PASHA_BANK ANNUAL REPORT 2021

(Amounts are expressed in thousands of Turkish Lira (“TL”) unless otherwise stated.) (Convenience Translation of Publicly Announced Financial Statements Originally Issued in Turkish, See Note I of Section Three) PASHA Yatırım Bank A.Ş. Notes to Unconsolidated Financial Statements At 31 December 2021 General Information Remarks on Financial Information and Risk Management Information on Management and Corporate Governance Practices INFORMATION RELATED TO UNCONSOLIDATED FINANCIAL POSITION AND RISK MANAGEMENT (Continued) Current Period Exposures unsecured: carrying amount (According to TAS) Exposures secured by collateral Exposures secured by collateral, of which: secured amount Exposures secured by financial guarantees Exposures secured by financial guarantees, of which: secured amount Exposures secured by credit derivatives Exposures secured by credit derivatives, of which: secured amount 1 Loans and lease receivables 2,009,604 341,915 187,800 135,740 41,398 - - 2 Debt securities 427,941 - - - - - - 3 Total 2,437,545 341,915 187,800 135,740 41,398 - - 4 Defaulted items 45,824 - - - - - - Prior Period Exposures unsecured: carrying amount (According to TAS) Exposures secured by collateral Exposures secured by collateral, of which: secured amount Exposures secured by financial guarantees Exposures secured by financial guarantees, of which: secured amount Exposures secured by credit derivatives Exposures secured by credit derivatives, of which: secured amount 1 Loans and lease receivables 1,342,576 108,169 61,085 13,351 9,194 - - 2 Debt securities 152,810 - - - - - - 3 Total 1,495,386 108,169 61,085 13,351 9,194 - - 4 Defaulted items 36,077 - - - - - - d.5) Qualitative explanations using the rating grades to calculate the banks’ credit risk by standard approach In determining the risk weights regarding risk classes defined in Article 6 of “Regulation on Measurement and Assessment of Capital Adequacy of Banks”, country risk classification published by OECD (Organisation for Economic Cooperation and Development) is taken into account. According to capital adequacy regulations, the risk classification and risk weights of receivables from banks and intermediary institutions and receivables from corporates are determined in accordance with the regulations.