CITIBANK N.A. KENYAAudited fi nancial statements and disclosures for the year ended 31 December 2017

Signed: JOYCE-ANN WAINAINA MANAGING DIRECTOR

NOTE: The audited fi nancials reported above relate to the statement of affairs of Citibank, NA Kenya Branch, only under locally applicable accounting standards. They are not representative of the whole Citigroup franchise. The fi nancial statements are extracts from the books of the institution as audited by KPMG Kenya and received an unqualifi ed opinion. The complete set of fi nancial statements, statutory and qualitative disclosures can be assessed on the institutions’s website. http://citigroup.com/citi/about/countrypresence/kenya.html. They may also be accessed at the institutions head offi ce located at Upperhill Road, Nairobi

Citibank, NA Kenya is regulated by the Central Bank of Kenya

JOHN KERU CHIEF FINANCIAL OFFICER

citi.com/progress

It’s roads, rails and runways.And power and technology grids. It’s falling trade barriers. And rising consumer affluence.It’s tangible diversification. As well as digital transformation.But more than anything, it’s the opportunity to be there,wherever people come togetherwith an ambition to create a strong foundation for progress, to help make it real.In Africa. Around the world.

PROGRESS HAS ALWAYSBEEN OUR PREFERRED INVESTMENT OUTCOME.

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I. STATEMENT OF FINANCIAL POSITION AS AT DEC 2016 AUDITED SHS.000

DEC 2017AUDITEDSHS.000

A. ASSETS1. Cash (both local and foreign) 878,076 873,861 2. Cash and balances with Central Bank of Kenya 6,069,519 7,332,778 3. Kenya Government securities and other securities

held for dealing purposes - -

4. Financial Assets at fair value through profi t and loss - - 5. Investment Securities - - a) Held to maturity - - a) Kenya government securities - - b) Other securities - - b) Available for Sale - - a) Kenya government Securities 39,550,636 35,468,185 b) Other securities - - 6. Deposits and balances due from local banking institutions 3,026,472 1,939,448 7. Deposits and balances due from banking institutions abroad 141,711 3,6988. Tax recoverable 118,295 159,5199. Loans and advances to customers (net) 27,436,980 37,187,236 10. Balances due from banking institutions in the group 23,268,600 12,582,63411. Investments in associates - - 12. Investments in subsidiary companies - - 13. Investments in Joint ventures - - 14. Investment properties - - 15. Property, plant and equipment 606,807 556,114 16. Prepaid lease rentals 36,867 35,025 17. Intangible assets - - 18. Deferred tax asset 318,879 293,741 19. Retirement benefi t assets - - 20. Other assets 1,870,698 1,799,672 21. TOTAL ASSETS 103,323,540 98,231,911B. LIABILITIES22. Balances due to Central Bank of Kenya 3,995,989 305,407 23. Customer deposits 62,485,521 64,368,90924. Deposit and balances due to local banking institutions 551,297 848,471 25. Deposit and balances due to banking institutions abroad 468,996 243,715 26. Other money market deposits - - 27. Borrowed funds - - 28. Balances due to banking institutions in the group 1,660,416 9,118,083 29. Tax payable - - 30. Dividends payable - - 31. Deferred tax liability - - 32. Retirement benefi t liability - - 33. Other liabilities 14,532,714 3,170,016 34 TOTAL LIABILITIES 83,694,933 78,054,601 C. SHAREHOLDERS’ EQUITY35. Paid up/Assigned capital 4,582,973 4,582,973 36. Share premium/(discount) - - 37. Revaluation reserves - - 38. Retained earnings/Accumulated Losses 14,216,028 14,747,302 39. Statutory loan loss reserve 715,896 726,021 40. Other Reserves 113,710 121,014 41. Proposed dividends - - 42. Capital grants - - 43. TOTAL SHAREHOLDERS' FUNDS 19,628,607 20,177,31044. TOTAL LIABILITIES AND SHAREHOLDERS' FUNDS 103,323,540 98,231,911

II. STATEMENT OF COMPREHENSIVE INCOME FOR THE PERIOD ENDEDDEC 2016AUDITED SHS.000

DEC 2017AUDITED SHS.000

1. INTEREST INCOME:1.1 Loans and Advances 2,301,925 2,422,029 1.2 Government securities 4,677,531 3,765,563 1.3 Deposits and placements with banking institutions 297,928 248,389 1.4 Other interest income 33,896 15,331 1.5 TOTAL INTEREST INCOME 7,311,280 6,451,312 2 INTEREST EXPENSE2.1 Customer deposits 984,770 859,390 2.2 Deposits and placements from banking institutions 115,479 170,500 2.3 Other interest expenses 11,339 2,830 2.4 TOTAL INTEREST EXPENSES 1,111,588 1,032,720 3 NET INTEREST INCOME / (LOSS) 6,199,692 5,418,592 4. OTHER OPERATING INCOME4.1 Fees and commissions on Loans and advances 89,350 433,356 4.2 Other Fees and commissions 1,239,583 1,122,273 4.3 Foreign exchange trading income (loss) 1,423,479 1,893,216 4.4 Dividend income - - 4.5 Other income 31,488 649,159 4.6 Total Other Operating Income 2,783,900 4,098,0045. TOTAL OPERATING INCOME 8,983,592 9,516,596 6. OPERATING EXPENSES6.1 Loan Loss Provision (94,816) 34,5466.2 Staff costs 2,108,739 1,639,203 6.3 Directors’ emoluments - - 6.4 Rental Charges 77,569 101,707 6.5 Depreciation charge on property and equipment 96,301 93,548 6.6 Amortisation charges - - 6.7 Other operating expenses 762,408 1,274,574 6.8 TOTAL OPERATING EXPENSES 2,950,201 3,143,5787. PROFIT/(LOSS) BEFORE TAX AND EXCEPTIONAL ITEMS 6,033,391 6,373,0188. EXCEPTIONAL ITEMS - - 9. PROFIT/(LOSS) AFTER EXCEPTIONAL ITEMS 6,033,391 6,373,018 10. CURRENT TAX (2,601,202) (2,462,602)11. DEFERRED TAX - - 12. PROFIT/(LOSS) AFTER TAX AND EXCEPTIONAL ITEMS 3,432,189 3,910,41613. OTHER COMPREHENSIVE INCOME:13.1 Gains/ (losses) from translating the fi nancial statements of

foreign operations - -

13.2 Fair value changes in available-for-sale fi nancial assets (17,482) 87,58913.3 Revaluation Surplus on property, plant and equipment - - 13.4 Share of other comprehensive income of associates - - 13.5 Income tax relating to components of other comprehensive income 6,556 (32,846)14. OTHER COMPREHENSIVE INCOME FOR THE YEAR NET OF TAX (10,926) 54,74315. TOTAL COMPREHENSIVE INCOME FOR THE YEAR 3,421,263 3,965,159

III. OTHER DISCLOSURESDEC 2016AUDITED SHS.000

DEC 2017AUDITED SHS.000

1) NON-PERFORMING LOANS AND ADVANCESa) Gross non-performing loans and advances 804,804 1,723,695 Less: - - b) Interest in Suspense 277,904 354,962c) Total Non-performing loans and advances (a-b) 526,900 1,368,733 Less:d) Loan loss provision 526,900 537,533 e) Net non-performing loans (c-d) - 831,200 f) Discounted value of securities - 831,200 g) Net NPLs Exposure (e-f) - - 2) INSIDER LOANS AND ADVANCES - - a) Directors, shareholders and associates - - b) Employees 1,745,383 1,649,956C) TOTAL INSIDER LOANS, ADVANCES

AND OTHER FACILITIES 1,745,383 1,649,956

3) OFF-BALANCE SHEET ITEMSa) Letters of credit, guarantees ,acceptances 31,160,788 16,261,722 b) Forwards, Swaps and Options 11,518,320 15,935,198c) Other contingent liabilities 3,304,063 1,696,269 D) TOTAL CONTINGENT LIABILITIES 45,983,171 33,893,189 4) CAPITAL STRENGTHa) Core capital 18,480,122 19,036,534 b) Minimum Statutory Capital 1,000,000 1,000,000 c) Excess/Defi ciency 17,480,122 18,036,534 d) Supplementary capital 715,896 726,021 e) Total capital (a+d) 19,196,018 19,762,555 f) Total risk weighted assets 72,808,128 77,348,467 g) Core capital/total deposit liabilities 28.4% 25.4%h) Minimum Statutory Ratio 8.0% 8.0%i) Excess/Defi ciency (g-h) 20.4% 17.4%j) Core capital/total risk weighted assets 25.4% 24.6%k) Minimum Statutory Ratio 10.5% 10.5%l) Excess/Defi ciency(j-k) 14.9% 14.1%m) Total capital/total risk weighted assets 26.4% 25.6%n) Minimum Statutory Ratio 14.5% 14.5%o) Excess/Defi ciency (m-n) 11.9% 11.1%5) LIQUIDITY a) Liquidity Ratio 94.8% 64.5%b) Minimum Statutory Ratio 20.0% 20.0%c) Excess/Defi ciency (a-b) 74.8% 44.5%