North Macedonia Macroeconomic Data and Banking Sector Overview March 2024

Macroeconomic data and BANKING SYSTEM OF THE REPUBLIC OF NORTH MACEDONIA March 31, 2024

Macedonian macroeconomic environment (EUR millions; percentages) 1Q 2024 Key economic indicators 2023 O1 24 Q1 23 Q2 23 Q3 23 Q4 23 Industrial production volume index External Trade (%) total import External Trade (%) total export Real GDP growth (%) Central Government Budget surplus/deficit (% GDP) Inflation (CPI%) Reference rate Current Account Bal. (EUR millions) Gross External Debt (EUR millions) Foreign Reserves (EUR millions) Foreign direct invest. (EUR millions) Unemployment (%) MKD/EUR 0,7 -3,1 2,736 1,929 1,2 -1,6 3,4 6,3 -185 11.789 4287 235.9 12,9 61,62 0.1 1.5 0,7 0.7 Credit rating of the state BB + outlook Stabile, Standard & Poor s, Credit rating agency confirmed the implementation of good policies, the stabile banking system and domestic currency and increased foreign reserves Industrial production volume index 96,9 annual Trade Import amounts 2.736 EUR millions Export amounts 1.929 EUR millions GDP growth 1.2% Inflation 3.4% FX Reserves 4.287 EUR millions, Share of green portfolio in total FX reserve portfolio 1.6%, issued by Ministry of Finance600 million Reference rate 6.3% Labour Market Rate of unemployment 12.9 11,149 8,323 2,759 2,126 1.4 -0,4 16.1 5.5 92.8 11.059 4.159 143.3 13,3 61.67 2,778 2,125 0.9 -2.3 13.6 6 -124.9 11.397 4.189 122.4 13,1 61.56 2,708 1,988 2,900 2,082 0.9 -1,6 9.4 6.3 -111.7 11.463 4,538 206.2 13.0 61.49 1 1 -4,8 9,4 6.3 95.3 -0,5 11.5 6.3 239.2 11.072 3,901 51.2 12.8 61.51 11.463 4,538 523.1 13.1 61.56 Achieved levels Achieved levelsInflation CPI RN Macedonia CPI RN Macedonia/ / EU Forecast Forecast 4 4 2 24 4 Inflation EU 14.2% 9.4% 3.4% 3.2% 3.2% 3.1% 9.2% 3.5% 2.0% 2.0% 5.0% 2.9% 12/2023 2.8% 01/2024 2.6% 02/2024 2.4% 03.2024 12/2021 12/2022 12/2024 12/2025 12/2026 Source : NBRM BASIC ECONOMIC INDICATORS FOR REPUBLIC OF NORTH MACEDONIA Quarterly Report Q12024 NBRM, REPORT ON RISKS IN THE BANKING SYSTEM OF THE REPUBLIC OF MACEDONIA, Indicators on the banking system Consumer Price Index (CPI) RN acedonia Forcast NBRSM 4'24 Consumer Price Index (CPI) EU The credit rating of the state: BB+' Ratings Affirmed; Outlook Stable Standard & Poor s, Credit rating agency source: www.nbrm.mk/ns-newsarticle RatingReport RNM January 31, 2024)

Macedonian Banking sector 1Q 2024 state owned 4% annual change (%) quarterly change (%) Greece 23% in millions of denars domestic shareholders 19% 3/2023 6/2023 9/2023 12/2023 3/2024 Total assets of the Banking system 699,060 703,789 675.891 746,739 738,938 9.3% -1% Loans 419.129 430,213 432,312 440,560 444.977 6,2% 1% Deposits 490.137 509,826 516,317 539,602 534,525 9.1% -0.9% Switzerland 1% Capital & reserves 87.996 89,731 92,561 92,910 98,096 11,5% 5,6% Bulgaria 5% PARTICIPATION OF FOREIGN CAPITAL Slovenia 17% ASSETS 78.8% 77.7% 746,739 738,938 76.3% 75.4% 75.4% Turkey 16% 74.4% 703,789 699,060 72.9% 675,891 Germany 4% Austria 11% 3/2023 6/2023 9/2023 12/2023 3/2024 2017 2018 2019 2020 2021 2022 2023 Financial intermediation 88.8 The Banking sector consists of 13 active banks, 5 large (amounts 598,105 Mio. Den.) 81% in total assets, 3 medium (amounts 94,746 Mio. Den.) 12% in total assets, 5 small (amounts 46,087 Mio. Den.) 6% % in total assets and 2 saving houses. The level of financial intermediation measured by: he ratio of total assets and GDP is 87,1% which indicates the dominant position of banks in the financial system Total deposits from non-financial sector/GDP is 63% Total gross loans to non-financial sector/GDP is 52.5% 87.1 85.2 83.7 83.3 80.0 Participation of foreign capital 78,8% 70.0 64.2 63.0 62.5 60.7 60.7 Total assets of the Banking system registered the amount of 738,938 Mio. Den., increased by 9.3% annual and reduced by (-1%) quarterly, which is supported by the growth of the deposit by 9.1% annual, reduced by (-0,9%) quarterly and the capital position of the banks which increased by 11,5% annual, 5,6% quarterly. Total loans increased by 6,2% annual, 1% quarterly. 60.0 52.5 52.4 52.3 51.9 Source NBRSM, Department for financial stability, Last revision to GDP figures (at current prices): 03.6.2024 51.2 50.0 3/2023 6/2023 9/2023 12/2023 3/2024 NBRM, Quarterly Report Q12024 Assets/GDP Deposities/GDP Loans/GDP

Macedonian Banking sector Assets 1Q 2024 Liquidity Coverage Ratio (accordance with requirements of Basel III) Asset structure Highly liquid assets 31% other assets 9% 279.1% 275.3% 269.5% 268.4% 263.5% 86% 84% 84% 83% 82% 65% 62% 62% 60% 58% 164.4% 161.3% 158.8% 158.0% 157.9% CREDIT EXPOSURE 60 % 52% 52% 50% 49% 47% 3/2023 3/2023 6/2023 9/2023 12/2023 3/2024 6/2023 9/2023 12/2023 3/2024 Liquid assets /to total short-term liabilities Liquidity coverage ratio EU Liquid assets /deposite from households Loan-to-deposit ratio LDR In structure of total assets highly liquid assets participates by 31%* participates by 60% while the rest of 9% is other assets. Stabile participation of liquid assets confirm the appropriate liquidity risk management by banks and the satisfactory resilience to the assumed extreme liquidity outflows Liquidity Coverage Ratio 279,1%, which is almost three times higher than the regulatory minimum of 100% UROZONE LCR 157,9% Liquid assets / Assets 31% Liquid assets / Short-term liabilities 52% Liquid assets /Deposits households 62% Loans/Deposits ratio LDR 83% * Methodology for calculation of LCR is in accordance with requirements of Basel III accord. total credit exposure Liquid assets/Assets Liquid assets/Assets Loans/Assets Loans/Assets ** Liquid assets: cash,treasury bills, government bonds *** Non-financial sub: state, non-financial companies, households, nonprofit ins. and nonresidents Source: NBRM, REPORT ON RISKS IN THE BANKING SYSTEM OF THE REPUBLIC OF MACEDONIA, Indicators on the banking system NBRM, Quarterly Report Q12024 European Central Bank Banking supervision www.bankingsupervision.europa.eu/home/html/index.en.html 59% 61% 60% 62% 62% 32% 31% 31% 30% 29% Liquid assets / ssets Loan/Assets

Macedonian Banking sector Loans/support green transformation of the economy 1Q 2024 in millions of denars Loans - households LOANS LOANS Structure of loans Structure of loans Car loans 0,17% 450,000 440,560 444,977 440,560 445,000 50% 51% 51% 51% 51% 432,312 440,000 430,213 432,312 real estate loans 35 % 430,213 435,000 422,522 430,000 419,129 425,000 419,129 49% 48% 48% 48% 48% Credit cards & consumer loans 64 % 420,000 415,000 410,000 12/2022 3/2023 6/2023 9/2023 12/2023 NON.FIN.COM HOUSHOLDS 405,000 3/2023 6/2023 9/2023 10/2023 3/2024 annual change (%) Total loans amounts 444.977 Mio. DEN. increased by 6,1% annual or 0,6% quarterly Households' loans: consumer loans and credit cards increased by 4.3% annual or 0,1% quarterly Real estate loans, increased by 10.3% annual or 2,1% quarterly Car loans increased by 14,3% annual or 1% quarterly Our banks have also paid attention to raising awareness about green loans as a form of financing that enables borrowers to invest exclusively in projects that make a substantial environmental impact, including climate- related projects, improve the energy efficiency, support investments in green technologies, materials and solutions, support investments in renewable energy sources, control and prevention of pollution and protection of the environment. Green Loans - households amount 1,090 Mio. DEN, 0,5% households *According to World Bank quarterly change (%) Loans - households 3/2023 6/2023 9/2023 12/2023 3/2024 Consumer loans and credit cards 150,485 153,337 154,434 156,865 156,988 4.3% 0.1% Car loans 356 370 385 403 407 14.3% 1.0% in total Loans to Real estate loans 77,935 80,246 81,525 84,196 85,952 10.3% 2.1% other 3,416 3,323 3,366 3,331 2,934 -14.1% -11.9% Source: REPORT ON RISKS IN THE BANKING SYSTEM OF THE REPUBLIC OF MACEDONIA , Indicators on the banking system, annex 9, Quarterly Report Q12024 Total 232,192 237,276 239,710244,795 246,282 6.1% 0.6% Green loans Weighted interest rates on granted loans INTEREST RATES ON TOTAL GRANTED LOANS (Denar and foreign currency) 12/2022 3/2023 6/2023 9/2023 12/2023 1.115 1,187 1.186 1.224 1,090 -2.2% -10.9% 4,44 5,04 5,12 5.49 5.47

in millions of denars Macedonian Banking sector Loans/support green transformation of the economy 1Q 2024 Loans of non with with48% 48%, , increased by increased by 7,17% 2,44% quarterly Loans structure structureby economic activity of by economic activity ofnon financial companies financial companies : non- -financial companies financial companies participate 7,17% annual, and participate pollution and protection of the environment. Green Loans of non-financial com. amount 18.771 Mio. DEN 8.8% in total Loans of non-financial companies According last macroeconomic ESG indicators have been identified as transition risks: the following climate sensitive activities: Fossil fuels Utilities Energy-intensive sectors Buildings Transportation Agriculture According to World Bank Source: REPORT ON RISKS IN THE BANKING SYSTEM OF THE REPUBLIC OF MACEDONIA , Indicators on the banking system, annex 9, Quarterly Report Q12024 Loan concentration by climate policy relevant sectors Agriculture non- - Transportation Buildings Our banks have also paid attention to raising awareness about green loans as a form of financing that enables borrowers to invest exclusively in projects that make a substantial environmental impact, including climate- related projects, improve the energy efficiency, support investments in green technologies, materials and solutions, support investments in renewable energy sources, control and prevention of Energy-intensive sectors Utilities Fossil fuels 0 50,000,000100,000,000 150,000,000 200,000,000 2023 2022 2021 2020 2019 2018 2017 Loan concentration by economic activity -non-financial annual change (%) quarterly change (%) companies 3/2023 3/2023 9/2023 12/2023 3/2024 Industry 63,036 63,747 62,932 61,214 61,214 -1.42% 1.51% Construction 39,959 41,136 41,840 43,768 43,768 9.23% -0.28% Electricity, gas, steam and air conditioning supply 15,594 19,385 20,196 21,678 21,678 44.43% 3.90% Trade 78,841 78,829 77,253 82,010 82,010 2.54% -1.42% Transport and storage 21,125 21,249 21,187 21,509 21,509 27.44% 25.16% other 45,495 46,672 44,483 46,062 46,062 3.12% 1.85% Total 264,049 271,108 267,891 276,240 276,240 7.17% 2.44% Green Loans 14,600 16,596 17,763 18,639 18,639 28.57% 0.71%

Macedonian Banking sector Loans 1Q 2024 Non-performing loans / Total loans Indicators for the quality of credit portfolio annual change (pp) quarterly change (pp) 3.06% 2.87% 2.85% 2.82% 2.77% 0.21% 0.29% Non-performing loans / Total loans 2.31% 2.30% 2.27% -7.63% -6.67% 2.26% NPL Coverage with impairment 2.24% 3/2023 6/2023 9/2023 12/2023 3/2024 Non performing loans (NPL) EU Rate of non-performing loans 3.06%, increase by 0.21 pp annual and 0.29 pp quarterly, participation of NPL ,households 38%, non-financial companies 60% EUROZONE 2,31% NPL Coverage - Coverage of non-performing loans with impairment (non- financial companies) 63.43% reduced by (-7.63) pp annual or (-6.67) pp quarterly EUROZONE 39.98% Coverage - Coverage of non-performing loans with impairment 71.06% 70.42% 70.10% 69.43% 63.43% 42.03% 41.11% 40.86% 40.58% 39.98% Source: NBRM, REPORT ON RISKS IN THE BANKING SYSTEM OF THE REPUBLIC OF MACEDONIA, Indicators on the banking system, annex 5 NBRM, Quarterly Report Q12024 European Central Bank Banking supervision 3/2023 6/2023 9/2023 12/2023 3/2024 Coverage with impairment EU

Macedonian Banking sector Liability s 1Q 2024 in millions of denars annual change (%) quarterly change (%) Liability's structure LIABILITIES STRUCTURE 3/2023 6/2023 9/2023 12/2023 3/2024 Deposits' Capital & reserves Other liabilities Deposits' 490.137 509,826 516,317 539,602 534,525 9.1% -0.9% 13% 14% 14% 14% 15% 13% 13% 13% 13% 12% Capital & reserves 87.996 89,731 92,561 92,910 98,096 11.5% 5.6% Other liabilities 97,758 99,503 94,911 114,227 106,317 8.8% -6.9% 73% 73% 73% 72% 72% 675,891 699,060 703,789 746,739 738,938 9.3% -1.0% Total 3/2023 3/2023 9/2023 12/2023 3/2024 Capital adequacy ratio annual, or 0.8 pp quarterly and likewise indicates on the capacity and coverage of the risks from Banks activity as well as stabile level on Banking sector solvency EUROZONE 15,74% 20.00% In the structure amount 534,525 Mio. DEN are dominant that participate by 72%, regarding previous year are increased by 9.1% or (-0.9%) quarterly of liabilities, the deposits 18.92% 18.36% 19.00% 18.18% 18.10% 18.04% 18.00% 17.00% Source: NBRM REPORT ON RISKS IN THE BANKING SYSTEM OF THE REPUBLIC OF MACEDONIA Indicators on the banking system Quarterly Report Q12024 European Central Bank Banking supervision Capital & reserves amount 98,096 Mio. DEN., participate with 13%, increased by 11.5% annual, or 5.6% quarterly 16.00% 15.00% 15.74% 15.73% 15.72% 15.61% 15.53% 14.00% Capital adequacy ratio is 18,92% regarding previous year is increased by 0,9 pp and 13.00% 3/2023 6/2023 Capital adequacy ratio 9/2023 12/2023 EU 3/2024

Macedonian Banking sector Deposits 1Q 2024 Nonfinancial corporations participate with 28%, increased by 12.7% annual and reduced by (-6.5%) quarterly Deposits from households participate with 68%, increased by 8.3% annual and 1.6% quarterly in millions of denars Deposits structure Deposits structure 600,000 539,602 534,525 516,317 509,826 490,137 500,000 Source: NBRM REPORT ON RISKS IN THE BANKING SYSTEM OF THE REPUBLIC OF MACEDONIA Indicators on the banking system 400,000 359,665 354,166 340,279 340,092 300,000 331,967 200,000 Deposit's structure annual change(%) quarterly change(%) 167,385 156,569 155,949 150,250 138,935 100,000 Total 9.1% -0.9% - non.fin.com. 3/2023 6/2023 9/2023 12/2023 3/2024 12.7% -6.5% non.fin.com. housholds Total households 8.3% 1.6% Household's annual8.3 % Weighted interest rates on received deposits 3/2023 6/2023 9/2023 12/2023 3/2024 Total deposits annual9.1 % INTEREST RATES ON TOTAL RECEIVED DEPOSITS (Denar and foreign currency) 1,11 1,40 1,59 1,79 1,80

Macedonian Banking sector Profitability indicators 1Q 2024 Operating costs / Total regular income (Cost-to-income ratio) Return on average assets (ROAA) Return on average equity (ROAE) 2.34% 2.33% 2.50% 18.27% 18.23% 2.23% 60.36% 20.00% 17.58% 2.15% 17.05% 2.00% 16.13% 57.32% 57.02% 2.00% 55.96% 55.94% 15.00% 1.50% 10.00% 1.00% 10.04% 10.01% 9.67% 9.56% 9.31% 0.65% 0.65% 0.65% 0.63% 0.62% 43.69% 5.00% 43.40% 43.21% 0.50% 42.43% 40.66% 0.00% 0.00% 3/2023 6/2023 9/2023 12/2023 3/2024 3/2023 6/2023 9/2023 12/2023 3/2024 3/2023 6/2023 9/2023 12/2023 3/2024 ROA EU ROE EU Cost-to-income ratio EU Banking sector has stabile rates of profitability measured by Return on average asset (ROAA) 2.00%, increased by 0.54 pp annual, or (-0,33) pp quarterly EUROZONE 0.63% Return on average equity (ROAE) 16,13%, increased by 3,89 pp annual or (-2,14) pp quarterly EUROZONE 9,31% 43,40% of total income cover operating costs of the Banks 70.68% of operating income is net interest income Source: NBR REPORT ON RISKS IN THE BANKING SYSTEM OF THE REPUBLIC OF MACEDONIA, Indicators on the banking system, Quarterly Report Q12024 European Central Bank Banking supervision Net interest income to operating income 74.01% 70.72% 70.68% 70.40% 70.15% 61.11% 60.56% 60.51% annual change (pp) quarterly change (pp) 59.50% Profitability 58.71% Return on average assets (ROAA) 0.1% 0.3% Return on average equity (ROAE) 0.7% 2.1% 3/2023 6/2023 9/2023 12/2023 3/2024 Net interest income / operating income EU Cost-to-income ratio -2.6% -2.7% Net interest income / operating income 3.6% 3.3%