Capitec Bank : Quarterly Disclosure In Terms Of Regulation 43 Of The Regulations Relating To Banks

Capitec Bank Holdings Limited Registration number: 1999/025903/06 Registered bank controlling company Incorporated in the Republic of South Africa

JSE ordinary share code: CPI ISIN code: ZAE000035861 JSE preference share code: CPIP ISIN code: ZAE000083838 ("Capitec")

QUARTERLY DISCLOSURE IN TERMS OF REGULATION 43 OF THE REGULATIONS RELATING TO BANKS

Capitec and its subsidiaries ("the group") have complied with Regulation 43 of the Regulations relating to banks, which incorporates the requirements of Basel.

In terms of Pillar 3 of the Basel rules, the consolidated group is required to disclose quantitative information on its capital adequacy, leverage and liquidity ratios on a quarterly basis.

The group's consolidated capital and liquidity positions at the end of the fourth quarter of the 28 February 2022 financial year end are set out below:

4th Quarter 2022	3rd Quarter 2022
28 February 2022	30 November 2021
Capital	Capital
Adequacy	Adequacy
R'000 Ratio %	R'000 Ratio %

COMMON EQUITY TIER 1

CAPITAL (CET1)

31 189 746

35.4

30 557 063 36.5

Additional Tier 1 capital (AT1)(1)

-

-

25 897 0.0

TIER 1 CAPITAL (T1)

31 189 746

35.4 30 582 960 36.5

General allowance for credit impairment

749 377

715 172

TIER 2 CAPITAL (T2)

749 377

0.9

715 172 0.9

TOTAL QUALIFYING REGULATORY CAPITAL

31 939 123

36.3 31 298 132 37.4

REQUIRED REGULATORY CAPITAL(2)

10 566 490

9 214 280

(1) Starting 2013, the non-loss absorbent AT1 and T2 capital is subject to a 10% per annum phase-out in terms of Basel 3.

(2) This value is currently 12% (2021: 11%) of risk-weighted assets, being the Basel global minimum requirement of 8%, the Pillar 2A South African country-specific buffer of 1% (2021: 0%), the Capital Conservation Buffer of 2.5% and the Domestic Systemically Important Bank ("D-SIB") capital add-on of 0.5%.

Per Directive 5 of 2021, the 1% Pillar 2A South African country-specific buffer was reinstated on 1 January 2022. This buffer was temporarily relaxed from 6 April 2020 until 31 December 2021, to provide temporary capital relief to banks during the outbreak of the Covid-19 pandemic.

4th Quarter 2022	3rd Quarter 2022
28 February 2022	30 November 2021
R'000	R'000
LIQUIDITY COVERAGE RATIO (LCR)
High-Quality Liquid Assets	81 574 866	78 034 323
Net Cash Outflows(1)	2 831 646	2 714 334
Actual LCR	2 881%	2 875%
Required LCR(2)	90%	80%

(1) Capitec has a net cash inflow after applying the run-off factors, therefore the outflows for the purpose of the ratio are deemed to be 25% of gross outflows.

(2) Per Directive 8 of 2021, the minimum LCR requirement increased to 90% on 1

January 2022 and will increase to 100% on 1 April 2022. Per Directive 1 of 2020, the minimum LCR requirement was temporarily relaxed from 100% to 80% from 1 April 2020 to 31 December 2021 due to the Covid-19 pandemic.

4th Quarter 2022	3rd Quarter 2022
28 February 2022	30 November 2021
R'000	R'000
NET STABLE FUNDING RATIO ("NSFR")
Total Available Stable Funding	157 548 215	159 534 561
Total Required Stable Funding	70 017 939	66 759 227
Actual NSFR	225.0%	239.0%
Required NSFR	100%	100%
4th Quarter 2022	3rd Quarter 2022
28 February 2022	30 November 2021
R'000	R'000
LEVERAGE RATIO
Tier 1 Capital	31 189 746	30 582 960
Total Exposures	178 617 863	178 471 628
Leverage Ratio	17.5%	17.1%

For the detailed LCR, NSFR and leverage ratio calculations refer to the

"Banks Act Public Disclosure" section on our website atwww.capitecbank.co.za/investor-relations

By order of the Board

Stellenbosch

12 April 2022

Sponsor - PSG Capital