CONFIDENTIAL AND PROPRIETARY :

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Investor PresentationH1 2020

Disclaimer

1

This document is provided to you upon request, the addressee only and is provided on a confidential basis by Emirates Islamic Bank PJSC (“Emirates Islamic Bank” or “Bank”) and solely for your informationand may not be reproduced, disclosed or distributed to third parties.

This document does not constitute an agreement or contract between you and Emirates Islamic Bank and must be read in conjunction with the applicable terms and conditions and agreement for services.

Past performance is not an indication of future performance or returns and there may be a risk that some or all of your original investment could be lost subject to the extent of any Sharia compliant capitalprotection contained within the terms and conditions of the relevant investment. Accordingly no representation or warranty is made that any performance or return indicated above will be achieved in thefuture.

The information in this document including any expression of opinion has been obtained from or is based upon sources believed to be reliable, fair and not misleading. The information herein may be subjectto more complete disclosures contained in the respective full term sheet, prospectus, supplements, financials, subscription forms, redemption forms and related documents which are available on request, andwhich should be reviewed carefully before any investment decision is made.

Before entering into any transaction, you should ensure that you fully understand the potential risks and rewards of that transaction and should determine independently whether that transaction is appropriategiven your investment objectives, experience, financial and operational resources, and other relevant circumstances. You may consider consulting an advisor as you deem necessary to assist in making yourinvestment decision.

There may be information in this document that is based on data provided by third party sources believed to be reliable, however, neither Emirates Islamic Bank nor any of its directors, officers, employees,agents, affiliates, subsidiaries or holding company, make any representations or warranties, expressed or implied, as to the accuracy or completeness of information contained herein and thus assume noresponsibility for it. The content may be subject to further revision, verification and updating, by the relevant sources, and Emirates Islamic Bank undertakes no responsibility thereof. Any forward lookingstatements (i.e. statements that relate to future, not past, events) included in this material are purely illustrative and do not represent the views of any entity within Emirates Islamic Bank.

Unless set out specifically, this document does not take account of any tax effect caused by investing into any of the investments described herein. If the tax effect is taken into account it is based on theBank’s understanding of the tax laws and regulations at the time this document was written, both such laws and the Bank’s understanding may change at any time therefore you should take independent taxadvice.

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For contact information, please visit www.emiratesislamic.ae

Emirates Islamic Profile

Operating Environment

Financial and Operating Performance

Divisional Performance

Table of Content

EI, a young growing Islamic Bank

3

99.9% owned by Emirates NBD

Group and indirectly owned by the

Government of Dubai (via ICD)

Ownership

Deeply rooted in our values as a Sharia-compliant financial institution

guided by our Service Promise guideline: Transparency, Fairness,

Empathy, Reliability & Accessibility

Sharia Compliant

Full-fledge, Sharia-compliant

financial services offerings across

all segments

Diversified Offering

3rd Largest Islamic Bank in UAE

(by asset size and branch network)

with total balance sheet size of

AED 64.2 B

Size

Ranked 5th in the Brand Index

2019 Survey amongst all UAE

Financial Institutions

Brand Value

One of the fastest growing bank

in UAE – growing ~3 times in

Revenue in the last 7 years

Growth Oriented

EI is strategically positioned across UAE to support its clients. Strong credit rating since 2015

4

Branches

Abu Dhabi

Dubai

Ajman

Sharjah

Ras al Khaimah

Fujairah

Umm al Quwain

Branches ATM / CDM

Dubai 22 116

Abu Dhabi 6 22

Sharjah 7 23

Other Emirates 3 18

Total 38 179

ATM / CDM

6 22

22 116

1 8

0 3

1 5

1 2

7 23

Optimised Branch and Alternative Channel Footprint across UAE

Superior Long Term and

Short Term Credit Rating

affirmed by Fitch since

2015

As at May 2020 (Affirmed)

Long Term Short Term Outlook

A+ F1 Stable

EI, leads in profitability growth and is one of the fastest growing banks in UAE

5

Net Profit, 2019, AED M

5,103

2,601

1,061

546

84

Total Income, 2019, AED M

CAGR %,

FY’14 over FY’19

13%

8%

24%

8%

3%

13%

5%

6%

3%

12%

9,082

5,915

2,670

1,157

636

EI is the 3rd largest Islamic bank in UAE, and maintains a healthy financing to deposit ratio

6

Total Assets, 2019, AED B

232

126

65

46

24

13%

2%

9%

12%

16%

Total Deposits, 2019, AED B

164

101

45

27

15

12%

4%

8%

13%

12%

Total Financing, 2019, AED B

15%

2%

8%

12%

15%

151

81

37

25

17

CAGR %,

FY’14 over FY’19

Profit and balance sheet growth in recent years

7

Revenues and Costs (AED M) Profits (AED M)

Assets and Financing (AED B) Customer Accounts and Equity (AED B)

918

1,269

1,032

1,3351,213

1,140

2014

2,495

1,220

2015

1,226

2016

1,207

1,185 1,217

2017

1,246

2018

1,335

2019 H1-20

1,949

2,432 2,392 2,4632,670

+6%

H2

H1

378 448584 489 569 544

416534

507521

584 582

20192015 20162014 2017 2018

1,127

H1-20

794

9821,091

1,0101,153

538

+7%

Revenues Costs

540772 642 697 648 791

615

679762 686 662

753

20172016

1,383

H1-202014 2015 20192018

1,156

1,451 1,4041,310

603

1,544

+6%

H2

H1

226447 387

485673138

194 315

2015

12

439

20162014

-32

641

137

2017 H1-202018

388

2019

364

106

702

924

1,061+24%

Pre - Provision Operating Profits Net Profit

Notes:

1. Equity is Tangible Shareholder’s Equity; All Balance Sheet numbers are at end of period

2. Source: Financial Statements

43

5359 62 58

65 64

2014 2015 20182016 2017 H1-202019

+7%

26

3436

3436 37

40

20172014 2015 20192016 2018 H1-20

+8%

Assets Financing Receivables

31

39 41 42 4245 45

H1-2020182014 2015 2016 2017 2019

+6%

5 5

77 7

8 8

20172016 20182014 2015 2019 H1-20

+9%

Customer Accounts Equity

H1 2020 H1 2019Better /

(Worse)H2 2019

Better /

(Worse)

Net Funded Income 887 911 -3% 970 -9%

Non Funded Income 253 424 -40% 366 -31%

Total Income 1,140 1,335 -15% 1,335 -15%

Operating Expenses (538) (544) 1% (582) 8%

Pre-impairment Operating Profit 603 791 -24% 753 -20%

Impairment Allowances (591) (118) -400% (365) -62%

Net Profit for the Period 12 673 -98% 388 -97%

Cost Income ratio (%) 47.2% 40.7% - 43.6% -

Net Funded Income Margin (%) 2.9% 3.2% - 3.2% -

AED Billion 30-Jun-20 30-Jun-19 % 31-Dec-19 %

Total Assets 64.2 61.1 5.0% 64.8 -0.9%

Financing & Investing Receivables,

net40.4 36.6 10.3% 37.5 7.6%

Customers' Accounts 45.0 43.8 2.8% 45.3 -0.6%

Headline Ratio (%) 90% 83% - 83% -

NPF Ratio (%) 8.2% 8.6% - 7.6% -

H1 – 2020 financial results highlights

8

• Net Profit at AED 12 M. The drop is largely attributable to prudent

actions taken by the Bank to create higher impairment on its

financing and investment book to cater to the future impact of

Covid-19

• Net Funded Income declined 3% compared to same period last

year mainly due to reduction in Net Funded Income Margin by 25

Bps partially offset by higher asset base

• Non Funded Income declined 40% compared to same period last

year mainly due to revaluation loss on unquoted securities and

slowdown in economy on account of COVID-19

• Total Cost lower by 1% compared to same period last year

• Net Impairments increased 400% primarily due to higher provisions

on account of COVID-19

• Financing & Investing Receivables at AED 40.4 B, increased 8%

compared to end of 2019

• Total Assets declined 1% compared to end of 2019

Highlights Key Performance Indicators, AED M

Q2-20 Q2-19Better /

(Worse) Q1-20

Better /

(Worse)

Net Funded Income 419 468 -11% 468 -11%

Non Funded Income 80 204 -61% 173 -54%

Total Income 499 672 -26% 641 -22%

Operating Expenses (258) (274) 6% (280) 8%

Pre-impairment Operating Profit 241 398 -39% 361 -33%

Impairment Allowances (384) (136) -183% (206) -86%

Net Profit for the Period (143) 262 -155% 155 -192%

Cost Income ratio (%) 51.7% 40.8% - 43.6% -

Net Funded Income Margin (%) 2.7% 3.2% - 3.0% -

AED Billion 30-Jun-20 30-Jun-19 % 31-Mar-20 %

Total Assets 64.2 61.1 5.0% 62.9 2.1%

Financing & Investing Receivables,

net40.4 36.6 10.3% 39.0 3.4%

Customers' Accounts 45.0 43.8 2.8% 44.8 0.6%

Headline Ratio (%) 90% 83% - 87% -

NPF Ratio (%) 8.2% 8.6% - 7.3% -

Q2 – 2020 financial results highlights

9

• Net Loss at AED 143 M. The drop is largely attributable to prudent

actions taken by the Bank to create higher impairment on its

financing and investment book to cater to the future impact of

Covid-19

• Net Funded Income declined 11% compared to same period last

year mainly due to lower Net Funded Income Margin by 43 bps

partially offset by higher asset base

• Non-Funded Income declined 61% compared to same period last

year mainly due to revaluation loss on unquoted securities and

slowdown in economy on account of COVID-19

• Costs lower by 6% compared to same period last year

• Net Impairments of AED 384 M, increased significantly due to

higher provisions on account of COVID-19

• Financing Receivables at AED 40.4 B, increased 10% compared to

same period to last year

• Total Assets increased 5% compared to same period last year

mainly due to higher Customer Financing

Highlights Key Performance Indicators, AED M

Net Funded Income Margin

10

Net Funded Income Margin (%)

Net Profit Margin Drivers (%) (Q2-20 Vs Q1-20)

3.18 3.193.27

3.04

2.75

3.16 3.17 3.20

3.042.91

Q3-19 Q2-20Q2-19 Q4-19 Q1-20

Net Funded Income Margin

Net Funded Income Margin - YTD

3.04 0.16 2.75

TRY SpreadsQ1-20 Financing Spreads

Customer Accounts &

Sukuk Spreads

(0.12)

Q2-20

(0.33)

3.16 0.27 2.91

H1-19 Financing

Spreads

TRY SpreadsCustomer

Accounts &

Sukuk Spreads

H1-20

(0.33) (0.19)

Net Profit Margin Drivers (%) (H1-20 Vs H1-19)

Highlights

• Net Funded Income margin for H1-20 at 2.91%, reduced 25 bps compared to

same period last year

• Net Funded Income margin for Q2-20 at 2.75%, reduced 29 bps q-o-q

• The drop in Net Funded Income margin is mainly due to –

o Falling profit rates due to drop in EIBOR

o Profit suspension

Q2 20 Q2 19Better/

(Worse)Q1 20

Better/

(Worse)

Gross Fee Income 208 268 -23% 258 -20%

Fees & Commission Expense (56) (59) 5% (71) 21%

Core Fee Income 152 210 -28% 188 -19%

Property Related Income 1 2 -63% 1 -23%

Investment Securities & Other

Income / (Loss)(72) (8) -832% (16) -354%

Total Non Funded Income 80 204 -61% 173 -54%

Non Funded Income

11

Composition of Non Funded Income (AED M)

• Total Non Funded Income decreased 61% y-o-y and decreased 54% q-o-q

• Core Fee Income decreased 28% y-o-y on account of economic slowdown

• Loss from Investment securities is mainly on account of revaluation of principal investments

Trend in Gross Fee Income (AED M)

448563

7040 49

165172180

158 124

Q1-20

25

16

17

Q3 19

1517

Q2 19 Q4 19

13

-4 22

Q2-20

268310

238258

208

12

Fee income

Commission income Other income (net)

Foreign exchange income

Highlights

Operating Costs and Efficiency

12

Cost to Income ratio at 47.2% at the end of H1-20, increased 6.5% compared to same period last year as a result of:-

o Decrease in total income by 15%

Offset By

o Decrease in total cost by 1%

Cost to Income Ratio (%)

4034

59 5961

66 62

154 155167

150138

724

926

Q2-20

26

Q3-19

274

25

Q2-19

99

Q4-19

25

273

32

Q1-20

824

26

310280

258

Staff Cost

Recharges

Occupancy Cost

Depreciation

Other Cost

40.739.8

42.243.6

47.2

Q2-19 Q4-19Q3-19 Q1-20 Q2-20

Cost Composition (AED M)

Highlights

Credit Quality

13

Impaired Financing & Coverage Ratios (%)

• Non Performing Financing (NPF) ratio increased to 8.2% from 7.6% compared

to Dec-19

• Coverage ratio at 103.2% declined from 119.8% at Dec-19

• The Impairment allowance of AED 3.7 B includes AED 2.6 B (70%) of specific

provisions and AED 1.1 B (30%) of ECL provisions

• Expected Credit Loss (ECL) represents 2.8% of total Credit Risk Weighted

Assets (CRWA) at the end of Jun-20 (Dec-19 : 2.6%)

8.6 8.7 7.6 7.3 8.2

Q3-19Q2-19 Q1-20Q4-19 Q2-20

NPF Ratio %

115.4 114.8 119.8126.5

103.2

Coverage, incl, PIP

0.8 0.9 0.8 0.8 0.8

2.6 2.72.4 2.3 2.8

Q4-19Q2-19 Q1-20Q3-19 Q2-20

3.63.5 3.63.1 3.1

+14.5%

+2.8%

1.1 1.0 1.0 1.0 1.1

3.0 3.1 2.8 2.9 2.7

Q1-20Q2-19 Q2-20Q3-19 Q4-19

4.0 4.13.7 4.0 3.7

-5.6%

-7.1%

Corporate Retail

Highlights

Impaired Financing (AED B) Impairment Allowances (AED B)

Capital Adequacy

14

Capitalisation (AED B)

Capital Movements as per Basel III (AED M) Risk Weighted Assets – Basel II (AED B)

• CAR at the end of Q2-20 is at 20.0% decreased from 20.3% at the end of Q1-

20 mainly due to –

• Higher RWA on Customer Financing and Investments in Securities

• Decrease in Capital base on account of loss for the quarter

Offset By

• Lower RWA on Due from Banks & Customer Acceptances

• Tier I ratio at the end of Q2-20 is at 18.9% decreased from 19.2% at the end of

Q1-20

4.3 4.3 4.5 4.5 4.5

Q1-20

0.0

44.4 44.8

40.2

0.0 0.0

Q2-19

38.3

Q3-19

37.70.0

Q4-19

39.8 40.3

0.0

Q2-20

44.542.7 42.2

+0.1%

MARKET RISKCREDIT RISK OPERATIONAL RISK

7.9 8.2 8.3 8.5 8.5

17.8 19.3 19.5 19.218.9

18.9 20.4 20.7 20.3 20.0

0.5

Q4-19 Q2-20

0.5 0.5

Q2-19 Q3-19

0.5

Q1-20

0.5

8.4 8.7 8.7 9.0 9.0

TI TI%T2 CAR %

Highlights

Tier-1 Tier-2 Total

Capital as at 31 December 2019 8,255 471 8,727

Net Profits generated 12 - 12

ECL add-back 194 - 194

Other - 32 32

Capital as at 30 June 2020 8,461 504 8,965

Funding and Liquidity

15

Headline Ratio (%)

CASA to Deposit Ratio Composition of Liabilities / Sukuk Issued (AED B, %)

• Financing to Deposits ratio at 89.6% increased 6.8% compared to end of 2019

mainly due to growth in customer financing

• Long term funding (Sukuk) represent 7.2% of total borrowings

• The CASA to Total Customer Deposits ratio at the end of Jun’20 is at 69.4%

(Dec’19 – 62.6%)

83.2 82.8 82.787.1

89.6

79.4 77.7 78.283.0 84.5

Q2-19 Q3-19 Q4-19 Q2-20Q1-20

FD Ratio (%) - Headline

FD Ratio (%) - Reg.

45.0

(84.5%)

4.6

(8.6%)

3.7

(6.9%)

Customer Accounts

EI Sukuk

Due to Banks

64.462.7 62.6

66.2

69.4

Q4-19Q2-19 Q1-20Q3-19 Q2-20

Highlights

• Financing receivables increased 10% y-o-y and increased 8% from end2019

• Consumer Banking financing receivable increased 5% y-o-y andremained flat from end 2019

• Wholesale Banking financing receivables increased 20% y-o-yand increased 22% from end 2019

• Customer accounts increased 3% y-o-y and remained flat from end2019

• CASA increased 11% y-o-y and increased 10% from end 2019

• ITD decreased 6% y-o-y and decreased 9% from end 2019

• Wakala decreased 13% y-o-y and decreased 21% from end2019

Financing and customer accounts trends

16

Trend in Customer Accounts by Type (AED B)

Trend in Net Financing by Type (AED B)

14.4 14.0

21.9 22.1

14.0 13.8 13.9 13.6 14.9 16.6

22.3 22.7 23.3 23.7 24.0 23.7

Q4-18 Q2-19

0.00.0 0.10.1

Q3-18 Q1-19

0.1

Q3-19

0.1

Q4-19

0.1

Q1-20

0.0

37.4

Q2-20

40.436.236.3 36.4 36.6 37.5 39.0

+10.3% +7.6%

Consumer Banking Wholesale Banking Others

10.5 11.4 11.8 12.9 14.1 14.2 12.5 11.3

28.7 27.4 28.9 28.2 28.3 28.4 29.7 31.2

3.1

43.4

Q3-18

2.8

Q1-19Q4-18 Q2-19

2.7 2.7 2.8

Q3-19

2.8

Q4-19 Q1-20

2.6 2.5

Q2-20

43.8 45.342.4 41.6

45.2 44.8 45.0

+2.8% -0.6%

CASA ITD Wakala

* Financing is Net of Deferred Income and impairment provisions

Highlights

Total Gross Financing* (AED 44 B)

Financing composition

Wholesale

Banking

Financing

(AED 19 B)

Total Gross

Financing*

(AED 43 Bn)56%

44%

Consumer Banking

Wholesale Banking

Consumer

Financing

(AED 25 B)

34%

19%10%

6%

6%

15%

5%4%

Trade

Real Estate

Services

Manufacturing

Transport & Communication

Financial Institutions

Construction

Others**

41%

30%

10%

6%

13%

* Gross Financing net off deferred portion ** Others under Sector wise breakup includes Agriculture and Sovereign***Others include SME products held by retail customers

Credit Cards

Mortgage Finance

Personal Finance

Others***

Auto Financiang

17

Divisional performance

Note: All Balance Sheet numbers are at end of period

Wholesale Banking Consumer Banking

Balance Sheet Trends (AED B)

Revenue Trends (AED M)

• Financing receivable remained atsame level of Dec-19. Customerdeposits decreased 13% from endof 2019 mainly due to segmentalrealignment.

• Total Revenue decreased 10% y-o-y and 7% q-o-q.

• Funded Income increased y-o-ymainly due to higher financingpartially offset by lower profit rates.Funded Income decreased q-o-qbasis due to drop in profit rates.

• Non Funded Income decreasedboth y-o-y and q-o-q basis mainlydue to slowdown in economycaused by Covid-19.

• Financing receivable increased 22%

from end of 2019. Customer deposits

increased 97% from end of 2019

mainly due to segmental realignment.

• Total Revenue decreased by 11% y-o-y and 28% q-o-q.

• Funded Income decreased both y-o-yand q-o-q basis primarily due to dropin profit rates partially offset by higherfinancing.

• Non Funded Income decreased bothy-o-y and q-o-q basis mainly due toslowdown in economy caused byCovid-19.

Balance Sheet Trends (AED B)

Revenue Trends (AED M)

23.7 23.7

39.8 34.5

Dec-19 Jun-20

0%

-13%

Financing Receivable

Customer Deposits

169 143 114

321 330 326

Q1-20 Q2-20Q2-19

490 473 440

-10% -7%

FI NFI

13.6 16.6

5.4

10.7

Dec-19 Jun-20

+22%

+97%

Customer Deposits

Financing Receivable

34 42 25

7186

68

Q2-20Q2-19 Q1-20

105129

93

-11% -28%

FI NFI

18

For any enquiries please contact:

Huda Sabil

Chief Financial Officer

Tel: +971 4 383 4671

Email: Hudaab@emiratesislamic.ae

Investor Relations

PO Box 777

Emirates NBD Head Office, 4th Floor,

Dubai, UAE

Tel: +971 4 201 2606

Email: IR@emiratesnbd.com