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Q& AQ& A

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KCB GROUP:

ENABLING GROWTH &

DEVELOPMENT IN EAST

AFRICA

VALUE•Putting the CUSTOMER first.•Working together as a TEAM•Being PROFESSIONAL •in everything we do•A willingness to CHANGE•Caring for the COMMUNITY

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OUR VISION, MISSION AND VALUES

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The Group Footprint: Strong, Stable Regional Bank

UGANDA- 200714 Branches16 ATMs303 Staff

TANZANIA- 199711 Branches12 ATMs252 Staff

BURUNDI- 20121 Branch opened2 ATMs27 Staff RWANDA- 2008

11 Branches14 ATMs325 Staff

KENYA- 1896170 Branches864 ATMs3,724 Staff

SUDAN- 200619 Branches22 ATMs322 Staff

- Asset Base 349 Billion- Capital Base 47 Billion- No. of Branches 226- Over 930 ATM’s- No. of Customers 2 Million- No. of Agents 3,243

GROUP

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KCB BRANDS

Our Products Our Channels

Our Partnership

Our Sponsorships

Our Caring Nature

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New Brands

Group Service Offering

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Mobile bankingEnhancing convenience to customers through our mobile banking platform.Advantages of the system:•Fast, convenient and cost effective•Multiple delivery channels– USSD, WAP and GPRS (downloaded application to the handset)•Not limited to a particular network•24 hour access worldwide•Ease in deposit mobilization

Services:•Airtime top up for self or others across networks•All balance enquiries including credit card and loan status•Loan repayments and utility payments•Money transfer services to any mobile number

Group Service Offering

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Internet bankingEnhancing worldwide convenience to customers through our online banking platform.

Services:•Account summary•Create and maintenance of standing orders•Funds transfers – SWIFT, EFT, RTGS•Fixed Deposit opening and maintenance•Cheque book request and stop cheque payment•Credit card payments

Group Service Offering

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KCB Mtaani – Agent BankingOffering banking services at non-bank outlets e.g. Pharmacies, Post Offices, Supermarkets etc

Advantages•It is easier and cheaper for the bank to set up an agent in remote locations than a fully-fledged branch•Additional revenue source for the agent•Decongestion of banking halls•Extension of banking hours

Services•Cash deposit and withdrawal•School fees payment•Collection of Account opening documentation

Group Service Offering

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Custody servicesWe provide:•Safe Keeping Services•Account Administration•Transaction Settlement•Capital and Income Services•Corporate Actions Administration•Trustee Services

Our shares are Cross listed in the Kenya, Uganda, Tanzania and the Rwanda exchanges – providing an avenue for investment from the region

Envisioning an East African Stock Exchange that will facilitate greater volume and value of trading.

In 1H12 the KCB’s stock outperformed the NSE 20 by 29%

It is among the most liquid stocks with a turnover of KES 5.5 Billion ranking it 3rd on the FTSE NSE Kenya 25 Index

Group Product Offering

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KCB is ready and able to offer efficient and reliable banking services in a personalized and responsive manner. •Wide range of personal and corporate accounts•Card services – Debit, Pre-Paid and Credit•Trade Finance solutions •Diaspora banking•Advisory services•Asset Finance•Project financing•Mortgage Financing•Cash management.

Group Service Offering

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Contact Centre24 hour Access to the bank through telephone, email, Social Media, Fax and SMS. Services include:•Basic account queries,•Product and service information, •Branch/ATM locations, •Complaints and suggestions.

Our Sponsorships:

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KCB has invested significantly in different sports with the aim of building talent across Eastern Africa. The bank has to date invested over 600 Million towards sponsorship. The bank has used sports sponsorship to profile players and the bank across the market of operation.

Key sponsorships include:•KCB Athletics Cross country championships series •KCB East African Golf tour •National League Rugby, Football, Basketball and Volleyball teams•KCB Kenya National Rally championship -10 year sponsorship & 62 Rallies held.•KCB East African Rally Challenge - Held in Kenya, Tanzania, Uganda,

KCB Foundation

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KCB is committed to supporting the development of communities around whom it operates across the region. Through the KCB Foundation we reach out and positively impact the community in the areas of:

Environment - 1.5 million Trees planted, Goal- to plant 4 Million by 2014Health - 20,000 children treated in medical camps, 5 Dialysis machines have been installed Education - 750 School have received learning material, 200 Students have received full scholarships.Enterprise Development - 400 Youth entrepreneurs benefited from the Junior Achievement training and enterprise management. 600 Youth in higher learning institutions were reached with financial literacy and money management skills through Nurture Smart.Humanitarian Intervention - Kenyans for Kenya National campaign. Post Election violence support.

Sustainability and Green Agenda:

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Implementing the Social & Environmental Management System (SEMS) to manage loans with potential social and environmental risksIntegration of SEMS into procedures within Credit, Risk and Corporate divisions

Green Agenda:Implementation of Green initiatives to reduce on resource consumptionApplication to new buildings and branches – to be green and intelligent

Sustainability reporting now to be an annual activity – published together with the annual report and financial statements

Our Awards:

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2012:•Best Bank Corporate Banking• Best Corporate Banker• Best bank in Retail Banking • Best bank in SME Banking• Chief Executive of the Year• 1st Runners up- Micro Banking• 1st Runners up Mortgage Financing• 2nd Runners up in Asset Finance2011:•Best Trade Finance bank in Kenya - Global Finance Magazine 2011•Best Retail bank in Kenya •2011 EURO STP Excellence Award.•Euromoney awards •Total Eco-Challenge Awards •Company of the Year Awards (COYA) – Corporate Citizenship

Our Financials:

0.01.02.03.04.05.06.07.08.09.0

2008 Jun 2009 Jun 2010 Jun 2011 Jun 2012 Jun

3.5 3.6 4.2

5.7

8.5 PBT Growth Kshs B

7.5

8

8.5

9

9.5

10

10.5

PBT 2010 PBT 2011

8.5

9.05

0.6

1.05

Contribution of PBT (Kshs B)

Kenya Business Subsidiary Businesses

75%

6%

Subsidiary Contribution

6.6%

Subsidiary Contribution

10.4%

Over the past five years, our balance sheet has grown tremendously – to Kshs 349.3B (equivalent to USD 4.1 billion) by the end of June 2012

KCB’s Future:

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OUTLOOK:•Strong performance driven by innovation•Transformation programme on track for completion in December 2012•Reduction in the NPL ration across the Group•Cost Income ratio down to 51-52%

The guiding principles and strategic objectives are:•to ensure focus on core the activity of providing banking services and solutions – with innovation at the centre•to ensure efficiency and a high level of productivity•customer centricity and enhanced human resource capacity •increased shareholder value; which remains the overarching objective of the Bank’s operations

Our C

ompetitive A

dvantages

Our Growth DriversOur

Tra

nsfo

rmat

ion

Age

nda

Our Award Winning

products

Our unmatched

regionalpresence

The bank is an early adopter of

Research and Innovation

Our unmatched

Pursuit towards growing

sustainable business

Lay the foundation to

Leverage our talent

Developbest-in-class

enabling processes

Optimize the

subsidiaries

Profitably grow

business in Kenya

Micro & SMEMortgageImproved

cost to income ratio

International Business

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• Increased Revenues

• Reduction in Costs

• Improved Efficiencies

KCB ROAD MAP AND TRANSFORMATION PILLARS

THANK YOU

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