FIRST GULF BANK INVESTOR PRESENTATION – FEBRUARY 2014

DISCLAIMER This presentation provides information in summary form only and is not intended to be complete. It is not intended to be relied upon as advice to investors or potential investors and does not take into account the investment objectives, financial situation or needs of any particular investor. No presentation ,express or implied, is made as to the fairness, accuracy, completeness or correctness of information contained in this presentation, including the accuracy, likelihood of achievement or reasonableness of any forecasts, prospects, synergies, returns, benefits or statements in relation to future matters contained in the presentation. The forward-looking statements are by their nature subject to significant uncertainties and contingencies and are based on numbers or estimates or assumptions that are subject to change (and in many cases are outside the control of FGB and its directors) which may cause the actual results or performance of FGB to be materially different from any future results or performance expressed or implied by such forward looking statements. To the maximum extent permitted by law, FGB disclaims any responsibility for the accuracy or completeness of any information contained in this presentation including any forward-looking statements and disclaims any responsibility to update or revise any information or forward-looking statement to reflect any change in FGB’s financial condition, status or affairs or any change in the events, conditions or circumstances on which a statement is based. To the maximum extent permitted by law, neither FGB nor its related bodies corporate, directors, employees or agents, nor any other person, accepts any liability, including, without limitation, any liability arising from fault or negligence, for any direct, indirect or consequential loss arising from the use of this presentation or its contents or otherwise arising in connection with it. This presentation should be read in conjunction with other publicity available material. Further information including historical results and a description of the activities of FGB is available on our website, www.fgb.ae

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FGB INVESTOR PRESENTATION – FEBRUARY 2014

Agenda CONTENTS

OPERATING ENVIRONMENT...………………………………….……..….……………………………………….3 FIRST GULF BANK PROFILE………………....….……………………………………………………………….8 Q4/FY 2013 PERFORMANCE REVIEW……………..…………………………………………………………17

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FGB INVESTOR PRESENTATION – FEBRUARY 2014

UAE ECONOMIC OVERVIEW SOLID FUNDAMENTALS

NOMINAL GDP

AND

REAL GDP GROWTH

650

 UAE federation was established in 1971 and is comprised of seven Emirates

6.0%

3.9%

550

1.7%

450

384

349 350

255

 Total population estimated at 8.3 million

250

 7th largest oil reserves in the world (98 Bn boe(1))

150

3.9%

390

404

287

2.0%

0.0%

-2.0%

 Second largest economy in the GCC

-4.0%

-4.8% 50

 FY12 nominal GDP of USD 384Bn; 2013E and 2014F Real GDP Growth seen at 4.0% and 3.9% respectively

-50

2009

2010

2011

2012

Nominal GDP (USD Bn)

AT A

4.0%

4.0%

 Politically stable country and highly favorable business climate

ABU DHABI

4.4%

2013E

2014F

-6.0%

Real GDP growth

Source: IMF World Economic Database (October 2013) (1)boe: barrel of oil equivalent

GLANCE

 Largest Emirate in the UAE accounting for more than 80% of the country’s total land area

Ras al-Khaymah Umm al-Quwayn Sharjah Ajman Dubai

 FY12 nominal GDP at USD 248Bn(2)  Over 57% of Abu Dhabi’s GDP generated from the hydrocarbon sector

ABU DHABI

Fujairah

 Major non-oil GDP contributors include: construction and real estate, manufacturing, logistics, and wholesale and retail trade  Transition underway towards a more diversified economy with a particular focus on the infrastructure and services sectors inline with Abu Dhabi Plan 2030 (2)Abu

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Dhabi Statistics Centre (June 2013)

FGB INVESTOR PRESENTATION – FEBRUARY 2014

PLAN ABU DHABI 2030 Energy • •

Masdar City - the world’s first carbon neutral, zero-waste to landfill, car-free city powered entirely by alternative energy sources. Masdar Institute – an institute developed with Massachusetts Institute of Technology (MIT) with the aim to develop the emirate’s human capital and develop research in alternative energies.

Masdar City

Masdar City

Aviation, Aerospace & Defence Strata is a composite aero structures manufacturing facility, whollyowned by Mubadala, which has formed partnerships with a number of leading aerospace companies to establish manufacturing programs at a new plant in Al Ain.

Key Sectors

•

Tourism Entertainment • • • • •

Yas Marina Circuit Ferrari World Abu Dhabi Yas Waterworld Abu Dhabi Al Ain Wildlife Park Shopping malls

Hotels • Etihad Towers • Emirates Palace • St. Regis Abu Dhabi • Rocco Forte Hotel • Qasr Al Sarab Desert Resort • Ritz-Carlton Abu Dhabi • Eastern Mangroves Hotel

Strata

Emirates Palace Etihad Towers

Ferrari World Abu Dhabi

Yas Marina Circuit

Education •

Universities: Paris Sorbonne Abu Dhabi, New York University, and Zayed University Zayed University

Paris Sorbonne

New York University

Healthcare, Equipment & Services •Cleveland Clinic Abu Dhabi will offer a 364-bed hospital organized into five institutes, digestive disease, eye, heart & vascular, neurological, respiratory and critical care.

Cleveland Clinic

Source: Abu Dhabi Council for Economic Development (June 2012) 5/35

FGB INVESTOR PRESENTATION – FEBRUARY 2014

ABU DHABI

WITHIN THE LT Ratings (Moody’s, S&P, Fitch)

GCC CONTEXT Oil Production(1)

GDP Per Capita(2)

Abu Dhabi

Aa2 , AA, AA

3.0mn bpd+

USD 109,000

Saudi Arabia

Aa3, AA-, AA-

11.5mn bpd+

USD 25,163

Kuwait

Aa2, AA, AA

3.1mn bpd+

USD 44,585

Qatar

Aa2, AA, NR

2.0mn bpd+

USD 98,737

0.4mn bpd+

USD 23,930

0.9mn bpd+

USD 24,729

Bahrain

Oman

Baa1 (-), BBB (-), BBB

A1, A, NR

(1)Source:

BP Statistical Review of World Energy (June 2013) forecasts - Source: International Monetary Fund for all, except Abu Dhabi (Standard & Poor’s) Note: Unless otherwise indicated, all outlooks are stable; (-) Negative outlook (2)2013

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FGB INVESTOR PRESENTATION – FEBRUARY 2014

UAE BANKING SECTOR LANDSCAPE HIGHLIGHTS

GCC BANKS ASSETS BREAKDOWN

BY

COUNTRY

(1)

Oman 4%

 Largest banking industry in the GCC (34% share in assets)  Sector comprises of 23 local banks (832 branches) and 28 licensed foreign banks (86 branches)

UAE 34%

Saudi 32%

 Strong track record of systemic support as evident through the measures taken since the onset of the financial crisis  As of Sep’13, the industry is showing healthy indicators with aggregate loan book up 7.2% year-to-date and sector loans-to-deposits ratio at 93%

Bahrain 3%

Kuwait 12%

(1)Source:

Qatar 16%

Central Banks; total assets as of Dec 2012

SEP’13 INDICATORS UAE Banking Sector

First Gulf Bank

First Gulf Bank market share

Total assets (AED Bn)

1,907.7

189.6

10%

Loans and advances (AED Bn)

1,178.3

126.9

11%

Customer Deposits (AED Bn)

1,270.0

132.6

10%

UAE Listed Banks(2)

First Gulf Bank

First Gulf Bank market share

219.9

29.8

14%

21,001

3,402.2

16%

Equity (AED Bn) Net Profits (AED Mn) (2)UAE

listed banks total assets represent 85% of total UAE banking system assets as of Sep’13 Source: UAE Central Bank, FGB financials

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FGB INVESTOR PRESENTATION – FEBRUARY 2014

Agenda CONTENTS

OPERATING ENVIRONMENT...………………………………….……..….……………………………………….3 FIRST GULF BANK PROFILE………………....….……………………………………………………………….8 Q4/FY 2013 PERFORMANCE REVIEW…….…….……………………………………………………………17

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FGB INVESTOR PRESENTATION – FEBRUARY 2014

SUMMARY Leading UAE franchise majority-owned by Abu Dhabi’s ruling family #1 UAE Bank by net profits and #3 by total assets as of Dec’13 11% and 10% market shares in loans and customer deposits respectively as of Sep’13 Superior fundamentals in terms of volumes growth, asset quality, NIMs, cost efficiency and profitability Strong risk management culture and stable management team

Efficient business model warranting sustainable growth and value creation Ranked #161 in The Banker Magazine’s latest Top 1000 Banks ranking by Tier 1 capital strength

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FGB INVESTOR PRESENTATION – FEBRUARY 2014

OVERVIEW A LEADING UAE FRANCHISE

OWNERSHIP STRUCTURE(1)

 Incorporated in 1979 and headquartered in Abu Dhabi

UAE companies and individuals 20.4%

 64.2% owned by Abu Dhabi’s ruling family  Wide range of financial products and services offered through a network of 22 branches in the UAE; global presence in Libya, Qatar, India, Singapore and Hong-Kong

Foreign Shareholders 10.8%

 1,452 employees

Abu Dhabi Ruling Family 64.2%

 Listed in 2002; Market cap. of AED 56.4Bn (USD 15.4Bn) as of Dec 31st, 2013

GCC Nationals 4.6%

(1)

CREDIT RATINGS

As of December-end 2013

GLOBAL FOOTPRINT LONG TERM RATING A2 (Since 2007)

OUTLOOK FGB-Libya Tripoli

Stable

Doha Mumbai

A+ (Since 2007)

A+

Stable

Hong-Kong

Singapore

2 Branches 2 Rep Offices 1 Subsidiary

Stable

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FGB INVESTOR PRESENTATION – FEBRUARY 2014

BOARD

OF

DIRECTORS

FGB Board Members are prominent stakeholders of the Abu Dhabi Business Community

H.H. SHEIKH TAHNOON BIN ZAYED AL NAHYAN – CHAIRMAN CHAIRMAN OF AMIRI FLIGHT CHAIRMAN OF ROYAL GROUP

XX

KHALDOON KHALIFA AL MUBARAK

SULTAN KHALFAN AL KETBI

MOHAMMED SAIF AL SUWAIDI

BOARD MEMBER

BOARD MEMBER

BOARD MEMBER

BOARD MEMBER

FGB MANAGING DIRECTOR

CEO OF MUBADALA DEVELOPMENT COMPANY

AHMED ALI AL SAYEGH

ABDULHAMID MOHAMMED SAEED

VICE CHAIRMAN CHAIRMAN OF ABU DHABI GLOBAL MARKET CEO OF DOLPHIN ENERGY

Board Member of: Mubadala Development Company Abu Dhabi Water & Electricity Authority Etihad Airways

Board Member of: Emirates Investment Authority Abu Dhabi Securities Exchange Emirates Integrated Telecom Co (DU) Mubadala Development Company

Member of: Abu Dhabi Executive Council Abu Dhabi Council for Economic Development Abu Dhabi Executive Affairs Authority (Chairman)

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DIRECTOR GENERAL OF ABU DHABI FUND FOR DEVELOPMENT

Board Member of Al Ain International Group (Vice Chairman)

Vice Chairman of the board of the Arab Bank for investment Chairman of Al Ain Farms for Livestock production Board member of the center of food security of Abu Dhabi

FGB INVESTOR PRESENTATION – FEBRUARY 2014

BUSINESS SEGMENTS Incremental Revenue Streams

Core Banking Revenue Drivers Wholesale Banking

Consumer Banking



Original core business of the Bank





Customer base includes large corporate & multinational clients and financial institutions

Focus on key customer segments: Emirati, Mass, SME, Wealth







Services include debt markets (advisory, bilateral, & syndicated loans, project and structured finance) and transaction banking (cash, trade, liabilities) supported by treasury sales (hedging, FX, rates, commodities) Organized geographically across UAE and international locations (Singapore, Libya, Hong-Kong, Qatar, India)



Treasury & Global Markets



Leverage product innovation, analytics, and alliances to create differentiation

Manages FGB’s wholesale funding activities and liquidity, interest rate and foreign exchange risk, and proprietary investment portfolio



Investing for the future and enhancing customer experience through technology and process improvements

Provides bespoke risk management solutions to the Bank’s clients across FX, Interest Rate, Credit and Commodity asset classes



Also provides client investment solutions via structured products, asset management, equity brokerage and margin trading



Strong growth opportunities providing an access point to the global markets by leveraging on strong correspondent banking relationships



Positioning as Bank of Choice for UAE Nationals



Manage National Housing Loan program for Abu Dhabi government

(1)Aseel

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Other



Subsidiaries: First Gulf Libyan Bank, First Gulf Properties, Aseel Finance(1), Dubai First(2), Mismak Properties, First Merchant International, Radman Properties



Associate companies: First Gulf Financial Services, Green Emirates Properties



Head Office support units: Audit, Financial Control, HR, Operations, Strategy and Planning, PMO, Admin, IT, Legal, Risk Management, Corporate Communications

Finance is a fully-owned subsidiary of FGB effective Q3’13 (2) Dubai First consolidation was effective in Q4’13

FGB INVESTOR PRESENTATION – FEBRUARY 2014

THREE-PILLAR STRATEGY 1 ORGANIC GROWTH OF CORE BANKING ACTIVITIES

 Build deeper client relationships, providing solutions and high quality service  Continue to target large creditworthy UAE-based customers  Develop and strengthen a customer-centric approach emphasizing on bespoke service quality and product range

2

3

SELECTIVE REGIONAL AND INTERNATIONAL EXPANSION

SYNERGIES WITH SUBSIDIARIES AND ASSOCIATES

 Geographic diversification through expansion of existing operations and penetration in key markets

 Aseel Finance to provide innovative Islamic products to a broad base of customers and businesses

 Focus on trade and financial flows through the UAE into target international locations

 Enhance fee income business through property management and equity brokerage services

 Sourcing and distribution of trade and financing opportunities across the FGB network

 Specialized subsidiaries for property development and Private Equity

OUR VISION: TO

BE A WORLD CLASS ORGANIZATION MAXIMIZING VALUE FOR ALL STAKEHOLDERS

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FGB INVESTOR PRESENTATION – FEBRUARY 2014

KEY ACHIEVEMENTS TOTAL ASSETS (AED BN)

CUSTOMER DEPOSITS (AED BN)

LOANS & ADVANCES (AED BN)

126.9

195.0 175.0 157.5 125.5

2009

90.4

140.8

2010

2011

2012

2013

29.3

2009

98.7

2011

2012

2010

2011

2012

103.5

2013

2009

2010

2012

6,164

6,305

6,483

2009

2010

2011

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2012

2013

NET PROFIT (AED MN) 4,774 4,154

7,270

2013

2011

8,421

31.2

24.1

2010

119.3

104.7

OPERATING INCOME (AED MN)

26.7

2009

95.6

86.4

SHAREHOLDERS’ EQUITY (AED BN)

22.5

138.0

114.6

2013

3,310

3,420

2009

2010

3,707

2011

2012

2013

FGB INVESTOR PRESENTATION – FEBRUARY 2014

KEY ACHIEVEMENTS (CTD) NET INTEREST MARGIN (%)

PROVISION COVERAGE (%)

NPL RATIO (%)

98.4 3.7

3.8 3.7

3.7

3.7

3.4

3.3

3.6

3.3

96.1 91.1

89.4

3.3 81.7

2009

COST

2010

TO

2011

2012

2013

INCOME RATIO (%)

2009

2010

2011

2012

2013

ROAE (%)

19.6

2009

2011

2012

2013

2.8

16.9 15.8

18.9

2010

ROAA (%)

21.0

17.5

2009

14.7

14.6

2.6

14.8

2.6 2.5

2.5

2011

2012

17.8

2010

2011

2012

2013

2009

2010

2011

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2012

2013

2009

2010

2013

FGB INVESTOR PRESENTATION – FEBRUARY 2014

FGB

VS.

LARGE PEER GROUP

TOTAL ASSETS (AED BN) ENBD

FGB

ADCB

325.1

195.0

NET PROFIT (AED MN)

ADCB

ENBD

4,733

3,365

3,256

238.3

NBAD

183.8

ADCB

131.6

FGB

126.9

RETURN 4,774

NBAD

CUSTOMER DEPOSITS (AED BN)

ENBD

183.1

FGB

DEC’13

LOANS & ADVANCES (AED BN) 342.1

NBAD

AS OF

ON

ENBD

RETURN

13.9%

8.3%

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138.0

ADCB

14.4%

ADCB

211.1

FGB

15.8%

NBAD

239.6

NBAD

AVERAGE EQUITY

FGB

ENBD

115.4

ON

AVERAGE ASSETS

FGB

2.6%

ADCB

1.8%

NBAD

ENBD

1.5%

1.0%

FGB INVESTOR PRESENTATION – FEBRUARY 2014

Agenda CONTENTS

OPERATING ENVIRONMENT...………………………………….……..….……………………………………….3 FIRST GULF BANK PROFILE………………....….……………………………………………………………….8 Q4/FY 2013 PERFORMANCE REVIEW.……….….……………………………….…………………………17

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FGB INVESTOR PRESENTATION – FEBRUARY 2014

Q4/FY’13 PERFORMANCE KEY HIGHLIGHTS Record 2013 Net Profits at AED 4,774Mn (+15% YoY); Q4’13 bottom line at AED 1,372Mn (+15% QoQ;+19% YoY) 2013 Revenues up 16% YoY to AED 8,421Mn driven by effective balance sheet management, sustained NIMs, and continued revenue diversification Healthy credit quality metrics (NPL ratio: 3.3%; provision coverage:91.1%) Superior cost efficiency (cost-to-income ratio: 21.0%) Comfortable liquidity and capital ratios (L/D ratio: 92.0%; total CAR: 17.5%) Successful consolidation of Dubai First in Q4’13 RoAE and RoAA improved to 15.8% and 2.6% respectively (from 14.8% and 2.5% in 2012) Suggesting 100% cash dividends and 30% bonus shares for FY’13, subject to UAE Central Bank & AGM approvals

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FGB INVESTOR PRESENTATION – FEBRUARY 2014

SUMMARY FINANCIALS INCOME STATEMENT (AED MN)

FY’13

FY’12

YOY

Q4’13

Q3’13

Q OQ

Q4’12

YOY

Net Interest and Islamic Financing Income

5,994

5,520

9%

1,619

1,525

6%

1,470

10%

Other Operating Income

2,427

1,750

39%

856

527

63%

537

60%

Operating Income

8,421

7,270

16%

2,475

2,052

21%

2,006

23%

G & A expenses

(1,766)

(1,426)

24%

(533)

(431)

24%

(401)

33%

Provisions/ Impairments

(1,820)

(1,653)

10%

(546)

(423)

29%

(428)

28%

Taxes

(33)

(20)

64%

(9)

(5)

71%

(12)

-26%

Minority Interest

(28)

(17)

67%

(16)

(4)

288%

(17)

-6%

4,774

4,154

15%

1,372

1,190

15%

1,149

19%

1.54

1.30

18%

DEC’13

DEC’12

YOY

SEP’13

Q OQ

Net Loans & Advances

126.9

114.6

11%

126.9

0%

Customer Deposits

138.0

119.3

16%

132.6

4%

Total Assets

195.0

175.0

11%

189.6

3%

31.2

29.3

6%

29.8

5%

KEY RATIOS (%)

FY’13

FY’12

YO Y

Net Interest Margin

3.7

3.7

-1bps

21.0

19.6

136bps

3.3

3.3

-2bps

Provision Coverage

91.1

96.1

-500bps

Loan-to-Deposit Ratio

92.0

96.1

-408bps

Return on Average Equity

15.8

14.8

93bps

Return on Average Assets

2.6

2.5

8bps

17.5

21.1

-356bps

Net Income Earnings Per Share (AED)

BALANCE SHEET (AED BN)

Shareholders’ Equity

Cost-to-Income Ratio Non-Performing Loan ratio

Capital Adequacy Ratio (Basel II)

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FGB INVESTOR PRESENTATION – FEBRUARY 2014

ASSET MIX

AND

LENDING ACTIVITY

HIGHLIGHTS

LOAN BOOK TREND (AED BN) +10.7%

 Loan book added AED 12.3Bn YoY (or +10.7%) to AED 126.9Bn as of December-end 2013. This growth mainly originated from the retail and services business sectors.

126.9

126.9

Sep'13

Dec'13

123.1 114.6

117.8

 Dec’13 loan book includes Aseel Finance and Dubai First portfolio of AED 1.2Bn and AED 0.7Bn respectively  Liquid Assets Ratio went up to 19.9% from 17.8% in 2012 Dec'12

ASSET MIX

Mar'13

Jun'13

LOAN BOOK BREAKDOWN DEC’12

Inv. Other Properties 2% 4% Investments 10%

Liquid Assets 18%

DEC’13 Inv. Properties 4%

Construction 4%

Share financing 1% Personal - others 3%

Trading 7%

Liquid Assets 20%

Public Sector 8%

Loans & Advances 66%

SECTOR – DEC’13

Energy Agriculture 1% 1%

Manufacturing 4%

Other 2%

Investments 9%

BY

Personal - retail 38%

Other Services 14%

Loans & Advances 65%

Financial Services 5%

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Real Estate 13%

FGB INVESTOR PRESENTATION – FEBRUARY 2014

LIQUIDITY HIGHLIGHTS

CUSTOMER DEPOSITS TREND (AED BN) +15.6%

 Customer Deposits added AED 18.6Bn during 2013 (+15.6%) to AED 138.0Bn, reflecting the ample liquidity available in the UAE banking sector

138.0 132.6 123.9

119.3

119.2

Dec'12

Mar'13

 Loan-to-deposit ratio stood at 92.0%; regulatory Advances-to-Deposits ratio at 80.6% remained well below CB cap of 100%  CASA deposits increased their share in total deposits to 20% from 13% in 2012

LIQUIDITY RATIOS (%)

DEPOSITS

TYPE

BY

95.7 92.0

81.9

83.3 80.1

L/D ratio

Call and other deposits 13%

CASA 13%

Jun'13

Sep'13

Dec'13

SECTOR – DEC’13

International Division 4%

Retail 13%

CASA 20%

Government & Public Sector 46%

Time deposits 65%

Time deposits 74%

Mar'13

Call and other deposits 15%

BY

80.6

76.2

Dec'12

DEC’13

99.4

96.1

Sep'13

DEPOSITS

DEC’12 98.9

Jun'13

Corporate 37%

Dec'13

Regulatory Advances-to-Deposits Ratio

Note: CASA refer to current accounts and savings accounts

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FGB INVESTOR PRESENTATION – FEBRUARY 2014

FUNDING MIX HIGHLIGHTS

LIABILITY MIX DEC’13

DEC’12

 FGB issuances in Q4’13 were made under its USD 3.5Bn Euro Medium Term Note (EMTN) program and included the following :

Borrowings, EMTN, Sukuk* 10% Due to Banks 2%

• In November, USD 500Mn long 5-year Bonds with a coupon @ 3.25% • In December, USD 25Mn 3-year Bonds with a coupon equal to 3M USD LIBOR plus a margin of 1.23%

Borrowings, Other, 2% EMTN, Sukuk* 8% Due to Banks Equity 3% 16%

Other 3% Equity 17%

Customer deposits 68%

Customer deposits 71%

*Includes Tier 2 MoF deposits (repaid in full in March 2013)

WHOLESALE

FUNDING

(AED MN)

MATURITIES (AED MN) 4,373

DEC’13 Syndicated loan

3,306

Bank loans

1,469

EMTN

2,943

Medium term bonds

1,627

Repurchase agreements

4,063 3,718

2,026 1,368

459

Sukuk

6,149

Total

15,953

379 26 2014

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2015

2016

2017

2018

2019

2023

FGB INVESTOR PRESENTATION – FEBRUARY 2014

REVENUES

AND

COST EFFICIENCY

HIGHLIGHTS

KEY MOVEMENTS

 2013 revenues were generated at AED 8,421Mn, up 16.1% YoY

+473

IN

+136

OPERATING INCOME (AED MN) +272

+334 -44

-21

 Revenue growth during 2013 was mainly driven by: • AED 473Mn addition in Net Interest and Islamic Financing income driven by higher volumes and sustained NIMs at 3.7%

8,421

7,270

OPERATING INCOME YOY TREND (AED MN)

NET INTEREST MARGINS (%)(1)

COST-TO-INCOME RATIO (%)(2)

8,421 6,164

6,305

6,483

7,270

20.6 71%

62%

68%

38%

32%

2009

2010

78%

3.70 3.58

76%

22%

24%

2011

2012

3.62

3.68

3.69

FY'13

Share of profits from associates

Other income

Property and rental income

Fees and commissions

Investment Income

FY'12

 FY’13 cost-to-income ratio remained highly competitive and within guidance at 21.0%, despite continued investments in people and technology, and consolidation of Aseel Finance and Dubai First

Net Interest and Islamic Fin. Income

• Solid increase in property income by AED 334Mn and in fees and commissions by AED 272Mn

20.7

20.6

21.0

19.6

29%

2013

FY'12

Q1'13

H1'13

9M'13

FY'13

FY'12

Q1'13

H1'13

9M'13 (1)

Net Interest and Islamic Financing Income Other Income (inc. share of profit from assoc.)

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FY'13

YTD Annualized (2) YTD

FGB INVESTOR PRESENTATION – FEBRUARY 2014

CREDIT QUALITY HIGHLIGHTS

NPL RATIO 4.5

 Credit quality metrics substantially improved in

AND

PROVISION COVERAGE (%)

101.8

96.1

91.1 80.1

Q4’13 with NPL ratio down to 3.3% and provision

70.0

3.9

coverage up to 91.1% sequentially 3.5

3.3

3.3

-30.0

2.5

-50.0 2.0

as of December-end 2013

-70.0

FY'12

Q1'13

NPL ratio

RISK (1) (%)

NPLS

AND

H1'13

1.42

NPLs

1.40

1.30

FY'12

Q1'13

H1'13

9M'13

FY'13

PROVISIONS (AED MN)

4,287

YOY

SEP’13

Q OQ

3,905

9.8%

5,109

-16.1%

3,905

3,752

4.1%

3,837

1.8%

Specific

2,151

2,231

-3.6%

2,170

-0.9%

General

1,754

1,521

15.4%

1,667

5.2%

Provisions

1.34

9M'13

Provision Coverage

DEC’13 DEC’12

1.34

10.0 -10.0

 General Provisions represent 1.1% of total CRWA

(1)

30.0

3.2

3.0

year

OF

50.0

3.6

 Provision charge was in line with guidance at AED

COST

90.0

75.1

4.0

1.8Bn, that is a net cost of risk of 1.3% for the full

110.0

FY'13

YTD Annualized

24/35

FGB INVESTOR PRESENTATION – FEBRUARY 2014

CAPITAL STRENGTH

(AS

PER

BASEL II)

HIGHLIGHTS

CAPITAL ADEQUACY RATIO (%)

 FGB enjoys a strong capital buffer providing it with

23.0%

22.3%

ample room for future growth: as of Dec’13, total

21.1%

and Tier 1 capital ratios respectively stand at

21.1%

19.3%

17.5% and 16.4% after 2013 dividend distribution

18.0%

17.3%

17.7% 17.5%

 Government loan of AED 4.5Bn was fully repaid in

16.4%

March 2013  Medium-term Tier 1 capital ratio is seen at 15% Dec'09

Dec'10

Dec'11

Tier 1 Capital

CAPITAL BASE (AED BN) Tier 1 Capital

Dec'09

RISK WEIGHTED ASSETS (AED BN) 173.0

24.5

Dec'10

25.1

Dec'11

145.3

32.0

30.7

29.3

Dec'13

BASEL II CAR

Total Capital

27.6 22.3

Dec'12

26.9

Dec'12

28.4

30.3

Dec'13

25/35

123.9

127.3

Dec'09

Dec'10

Dec'11

151.9

Dec'12

Dec'13

FGB INVESTOR PRESENTATION – FEBRUARY 2014

BUSINESS SEGMENT CONTRIBUTIONS HIGHLIGHTS

TOTAL ASSETS (AED BN)

 Wholesale and Consumer Banking represent 41% and 24% of total assets respectively; generating a combined 79% of revenues and 84% of net profit at group level

195.0

175.0 2%

3%

5%

26%

OPERATING INCOME (AED MN)

Consumer Banking Wholesale Banking

24%

24%

 International operations generated 5.6% of the group revenues (4.2% in 2012) and 5.7% of net profits (4.4% in 2012)

Real Estate activities Treasury & Global Markets

5% 27%

 Treasury & Investments’ contributions to operating income and net profit stand at 13% and 21% respectively

Other

44%

41%

Dec'12

Dec'13

NET PROFIT (AED MN)

8,421 7,270 3%

3% 11%

2%

4,774

6%

13%

5%

Real Estate activities

41%

39%

43%

Real Estate activities Treasury & Global Markets

FY'12

Wholesale Banking

45%

49%

39%

(14%)

FY'12

Other

Consumer Banking

Consumer Banking Wholesale Banking

42%

21%

18%

Treasury & Global Markets 40%

9%

4,154

Other

(14%)

FY'13

FY'13 26/35

FGB INVESTOR PRESENTATION – FEBRUARY 2014

WHOLESALE BANKING GROUP - WBG HIGHLIGHTS

OPERATING INCOME (AED MN)

 WBG FY’13 revenues grew 7.0% YoY to AED 3,265Mn, including a 54.3% rise in revenues from international operations  Net profits went up 7.1% to AED 2,161Mn

NET PROFITS (AED MN)

3,265

3,051

473

307 +7.0%

+7.1% 2,018

2,791

 Abu Dhabi public and private sectors represent a combined share of 59% of WBG’s Dec’13 Gross Loan Portfolio FY'12 UAE operations

TOTAL ASSETS (AED BN)

76.6

+5.6%

FY'13 International Operations

1,837

1,889

FY'12

FY'13

UAE operations

International Operations

WHOLESALE GROSS LOAN PORTFOLIO (DEC’13) 80.9 Dubai Private Sector 16%

Abu Dhabi Private Sector 49%

Dec'12

271

181 2,744

2,161

Other UAE Private Sector 5%

Non UAEbased Corporates 20% Government & Public Sector 10%

Dec'13

27/35

FGB INVESTOR PRESENTATION – FEBRUARY 2014

CONSUMER BANKING GROUP - CBG HIGHLIGHTS

OPERATING INCOME (AED MN)

 CBG FY’13 operating income grew 14.1% YoY to AED 3,386Mn; net profits at AED 1,868Mn were 5.7% higher than last year

+14.1%

3,386

1,767

FY'12

FY'13

FY'12

1,868

FY'13

CONSUMER GROSS LOAN PORTFOLIO (DEC’13)

TOTAL ASSETS (AED BN)

Credit Cards Other 8% Mortgage Loans Abu Dhabi 4% Islamic Government Financing National 2% Housing Loans to Loans SMEs 32% 5%

46.7

41.2

Personal Loans 43%

Dec'12

+5.7%

2,968

 Wealth Management and SME loans increased their share in CBG gross loan portfolio to 6% and 5% respectively (from 2% and 4% in 2012)

+13.3%

NET PROFIT (AED MN)

Wealth Management 6% Others* 0%

Dec'13 *Others include overdrafts and auto loans

28/35

FGB INVESTOR PRESENTATION – FEBRUARY 2014

TREASURY & GLOBAL MARKETS – T&GM HIGHLIGHTS

OPERATING

 T&GM operating income climbed 37.6% YoY to AED 1,115Mn; net profit grew 34.5% YoY to AED 997Mn

INCOME

+37.6%

(AED MN)

NET PROFIT (AED MN)

1,115

+34.5%

810

997

741

 Total assets expanded 17.1% YoY to AED 52.4Bn as of Dec’13

FY'12

TOTAL ASSETS (AED BN) +17.1%

FY'12

FY'13

FY'13

TREASURY & GLOBAL MARKETS PORTFOLIO (DEC’13) 52.4

44.7

Other Fixed Income Bonds 28% Liquid Assets 67%

US Treasury Funds & Bills Equities 0% 3% Others 2%

Dec'12

Dec'13

29/35

FGB INVESTOR PRESENTATION – FEBRUARY 2014

REAL ESTATE ACTIVITIES HIGHLIGHTS

OPERATING

 FY’13 operating income grew 106% YoY to AED 468Mn, boosted by MTM gains booked during the period  Net profit improved to AED 415Mn from AED 189Mn in 2012

INCOME

NE PROFIT (AED MN)

468 +106.4%

+119.1%

189

FY'13

FY'12

FY'13

INVESTMENT PROPERTIES PORTFOLIO (DEC’13)

(1)

Land in Dubai 4%

+5.0%

9.9

9.4

Dev. Properties in Dubai 6%

Dev.Properties in Abu Dhabi 37%

Land in Abu Dhabi 28%

Dec'12

415

227

FY'12

TOTAL ASSETS (AED BN)

(AED MN)

Properties Generating Rental Income 25%

Dec'13 (1)

30/35

Investment properties totaled AED 8.0Bn as of Dec’13

FGB INVESTOR PRESENTATION – FEBRUARY 2014

DIVIDEND HISTORY 2009

2010

2011

2012

2013 PROPOSED

NET PROFIT (AED MN)

3,310

3,420

3,707

4,154

4,774

CASH DIVIDEND (%

OF CAPITAL)

50%

60%

100%

83%

100%

BONUS SHARES (%

OF CAPITAL)

-

-

100%

-

30%

-

5%

-

-

-

DIVIDEND PAYOUT RATIO (% OF NET PROFIT)

20%

26%

40%

60%

63%

CASH DIVIDEND DISTRIBUTED (AED MN)

677

900

1,500

2,500

3,000

BASEL II CAPITAL ADEQUACY AFTER DISTRIBUTION (INCLUDING MOF TIER 2 LOAN)

22%

23%

21%

21%

18%

BASEL II CAPITAL ADEQUACY AFTER DISTRIBUTION (EXCLUDING MOF TIER 2 LOAN)

19%

20%

18%

19%

18%

OTHER DISTRIBUTION SHARES BOUGHT BACK (% OF CAPITAL)

31/35

FGB INVESTOR PRESENTATION – FEBRUARY 2014

DELIVERY

ON

FY’13 GUIDANCE FY’13 GUIDANCE

FY’13 RESULTS

LOAN GROWTH

>12%

11%

L/D RATIO

~100%

92%

REVENUE GROWTH

Low Double-Digit

16%

NIMS

3.5%-3.7%

3.7%

ASSET QUALITY

NPL Ratio 3.5%-4.0% Prov. Coverage >80%

NPL Ratio 3.3% Prov. Coverage 91%

COST/INCOME RATIO

20%-22%

21%

NET PROFIT GROWTH

Low Double-Digit

15%

32/35

FGB INVESTOR PRESENTATION – FEBRUARY 2014

2014 OUTLOOK MACRO

GROWTH

NIMS

ASSET QUALITY

PROFITABILITY

Positive medium-term economic outlook underpinned by increased government spending and a strengthening non-oil economy

Low double-digit balance sheet and revenues growth

Expected pressure anticipated (~20bps YoY)

NPL ratio 3.0%-3.5% Provision Coverage >90%

Medium Term RoAE target of 18%

33/35

FGB INVESTOR PRESENTATION – FEBRUARY 2014

FGB AWARDS

IN

2013

UAE Bank of The Year 2013

Best Local Bank in the UAE

Best Bank in the UAE Best Bancassurance in the UAE 3rd Most Powerful Company in the UAE 6th Leading Bank in Top 500 in the Arab World List

34/35

FGB INVESTOR PRESENTATION – FEBRUARY 2014

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+971 2 69 20 690

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