The Annual Reports of BNP Paribas Bank Polska S.A. for previous years, including those published since 2011 containing

non-financial information, are available on the Bank's website.

The data presented in the Report relate to the period from 1 January to 31 December 2023, unless otherwise stated in the

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hesitate to contact us: relacjeinwestorskie@bnpparibas.pl or esg@bnpparibas.pl.

More information is available at: https://www.bnpparibas.pl/relacje-inwestorskie and https://www.bnpparibas.pl/csr.

Table 1. Market shares of BNP Paribas Bank Polska S.A.

-

6.2% at the end of 2022. The decrease in market shares occurred, as a result of lower shares of loans to individual

Customers, in particular PLN housing loans recorded as a result of the decrease in the Bank's volumes against the increase



first flat; it offers mortgage loans only to its own Customers). Otherwise, the Bank recorded an increase in market shares

in loans to non-financial businesses as a consequence of a slower decline in volumes than in the Banking sector.

The Bank's share of non-Bank Customer deposits recorded a decrease to 6.0% from 6.2% at the end of 2022. This occurred

as a result of both a decrease in the share of deposits from private individuals (a decrease in the share of current deposits

with a slight increase in the share of time deposits) and a decrease in the share of deposits from non-financial businesses

(caused by a decrease in the share of corporate deposits). In both categories, the Bank recorded an increase in volumes at

PILLAR POSITIVE

communities and involvement in education and public debate, will support the building of the Bank's brand.

PILLAR STRONGER

For the Bank, it is important to improve internal processes, transform the IT area using state-of-the-art technologies and

accelerate the pace of implementation of new solutions. Planned investments in this area are expected to reach a total of

PLN 1.5 billion by 2025. Fast and efficient scalability is to be the basis of a modern digital Bank. The objectives are: to

support business growth through advanced analytical tools; to maintain a secure and optimal capital and liquidity

position; and to start paying dividends during the current strategy.

PILLAR TOGETHER

The Bank is convinced that a committed and satisfied employee guarantees a high level of customer satisfaction. A new

rates allowed it to generate higher results. The sector's net result in 2023 was PLN 27.9 billion (NBP data), the highest

result ever acihieved. On the other hand, most institutions still incurred very high provisioning costs for CHF loans.

Nevertheless, the overall operating conditions could be described as favourable if it were not for the prevailing uncertainty

in the market. For the banks this took place against a backdrop of fears about further regulatory burdens, companies held

back investments due to market stagnation and individual customers refrained from large expenditures beyond their

current needs. General caution prevailed, and this was reflected in the operating strategy.

As part of this precaution and in the interests of a safe level of capital, the Bank decided to limit the sale of mortgage

products. The offer of mortgages was primarily targeted at existing Customers, while new Customers of the Bank were

offered a so-called "Green Mortgage" to finance energy-efficient properties. Furthermore, while remaining a fully universal

Bank, the Bank decided to moderately profile its business towards the most desirable segments. Among individual

Table 2. Execution of strategic financial targets in 2023

*In the categories of financing with a positive environmental impact, an additional category 'waste and water treatment' was included. As a result of the change, it was also necessary to update the

sustainable financing values for 2022.

Table 6. Value of financing with a positive social impact in 2023 vs 2022

and types of investments with a positive (social or environmental) impact. The listed products are offered at preferential

prices, which significantly strengthens the competitiveness of our offer. The following areas are considered sustainable:

development of renewable energy, improving energy efficiency, mitigation and adapting to climate change, low-emission

transport, protection of water resources, circular economy, protection of biodiversity and natural capital, improving the

quality and accessibility of public education and medical services, counteracting social exclusion.

To be qualified for our internal sustainable financing programme, each loan undergoes verification by the ESG competence

unit and needs to be approved by our credit decision-makers.

For more information on sustainable products and services, refer to The Report of the Management Board.

The numerator of the green asset ratio includes the amounts of financial assets corresponding to Taxonomy-aligned

activities. The scope of its analysis covers the following financial assets (in the form of loans and advances, debt

securities, equity instruments and repossessed real estate collaterals):

loans, motor vehicle loans granted from 1 January 2022),

loans, building renovation loans and motor vehicle loans),

The inclusion of assets excluded from the numerator's alignment analysis in the denominator (44.75% of total assets on

the balance sheet, in gross carrying value) causes a structural imbalance in the indicator. As a result, this ratio cannot be

considered as a representative measure of alignment.

Exposures to central governments, central banks or supranational issuers are not covered by the green asset ratio

regulations. The assets excluded from the calculation of the indicator by the regulation constitute 25.21% of total assets on

the balance sheet, in gross carrying value.

Where the use of funds is known (use-of-proceeds loans), the assessment of alignment with the Taxonomy should be

based on information collected from the counterparty. The European Commission's draft Communication

interpretation of certain provisions of Delegated Regulation (EU) 2021/2178, published on 21 December 2023, stipulates

that financial institutions are required to collect evidence of alignment with the Taxonomy for each technical criterion

contributing to environmental objective, as well as document the justification for the absence of negative impacts on other

environmental objectives. Where the provisions of the Taxonomy require confirmation of a technical criterion's compliance

by an independent third party, the financial institution is expected to obtain evidence of such certification. The level of

both the key criteria of energy efficiency or low-emission and for the criteria that justify the lack of negative impact on

other environmental goals. Regarding the latter, there is currently no market standard available. The Bank collects data

from households on key energy efficiency or low-carbon criteria, such as energy performance certificates. However, it is

not currently able to obtain evidence to support each of the other criteria, so the numerator of the Green Assets Ratio does

not currently include any exposure to households.

With regard to investment funds covered by the green assets under management indicator, and in particular those

included in portfolios entrusted to management. The Group faces a lack of eligibility and compliance indicators for the

funds. The lack of indicators is specific to this year, as their values should be published for the first time by June 2024 at

the latest, in accordance with EU Regulation 2019/2088 on sustainabilityrelated disclosures in the financial services

sector (SFDR).

Values of alignment indicators as at 31 December 2023