Management PresentationSeptember 2009

Page 2

WHILE JSC BTA BANK (“BTA BANK” OR THE “BANK”) HAS TA KEN ALL REASONABLE MEASURES TO ENSURE THAT THE INFORMATION CONTAINED HEREIN IS CORRECT, ACCURATE A ND COMPLETE AT THE DATE OF PUBLICATION, NO REPRESENTATION OR WARRANTY IS MADE (EXPRESS OR IMPL IED) AS TO THE RELIABILITY, ACCURACY OR COMPLETENESS OF SUCH INFORMATION AND NO RELIANCE SH OULD BE PLACED ON SUCH INFORMATION.

THIS DOCUMENT DOES NOT CONSTITUTE OR FORM PART OF ANY OFFER OR INVITATION TO SELL OR ISSUE, OR ANY SOLICITATION OF ANY OFFER TO PURCHASE OR SUBSCRIBE FOR, ANY SECURITIES OF THE BANK.

THIS PRESENTATION INCLUDES FORWARD-LOOKING STATEMEN TS. YOU ARE CAUTIONED NOT TO PLACE RELIANCE ON FORWARD-LOOKING STATEMENTS. ALL STATEMENTS OTHER TH AN STATEMENTS OF HISTORICAL FACT INCLUDED IN THIS PRESENTATION, INCLUDING, WITHOUT LIMITATION, T HOSE REGARDING THE BANK’S FINANCIAL POSITION, PROSPECTS, BUSINESS STRATEGY, MANAGEMENT PLANS AND OBJECTIVES FOR FUTURE OPERATIONS ARE FORWARD-LOOKING STATEMENTS. THESE FORWARD-LOOKING STATEMENT S INVOLVE KNOWN AND UNKNOWN RISKS, UNCERTAINTIES AND OTHER FACTORS, WHICH MAY CAUSE TH E BANK’S ACTUAL RESULTS, PERFORMANCE, ACHIEVEMENTS OR INDUSTRY RESULTS TO BE MATERIALLY D IFFERENT FROM THOSE EXPRESSED OR IMPLIED BY THESE FORWARD-LOOKING STATEMENTS. THESE FORWARD-LOO KING STATEMENTS ARE BASED ON NUMEROUS ASSUMPTIONS REGARDING THE BANK’S PRESENT AND FUTURE BUSINESS STRATEGIES AND THE ENVIRONMENT IN WHICH THE BANK EXPECTS TO OPERATE IN THE FUTURE

Disclaimer

Page 3

a. Kazakhstan Economy

b. Key Banking Sector Trends

c. Banking Sector Penetration Ratios

d. Competitive Landscape

Executive Summary

I. Market Overview

II. Update On Recent Developments – 2009

a. BTA Bank snapshot pre-restructuring

b. Recent Developments

c. Recent Financial Performance

d. Current Portfolio Structure

e. Overview of Asset Deterioration

f. Corporate, SME & Retail Loans

g. Investment in Affiliates & Key Subsidiaries

h. Securities

i. Funding and Deposit Outflow

Table of Contents

Page 4

III. New BTA Strategy

a. Strategy Overview

b. Focus on Current Liquidity

c. Branch Network & Subsidiaries

d. Current Structure & Governance

e. Specific Focus on Risk Management

f. Treasury

g. Human Resources & IT

a. Presentation of the Total Gross Loan Portfolio

b. Focus on Corporate Clients

c. Focus on the “Troubled Assets Portfolio”

d. Restructuring and Recovery Strategy

e. Focus on the “Performing Loans Division”

f. Corporate Business Strengths & Development Strat egy

g. Specific Focus on the Trade Finance

h. Deposits & Lending Dynamics

IV. Corporate Business Strategy

Table of Contents (cont’d)

Page 5

V. SME Business Strategy

a. Macroeconomic Considerations

b. SME Business Overview

c. Presentation of the Total Gross Loan Portfolio

d. Impaired Assets Criteria

e. Restructuring and Recovery Strategy

f. SME Business Strengths & Development Strategy

g. Lending Dynamics

VI. Retail Business Strategy

VII. Q&A

a. Macro-Economic Considerations

b. Evolution of Retail Clients

c. Presentation of the Total Gross Loan Portfolio

d. Impaired Assets Portfolio

e. Restructuring and Recovery Strategy

f. Retail Business Strengths & Development Strategy

g. Deposits & Lending Dynamics

Table of Contents (cont’d)

Page 6

Executive Summary

Page 7

Executive Summary

� Kazakhstan economy, which has been rapidly growing over the past decade, was heavily impacted by the global credit crunch and economic crisis, in particular the sharp decline in commodity prices

� The banking sector, which used to rely on access to cheap international funding, is currently facing major liquidity issues resulting from shortage of external funding combined with a dramatic decline in asset quality

� Recovery of the Kazakh banking system is largely dependent on macroeconomic prospects of Kazakhstan

� BTA has been Kazakhstan’s leading bank with #1 or #2 position in major areas. The Bank focused in particular on Corporate Banking and Trade Finance

� Its financial position was heavily affected by its loan portfolio that included a large number of dubious loans to non-transparent companies outside of Kazakhstan (including borrowersincorporated in a number of off-shore jurisdictions such as Panama, Cayman Islands and British Virgin Islands). Continuous investigations into suspected corporate governance abuses as many loans appear to be linked to former management

� Almost the entire corporate loan portfolio of the Bank had to be fully provisioned. The Bank’s trade finance portfolio is also largely composed of non-performing and dubious assets

� The impaired nature of BTA’s loan portfolio was revealed in late 2008 through FMSA investigations, which had led to BTA being acquired by JSC SWF “Samruk-Kazyna” (Samruk-Kazyna) and the creation of additional provisions reducing BTA’s net loans and impacting its capital structure

� Further to BTA’s acquisition by Samruk-Kazyna and replacement of BTA’s top management, further asset impairments were revealed at BTA, which had led to more provisions being created throughout 1H 2009

� Since its acquisition of BTA, Samruk-Kazyna has invested c.US$7bn to support BTA’s liquidity and does not intend to make any additional investments

Kazakhstan Economy

Background on BTA

Page 8

Executive Summary (cont’d)

� The new strategy of BTA is focused on:

- Recovery of troubled assets

- Reliance on customer funds and State as key sources of funding

- Refocusing of BTA’s business strategy with higher emphasis on Kazakhstan customers, retail and SME Business

- Scaling back on corporate and international business

- Rigorous risk management, KYC and lending policies

� BTA’s banking franchise (in particular, retail and SME) is fundamentally a healthy business that will perform efficiently now that the management and key shareholders of the Bank have changed and deficient legacy lending practices have been abandoned. Retail and SME blocs have retained the core infrastructure and personnel despite the recent financial turmoil

� A successful debt restructuring would boost the Bank’s profile in Kazakhstan and provide BTA with a certain competitive advantage over its local peers as it would be one of the first Kazakhstan banks to re-emerge after the peak of the financial crisis.

� The completion of debt restructuring is expected to stop deposit outflows and trigger a significant increase of loan recoveries and expansion of retail and SME business due to improved customer confidence

� Further development of SME and Retail businesses will ensure strong synergies and cross-selling opportunities

� Close ties with its key shareholder, Samruk-Kazyna combined with BTA’s strong infrastructure provide the Bank with a unique opportunity to benefit from servicing various state-sponsored programmes, as well as to act as the preferred bank for Samruk-Kazyna’s group companies

� BTA’s management and Samruk-Kazyna are fully committed to BTA’s successful recovery and development going forward

� BTA would become an attractive partner for strategic investors post-restructuring

New Strategy

Page 9

I Market Overview

Page 10

I Market Overview

a. Kazakhstan Economy

b. Key Banking Sector Trends

c. Banking Sector Penetration Ratios

d. Competitive Landscape

Page 11

Kazakhstan Economy

Source: NBRK, SARK

� Major international oil&gas player:� 3% of total world oil reserves� 1.7% of total world gas

reserves

� Key national industry:� c. 1/6 of GDP� 59% of exports

� Improved production capacities with infrastructure investments

� Price drop over 50% since peak (oil)

� 6th largest exporter of grain globally

� Regulatory framework for grain production developed in co-operation with EBRD

� Favorable climate (similar to Canada)

� Proximity to largest consumers (Russia and CIS, Middle East)

� Price drop over 50% since peak

� The last year’s sharp drop in commodities prices ha s negatively affected Kazakhstan growth projects since mid-2008 (e.g. exports in Q1 2009 down by c.6 0% vs. Q2 2008 or Q3 2008)

Kazakhstan Economy is Largely Dependent on Natural Resources

Oil & Gas: 16.0% of GDP Metals & Mining: 18.7% of GDP Agriculture: 5.3% of GDP

� Kazakhstan is world’s:� # 2 in uranium reserves� # 3 in zinc reserves � # 11 in copper reserves

� Cost improvement

� Mostly privatized and owned by large local players or leading internationals

� Price drop since peak: � Copper – 30%� Uranium – 50%� Zinc – 40%

Page 12

8.4%

5.9%

6.4% 6.9%7.6%

8.6%

10.8%

17.0%

6.0% 6.0% 6.0%6.0%

9.5%

8.7%

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Actual Forecast

8.9%

10.7%9.6% 9.7%

13.5%

9.8%9.3%

1.5%

-2.0%

8.0%6.5%6.5%

6.0%

3.3%

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Actual Forecast

Inflation Rates

Source: IMF as of 30/04/2009, SARK

� Surging commodity prices combined with a credit boo m supported a very strong economic performance in 2000-2007

� The international credit crunch and the global econ omic crisis have neutralized these two drivers lead ing to deceleration of growth in 2008 and expected drop in GDP in 2009

Kazakhstan Economy (cont’d)

GDP Growth Rates

Source: IMF as of 30/04/2009, SARK

Page 13

77.885.5

71.8

65.066.1

72.4

99.6

40

60

80

100

2006 2007 2008 2009 2010 2011 LT

Oil Prices (US$/bbl)

Source: brokers’ estimates, August 2009Note: WTI prices

Kazakhstan Economy (cont’d)

Uranium Prices ($/lb)

Source: brokers’ estimates, August 2009, BTA Bank

� Oil prices are expected to recover in 2010, fuelled by the expected recovery of the global economy, wh ich will drive demand

� Uranium demand is expected to grow by an average of 3.7% per year during the next 20 years whereas the prevailing uranium price is perceived as too low to stimulate sufficient supply to cover this future d emand. Hence after the trough reached in 2009 (below $50/l b) the prices are expected to stabilize in the mediu m/long term

Actuals Forecasts

65.063.2

100.1

48.8

63.0

48.1

67.5

65.0

40

60

80

100

2006 2007 2008 2009 2010 2011 2012 2013

Actuals Forecasts

Page 14

Funding Structure of Kazakh Banks (May 2009)

Source: FMSA

Key Banking Sector Trends

Key Figures

Source: SARK and FMSA

Net Profit Evolution ($m)

Source: Analyst report, FMSA, July 2009

� 5.3% of total GDP

� 38 commercial banks

� 1.2% of total economically active population

� Total assets / GDP: 76.4%

� Total loans / GDP: 64.3%

� Total deposits / GDP: 33.8%

� Corporate deposits / GDP: 23.5%

� Individual deposits / GDP: 10.3%

� Total Tier 1 capital / Total assets: (3.0)%

� 8.5% excluding BTA Bank and Alliance Bank

� Total reserves / Total loans: 30.6%

� 3 largest banks account for 58.3% of the total

banking system assets

Corporate deposits

31%

Retail deposits13%

Other sources8%

Eurobonds20%

Liabilities to f inancial

organizations18%

Local bonds 10%

89

1,806801538

(14,556)

2005 2006 2007 2008 30/06/09

Page 15

Evolution of Total Loans and Loss Provisions (LLP) Ratios at Major Kazakhstan Banks ($bn)

Source: Kazakhstan Financial review, June 2009

Evolution of Total Assets ($bn)

Source: Kazakhstan Financial Review, June 2009Note: $1= KZT150

� Total loans in the Kazakhstan banking sector grew t o $68bn in

June 2009 (from $47bn in December 2006). This incre ase was

driven mainly by very high GDP growth rates and eas y access

to foreign funding. The past 6 months, however, sho wed

significant negative dynamics in total loans

� Although the total banking assets have remained sta ble in the

first half of 2009, there was a sharp increase in t he loan

provisioning ratio at Kazakhstan banks, which result ed in a

much weaker performance

Key Banking Sector Trends (cont’d)

817978

31/12/07 31/12/08 30/06/09

47

74 77

68

23

5.9%

11.1%

30.6%

5.6% 5.0%

31/12/2005 31/12/2006 31/12/07 31/12/08 30/06/09

Loans LLP/loans

Page 16

Loan and Deposit Penetration (2008)

Loans/GDP Deposits/GDP

Source: EIU, Central Banks, FMSA (Kazakhstan Financial review, June 2009)Note: (1) CEE: Bulgaria, Czech Republic, Hungary, Poland, Romania and Slovakia

Banking Sector Penetration Ratios

� System suffers from structurally high loans/deposit s ratio

34%

26%

32%

38%

38%

55%

89%

30%

29%

31%2006

2007

2008

30/06/09

Russia

CEE Average

Poland

Ukraine

Czech Republic

Euro Area

(1)

64%

37%

41%

42%

48%

76%

125%

69%

59%

59%2006

2007

2008

30/06/09

CEE Average

Russia

Czech Republic

Poland

Ukraine

Euro Area

(1)

Page 17

Competitive Landscape

21.8%

20.9%

12.5%

8.9%

7.2%

3.4%

Halyk

KKB

BTA

CenterCredit

ATF

Alliance4.9%

8.0%

8.8%

16.3%

21.0%

21.1%BTA

KKB

Halyk

ATF

CenterCredit

Alliance 6.7%

6.8%

8.8%

12.7%

24.9%

25.6%BTA

KKB

Halyk

ATF

CenterCredit

Alliance

Ranking by Total Assets Ranking by Total Gross Loans Ranking by Total Deposits

Source: FMSA - 30/06/2009Note: $1= KZT150

Total Banking Assets:KZT12,150bn ($81bn)

Total Loans:KZT10,221bn ($68bn)

Total Deposits:KZT5,370bn ($36bn)

Page 18

II Update On Recent Developments – 2009

Page 19

II Update On Current Standings

a. BTA Bank Snapshot Pre-restructuring

b. Recent Developments

c. Recent Financial Performance

d. Current Portfolio Structure

e. Overview of Asset Deterioration

f. Corporate, SME & Retail Loans

g. Investment in Affiliates & Key Subsidiaries

h. Securities

i. Funding and Deposit Outflow

Page 20Page 20

Source: Company information

Overview Key Financials (KZTbn) – 2006 to 2008

Gross Loan Portfolio (31/12/2008)

� 25.6% market share in loans and 12.5% in deposits a s of 30/06/2009

� More than 1.3 million retail and 150,000 corporate clients

� Nationwide branch network including 22 branches and 269 cash settlement centers in Kazakhstan

� Extensive presence in the CIS

� Strategic partnership with Samruk-Kazyna and a leadin g role in servicing government-sponsored financingprogrammes

Retail9.9%

SME9.2%

Corporate80.9%

BTA Bank Snapshot Pre-Restructuring

2006 2007 2008 CAGR 06––––08080808

Balance sheet Gross loans 1,240 2,197 2,504 42.1 Provisions on loans (65) (111) (214) 81.4

Net loans 1,173 2,086 2,289 39.7

Total assets 1,825 2,649 2,915 26.4 Client deposits 495 591 828 29.4 Total equity 167 404 417 57.8 Income statement Net interest income 46 112 152 81.2 Operating income 107 161 167 25.4

Provisions (39) (45) (108) 66.4

Net income 21 49 13 (21.6) Key ratios Cost/income ratio 38.9 33.2 27.8 RoAE 16.0 17.0 3.1

Tier 1 ratio 9.6 13.6 13.9

Tier 2 ratio 13.5 13.8 13.2

%

%

%

%

%

%

%

%

%

%

Page 21Page 21

Historical Balance Sheet

Source: Company information, unconsolidated financials based on local GAAP

(KZT bn) 31/12/2008 31/03/2009 30/06/2009

Securities sold by REPO 52 250 364

Bank accounts and client deposits 828 788 682

Debt securities issued 781 887 898

Bonds to S-K - 648 662

Debt due to banks 623 626 550

Subordinated debt 159 147 147

Other liabilities 56 84 154

Total liabilities 2,498 3,430 3,456

Equity 417 367 (890)

Total 2,915 3,797 2,566

Key Comments

� Loan provisions have grown 10 times by June 2009 y- o-y. A sharp decrease in net loans resulted from additional provisions combined with a decrease in gross loans

� Substantial client deposit outflows in 1H 2009 resu lted in sharp deterioration in BTA’s cash position

Recent Financial Performance

Assets Liabilities / Equity

(KZT bn) 31 /12/2008 31/03/2009 30/06/2009

Cash and obligatory reserves 112 127 67

Trading securities 146 820 780

Loans and deposits to other banks 34 73 78

Gross loans to customers 2,504 2,883 2,897

Provisions (214) (491) (1,602)

Net loans to customers 2,2 89 2,392 1,295

Investments 213 232 233

Fixed and intangible assets 12 12 11

Other assets 109 142 101

Total 2,915 3,797 2,566

Note: (1) Includes Principal Amount + Accrued Interests

(1)

Page 22

Historical P&L Key Comments

� Weak net interest income in

1H 2009 due to a rapid increase in

non-performing loans

� Other non-interest losses in

1H 2009 are largely attributed to

losses from operations with

foreign currencies as well as

dealing transactions

� c. $9bn of new provisions created

due to further internal

investigations with respect to loan

quality

(KZT bn) FY 2008 Q1 2009 Q2 2009

Net interest income 152 34 19

Net fee and commission income 24 5 8

Other non-interest (loss) / income (9) 1 (28)

Operating income 167 40 (1)

Operating expenses (47) (9) (18)

Provisions for loan impairment (108) (246) (1,358)

Other provisions 3 (47) (141)

Profit before tax 16 (262) (1,518)

Income tax (expense) / benefit 3 0 0

Net (loss) / income 13 (262) (1,518)

Source: Company information, unconsolidated financials based on local GAAP

Recent Financial Performance (cont’d)

Page 23Page 23

� Total gross off-balance sheet exposure was equal to c.30% of total gross exposure as of 30/06/2009

� Trade finance operations, represented by L/Cs and g uarantees issued for clients, amounted to c.$1.8bn as of 30/06/2009

Loans and Off-Balance Sheet Exposure (KZTbn)

Source: Company information, unconsolidated financials based on local GAAP

Key Comments

Current Portfolio Structure

31/12/2008 31/03/2009 30/06/2009

Loans to legal entities 2,076 2,353 2,379

Loans to individuals 228 249 236

Total gross balance sheet exposure 2,304 2,602 2,615

Guarantees 902 998 1,006

o/w for clients 189 195 195

o/w Eurobonds 713 803 811

Letters of credit 133 120 93

Total gross off-balance sheet exposure 1,035 1,118 1,099

Total gross exposure 3,339 3,720 3,714

% of loans granted to related parties 1.6 1.5 1.5

Page 24

Тор 21 - 4012.8%

Other loans51.1%

Тор-2026.0%

Тор 41 - 6010.1%

Russia10.4%

Off-shore20.5%

Other CIS0.6% Kazakhstan

47.6%

Other 20.8%

Housing construction

16.1%

Infrastructure construction

8.9%Wholesale trade

11.0%

Individuals9.0%

Agriculture5.6%

Other19.9%

Oil and gas13.3%

Real estate16.2%

Corporate83.3%

SME7.7%

Retail9.0%

USD58.2%

Other2.0%

KZT33.9%

EUR5.8%

Insurance policy4.7%

Other26.5%

Blank17.6%

Goods in future6.5%

Real estate25.7%

Pawned (securities, shares and

others)11.6%

Guarantees7.3%

Currency Collateral Concentration of Borrowers*

Loan Portfolio Breakdown (30/06/2009)

Industry Clients Geographical Concentration

Source: Company information

Note:* only Corporate and SME

Current Portfolio Structure (cont’d)

Page 25

Source:Company information; the 30/06/2009 numbers represent BTA’s management’s view only and have not been independently verified

� The $9bn increase in provisions recorded in 1H 2009 after audit work results were subsequently applied to the local GAP provision figures

� Loan portfolio parameters were also affected by the Tenge devaluation and reclassification of certain as set types based on FMSA rules

Key Comments

Loan Portfolio Performance in 1H 2009 (KZTbn)

Overview of Asset DeteriorationGross Loans and Provisions by Business

31/12/2008 30/06/2009

(KZT bn) Gross loans

Accrued interest Provisions (%)

Gross loans

Accrued interest Provisions (%)

Corporate – Commercial loans 605 53 65 10.8 572 45 266 46.5

Corporate – Investment loans 543 58 24 4.5 687 123 463 67.4

Corporate – CIS excl. Kazakhstan 717 83 72 10.0 919 108 756 82.3

Corporate 1,865 194 161 8.7 2,178 276 1,485 68.2

SME 211 2 22 10.5 201 2 49 24.2

Retail 228 4 31 13.5 236 4 69 29.1

Total gross loans 2,304 200 214 9.3 2,615 282 1,602 61.3

Off-balance sheet exposure 1,035 5 0.5 1,099 99 9.0

Total gross exposure 3,339 219 6.6 3,714 1,711 45.8

Page 26

Source: Company information, unconsolidated financials based on local GAAP

� In 1H 2009 non-performing loans increased from 4.2% to 56.0% of gross loans, while standard loans fell to 25.7% of gross loans (in accordance with local meth odology of creating provisions)

Key Comments

Provision Statistics Based on Local Methodology

Overview of Asset Deterioration (cont’d)

31/12/2008 31/06/2009

(KZT bn) Gross loans Provisions (%) Gross loans Provisions (%)

Standard loans 1,102 0.0 673 0.0

Doubtful loans 1,106 118 10.6 478 147 30.7

1 category (5% provisioning) 715 29 4.1 117 6 5.0

2 category (10% provisioning) 33 3 7.1 23 2 10.0

3 category (20% provisioning) 278 56 20.0 82 16 20.0

4 category (25% provisioning) 38 10 25.0 20 5 25.0

5 category (50% provisioning) 41 21 50.0 237 117 49.6

Non-performing loans (100%) 97 97 100.0 1,465 1,465 100.0

Total on-balance sheet exposure 2,304 214 9.3 2,615 1,611 61.6

1,602

108

138 28.8

45.8

61.3

31/12/2008 30/06/2009

Page 27

Corporate LoansLoan Portfolio Breakdown

Roa ds & Indust ria l

buildings

2.4%

Tra de

28.2%

Che mic a ls

2.4%

Ot he r

1.8%

Oil & Ga s

34.2%

Re a l Est a t e

inve st me nt s

17.3%

Housing c onst ruc t ion

13.7%

Agriculture4 .4%

Other6 .1%

Chemicals3 .1%

Teleco ms2 .7%

Financial Services

4 .4%Energ y and Oil

& Gas11.8%

Real Es tate inves tments

28 .6%

Housing cons truction

22 .3%

Ro ads & indus trial build ings

16 .6%

> 3 years46 .4%

1-3 years36 .4%

6 m-1 year1.6%

1-6 months

4 .6 %

< 1 month0 .0%

Overdue11.0%

RUR2.2%EUR

11.5%

USD86.3%

EUR0 .1%

KZT3 8 .2 %

USD6 0 .4 %

RUR1.3 %

> 3 years54 .1%

1-3 years2 7.9%

6m-1 year5.2%

1-6 months

3 .4%

< 1 month0 .2 %

Overdue9 .2%

JPY4.1%

KZT57.6 %

USD30 .5%

EUR7.8 %

Loan Portfolio Breakdown

919

687

572

30/06/2009

KZT2,178bn

Commercial: 26%

Investment Loans: 32%

CIS: 42%

Fina ncia l Services

4.3%

Te xtile4.3%

Che micals2.8%

Other12.5%

Agriculture16.6%

Energy a nd Oil & Gas12.1%

Tra de7.9%

Trans po rt5.9%

Real Es ta te inve s tme nts

6.8%Ho us ing

co ns truc tio n20.3%

Ro ads & Indus tria l buildings

6.5%

< 1 month5.8 %

Overdue 16 .0 %

1-3 years23 .4%

6m-1 year4 .4%

1-6 months14 .0 %

> 3 years3 6 .3 %

By Industry By Currency By Maturity

Page 28

USD10.5%

Other1.1%

KZT88.4%

> 3 years36.6%

1–3 years22.9%

Overdue2.7%

6m–1 year14.5%

1–6 months21.3%

< 1 month1.9%

31/12/2008

(KZT bn) Gross Loans Provisions (%)

SME Loans 211 22 10.5

Own 191 22 11.4

Government 20 0 2.0

Accrued interest 2 – –

30/06/2009

(KZT bn) Gross Loans Provisions (%)

SME Loans 201 49 24.2

Own 164 47 28.4

Government 37 2 5.7

Accrued interest 2 – –

By Industry

� Diversified loan portfolio

� Provisions increased from 10.5% to 24.2% of gross l oans in 1H 2009

� Loans overdue 30 days amount to 21% of SME portfoli o and are fully covered by accumulated loan loss provisions

Source: Company information, unconsolidated financials based on local GAAP

Key Highlights

SME Loans

By Currency

By Maturity

Manufacturing2 .6%

Trad ing Co mpanies4 6 .2 %

Other15.6 %

Road s & Ind us trial Build ings13 .3 %

Real Es tate Inves tments1.5%

Ho using Co ns truct io n2 .0%

Hosp itality1.6%Agriculture

6 .1%

Energy 1.9%

Transport4 .5%

Food4 .6%

Page 29

Source: Company information, unconsolidated financials based on local GAAP

Key Highlights� Real estate related retail products account for c. 77% of total portfolio

� Up to KZT38bn increase in provisions in 1H 2009 res ulted from a

mandatory change of provisioning methodology (indiv idual assessment

of each loan instead of pooling). Once BTA’s capital position improved,

BTA may return to pooling retail loans for provisio ning purposes and,

therefore, may potentially release all or a part of , these additional

provisions

KZT49.3%

USD50.6%

Other0.1%

1–6 month1.1%

6m–1 year3.8%

<1 month0.1%

1–3 years14.1%

>3 years80.4%

Overdue0.5%

By Currency

Retail Loans

By Maturity

31/12/2008 (KZT bn) Gross loans Provisions (%) Consumer loans secured by real estate 80 12 15.4 Car loans 19 2 12.0 Unsecured loans 30 5 17.5 Mortgage loans 82 10 11.9 Other loans 17 1 7.7

Retail total 228 31 13.5

Accrued interest 4 – – 30/06/2009 (KZT bn) Gross loans Provisions (%)

Consumer loans secured by real estate 85 30 35.8 Car loans 17 5 26.5 Unsecured loans 21 4 20.2 Mortgage loans 97 27 27.7 Other loans 16 3 17.2

Retail total 236 69 29.3

Accrued interest 4 – –

29.1

Page 30

SekerbankA.S.

(Turkey)

LondonAlmaty

Insurance Co

BTA Insurance BTA Life BTA Zabota

BTA Securities

BTA Kazakhstan

Pension FundTemir Leasing BTA Orix

Leasing

OrantaInsurance(Ukraine)

33.98%

100%

100%

100%

26.75%

98.17%99.39%

86% 45.00%

14.01%

Other Financial Institutions

BTA Bank Kyrgyzstan

TemirLeasing

BTA Bank Russia

BTA Bank Ukraine

BTA Bank Belarus

BTA Bank Georgia

BTA Bank Armenia

BTA BankKazan

55.34%

18.88%

49.99%99.29%

71.00% 49.00% 48.93%

Subsidiary Banks

18.40%

Non-commercial entitiesFirst Credit Bureau

100%86.11%100% 100%

SPV TuranAlemFinance B.V. (Netherlands)

BTA FinanceLuxembourg SA

Temir Capital B.V. (Netherlands)

TuranAlemFinance (Russia)

22.26%

47.32%

Temirbank 1

Source: Company information

Note: 1 Voting shares stake amounts to 69.85%

Investments in Affiliates

BTA Ipoteka

100%

Page 31

Subsidiary Description BTA stake

(%) Total assets

(KZTbn) Net assets

(KZTbn) Carrying value

(KZTbn) BTA exposure

(KZTbn) 3

Temirbank Leading retail banking franchise in Kazakhstan

55.3 293 22 73 58

BTA Securities Investment banking arm of BTA 100.0 58 54 51 –

Sekerbank Turkish bank, owned by BTA Securities

34.0 832 114 49 –

BTA Russia Russian subsidiary of BTA 22.3 246 69 34 2

BTA Ukraine Ukrainian subsidiary of BTA 50.0 54 1 30 1 27 <1

Oranta Insurance Leading insurance company in Ukraine

14.0 17 2 7 2 10 –

BTA Ipoteka Specialised mortgaged lender in Kazakhstan

100.0 63 9 5.5 17

BTA Belarus Belarussian subsidiary of BTA 99.3 14 2 5 4.5

BTA Kazan Russian subsidiary of BTA 47.3 54 10 4 2.7

BTA Armenia Armenian subsidiary of BTA 48.9 4 2 1 0.6

BTA Georgia Georgian subsidiary of BTA 49.0 13 3 1 4

Notes:1 1 March 20092 1 April 20093 Funding provided by BTA Bank to its subsidiarySource: Company information

� BTA's share of total net assets in several subsidiar ies is significantly below the carrying value of th ose subsidiaries on

BTA's balance sheet, thus creating risk of additiona l write-downs on these assets

� BTA lost control in some of its subsidiaries (most notably BTA Russia) due to fraudulent actions of pr evious management

Key Highlights

Key Subsidiaries

Page 32

Corporate SecuritiesCredit Organisations’ Securities

State Securities

Source: Company information

Carrying Value Supranational Provisions KZT 46 bn

TOTAL NOMINAL VALUE KZT826b nTOTAL CARRYING VALUE KZT769bn

International Securities

� Alliance and Astana-Finance bonds are impaired asse ts due to financial problems of the respective issu ers

� BTA marks to market its securities portfolio on a m onthly basis - therefore the current numbers reflect fair value of portfolio as of 01/07/2009

KZT bn Nominal Carrying

Value

Samruk-Kazyna Fund 645 645

Ministry of Finance 8 9

Total 653 654

KZT bn Nominal Carrying

Value

Kazakhmys 2 1

Prodcorporation 5 4

Kazakhtelecom 0.03 0.01

Kazmunaygaz 22 22

Total 29 27

KZT bn Nominal Carrying

Value German Government 8.5 8.1 Asian Development Bank 0.03 0.03 American Development Bank 0.03 0.03 International Bank of Reconstruction and Development

0.03 0.03

Total 8.6 8.2

KZTbn Nominal Carrying

Value

Alliance-Bank 16 14

Astana-Finance 25 30

BTA Ipoteka 0.04 0.01

BTA Bank 14 12

Kazkommertsbank 18 12

Bank Halyk 2 2

ATF Bank 4 3

Bank CentreCredit 7 6

Kazakhstan Development Bank 4 3

Total 91 82

Supranational, KZTbn 44 44

Securities portfolioPortfolio Structure as of 01/07/2009

Page 33

31/12/2008 30/06/2009

Total: US$20,818m Total: US$23,042m

� As of 30/06/2009 state funding in the form of bonds to S-K, REPO facilities and state deposits amounte d to 41.4% of total liabilities

� The bank has experienced significant deposit outflo ws from both corporate and retail clients

Source: Company information

State Funding has been Critical in Ensuring Bank’s Operations in 1H 2009

Securities sold by REPO agreements

2.1%

Bank accounts and client deposits

33.2%

Debt securities issuedincl. Eurobonds

31.3%

Debt due to banks24.9%

Subordinated debt6.3%

Other liabilities2.2%

FundingFunding Structure Development in 1H 2009

Securities sold by REPO agreements

10.5%

Bonds to S-K 19.2%

Bank accounts and client deposits

19.7%

Debt securities issued incl. Eurobonds

26.0%

Debt due to banks15.9%

Subordinated debt4.2%

Other liabilities4.5%

Page 34

Samruk-KazynaBonds

� Senior unsecured bonds issued by S-K

� Interest rate of 9%, repayment within 2015–2024

State Programmes

� Long-term funding support for SME

� Long-term funding support for agricultural sector

� Long-term funding support for construction

� Long-term funding support for mortgage market

Other Liquidity Support

� Long-term loans

� Deposits on demand

� Term deposits

Source: Company information

KZT645bn

KZT37bn

KZT8bn

KZT20bn

KZT40bn

KZT3bn

KZT257bn

KZT41bn

Description Amount

� The State and Samruk-Kazyna have invested c. $7bn in supporting BTA through various forms of funding

� Samruk-Kazyna stated that no further support will be provided to BTA Bank before restructuring process is

completed

Funding (cont’d)Extensive State Support

Page 35

Key Highlights

� BTA experienced significant net deposit outflows in 1H 2009, particularly in term deposits (c.62% decr ease)

� Considerable inflow of deposits from state companie s (including S-K) to corporate current accounts has partially mitigated negative impact of deposit run. Deposit levels stabilized in 2Q 2009

Source: Company information

Customer Accounts Dynamics in 2009 (KZTbn) Terms Deposits Dynamics in 2009 (KZTbn)

Customers Deposits

26 25 20 19 20 19 20

75 6864 69 59 59 62

65126

191219

277 282 280166

218 275

308

357 360 362

Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09

Retail SMEs Corporate

247 244201 194 169 151 148

51 50

26 2013 11 12

352

231

274255

165153 148

650

525

501469

347314 308

Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09

Retail SMEs Corporate

Page 36

III New BTA Strategy

Page 37

III New BTA Strategya. Strategy Overview

b. Focus on Current Liquidity

c. Branch Network & Subsidiaries

d. Current Structure & Governance

e. Specific Focus on Risk Management

f. Treasury

g. Human Resources & IT

Page 38

� Due to the deteriorated conditions in capital markets and scarcity of funding sources, BTA is now largely dependent on (i) Samruk-Kazyna funds and other state support; and (ii) customer funds, (e.g. deposits)

� A strong emphasis will also be made on maximising cash-in from existing assets. This includes recovery of non-performing assets. All of these assets have been identified and a dedicated senior recovery team has been assigned to lead the recovery process

� Limited funding opportunities and higher cost of funding would require BTA to scale back its growth prospects as a universal bank and also focus on domestic market. Growth perspectives are expected to become more dependent on Kazakhstan’s macroeconomic outlook

� SME and Retail will have to become the key business segments areas for BTA, while the corporate loan book will need to be rebuilt entirely

� Lending procedures are being reviewed and improved with a focus on managing credit risk more efficiently

� A successful debt restructuring would provide BTA with an advantage over other Kazakhstan banks as BTA would be one of the first Kazakhstan financial institutions to have “overcome the financial crisis” as opposed to a generally distressed banking sector with generally limited funding sources

� A successful restructuring would also boost client confidence (as opposed to expectations of similar issues in other banks in the future), which would give BTA an opportunity both to increase collections on existing assets, as well as to attract new clients, including depositors

� After restructuring, BTA will carry on with capitalising on its historical strengths (network, customer base, experience in servicing state-sponsored programmes)

Funding

Strategy (General)

CompetitiveStrenghts

Strategy Overview

� Following detailed examination of the financial and commercial situation of BTA, and in particular the loan portfolio, BTA's new management has identified the fo llowing key strategic priorities:

Page 39

� Keeping the bank’s core clients is essential

� Focus on domestic customers

� Strict segmentation of clients will allow to create a strong CRM tool to maximise cross-selling opportunities (cash management products)

� Successful debt restructuring would help restoring BTA’s historically strong customer base

� Increased focus on domestic market and exiting subsidiaries and affiliates that are not viewed as strategically important

� BTA is downsizing its network by closing some outlets as well as its staff to reduce the cost base

� Although headcount reductions will be required, BTA will be focusing on retaining its core personnel

� BTA’s new strategy will be focused on strong and sus tainable profitability, rather than expanding the asset base

� Key products and client segments as well as regional markets are being thoroughly evaluated with respect to their revenue and profitability potential. Non-profitable segments will be discontinued

Clients

Optimization of the Bank’s Structure

Strategy Overview (cont’d)

Focus on Sustainable Profitability

Page 40

� Although BTA is almost fully dependent on state fun ds in the very short term, the Bank will gradually diversify its funding base

Attraction of Clients

� Restore confidence and return to historic market share

� Expansion of deposits’ base through possible attractive pricing policy and new products

State Funds

Active Portfolio Restructuring and

Potential Refinancing of the Portfolio

Clients

Samruk-Kazyna

� E.g. Financing Program for Civil-Engineering projects and mortgage lending – US$ 5 bln USD in 2009-2010

Stress Assets Fund

� Possible Repurchase of some of the Bank’s troubled assets

Cross-Selling Maximization

� To support an effective cross-selling system relationship management

Kazakh Development Bank

� Refinance the obligations of the Bank’s borrowers

� Customer confidence is crucial for attracting custo mer funds

State Programs

� Further active state programs involvement in long-term funding ensuring to support SME – US$ 1 bln. in 2009-2010, agricultural sector – US$4 bln USD in 2009 -2011, realization of innovation industrial and infrastructure projects – US$ 4 bln. during 2009 – 2010. (total investment of KZT9.5 trillion is expected during next 5 years)

Focus on Current Liquidity

Page 41

Branch Number of units ATMs POS

Almaty 38 113 185

Aktobe 27 104 168

Semey 24 42 61

East Kazakhstan (Oskemen) 18 48 75

Kokshetau 15 16 24

West Kazakhstan (Uralsk) 14 35 46

Karaganda 13 33 50

South Kazakhstan (Shymkent) 13 51 113

Taldykorgan 12 8 19

Kostanay 11 16 18

North Kazakhstan (Petropavl) 11 17 24

Atyrau 10 45 91

Taraz 10 16 21

Kyzylorda 9 27 32

Astana Branch 9 122 179

Mangistau (Aktau) 7 16 20

Pavlodar 6 48 64

Temirtau 6 16 34

Dzhezkazgan 5 12 19

Ekibastuz 5 21 24

Kulsary 4 3 4

Aksay 2 15 18

Total units 269 824 1289

Total branches 22

Domestic Distribution Network

Source: Company information

Nationwide Coverage

Key Highlights

� BTA’s branch network encompasses 269 outlets, including:

� 154 full service outlets, offering full range of products to corporate and

retail clients

� 45 specialised retail units, servicing all types of retail clients

� 70 cash settlement units, providing payment services to retail clients

� Ongoing branch network optimisation on the basis of performance criteria

� 10 outlets were closed since the beginning of 2009, 44 more outlets

expected to be closed by the year end

� Starting from 2010, the Bank plans to start expanding its Branch network

� Opening of universal units serving retail and SME, reflecting increased focus

on servicing SME and retail clients

Branch Network

290280

260

240230225

279

2008 2009 2010 2011 2012 2013 2014

Page 42

The new BTA strategy will envisage refocusing on th e domestic market. BTA is in the process of a compr ehensive review of its subsidiary network to decide which assets are core for its operations and which assets the Bank will d ispose of

Note: 1 Owns 33.98% stake in Turkish Sekerbank2 Loan facilities and funding extended by BTA to its subsidiaries and affiliates

Key Subsidiaries

� The largest four subsidiaries below together accoun t for

c.80% of BTA’s investments total carrying value

� BTA views BTA Securities as its core asset

� BTA Russia and BTA Ukraine are essential for the

company’s recovery efforts. At the moment, the Bank

pursues legal actions against its former shareholde rs

aimed at regaining operational and management contr ol

over its Russian and Ukrainian subsidiaries

� Temir is regarded as a non-core asset as BTA’s retail

business is based on BTA’s own retail platform

Key Criteria for Core Treatment

� Strategic importance to servicing BTA key client se gments

(cross-selling capabilities, product expertise, acc ess to

regional markets)

� High growth and profitability potential of business segment

where subsidiary operates

(KZT bn) Temirbank BTA securities 1 BTA Russia BTA Ukraine

Strategic Approach NON-CORE CORE

Description Leading local retail bank

Investment arm of BTA Russian subsidiary of BTA Ukrainian subsidiary of BTA

BTA Stake (%) 55% 100% 22% 50%

Net assets 22 54 69 30

Carrying Value in BTA’s books 73 51 34 27

BTA exposure 2 58 - 1 2

Subsidiaries

Page 43

Name BTA

stake (%)

Carrying value

(KZT bn)

Liabilities provided

by BTA (%) Core / non-core Investment strategy

Sekerbank A.S. (Turkey) 34.0 49 – Core Under Strategic Review

BTA Russia 22.3 34 1 Core Preservation in BTA Group

BTA Bank Ukraine 50.0 27 2 Core Preservation in BTA Group

Oranta Insurance (Ukraine) 14.0 10 – na na

BTA Bank Belarus 99.3 5 35 Core Preservation in BTA Group

BTA Bank Kazan 47.3 4 6 Core Preservation in BTA Group

BTA Bank Kyrgyzstan 71.0 3 66 Core Preservation in BTA Group

BTA Bank Georgia 49.0 1 45 Non-core Sale at attractive valuation

BTA Bank Armenia 48.9 1 28 Non-core Immediate sale

? ? Temirbank 55.3 73 21 Non-core Under Strategic Review

BTA Securities 100.0 51 – Core Preservation in BTA Group

BTA Ipoteka 100.0 5 31 Non-core Under Strategic Review

BTA Kazakhstan Pension Fund 86.0 5 – Core Preservation in BTA Group: aimed at growth of investment value

London Almaty Insurance Co 99.4 3 – Core Long-term investments; possible sale if there is optimal situation on market

BTA Insurance 100.0 1 – Core Preservation in BTA Group: aimed at growth of investment value

BTA Life 100.0 0.5 – Core Preservation in BTA Group: aimed at growth of investment value

BTA Zabota 98.2 0.4 – Core Preservation in BTA Group: aimed at growth of investment value

Temir Leasing 45.6 2 – Core Preservation in BTA Group: aimed at growth of investment value

ORIX Leasing 45.0 0.5 15 Core Preservation in BTA Group: aimed at growth of investment value

Source: Company information

For

eign

Sub

sidi

arie

sK

azak

hsta

n S

ubsi

diar

ies

Subsidiaries (cont’d)Focus on Key Subsidiaries

Page 44

CEO

Internal Audit

Source: Company information

� Audit committee

� Risk committee

� Compensation committee

Board of Directors’ Committees

Management Committees

BUSINESS UNITS CORPORATE SERVICES

RECOVERY SUB-COMMITTEE (RSC)

Current Structure

Retail bankingFinance and

risk managementTreasury and

Capital MarketsOperations

Corporate banking and investment projects

SME bankingInternational business Asset restructuringAstana Branch Legal and compliance

BOARD OF DIRECTORS

Page 45

Board of Directors

� Arman Dunayev , Deputy Chairman of Samruk-Kazyna, is appointed as Chairman of BTA’s Board

� New members of the Board of Directors elected on 6th March

� Mr.Iskandirov , Mr.Aitekenov and Mr.Karibzhanov represent Samruk-Kazyna Fund

� Mr.Wokurka (Managing Director at Metzler Asset Management) and Dr.Korishenko (the current President of MICEX – the largest Russian securities and forex exchange) join Mr.Talvitie (principal at East Capital) as independent directors

� Other Board Members are Mr.Saidenov (CEO) and Mr.Tatishev

� The Bank has also announced revision of its corporate governance standards to create higher transparency by formalisation of division responsibilities and control structures

Board of Directors

Page 46

� The Bank’s entire governance structure has been rev iewed in a company-wide effort to effect corporate governance reforms. Some changes and reviews applie d are aimed at reducing risk and strengthening inte rnal controls

Functions and rules of procedure

General Meeting of Shareholders

Board of Directors

Management

� Decisions regarding the composition and terms of reference of the Returning Board and the Board of Directors

� Review and approval of the Bank’s performance

� Capital increases

� The Board of Directors is the supreme authority in the affairs of the Bank between shareholders’meetings, and in that period holds decision-making rights on all important or outstanding issues

� The Board ensures that all operations are in compliance with the laws and regulations governing its activities

� The Board determines the Bank’s strategy and appoints CEO and the Management team

� Execution of Bank’s strategy

� Day-to-day running of the Bank, appointment of senior and branch management

Source: Company information

The bank aims to implement a corporate governance f ramework consistent with international best practice s

Changes implemented

� New BoD was elected (9 members with 3 independent)

� Corporate calendar introduced under which BoDmeets three times a month (once physically, twice remotely)

� More active interaction of BoD with management

� Newly created appointments and remuneration committee

� New management board appointed

� Greater emphasis on committee structure as well as risk management, including credit risk management

� Samruk-Kazyna acquired controlling stake of 75.1%

Governance

Page 47

Assets and Liabilities Committee

� Regulates internal and external audit, monitors efficiency of internal controls system

� Must be composed of at least three members, minimum one member should be independent

� Committee holds meetings on an ad hoc basis, but not less than once per quarter

Board of Directors

� Advisory body supporting BoD decision-making on analysis, assessment and control of risks

� Minimum two members of BoD and Chief Risk Officer

� Meetings on a monthly basis

� Advisory and consultative body, established to increase the Bank’s performance management by developing guidelines for HR and motivation policies

� Minimum three BoD members and two independent directorsDisciplinary Committee

Ethics Committee

Product Committee

Budget Committee

Client Committee of Head Office

Problem Loans Committees

Credit Committees

Source: Company information

� See page 49

� Execution of assets and liabilities policy� Setting pricing for banking products� Weekly meetings

� Responsible for promoting sales growth� Portfolio diversification� Weekly meetings

� Execution and approval of Bank’ s budget� Weekly meetings

� Development/modification of banking products� Weekly meetings

� Development of corporate ethics standards� Ad hoc meetings

� Considers investigation reports and applies sanctions to Bank’s officers

� Ad hoc meetings

� Monitor portfolio to reveal payment delays� Minimise non-payment risks� Work on NPL recovery� Weekly meetings

Management (CEO)

Audit Committee

Appointments and Remuneration Committee

Risk Committee

Governance (cont’d)Committee Structure Ensures Stronger Risk Governanc e

Page 48Source: Company information

Portfolio diversificationPriority given to SME loan business and key agricultural and industrial companies with a focus on full production cycle businessesFinancing state-owned companiesFocus on export and high added value industriesNo new real estate projects, start-up investment pr ojects, and non-residents (including off-shore companies)Development and introduction of MAC (maximum allowable concentrations) of portfolio risksNew borrower risk assessment system

Decrease of lending limits by productsMandatory income confirmationFocus on non-secured lending to employees of corporate clients (salary projects)LTV within 0,5 – 0,75, obligatory initial instalment (e.g. in mortgage and car loans)Closing of a number of risky lending programmes (e.g. secondary market auto lending)Accreditation of companies to employ the borrowersObligatory examination of clients through credit history bureau

Increase of amortisation ratios by all types of real estate (from 30% up to 50% depending on the region)Setting required minimum levels for liquid collateral (deposits, real estate, insured cars and equipment) – at least 70% in the collateral structureSetting limit on a share of land lots and subsurface use rights in collateral – not more than 30% of financingImmovable property under construction may not be taken as collateral if completed less than 80%Any collateral suggested for loans exceeding US$3m will need to be reviewed by the Bank’s special collateral valuation departmentMore rigorous approach towards using the services of independent appraisers. Independent appraisers to work with the Bank subject to regular accreditation

Corporate and SME business

Retail

Tightening collateral policy

Key Parameters of New Credit Policy

Risk ManagementNew Credit Policy

Page 49Source: Company information

Risk Management (cont’d)System of Credit Committees

RetailSMECorporate

� Loan applications of SME clients over branch limits (max US$5m for investments, US$10m for working capital replenishment)

� Meets twice a week

� Control over lending procedures of the Bank, issuance of any financing(including SME super limit)

� Credit methodology (regulations)

� Set limits for subordinate credit committees and contractor banks (over US$ 5m for investments, US$ 10m for working capital replenishment )

� Meets twice a week

Credit committee of branch network (CC BN)

Head Office Credit committee (CC HO)

� Decisions on retail financing issuance in accordance with the Bank’s credit policy

� Decisions on non-standard, over-the-limit loans (in excess of US$1m)

Major Credit Committee for Head Office Retail Business

� Decisions on retail financing issuance (less than US$1m – considers over-the-limit, non standard applications)

� Improvement of Bank’s credit procedures

� Meets daily

Minor Credit Committee for Head Office Retail Business

� Authorized to make decisions within set branch loan limits on one borrower

� Loan applications and CIS countries projects

� Preliminary establishment of loan limits on regional banks and subsidiary banks

� Meets weekly

Credit committees of branches

Regional Credit Committee (RCC)

� Loans issuance within set limits depending on branch portfolio and contingent liabilities quality

Credit committees of branches and authorized persons

Credit Committee System

The Bank Board of Directors MUST approve ANY loan where:

� the borrower has any type of special relationship with the Bank

� the Borrower is affiliated to the Bank

� the loan is an exception from the Bank credit policy

� the loan involve any type of state interest

Page 50

Risk Management team has responsibility for Credit, Operational, Regulatory and Compliance Risks

Chief Risk Officer

Head of Credit and Operational Risks Department

Credit Risks Division of Head Office

Corporate business risks

Loan portfolio monitoring

Banks and financial institutions risks

Credit Risks Division of SME

Small business risks

Branches analysis and monitoring

Branch risk-management

Methodology of retail products

Retail business monitoring

Risks of Retail Business and Underwriting

Division

Credit applications

analysis

Operational Risks Division

Technological risks

Continuous activities management

Identification and monitoring of operational

risks

Methodology

Source: Company information

Chief Executive Officer

Risk Management (cont’d)Current Organisation

Page 51

Real estate investments16.2%

Industrial construction8.9%

Mortgage3.7%

Oil and gas13.3%

Wholesale trade11.0%

Agriculture5.6%

Retail excl. mortgage5.3%

Other19.9%

Housing construction16.1%

76.1

50.357.3

(6.4)(8.7)

41.132.2

33.830.2

(4.8)

(20.4)

42.6

(40)

(20)

0

20

40

60

80

100

2004 2005 2006 2007 2008 Jul-09

(%)

New housing Resale

Source: Company information

� Access to inexpensive sources of financing and rapid growth of real estate prices resulted in excessive exposure to the real estate sector

� The Bank financed risky real estate projects:

� Start-up companies without expected steady cash flows

� Speculative land deals performed at above-the-market valuations

� Development projects in CIS countries related to former shareholders

� Most of these projects are considered to be non-performing

� Projects that are still viable require additional financing to implement them completely

36% of gross loans relate to Real Estate

Note:1 % (decrease) / increase on end of previous period

Source: Company information

Source: The Agency of Statistics of the Republic of Kazakhstan

Risk Management (cont’d)Focus on the Real Estate Market

Key Highlights Loan Portfolio - Industry Breakdown

Housing Prices Development 1

Page 52Source: Company information

� Treasury functions: - regulates the Bank’s external cash flows to meet the Bank’s client demands, as well as internal and regulatory liquidity

standards- hedges the Bank’s currency risks- engages in securities and derivatives trading

Deputy Chairman of the Management Board

Treasury

DealingSecurities and

Derivatives TradingAgency Operations

Treasury Operations Support

� Currency exchange operations

� in interbank market

� with Bank’s branches

� clients

� Exchange transactions in cash with commercial banks

� Management of the Bank’s securities portfolio

� Securities and derivatives trading on external and internal market in order to maintain liquidity and make profit from respective activity

� FX services, FX rate fixing

� Attracting corporate deposits

� Analysis of the Bank’s deposit base by currencies, terms, types etc.

� Development of new products for corporate deposits

� Technical, documentary and procedural support

� Development and improvement of Treasury’s internal documentation, document control keeping

� Design reports

A top priority for the bank now is to maintain curr ent liquidity

Treasury

Page 53

� Total headcount as of 31/07/2009 stood at 5,967, de creasing 9.6% since end 2008

� Branches had 4,120 employees as of 31/07/2009, acco unting for almost 70% of the total headcount of the Bank

� Staff costs per employee being reduced by approxima tely 25% in a company wide effort to improve cost efficiency per employee

Source: Company information

5,259

7,164

6,6016,358

6,2145,967

4,000

5,000

6,000

7,000

8,000

2006 2007 2008 Mar-09 Jun-09 Jul-09

Human Resources Current Landscape

2,086

2,880

2,430 2,320 2,2930 80

0 60

0 450 54

0 68

0

500

1,000

1,500

2,000

2,500

3,000

3,500

2006 2007 2008 Mar-09 Jun-09

(KZ

T '0

00)

0 0

0 2

0 4

0 6

0 8

1 0

1 2

1 4

(%)

Staff costs/employee (LHS) Staff costs/average total assets (RHS)

Key Highlights

Number of Employees Annual Employee Expenses

Page 54

Key Highlights

� During 2009 the Bank plans to reduce its headcount. Reductions will impact both business and supportin g functions

� Reductions in HQ were much higher than in the regio nal offices. During the first 7 months of 2009:

� The number of employees in head offices is reduced by 16.4%

� The number of employees in regional offices is reduced by only 6%

� Going forward, the Bank plans to increase the share of employees deployed in client facing roles throug h improving efficiency of back-office operations

� It is envisaged that c.100 employees will be workin g on the execution of the recovery strategy. These professionals will include seasoned loan officers, who will refocus on collection functions, lawyers, etc.

Human Resources Planned Changes

Page 55

Retail business front-end applications

FEB CTLKastle ULS 1

Back-end applications

IBSO HQ ORACLE e-Business Suite 2

Trade Innovation

Customer self-service applications

Internet Banking

SMS Banking

Data consolidation and reporting applications

IBSO GLMIS

IBSO Branch

Siebel CRM

SAS OpRisk 3

Branch automation solution

Operation risk management

Customer relationship management

Online money transfer applicationFaster

Source: Company information

The Bank has one of the most modern and reliable IT infrastructures on the Kazakhstan market that prov ides for a high level of automation for both back office and f ront office operations

Notes:1 Migration phase2 UAT phase3 Statistics gathering phase

IT Systems Current Landscape

Page 56

Manage and motivate our people

Maintain focus on risks and controls

Cost control is crucial

Delivery of effective and efficient change

Customer service excellence

Actions for the FutureHighlights From the PastOur Strategy

� Duplication of critical components with the intention of increasing systems reliability

� Capacity planning – monitoring system for threshold values

� Taking advantage of modern, proven and robust technology

� Staff development, turning knowledge into skills

� Customer service must differentiate from the competitors

� Focus on process and control improvement

� Hiring freeze and some reductions

Source: Company information

� Use modern technology to reduce capital and operating expenses

� Increase quality of data, provide consistent classification and resolve data-reconciliation issues

� Develop hardware update strategy based on End of support notifications from vendor

� Reduction of gaps between business and IT

� Focus on product development and service availability

� Information security management: ISO/IEC 27001:2005 certification

Operations Operations

Technology Technology

Technology Strategy

Page 57

IV Corporate Business Strategy

Page 58Page 58

IV Corporate Strategic Plana. Presentation of the Total Gross Loan Portfolio

b. Focus on Corporate Clients

c. Focus on the “Troubled Assets Portfolio”

d. Restructuring and Recovery Strategy

e. Focus on the “Performing Loans Division”

f. Corporate Business Strengths & Development Strat egy

g. Trade Finance Overview

h. Deposits & Lending Dynamics

Page 59

Breakdown of the Total Gross Loan Portfolio (30/06/2009)

Source: BTA Bank

Page 59

Presentation of the Total Gross Loan Portfolio Overview

83%

9%

8%

Corporate Loans Retail Loans SME Loans

The corporate loan portfolio stands for 83%of the total gross loan portfolio

Page 60

Evolution of Total Gross Loan Portfolio

Source: BTA Bank

Industrial Construction

9%

Housing Construction

19%Real Estate investments

20%

Others16%

Agriculture6%

Trade11%

Energy and Oil & Gas19%

42%38%35%

32%

29%19%

26%

33%46%

31/12/07 31/12/08 30/06/09

KZT1,596bn KZT1,865bn KZT2,178bn

Investment PortfolioCIS Commercial

Kazakhstan58%

Russia37%

Others6%

Presentation of the Total Gross Loan Portfolio (cont’d)

Georgia 2.5%

Ukraine 2.4%

Armenia 0.4%

Serbia 0.3%

Commercial Portfolio

CIS excluding Kazakhstan

Investment Portfolio

Internal Segmentation

Financial services 3.0%

Chemical industry 2.8%

Mining 1.6%

Transport 1.6%

Telecommunication 1.4%

Others 5.2%

Split by Sector

Source: BTA Bank

Clients of the Corporate division are defined by:

� A turnover above $25m

� A financing limit above $10m

CAGR: +23%

Overview (cont’d)

Note: (1) Financing of "empty" project companies for realization of financial schemes (mainly applied by former shareholders of Bank)(2) Working capital replenishment within framework of the trade companies financing

Geographical LocationScheme Deals (1) Trade (2)

Investment purposes

Kazakhstan ���� ���� ����

CIS and offshore countries ���� ���� ����

Kazakhstan, Russia, Offshore countries and mixed participation

���� ���� ����

Split by Projects

Page 61

Presentation of the Total Gross Loan Portfolio (cont’d)Loan Portfolio Breakdown

Industrial Construction 2.4%

Chemical industry 2.4%

Mining 0.1%

Others 1.7%

Industrial Construction 6.5%

Transport 5.9%

Financial services 4.3%

Metallurgical industry 4.3%

Textile and leather industry 4.3%

Chemical industry 2.9%

Other 8.1%

Housing construction22% Others

21%

Industrial Construction17%

Real Estate investments

29%

Energy and Oil & Gas12% Agriculture 4.4%

Financial Services 4.4%

Chemical industry 3.1%

Telecommunication 2.7%

Mining 2.0%

Others 4.1%

Trade28%

Others7%

Real Estate investments

17% Housing Construction14%

Oil & Gas34%

Energy and Oil & Gas12%

Agriculture17%

Trade8%

Others36%

Real Estate Investments7%

Housing Construction20%

919

687

572

30/06/2009

KZT2,178bn

Commercial: 26%

Investment Portfolio:

32%

CIS: 42%

By Sector

Source: BTA Bank

Page 62

By Geography By Maturity By Currency

� Portfolio is mostly domestic (99%)

Kazakhstan34%

Offshore50%

Others16%

919

687

572

30/06/2009

KZT2,178bn

Commercial: 26%

Investment Portfolio:

32%

CIS: 42%

Presentation of the Total Gross Loan Portfolio (cont’d)Loan Portfolio Breakdown (cont’d)

Past due16% < 1 year

24%

1 to 3 years23%

Over 3 years36%

Past due9%

< 1 year9%

1 to 3 years28%

Over 3 years54%

Past due11%

< 1 year7%

1 to 3 years36%

Over 3 years46%

Other < 1%

EUR8%

USD30%

KZT58%

JPY4%

Other1%

USD61%

KZT38%

USD87%

EUR11%

RUR2%

Others14% CIS

29%

Offshore21%

Luxembourg36%

Source: BTA Bank

Page 63

Presentation of the Total Gross Loan Portfolio (cont’d)Current Provisioning

163

306

224

CIS InvestmentPortfolio

Commercial

Loan Loss Provisions (30/06/09)

Source: BTA Bank

Net Loans (30/06/09)

Source: BTA Bank

756

463

266

CIS InvestmentPortfolio

Commercial

Gross Loan Portfolio (30/06/09)

Source: BTA Bank

KZT2,178bn KZT1,485bn KZT693bn

919

687

572

CIS InvestmentPortfolio

Commercial

82% 67% 47%

LLP Total Ratio: 68%

Page 64

Focus on Corporate Clients

Concentration

Source: BTA Bank

Other loans51%

Тор 521%

Тор 6-1013%

Тор 11-2015%

Тор 11-2017%

Тор 6-1014%

Тор 533%

Other loans36%

Other loans48%

Тор 521%

Тор 6-1013%

Тор 11-2018%

919

572

687

30/06/2009

Commercial: 26%

Investment Portfolio:

32%

CIS: 42%

KZT2,178bn

Page 65

Focus on the “Troubled Assets Portfolio”

� The Bank has set specific criteria to define the ec onomic scope of the “Troubled Assets Portfolio” in t he Corporate loan portfolio:

Methodology

Criteria for the “Troubled Assets Portfolio” for Cor porate

Economic Legal

1. Inability to serve debt in accordance with loan terms

2. Over 60 days delinquency

3. Provisions charge between 50 % and 100 %

4. Two or more loan extensions

5. Debt discharge in the end of term

6. Need for further investments to complete projects with no interim cash flows

7. Problem sectors: construction and development (civil and industrial), property speculations, building materials production, building materials trading, mining start-ups

1. Suspected related parties transactions

2. No business related loans

3. Uncertain legal status under the bargain

4. Pledge Absence/pledge discharge

Source: BTA Bank

Corporate “Troubled Assets Portfolio”

No legal split. Dedicated teams to manage Portfolio Restructuring

and Recovery

Page 66

Economic Split of the Corporate Loan PortfolioFocus on the “Troubled Assets Portfolio” (cont’d)

Source: BTA Bank

� Corporate loan portfolio split (“Performing Loans” v s. “Troubled Assets”):

= +

42%48%

34%

11%

32%

18%

89%

26%

30/06/09 "Performing Loans Division" "Troubled Assets Portfolio"

KZT2,178bn KZT251bn KZT1,927bn

Investment PortfolioCIS Commercial

Page 67

TAP Gross Value (KZTbn)

Source: BTA Bank

Loan Loss Provisions (KZTbn)

Source: BTA Bank

TAP Net Value (KZTbn)

Source: BTA Bank

Provision StatusFocus on the “Troubled Assets Portfolio” (cont’d)

12

111

CIS InvestmentPortfolio

Commercial

Ø

907

549

348

CIS InvestmentPortfolio

Commercial

919

660

348

CIS InvestmentPortfolio

Commercial

KZT1,927bn KZT1,804bn KZT123bn

99% 83% 100%

LLP Total Ratio: 94%

Page 68

Restructuring and Recovery StrategyMethodology

Step 1

Step 2

Step 4

1

2

3

4

� Specific criteria to define the economic scope of the “Troubled Assets Portfolio”

� Portfolio streaming between “Performing Loans Division” and “Troubled Assets Portfolio”

� Financial impact of restructuring and post-restructuring forecasts

� Possible strategies for the “Troubled Assets Portfolio”:

� Recovery

� Write-off

� Restructuring and transfer to “Performing Loans Division”

Step 3

Page 69

Restructuring and Recovery Strategy (cont’d)Detailed Organization

RECOVERY SUB-COMMITTEE (RSC)

RSC tasked by Strategy Committee

to:

• Identify dubious assets

• Advise on recovery options

• Implement recovery action

Co-ordinator Global advisers

BTA BANK BOARD

STRATEGY COMMITTEE MEMBERS

Anvar Saidenov - Co-ChairChairman of BTA

Marcia Favale-Tarter - Co Chair Senior Adviser to PM

Marat Aitenov SK Legal adviser[Two Investor Representatives]

John Howell – John Howell & Co Lovells - Counsel and UK Team

PWC - Forensic AccountantsMembers

Nikolay Varenko – BTA First Vice ChairmanPavel Prosyankin – BTA Advisor

RSC controls activity and return funds

flow:

• Reports monthly via Coordinator

• Meets weekly

• Ensures recoveries are ring-fenced

(TBA) IndependentAudit of Recoveries

Recovery action undertaken by BTA, global advisers, regional teams

Recoveries in each jurisdiction

returned to BTA controlREGIONAL LEGAL TEAMS

TROUBLED/DUBIOUS ASSETS

Notifications to BTA Board via BTA Co-Chair

Strategy Committee vets spend

Page 70

� Lovells are working with PWC to retrieve data which will enable them to identify potential new claims to

recover assets. Also working to identify potential assets to satisfy claims

� The team is analysing the bank’s accounting systems and taking steps towards the recovery of electroni c

and other documents for review and analysis by both Lovells and PWC

� Work to date has focussed on identifying what data will be useful for the purposes of the wider

investigations, and assessing how this data may be recovered and reviewed in an efficient and systemati c

way

� Once data has been captured, lawyers from Lovells wil l commence a review to identify further claims for the

recovery of assets. The review will identify suspic ious features or patterns in transactions and assess the

merits of claims in relation to each suspicious tra nsaction

� In addition, in-depth forensic work is being carrie d out to establish concrete links between the indiv iduals

and companies involved in various transactions. Thi s will assist ongoing investigations into specific

transactions and help to identify future claims onc e the review process has begun

� Focus of investigations will be on areas most likel y to yield results: loans originated by UKB6, trans actions

with former management etc.

Restructuring and Recovery Strategy (cont’d)General Methodology of Lovells’ Asset Recovery Work

Page 71

Transfer to “Performing

Loans Division”

� Restructuring of credit

� Extension of payment schedules

� Changing repayment schedules

� Collateral enforcement

� Separation of the loans problem parts - Focus on asset recovery - the diversification of business, enhance borrower’s marketing strategy

Restructuring and Recovery Strategy (cont’d)

Investment

Portfolio

CIS Excluding

Kazakhstan

Recovery

� Borrower's property recourse� Collateral sales� Sale of assets� Refinancing to borrower resident corresponding bank

Commercial

Loans

Transfer to “Performing

Loans Division”

Recovery� Collateral sales

� Sale of assets

� Refinancing

Transfer to “Performing

Loans Division”

� Restructuring of credit � Extension of payment schedules� Changing repayment schedules� Collateral enforcement� Separation of the loans problem parts - Focus on asset recovery - the

diversification of business, enhance borrower’s marketing strategy

Recovery� Collateral sales

� Sale of assets

� Refinancing

TAP Gross Value: KZT919bn

TAP Gross Value: KZT660bn

TAP Gross Value: KZT348bn

Actions & Financial Objectives for “Troubled Assets Portfolio”TAP

Ø

Page 72

“Performing Loans

Division”

Performing Loans Gross Value:

KZT251bn

Investment Portfolio

Performing Loans Gross Value:

KZT27bn

Past due1% < 1 year

29%

1 to 3 years28%

Over 3 years42%

Past due1%

< 1 year26%

1 to 3 years26%

Over 3 years47%

EUR5%

KZT51%

USD34%

JPY10%

Other loans28%

Тор 542%

Тор 6-1014%

Тор 11-2016%

JPY9%

USD34%

KZT52%

EUR4%

Kazakhstan75%

Offshore25%

� “Performing Loans Division” does not include loans t o CIS countries

By Geography By Maturity By Currency

� Portfolio is mostly domestic (97% of the total Performing Loans Portfolio)

� Portfolio is entirely domestic (100% of the Commercial Portfolio)

� Portfolio is mostly composed of Loans over 3 years (92% of the Investment Portfolio)

Commercial Loans

Performing Loans Gross Value:

KZT224bn

USD36%

KZT64%

Concentration

Portfolio is mostly composed of loans to Top 5 borrowers (99% of the Investment Portfolio)

Focus on the “Performing Loans Division”

Page 73

Corporate Business Strengths

� Strong corporate franchise which was negatively aff ected by the lending

practices of previous management – to be rectified i n restructuring

� Close contact and support from the Government being the controlling

shareholder – participating in Government industrial support programs,

access to major national corporates

Fundamentally sound corporate banking

franchise

� Highly skilled staff appointed to implement the new corporate strategy

� One of the most extensive geographical branch netwo rks among the

competitors in Kazakhstan banking sector

� Full range of banking products for Corporate client s

Extensive Network & Highly Skilled Management

� Implementation of process automation through projec ts risk testing

� Tightening KYC, client on-boarding procedures, cred it assessment and client record management

Implementation of Modern Operating and Risk Control

Procedures

Page 74

Client Base Recovery

� Restore Bank’s image

� Resume lending

� Get back permanent clients of the Bank while restoring a share of deposits at the 2008 level

� Promote Cash Management products

� Increase fee income from cash and settlement services to be achieved by the return of major clients

� Implement plans to connect major clients (groups of companies) to the remote service via the Internet (BTA online)

Focus on Corporate Clients in Kazakhstan

Productivity Enhancement

� Optimize the cost structure

� Optimize business processes as a consequence of time cutting for the following:

1. Expert examination of projects through introducing internal industry standards

2. Leverage direct distribution and implementation of plans to connect major clients (groups of companies) to the remote service via the Internet (BTA online)

3. Introduction and improvement of liquidity management products

Active Management of Corporate Loan Portfolio

in Kazakhstan

� Restructuring through possible change of credit terms (prolongation, cut of interest rates and other)

� Extra financing for investment projects subject to adequate credit assessment

Government Programs Implementation

� Timely and full disbursements, including those under programs designed to complete housing construction

� Participating in government programs to finance the Construction sector, agro-industrial complex, innovative, industrial and infrastructure projects (expected in the future)

1 2 3 4

Development Strategy

Page 75

BTA will establish conservative and strict risk-lim its directly driven by exposure to specific industries so

as to…

� … Ensure adequate diversification of the corporate loan portfolio

� … Provide credit risk monitoring, including the calculation of capital level of an individual borrower, economic sector, country, product, etc.

� ... Closely monitor risk concentration in the portfolio by economic sectors

� ... Ensure monitoring of lending procedures in accordance with agreed bank rules and regulations

Close monitoring of lending procedures in accordance with credit risk compliance and

restrictions

The following processes will be changed:

� Grace periods for documents forming the borrower's credit folder

� Terms of monitoring

� Data verification of counterparties with the use of relevant control regarding offshore companies

Focus on Lending ProceduresDevelopment Strategy (cont’d)

Page 76

� The 5-year National Industrialization Program

announced by the Kazakhstan President is

aimed at developing new industries through

368 projects (total investment of KZT9.5 trillion)

of which:

� 331 are industrial projects

(total investment of KZT3trillion)

� 37 are innovative projects to be realized within

“30 Corporate Leaders Program”

(total investment of KZT6.5trillion)

Implementation of the Innovative Industrial Projects in all Economic Sectors

Development of the metallurgy Sector

Support for the energy sector

Development of the Chemical Industry

Development of transport infrastructure

Development of the oil refining industry

Development of the construction materials

sector

Support of SME

Action Plan Under the Program

Development of the agricultural sector

New Stage of Development for Kazakhstan

� BTA Bank will aim at becoming an active player in t he National Industrialization Program that will be funded by the Government of Kazakhstan

� This mission will significantly accelerate diversif ication of the loan portfolio while focusing on goo d quality projects due to strict eligibility criteria

BTA Bank within the Kazakh Industrialization Progra mDevelopment Strategy (cont’d)

Page 77

Funds Allocation by Sectors Within Industrial-Innovative Program 2010-2015

Development of the oil refining sector has been identified as a top priority by the President and targets

construction of 6 Petrochemical complexes (total investment of KZT1.2trillion)

Development of the agricultural sector is oriented to creation of the new export production. The main aim is to occupy a competitive position in the Central Asian

region (total investment of KZT148.4bn)

Development of the metallurgy sector as well as Chemical plays a significant role in the industrialization

process (total investment of KZT2.7trillion)

Modernizing the energy sector will allow to eliminate the energy deficit in the future economical growth times

(total investment of KZT1.1trillion)

Modernizing the transport infrastructure is the key step in the industrialization process

(total investment of KZT1.2trillion)

Total Funds Allocated: KZT9.5trillion

BTA Bank within the Kazakh Industrialization Progra m (cont’d)Development Strategy (cont’d)

Metallurgy17 1%

Chemical Industry12 2%

Construction2 6%

Agriculture1 6%

Oil Processing12 6%

Others29 4%

Transportinfrastructure

13 1%Energy11 4%

Page 78

> 3 years60%

< 1 year17%

Between 1 and 3 years

23%

Source: Company information

Total On-Balance Sheet Trade Finance US$1.77bn

Total Off-Balance SheetUS$1.78bn

Off-Balance Sheet Total Outstanding

(US$m)

Discounting of deferred payment 477.1

Other LCs 230.0

Credit Repayment Guarantees 886.6

Other Guarantees 187.7 Total 1,781.4

Trade Finance (On-Balance Sheet) Off-Balance Sheet

By Original Maturities

Note: exchange rate: 30/06/2009 US$1 = 150KZT

� On-balance sheet TF indebtedness is provided to BTA on an unsecured basis and ranks pari passu with other debt of BTA

� Most of the exposure is long-term with maturities in 2015-2017

� Over 48% or US$852m of the underlying client portfolio consists of unsecured loans

� ECA backed exposure amounts to US$921m� A significant portion of the underlying client portfolio is not

performing or is classified as doubtful

Key Highlights

� Most of the off-balance sheet exposure relates to import/export transactions of the Bank’s clients.

� US$897m finance exposure of credit repayment guarantees was used for financing of projects related to former shareholders

Current SituationTrade Finance Overview

Page 79

Evolution of New Corporate Deposits Over 2009-2014 (KZTbn)

Source: BTA Bank

29

5163

7588

21

16

20

23

27

0

115

99

83

66

50

2009E(from July)

2010E 2011E 2012E 2013E 2014E

Current accounts Term deposits

Deposits DynamicsForecasts

Page 80

Evolution of Production of New Corporate Loans Over 2009-2014 (KZTbn)

Source: BTA Bank

0

122

186

239

344

464

2009E(from July)

2010E 2011E 2012E 2013E 2014E

Commercial loans

Lending Dynamics Forecasts

Production of New Corporate Loans will only be focu sed on Commercial Loans

Page 81

V SME Business Strategy

Page 82

V SME Business Strategy

a. Macroeconomic Considerations

b. SME Business Overview

c. Presentation of the Total Gross Loan Portfolio

d. Impaired Assets Criteria

e. Restructuring and Recovery Strategy

f. SME Business Strengths & Development Strategy

g. Lending Dynamics

Page 83

Macroeconomic Considerations

Evolution of SME by Number

Source: BTA Bank(1) SME that performs or could potentially perform entrepreneurial activities

Split by Sector

Source: BTA Bank(1) From Tier II banks

SME shares in GDP and Total Employment

Source: BTA Bank

CAGR: +11%

CAGR: +8%

(1)

� The number of SME businesses in Kazakhstan has

significantly increased between 2005 and 2008

(CAGR of +11%) to reach 1 million in 2008 (92% of

total number of economic entities in the country)

� The share of SME business in GDP and total

employment still remains well below the ones

reached by main OECD countries

(1)

739k846k

985k 1,001k

569k639k

745k 725k

2005 2006 2007 2008

# of registered SME # of active SME

54%

75%

56% 57%

69%

26%

52%

14%

57%50%52%52%

USA Japan UK France Germany Kazakhstan

Share in GDP Share in total employment

25% 21% 24% 20%

23% 27% 16%6%

5%10%

11%

15%

37% 35% 28%

8% 4%

3%

6%4%18%

41%

6% 7%

By # of SME By # of employees By production output By loans received

Other Agriculture Industry Construction Trade Transport & Communication

Page 84

SME Business at a Glance

SME in Kazakhstan includes individual entrepreneurs and companies with assets not exceeding

KZT413m and staff not exceeding 250

BTA is a major player on the Kazakhstan SME market:

� 12% current market share

� KZT201bn gross loans

� 53,000 SME clients, including 12,000 borrowing clie nts

� KZT12.7m per customer in average

� 22,000 customer payments processed per day

� 18 loan products and 3 deposit products

Sale channels involve 22 branches run by seasoned a nd loyal staff (branch managers have in average

over 10 years banking experience and over 5 years o f leadership at BTA). All processes are highly

automated

SME Business Overview

Page 85

As a result, BTA’s market share in SME lending dropped from 16% to 12%

BTA’s gross SME portfolio decreased by 18% since year end 2007 mainly due to more restrictive lending policies introduced at BTA:

� Limitations on new loans

� Higher interest rates

Presentation of the Total Gross Loan PortfolioOverview

82%91%

100%

18%9%

31/12/07 31/12/08 30/06/09

KZT244bn KZT211bn KZT201bn

GovernmentOwn

CAGR: (12)%

Evolution of Total Gross Loan Portfolio

Source: BTA Bank

Page 86

Concentration of Clients (30/06/09)Split by Currency (30/06/09)

EUR 0.9%

JPY 0.2%

RUR < 0.1%

Split by Sector (30/06/09) Split by Maturity (30/06/09)

Production of Machinery & Equipment 2.2%

Housing Construction 2.0%

Hospitality 1.6%

Energy and Oil & Gas 1.9%

Real Estate Investments 1.5%

Mining 1.1%

Chemical Industry 1.1%

Other 13.8%

Source: BTA bank

Trade46%

Transport4%

Other25%

Food industry5%Agriculture

6%Industrial Construction

13%

Past due3%

Over 3 years37%

1 to 3 years23%

< 1 year37%

Others1%

USD11%

KZT88%

Тор 11-202%

Тор 6-102%

Тор-53%

Other loans93%

Presentation of the Total Gross Loan Portfolio (cont’d)Loan Portfolio Breakdown

Page 87

Evolution of SME Loan Portfolio and Provisions (KZT bn)

� BTA has c. KZT88bn SME loans that are free from any provisions

Source: BTA Bank

Current ProvisioningPresentation of the Total Gross Loan Portfolio (cont’d)

Total

91%82%

9%18%

211 201

31/12/08 30/06/09

Gross Loan Portfolio(30/06/09 - KZTbn)

Net Loan Portfolio(30/06/09 - KZTbn)

Loan Loss Provisions (30/06/09 - KZTbn)

189

152

90%

77%

10%

23%

31/12/08 30/06/09

22

49

98%

96%2%

4%

31/12/08 30/06/09

11%

2%

11%

24%

6%

28%

Own Government LLP Ratio%

Government

Own

Page 88

Recovery Department

No legal split. Dedicated teams to manage Portfolio Restructuring

and Recovery

MethodologyImpaired Assets Criteria

� The Bank has set out a number of criteria for defin ing impaired assets which are to be collected by a special department dealing with overdue and non-performing SME and retail loans

Criteria for the “Impaired Assets Portfolio” for SME

Non-standard SME loans identified on the basis of:

� Overdue

� Collateral quality

� Financial performance

� Others parameters

Page 89

Restructuring and Recovery StrategyCurrent Policy

Current Policy for Restructuring Troubled SME Loans

Monthly: General monitoring of the customers standings

Two times a year : financial due diligence of the borrower (to be approved by the credit committee)

Annually: detailed collateral valuation (to be approved by the creditor committee)

SME collects all delinquent loans that do not yet q ualify as impaired loans. The following

restructuring tools may apply depending on the part icular borrower:

� Roll-over� Refinancing � Full or partial prepayment� Obtaining additional collateral� Collateral sale

Troubled loans overdue for more than 60 days are tr ansferred to a dedicated department for

further work on loan repayment with a focus on full recovery through enforcement and sale of

security

Page 90

SME Business Strengths

Exceptional client coverage and infrastructure

� A combination of lending services with current acco unt, payment processing and deposit services)

� Highly competitive pricing and efficiency of proces sing payments of SME clients (over 100 payments for SME clients per bran ch manager daily)

“One-Stop-Shop”approach for SMEs

� SME clients are a major customer base for the “sala ry” programmes ofBTA’s Retail bloc

� Further automation of business processes, including scoring systems for SME lending

Synergies

� Strong branch network (22 branches). 2 nd place among commercial banks in Kazakhstan (269 cash settlement units)

� BTA has retained its highly skilled and experienced SME staff

� Highly loyal customer base among SME, in particular , outside of Almatyand Astana

� Certain of BTA’s branches have market shares well abo ve the market even in view of BTA’s debt restructuring

Page 91

Increase SME Share in BTA

Portfolio to 30%

Three Main Objectives

Regain Market ShareIncrease BTA’s Efficiency

in SME Business

Key Objectives

� Loan origination quality (application processing ti me will be reduced to 16 days from 32 days (mid-sized loans)

� Working with Samruk-Kazyna’s contractors and suppliers (if SME’s)

� Further integration of services to boost synergies and customer loyalty and increase non-interest income

Three Key Steps to Increase Efficiency

Optimization of business processes. Reduce

service time for clients

Potential for further increase of customer base

Funding

Measures to Achieve Them

1

2

Development Strategy

3� c. 50% funding through SME deposits and the rest

covered through retail deposits

Page 92

BTA’s Active Role in SME State Programs

Samruk Kazyna

Kazyna - 2

� Amount : KZT5bn

� Duration: from 15/08/08 to 25/12/08

Kazyna - 3

� Amount : KZT22bn

� Duration: from 19/02/09 to 31/06/09

Damu - Regions

� Amount : KZT6.7bn

� Duration: from July 2008 to 01/05/09

Kazyna - 1

� Amount: KZT12bn

� Duration: from 06/12/07 to 01/12/14

4 State Programs dedicated to SME

Development Strategy (cont’d)

BTA is number one operator of state-sponsored SME f unding programs with an average weighted share of ca.16.3%

Page 93

Evolution of Production of New SME Loans Over 2009- 2014 (KZTbn)

Source: BTA Bank

4893

140 151

202

270

7

30

4754

54

73

55

342

256

205187

123

2009E(from July)

2010E 2011E 2012E 2013E 2014E

Own Government

Lending Dynamics Forecasts

Page 94

VI Retail Business Strategy

Page 95

VI Retail Business Strategy

a. Macro-Economic Considerations

b. Evolution of Retail Clients

c. Presentation of the Total Gross Loan Portfolio

d. Impaired Assets Portfolio

e. Restructuring and Recovery Strategy

f. Retail Business Strengths & Development Strategy

g. Deposits & Lending Dynamics

Page 96

Gross Domestic Product per Capita ($)

Source: IMF and ECB, as of 30/06/2009Note: (1) CEE: Bulgaria, Czech Republic, Hungary, Poland, Romania, Slovakia

Macro-Economic Considerations

0,3%(*)

0,8%(*)

2,5%(*)

14,1%(*)

82,3%(*)

� Albeit starting from a low level, the Kazakh Gross Domestic Product per Capita is rapidly growing and is expected to reach, in the medium term, CEE countries current levels

� The wealth pyramid is also representing an importan t potential growth driver with the strengthening of t he Kazakh middle class

� Average monthly wage is expected to rise from $505 in 2008 (vs. 735 for CEE countries) to $672 in 2013 (vs. 883 for CEE countries)

Up to $500

$500-$2,000

$2,000-$5,000

$5,000-$10,000

(*) Share in active population

Revenues of Active Population in 2008

Over $10,000

36,946

8,682

7,307

6,805

4,331

12,437

15,198

22,822

17,277

2007

2008

2009

Ukraine

Russia

Poland

Czech Republic

CEE Average

Euro Area

(1)

Page 97

Retail Loans per Capita (US$m)

Source: IMF, FMSA, Central Banks as of 30/06/2009

� Total retail loans almost quadrupled in two years between 2005 and 2007, although the trend changed dramatically in 2008 and 2009

� Total retail loans per capita in Kazakhstan reached US$1,245m vs. US$23,216m in the Euro Area in 2008

� Strong growth potential provided the Kazakhstan macroeconomic position improves

� Total retail deposits per capita in Kazakhstan reached US$799m vs. US$25,506m in the Euro Area as of 2008

Macro-Economic Considerations (cont’d)Penetration Rates of Banking Products

4,508

5,239

23,216

1,203

2,022

1,245

Russia

Kazakhstan

Ukraine

Poland

Czech Republic

Euro Area

Page 98

Evolution of Retail Clients

81% 79% 80%87%

18% 20% 19%13%

< 1%1%1%1%

31/12/06 31/12/07 31/12/08 30/06/09

MidMass VIP

203k 254k 321k 302k

Evolution of Number of Term Deposits’ Accounts

Source: BTA Bank

CAGR: +17%

Page 99

Evolution of Total Gross Loan Portfolio

Source: BTA Bank

KZT49%

USD51%

EUR< 1%

Over 3 years81%

1 to 3 years14%

Less than 1 year5%

Presentation of the Total Gross Loan Portfolio

32% 35% 36%

8%8% 7%

12%13%

9%

38%36%

41%

9% 7% 7%

31/12/07 31/12/08 30/06/09

KZT228bn KZT236bn

Car Loans

Consumer Loans secured by Real Estate

Unsecured Loans Mortgage Loans Other Loans

KZT247bn

Mass

Mid

VIP

Internal Segmentation

Loans Deposits

� Up to $25,000 � Up to $5,000

� From $25,000 to $100,000

� From $5,000 to $100,000

� Over $100,000 � Over $100,000

Split by Currency

Split by Client Split by Maturity

Overview

CAGR: (3)%

Clients' Concentration

Other loans96%

Тор 52%

Тор 6-101% Тор 11-20

1%

VIP23%

Mid34%

Mass43%

Page 100

30

5 4

27

3

Gross Loan Portfolio (30/06/09 – KZTbn)

Loan Loss Provisions (30/06/09 – KZTbn)

Net Loans (30/06/09 - KZTbn)

Source: BTA Bank

Presentation of the Total Gross Loan Portfolio (cont’d)

KZT236bn KZT69bn KZT167bn

Current Provisioning

Consumer Loans secured by real estate Unsecured LoansCar Loans Mortgage Loans Other Loans

36% 27% 17%

LLP Total Ratio: 29%

20% 28%

85

17 21

97

17 14

7054

1713

Page 101

Recovery Department

No legal split. Dedicated teams to manage Portfolio Restructuring

and Recovery

MethodologyImpaired Assets Portfolio

� The Bank has set out a number of criteria for defin ing impaired assets which are to be collected by a special department dealing with overdue and non-performing SME and retail loans

Criteria for the “Impaired Assets Portfolio” for Ret ail

Retail loans that are non standard (with classifica tion from 5% and more) including:

� Overdue

� Collateral quality

� Financial performance

� Others parameters

Page 102

Impaired Assets Portfolio (cont’d)

36% 32%40%

7%8%

6%9% 10%

7%

41% 41%41%

7% 8% 5%

30/06/09 "Performing Loans Division" "Impaired Assets Division"

KZT236bn KZT133bn KZT103bn

= +

Results

Consumer Loans secured by real estate Unsecured LoansCar Loans Mortgage Loans Other Loans

Source: BTA Bank

� The criteria highlighted on the previous slide has led to the following economic split of the Retail l oan portfolio:

Page 103

Impaired Assets Gross Value (KZTbn)

Loan Loss Provisions (KZTbn)

Impaired Assets Net Value (KZTbn)

Source: BTA Bank

30

5 4

27

3

Impaired Assets Portfolio (cont’d)

KZT103bn KZT69bn KZT34bn

Provisioning Status

Consumer Loans secured by real estate Unsecured LoansCar Loans Mortgage Loans Other Loans

73% 70% 60%

LLP Total Ratio: 67%

61% 63%

42

6 7

43

5 2

1611

32

Page 104

Strategy Short term actions Long term actions

� Early stages of restructuring in order to prevent delays in payments

1. Analysis and monitoring of Salary project base

2. Warning telephone calls

3. Classification of standard loans to potential non-performance

1. Loan issuance to salary project employees only

2. Partnership programs with employers

� NPL pool: loan restructuring 1. Individual schedules

2. Mortgage refinancing within governmental program bySamruk-Kazyna NWF resources

3. Deferrals and prolongations

� Work with collateral and Bank’s rights

1. Collateral sale including discount

2. Taking onto the books

1. Management of estate taken onto the Bank’s books

Restructuring and Recovery StrategyActions for Impaired Assets

1

2

3

Page 105

Retail Business Strengths

� Historically strong retail profile

� Successful restructuring will boost confidence amon g retail clientsBTA Brand

� BTA relies on a strong retail network:� 269 outlets and 22 branches� 824 АТМs (III place) and 160 cash&pay self-service terminal s (III place)� 11 currency exchange terminals

� Strong customer base benefiting from cross-selling synergies with Corporate and SME blocs

� “Salary program” customers include Kazakhstan major companies (e.g., Arcelor)

Network and customer base

� Innovative distribution technologies:

� Internet banking (over 50 services, over 1,000 new customers each month, and total monthly volume for transactions of KZT250 m)

� SMS banking (over 41 000 users and over 3 000 new c ustomers eachmonth)

� Telebanking

Advanced Direct Distribution Channels

Infrastructures

� Partnerships with leading express transfer systems Western Union and Golden Crown (local). Developing BTA proprietary transfer system “Faster” among CIS countries

Strong Partnerships

Page 106

Key Principles

Deposits

First Priority

� Recovery of BTA’s lost share and leadership position (objective is to be a top three Kazakhstan

bank with market share of not less than 15%)

� Achievement of 2008 sales by attraction of Middle and Mass segment customers (portfolio

diversification – decrease of VIP segment share)

� Improve customer relations through loyalty programs with current customers.

Non - credittransactions:

Exchange transactionsPaymentsTransfers

Focus on “non-credit” products as a source to suppor t viability of all retail business infrastructure

and leverage massive cross-selling potential due to vast existing client base of the Bank

� Emphasis on exchange transactions (recovery of share from 12% to 20%)

� Improve payment channel availability and range of services to increase market share in this

segment (from current 8% to 15% - and share maintenance)

Loans

� Active participation in Governmental Programs realization (mortgage loans refinancing, interest-

holder financing)

� Lending under market programs (auto, express loans, credit cards, education, under estate

collateral) to the employees under salary projects and of accredited financially stable companies

� Work on NPL: NPL portfolio’s to remain at 20%

Cards� Main communication channel with the customer and main access to the banking services via all

types of channels

� Attraction of new customers via salary projects channel (from 600k to 1m customers)

Development Strategy

Page 107

Customer Segmentation in Retail Business

� Basic segmentation:

� Salary card/current account holders employed by financially stable companies, including companies with state participation (represent 80% of the current database)

� Bank’s depositors� Holders of AmEx type credit cards of any banks� Shareholders and directors of major companies as per official segmentation by corporate unit

� Employed applicants confirming income by SCPP receipt � Shareholders of legal entities provided the companies have stable status and the legal entity is not

Bank’s customer

� «Grey» employees, whose pension payments are partially confirmed by SCPP receipt or without any pension payments to Pension Funds

� Self-employed individuals engaged in entrepreneurial activities

� Focus on employees of companies with state particip ation

� Mass coverage of “non-credit” customers. The Bank’s units cover 100% of city inhabitants and 55% rural inhabitants (c. 600,000 customers per month)

Category C

Category A

Category B

Category D

To determine risk groups from the point of view of account and loyalty control

(customer/ non-customer of the Bank)

By Activities

By Income Level

Development Strategy (cont’d)

Page 108

BTA Group’s Clients Base in RKDevelopment Strategy (cont’d)

Sales Strategy: Comprehensive Customer Service

Internet Banking, SMS Banking, Units, Cash & Pay, P OS terminals

Entity analysis Credit card Express loan Recurrent sales

Collateral loanLong-term order to deposit

Long-term order to payments

Debit card

BTA Bank1,083,680 cl.

PF BTA Kazakstan882,000 cl.

BTA Morgage26,414 cl.

BTA Insurance

Group169,583 cl.

Page 109

� Instruments:

� Special product range is developed for customers

� Active sales system based on customer data

� Direct sales project with preliminary underwriting

� Recurrent sales to current customers

Segment A: salary projects (loyal customers with tr ansparent solvency )

Objective

Provide for an up to 30% loan

penetration level

Development Strategy (cont’d)Retail Loan Strategy

Segments B and C: trade network customers

� Instruments:

� Agency programs with partner networks

� Launch loyalty programs for recurrent sales to current customersObjective

Boost customer loyalty

Page 110

Competitive Advantages

� Service quality :

� A Service Hub client coverage concept allows customer service quality control for all sales channels (cash settlement service, ATM, Cash&Pay, POS terminals)

� To promote customer acquisition and retention efficiency, selective and competitive employee incentive programs have been launched

Sales Strategy for Retail Term Deposits

Objective: 15% market share till 2014

� Ensure volume increase of no less than 20% of the c ountry-wide market increase

� Regain 2008 sales levels Goals

Sales Methods

� Sales via salary projects

� Sales through Service Hubs: acquisition of the Hub’s corporate client employees and capturing general customer base on the Service Hub coverage territory

� Special deposits with automatic repayment for “salary program”customers

� Loyalty programs

� Cross sales and direct sales

Sales Channels

� Bank branch network

� Salary projects

Development Strategy (cont’d)

Page 111

BTA’s Active Role in Retail State Programs

Long-term funding at competitive costs

Samruk Kazyna

Retail

� Refinancing of individual mortgage loans under the state mortgage

refinancing programme

� State mortgage program for residential properties u nder construction

� Kazakhstan Mortgage Company financing programs

Development Strategy (cont’d)

Page 112

Evolution of New Retail Deposits Over 2009-2014 (KZ Tbn)

Source: BTA Bank

Deposits Dynamics Forecasts

4 5 6 5 5

27

5062

8092

(4)

(28)

31

55

68

8597

(32)

2009E(from July)

2010E 2011E 2012E 2013E 2014E

Deposits on demand Term deposits

Page 113

Evolution of Production of New Retail Loans Over 20 09-2014 (KZTbn)

Source: BTA Bank

Lending Dynamics Forecasts

1119

27 29 3144

3 3 33332

3337 4010

19

2729

31

2

1

1

11

11

60

75

10599

91

2009E(from July)

2010E 2011E 2012E 2013E 2014E

Consumer loans secured by real estate Car Loans Unsecured Loans Mortgage Loans Other Loans

Page 114

290280

260

240230225

279

252

2007 2008 2009E 2010E 2011E 2012E 2013E 2014E

Number of Units dedicated to Retail & SME

Source: BTA Bank as of 30/06/2009

ForecastsNumber of Units

Stage 2 – 2010 � Reduce number of cash desks

through introduction of self-service zones, mini-kiosks

� Breakdown of usage:� Traditional channels

(physical service) – 70%� Alternative channels – 30%

Stage 3 – 2011� Create alternative/remote cash

settlement service instead of existing cash settlement service

� Breakdown of usage:� Traditional channels

(physical service) – 60%� Alternative channels – 40%

Stage 1 – 2009� Cashier + Terminal + Consultant� Breakdown of usage:

� Traditional channels(physical service) – 80%

� Alternative channels – 20%

Service Channels Development Strategy

Page 115

VII Q&A