General Market Information

General Market Information 2009 2010 2011 2012 2013 (31 october) USD/AZN exchange rate 0.8032 0.7980 0.7868 0.7849 0.7843 AZN inflation rate 1.5% 5.7% 7.9% 1.1% 2.3% GDP growth 9.3% 4.8% 1.0% 2.2% 5.2% All numbers in the report are prepared according to Azerbaijan accounting standards in AZN 000, unless indicated otherwise Sources: Central Bank of Azerbaijan, World Bank

Mission and Values of Rabitabank Тo be a client-oriented bank providing straightforward and comfortable banking products and quality services to micro, small and medium size companies and professionals Rabitabank values: Responsibility Transparency Teamwork Determination Efficiency

Our Vision To become a leading bank working with MSMEs and their owners/employees in Azerbaijan in terms of profitability as well as operations volume through excellent execution of strategy and selective mergers and acquisitions. To gradually sharpen strategic focus towards full concentration on MSMEs and synergistic retail banking. During the transition, take advantage of profitable and short-term opportunities in segments of retail banking and lucrative non-credit relations with selected corporates where the bank may have competitive edge.

Strategy and Financial Plan

Strategy Who? Micro, Small and Medium-size Enterprises in Baku, regional cities and rural areas. Selected retail segments: a) pawn-shop loans b) owners, employees and families/associates of client MSME companies c) individuals with stable incomes (government or private sector employees) in the areas where the bank can: have relatively high interest and non-interest income, measure risks, achieve time and cost-efficiency and avoid significant capital expenditure; and thereby achieve high customer-profitability Selected larger companies and affluent individuals where the management and/or the bank s shareholders have special relationships which enable: cost and time-efficient (i.e. not much management time, or distraction of key employees from core business is required for this) and profitable sales, measured and low risk, no capital expenditure and where such operations short-term and easy to discontinue.

Financial plan 2013-2017 Growth of annual net profit from AZN 150 thousand to 15.3 million Increase return on average equity from 0.8% to 20.1% Growth of loans - 3.4x, average growth 25-35% per annum Growth of deposits - 3.7x, average growth 18-42% per annum Growth of assets from AZN 150 million to over AZN 500 million Growth of capital from AZN 32 million to over AZN 100 million Cost to Income ratio to improve from 91% to 47%. Loans to Deposits ratio to decrease from 116% to 106%. Capital adequacy to be within 20% - 19% range by 2017

Financial plan 2013-2017 Balance sheet items 9 month 2013 Actual Plan 2013 31.12.2014 31.12.2015 31.12.2016 31.12.2017 % TA ASSETS Cash and cash equivalents 29 701 14 686 32 510 42 426 54 963 72 936 14% Loans to clients growth % 42% 35% 28% 25% 25% 25% Loans to customers 146 634 136 916 175 645 220 694 276 579 345 724 68% Other assets 22 564 27 931 27 697 35 388 42 242 46 976 11% Total assets 262 598 190 177 253 649 318 639 403 288 505 675 100% LIABILITIES Client deposits 184 255 104 154 147 772 192 847 249 830 327 066 65% International borrowings 4 793 7 325 12 348 20 148 31 148 40 148 2% Total liabilities 210 753 132 877 187 969 242 443 314 273 399 912 79% Shareholders equity 51 845 57 300 65 680 76 195 89 015 105 763 21% Total liabilities and Sh. equity 262 598 190 177 253 649 318 639 403 288 505 675 100% Income Statement 9 month 2013 Actual 2013 2014 2015 2016 2017 % TI Net interest income 8 635 11 065 17 503 22 708 27 147 34 295 87% Net non-interest income 3 941 2 929 4 095 3 754 4 550 5 333 13% Total income 12 576 13 994 21 599 26 462 31 698 39 628 100% Administrative expenses 7 482 10 145 12 174 14 000 16 100 18 515 47% Profit before provisions 5 094 3 849 9 425 12 462 15 598 21 113 53% Loan loss provisions 3 299 1 548 1 087 455 995 1955 5% Profit before tax 1 795 2 301 8 338 12 007 14 602 19 157 48% Net income 1 436 1 841 6 670 9 606 11 682 15 326 39% Key ratios 9 month 2013 Actual Plan 2013 31.12.2014 31.12.2015 31.12.2016 31.12.2017 Net interest margin 7,40% 5,70% 7,20% 8,80% 8,60% 8,80% Cost / income ratio 60% 72% 56% 53% 51% 47% Return on assets 1,20% 1,30% 3,80% 4,20% 4,00% 4,20% Return on equity 5,40% 5,60% 14,80% 18,20% 18,80% 20,70% Provisions / loans 4,80% -3,70% 3,50% 3,00% 2,80% 2,80% Loans / deposits 80% 131% 119% 114% 111% 106% Capital adequacy 24,20% 27,10% 23,30% 21,50% 19,90% 18,80%

Supervisory Board Zakir Nuriyev Chairman of the Supervisory Board Zakir Nuriyev has been Chairman of the Supervisory Board since 1998. Prior to this, he served as the Chairman of Rabibank s management board from its inception in 1993 to 1998. Mr Nuriyev chaired Azerbaijan Banks Association in 1996-2006. Prior to starting banking career, from 1981 to 1993, he has held various managerial roles in the Ministry of Communications. Kamal Madatov member of the Supervisory Board Kamal Madatov is one of the founders of Rabitabank. He is a serial entrepreneur, primarily in the telecoms sector. Mr Madadov has been CEO of Bakcell, a leading mobile operator. Currently his is Director of Foris telecoms company. Farhad Jafarov - Member of the Supervisory Board Finance Director at Az Eurotel LLC, a leading company in telecoms sector.

Management Board Nikoloz Shurgaia - Chairman of the Management Board Nikoloz has 19 years experience in banking sectors of Georgia, Belarus, Russia and United Kingdom. He is a Non-executive Director of Eurotorg Invest Bank (Belarus). Previously, Nikoloz served as the Deputy CEO of Bank of Georgia, where he was responsible for the bank s international subsidiaries and chaired Belarusky Narodny Bank. Also, he has served as independent board director at Caspian Financial Group (Kazakhstan). Earlier in his career, Nikoloz served as CEO of VTB Bank (Georgia), held senior executive roles at United Georgian Bank, was Assistant VP at ABN Amro Bank (Moscow) and Principal Banker in the EBRD s Financial Institutions team (London). Nikoloz has MBA degree from London Business School and MSc from Tbilisi State University.

Management Board Elchin Gadimov Deputy Chairman, Retail Banking Elchin Gadimov joined the Rabitabank in 2006. Previously he served as Deputy Chairman of the Management Board at Atabank. Prior to this, Elchin has worked in various positions at International Bank of Azerbaijan and Capital Bank. Elchin Gadimov has obtained Bachelor s and Master s degrees from Accounting and Audit Faculty of Azerbaijan State Economic University. He has MBA degree from the University of South Alabama (USA). Farhad Hajinski Deputy Chairman, Corporate and MSME banking Farhad Hajinski has joined Rabitabank in December 2012. Previously he was Investments Director at Caspian International Investment Company. Earlier in his career Farhad has held executive and professional positions at Bank Respublica, FINCA International and Germa-Azerbaijan Fund. Farhad Hajinski has graduated from Azerbaijan Medical University. He is candidate for MBA degree in Manchester Business School (United Kingdom).

Management Board Turan Ismayilov Deputy Chairman, Risk Management Turan Ismayilov has joined Rabitabank in 2007. Prior to this Turan was Deputy CEO at Parabank and Advisor at German Azerbaijani Fund (GAF). Turan has graduated from Finance Faculty at Khazar University and studied at Lawrence College, Technical University of Texas (USA). Eldar Aghayev Deputy Chairman, Operations and Asset Recovery Eldar Aghayev has been working at Rabitabank since 1994. Prior to joining the bank, Eldar was Deputy CEO at Azinvestbank. Eldar has graduated from Finance and Credit Faculty of Azerbaijan State Economic University.

2013 Financial Results

Balance Sheet Indicators Account name Fact 31 Oct. 2013 Fact 31 Dec. 2012 Growth % Plan 31 Dec. 2013 Structure Cash and cash equivalents 44 947 13 213 240,20% 29 858 12,0% Investments and loans to banks 47 853 20 662 131,60% 58 433 23,5% Loans to clients (net) 151 143 103 748 45,80% 137 486 55,2% Fixed assets 7 295 7 329-0,50% 7 306 2,9% Other assets 13 160 11 716 11,10% 15 933 6,4% Total Assets 264 398 156 668 69% 249 016 100% Loans from banks 20 244 24 459-17,20% 19 825 8,0% Client deposits 186 104 89 393 108,20% 155 911 62,6% Current deposits 88 670 18 394 382,10% 60 354 24,2% deposits of individuals 24 470 9 557 156,00% 25 744 10,3% deposits of companies 64 199 8 837 626,50% 34 610 13,9% Term deposits 97 434 70 999 37,20% 95 557 38,4% deposits of individuals 80 605 64 526 24,90% 83 024 33,3% deposits of companies 16 829 6 473 160,00% 12 533 5,0% Other liabilities 5 682 8 893-36,10% 6 506 2,6% Total Liabilities 212 030 122 745 72,70% 182 241 73,2% Shareholders' equity 52 369 33 923 54,40% 66 775 26,8% Total Liabilities & Equity 264 398 156 668 69% 249 016 100% Note:All numbers in AZN' 000 and in Azerbaijan accounting standards

Income Expenditure Fact Fact Fact Growth Plan Jan-Oct % Jan-Oct 2013 2013 Jan-Oct 2012 Full 2013 Structur e % Interest income 18 528 12 980 43% 22 526 140% Interest expenses 8 451 7 930 7% 10 661 66% Net interest income 10 077 5 050 100% 11 865 74% Non-interest income 5 349 2 501 114% 5 291 33% Non-interest expenses 915 693 32% 1 053 7% Net non-interest income 4 434 1 807 145% 4 238 26% Total income 14 511 6 857 112% 16 103 100% Operating expenses 8 529 6 036 41% 10 319 64% Profit bef. provisions and FX gain/loss 5 983 821 629% 5 784 36% Net gain/loss on FX position 9 18-50% -80 0% Loan loss provisions 3 789 489 675% 2 576 16% Profit before tax 2 202 350 529% 3 128 19% Tax 440 70 529% 626 4% Net profit 1 762 280 529% 2 502 16%