21st ANNIVERSARY MEDIA PRESENTATION

Park Hyatt Hotel23rd April 2013

2INTRODUCTION

■ A celebration on receiving a key

■ Recollection of achievements over the past 21 years

■ Not looking at current on-going issues

■ Invitation to stakeholders who have assisted us and worked with us

■ Media a critical partner

3HISTORY OF THE ORGANISATION

■ 1992: Council of South African Banks (COSAB)

■ Association of Mortgage Lenders

■ Merchant Bankers Association

■ Clearing Bankers Association

■ Association of General Banks

■ March 1998: Bob Tucker appointed CEO and Banking Council of SA established, as an executive-driven organisation.

■ 7 March 2005: Name changed to The Banking Association South Africa (BASA) and Cas Coovadia appointed Managing Director.

4ACHIEVEMENTS

■ October 1994: Critical player in development of National Housing Accord under leadership of Minister Slovo, and signatory to accord.

■ 1995: Record of Understanding, which marked beginning of bank finance, at scale, of affordable housing.

■ 1995: After signing of Accord partnered government in establishment of Servcon, to manage mortgage holders in default in low-income market.

■ 1996: Facilitated participation of banking sector in formation of Business Against Crime (BAC), through National Business Initiative (NBI).

5ACHIEVEMENTS (1)

■ 1998: Established the SADC Banking Association (SADCBA), and continue to be the Secretariat:

■ 2002: partnered Canadian International Development Agency (CIDA) to implement Public Private Partnership (PPP) Capacity Building Project in 6 SADC countries.

■ 2006: Developed on-line PPP training programme, accredited by Institute of Public Private Partnerships inc. – in UK Programme still running.

■ 10th November 2008:SADCBA awarded “PPP Champion of the Year” award by African Infrastructure.

■ Managing development and implementation of integrated payments and settlements system for SADC, under auspices of SADC CCBG, to be piloted in May 2013.

6ACHIEVEMENTS – (2)■ 1998: Finalisation of the new Code for Banking Practice,

used by the Ombuds to oversee bank interaction with customers, under new independent Ombuds structure.

■ May 2000: Established Office of Banking Ombuds, as an independent voluntary Ombuds, chaired by Advocate John Myburgh. Prior to this, Charl Cilliers was an Ombuds from 1997, appointed by BASA.

■ 2002: Established SABRIC, as separate company to deal with initiatives to combat bank-related crime. This activity was undertaken through a department of the Banking Council before this.

■ March 2002: Instrumental in establishment of FinMark Trust, as a separate and independent entity. This initiative was located in the Banking Council prior to this, as a partnership between the Banking Council and DFID (UK).

7ACHIEVEMENTS – (3)

■ August 2002: Volunteered Financial Sector Charter at end of NEDLAC Financial Sector Summit. Charter implemented from 2003-2008 as voluntary instrument. Finally gazetted as a sector code on 26 November 2012.

■ March 2007: Facilitated and signed Code of Conduct on Credit Extension, now incorporated into Code for Banking Practice.

■ 1 January 2008: Implementation of BASEL II. BASA worked extensively with SARB to enable regulatory process to achieve this.

■ April 2008: Prime mover behind establishment of National Debt Mediation Association (NDMA), to provide debt mediation services in terms of the Credit Industry Code of Conduct to Combat Over-Indebtedness.

8

■ 2008: Launched Teach Children to Save SA (TCTSA) in partnership with American Banker’s Association, Citi Bank and Operation Hope. Completed 5th year in 2012 and has reached over 500 000 school children. Also adopted by SADCBA.

■ 2008: Evidence before Jali Commission, with a good outcome for efficiency and competitiveness of industry.

■ January 2009: First sector to sign an Accord with SARS to manage relationship between sector and SARS and ensure ethical tax practice and efficient servicing by SARS.

■ October 2009: Hosted with United Nations Environment Program (UNEP), its Sustainable Finance Initiative Global Roundtable in Cape Town. First time hosted on African continent.

ACHIEVEMENTS – (4)

9

■ March 2010: Agreed Code for Social and Environmental Risk Management to guide bank practice.

■ 1 January 2011: Signed Credit Industry Code to Combat Over-Indebtedness to guide conduct in credit extension.

■ 16 April 2012: Launched first edition of Banker magazine. Now in its fifth edition.

■ September 2012: Hosted Inaugural Financial Inclusion Indaba.

■ October 2012: Signed agreement with National Treasury to address inefficiencies and bad practice in unsecured credit environment.

ACHIEVEMENTS – (5)

10ACHIEVEMENTS – (6)■ BASA only African Banking Association to be a member

of International Banking Federation (IBFed).

■ BASA only African Banking Association to contribute to the International Institute of Bankers Global Survey of Regulatory and Market Developments.

■ BASA has lead engagement on behalf of sector, on critical legislative and regulatory issues, including:

■ National Credit Act

■ Companies act

■ Consumer Protection Act

■ Home Loans Mortgage Disclosure Act

■ Various matters in Human Settlements

■ Various matters in Sustainability and Energy areas

11OTHER MATTERS and the FUTURE

■ BASA achievements on back of sterling rating of SA banking sector in Global Competitive Report:

■ Ranked 2nd for soundness of banks

■ Banking sector role in broader socio-economic growth strategy of country:

■ National Development Plan (NDP)

■ Transformation in sector

■ Role of sector in broader economic transformation

12OTHER MATTERS and the FUTURE (1)

■ Banks on African continent:

■ Barclays Africa Retail and Business banking (incl. ABSA) pre-tax profit of £330 million of total group £5,9 billion (3rdQ to end of September 2012).

■ FirstRand offer to buy 75% of Merchant Bank Ghana for R746 million.

■ Nedbank loan of $285 million to Eco Bank, with option to take 20% stake.

■ Standard: R844 million of total headline earnings of R7,4 billion from rest of Africa (y/e June 2012).

■ Implementation of SADC payments and clearing system and implications

13CONCLUSION■ Positioned as credible organisation ■ Taken seriously by all relevant stakeholders■ Has confidence of members■ Will continue to be relevant to members and in role of sector in

issues of national interest■ Thank you to all stakeholders, particularly:

■ SARB, and in particular office of Registrar of Banks and National Payments Systems Division (NPSD)

■ National Treasury and Minister of Finance■ Parliamentary portfolio committees, particularly DTI and Finance■ JSE■ FSB■ Other regulators■ Relevant government departments and ministries■ Fellow trade associations■ Our members■ Our staff