Mobile Telecommunications K S C P : Zain Sustainability Report for the year 2022

SUSTAINABILITY REPORT 2022

Table of Contents

Table of Contents

About the Report

Introduction

Company Overview

Message from the Board of Directors

Message from the Vice-Chairman & Group CEO Message from the Chief Sustainability Officer Our 2022 Highlights

Awards

Our Strategy

Corporate Governance

Enterprise Risk Management

Addressing Key Challenges to Human Rights

2

3

5

7

10

12

14

16

20

23

29

36

44

Materiality Assessment

Our Regulatory Context

Stakeholder Engagement

Our Economic Impacts

Our Products and Services

Our Customer Base

Our People

Our Sustainability Agenda

Task Force on Climate-Related Financial Disclosures Looking Forward

Appendix

Independant Assurance Report

Contact List

49

56

60

69

77

83

85

97

118

129

132

141

144

01

About the Report

SUSTAINABILITY REPORT 2022	ABOUT THE REPORT

About the Report

The 2022 Sustainability Report (SR) for Mobile Telecommunications Company K.S.C.P. (Zain) highlights the digital transformation of the company in relation to global trends affecting the environment and the economy.

Published annually covering the period 1 January, 2022 to 31 December, 2022, the SR provides an in-depth overview of Zain's operations in relation to Environmental, Social, and Governance (ESG) KPIs across its markets.

Zain's SR is assured by Ernst & Young (Al Aiban, Al Osaimi and Partners) with a limited assurance engagement; and further details regarding the assurance can be found on page 141. The report was reviewed, assessed, and approved by the Vice-Chairman and Group CEO, Chief Financial Officer, Chief Sustainability Officer, and relevant Executive Management at Zain Group.

Zain's countries of operation referenced in this report include Kuwait, Bahrain, Iraq, Jordan, Saudi Arabia, Sudan, and South Sudan. The company's headquarters are based in Kuwait. Zain holds a 15.5% stake in INWI, Morocco through a joint venture. As Zain does not manage INWI operationally, this operation is not included in the scope of the SR. All operations included in this report are also referenced in the company's financial statements that can be found here, for the reporting period of 1 January, 2022 to 31 December, 2022.

The SR is based on the company's materiality assessment and was developed using the AA1000 Accountability Principles (AA1000AP) 2018; the Global Reporting Initiatives (GRI) standards; and the Sustainability Accounting Standards Board (SASB) that apply to the Telecommunications Sustainability Accounting Standard.

In this edition of the SR, the Task Force on Climate- Related Financial Disclosure (TCFD) is also included as Zain continues to enhance its business strategy and operations and embed efforts to tackle climate-related risks and opportunities across its operations.

The report is also based on the United Nations Guiding Principles (UNGP) on Business and Human Rights Reporting Framework, as well as the ESG Reporting Guide published by Boursa Kuwait, which is in line with the Kuwait Vision 2035. The SR contains disclosures on the company's alignment to the United Nations Global Compact (UNGC) principles.

Some information deemed significant and mentioned in previous reports is repeated in this edition, while redundant or easily available information may have been omitted to ensure fluidity and relevance of the current report. The SR also describes situations where considerable organizational changes have taken place during the reporting period.

This report is published on 11 April, 2023.

Zain welcomes any comments, feedback, or suggestions regarding the content included in relation to Zain's sustainability performance.

Please reach out to us on:

Facebook / Twitter / LinkedIn: @Zain

Instagram: @Zaingroup

Email: [e-mail]

4	WWW.ZAIN.COM/SR2022