9
7
92
127
BancABC Botswana
BancABC Mozambique
BancABC Tanzania
BancABC Zambia
BancABC Zimbabwe
Head office entities

41. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
41
What we are doing to address impairments
Improving credit management from granting to collection
Reducing single obligor limits
Improving documentation
Increasing security so that loss given default is lower
More reliance on cash flows and less on security
Regimented approach to credit management
Creation of special operations to manage delinquent accounts
Character, character, character

42. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
42
Non Interest Revenue
(100,000)
-
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
2009 2010 2011 2012 2013
BWP'000
Fees and commissions Trading income Gains on investment activities MTM - investment property Other income
Good momentum in non interest revenue, with commissions and fees boosted
by consumer banking activities
Resilient growth in trading income despite shrinking margins across
subsidiaries

43. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
43
Non interest revenue per entity
BWP‘ million % change 2013 2012
BancABC Botswana 30 94 72
BancABC Mozambique 32 89 67
BancABC Tanzania 27 68 54
BancABC Zambia 44 158 110
BancABC Zimbabwe (7) 197 212
Banking operations 18 606 515
Head office entities 126 86 38
Non interest Revenue 25 692 553
With the exception of BancABC Zimbabwe, all entities recorded
impressive growth in NIR

44. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
44
Operating costs and cost to income ratio
Cost to income ratio trending downwards on the back of increased income
Operating expenses higher due to increased number of staff and branches
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
-
200
400
600
800
1,000
1,200
2009 2010 2011 2012 2013
BWP'million
Opex (BWP'million) Cost to Income Ratio (%)

45. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
45
Operating expenses per category
Staff costs constitute 39% of total operating expenses
-
200
400
600
800
1,000
1,200
2009 2010 2011 2012 2013
BWP'million
Staff costs Administrative costs IT Depreciation Premises Marketing
29%

46. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
46
Staff numbers by entity
Major contributor to costs, staff numbers up 15% from 1,310 in 2012 to 1,501
in 2013
234
166
135
211
507
57
284
205 212 221
514
65
0
100
200
300
400
500
600
Botswana Mozambique Tanzania Zambia Zimbabwe ABCH
Human Capital
2012 2013

47. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
47
Operating Expenses per Entity
BWP‘ million % Change 2013 2012
BancABC Botswana 49 246 166
BancABC Mozambique 27 146 115
BancABC Tanzania 30 128 98
BancABC Zambia 18 148 126
BancABC Zimbabwe 30 350 270
Banking operations 31 1,018 775
Head office entities 3 98 94
Total Operating expenses 28 1,116 869
Increase across all entities due to increased activities as a result of additional
branches and higher staff numbers

48. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
48
Balance Sheet- BWP
% Change Dec-13 Dec-12
Cash & cash equivalents 24 2,304 1,859
Financial assets 24 1,617 1,301
Loans & advances 15 10,555 9,144
Property & equipment 11 887 798
Other assets 38 421 306
Total assets 18 15,784 13,408
Deposits 14 12,209 10,675
Borrowed funds 45 1,759 1,213
Other liabilities 1 368 364
Ordinary shareholders equity 27 1,450 1,137
Minority interest (110) (2) 19
Total liabilities & equity 18 15,784 13,408
Continued to strengthen
our balance sheet,
growth of 18%
Progress on loans &
advances
Deposit mobilization a
key focus area
Increased cash and short
term funds
Strong capital footing

49. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
49
Balance sheet- USD
% Change Dec-13 Dec-12
Cash & cash equivalents 10 263 239
Financial assets 10 184 168
Loans & advances 2 1,203 1,177
Property & equipment (2) 101 103
Other assets 22 48 39
Total assets 4 1,799 1,726
Deposits 1 1,392 1,374
Borrowed funds 29 201 156
Other liabilities (17) 41 48
Ordinary shareholders equity 13 165 146
Minority interest (109) (0.2) 2
Total liabilities & equity 4 1,799 1,726
Continued to strengthen our
balance sheet, growth of 4%
Progress on loans &
advances
Deposit a key focus area
Increased cash and short
term funds
Strong capital footing
Depreciation of BWP
affected USD numbers

50. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
50
Balance sheet
Growth recorded on all interest earning asset categories. Overall 18% up
Loans up by 15%, whilst cash and liquid assets grew by 24%
1,859 2,304
1,301
1,617
9,144
10,555
-
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
2012 2013
BWP'million
Total Earning Assets
Cash & cash equivalents Financial assets Loans & advances

51. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
51
Balance sheet
18% increase in interest bearing liabilities (deposits, up 14% and 45% increase in
borrowed funds)
10,675
12,209
1,213
1,759
-
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
2012 2013
BWP'million
Liabilities
Deposits Borrowed funds

52. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
52
Loans per entity
BWP‘ million Dec-13 Dec-12 % change 5 yr CAGR
BancABC Botswana 3,750 3,411 10 57%
BancABC Mozambique 1,471 877 68 40%
BancABC Tanzania 575 747 (23) 4%
BancABC Zambia 1,390 1,034 34 47%
BancABC Zimbabwe 3,074 2,981 3 136%
Banking entities 10,260 9,050 13 53%
Head office entities 295 94 209 28%
Total loans 10,555 9,144 15% 52%
Significant growth registered in Mozambique and Zambia
Tanzania loan book regressed, after transfer of loans to TDFL accounted for
in “Head office entities”

53. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
53
Loans and advances
BWP' million Dec-13 Dec-12 % Change
Corporate lending 5,382 4,612 17
Consumer & retail lending 4,711 3,965 19
Instalment finance 670 561 19
Mortgage lending 349 268 30
Commercial & property finance 54 54 -
Gross loans & advances 11,166 9,460 18
Less: Credit impairments (611) (316) 93
Net loans & advances 10,555 9,144 15
Growth registered in Corporate lending as well as consumer lending
Corporate lending contributed 48% to total loans and advances
Consumer loans contribution at 42%, up from 41% in 2012

54. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
54
Deposits
BWP'million Dec-13 Dec-12 % change 5 yr CAGR
BancABC Botswana 4,726 4,262 11 35%
BancABC Mozambique 2,321 1,355 71 30%
BancABC Tanzania 1,298 1,148 13 18%
BancABC Zambia 1,155 835 38 53%
BancABC Zimbabwe 2,709 3,075 (12) 81%
Total deposits 12,209 10,675 14 38%
With the exception of BancABC Zimbabwe strong growth registered across the
board. Notably in BancABC Mozambique and BancABC Zambia
Zimbabwe decreased by 12%, but picked up after 1H-2013
Impressive growth in retail deposits with BancABC Botswana and BancABC
Mozambique leading the way
Wholesale deposits at 88% continue to contribute significantly to total deposits

55. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
55
Well capitalized banking operations
BancABC Zambia and BancABC Zimbabwe met the stringent capital
requirements;
BancABC Tanzania capitalized in July 2013 and CAR at 13.18% which is within
regulatory threshold of 12%
686
291
197
825
748
19%
15% 13%
57%
16%
0%
10%
20%
30%
40%
50%
60%
-
100
200
300
400
500
600
700
800
900
BancABC Botswana BancABC
Mozambique
BancABC Tanzania BancABC Zambia BancABC Zimbabwe
BWP'million
Capital Adequacy Ratio
Capital CAR
(US$ 33m)
(US$ 23m)
(US$ 94m)
(US$ 85m)
(US$ 78m)

56. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
56
Strategy &
Prospects
ABCH Group CEO, Mr. Doug Munatsi

57. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
Complete retail branches roll out and increase alternative
channels through partnerships
Raise tier I capital of US$100m
Increase minimum capital in each subsidiary to between
US$50m and US$100m by 2015
Arrange credit lines of US$200m to US$300m
Target cost to income ratio of under 50%, in all banking
operations by 2015
Grow market share to 5% -10% in all banking operations by
2015
57
Short to medium term objectives
Market
share
Costs
Funding
Channels

58. BancABC Annual Financial Results 2013 Presentation
March 25-26 2014
58
Dividend Declaration
In accordance with Group Policy, a dividend of 4.5 thebe (0.5 US cent) to
be paid on 2 May 2014 to shareholders on the register on 18 April 2014
Total dividend for the year will be 18.5 thebe (2012: 16 thebe)
which is approximately 2.1 cents (2012: 2.1 US cents)