MTN : FY 21 Tax Report

MTN Group Limited

Tax Report for the year ended

31 December 2021

Contents

• 1 Salient features

• 2 Foreword from management

• 4 Economic contribution (business, social and governance)

• 5 Current tax environment

• 6 MTN's approach to tax

• 8 Continuous improved tax governance and transparency

• 9 Total tax contribution and effective tax rates

MTN is a pan-African operator with the strategic intent of 'Leading digital solutions for Africa's progress'. We are inspired by our belief that everyone deserves the benefits of a modern connected life. We have 272 million customers in 19 markets and have grown by investing in sophisticated communication infrastructure and by harnessing the talent of our diverse team of 16 390 people who offer services to communities across Africa and the Middle East. MTN is one of the Top 40 companies listed on the JSE in Johannesburg, with a market capitalisation of R321bn at the end of 2021 (2020: R108bn).

Salient features

• 1 Restatement of 2020 Group TTC numbers was mainly due to the inclusion of MTN Dubai tax contribution and minor prior year adjustments.

• 2 Adjusted Group profit before tax represents Group profit before tax as reported excluding: Impairment of goodwill and investment in joint ventures (2021: R0.6bn and 2020: R1.07bn); Impairment loss on Yemen property, plant and equipment and intangible assets (2021: R0.6bn and 2020: Rnil); non-taxable gain from aYo fair-valuing (2021: -R0.5bn and 2020: Rnil); non-taxable gain from disposal of investment in associates (2021: -R1.2bn and 2020: Rnil); non-deductible COVID 19 donation (2021: R0.4bn and Rnil) and non-deductible loss from deconsolidation of MTN Syria (2021: R4.7bn and 2020: Rnil).

• 3 The adjusted Group effective tax rate is calculated by dividing the Group reported income tax expense number (after adjusting for the tax impacts of the numbers included in footnote 1 above, as applicable) by the adjusted Group profit before tax. Please refer to the normalised Group effective tax rate reconciliation in the report.

LA Limited assurance. Assurance report and definition available atwww.mtn.com.

1

Foreword from management

Group Chief Financial Officer Tsholofelo Molefe, CA(SA)

Group Chief Financial Officer's foreword

Doing for Tomorrow, Today.

MTN is inspired by our belief that everyone deserves the benefits of a modern connected life. As a pan-African mobile operator, we work to support the attainment of sustainable societies. 'Creating shared value' is one of our four strategic objectives and 'ESG at the core' is one of the vital enablers of our Ambition 2025 strategy.

Committed to inclusive economic growth on the African continent, we embrace our duty of being a responsible and transparent taxpayer. In many of the countries in which we operate, MTN is the largest taxpayer. We recognise the meaningful impact that our tax contributions make to uplifting communities across our footprint.

This tax transparency report endeavours to provide stakeholders with an understanding of the contribution we make not only in the form of tax revenue for fiscal authorities, but also by supporting the fight against COVID-19, investing in infrastructure and network coverage and furthering diversity and inclusion, among others.

Our reporting is subject to our system of controls and internal financial controls, and we maintain this in line with our standard processes and procedures on enterprise risk management and governance.

Integrity is one of MTN's core values: we are committed to transparency. This voluntary report is testament to our values. It is an effort to explain our tax affairs clearly and demonstrate our business's value creation. In so doing, it endeavours to improve our business reputation and build and maintain trust with our many stakeholders. We appreciate your interest.

Tsholofelo Molefe

Group Chief Financial Officer

25 April 2022

Foreword from management continued

Group Tax Executive's message Doing for growth

In these uncertain and challenging times, there is a heightened need and expectation by all stakeholders for corporates to operate ethically and transparently.

I am pleased to introduce MTN's 2021 tax transparency report. Our report aims to go beyond the mere reporting of tax numbers and performance to a more open and thorough disclosure.

Based on the building blocks of the Global Reporting Initiative 207*, we discuss our approach to tax, our tax governance, our risk management environment, our stakeholder engagement and the management of tax risks. We demonstrate that our contribution to societies goes beyond corporate, indirect and withholding taxes. MTN contributes significantly to progressing digital and financial inclusion as well as to supporting youth employment and skills development. In 2021, our total tax contribution amounted to R43.9bn, up by R8.5bn from 2020.

MTN is committed to boosting inclusive economic growth in Africa. Being the largest taxpayer in numerous countries, we appreciate the impact tax has on poverty alleviation, value creation and long-term prosperity. In line with Ambition 2025 and keeping ESG at the core of the strategy, we trust that our 2021 tax transparency report meets our stakeholders' expectations. We look forward to engaging with you in the year ahead.

Troopti Desai Executive: Group tax

25 April 2022

*https://www.globalreporting.org/standards/media/2482/gri-207-tax-2019.pdf