Firstrand Limited · JSE:FSR
Firstrand — Debt Investor Presentation (May 2026)
22 slides from Firstrand's debt investor presentation, May 2026
Slide 1: Debt investor update May 2026
Debt investor update May 2026
Slide 2: FirstRand team
FirstRand team 2 • Bhulesh Singh – FirstRand Group Treasurer • Frederik Kleinhans – Head: Group Capital Management • Amit Mohanlal – Head: Funding and Liquidity • Delia Patterson – Distribution: RMB Debt Capital Markets
Slide 3: Macroeconomic overview
FirstRand Macroeconomic overview
Slide 4: Secular macro themes
Secular macro themes 4 • Fragmentation in trade currencies, trade systems, Ongoing global fracturing payment systems and capital allocation • Global policy uncertainty a key contributor to geopolitical risk • Further or escalating wars Structurally higher interest rates and inflation globally • Incr
Slide 5: Reform progress is reflected in the data
Reform progress is reflected in the data 5 Fiscal consolidation supports likelihood Domestically, network industry reforms are improving economic efficiency of further sovereign rating upgrade SA passenger journeys by type SA private power Main primary balance (thousands) (GWh/month) (% GDP) 60 000
Slide 6: Capital and Flac update
Capital and Flac update
Slide 7: Strong group capital position at 31 December 2025
Strong group capital position at 31 December 2025 7 Total capital adequacy* R46bn buffer (%) above regulatory • Capital management principles are mature and 20 minimum deeply embedded across the group 18 17.4 • Capital targets reflect various stakeholder 16 T2: 2.1 perspectives – positive cycle-neut
Slide 8: Total loss absorbing stack (capital and Flac) managed holistically
Total loss absorbing stack (capital and Flac) managed holistically 8 For illustrative purposes, excludes institution-specific requirements and management buffer for FRB • Flac base requirement anchored to the designated Met with excess capital/ AT1/ Tier 2/Flac institution’s RWA (being FRB) 23% 23%
Slide 9: Issuance of Flac and capital instruments under FirstRand's DMTN programme
Issuance of Flac and capital instruments under FirstRand’s DMTN programme 9 FirstRand DMTN programme (external capital and Flac issuances) Internal Flac and Listed holding company (FirstRand Limited, JSE: FSR) capital instruments 100% 100% 100% 100% 100% 100% Platforms FirstRand Bank Limited FirstRa
Slide 10: Funding and liquidity management
Funding and liquidity management
Slide 11: Liquidity conditions
Liquidity conditions 11 FX overnight implied rates have remained below SARB policy Asset swap spreads rallied substantially year on year – rate (SPR) and significantly so over quarter ends and stresses currently marginally wider than pre-conflict levels Short rates Asset swap spreads (ZARONIA) 10% 2
Slide 12: Term funding markets
Term funding markets 12 FRB floating rate note spreads Offer bps, transaction size ≤R100m 120 • ZAR money and capital markets have remained open 100 60 months and resilient through the conflict in the Middle East 80 60 36 months • Market remains well funded with all banks participating 40 12 months
Slide 13: Senior unsecured runoff and Flac issuance
Senior unsecured runoff and Flac issuance 13 Senior unsecured vs Flac issuance (R billion) • Gradual reduction in senior unsecured instruments 20 16.0 15.8 15.8 over phase-in period. 15 11.0 12.3 12.0 • Flac issuance strategy to meet regulatory phase-in 10 7.0 6.6 7.5 7.8 7.6 timetable. 5.0 5 • 2026
Slide 14: Private capital developments a response to spread compression
Private capital developments a response to spread compression 14 R2035 Z-spread bps Private markets have become an additional permanent 400 source of capital not just “bridge and warehousing” capital 350 Partially in response to the regulatory frictions in banking 300 -175 bps systems impacting the
Slide 15: Regulatory and market developments
Regulatory and market developments
Slide 16: ZARONIA transition approach
ZARONIA transition approach 16 Where consent possible: Where there is fall-back language: Where consent is unlikely or failed: No consent – legacy Active transition Fallback language Legislative Draft amendment JSE approval Contractual fallback Financial Sector Regulation Act passed No consent neede
Slide 17: Term ZARONIA rate
Term ZARONIA rate 17 Steps to a term rate Market and industry dependent • Request for proposal was published in October 2025 • IOSCO compliant • FTSE Russell appointed to administer and calculate the • Liquidity in the short-term OIS Term ZARONIA rate (April 2026) • Executable quotes • Proposed 3-le
Slide 18: Regulatory and market developments
Regulatory and market developments 18 Prudential developments Financial markets • South Africa has implemented final Basel III reforms • Commercial Paper Regulations from 1 July 2025 • Latest draft broadens scope, better defines debt and • Regulatory initial margin, uncleared margin rules (UMR), off
Slide 19: Annexures
FirstRand Annexures
Slide 20: Global policy uncertainty a key contributor to geopolitical risk
Global policy uncertainty a key contributor to geopolitical risk 20 World market cap of listed domestic World Policy Uncertainty Index companies to nominal GDP (%) 140 120 000 120 100 000 Coronavirus US election US-China trade and 100 tensions, and Brexit geopolitical 80 000 risks US presidential 80
Slide 21: Comparing bank 5-year funding spreads to mid-swaps
Comparing bank 5-year funding spreads to mid-swaps 21 Bank funding spreads bps • ZAR funding spreads have contracted steadily 300 over the last two years • Some market participants view the compression 250 US average as largely a result of the perceived excess liquidity following the 200 UK average
Slide 22: FirstRand's inaugural ZARONIA-linked Flac issuance
FirstRand’s inaugural ZARONIA-linked Flac issuance 22 Bid volume/allocation Clearing spread R million bps 3.0 140 2 810 120 2.5 117 109 100 2.0 93 2 266 80 1.5 60 1.0 1 258 1 229 1 013 40 0.5 729 20 0.0 0 FR01F FR02F FR03F 11-Mar-26 11-Mar-26 11-Mar-26 FLAC 3Y FLAC 5Y FLAC 7Y Total bid volume Total