iso4217:RON rbro:ronPerShare 549300RFKNCOX56F8591 2024-01-01 2024-12-31 549300RFKNCOX56F8591 2023-01-01 2023-12-31 549300RFKNCOX56F8591 2024-12-31 549300RFKNCOX56F8591 2023-12-31 549300RFKNCOX56F8591 2022-12-31 ifrs-full:IssuedCapitalMember 549300RFKNCOX56F8591 2022-12-31 ifrs-full:OtherEquityInterestMember 549300RFKNCOX56F8591 2022-12-31 ifrs-full:OtherReservesMember 549300RFKNCOX56F8591 2022-12-31 ifrs-full:RetainedEarningsMember 549300RFKNCOX56F8591 2022-12-31 ifrs-full:NoncontrollingInterestsMember 549300RFKNCOX56F8591 2022-12-31 549300RFKNCOX56F8591 2023-01-01 2023-12-31 ifrs-full:IssuedCapitalMember 549300RFKNCOX56F8591 2023-01-01 2023-12-31 ifrs-full:OtherEquityInterestMember 549300RFKNCOX56F8591 2023-01-01 2023-12-31 ifrs-full:OtherReservesMember 549300RFKNCOX56F8591 2023-01-01 2023-12-31 ifrs-full:RetainedEarningsMember 549300RFKNCOX56F8591 2023-01-01 2023-12-31 ifrs-full:NoncontrollingInterestsMember 549300RFKNCOX56F8591 2023-12-31 ifrs-full:IssuedCapitalMember 549300RFKNCOX56F8591 2023-12-31 ifrs-full:OtherEquityInterestMember 549300RFKNCOX56F8591 2023-12-31 ifrs-full:OtherReservesMember 549300RFKNCOX56F8591 2023-12-31 ifrs-full:RetainedEarningsMember 549300RFKNCOX56F8591 2023-12-31 ifrs-full:NoncontrollingInterestsMember 549300RFKNCOX56F8591 2024-01-01 2024-12-31 ifrs-full:IssuedCapitalMember 549300RFKNCOX56F8591 2024-01-01 2024-12-31 ifrs-full:OtherEquityInterestMember 549300RFKNCOX56F8591 2024-01-01 2024-12-31 ifrs-full:OtherReservesMember 549300RFKNCOX56F8591 2024-01-01 2024-12-31 ifrs-full:RetainedEarningsMember 549300RFKNCOX56F8591 2024-01-01 2024-12-31 ifrs-full:NoncontrollingInterestsMember 549300RFKNCOX56F8591 2024-12-31 ifrs-full:IssuedCapitalMember 549300RFKNCOX56F8591 2024-12-31 ifrs-full:OtherEquityInterestMember 549300RFKNCOX56F8591 2024-12-31 ifrs-full:OtherReservesMember 549300RFKNCOX56F8591 2024-12-31 ifrs-full:RetainedEarningsMember 549300RFKNCOX56F8591 2024-12-31 ifrs-full:NoncontrollingInterestsMember
RAIFFEISEN BANK S.A.
CONSOLIDATED AND SEPARATE FINANCIAL STATEMENTS
PREPARED IN ACCORDANCE WITH INTERNATIONAL FINANCIAL REPORTING STANDARDS AS
ENDORSED BY THE EUROPEAN UNION
31 DECEMBER 2024

RAIFFEISEN BANK S.A. |
CONSOLIDATED AND SEPARATE FINANCIAL STATEMENTS
Prepared in accordance with
International Financial Reporting Standards as endorsed by the European Union
31 December 2024

CONTENT

Statement regarding the responsibility for preparing the consolidated and separate financial statements |
Independent Auditor’s Report |
Consolidated and separate statement of comprehensive income | 1
Consolidated and separate statement of financial position | 2
Consolidated and separate statement of changes in equity | 3
Consolidated and separate statement of cash flows | 4
Notes to the consolidated and separate financial statements | 8

RAIFFEISEN BANK S.A. |
Statement regarding the responsibility
for preparing the consolidated and separate financial statements
31 December 2024

In accordance with article 10, paragraph 1 from republished accounting Law No. 82/1991, the responsibility for the accounting
organization and management belongs to the administrator, to the person authorized for credit release or to other person in
charge with administration of the entity.
Officially in charge as Vice President and Chief Financial Officer of Raiffeisen Bank S.A. - parent company, in accordance with
article 31 from republished accounting Law No. 82/1991, I assume the responsibility for preparing the consolidated and separate
financial statements as of 31 December 2024 and I confirm that:
a) accounting policies used for preparing the consolidated and separate financial statements as of 31 December 2024 are in
accordance with Order of the National Bank of Romania No. 27/2010 and related amendments, which require that these
consolidated and separate financial statements to be prepared in accordance with International Financial Reporting Standards as
endorsed by the European Union;
b) consolidated and separate financial statements prepared as of 31 December 2024 fairly reflect the financial position,
statement of comprehensive income, statement of changes in equity, statement of cash flow and the related notes for the
activity developed in accordance with Order of the National Bank of Romania No. 27/2010 and related amendments, which require
that these consolidated and separate financial statements to be prepared in accordance with International Financial Reporting
Standards as endorsed by the European Union.
Alina Rus
Vice President & Chief Financial Officer

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

1

RAIFFEISEN BANK S.A. |
Consolidated and separate statement of comprehensive income
for the year ended
31 December 2024

|  |  | Group |  | Bank
In RON thousand | Note |  | 2024 |  | 2023 |  | 2024 |  | 2023
Interest income according to effective interest method |  |  | 4,169,596 |  | 3,837,342 |  | 4,202,093 |  | 3,860,806
Interest income other |  |  | 505,033 |  | 270,367 |  | 398,911 |  | 190,400
Interest expense |  |  | (1,624,649) |  | (1,286,780) |  | (1,601,790) |  | (1,272,894)
Net interest income | 8 |  | 3,049,980 |  | 2,820,929 |  | 2,999,214 |  | 2,778,312
Fees and commissions income |  |  | 1,010,453 |  | 903,575 |  | 974,780 |  | 864,738
Fees and commissions expense |  |  | (338,110) |  | (301,325) |  | (337,240) |  | (296,965)
Net fee and commission income | 9 |  | 672,343 |  | 602,250 |  | 637,540 |  | 567,773
Net trading income | 10 |  | 363,712 |  | 377,550 |  | 360,588 |  | 378,690
Gains or (-) losses on non-trading financial assets mandatorily at fair value through profit or loss, net | 26 |  | (15,001) |  | 12,974 |  | (16,047) |  | 11,679
Net gains/(losses) on derecognition of financial assets measured at fair value through other comprehensive income | 22 |  | (33,540) |  | 576 |  | (33,540) |  | –
Gains or (-) losses from hedge accounting, net | 27 |  | 613 |  | 1,877 |  | 613 |  | 1,877
Other operating income | 11 |  | 62,548 |  | 64,540 |  | 70,283 |  | 91,636
Operating income |  |  | 4,100,655 |  | 3,880,696 |  | 4,018,651 |  | 3,829,967
Operating expenses | 12 |  | (1,099,902) |  | (980,581) |  | (1,078,163) |  | (954,614)
Personnel expenses | 13 |  | (925,006) |  | (846,873) |  | (887,114) |  | (813,440)
Impairment (losses)/reversals | 14 |  | (24,983) |  | 29,919 |  | (17,812) |  | 34,945
Share of gain from associates and joint ventures | 25 |  | 7,317 |  | 1,166 |  | – |  | –
Profit before income tax |  |  | 2,058,081 |  | 2,084,327 |  | 2,035,562 |  | 2,096,858
Income tax expense | 15, 16 |  | (372,036) |  | (383,560) |  | (365,184) |  | (377,368)
Net profit for the year |  |  | 1,686,045 |  | 1,700,767 |  | 1,670,378 |  | 1,719,490
Profit is attributable to: |  |  | 1,686,045 |  | 1,700,767 |  |  |  |
Profit attributable to parent |  |  | 1,686,043 |  | 1,700,766 |  |  |  |
Profit attributable to non-controlling interests |  |  | 2 |  | 1 |  |  |  |
Items that may be reclassified subsequently to profit or loss |  |  |  |  |  |  |  |  |
Net gains (losses) on financial assets at fair value through other comprehensive income |  |  | 37,863 |  | 172,121 |  | 37,890 |  | 171,959
Related tax for above position |  |  | (6,058) |  | (27,542) |  | (6,062) |  | (27,516)
Items that may not be reclassified subsequently to profit or loss |  |  |  |  |  |  |  |  |
Actuarial gains/losses on defined benefit pension plans |  |  | 310 |  | (4,585) |  | 310 |  | (4,585)
Fair value changes of the equity instruments at fair value through other comprehensive income |  |  | 45,014 |  | 17,492 |  | 45,014 |  | 17,492
Related tax for above positions |  |  | (7,252) |  | (2,048) |  | (7,251) |  | (2,048)
Other comprehensive income for the year, net of income tax |  |  | 69,877 |  | 155,438 |  | 69,901 |  | 155,302
Total comprehensive income for the year, net of income tax |  |  | 1,755,922 |  | 1,856,205 |  | 1,740,279 |  | 1,874,792
Total comprehensive income for the year, net of income tax is attributable to: |  |  | 1,755,922 |  | 1,856,205 |  |  |  |
Parent |  |  | 1,755,920 |  | 1,856,204 |  |  |  |
Non controlling interests |  |  | 2 |  | 1 |  |  |  |

The consolidated and separate statement of comprehensive income are to be read in conjunction with the notes forming part of
the consolidated and separate financial statements set out on following pages.
The consolidated and separate financial statements were approved by the Management Board on 18 March 2025 and were
signed on its behalf by:

Alina Rus | Monica Curea
Vice President & Chief Financial Officer | Accounting Director

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

2

RAIFFEISEN BANK S.A. |
Consolidated and separate statement of financial position
for the year ended
31 December 2024

|  |  | Group |  | Bank
In RON thousand | Note |  | 31 December 2024 |  | 31 December 2023 |  | 31 December 2024 |  | 31 December 2023
Assets |  |  |  |  |  |  |  |  |
Cash and cash with Central Bank | 17 |  | 14,050,036 |  | 13,867,449 |  | 13,990,283 |  | 13,802,815
Loans and advances to banks at amortised cost | 20 |  | 1,214,425 |  | 484,640 |  | 1,224,371 |  | 495,257
Derivative assets held for risk management | 19 |  | 9,428 |  | 18,185 |  | 9,428 |  | 18,185
Trading assets | 18 |  | 548,507 |  | 181,316 |  | 548,507 |  | 181,316
Financial assets mandatorily at fair value through profit or loss | 26 |  | 137,537 |  | 178,427 |  | 112,076 |  | 156,113
Investment securities at fair value through other comprehensive income | 22 |  | 2,161,631 |  | 2,725,206 |  | 2,161,631 |  | 2,704,878
Equity instruments at fair value through other comprehensive income | 23 |  | 135,593 |  | 90,579 |  | 135,593 |  | 90,579
Investment in subsidiaries, associates and joint ventures | 25 |  | 26,170 |  | 18,853 |  | 139,996 |  | 110,475
Loans and advances to customers at amortised cost | 21 |  | 48,972,274 |  | 41,813,234 |  | 48,282,284 |  | 41,259,437
Derivatives Asset– Hedge accounting | 27 |  | 52,135 |  | 37,793 |  | 52,135 |  | 37,793
Investment securities at amortised cost | 24 |  | 13,891,351 |  | 10,026,621 |  | 13,879,267 |  | 10,013,097
Income tax receivable | 15 |  | 67,754 |  | 49,462 |  | 67,754 |  | 49,462
Other assets | 28 |  | 635,540 |  | 349,478 |  | 560,974 |  | 311,555
Deferred tax assets | 29 |  | 27,049 |  | 52,504 |  | 26,583 |  | 52,155
Property, equipment and right-of-use assets | 30 |  | 420,006 |  | 436,738 |  | 415,426 |  | 431,424
Intangible assets | 31 |  | 528,599 |  | 447,362 |  | 524,713 |  | 443,117
Total assets |  |  | 82,878,035 |  | 70,777,847 |  | 82,131,021 |  | 70,157,658
Liabilities |  |  |  |  |  |  |  |  |
Trading liabilities | 18 |  | 244,165 |  | 9,440 |  | 244,165 |  | 9,440
Derivative liabilities held for risk management | 19 |  | – |  | 675 |  | – |  | 675
Deposits from banks | 32 |  | 551,980 |  | 494,928 |  | 551,980 |  | 494,928
Deposits from customers | 33 |  | 65,106,151 |  | 54,400,238 |  | 65,216,652 |  | 54,488,871
Loans from banks and other financial institutions | 34 |  | 776,846 |  | 488,558 |  | 156,334 |  | 1,745
Fair value changes of the hedged items-liability | 27 |  | 17,674 |  | 4,940 |  | 17,674 |  | 4,940
Derivatives – hedge accounting | 27 |  | 2,146 |  | 709 |  | 2,146 |  | 709
Current tax liabilities |  |  | 1,188 |  | 77,896 |  | – |  | 77,099
Other liabilities | 35 |  | 1,701,338 |  | 1,631,186 |  | 1,650,041 |  | 1,580,082
Debt securities issued | 34 |  | 5,072,705 |  | 5,555,004 |  | 5,072,705 |  | 5,555,004
Subordinated loans | 34 |  | 810,127 |  | 326,115 |  | 810,127 |  | 326,015
Provisions | 36 |  | 143,672 |  | 159,977 |  | 134,205 |  | 149,381
Deferred tax liabilities |  |  | – |  | 4 |  | – |  | –
Total liabilities |  |  | 74,427,992 |  | 63,149,670 |  | 73,856,029 |  | 62,688,889
Equity |  |  |  |  |  |  |  |  |
Share capital | 37 |  | 1,200,000 |  | 1,200,000 |  | 1,200,000 |  | 1,200,000
Other equity instruments | 38 |  | 609,298 |  | 609,298 |  | 609,298 |  | 609,298
Retained earnings |  |  | 6,388,971 |  | 5,638,654 |  | 6,216,166 |  | 5,479,844
Other reserves | 39 |  | 251,746 |  | 180,199 |  | 249,528 |  | 179,627
Total equity attributable to parent |  |  | 8,450,015 |  | 7,628,151 |  | 8,274,992 |  | 7,468,769
Non-controlling interests |  |  | 28 |  | 26 |  |  |  |
Total equity |  |  | 8,450,043 |  | 7,628,177 |  | 8,274,992 |  | 7,468,769
Total liabilities and equity |  |  | 82,878,035 |  | 70,777,847 |  | 82,131,021 |  | 70,157,658

The consolidated and separate statement of financial position is to be read in conjunction with the notes forming part of the
consolidated and separate financial statements set out on following pages.
The consolidated and separate financial statements were approved by the Management Board on 18 March 2025 and were
signed on its behalf by:

Alina Rus | Monica Curea
Vice President & Chief Financial Officer | Accounting Director

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

3

RAIFFEISEN BANK S.A. |
Consolidated and separate statement of changes in equity
for the year ended
31 December 2024

Group |  |  |  |  |  |  |  |  |  |  |  |  |
In RON thousand | Note |  | Share capital |  | Other equity instruments |  | Other reserves |  | Retained earnings |  | Non controlling interests |  | Total
Balance at 1 January 2023 |  |  | 1,200,000 |  | 609,440 |  | 24,761 |  | 4,619,746 |  | 25 |  | 6,453,972
Net profit for the year |  |  | – |  | – |  | – |  | 1,700,766 |  | 1 |  | 1,700,767
Other comprehensive income, net of income tax |  |  | – |  | – |  | 155,438 |  | – |  | – |  | 155,438
Total comprehensive income for the period, net of income tax |  |  | – |  | – |  | 155,438 |  | 1,700,766 |  | 1 |  | 1,856,205
Issue Additional Tier 1 instrument |  |  | – |  | (142) |  | – |  | – |  | – |  | (142)
Distribution related to AT1 instruments |  |  | – |  | – |  | – |  | (64,458) |  | – |  | (64,458)
Distribution of dividends |  |  | – |  | – |  | – |  | (617,400) |  | – |  | (617,400)
Balance at 31 December 2023 |  |  | 1,200,000 |  | 609,298 |  | 180,199 |  | 5,638,654 |  | 26 |  | 7,628,177
Balance at 1 January 2024 |  |  | 1,200,000 |  | 609,298 |  | 180,199 |  | 5,638,654 |  | 26 |  | 7,628,177
Net profit for the year |  |  | – |  | – |  | – |  | 1,686,043 |  | 2 |  | 1,686,045
Other comprehensive income, net of income tax |  |  | – |  | – |  | 69,877 |  | – |  | – |  | 69,877
Total comprehensive income for the period, net of income tax |  |  | – |  | – |  | 69,877 |  | 1,686,043 |  | 2 |  | 1,755,922
Other changes |  |  | – |  | – |  | 1,670 |  | (1,670) |  | – |  | –
Distribution related to AT1 instruments | 38 |  | – |  | – |  | – |  | (73,656) |  | – |  | (73,656)
Distribution of dividends | 37 |  | – |  | – |  | – |  | (860,400) |  | – |  | (860,400)
Balance at 31 December 2024 |  |  | 1,200,000 |  | 609,298 |  | 251,746 |  | 6,388,971 |  | 28 |  | 8,450,043

Bank |  |  |  |  |  |  |  |  |  |  |
In RON thousand |  |  |  |  |  |  |  |  |  |  |
Note |  | Share capital |  | Other equity instruments |  | Other reserves |  | Retained earnings |  | Total
Balance at 1 January 2023 |  |  | 1,200,000 |  | 609,440 |  | 24,325 |  | 4,442,212 |  | 6,275,977
Net profit for the year |  |  | – |  | – |  | – |  | 1,719,490 |  | 1,719,490
Other comprehensive income, net of income tax |  |  | – |  | – |  | 155,302 |  | – |  | 155,302
Total comprehensive income for the period, net of income tax |  |  | – |  | – |  | 155,302 |  | 1,719,490 |  | 1,874,792
Other changes |  |  | – |  | (142) |  | – |  | – |  | (142)
Distribution related to AT1 instruments |  |  | – |  | – |  | – |  | (64,458) |  | (64,458)
Distribution of dividends |  |  | – |  | – |  | – |  | (617,400) |  | (617,400)
Balance at 31 December 2023 |  |  | 1,200,000 |  | 609,298 |  | 179,627 |  | 5,479,844 |  | 7,468,769
Balance at 1 January 2024 |  |  | 1,200,000 |  | 609,298 |  | 179,627 |  | 5,479,844 |  | 7,468,769
Net profit for the year |  |  | – |  | – |  | – |  | 1,670,378 |  | 1,670,378
Other comprehensive income, net of income tax |  |  | – |  | – |  | 69,901 |  | – |  | 69,901
Total comprehensive income for the period, net of income tax |  |  | – |  | – |  | 69,901 |  | 1,670,378 |  | 1,740,279
Distribution related to AT1 instruments | 38 |  | – |  | – |  | – |  | (73,656) |  | (73,656)
Distribution of dividends | 37 |  | – |  | – |  | – |  | (860,400) |  | (860,400)
Balance at 31 December 2024 |  |  | 1,200,000 |  | 609,298 |  | 249,528 |  | 6,216,166 |  | 8,274,992

The consolidated and separate statement of changes in shareholders’ equity is to be read in conjunction with the notes forming
part of the consolidated and separate financial statements set out on following pages.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

4

RAIFFEISEN BANK S.A. |
Consolidated and separate statement of cash flows
for the year ended
31 December 2024

|  |  | Group |  | Bank
In RON thousand | Note |  | 2024 |  | 2023 |  | 2024 |  | 2023
Cash flows from operating activities |  |  |  |  |  |  |  |  |
Profit before income tax |  |  | 2,058,081 |  | 2,084,327 |  | 2,035,562 |  | 2,096,858
Adjustments for non-cash items: |  |  |  |  |  |  |  |  |
Depreciation and amortization | 12 |  | 270,313 |  | 274,702 |  | 267,106 |  | 271,545
Net impairment loss (income from recoveries is not included) | 14 |  | 127,932 |  | 121,689 |  | 120,108 |  | 116,174
Group share of gain from associates and joint ventures | 25 |  | (7,317) |  | (1,166) |  | – |  | –
Loss on the sale of property, plant and equipment and of intangible assets |  |  | 15,689 |  | 7,451 |  | 15,194 |  | 8,319
Net charge of provisions for litigation and other provisions | 11, 12 |  | (12,622) |  | 1,781 |  | (15,423) |  | (3,142)
Net gains on non-trading financial assets mandatorily at fair value through profit or loss | 26 |  | 15,001 |  | (12,974) |  | 16,047 |  | (11,679)
Other fair value adjustments |  |  | 8,082 |  | (9,731) |  | 8,082 |  | (9,731)
Net interest income | 8 |  | (3,049,980) |  | (2,820,929) |  | (2,999,214) |  | (2,778,312)
Unrealized foreign exchange losses |  |  | (2,522) |  | 5,468 |  | (2,523) |  | 5,468
Income from dividends | 11 |  | (3,942) |  | (3,122) |  | (17,172) |  | (32,716)
Operating profit before changes in operating assets and liabilities |  |  | (581,285) |  | (352,504) |  | (572,233) |  | (337,216)
Change in operating assets: |  |  |  |  |  |  |  |  |
(Increase)/Decrease in trading assets and derivatives held for risk management |  |  | (367,191) |  | (88,014) |  | (367,191) |  | (88,014)
(Increase)/Decrease in loans and advances to banks at amortised cost |  |  | 13,555 |  | (23,438) |  | 13,444 |  | (23,389)
(Increase)/Decrease in loans and advances to customers at amortised cost and at fair value through profit or loss |  |  | (7,394,389) |  | (2,184,227) |  | (7,252,373) |  | (2,108,197)
(Increase)/Decrease in investment securities at fair value through other comprehensive income |  |  | 606,924 |  | 561,299 |  | 586,619 |  | 571,599
(Increase)/Decrease in investment securities at amortised cost |  |  | (3,601,298) |  | (645,184) |  | (3,602,738) |  | (702,712)
(Increase)/Decrease in other assets |  |  | (287,942) |  | 34,466 |  | (247,369) |  | 43,220
Proceeds from sale of loans and recoveries from write-offs | 14 |  | 102,949 |  | 151,608 |  | 102,296 |  | 151,119
Change in operating liabilities: |  |  |  |  |  |  |  |  |
Increase/(Decrease) in trading liabilities |  |  | 234,725 |  | (18,275) |  | 234,725 |  | (18,275)
Increase/(Decrease) in deposits from banks |  |  | 57,052 |  | (83,178) |  | 57,052 |  | (83,178)
Increase/(Decrease) in deposits from customers |  |  | 10,715,784 |  | 5,019,739 |  | 10,737,652 |  | 5,060,622
Increase/(Decrease) in other liabilities |  |  | 77,326 |  | 199,614 |  | 76,673 |  | 212,559
Taxation paid |  |  | (454,900) |  | (290,939) |  | (448,317) |  | (288,348)
Interest paid |  |  | (1,632,666) |  | (1,120,164) |  | (1,609,707) |  | (1,106,329)
Interest received |  |  | 4,434,105 |  | 3,848,443 |  | 4,360,480 |  | 3,791,940
Cash flows from operating activities |  |  | 1,922,749 |  | 5,009,246 |  | 2,069,013 |  | 5,075,401
Investing activities: |  |  |  |  |  |  |  |  |
Proceeds from sale of property, plant and equipment |  |  | 474 |  | 999 |  | 474 |  | 999
Acquisition of property, plant and equipment | 30 |  | (51,755) |  | (48,014) |  | (49,895) |  | (50,085)
Acquisition of intangible assets | 31 |  | (208,184) |  | (184,847) |  | (206,975) |  | (182,615)
Acquisition of investment in subsidiaries | 25 |  | – |  | – |  | (24,765) |  | –
Proceeds from sale of investment in associate |  |  | – |  | 13,784 |  | – |  | 1,667
Proceeds from sale of equity investments |  |  | – |  | 71 |  | – |  | 71
Dividends received |  |  | 3,942 |  | 3,122 |  | 17,172 |  | 32,716
Cash flows used in investing activities |  |  | (255,523) |  | (214,885) |  | (263,989) |  | (197,247)

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

5

RAIFFEISEN BANK S.A. |
Consolidated and separate statement of cash flows
for the year ended
31 December 2024

|  |  | Group |  | Bank
In RON thousand | Note |  | 2024 |  | 2023 |  | 2024 |  | 2023
Financing activities |  |  |  |  |  |  |  |  |
Cash from loans from banks and subordinated loans |  |  | 813,394 |  | 150,851 |  | 637,544 |  | –
Proceeds from debt securities issued |  |  | – |  | 1,609,245 |  | – |  | 1,609,245
Repayments of loans from banks and subordinated loans |  |  | (42,895) |  | (52,578) |  | (744) |  | (2,198)
Repayment of subordinated debt securities |  |  | (480,000) |  | – |  | (480,000) |  | –
Dividends paid | 37 |  | (860,400) |  | (617,400) |  | (860,400) |  | (617,400)
Distribution related to AT1 instruments | 37 |  | (73,656) |  | (64,458) |  | (73,656) |  | (64,458)
Repayment of principal portion of lease liability | 30 |  | (97,742) |  | (96,364) |  | (97,742) |  | (96,364)
Cash flows from financing activities |  |  | (741,299) |  | 929,296 |  | (874,998) |  | 828,825
Net increase/(decrease) in cash and cash equivalents |  |  | 925,927 |  | 5,723,657 |  | 930,026 |  | 5,706,979
Cash and cash equivalents at 1 January |  |  | 14,128,158 |  | 8,404,501 |  | 14,062,090 |  | 8,355,111
Cash and cash equivalents at 31 December |  |  | 15,054,085 |  | 14,128,158 |  | 14,992,116 |  | 14,062,090

Analysis of cash and cash equivalents

|  |  | Group |  | Bank
In RON thousand | Note |  | 2024 |  | 2023 |  | 2024 |  | 2023
Cash and cash equivalents comprise: |  |  |  |  |  |  |  |  |
Cash on hand |  |  | 1,831,424 |  | 1,863,566 |  | 1,831,415 |  | 1,863,556
Cash with Central Bank |  |  | 12,218,612 |  | 12,003,883 |  | 12,158,868 |  | 11,939,259
| 17 |  | 14,050,036 |  | 13,867,449 |  | 13,990,283 |  | 13,802,815
Loans and advances to banks – less than 3 months |  |  | 1,004,049 |  | 260,709 |  | 1,001,833 |  | 259,275
Cash and cash equivalents in the cash flows statement |  |  | 15,054,085 |  | 14,128,158 |  | 14,992,116 |  | 14,062,090

The consolidated and separate statement of cash flows is to be read in conjunction with the notes forming part of the
consolidated and separate financial statements set out on following pages.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

6

RAIFFEISEN BANK S.A. |
Consolidated and separate statement of cash flows
for the year ended
31 December 2024

Analysis of the changes in financing during the year:
Reconciliation of movements of liabilities to cash flows arising from financing activities

Group |  |  |  |  |  |  |  |
In RON thousand | Debt securities issued | Loans from Banks and Subordinated loans | Lease liabilities (note 30) | Share capital | Other equity instruments | Retained earnings | Other reserves | Total
Balance at 1 January 2024 | 5,555,004 | 814,673 | 263,681 | 1,200,000 | 609,298 | 5,638,680 | 180,199 | 14,261,535
Changes from financing cash flows |  |  |  |  |  |  |  |
Proceeds from issue of debt securities and Additional Tier 1 instrument | – | – | – | – | – | – | – | –
Repayment of debt securities | (480,000) | – | – | – | – | – | – | (480,000)
Cash from loans from banks and subordinated liabilities | – | 813,394 | – | – | – | – | – | 813,394
Repayments of loans from banks and subordinated liabilities | – | (42,895) | – | – | – | – | – | (42,895)
Payment of lease liability | – | – | (97,742) | – | – | – | – | (97,742)
Proceeds from exercise of share options | – | – | – | – | – | – | – | –
Dividends and coupon on equity instruments paid | – | – | – | – | – | (934,056) | – | (934,056)
Total changes from financing cash flows | (480,000) | 770,499 | (97,742) | – | – | (934,056) | – | (741,299)
Changes in Fair value | – | – | – | – | – | – | 83,187 | 83,187
Other changes | – | – | 84,470 | – | – | 1,684,375 | (11,640) | 1,757,205
Liability-related |  |  |  |  |  |  |  |
Interest expense | 377,809 | 49,061 | 6,246 | – | – | – | – | 433,116
Interest paid | (379,958) | (47,211) | (6,505) | – | – | – | – | (433,674)
The effect of changes in foreign exchange rates | (150) | (49) | 2,930 | – | – | – | – | 2,731
Balance at 31 December 2024 | 5,072,705 | 1,586,973 | 253,080 | 1,200,000 | 609,298 | 6,388,999 | 251,746 | 15,362,801

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

7

RAIFFEISEN BANK S.A. |
Consolidated and separate statement of cash flows
for the year ended
31 December 2024

Analysis of the changes in financing during the year:
Reconciliation of movements of liabilities to cash flows arising from financing activities

Bank |  |  |  |  |  |  |  |
In RON thousand | Debt securities issued | Loans from Banks and Subordinated loans | Lease liabilities (note 30) | Share capital | Other equity instruments | Retained earnings | Other reserves | Total
Balance at 1 January 2024 | 5,555,004 | 327,760 | 260,853 | 1,200,000 | 609,298 | 5,479,844 | 179,627 | 13,612,386
Changes from financing cash flows |  |  |  |  |  |  |  |
Proceeds from issue of debt securities and Additional Tier 1 instrument | – | – | – | – | – | – | – | –
Repayment of debt securities | (480,000) | – | – | – | – | – | – | (480,000)
Cash from loans from banks and subordinated liabilities | – | 637,544 | – | – | – | – | – | 637,544
Repayments of loans from banks and subordinated liabilities | – | (744) | – | – | – | – | – | (744)
Payment of lease liability | – | – | (97,742) | – | – | – | – | (97,742)
Proceeds from exercise of share options | – | – | – | – | – | – | – | –
Dividends and coupon on equity instruments paid | – | – | – | – | – | (934,056) | – | (934,056)
Total changes from financing cash flows | (480,000) | 636,800 | (97,742) | – | – | (934,056) | – | (874,998)
Changes in Fair value | – | – | – | – | – | – | 83,214 | 83,214
Other changes | – | – | 84,994 | – | – | 1,670,378 | (13,313) | 1,742,059
Liability-related |  |  |  |  |  |  |  |
Interest expense | 377,809 | 22,944 | 6,246 | – | – | – | – | 406,999
Interest paid | (379,958) | (21,011) | (6,505) | – | – | – | – | (407,474)
The effect of changes in foreign exchange rates | (150) | (32) | 2,930 | – | – | – | – | 2,748
Balance at 31 December 2024 | 5,072,705 | 966,461 | 250,776 | 1,200,000 | 609,298 | 6,216,166 | 249,528 | 14,564,934

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

8

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

1. REPORTING ENTITY
Raiffeisen Bank S.A. (the “Bank”) started its operations on 1 July 2002 upon the merger by acquisition of Raiffeisen Bank Romania by
Banca Agricola Raiffeisen S.A. through issue of shares. The merger between the two banks was finalized on 30 June 2002 with the
purpose of streamlining the operations of the Raiffeisen Group in Romania.
The Bank is licensed by the National Bank of Romania to conduct banking activities. The current registered office is located in FCC
Office Building, Calea Floreasca, no. 246 D, district 1, Bucharest, Romania.
The consolidated financial statements of the Bank for the year ended December 31, 2024 comprise the Bank and its subsidiaries
(together referred to as the “Group”).
The Group is primarily involved in corporate and retail banking, investment services, leasing and asset management services.
The main activity of the Bank is to provide day-to-day banking services to corporate and individual clients. These include:
accounts opening, domestic and international payments, foreign exchange transactions, working capital finance, medium term
facilities, bank guarantees and letters of credit. The Group also provides financial leasing services, home saving loan services and
asset management services. The Group operates through the Head Office located in Bucharest and through its network of 272
branches as at December 31, 2024 (December 31, 2023: 284 branches).
The Bank is managed in accordance with the dual management system by a Supervisory Board made up of 8 members and a
Management Board made up of 7 members.
The members of the Supervisory Board as of December 31, 2024 are as follows:
• Johann Strobl – Chairman
• Hannes Mösenbacher – Deputy Chairman
• Andreas Gschwenter – Member
• Łukasz Janusz Januszewski – Member
• Andrii Stepanenko – Member
• Pedro Miguel Weiss – Independent Member
• Claudia Patricia Pendred – Independent Member
• Mihaela Mitroi – Independednt Member
The structure of the Management Board as of 31 December 2024 is as follows:
• Zdenek Romanek – President;
• Cristian Sporiş – Vice President, coordinating the Corporate Division;
• Bogdan Popa – Vice President, coordinating the Operations and IT Division;
• Vladimir Kalinov – Vice President, coordinating the Retail Division;
• Mircea Busuioceanu – Vice President, coordinating the Risk Division;
• Mihail Ion – Vice President, coordinating the Markets, Investment Banking and Personal Financial Planning Division;
• Alina Rus – Vice President, coordinating the Accounting and Financial Controlling Division.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

9

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

2. BASIS OF PREPARATION
a) Statement of compliance
The consolidated and separate financial statements have been prepared in accordance with Order no. 27/2010 of the National
Bank of Romania and subsequent amendments, which require that these consolidated and separate financial statements are
prepared in accordance with International Financial Reporting Standards as endorsed by the European Union (“IFRS”). The
accounting records of the Bank are maintained in RON in accordance with the Romanian accounting law and the National Bank of
Romania banking regulations.
The statutory accounts of the Bank and its subsidiaries are in line, in all material aspects with International Financial Reporting
Standards as adopted by the European Union (“IFRS”).
The associate prepares financial statements in accordance with the Romanian accounting law (“statutory accounts”).
b) Basis of measurement
The accounting policies adopted are consistent with those of the previous financial year.
c) Functional and presentation currency
The elements included in the financial statements of each Group entity are evaluated by using the currency of the primary
economic environment in which the entity operates (“functional currency”). These consolidated and separate financial statements
are presented in Romanian Lei (“RON”), which is the functional and presentation currency of the Bank, rounded to the nearest
thousand.
d) Use of estimates and judgements
The preparation of consolidated and separate financial statements in accordance with IFRS as endorsed by the EU requires
management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported
amounts of assets, liabilities, income and expenses. The estimates and associated assumptions are based on the historical
experience and various other factors that are believed to be reasonable under the circumstances, the results of which form the
basis of making the judgments about the carrying values of assets and liabilities that are not readily apparent from other sources.
Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions of accounting estimates are recognized in
the period in which the estimate is revised if the revision affects only that period or in the period of the revision and future periods
if the revision affects both current and future periods. The management judgments in applying accounting policies which have a
significant impact on the consolidated and separate financial statements as well as highly uncertain estimates are disclosed in
Note 6.
The accounting policies set out below have been applied consistently to all periods presented in these consolidated and separate
financial statements and have been applied consistently by the Group entities.
e) Material accounting policy information
The Group adopted Disclosure of Accounting Policies (Amendments to IAS 1 and IFRS Practice Statement 2) from 1 January 2023.
Although the amendments did not result in any changes to the accounting policies themselves, they impacted the accounting
policy information disclosed in the financial statements.
The amendments require the disclosure of ‘material’, rather than ‘significant’ accounting policies. The amendments also provide
guidance on the application of materiality to disclosure of accounting policies, assisting entities to provide useful, entity-specific
accounting policy information that users need to understand other information in the financial statements.
Manag ement reviewed the accounting policies and made updates to the information disclosed in Note 3 Material accounting
policies in certain instances for further information.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

10

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

3. MATERIAL ACCOUNTING POLICIES
The Group has consistently applied the following accounting policies to all periods presented in these consolidated financial
statements, except if mentioned otherwise.
The Group adopted Disclosure of Accounting Policies (Amendments to IAS 1 and IFRS Practice Statement 2) from 1 January 2023.
The amendments require disclosure of ‘material’, rather than significant, accounting policies. Although the amendments did not
result in any changes to the accounting policies themselves, they impacted the accounting policy information related to financial
statements disclosed in this note.
Set out below is an index of the material accounting policies, the details of which are available on the pages that follows:

Index |  |  |  |
Basis of consolidation |  |  |  | 11
Foreign currency |  |  |  | 12
Interest income and expense |  |  |  | 12
Fees and commissions |  |  |  | 12
Net trading income |  |  |  | 15
Net gain/loss from other financial instruments at fair value |  |  |  | 15
Dividends |  |  |  | 15
Lease payments |  |  |  | 15
Income tax |  |  |  | 15
Financial instruments |  |  |  | 16
Hedge Accounting |  |  |  | 27
Cash and cash equivalents |  |  |  | 28
Property, plant and equipment |  |  |  | 28
Intangible assets |  |  |  | 29
Leased assets |  |  |  | 29
Impairment of non-financial assets |  |  |  | 29
Deposits from customers, loans from banks, debt securities issued, subordinated liabilities and other equity instruments |  |  |  | 30
Employee benefits |  |  |  | 30
Provisions |  |  |  | 31
Taxes |  |  |  | 31

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

11

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

a) Basis of consolidation
(i) Subsidiaries
Subsidiaries are entities controlled by the Bank. An investor controls an investee when it is exposed, or has rights, to variable
returns from its involvement with the investee and has the ability to affect those returns through its power over the investee.
The Bank holds:
• 99.99% (2023: 99.99%) interest and voting rights in Raiffeisen Leasing IFN S.A.;
• 99.99% (2023: 99.99%) interest and voting rights in Aedificium Banca pentru Locuinte S.A.;
• 99.99% (2023: 99.99%) investment and voting rights in Raiffeisen Asset Management S.A., an asset management
company with the purpose of funds administration.
The Bank has consolidated the financial statements of its subsidiaries in accordance with IFRS 10 “Consolidated Financial
Statements”.
Raiffeisen Leasing IFN S.A. has been representing the Raiffeisen Group on the Romanian Leasing Market since 2002. The company
share capital is RON 39,700,000 and offers a wide range of products for SMEs, corporations and, in a small part, for individuals. The
company provides customized financing solutions in RON or EUR, offering fixed or variable interest finance for various types of
projects and assets, such as vehicles and equipment. Raiffeisen Leasing offer is also available in Raiffeisen Bank network units.
Aedificium Banca pentru Locuinte S.A. managed a product denominated in RON that is based on the combination of the saving
and the lending phase (Bauspar). As of 29th of November 2024, the Voluntary liquidation plan as well as the Request to give up the
banking license were submitted to the National Bank of Romania for approval. Until the approval of the Voluntary liquidation plan
is obtained, the Bank will continue to operate, respectively servicing the client portfolio (documents collection, assistance and
support of the existing clients) implementing the necessary actions for preserving the clients’ interest.
The management estimates that this process will extend over a horizon of more than 12 months. The Group will continue to
provide support for fulfilment of the objectives proposed by the ABL.
S.A.I. Raiffeisen Asset Management S.A. (RAM) is the asset management specialized company for the investment funds and
pension fund of the Group in Romania. RAM's objective is to develop a large range of products to best serve our clients' financial
purposes.
In the separate financial statements, the accounting policy of the Bank regarding its subsidiaries is cost less impairment. The Bank
is performing impairment analysis for all its subsidiaries at each reporting period, including December 31, 2024.
(ii) Associates
The Bank holds 33.33% (2023: 33.33%) interest in CIT One S.R.L.
Associates are those entities in which the Group has significant influence, but not control over the financial and operating policies.
The Group accounts proportionately for the share of gain or loss from its associates in accordance with IAS 28 “Investments in
Associates and Joint Ventures”. The consolidated financial statements include the Group’s share of the total recognized gains and
losses of associates and joint ventures on an equity accounting basis, from the date that significant influence commences until
the date that significant influence ceases (see Note 25). When the Group’s share of losses exceeds its interest in an associate, the
Group’s carrying amount is reduced to nil and recognition of further losses is discontinued except to the extent that the Group has
incurred legal or constructive obligations or made payments on behalf of an associate. After application of the equity method,
including recognizing the associate's losses, the investor determines whether it is necessary to recognize any additional
impairment loss with respect to the investor's net investment in the associate.
In the Bank’s Separate Financial Statement, the equity instruments representing investment in associates continue to be
measured at cost in accordance to IAS 27 “Separate financial statements”.
(iii) Transactions eliminated on consolidation
Intra-Group balances and transactions, and any unrealized gains arising from intra-Group transactions (except for the gains or
losses from foreign exchange differences related to these transactions), have been eliminated from the consolidated financial
statements.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

12

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

b) Foreign Currency
Foreign currency transactions
Transactions in foreign currencies are translated to RON at the official exchange rates from the transaction date. Monetary
assets and liabilities denominated in foreign currencies at the reporting date are translated to the functional currency at the
exchange rate at that date. The foreign exchange gain or loss on monetary items is the difference between the amortized cost in
the functional currency at the beginning of the period, adjusted for effective interest and payments during the period, and the
amortized cost in foreign currency translated at the exchange rate at the end of the period. Foreign currency differences arising
on settlement are recognized in profit or loss, except for differences arising from the equity instruments measured at fair value
through other comprehensive income.
c) Interest income and expense
Interest income and expense are recognized in the consolidated and separate statement of comprehensive income using the
effective interest rate method for financial instruments measured at amortised cost and financial assets measured at FVOCI.
Interest income is calculated by applying the effective interest rate to the gross carrying amount of financial assets other than
credit-impaired assets.
When a financial asset becomes credit-impaired and is, therefore, regarded as ‘Stage 3’, the Bank calculates interest income by
applying the effective interest rate to the net amortised cost of the financial asset. If the financial assets cures and is no longer
credit-impaired, the Bank reverts to calculating interest income on a gross basis.
For purchased or originated credit-impaired (POCI) financial assets, the Bank calculates interest income using the credit-adjusted
EIR and applying that rate to the amortised cost of the asset. The credit-adjusted EIR is the interest rate that, at original
recognition, discounts the estimated future cash flows (including credit losses) to the amortised cost of the POCI assets.
The effective interest rate is the rate that exactly discounts the estimated future cash payments and receipts through the
expected life of the financial asset or liability (or, where appropriate, a shorter period) to the carrying amount of the financial
asset or liability. For the effective interest rate computation, the Group estimates the future cash flows by taking into account the
contractual terms of each financial instrument, however it does not account for future credit losses. The calculation of the
effective interest rate includes all fees and commissions paid or received, transaction costs and discounts or premiums that are
an integral part of the effective interest rate.
The effective interest rate method is a method of calculating the amortized cost of loans and advances to customers whereby
up-front and management fees received between parties to the contract and origination costs should be integral part of the
effective interest rate and should be amortized and recognized as interest income over the relevant period.
Interest income and expense on all trading assets and liabilities are presented together with all other changes in the fair value of
trading assets and liabilities in net trading income.
Other interest income includes mainly interest from sight deposits and collateral deposits.
d) Fees and commissions
The Bank earns fees and commissions income from a diverse range of financial services it provides to its customers. Fee and
commission income is recognized at an amount that reflects the consideration to which the Bank expects to be entitled in
exchange for providing the services.
The performance obligations, as well as the timing of their satisfaction, are identified, and determined, at the inception of the
contract. The Bank’s revenue contracts do not include multiple performance obligations.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

13

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Fee and commission income from services where performance obligations are satisfied over time
Performance obligations satisfied over time include services where the customer simultaneously receives and consumes the
benefits provided by the Bank as the Bank performs [IFRS 15.35 (a)]. In these cases, the customer obtains control of the Bank’s
output as the Bank performs.

Type of service | Nature and timing of satisfaction of performance obligations | Revenue recognition policies under IFRS 15
Banking service | Fees charged by the Bank for ongoing management of current accounts, fees charged for servicing loans, provision of overdraft facilities and servicing fees are charged to the customer’s account on a monthly basis. | The transaction price has no variable component. The fees are of fixed value depending on the type of product and client segment and they are charged monthly.
Cards additional features | Some types of cards include some additional features that provide clients with access to certain locations or to certain services. The Bank grant the customer with access to a series of services which can be used by the client simultaneous over the period of the contract. | The transaction price has no variable component. The fees are of fixed value depending on the type of product and client segment and they are charged annually.
Commitment fees | The fees are charged for the Bank commitment to provide a loan facility for a specific period and are recognized as the service is transferred to the customer over the period of entitlement. The fees paid by customers for loan commitments without a specific lending arrangement is entered into with the customer are recognised as revenue on a yearly basis. Payment of the fees is due and received yearly or quarterly in arrears. | The transaction price has no variable component. The fees are of fixed value depending on the type of product and client segment and they are charged yearly or quarterly.
Asset management service | Fees for asset management services are calculated based on the value of assets under management and charged on a monthly basis. | Revenue is recognized over time as the services are provided and are charged on a monthly basis.

Fee and commission income from providing services where performance obligations are satisfied at a point in time
Services provided where the Bank’s performance obligations are satisfied at a point in time are recognized once control of the
services is transferred to the customer, where control also means the ability to prevent others from directing the use of, and
receiving the benefit from, a good or service (IFRS 15.38). The fees earned in exchange for these services are recognized at the
point in time, when the transaction is completed, because the customer only receives the benefits of the Bank’s performance
upon successful completion of the underlying transaction. The Bank is only entitled to the fee on the completion of the transaction
(IFRS 15.117). The Bank has a single performance obligation with respect to these services, which is to successfully complete the
transaction specified in the contract.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

14

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Type of service | Nature and timing of satisfaction of performance obligations | Revenue recognition policies under IFRS 15
Payments and electronic banking | The fees charged by the Bank for processing payments and incomings instructed by clients through various channels (paper-based or electronic). Fees related to these services can be typically account transaction fees: money transfer fees, direct debit fees, transaction-based fees charged by the Bank for interchange, foreign currency transactions and overdrafts and are charged to the customer’s account when the transaction takes place. | The transaction price has no variable component. The fees are applied in accordance with the “List of fees and commissions” of the Bank and depend on the type of product and client segment.
Cash services | The Bank earns fees from cash services such as: 1. Cash withdrawals by card, using EPOS, from current account at bank cashier, from the ATM/MFM (Raiffeisen ATM or of other Romanian or abroad card accepting banks) 2. Cash deposits at bank cashier for non retail customers. 3. Payment of invoices or recharging prepaid phone cards at the ATM. | The transaction price has no variable component. The fee is charged per each operation in accordance with the “List of fees and commissions” of the Bank and depend on the type of product and client segment. The commissions related to cash operations are automatically withheld, at the time of settlement of the transaction.
Revenue related to syndicated transactions | Loan syndication fees charged by the Bank, in those situations where they are clearly to be regarded as service fees from syndicated transactions, because of their economic substance, meaning the Bank does not retain any part of the loan package for itself. | Depending on the contractual terms these fees can be both fix or variable computed as a percentaje of the approved credit facility amount.
Fees and commission related to the issued bank cards | In case of transaction-based fees (e.g., cash withdrawal/payment fee, merchant fee, etc.), the settlement of the fees will take place immediately after the transaction or on a monthly basis. The fee is typically determined in % of the transaction with a fixed minimum amount. Bank fees related to credit/debit card operating services are charged from the current account at the date of transaction. | The fee is typically determined in % of the transaction with a fixed minimum amount. The fee is charged per each operation.
Interchange fees | The services are related to card processing services (i.e., authorization and settlement of transactions executed with the Bank’s cards) where it is entitled to an interchange fee for each transaction. The fees vary based on the number of transactions processed and the allocated revenue is recognized when the transaction takes places or on a monthly basis. | Revenue is recognized at the point in time when the transaction takes place. The transaction price has no variable component.
Custody services | The Bank earns fees for depository activities and safekeeping of the client assets, intermediation service and custody service regarding the securities that the client is eligible to trade through the bank and investment advisory service regarding the financial assets indicated by the Client. | Revenue is recognized at the point in time when the transaction takes place. The transaction price has no variable component.
Investment banking | Consultancy services provided by the bank to Corporate clients for different purposes: issues of bonds; loans agreements etc. Amounts are variable depending on the percentage established on each individual contract. | Revenue is recognized at the point in time when the transaction takes place. The transaction price has no variable component.
Commission for financial guarantees | Fees are charged for granting or servicing such as modification, processing or prolongation of financial guarantees. The fess are recognised when the service is provided (i.e. when underlying transaction is completed). | Revenue is recognized at the point in time when the service is provided or transaction takes place.
Commissions from insurance premium collection | The Bank intermediates the insurance services between the Insurer and the client for the loans granted by the Bank. The Bank present the offer to the client and if the client accept the offer the documentation is prepared by the Bank and sent to Insurer to proceed and issue the insurance. Further, for the intermediation of insurances the Bank charge a fee for the subsequent services provided consisting in collecting the insurance premium from client and paying/ transferring into the Insurer account. The fees are recognised when the collection takes place. The fees for insurance products represents commission income from agreements between the Bank and the Insurer for stand-alone products (the insurance products are not bundle products). | The transaction price has no variable component and depend on the type of product and client segment . The commissions are charged annually, quarterly or monthly depending on the client option.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

15

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

e) Net trading income
Net trading income comprises gains and losses from trading assets and liabilities and includes all realized and unrealized fair
value changes, interests, dividends and foreign exchange differences.
f) N et gain/loss from other financial instruments at fair value
Net gain/loss from other financial instruments at fair value arises from derivatives held for risk management purposes and
financial assets and liabilities designated at fair value through profit or loss and include all realized and unrealized fair value
changes, interests, dividends and foreign exchange differences.
g) Dividends
Dividends to be distributed by the Bank or Group are treated as an appropriation of profit in the period they are declared and
approved by the General Shareholders Meeting.
h) Lease payments
The Group applies a single recognition and measurement approach for all leases, except for short-term leases and leases of low-
value assets. Short term leases are those which have, at the commencement date, a lease term of 12 months or less. Leases of
low-value assets are those for which the underlying asset, when new, is of low value, the threshold chosen in this respect being
EUR 5,000. The Group recognises lease liabilities to make lease payments and right-of-use assets representing the right to use the
underlying assets. Lease liabilities are presented in statement of financial position under “Other liabilities”.
At the commencement date of the lease, the Group recognises lease liabilities measured at the present value of lease payments
to be made over the lease term. The lease payments include fixed payments (less any lease incentives receivables), variable lease
payments that depend on an index or a rate, and amounts expected to be paid under residual value guarantees. The lease
payments also include payments of penalties for terminating the lease if the lease term reflects exercising the option to
terminate.
The lease liability is measured on an ongoing basis similarly to other financial liabilities, using an effective interest method, so that
the carrying amount of the lease liability is measured on an amortized cost basis and the interest expense is allocated over the
lease term. The lease liability is remeasured when there is a change in future lease payments arising from a change in an index or
rate, if there is a change in the Group’s estimate of the amount expected to be payable under a residual value guarantee, or if
Group changes its assessment of whether it will exercise a purchase, extension or termination option. When the lease liability is
remeasured in this way, a corresponding adjustment is made to the carrying amount of the right-of-use asset or is recorded in
profit or loss if the carrying amount of right-of-use asset has been reduced to zero.
i) Income tax
Income tax for the year comprises current and deferred tax. Income tax is recognized in profit or loss or equity except to the
extent that it relates to items recognized directly in equity or in other comprehensive income. Current tax is the expected tax
payable on the taxable income for the year, using tax rates enacted or substantively enacted at the balance sheet date, and any
adjustment to tax payable in respect of previous years.
Deferred tax is determined using the balance sheet method for temporary differences between the carrying amounts of assets
and liabilities for financial reporting purposes and the amounts used for taxation purposes.
Deferred tax is not recognized for the goodwill from transactions that are not a business combination and that affect neither
accounting nor taxable profit. Deferred tax is measured at the tax rates which are expected to be applied to the temporary
differences when they reverse, based on the laws that have been enacted or substantively enacted by the reporting date.
Deferred tax assets and liabilities are offset if there is a legally enforceable right to offset current tax liabilities against current tax
assets and they relate to income taxes levied by the same tax authority on the same taxable entity, or on different tax entities,
but they intend to settle current tax liabilities and assets on a net basis or their tax assets and liabilities will be realized
simultaneously.
A deferred tax asset is recognized only to the extent that it is probable that future taxable profits will be available against which
the asset can be used. Deferred tax assets are reviewed at each reporting date and are reduced to the extent that it is no longer
probable that the related tax benefit will be realized.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

16

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

j) Financial instruments
(i) Classification
Classification of financial assets is based on the entity’s business model (portfolio perspective) and the contractual cash
flow characteristics of the individual financial asset.
The classification categories for financial assets are:
a) amortized cost;
b) fair value through other comprehensive income (FVOCI);
c) fair value through profit or loss (FVTPL).
a) Amortized cost
A financial asset is measured at amortized cost if both of the following conditions are met:
– The asset is held within a business model whose objective is to hold assets in order to collect contractual cash flows;
– The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of
principal and interest on the principal amount outstanding (herein after referred to as the “SPPI test”).
b) FVOCI
1. fair value through other comprehensive income (FVOCI) with gains or losses recycled to profit or loss on derecognition;
2. equity instruments at FVOCI, with no recycling of gains or losses on profit or loss on derecognition;
A financial asset that is a debt instrument is classified as subsequently measured at FVOCI if it is held within a business model
whose objective is both collecting contractual cash flows and selling financial assets and meets the SPPI test. Gains and losses on
these equity instruments are never recycled to profit or loss. Dividends are recognised in profit or loss as other operating income
when the right of the payment has been established, except when the Bank benefits from such proceeds as a recovery of part of
the cost of the instrument, in which case, such gains are recorded in OCI.
FVOCI Election for Equity Instruments
At initial recognition, an entity may make an irrevocable election to present in OCI subsequent changes in the fair value of an
investment in an equity instrument that is neither held for trading nor contingent consideration recognised by an acquirer in a
business combination to which IFRS 3 Business Combinations applies.
An equity instrument is a contract that evidences a residual interest in an entity's asset after deducting all of its liabilities. The
term "entity" includes individuals, partnerships, incorporated bodies, trusts and government agencies. According to IAS 32, an
equity instrument has to meet the following conditions cumulatively:
• No contractual obligation to deliver cash or another financial asset to another entity or exchange financial assets or
liabilities under unfavourable conditions with another entity and
• The instrument evidences a residual interest in the net assets of the issuer.
Equity instruments do not have contractual cash flows which are solely payments of interest and principal. Consequentially, equity
instruments will never pass the SPPI test and are either classified as FVTPL or designated to FVOCI option.
Equity instruments that are held for trading are required to be classified as at FVTPL. For all other equity investments (e.g.:
strategic investments in clearing houses), management may irrevocably elect to present subsequent changes in the fair value of
these equity investments in other comprehensive income (OCI). This election is made on an instrument-by instrument (i.e. share-
by-share) basis.
Dividends on such investments are recognised in profit or loss unless the dividend clearly represents a recovery of part of the cost
of the investment. Such circumstances will be limited because such investment will not be accounted for in accordance with IFRS 9
if the Bank has the ability to control or significantly influence the dividend policy of the investment.
Amounts presented in OCI shall not be recycled to profit or loss when an equity instrument is derecognised (e.g. due to a sale), nor
are there any impairment requirements. However, the Bank may transfer the cumulative gain or loss within equity.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

17

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

c) FVTPL
All other financial assets – i.e. financial assets that do not meet the criteria for classification as subsequently measured at either
amortized cost or FVOCI – are classified as subsequently measured at fair value, with changes in fair value recognized in profit or
loss.
In addition, the Bank has the option at initial recognition to irrevocably designate a financial asset that is a debt instrument as at
FVTPL if doing so eliminates or significantly reduces a measurement or recognition inconsistency – i.e. an ‘accounting mismatch’ –
that would otherwise arise from measuring assets or liabilities, or recognising the gains and losses on them, on different bases.
Further requirements for a 'significant reduction of the accounting mismatch' or a minimum value of reduction are not prescribed
by IFRS 9. For practical purpose, the Bank does not need to originate all of the assets and liabilities giving rise to the measurement
or recognition mismatch at exactly the same time. A reasonable delay is permitted, provided that each asset or liability is
designated as at FVTPL at its initial recognition and, at that time, any remaining transactions are expected to occur.
Financial liabilities, other than loan commitments and financial guarantees, are measured at amortised cost or at FVTPL when
they are held for trading and derivative instruments or the fair value designation is applied.
All financial liabilities are classified as subsequently measured at amortised cost, except for the following items which are
measured at FVTPL:
– Financial liabilities that are held for trading, including derivatives;
– Financial liabilities that arise when a transfer of a financial asset does not qualify for derecognition or when the
continuing involvement approach applies;
– Financial guarantees and below market rate interest loan commitments;
– Contingent consideration recognized by an acquirer in a business combination;
– Financial liabilities that are designated as at FVTPL on initial recognition.
Financial guarantee contracts and commitments to provide a loan at a below-market interest rate have specific guidance under
IFRS 9. They have to be measured at the higher of:
a) the amount of provision for expected credit losses under the normal IFRS 9 impairment model and
b) the amount initially recognized, less the cumulative amount of income recognized in accordance with the principles of
IFRS 15.
(ii) Business model assessment
The term ‘business model’ refers to the way an entity manages its financial assets in order to generate cash flows. That is, the
entity’s business model determines whether cash flows will result from collecting contractual cash flows, selling the financial
assets or both.
A business model assessment is needed for financial assets that meet the SPPI test to determine whether they meet the criteria
for classification as subsequently measured at amortised cost or FVOCI. Financial assets that do not meet the SPPI test are
classified as at FVTPL irrespective of the business model in which they are held, except for investments in equity instruments, for
which an entity may elect to present gains and losses in FVOCI.
The business model is determined at a level that reflects the way groups of financial assets are managed together to achieve a
particular business objective. An entity’s business model does not depend on management’s intentions for an individual
instrument. Accordingly, this condition is not an instrument-by-instrument approach to classification, but should be determined at
a higher level of aggregation.
Three business models are allowed:
a) Hold-to-collect
Financial assets in a hold-to-collect business model are managed to realise cash flows by collecting payments of principal and
interest over the life of the instruments. Although the objective of an entity’s business model may be to hold financial assets in
order to collect contractual cash flows, an entity’s decision to sale certain financial assets, when there is an increase in the assets
credit risk, is not inconsistent with a business model whose objective is to hold and collect.
Therefore, a business model’s objective can be to hold financial assets to collect contractual cash flows even when some sales of
financial assets have occurred or are expected to occur.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

18

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Sales that may be consistent with the hold-to-collect business model are performed in the following situations:
– The sales are due to an increase in the credit risk of a financial asset;
– The sales are infrequent (even if significant), or are insignificant individually and in aggregate (even if frequent);
– The sales take place close to the maturity of the financial asset and the proceeds from the sales approximate the
collection of the remaining contractual cash flows.
The Group considers that the total sales per annum are insignificant if they do not exceed 10% of the prior three years average
portfolio. The average considers closing balance figures; in case of new portfolios the Group applies the 10% threshold on periods
less than 3 years.
The hold-to-collect portfolio is applicable to: Loans and advances to customers, Loans and advances to banks and to a bond
portfolio, part of the liquidity buffer and whose main objective is to safeguard in stress times the continuity of the bank’s activity.
b) Hold-to-collect and Sale
An entity may hold financial assets in a business model whose objective is achieved by both collecting contractual cash flows and
selling financial assets. In this type of business model, the entity’s key management personnel have made a decision that both of
these activities are integral to achieving the objective of the business model.
Within the financial assets portfolio of the Bank, the “Hold-to-collect and Sale” Business Model is applicable to the bond
portfolios, managed for liquidity needs. The portfolios are composed of highly liquid assets and have the main objective meeting
the liquidity needs and secondary to collect interest.
c) Other
The objective of the business model is considered ‘other’ when it does not fall into one of the previous two categories discussed
above. This would be the case where:
– a portfolio of financial assets is managed with the objective of realising cash flows through the sale of the financial
assets in order to realise fair value changes arising from changes in credit spreads and yield curves. This results in active
buying and selling and managing the instruments to realise fair value gains rather than to collect the contractual cash
flows;
– a portfolio of financial assets that is managed and whose performance is evaluated on a fair value basis;
– a portfolio of financial assets meets the definition of held for trading;
The „Other” Business Model is applicable to the held for trading portfolio. Its strategy is to realize cash flows through sale of the
assets or to manage the instruments actively on a fair value basis in order to realize fair value changes arising from changes in
credit spreads and yield curves.
(iii) The SPPI test
As a second step of its classification process the Bank assesses the contractual terms of financial assets to identify whether they
meet the SPPI test. For this purpose, the contractual interest is defined as consideration for:
– time value of money;
– credit risk associated with the principal amount outstanding;
– other basic lending risks (for example liquidity);
– costs (for example administrative) and
– profit margin.
Time value of money is the element of interest that provides consideration for only the passage of time. In some cases, the time
value of money element may be modified (imperfect). In this case it must be assessed if the contractual cash flows still represent
solely payments of principal and interest, i.e. the modification term does not significantly alter the cash flows from a “perfect”
benchmark instrument. This assessment is not an accounting policy choice and cannot be avoided simply by concluding that an
instrument, in the absence of such an assessment, will be measured at fair value.
Both qualitative and quantitative approaches can be used to determine whether the time value of money element of the interest
rate provides consideration for just the passage of time.
When assessing a financial asset with a modified time value of money element, the entity should compare the financial asset
under assessment to the “perfect” (“benchmark”) instrument (that is, the cash flows that would arise if the time value of money
element was not modified).

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

19

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

If in any reasonably possible scenario, the difference between the cash flows of the benchmark instrument and the cash flows of
the instrument under assessment are significantly different, its contractual cash flows are not considered SPPI and the instrument
must be measured at FVTPL.
Sustainability-linked (ESG-linked) loans are structured such that their interest rates vary based on whether the borrower achieves
pre-determined targets defined in the loan agreement. As long as the variability of the interest rate is not related to additional
leverage, linked to an external index or is below a predefined threshold the loans are shown at amortized cost.
(iv) Financial assets and liabilities
Loans and advances to banks, loans and advances to customers, financial investments at amortised cost
The Bank only measures loans to banks, loans and advances to customers and other financial investments at amortised cost if
both of the following conditions are met:
– The financial asset is held within a business model with the objective to hold financial assets in order to collect
contractual cash flows;
– The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of
principal and interest (SPPI) on the principal amount outstanding.
Derivatives
Derivatives are recorded at fair value and carried as assets when their fair value is positive and as liabilities when their fair value is
negative. Changes in the fair value of derivatives are included in net trading income unless hedge accounting is applied.
Financial assets or financial liabilities held for trading
The Bank classifies financial assets or financial liabilities as held for trading when they have been purchased or issued primarily for
short-term profit making through trading activities or form part of a portfolio of financial instruments that are managed
together and for which there is evidence of a recent pattern of short-term profit taking. Held-for-trading assets and liabilities are
recorded and measured in the statement of financial position at fair value. Changes in fair value are recognized in net trading
income. Interest and dividend income or expense is recorded in net trading income according to the terms of the contract, or
when the right to payment has been established.
Included in this classification are debt securities, equities, short positions and customer loans that have been acquired principally
for the purpose of selling or repurchasing in the near term.
Debt instruments at FVOCI
The Bank measures debt instruments at FVOCI when both of the following conditions are met:
– The instrument is held within a business model, the objective of which is achieved by both collecting contractual cash
flows and selling financial assets;
– The contractual terms of the financial asset meet the SPPI test.
FVOCI debt instruments are subsequently measured at fair value with gains and losses arising due to changes in fair value
recognized in OCI. Interest income and foreign exchange gains and losses are recognized in profit or loss in the same manner as
for financial assets measured at amortized cost. Where the Bank holds more than one investment in the same security, they are
deemed to be disposed of on a weighted average cost basis. On derecognition, cumulative gains or losses previously recognized in
OCI are reclassified from OCI to profit or loss.
Equity instruments at FVOCI
Upon initial recognition, the Group elected to classify irrevocably its equity investments, other than subsidiaries, joint ventures and
associates as equity instruments at FVOCI with no recycling of gains or losses on profit or loss on derecognition. This decision is
made on an investment-by-investment basis for each investment and essentially covers strategic investments that are not fully
consolidated.
Gains and losses on these equity instruments are never recycled to profit or loss. Dividends are recognized in profit or loss as other
operating income when the right of the payment has been established, except when the Bank benefits from such proceeds as a
recovery of part of the cost of the instrument, in which case, such gains are recorded in OCI. Equity instruments at FVOCI are not
subject to an impairment assessment.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

20

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Debt issued and other borrowed funds
After initial measurement, debt issued and other borrowed funds are subsequently measured at amortized cost. Amortized cost is
calculated by taking into account any discount or premium on issue funds and costs that are an integral part of the EIR.
Financial assets and financial liabilities at fair value through profit or loss
Financial assets and financial liabilities in this category are those that are not held for trading and have been either designated by
management upon initial recognition or are mandatorily required to be measured at fair value. Management only designates an
instrument at FVTPL upon initial recognition when one of the following criteria is met.
Such designation is determined on an instrument-by-instrument basis:
– The designation eliminates, or significantly reduces, the inconsistent treatment that would otherwise arise from
measuring the assets or liabilities or recognizing gains or losses on them on a different basis;
– The liabilities are part of a group of financial liabilities which are managed and their performance evaluated on a fair
value basis, in accordance with a documented risk management or investment strategy;
– The liabilities containing one or more embedded derivatives, unless they do not significantly modify the cash flows that
would otherwise be required by the contract, or it is clear with little or no analysis when a similar instrument is first
considered that separation of the embedded derivative(s) is prohibited.
Financial assets and financial liabilities at FVTPL are recorded in the statement of financial position at fair value. Changes in fair
value are recorded in profit or loss with the exception of movements in fair value of liabilities designated at FVTPL due to changes
in the Bank’s own credit risk. Such changes in fair value are recorded in the Own credit reserve through OCI and do not get recycled
to the profit or loss.
Dividend income from equity instruments measured at FVTPL is recorded in profit or loss as other operating income when the
right to the payment has been established.
Financial guarantees, letters of credit and undrawn loan commitments
The Bank issues financial guarantees, letters of credit and loan commitments. Financial guarantees are initially recognized in the
financial statements (within Provisions) at fair value, being the premium received. Subsequent to initial recognition, the Bank’s
liability under each guarantee is measured at the higher of the amount initially recognized less cumulative amortization
recognized in the income statement, and an ECL provision.
The premium received is recognized in the income statement in Net fees and commission income on a straight line basis over the
life of the guarantee. The nominal contractual value of financial guarantees, letters of credit and undrawn loan commitments,
where the loan agreed to be provided is on market terms, are not recorded on in the statement of financial position.
(v)Recognition
The Group initially recognizes financial assets and liabilities at fair value, on initial recognition date. This is the date at which the
Group becomes a party to the contractual provisions of the instrument.
Initial recognition date is important given that:
– benchmark test should be performed at the initial recognition;
– it is the date on which the classification assessment is performed (i.e.: the contractual characteristics at this date will
trigger the classification and measurement of an exposure);
– the credit risk variation is measured from initial recognition. Therefore, the assessment whether there was an increase /
significant deterioration in credit risk at each reporting date is performed compared to the conditions existing at initial
recognition date;
– at the initial recognition the POCI assessment is performed – hence the Bank will recognise a POCI asset if the client is in
default at the initial recognition date;
– at the initial recognition date the exposure needs to be recognised at fair value and the EIR or credit adjusted EIR is
calculated.
The origination date is different from the initial recognition date when subsequent to origination, the contract can be significantly
modified through either a commercial renegotiation or a restructuring operation.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

21

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

(vi)Derecognition
Derecognition is the term used for the removal of an asset or liability from the balance sheet. Derecognition appears when:
– the rights to the cash flows from the asset expire,
– the rights to the cash flows from the asset and substantially all risks and rewards of ownership of the asset are
transferred, or
– an obligation to transfer the cash flows from the asset is assumed and substantially all risks and rewards are
transferred.
If the entity retains control of the asset and does not retain or transfer substantially all the risks and rewards of ownership, the
transferred asset is recognised to the extent of the entity’s continuing involvement.
A financial liability is removed from the balance sheet only when it is extinguished – i.e. when the obligation specified in the
contract is discharged or cancelled, or expires. A transaction is accounted for as a collateralised borrowing if the transfer does not
satisfy the conditions for derecognition.
When assessing whether or not to derecognise a loan to a customer due to a modification in terms and conditions, amongst
others, the Group considers the following factors:
• Change in currency of the loan;
• Change in reimbursement schedule (e.g. extension of the remaining term of 50% and more than 2 years);
• Prolongation at contractual maturity / increase / decrease in an existing loan facility under market conditions;
• Introduction or elimination of a clause that would result in different classification.
In case the modification of terms and conditions does not result in derecognition, the Group records a modification gain or loss, to
the extent that an impairment loss has not already been recorded.
Modification of financial assets
A financial asset is derecognized on account of a modification if the underlying contract is modified substantially. In accordance
with Group policies, terms are substantially modified if the discounted present value of the cash flows under the new terms using
the original effective interest rate differs by at least 10% from the discounted present value of the remaining cash flows of the
original financial asset (present value test). In addition to the present value test further quantitative and qualitative criteria are
considered in order to assess whether a substantial modification applies. The other quantitative criteria primarily consider the
extension of the average remaining term. Stage 3 loans are often restructured to match the maximum expected payments from
the customer. If this is the case, then additional judgement is required to determine whether the contractual change is a new
instrument in economic terms. The Group has defined qualitative criteria for a significant change in the terms of the contract as a
change in the underlying currency and also the introduction of clauses that would normally cause the contractual cash flow
criteria according to IFRS 9 to fail, or a change in the type of instrument (e.g. a bond is converted to a loan).
(vii) Offsetting
Financial assets and liabilities are set off and the net amount presented in the consolidated and separate statement of financial
position when, and only when, the Group has a legal right to set off the amounts and intends either to settle on a net basis or to
realize the asset and settle the liability simultaneously.
Income and expenses are presented on a net basis only when permitted by the accounting standards, or for gains and losses
arising from a group of similar transactions such as in the Group’s trading activity.
(viii)Fair value measurement
Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between
market participants at the measurement date in the principal or, in its absence, the most advantageous market to which the
Group has access at that date. The fair value of a liability reflects the effect of non-performance risk.
All estimates and judgments used in fair value measurement are described in Note 6. Unquoted equity instruments for which there
is no active market shall be valued using Level 2 or Level 3 valuation techniques.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

22

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

(ix) Identification and measurement of impairment
Bank is recording the allowance for expected credit losses for all loans and other debt financial assets not held at FVTPL, together
with loan commitments and financial guarantee contracts, in this section all referred to as “financial instruments”.
The ECL allowance is based on the credit losses expected to arise over the life of the asset (the lifetime expected credit loss or
LTECL), unless there has been no significant increase in credit risk since origination, in which case, the allowance is based on the 12
months’ expected credit loss (12mECL). Both LTECLs and 12mECLs are calculated on either an individual basis or a collective basis,
depending on the nature of the underlying portfolio of financial instruments.
The Bank has established a policy to perform an assessment, at the end of each reporting period, of whether a financial
instrument’s credit risk has increased significantly since initial recognition, by considering the change in the risk of default
occurring over the remaining life of the financial instrument.
Based on the above process, the Bank groups its loans into Stage 1, Stage 2, Stage 3 and POCI, as described below:
• Stage 1: essentially includes all financial instruments whose credit default risk has not significantly increased since their
initial recognition. On initial recognition of loans, the Bank records an impairment in the amount of the expected twelve-
month loss. Stage 1 also includes loans where the credit risk improved and which have thus been reclassified from Stage
2.
• Stage 2: financial instruments whose credit risk has significantly increased since their initial recognition and which, as at
the reporting date, are not classified as transactions with limited credit risk. Impairments in Stage 2 are recognized in
the amount of the financial instrument’s lifetime expected credit loss. Stage 2 also includes loans where the credit risk
improved and which have thus been reclassified from Stage 3.
• Stage 3: includes financial instruments which are classified as impaired as at the reporting date. Group’s criterion for
this classification is the definition of a default. The expected credit loss over the entire remaining lifetime of the financial
instrument is also to be used as the basis for recognizing impairment of Stage 3 loans in default.
• POCI: Purchased or originated credit-impaired assets are financial assets which were already impaired at the time of
initial recognition. On initial recognition, the asset is recorded at fair value without any impairment, using an effective
interest rate that is adjusted for creditworthiness. The impairment recognized in subsequent periods equals the
cumulative change in the lifetime expected credit loss of the financial instrument since the initial recognition in the
statement of financial position. This remains the basis for measurement, even if the value of the financial instrument
has risen.
Measurement of Expected Credit Losses
The measurement of expected credit losses reflects an unbiased and probability-weighted amount that is determined by
evaluating a range of possible outcomes, the time value of money and reasonable and supportable information that is available
without undue cost or effort at the reporting date about past events, current conditions and forecasts of future economic
conditions.
The measurement of the expected credit loss allowance for financial assets measured at amortised cost and fair value through
other comprehensive income is an area that requires the use of complex models and significant assumptions about future
economic conditions and credit behaviour. Significant judgements are required in applying the accounting requirements for
measuring expected credit losses these are:
• Determining criteria for significant increase in credit risk;
• Choosing appropriate models and assumptions for the measurement of expected credit losses;
• Establishing the number and relative weightings of forward-looking scenarios for each type of product/market and the
associated expected credit losses;
• Establishing groups of similar financial assets for the purposes of measuring expected credit losses.
Credit risk comes from the risk of suffering financial loss, should any of our customers, clients or market counterparties fail to fulfil
their contractual obligations to the Group. Credit risk arises mainly from interbank, commercial and consumer loans and advances,
and loan commitments arising from such lending activities, but can also arise from credit enhancement provided, such as,
financial guarantees, letters of credit, and acceptances.
The Group is also exposed to other credit risks arising from investments in debt securities and other exposures arising from its
trading activities (‘trading exposures’) including non-equity trading portfolio assets and derivatives as well as settlement balances
with market counterparties and reverse repurchase agreements.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

23

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The estimation of credit exposure for risk management purposes is complex and requires the use of models, as the exposure
varies with changes in market conditions, expected cash flows and the passage of time. The assessment of credit risk of a
portfolio of assets entails further estimations as to the likelihood of defaults occurring, of the associated loss ratios and of default
correlations between counterparties. The mechanics of the ECL calculations are outlined below and the key elements are, as
follows:
• PD The Probability of Default represents the likelihood of a borrower defaulting on its financial obligation either over the
next twelve months or over the remaining lifetime of the obligation.
Different models have been used to estimate the default profile of outstanding lending amounts and these can be grouped into
the following categories:
– Sovereign, local and regional governments, insurance companies and collective investments undertaking: The default
profile is generated using a transition matrix approach;
– Corporate customers, project finance and financial institutions: The default profile is generated using a parametric
survival regression approach;
– Retail lending: The default profile is generated using parametric survival regression in competing risk frameworks.
Forward-looking information is also incorporated into the probability of default in all models described above.
• EAD The Exposure at Default is an estimate of the exposure at a future default date, taking into account expected
changes in the exposure after the reporting date, including repayments of principal and interest, whether scheduled by contract
or otherwise, expected drawdowns on committed facilities, and accrued interest from missed payments.
Exposure at default is based on the amounts the Group expects to be owed at the time of default, over the next 12 months or
over the remaining lifetime. The 12-month and lifetime EADs are determined based on the expected payment profile, which varies
by product type. For amortising products and bullet repayment loans, this is based on the contractual repayments owed by the
borrower over a 12-month or lifetime basis, where relevant early repayment/refinance assumptions are also considered in the
calculation.
For revolving products, the exposure at default is predicted by taking current drawn balance and adding a credit conversion
factor which allows for the expected drawdown of the remaining limit by the time of default. In the limited circumstances where
some inputs are not fully available benchmarking of inputs is used for the calculation.
• LGD The Loss Given Default is an estimate of the loss arising in the case where a default occurs at a given time. It is
based on the difference between the contractual cash flows due and those that the lender would expect to receive, including
from the realisation of any collateral. It is usually expressed as a percentage of the EAD.
Different models have been used to estimate the loss given default of outstanding lending amounts and these can be grouped
into the following categories:
– Sovereign: the loss given default is found by using market implied sources.
– Corporate customers, project finance, financial institutions, local and regional governments, insurance companies: the
loss given default is generated by discounting cash flows collected during the workout process. Forward-looking
information is incorporated into the loss given default using the Vasicek model.
– Retail mortgages and other retail lending: the loss given default is generated by stripping the downturn adjustments
and other margins of conservatism from the regulatory loss given default. Forward-looking information is incorporated
into the loss given default using various satellite models.
In the limited circumstances where some inputs are not fully available alternative recovery models, benchmarking of inputs and
expert judgement is used for the calculation.
When estimating the ECLs, the Bank considers multiple scenarios. Each of these is associated with different PDs, EADs and LGDs.
When relevant, the assessment of multiple scenarios also incorporates how defaulted loans are expected to be recovered,
including the probability that the loans will cure and the value of collateral or the amount that might be received for selling the
asset.
With the exception of credit cards and other revolving facilities, the maximum period for which the credit losses are determined is
the contractual life of a financial instrument unless the Bank has the legal right to call it earlier.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

24

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The mechanics of the ECL method are summarized below:
• Stage 1: The 12mECL represents the ECLs that result from default events on a financial instrument that are possible within
the 12 months after the reporting date. The Bank calculates the 12mECL allowance based on the expectation of a default
occurring in the 12 months following the reporting date. These expected 12-month default probabilities are applied to a
forecast EAD and multiplied by the expected LGD and discounted by an approximation to the original EIR. This calculation is
made for each of the multiple scenarios, as explained above.
• Stage 2: When a loan has shown a significant increase in credit risk since origination, the Bank records an allowance for the
LTECLs. The mechanics are similar to those explained above, including the use of multiple scenarios, but PDs and LGDs are
estimated over the lifetime of the instrument. The expected cash shortfalls are discounted by an approximation to the
original EIR.
• Stage 3: For loans considered credit-impaired, the Bank recognizes the lifetime expected credit losses for these loans.
Non-retail:
There are several cash flows scenarios used (undergoing concern and/or gone concern strategy) for NPV assessment within the
stage 3 provisions calculation. For the exposures where previously stage 3 provisions were not allocated and where following the
assessment of impairment triggers a loss event occurs, a NPV test has to be performed for these exposures to measure the
quantity of the loss.
Several scenarios can be used for assessment and computation of stage 3 provisions, nevertheless minimum. two scenarios shall
be applied, of which one scenario must be a gone concern scenario. Probabilities for each scenario have to be assigned according
to the likelihood of each scenario.
For going concern scenario, the main source of recovery is the cash flow resulted from company activity (backed by financial
statements, forecasts, etc) and additional sources if documented/plausible (voluntary sale of non- core assets, refinancing, etc).
For gone concern scenario, realization of collateral is the main source of cash flows (based on internally adjusted value of the
collateral and deducting the expected realization costs); no operating cash flows is considered.
If a financial instrument was credit impaired at initial recognition (POCI), the ECLs must be discounted using a credit adjusted
effective interest rate determined at initial recognition (CAEIR).
Retail:
For Retail exposures, the Bank calculates the ECL using the Best Estimate of Expected Loss (BEEL) model applied on exposure at
calculation. (ECL = Exposure x BEEL).
BEEL models take into account historic recoveries for defaulted accounts (cash recoveries, collateral realization or other forms of
recoveries).
• POCI assets are financial assets that are credit impaired on initial recognition. The Bank only recognizes the cumulative
changes in lifetime ECLs since initial recognition, based on a probability-weighting of the four scenarios, discounted by the credit
adjusted EIR.
• Loan commitments and letters of credit: when estimating LTECLs for undrawn loan commitments, the Bank
estimates the expected portion of the loan commitment that will be drawn down over its expected life. The ECL is then based on
the present value of the expected shortfalls in cash flows if the loan is drawn down, based on a probability-weighting of the
scenarios. The expected cash shortfalls are discounted at an approximation to the expected EIR on the loan. For credit cards and
revolving facilities that include both a loan and an undrawn commitment, ECLs are calculated and presented together with the
loan. For loan commitments and letters of credit, the ECL is recognised within Provisions.
• Financial guarantee contracts: the Bank’s liability under each guarantee is measured at the higher of the amount
initially recognized less cumulative amortization recognized in the income statement, and the ECL provision. For this purpose, the
Bank estimates ECLs based on the present value of the expected payments to reimburse the holder for a credit loss that it incurs.
The shortfalls are discounted by the risk-adjusted interest rate relevant to the exposure. The calculation is made using a
probability-weighting of the scenarios. The ECLs related to financial guarantee contracts are recognized within Provisions (note 3
t).

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

25

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Debt instruments measured at fair value through OCI
The ECLs for debt instruments measured at FVOCI do not reduce the carrying amount of these financial assets in the consolidated
statement of financial position, which remains at fair value. Instead, an amount equal to the allowance that would arise if the
assets were measured at amortized cost is recognised in OCI as an accumulated impairment amount, with a corresponding
charge to profit or loss. The accumulated loss recognised in OCI is recycled to the profit or loss upon derecognition of the assets.
Purchased or originated credit impaired financial assets (POCI)
For POCI financial assets, the Bank only recognises the cumulative changes in ECL since initial recognition in the loss allowance.
Significant Increase in Credit Risk
The Group considers a financial instrument to have experienced a significant increase in credit risk when one or more of the
following quantitative, qualitative or backstop criteria have been met:
• Quantitative Criteria
The Group uses quantitative criteria as the primary indicator of significant increase in credit risk for all material portfolios. For
quantitative staging the Group compares the lifetime PD curve at measurement data with the forward lifetime PD curve at the
date of initial recognition. For the estimation of the lifetime PD curve at the date of initial recognition assumptions are made
about the structure of the PD curve. On the one hand in the case of highly rated financial instruments it is assumed that the PD
curve will deteriorate over time. On the other hand for low rated financial instruments it is assumed that the PD curve will improve
over time. The degree of improvement or deterioration will depend on the level of the initial rating.
In order to make the two curves comparable the PDs are scaled down to annualized PDs. In general a significant increase in credit
risk is considered to have occurred with a relative increase of up to 250% in the initial PD although this amount can be lower due
to several limiting factors such as closeness to maturity and portfolios of products.
The Group is not aware of any generally accepted market practice for the level at which a financial instrument has to be
transferred to Stage 2. However, the Group is constantly monitoring on portfolio level what is the appropriate level and adjust if
there is clear evidence that a different value is better reflecting the significant increase in risk.
• Qualitative Criteria
The Group uses qualitative criteria in addition to quantitative criteria to recognise a significant increase in credit risk for all
material portfolios. A movement to Stage 2 takes place when the criteria below are met.
For sovereign, bank, corporate and project finance portfolios, if the borrower meets one or more of the following criteria:
– Detection of first signs of credit deterioration in the early warning system;
– External risk factors with potentially significant impact on the client's repayment ability;
– Changes in contract terms as a forbearance measure;
– Expert judgement.
The assessment of significant increase in credit risk incorporates forward-looking information and is performed on a quarterly
basis at a deal level for all non-retail portfolios held by the Group.
For retail portfolios, if the borrower meets one or more of the following criteria:
– Forbearance, which refers to concessions made to the borrower by the lender, for economic or contractual reasons
when the borrower is experiencing financing difficulties, but which the lender would not otherwise grant;
– Expert judgement.
The assessment of significant increase in credit risk incorporates forward-looking information and is performed on a monthly
basis at a deal level for all retail portfolios held by the Group.
Backstop
A backstop is applied on the financial instrument considered to have experienced a significant increase in credit risk if the
borrower is more than 30 days past due on its contractual payments. At the same time, the Group adhered to the rebuttable
presumption that the credit risk on a financial asset has increased significantly since initial recognition when contractual
payments are more than 30 days past due.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

26

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Definition of Default and Credit-Impaired Assets
The Group’s default definition complies with the guidelines on the definition of default published by the European Banking
Authority (EBA/GL/2016/07).
The Group defines a financial instrument as in default, which is fully aligned with the definition of credit-impaired, when it meets
one or more of the following criteria:
• Quantitative Criteria
The borrower is more than 90 days past due on its contractual payments and no attempt is made to rebut the presumption that
financial assets which are more than 90 days past due are to be shown in Stage 3.
• Qualitative Criteria
The borrower meets unlikeliness to pay criteria, which indicates the borrower is in significant financial difficulty. These are
instances where:
– The borrower is deceased;
– The borrower is insolvent;
– The borrower is in breach of financial covenants;
– The borrower is in default on other Group exposures, due to contamination effect;
– An active market for that financial asset has disappeared because of financial difficulties;
– Concessions have been made by the lender relating to the borrower’s financial difficulty;
– It is becoming probable that the borrower will enter bankruptcy;
– Financial assets are purchased or originated at a significant discount that reflects the incurred credit losses.
The criteria above have been applied to all financial instruments held by the Group and are consistent with the definition of
default used for internal credit risk management purposes. The default definition has been applied consistently to model the
Probability of Default (PD), Exposure at Default (EAD) and Loss given Default (LGD) throughout the Group’s expected loss
calculations.
An instrument is considered to no longer be in default (i.e. to have cured) when it no longer meets any of the default criteria for a
consecutive period of a minimum of 3 months or longer for distressed restructured exposures. This period of 3 months has been
determined based on an analysis which considers the likelihood of a financial instrument returning to default status after cure
using different possible cure definitions.
Forward Looking Information
The assessment of significant increase in credit risk and the calculation of expected credit losses both incorporate forward-
looking information. The Group has performed historical analysis and identified the key economic variables impacting credit risk
and expected credit losses for each portfolio.
These economic variables and their associated impact on the probability of default, loss given default and exposure at default
vary by category type. Expert judgment has also been applied in this process.
Forecasts of these economic variables (the “base economic scenario”) are provided by Raiffeisen Research on a quarterly basis
and provide the best estimate view of the economy over the next three years. After three years, to project the economic variables
out for the full remaining lifetime of each instrument, a mean reversion approach has been used, which means that economic
variables tend to either a long run average rate or a long run average growth rate until maturity. The impact of these economic
variables on the probability of default, loss given default and exposure at default has been determined by performing statistical
regression to understand the impact changes in these variables have had historically on default rates and on the components of
loss given default and exposure at default.
In addition to the base economic scenario, Raiffeisen Research also provides a best case and worst case scenario along with
scenario weightings to ensure non-linearities are captured. The Group has concluded that three scenarios appropriately captured
non-linearity. The scenario weightings are determined by a combination of statistical analysis and expert credit judgement, taking
account of the range of possible outcomes each chosen scenario is representative of. The probability-weighted expected credit
losses are determined by running each scenario through the relevant expected credit loss model and multiplying it by the
appropriate scenario weighting.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

27

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

As with any economic forecasts, the projections and likelihoods of occurrence are subject to a high degree of inherent uncertainty
and therefore the actual outcomes may be significantly different to those projected. The Group considers these forecasts to
represent its best estimate of the possible outcomes and cover any potential non-linearities and asymmetries within the Group’s
different portfolios.
Sensitivity analysis
The most significant assumptions affecting the expected credit loss allowance are as follows:
• Non retail portfolios
• Gross domestic product
• Interest rate.
• Retail portfolios
• Gross domestic product
• Exchange rate EUR/RON
• ROBOR 3M
• Unemployment rate.
For details regarding the results of the sensitivity analysis performed, refer to Note 6.
Discount Factor
In general for on balance sheet exposure which is not POCI the discount rate used in the expected credit loss calculation is the
effective interest rate or an approximation thereof.
Collateral valuation
To mitigate its credit risks on financial assets, the Bank seeks to use collateral, where possible. The collateral comes in various
forms, such as cash, securities, letters of credit/guarantees, real estate, receivables, inventories, other non-financial assets and
credit enhancements such as netting agreements. Collateral, unless repossessed, is not recorded on the Bank’s statement of
financial position.
However, the fair value of collateral affects the calculation of ECLs. It is assessed at inception and re-assessed on an annual basis.
To the extent possible, the Bank uses active market data for valuing financial assets held as collateral. Other financial assets
which do not have readily determinable market values are valued using models. Non-financial collateral, such as real estate, is
valued based on data provided by third parties such as mortgage brokers, or based on housing price indices.
Write-offs
In case the Bank does not have reasonable expectations for the partial or full recovery of its financial assets, these are written off
and monitored from off-balance. The Bank keeps its contractual rights over its financial assets, but from economic perspective
there is no reasonable expectations of further recovery. Write off takes place after the assets have been fully provisioned, this
representing a derecognition event.
k) Hedge Accounting
The Group has elected, to continue to apply hedge accounting in accordance with IAS 39.
The Group applies micro and macro fair value hedge. The Group’s hedging objective refers explicitly to the interest rate risk
exposure due to shifts in the corresponding benchmark rate.
At inception, the Group formally documents how the hedging relationship meets the hedge accounting criteria, including the
nature of the risk, the risk management objective and strategy for undertaking the hedge and the method that will be used to
assess the effectiveness of the hedging relationship at inception and on an ongoing basis. In order to qualify for hedge
accounting, a hedge relationship must be expected to be highly effective on a prospective basis and it needs to be demonstrated
that it was highly effective in the previous designated period (i.e., one month).
A hedge is considered to be highly effective if the changes in fair value or cash flows attributable to the hedged risk are expected
to be offset by the hedging instrument in a range of 80% to 125%. It is also necessary to assess, retrospectively, whether the
hedge was highly effective over the previous one month period. The hedge accounting documentation includes the method and
results of the hedge effectiveness assessments.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

28

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Prospective and retrospective effectiveness tests are conducted using the quantitative method of dollar offset. This consists in
computing the ratio of the change in the clean, cumulated fair value of the hedging instrument to the change in the clean,
cumulated fair value of the hedged item attributable to the hedged risk.
Hedge accounting ceases prospectively when any of the following events occur:
• the hedge no longer meets the hedge accounting criteria (for example it is no longer highly effective or its effectiveness
is no longer measurable);
• the hedged item is sold or settled;
• the hedging instrument expires or is sold, terminated or exercised;
• the management decides to revoke the designation;
If a hedging relationship no longer meets the hedge effectiveness criteria or fails the materiality threshold mentioned above,
hedge accounting ceases from the last date on which the hedge was considered to be effective, which will be the beginning of
the period in which the hedge ceased to meet the effectiveness criteria or exceeded the materiality threshold.
If the entity determines that a certain event, change in circumstances/market disruption caused the hedging relationship to fail
the effectiveness tests and demonstrates that the hedge was effective before the event or change in circumstances occurred,
hedge accounting ceases from the date of the event or change in circumstances.
After derecognition of the hedging relationship, the future fair value changes of the derivative are further recognized in profit or
loss under “Trading income”, whereas the hedged item will be accounted for as it was before the hedging designation, without
applying the hedge accounting rules. For the items for which the effective interest method is used, the previous hedging
adjustments are amortized to profit or loss over the remaining life of the hedged item.
l) Cash and cash equivalents
For the purposes of the cash flow statement, cash and cash equivalents comprise: cash balances on hand, current accounts and
other placements with the National Bank of Romania, nostro accounts and placements with other banks which have a short
maturity of three months or less from the date of acquisition.
m) Property, plant and equipment
Recognition and measurement
Items of property, plant and equipment are measured at cost less accumulated depreciation and impairment losses. Costs include
expenditures that are directly attributable to the acquisition of an asset. The cost of self-constructed assets includes the cost of
materials and direct labour, any other costs directly attributable to bringing the asset to a working condition for its intended use,
and the costs of dismantling and removing the items and restoring the site on which they are located. Purchased software that is
integral to the functionality of the related equipment is capitalized as part of that equipment.
The costs with maintenance of property, plant and equipment are recognized in profit or loss account as they incur. Expenses
generated by replacing a component of a property, plant and equipment item, including major repairs, are capitalized, if improve
the future performance of the property, plant and equipment item.
Depreciation
Depreciation is recognized in profit or loss on a straight-line basis over the estimated useful lives of each item.
The estimated useful lives are as follows:

Buildings | 50 years
Office equipment and furniture | 5 years
Motor vehicles | 5 years
Computer equipment | 4 years

Depreciation methods, useful life and residual values are reassessed at each reporting date and adjusted if appropriate.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

29

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

n) Intangible assets
Software
Software acquired by the Group is stated at cost less accumulated amortization and accumulated impairment losses.
Expenditure on internally developed software is recognized as an asset when the Group is able to demonstrate its intention and
ability to complete the development and use the software in a manner that will generate future economic benefits and can
reliably measure the costs to complete the development. The capitalized costs of internally developed software include all costs
directly attributable to developing the software and are amortized over its useful life.
Subsequent expenditure on software assets is capitalized only when it increases the future economic benefits embodied in the
specific asset to which it relates.
All other expenditure is expensed as incurred. Amortization is recognized in profit or loss on a straight line basis over the estimated
useful life of the software, from the date that it is available for use. The estimate useful life of software is between 1 and 8 years.
Amortization methods, useful life and residual values are reassessed at each reporting date and adjusted if appropriate.
o) Leased assets
Lessee: The Group recognises right-of-use assets at the commencement date of the lease (i.e., the date the underlying asset is
available for use). Right-of-use assets are measured at cost, less any accumulated depreciation and impairment losses, and
adjusted for any remeasurement of lease liabilities. The cost of right-of-use assets includes the amount of lease liabilities
recognised, initial indirect costs incurred and lease payments made at or before the commencement date less any incentives
received. Right-of-use assets are depreciated on a straight line basis over the lease term.
Leased assets are depreciated over the shorter of the lease term and their useful lives. Land is not depreciated.
The right-of-use assets are presented in statement of financial position under “Property, equipment and right-of-use assets”
and within note 30 and are subject to impairment in line with Group’s policy as described in note 3 p) Impairment of non-
financial assets.
Lessor: The Group acts as lessor in contract through which substantially all the risks and rewards of ownership are transferred to
the lessee. These contracts are classified as finance leases and a receivable equal to the present value of minimum lease
payments is recognized in the consolidated financial statements. Leases in which the Group does not transfer substantially all the
risks and rewards incidental to ownership of an asset are classified as operating leases. Rental income is accounted for on a
straight-line basis over the lease term and is included in revenue in the statement of profit or loss under “Other operating income”.
p) Impairment of non-financial assets
The carrying amounts of the Group’s non-financial assets, other than deferred tax assets, are reviewed at each reporting date to
determine whether there is any indication of impairment. If any such indication exists then the asset’s recoverable amount is
estimated.
An impairment loss is recognized if the carrying amount of an asset or its cash-generating unit exceeds its recoverable amount.
A cash-generating unit is the smallest identifiable group of assets that generates cash flows that largely are independent from
other assets or groups of assets. Impairment losses are recognized in profit or loss.
Impairment losses recognized in respect of cash-generating units are allocated first to reduce the carrying amount of any
goodwill allocated to the cash-generating unit and then to reduce the carrying amount of the other assets of the cash-
generating unit, on a pro rata basis.
The recoverable amount of an asset or cash-generating unit is the greater of its value in use and its fair value less costs to sell. In
assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that
reflects current market assessments of the time value of money and the risks specific to the asset.
Impairment losses recognized in prior periods are assessed at each reporting date. An impairment loss is reversed, except for
those allocated to goodwill, if there has been a favourable change in the estimates used to determine the recoverable amount.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

30

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

q) Deposits from customers, loans from banks, debt securities issued, subordinated liabilities and other
equity instruments
Deposits from customers, loans from banks, debt securities issued, subordinated liabilities and other equity instruments are the
Group’s sources of funding.
The Group classifies issued financial instruments as financial liabilities or equity instruments in accordance with the substance of
the contractual terms of the instrument.
Deposits from customers, loans from banks, debt securities issued and subordinated liabilities are initially measured at fair value
plus transaction costs, and subsequently measured at their amortized cost using the effective interest method.
Other equity instruments are comprised of subordinated unsecured instruments notes issued by the Group that are classified as
equity instruments (refer to Note 42). At initial recognition the instruments are booked at nominal amount less transaction costs
directly attributable to the instruments. The instruments are kept in functional currency, its value being the amount in foreign
currency multiplied by the exchange rate applicable at transaction date. Subsequently they are maintained in functional currency,
without being revaluated, as the instruments represent non-monetary elements. Distributions from principal are paid from
distributable profits and represent dividends. In case the Group requires redemption, the payment is made in original currency, at
the exchange rate available at the payment date. If a decision for redemption is made, the instruments are reclassified as
financial liabilities. Also, in case distributions are made during the period in which the instruments are classified as liabilities, such
distributions represent interest expense for the Group. In case of write down, the amount is booked directly in equity.
r) Employee benefits
Short-term benefits
Short-term employee benefits are employee benefits (other than termination benefits) that are expected to be paid in full within
twelve months from the annual reporting period in which the employees provide the service in question.
The short-term benefits of the employees include: indemnities, salaries, social security contribution. These are recognized as
expenses as the services are provided.
A provision is recognised for amounts expected to be paid as short-term cash premiums or profit-sharing schemes for staff when
the Group has a legal or constructive obligation to pay those sums as a result of past services provided by employees and
whether that obligation can be reliably estimated.
Post-employment benefits
Post-employment benefits are employee benefits (other than termination benefits or short-term benefits) that are payable after
the end of the employment contract.
Post-employment benefit plans are classified either as defined contribution plans or as defined benefit plans, depending on the
economic substance of the plan, as arising from its main terms and conditions.
• Defined benefit plans
In case of retirement, the Bank offers to the respective employees a number of salaries, depending on the service period. This
obligation is foreseen in the collective labour contract. The Bank’s net obligation regarding the defined benefit plan represents the
sum of the future benefits that the employees have earned in exchange for their activity in the current period as well as in
previous periods. None of these benefits is financed through an asset plan.
The value of defined benefit obligations is calculated using actuarial valuation, using the "projected credit unit method". Actuarial
valuation involves making assumptions about discount rates, future salary increases, legal retirement age and mortality rates.
Due to the long term of these plans, such estimates are exposed to uncertainty. The hypotheses, estimates and sensitivity used
for the calculations regarding the obligations regarding the determined benefits, as well as the related amounts are presented in
note 36.
The Bank calculates the present value of the defined benefit obligation as the present value of future payments necessary to
settle the obligation resulting from employee service in the current and prior periods.
For the determination of the amounts to be recognized in other comprehensive income, the Banks takes into account the
followings: the cost of the current service representing the additional rights granted to each employee, the cost of any past
service and the gain or loss on settlement and net interest on the net defined benefit liability.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

31

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The revaluation of the net defined benefit liability is recognised in other comprehensive income. Revaluations of the net defined
benefit liability (asset) recognised in other comprehensive income is not reclassified to profit or loss in a subsequent period.
However, the Bank may transfer those amounts recognised in other comprehensive income to equity.
This includes actuarial gains and losses such as: differences resulting from changes in the calculation assumptions (early
retirements, discount rates, etc.) and/ or differences between actuarial assumptions and actual performance.
• Defined contribution plans
Obligations for contributions to defined contribution pension plans are recognized as an expense in the statement of
comprehensive income as incurred.
The Group, in the normal course of business makes payments to the Romanian State funds on behalf of its Romanian employees
for pension (Pillar 2), health care and unemployment benefit. All employees of the Group are members and are also legally obliged
to make defined contributions (included in the social security contributions) to the Romanian State pension plan (a State defined
contribution plan). All relevant contributions to the Romanian State pension plan are recognized as an expense in the consolidated
statement of comprehensive income as incurred. The Group does not have any further obligations.
Both the Group and its employees are obliged by law to contribute to social security contribution, through the National Pension
Fund managed by the National House of Pensions and Social Insurance in Romania (a contribution plan financed on the basis of
withholding taxes). The Group and the Bank have no legal or implied obligation to pay future benefits. The only obligation of the
Bank is to pay the contributions when they become due.
If the members insured under the Social Insurance and Pensions plan cease to be employees of the Group or its subsidiaries, the
Group has no obligation to pay them the benefits which were paid during the years in which they were employed. The
contributions of the Group and of the Bank are recorded in the expense accounts regarding the salaries and assimilated expenses.
t) Provisions
A provision is recognized in consolidated financial position if, as a result of a past event, the Group has a present legal or
constructive obligation that can be estimated reliably and it is probable that an outflow of economic benefits will be required to
settle the obligation. Provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects
current market assessments of the time value of money and, where appropriate, the risks specific to the liability. Provisions
include provisions for pending legal issues, provisions for un-drawn commitments and other provisions.
u) Taxes
Income tax policy is described in Note 3 i). The Group recognizes its liabilities related to the deposit insurance fee and resolution
fund fee in accordance to IFRIC Interpretation 21, "Levies".
The liability to pay these levies is recognized when they become constructive. For the deposit insurance fee and resolution fund
fee, the obligation arises annually on January 1, as the Bank performs activities related to deposits received.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

32

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

4. STANDARDS, INTERPRETATIONS AND AMENDMENTS TO PUBLISHED INTERNATIONAL FINANCIAL REPORTING
STANDARDS
New and amended IFRS Accounting Standards that are effective for the current year
In the current year, the Group has applied a number of amendments to IFRS Accounting Standards issued by the International
Accounting Standards Board (IASB) and adopted by the EU that are mandatorily effective for reporting period that begins on or
after 1 January 2024. Their adoption has not had any material impact on the disclosures or on the amounts reported in these
financial statements:

Standard | Title
Amendments to IAS 1 | Classification of Liabilities as Current or Non-Current and Non-current Liabilities with Covenants
Amendments to IAS 7 and IFRS 7 | Supplier Finance Arrangements
Amendments to IFRS 16 | Lease Liability in a Sale and Leaseback

New and revised IFRS Accounting Standards in issue and adopted by the EU but not yet effective
At the date of authorisation of these financial statements, the Group has not applied the following revised IFRS Accounting
Standards that have been issued by IASB and adopted by EU but are not yet effective:

Standard | Title | Effective date
Amendments to IAS 21 | Lack of Exchangeability | 1 January 2025

New and revised IFRS Accounting Standards in issue but not adopted by the EU
At present, IFRS as adopted by the EU do not significantly differ from IFRS adopted by the International Accounting Standards
Board (IASB) except for the following new standards and amendments to the existing standards, which were not adopted by the
EU as at the date of authorisation of these financial statements:

Standard | Title | EU adoption status
Amendments to IFRS 9 and IFRS 7 | Amendments to the Classification and Measurement of Financial Instruments (IASB effective date: 1 January 2026) | Not yet adopted by EU
Amendments to IFRS 9 and IFRS 7 | Contracts Referencing Nature-dependent Electricity (IASB effective date: 1 January 2026) | Not yet adopted by EU
Amendments to IFRS 1, IFRS 7, IFRS 9, IFRS 10 and IAS 7 | Annual Improvements to IFRS Accounting Standards - Volume 11 (IASB effective date: 1 January 2026) | Not yet adopted by EU
IFRS 18 | Presentation and Disclosures in Financial Statements (IASB effective date: 1 January 2027) | Not yet adopted by EU
IFRS 19 | Subsidiaries without Public Accountability: Disclosures (IASB effective date: 1 January 2027) | Not yet adopted by EU
IFRS 14 | Regulatory Deferral Accounts (IASB effective date: 1 January 2016) | European Commission has decided not to launch the endorsement process of this interim standard and to wait for the final standard
Amendments to IFRS 10 and IAS 28 | Sale or Contribution of Assets between an Investor and its Associate or Joint Venture and further amendments (effective date deferred by IASB indefinitely but earlier application permitted) | Endorsement process postponed indefinitely until the research project on the equity method has been concluded

The Group does not expect that the adoption of the Standards listed above will have a material impact on the financial
statements of the Group in future periods.
BRIEF DESCRIPTIONS OF NEW AND REVISED STANDARDS
• IFRS 18 Presentation and Disclosures in Financial Statements issued by IASB on 9 April 2024 will replace IAS 1
Presentation of Financial Statements. Standard introduces three sets of new requirements to improve companies’
reporting of financial performance and give investors a better basis for analysing and comparing companies. The main
changes in the new standard compared with IAS 1 comprise: (a) The introduction of categories (operating, investing,

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

33

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

financing, income tax and discontinued operations) and defined subtotals in the statement of profit or loss; (b) the
introduction of requirements to improve aggregation and disaggregation; (c) The introduction of disclosures on
Management-defined Performance Measures (MPMs) in the notes to the financial statements.
• IF RS 19 Subsidiaries without Public Accountability: Disclosures issued by IASB on 9 May 2024. Standard permits a
subsidiary to provide reduced disclosures when applying IFRS Accounting Standards in its financial statements. IFRS 19 is
optional for subsidiaries that are eligible and sets out the disclosure requirements for subsidiaries that elect to apply it.
• Amendments to IFRS 16 Leases - Lease Liability in a Sale and Leaseback issued by IASB on 22 September 2022.
Amendments to IFRS 16 require a seller-lessee to subsequently measure lease liabilities arising from a leaseback in a way
that it does not recognise any amount of the gain or loss that relates to the right of use it retains. The new requirements
do not prevent a seller-lessee from recognising in profit or loss any gain or loss relating to the partial or full termination
of a lease.
• Amendments to IAS 1 Presentation of Financial Statements - Classification of Liabilities as Current or Non-
Current issued by IASB on 23 January 2020 and Amendments to IAS 1 Presentation of Financial Statements - Non-
current Liabilities with Covenants issued by IASB on 31 October 2022. Amendments issued on January 2020 provide more
general approach to the classification of liabilities under IAS 1 based on the contractual arrangements in place at the
reporting date. Amendments issued on October 2022 clarify how conditions with which an entity must comply within
twelve months after the reporting period affect the classification of a liability and set the effective date for both
amendments to annual periods beginning on or after 1 January 2024.
• Amendments to IAS 7 Statement of Cash Flows and IFRS 7 Financial Instruments: Disclosures - Supplier Finance
Arrangement s issued by IASB on 25 May 2023. Amendments add disclosure requirements, and ‘signposts’ within existing
disclosure requirements to provide qualitative and quantitative information about supplier finance arrangements.
• Amendments to IAS 21 The Effects of Changes in Foreign Exchange Rates - Lack of Exchangeability issued by IASB
on 15 August 2023. Amendments contain guidance to specify when a currency is exchangeable and how to determine
the exchange rate when it is not.
• Amendments to IFRS 9 and IFRS 7 - Amendments to the Classification and Measurement of Financial Instruments
issued by IASB on 30 May 2024. Amendments clarify the classification of financial assets with environmental, social and
corporate governance (ESG) and similar features. Amendments also clarify the date on which a financial asset or
financial liability is derecognised and introduce additional disclosure requirements regarding investments in equity
instruments designated at fair value through other comprehensive income and financial instruments with contingent
features.
• Amendments to IFRS 9 and IFRS 7 - Contracts Referencing Nature-dependent Electricity issued by IASB on 18
December 2024. The own-use requirements in IFRS 9 are amended to include the factors an entity is required to consider
when applying IFRS 9:2.4 to contracts to buy and take delivery of renewable electricity for which the source of
production of the electricity is nature-dependent. The hedge accounting requirements in IFRS 9 are amended to permit
an entity using a contract for nature-dependent renewable electricity with specified characteristics as a hedging
instrument to designate a variable volume of forecast electricity transactions as the hedged item if specified criteria are
met and to measure the hedged item using the same volume assumptions as those used for the hedging instrument.
Amendments to IFRS 7 and IFRS 19 to introduce disclosure requirements about contracts for nature-dependent
electricity with specified characteristics.
• Amendments to IFRS 1, IFRS 7, IFRS 9, IFRS 10 and IAS 7 - Annual Improvements to IFRS Accounting Standards -
Volume 11 issued by IASB on 18 July 2024. These amendments include clarifications, simplifications, corrections and
changes in the following areas: (a) hedge accounting by a first-time adopter (IFRS 1); (b) gain or loss on derecognition
(IFRS 7); (c) disclosure of deferred difference between fair value and transaction price (IFRS 7); (d) introduction and credit
risk disclosures (IFRS 7); (e) lessee derecognition of lease liabilities (IFRS 9); (f) transaction price (IFRS 9); (g) determination of
a ‘de facto agent’ (IFRS 10); (h) cost method (IAS 7).
• IFRS 14 Regulatory Deferral Accounts issued by IASB on 30 January 2014. This standard is intended to allow entities
that are first-time adopters of IFRS, and that currently recognise regulatory deferral accounts in accordance with their
previous GAAP, to continue to do so upon transition to IFRS.
• Amendments to IFRS 10 Consolidated Financial Statements and IAS 28 Investments in Associates and Joint
Ventures - Sale or Contribution of Assets between an Investor and its Associate or Joint Venture issued by IASB on
11 September 2014. The amendments address a conflict between the requirements of IAS 28 and IFRS 10 and clarify that
in a transaction involving an associate or joint venture the extent of gain or loss recognition depends on whether the
assets sold or contributed constitute a business.
IFRS 9 grants accounting options for hedge accounting. The Group continues to apply the provisions on hedge accounting
pursuant to IAS 39 while, however, taking the changes in the disclosures in the notes pursuant to IFRS 7 into account.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

34

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

5. FINANCIAL RISK MANAGEMENT
a) Introduction and overview
The Group has exposure to the following risks from its use of financial instruments:
• Credit risk
• Liquidity risk
• Market risk
• Operational risk
This note provides details of the Group's exposure to each of the above mentioned risks, as well as Group’s policies and processes
for measuring and managing risk.
The most important types of risks to which the Group is exposed are credit risk, liquidity risk, market risk and operational risk.
Market risk includes currency risk, interest rate risk and equity price risk.
Risk management framework
The Management Board has overall responsibility for the establishment and oversight of the risk management framework. Assets
and Liabilities Committee (“ALCO”), Credit Risk Committee, Risk Management Committee and Problem Loan Committee are
responsible for developing and monitoring Group’s risk management policies in their specified areas.
All committees report regularly to the Management Board. The framework for risk management is defined in the risk strategy,
elaborated and reviewed with annual frequency. The risk profile is also annually reviewed and comprises the evaluation of all risks
considered significant. The Group’s risk management policies are established to identify and analyze the risks faced by the Group,
to set appropriate risk limits and controls and to monitor risks and compliance with the approved limits.
Risk management policies and systems are reviewed regularly to reflect changes in market conditions, products and services
offered. The Group, through its training and management standards and procedures, aims to develop a disciplined and
constructive control environment, in which all employees understand their roles and obligations. This process of risk management
is critical to the Bank’s continuing profitability and each employee within the Group is responsible for monitoring compliance with
the Group’s risk management procedures.
The Audit Committee reports to the Supervisory Board and has the responsibility to monitor the compliance with risk
management procedures. Internal Audit assists the Audit Committee in these functions. Internal Audit undertakes both regular
and ad-hoc reviews of risk management controls and procedures, the results of which are reported to the Audit Committee.
The Stress Testing exercises are a common practice in the Group. Stress tests to be performed are either locally developed or
developed and run at Raiffeisen Bank International Group level. The bank put in place a “Business stress testing concept paper”
which establishes the steps, concepts, methodologies and timelines in stress testing process. All stress tests results are analyzed
and reported to management.
b) Credit risk
i) Credit risk management
Credit risk is the risk that the Group will incur a loss because its customers or counterparties fail to discharge their contractual
obligations. The Group manages and controls credit risk by setting limits on the amount of risk it is willing to accept for individual
counterparties and for geographical and industry concentration, and by monitoring exposures in relation to such limits. The Group
is exposed to credit risk through its lending, trading and investing activities and in cases where it acts as an intermediary on
behalf of customers or other third parties, or in the situation in which it conducts financial leasing operations, or it issues
guarantees.
Credit risk associated with trading and investing activities is managed through the Group’s credit risk management process. The
risk is mitigated through selecting counterparties of good financial standings and monitoring their activities and through the use
of credit limits and when appropriate, by obtaining collateral. The Group’s primary exposure to credit risk arises through its loans
and advances to customers as well as from conduction of activities related to concluding finance lease contracts. The amount of
credit exposure in this regard is represented by the carrying amounts of the assets on the balance sheet. The Group is exposed to
credit risk on various other financial assets, including derivative instruments and debt investments, the current credit exposure in
respect of these instruments is equal to the carrying amount of these assets in the balance sheet. In addition, the Group is
exposed to off balance sheet credit risk through commitments to extend credit and guarantees. In order to minimize this risk,

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

35

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Group procedures are in place to screen the customers before granting the loans and lease contracts and to monitor their ability
to repay the principal and interest during the duration of the loans and lease contracts and to establish exposure limits.
The Management Board has delegated the responsibility for the credit risk management to the Credit Committee. A Risk Division,
reporting to the Chief Risk Officer is responsible for oversight of the Group’s credit risk, including:
• Formulating credit policies, by pursuing the target of maintaining a healthy loan portfolio, by establishing adequate
limits and defining specific lending criteria for certain products, clients categories etc.
• Establishing and implementing of procedures related to: the treatment and valuation of collaterals, periodical loan
reviews, classification and loan portfolio reporting, legal documentation related to loans and lending activity, monitoring
and treatment of nonperforming loans, ensuring compliance with the regulatory requirements.
• Establishing an authorization structure of approval and renewing of loan facilities: the authorization limits can be
settled at the individual level of certain designated risk analysts or at the Credit Committee level or at the level of the
approving entity designated at Group level. The authorization limits are stipulated in the Credit Committee and are
established on different criteria like loan amount and compliance with the credit policies.
• Evaluation and review of the credit risk take place in accordance with the authorization limits set out in the Credit
Committee as well as with the regulatory requirements.
• Limiting concentrations of exposure to counterparties, geographical areas, industries and by issuer, loan classification
category, market liquidity and country (for investment securities). The concentration risk is monitored throughout the
portfolio management activity. It is analyzed on a monthly basis through reports and presented to the personnel
involved in the lending activity as well as to the management.
• Developing and maintaining the client classification systems depending on the risk grading. Unitary client classification
systems are used at Group level depending on the client risk grading. These systems comprise both scoring and rating
methodologies. The Group performs periodical reviews of the clients’ classification systems. The risk grading measured
through the above mentioned systems stands at the base of determining the loan loss provision necessary to cover the
default risk.
• Reviewing and monitoring the compliance of business units with the limits established through the Credit Policies and
internal norms.
• Regular reports are provided to Credit Committee on loan portfolio quality and appropriate corrective actions are
proposed and implemented.
• Providing information, advice, guidance and expertise to business units in order to promote credit risk management best
practice throughout the Group.
The Group has implemented an Early Warning Signs, which is used for a monthly credit portfolio screening targeting identification
of upcoming problematic exposures as early as possible. The system is based on triggers automatically detected for each client
on monthly basis, but it is also based on ad-hoc manual input if adverse information is known.
The implementation of the credit policies and procedures is insured at the Group’s level. Each branch is obliged to respect and
implement the Group’s loan policies and procedures. Each branch is responsible for the quality and performance of its credit
portfolio. The Group has centralized processes for both credit approval and loan administration for companies and individuals,
which leads to improved quality of the credit portfolio and better monitoring.
Internal Audit undertakes regular audits of branches/agencies and Group credit processes.
The major concentrations of credit risk arise by type of customer in relation to the Group’s loans and advances and credit
commitments. Concentrations of credit risk that arise from financial instruments exist for groups of counterparties when they
have similar economic characteristics that would cause their ability to meet contractual obligations to be similarly affected by
changes in economic or other conditions. The major concentrations of credit risk arise by individual counterparty and by type of
customer in relation to the Group’s loans and advances, commitments to extend credit and guarantees issued.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

36

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

ii) Credit risk management
In the table below are presented the risk concentrations by product for retail customers and by economic sectors for non-retail
customers. In the table are presented gross balance sheet exposures:

In RON thousand | Group |  | Group
| 31 December 2024 |  | 31 December 2023
Non-retail customers, of which: |  |  |
Corporate lending | 16,722,465 |  | 14,660,748
Project finance | 2,773,134 |  | 2,804,534
Financial institution non-bank | 435,989 |  | 1,395,284
Small business (SMB) | 2,643,633 |  | 2,330,751
Public sector | 1,438,829 |  | 1,271,629
Sovereign | 4,350,294 |  | 48,995
Retail customers, of which: |  |  |
Personal loan | 9,320,714 |  | 8,441,373
Mortgage | 7,859,061 |  | 7,454,930
Consumer loan guaranteed with mortgage | 575,400 |  | 703,055
Credit Card | 1,401,842 |  | 1,360,665
Overdraft | 514,860 |  | 558,055
Micro | 2,160,877 |  | 2,010,623
Total gross exposure | 50,197,098 |  | 43,040,642
Impairment allowance | (1,224,824) |  | (1,227,408)
Total loans and advances to customers at amortised cost | 48,972,274 |  | 41,813,234

In the table below are presented the risk concentrations by product for retail customers and by economic sectors for non-retail
customers. In the table are presented gross balance sheet exposures:

In RON thousand | Bank |  | Bank
| 31 December 2024 |  | 31 December 2023
Non-retail customers, of which: |  |  |
Corporate lending | 16,213,575 |  | 14,309,448
Project finance | 2,773,134 |  | 2,804,534
Financial institution non-bank | 1,577,993 |  | 2,141,268
Small business (SMB) | 1,874,079 |  | 1,814,102
Public sector | 1,438,829 |  | 1,271,629
Sovereign | 4,350,294 |  | 48,995
Retail customers, of which: |  |  |
Personal loan | 9,320,714 |  | 8,441,373
Mortgage | 7,858,976 |  | 7,454,830
Consumer loan guaranteed with mortgage | 575,400 |  | 703,055
Credit Card | 1,401,842 |  | 1,360,665
Overdraft | 514,860 |  | 558,055
Micro | 1,569,852 |  | 1,541,920
Total gross exposure | 49,469,548 |  | 42,449,874
Impairment allowance | (1,187,264) |  | (1,190,437)
Total loans and advances to customers at amortised cost | 48,282,284 |  | 41,259,437

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

37

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

In the table below are presented on stages the risk concentrations by product for retail customers and by economic sectors for
non-retail customers. The amounts represent gross balance sheet exposures:

Group | 31 December 2024
in RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Loans and advances to customers at amortised cost |  |  |  |  |
Non-retail: | 25,141,475 | 2,920,094 | 265,545 | 37,230 | 28,364,344
Corporate lending | 15,493,548 | 996,302 | 198,156 | 34,459 | 16,722,465
Project finance | 2,148,322 | 616,428 | 8,384 | – | 2,773,134
Financial institution non-bank | 272,931 | 163,058 | – | – | 435,989
Small and medium business | 2,069,973 | 511,884 | 59,005 | 2,771 | 2,643,633
Public sector | 806,407 | 632,422 | – | – | 1,438,829
Sovereign | 4,350,294 | – | – | – | 4,350,294
Retail: | 17,994,576 | 2,797,691 | 878,031 | 162,456 | 21,832,754
Personal loan | 8,181,866 | 623,597 | 508,937 | 6,314 | 9,320,714
Mortgage | 6,232,406 | 1,447,385 | 139,470 | 39,800 | 7,859,061
Micro | 1,729,977 | 303,110 | 122,430 | 5,360 | 2,160,877
Consumer loan guaranteed with mortgage | 306,106 | 105,877 | 67,283 | 96,134 | 575,400
Credit card | 1,122,392 | 240,229 | 24,373 | 14,848 | 1,401,842
Overdraft | 421,829 | 77,493 | 15,538 | – | 514,860
Total gross exposure | 43,136,051 | 5,717,785 | 1,143,576 | 199,686 | 50,197,098
Impairment allowance | (240,250) | (192,442) | (734,348) | (57,784) | (1,224,824)
Net exposure | 42,895,801 | 5,525,343 | 409,228 | 141,902 | 48,972,274

In “Sovereign” as of 2024 is presented the term deposit placed at Ministry of Finance in amount of RON 4,250 million.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

38

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

In the table below are presented on stages the risk concentrations by product for retail customers and by economic sectors for
non-retail customers. The amounts represent gross balance sheet exposures:

Group | 31 December 2023
in RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Loans and advances to customers at amortised cost |  |  |  |  |
Non-retail: | 20,175,925 | 2,081,654 | 216,080 | 38,282 | 22,511,941
Corporate lending | 13,718,446 | 748,141 | 158,146 | 36,015 | 14,660,748
Project finance | 2,066,684 | 730,986 | 6,864 | – | 2,804,534
Financial institution non-bank | 1,348,548 | 46,736 | – | – | 1,395,284
Small and medium business | 1,735,578 | 541,836 | 51,070 | 2,267 | 2,330,751
Public sector | 1,257,833 | 13,796 | – | – | 1,271,629
Sovereign | 48,836 | 159 | – | – | 48,995
Retail: | 16,594,728 | 2,965,013 | 792,227 | 176,733 | 20,528,701
Personal loan | 7,178,562 | 826,060 | 430,862 | 5,889 | 8,441,373
Mortgage | 6,024,665 | 1,245,596 | 138,164 | 46,505 | 7,454,930
Micro | 1,565,414 | 338,609 | 102,331 | 4,269 | 2,010,623
Consumer loan guaranteed with mortgage | 334,102 | 175,239 | 85,036 | 108,678 | 703,055
Credit card | 1,048,892 | 277,068 | 23,313 | 11,392 | 1,360,665
Overdraft | 443,093 | 102,441 | 12,521 | – | 558,055
Total gross exposure | 36,770,653 | 5,046,667 | 1,008,307 | 215,015 | 43,040,642
Impairment allowance | (230,334) | (268,221) | (663,089) | (65,764) | (1,227,408)
Net exposure | 36,540,319 | 4,778,446 | 345,218 | 149,251 | 41,813,234

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

39

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

In the table below are presented on stages the risk concentrations by product for retail customers and by economic sectors for
non-retail customers. The amounts represent gross balance sheet exposures:

Bank | 31 December 2024
in RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Loans and advances to customers at amortised cost |  |  |  |  |
Non-retail: | 25,271,787 | 2,670,766 | 248,121 | 37,230 | 28,227,904
Corporate lending | 15,073,100 | 918,242 | 187,774 | 34,459 | 16,213,575
Project finance | 2,148,322 | 616,428 | 8,384 | – | 2,773,134
Financial institution non-bank | 1,414,935 | 163,058 | – | – | 1,577,993
Small and medium business | 1,478,729 | 340,616 | 51,963 | 2,771 | 1,874,079
Public sector | 806,407 | 632,422 | – | – | 1,438,829
Sovereign | 4,350,294 | – | – | – | 4,350,294
Retail: | 17,526,418 | 2,692,013 | 860,757 | 162,456 | 21,241,644
Personal loan | 8,181,866 | 623,597 | 508,937 | 6,314 | 9,320,714
Mortgage | 6,232,321 | 1,447,385 | 139,470 | 39,800 | 7,858,976
Micro | 1,261,904 | 197,432 | 105,156 | 5,360 | 1,569,852
Consumer loan guaranteed with mortgage | 306,106 | 105,877 | 67,283 | 96,134 | 575,400
Credit card | 1,122,392 | 240,229 | 24,373 | 14,848 | 1,401,842
Overdraft | 421,829 | 77,493 | 15,538 | – | 514,860
Total gross exposure | 42,798,205 | 5,362,779 | 1,108,878 | 199,686 | 49,469,548
Impairment allowance | (236,729) | (178,751) | (714,000) | (57,784) | (1,187,264)
Net exposure | 42,561,476 | 5,184,028 | 394,878 | 141,902 | 48,282,284

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

40

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

In the table below are presented on stages the risk concentrations by product for retail customers and by economic sectors for
non-retail customers. The amounts represent gross balance sheet exposures:

Bank | 31 December 2023
in RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Loans and advances to customers at amortised cost |  |  |  |  |
Non-retail: | 20,368,735 | 1,782,670 | 200,289 | 38,282 | 22,389,976
Corporate lending | 13,504,489 | 616,702 | 152,242 | 36,015 | 14,309,448
Project finance | 2,066,684 | 730,986 | 6,864 | – | 2,804,534
Financial institution non-bank | 2,094,532 | 46,736 | – | – | 2,141,268
Small and medium business | 1,396,361 | 374,291 | 41,183 | 2,267 | 1,814,102
Public sector | 1,257,833 | 13,796 | – | – | 1,271,629
Sovereign | 48,836 | 159 | – | – | 48,995
Retail: | 16,213,528 | 2,891,756 | 777,881 | 176,733 | 20,059,898
Personal loan | 7,178,562 | 826,060 | 430,862 | 5,889 | 8,441,373
Mortgage | 6,024,565 | 1,245,596 | 138,164 | 46,505 | 7,454,830
Micro | 1,184,314 | 265,352 | 87,985 | 4,269 | 1,541,920
Consumer loan guaranteed with mortgage | 334,102 | 175,239 | 85,036 | 108,678 | 703,055
Credit card | 1,048,892 | 277,068 | 23,313 | 11,392 | 1,360,665
Overdraft | 443,093 | 102,441 | 12,521 | – | 558,055
Total gross exposure | 36,582,263 | 4,674,426 | 978,170 | 215,015 | 42,449,874
Impairment allowance | (227,332) | (255,189) | (642,152) | (65,764) | (1,190,437)
Net exposure | 36,354,931 | 4,419,237 | 336,018 | 149,251 | 41,259,437

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

41

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below present the split of gross book value for the loans and advances to retail customers by credit quality. The
internal rating grade presented is further explained below within Note 5, within the Group’s internal credit rating grades tables:

Group |  |  |  |  |
in RON thousand | 31 December 2024
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Minimal Risk | 3,622,279 | 407,571 | – | 38 | 4,029,888
Excellent Credit Standing | 3,468,785 | 773,156 | – | 35,967 | 4,277,908
Very Good Credit Standing | 2,635,519 | 76,234 | – | 22,038 | 2,733,791
Good Credit Standing | 2,935,682 | 151,201 | – | 15,214 | 3,102,097
Sound Credit Standing | 2,642,083 | 145,787 | – | 6,579 | 2,794,449
Acceptable Credit Standing | 1,500,711 | 267,080 | – | 5,923 | 1,773,714
Marginal Credit Standing | 683,993 | 438,779 | – | 7,278 | 1,130,050
Weak Credit Standing | 32,341 | 215,011 | – | 9,294 | 256,646
Very Weak Credit Standing | 2,987 | 186,755 | – | 69 | 189,811
Default | – | – | 877,850 | 60,056 | 937,906
Not Rated | 470,196 | 136,117 | 181 | – | 606,494
Total | 17,994,576 | 2,797,691 | 878,031 | 162,456 | 21,832,754

Group |  |  |  |  |
in RON thousand | 31 December 2023
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Minimal Risk | 3,568,641 | 290,547 | – | 11 | 3,859,199
Excellent Credit Standing | 2,875,700 | 597,066 | – | 19,371 | 3,492,137
Very Good Credit Standing | 1,393,293 | 170,947 | – | 21,209 | 1,585,449
Good Credit Standing | 3,563,134 | 203,830 | – | 30,249 | 3,797,213
Sound Credit Standing | 2,643,242 | 247,942 | – | 14,932 | 2,906,116
Acceptable Credit Standing | 1,449,455 | 312,733 | – | 9,453 | 1,771,641
Marginal Credit Standing | 540,023 | 410,795 | – | 9,440 | 960,258
Weak Credit Standing | 166,518 | 254,203 | – | 5,978 | 426,699
Very Weak Credit Standing | 11,415 | 385,255 | – | 5,691 | 402,361
Default | – | – | 792,109 | 60,245 | 852,354
Not Rated | 383,307 | 91,695 | 118 | 154 | 475,274
Total | 16,594,728 | 2,965,013 | 792,227 | 176,733 | 20,528,701

In “Not Rated” category are included retail exposures from leasing activity for which the standard approach method is applied in
the calculation of risk weighted assets. For the standard approach portfolios, no models are available and so the internal rating is
not applicable. For these exposures, general impairment rules apply.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

42

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below present the split of gross book value for the loans and advances to retail customers by credit quality. The
internal rating grade presented is further explained below within Note 5, within the Group’s internal credit rating grades tables:

Bank |  |  |  |  |
in RON thousand | 31 December 2024
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Minimal Risk | 3,622,279 | 407,571 | – | 38 | 4,029,888
Excellent Credit Standing | 3,468,785 | 773,156 | – | 35,967 | 4,277,908
Very Good Credit Standing | 2,635,519 | 76,234 | – | 22,038 | 2,733,791
Good Credit Standing | 2,935,682 | 151,201 | – | 15,214 | 3,102,097
Sound Credit Standing | 2,642,083 | 145,787 | – | 6,579 | 2,794,449
Acceptable Credit Standing | 1,500,711 | 267,080 | – | 5,923 | 1,773,714
Marginal Credit Standing | 683,993 | 438,779 | – | 7,278 | 1,130,050
Weak Credit Standing | 32,341 | 215,011 | – | 9,294 | 256,646
Very Weak Credit Standing | 2,987 | 186,755 | – | 69 | 189,811
Default | – | – | 860,576 | 60,056 | 920,632
Not Rated | 2,038 | 30,439 | 181 | – | 32,658
Total | 17,526,418 | 2,692,013 | 860,757 | 162,456 | 21,241,644

Bank |  |  |  |  |
in RON thousand | 31 December 2023
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Minimal Risk | 3,568,641 | 290,547 | – | 11 | 3,859,199
Excellent Credit Standing | 2,875,700 | 597,066 | – | 19,371 | 3,492,137
Very Good Credit Standing | 1,393,293 | 170,947 | – | 21,209 | 1,585,449
Good Credit Standing | 3,563,134 | 203,830 | – | 30,249 | 3,797,213
Sound Credit Standing | 2,643,242 | 247,942 | – | 14,932 | 2,906,116
Acceptable Credit Standing | 1,449,455 | 312,733 | – | 9,453 | 1,771,641
Marginal Credit Standing | 540,023 | 410,795 | – | 9,440 | 960,258
Weak Credit Standing | 166,518 | 254,203 | – | 5,978 | 426,699
Very Weak Credit Standing | 11,415 | 385,255 | – | 5,691 | 402,361
Default | – | – | 777,763 | 60,245 | 838,008
Not Rated | 2,107 | 18,438 | 118 | 154 | 20,817
Total | 16,213,528 | 2,891,756 | 777,881 | 176,733 | 20,059,898

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

43

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below present the split of gross book value for the loans and advances to non - retail customers by credit quality. The
internal rating grade presented is further explained below within Note 5, within the Group’s internal credit rating grades tables:

Group |  |  |  |  |
In RON thousand | 31 December 2024
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Excellent | 73,752 | 1,367 | – | – | 75,119
Strong | 1,526,681 | 29,821 | – | – | 1,556,502
Good | 17,771,409 | 1,371,103 | – | – | 19,142,512
Satisfactory | 5,769,255 | 1,455,929 | – | – | 7,225,184
Substandard | 185 | 40,440 | – | 110 | 40,735
Impaired | – | – | 265,521 | 37,120 | 302,641
Unrated | 193 | 21,434 | 24 | – | 21,651
Total | 25,141,475 | 2,920,094 | 265,545 | 37,230 | 28,364,344

Group |  |  |  |  |
In RON thousand | 31 December 2023
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Excellent | 22,471 | 399 | – | – | 22,870
Strong | 2,499,451 | 30,685 | – | – | 2,530,136
Good | 12,532,021 | 753,889 | – | – | 13,285,910
Satisfactory | 5,120,955 | 1,261,800 | – | – | 6,382,755
Substandard | 746 | 25,905 | – | – | 26,651
Impaired | – | – | 216,073 | 38,282 | 254,355
Unrated | 281 | 8,976 | 7 | – | 9,264
Total | 20,175,925 | 2,081,654 | 216,080 | 38,282 | 22,511,941

In “Good” rating grade as of 2024 is presented the term deposit placed at Ministry of Finance in amount of RON 4,250 million.

Bank |  |  |  |  |
In RON thousand | 31 December 2024
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Excellent | 69,097 | 639 | – | – | 69,736
Strong | 1,479,825 | 22,482 | – | – | 1,502,307
Good | 18,437,389 | 1,310,326 | – | – | 19,747,715
Satisfactory | 5,285,235 | 1,309,246 | – | – | 6,594,481
Substandard | 48 | 28,045 | – | 110 | 28,203
Impaired | – | – | 248,097 | 37,120 | 285,217
Unrated | 193 | 28 | 24 | – | 245
Total | 25,271,787 | 2,670,766 | 248,121 | 37,230 | 28,227,904

Bank |  |  |  |  |
In RON thousand | 31 December 2023
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Excellent | 22,175 | 9 | – | – | 22,184
Strong | 2,446,072 | 19,882 | – | – | 2,465,954
Good | 13,011,466 | 655,521 | – | – | 13,666,987
Satisfactory | 4,888,958 | 1,085,927 | – | – | 5,974,885
Substandard | 64 | 21,163 | – | – | 21,227
Impaired | – | – | 200,282 | 38,282 | 238,564
Unrated | – | 168 | 7 | – | 175
Total | 20,368,735 | 1,782,670 | 200,289 | 38,282 | 22,389,976

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

44

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below present the split of loans and advances to banks by credit quality. The internal rating grade presented is further
explained below within Note 5, within the Group’s internal credit rating grades tables:

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Stage 1 |  |  |  |  |
Strong | 1,014,962 | 285,216 |  | 1,013,056 | 283,972
Good | 199,463 | 199,424 |  | 199,463 | 199,424
| 1,214,425 | 484,640 |  | 1,212,519 | 483,396
Stage 2 |  |  |  |  |
Strong | – | – |  | – | 11,861
Good | – | – |  | 11,852 | –
| – | – |  | 11,852 | 11,861
Total | 1,214,425 | 484,640 |  | 1,224,371 | 495,257

For corporate entities, small and medium entities, financial institutions, local and central public authorities customers, the Group
uses rating scales associated with the financial performance, both for the individually and for the collectively impaired loans and
advances. In accordance with the Group’s policies and procedures, a rating can be associated for each category of risk, from the
lowest risk considered (Rating 1) to defaulted loans category (Rating 10). In the case of private individuals and micro exposures, the
credit risk is assessed based on advanced internal model rating approach. The Bank assigns ratings to customers at facility level
for private individuals and at customer level for micro. After the calibration process a probability of default is assigned to rating
classes associated.
The tables below show the maximum on-balance sheet exposure to credit risk by segment. They also show the total fair value of
collateral, any surplus of collateral and the net exposure to credit risk:

Group | 31 December 2024
In RON thousand | Maxim exposure to credit risk | Fair value of collateral | Surplus of collateral | Used collateral | Net exposure | Associated ECLs
Non-retail |  |  |  |  |  |
Corporate lending | 16,722,465 | 2,996,479 | (992,095) | 2,004,384 | 14,718,081 | 300,193
Project finance | 2,773,134 | 3,405,777 | (890,499) | 2,515,278 | 257,856 | 41,172
Financial institution non-bank | 435,989 | – | – | – | 435,989 | 1,718
Small and medium business | 2,643,633 | 540,033 | (238,543) | 301,490 | 2,342,143 | 58,759
Public sector | 1,438,829 | – | – | – | 1,438,829 | 4,768
Sovereign | 4,350,294 | – | – | – | 4,350,294 | 21
Total Non-retail | 28,364,344 | 6,942,289 | (2,121,137) | 4,821,152 | 23,543,192 | 406,631
Retail |  |  |  |  |  |
Personal loan | 9,320,714 | 182,983 | (63,838) | 119,145 | 9,201,569 | 530,091
Mortgage | 7,859,061 | 7,968,372 | (1,949,708) | 6,018,664 | 1,840,397 | 75,116
Micro | 575,400 | 338,582 | (185,778) | 152,804 | 422,596 | 99,235
Consumer loan guaranteed with mortgage | 1,401,842 | 593,891 | (270,449) | 323,442 | 1,078,400 | 66,670
Credit card | 514,860 | – | (134) | (134) | 514,994 | 25,588
Overdraft | 2,160,877 | – | – | – | 2,160,877 | 21,493
Total Retail | 21,832,754 | 9,083,828 | (2,469,907) | 6,613,921 | 15,218,833 | 818,193
Financial assets at fair value through profit or loss | 116,364 | 137,008 | (68,214) | 68,794 | 47,570 | 16,209

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

45

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below show the maximum on-balance sheet exposure to credit risk by segment. They also show the total fair value of
collateral, any surplus of collateral and the net exposure to credit risk:

Group | 31 December 2023
In RON thousand | Maxim exposure to credit risk | Fair value of collateral | Surplus of collateral | Used collateral | Net exposure | Associated ECLs
Non-retail |  |  |  |  |  |
Corporate lending | 14,660,748 | 2,653,468 | (765,894) | 1,887,574 | 12,773,174 | 272,481
Project finance | 2,804,534 | 3,243,480 | (673,404) | 2,570,076 | 234,458 | 73,234
Financial institution non-bank | 1,395,284 | – | – | – | 1,395,284 | 1,035
Small and medium business | 2,330,751 | 536,976 | (227,603) | 309,373 | 2,021,378 | 49,354
Public sector | 1,271,629 | – | – | – | 1,271,629 | 923
Sovereign | 48,995 | – | – | – | 48,995 | 11
Total Non-retail | 22,511,941 | 6,433,924 | (1,666,901) | 4,767,023 | 17,744,918 | 397,038
Retail |  |  |  |  |  |
Personal loan | 8,441,373 | 195,133 | (75,863) | 119,270 | 8,322,103 | 510,164
Mortgage | 7,454,930 | 7,578,926 | (1,755,155) | 5,823,771 | 1,631,159 | 90,529
Micro | 703,055 | 371,689 | (201,272) | 170,417 | 532,638 | 97,450
Consumer loan guaranteed with mortgage | 1,360,665 | 1,138,422 | (587,504) | 550,918 | 809,747 | 86,611
Credit card | 558,055 | – | – | – | 558,055 | 25,527
Overdraft | 2,010,623 | – | – | – | 2,010,623 | 20,089
Total Retail | 20,528,701 | 9,284,170 | (2,619,794) | 6,664,376 | 13,864,325 | 830,370
Financial assets at fair value through profit or loss | 153,343 | 202,371 | (87,699) | 114,672 | 38,671 | 15,783

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

46

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below show the maximum on-balance sheet exposure to credit risk by segment. They also show the total fair value of
collateral, any surplus of collateral and the net exposure to credit risk:

Bank | 31 December 2024
In RON thousand | Maxim exposure to credit risk | Fair value of collateral | Surplus of collateral | Used collateral | Net exposure | Associated ECLs
Non-retail |  |  |  |  |  |
Corporate lending | 16,213,575 | 2,996,479 | (992,095) | 2,004,384 | 14,209,191 | 291,947
Project finance | 2,773,134 | 3,405,777 | (890,499) | 2,515,278 | 257,856 | 41,172
Financial institution non-bank | 1,577,993 | – | – | – | 1,577,993 | 1,718
Small and medium business | 1,874,079 | 540,033 | (238,543) | 301,490 | 1,572,589 | 46,905
Public sector | 1,438,829 | – | – | – | 1,438,829 | 4,768
Sovereign | 4,350,294 | – | – | – | 4,350,294 | 21
Total Non-retail | 28,227,904 | 6,942,289 | (2,121,137) | 4,821,152 | 23,406,752 | 386,531
Retail |  |  |  |  |  |
Personal loan | 9,320,714 | 182,983 | (63,838) | 119,145 | 9,201,569 | 530,449
Mortgage | 7,858,976 | 7,968,372 | (1,949,708) | 6,018,664 | 1,840,312 | 75,116
Micro | 575,400 | 338,582 | (185,778) | 152,804 | 422,596 | 81,417
Consumer loan guaranteed with mortgage | 1,401,842 | 593,891 | (270,449) | 323,442 | 1,078,400 | 66,670
Credit card | 514,860 | – | (134) | (134) | 514,994 | 25,588
Overdraft | 1,569,852 | – | – | – | 1,569,852 | 21,493
Total Retail | 21,241,644 | 9,083,828 | (2,469,907) | 6,613,921 | 14,627,723 | 800,733
Financial assets at fair value through profit or loss | 116,364 | 137,008 | (68,214) | 68,794 | 47,570 | 16,209

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

47

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below show the maximum on-balance sheet exposure to credit risk by segment. They also show the total fair value of
collateral, any surplus of collateral and the net exposure to credit risk:

Bank | 31 December 2023
In RON thousand | Maxim exposure to credit risk | Fair value of collateral | Surplus of collateral | Used collateral | Net exposure | Associated ECLs
Non-retail |  |  |  |  |  |
Corporate lending | 14,309,448 | 2,653,468 | (765,894) | 1,887,574 | 12,421,874 | 263,100
Project finance | 2,804,534 | 3,243,480 | (673,404) | 2,570,076 | 234,458 | 73,234
Financial institution non-bank | 2,141,268 | – | – | – | 2,141,268 | 1,035
Small and medium business | 1,814,102 | 536,976 | (227,603) | 309,373 | 1,504,729 | 36,600
Public sector | 1,271,629 | – | – | – | 1,271,629 | 923
Sovereign | 48,995 | – | – | – | 48,995 | 11
Total Non-retail | 22,389,976 | 6,433,924 | (1,666,901) | 4,767,023 | 17,622,953 | 374,903
Retail |  |  |  |  |  |
Personal loan | 8,441,373 | 195,133 | (75,863) | 119,270 | 8,322,103 | 510,522
Mortgage | 7,454,830 | 7,578,926 | (1,755,155) | 5,823,771 | 1,631,059 | 90,529
Micro | 703,055 | 371,689 | (201,272) | 170,417 | 532,638 | 82,256
Consumer loan guaranteed with mortgage | 1,360,665 | 1,138,422 | (587,504) | 550,918 | 809,747 | 86,611
Credit card | 558,055 | – | – | – | 558,055 | 25,527
Overdraft | 1,541,920 | – | – | – | 1,541,920 | 20,089
Total Retail | 20,059,898 | 9,284,170 | (2,619,794) | 6,664,376 | 13,395,522 | 815,534
Financial assets at fair value through profit or loss | 153,343 | 202,371 | (87,699) | 114,672 | 38,671 | 15,783

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

48

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below show the Stage 3 maximum on-balance sheet exposure to credit risk by segment. They also show the total fair
value of collateral, any surplus of collateral and the net exposure to credit risk:

Group | 31 December 2024
In RON thousand | Maxim exposure to credit risk | Fair value of collateral | Surplus of collateral | Used collateral | Net exposure | Associated ECLs
Non-retail |  |  |  |  |  |
Corporate lending | 232,615 | 9,520 | (113) | 9,407 | 223,208 | 131,184
Project finance | 8,384 | – | – | – | 8,384 | 8,384
Financial institution non-bank | – | – | – | – | – | –
Small and medium business | 61,776 | 5,045 | (808) | 4,237 | 57,539 | 40,485
Public sector | – | – | – | – | – | –
Sovereign | – | – | – | – | – | –
Total Non-retail | 302,775 | 14,565 | (921) | 13,644 | 289,131 | 180,053
Retail |  |  |  |  |  |
Personal loan | 512,800 | – | – | – | 512,800 | 396,459
Mortgage | 151,128 | 106,046 | (17,096) | 88,950 | 62,178 | 64,203
Micro | 127,746 | 21,334 | (14,742) | 6,592 | 121,154 | 62,336
Consumer loan guaranteed with mortgage | 94,059 | 65,427 | (19,845) | 45,582 | 48,477 | 62,845
Credit card | 36,816 | – | – | – | 36,816 | 15,007
Overdraft | 15,538 | – | – | – | 15,538 | 10,594
Total Retail | 938,087 | 192,807 | (51,683) | 141,124 | 796,963 | 611,444

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

49

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below show the Stage 3 maximum on-balance sheet exposure to credit risk by segment. They also show the total fair
value of collateral, any surplus of collateral and the net exposure to credit risk:

Group | 31 December 2023
In RON thousand | Maxim exposure to credit risk | Fair value of collateral | Surplus of collateral | Used collateral | Net exposure | Associated ECLs
Non-retail |  |  |  |  |  |
Corporate lending | 194,161 | 29,034 | (11,428) | 17,606 | 176,555 | 126,169
Project finance | 6,864 | – | – | – | 6,864 | 6,864
Financial institution non-bank | – | – | – | – | – | –
Small and medium business | 53,337 | 7,323 | (1,105) | 6,218 | 47,119 | 35,213
Public sector | – | – | – | – | – | –
Sovereign | – | – | – | – | – | –
Total Non-retail | 254,362 | 36,357 | (12,533) | 23,824 | 230,538 | 168,246
Retail |  |  |  |  |  |
Personal loan | 434,731 | – | – | – | 434,731 | 331,424
Mortgage | 151,322 | 144,580 | (34,240) | 110,340 | 40,982 | 74,009
Micro | 106,311 | 25,043 | (16,535) | 8,508 | 97,803 | 52,577
Consumer loan guaranteed with mortgage | 115,103 | 138,000 | (59,404) | 78,596 | 36,507 | 79,401
Credit card | 32,484 | – | – | – | 32,484 | 13,792
Overdraft | 12,521 | – | – | – | 12,521 | 8,528
Total Retail | 852,472 | 307,623 | (110,179) | 197,444 | 655,028 | 559,731

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

50

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below show the Stage 3 maximum on-balance sheet exposure to credit risk by segment. They also show the total fair
value of collateral, any surplus of collateral and the net exposure to credit risk:

Bank | 31 December 2024
In RON thousand | Maxim exposure to credit risk | Fair value of collateral | Surplus of collateral | Used collateral | Net exposure | Associated ECLs
Non-retail |  |  |  |  |  |
Corporate lending | 222,233 | 9,520 | (113) | 9,407 | 212,826 | 126,135
Project finance | 8,384 | – | – | – | 8,384 | 8,384
Financial institution non-bank | – | – | – | – | – | –
Small and medium business | 54,624 | 5,045 | (808) | 4,237 | 50,387 | 34,187
Public sector | – | – | – | – | – | –
Sovereign | – | – | – | – | – | –
Total Non-retail | 285,241 | 14,565 | (921) | 13,644 | 271,597 | 168,706
Retail |  |  |  |  |  |
Personal loan | 512,800 | – | – | – | 512,800 | 396,459
Mortgage | 151,128 | 106,046 | (17,096) | 88,950 | 62,178 | 64,203
Micro | 110,472 | 21,334 | (14,742) | 6,592 | 103,880 | 53,335
Consumer loan guaranteed with mortgage | 94,059 | 65,427 | (19,845) | 45,582 | 48,477 | 62,845
Credit card | 36,816 | – | – | – | 36,816 | 15,007
Overdraft | 15,538 | – | – | – | 15,538 | 10,594
Total Retail | 920,813 | 192,807 | (51,683) | 141,124 | 779,689 | 602,443

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

51

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below show the Stage 3 maximum on-balance sheet exposure to credit risk by segment. They also show the total fair
value of collateral, any surplus of collateral and the net exposure to credit risk:

Bank | 31 December 2023
In RON thousand | Maxim exposure to credit risk | Fair value of collateral | Surplus of collateral | Used collateral | Net exposure | Associated ECLs
Non-retail |  |  |  |  |  |
Corporate lending | 188,257 | 29,034 | (11,428) | 17,606 | 170,651 | 122,046
Project finance | 6,864 | – | – | – | 6,864 | 6,864
Financial institution non-bank | – | – | – | – | – | –
Small and medium business | 43,450 | 7,323 | (1,105) | 6,218 | 37,232 | 27,595
Public sector | – | – | – | – | – | –
Sovereign | – | – | – | – | – | –
Total Non-retail | 238,571 | 36,357 | (12,533) | 23,824 | 214,747 | 156,505
Retail |  |  |  |  |  |
Personal loan | 434,731 | – | – | – | 434,731 | 331,424
Mortgage | 151,322 | 144,580 | (34,240) | 110,340 | 40,982 | 74,009
Micro | 91,965 | 25,043 | (16,535) | 8,508 | 83,457 | 43,381
Consumer loan guaranteed with mortgage | 115,103 | 138,000 | (59,404) | 78,596 | 36,507 | 79,401
Credit card | 32,484 | – | – | – | 32,484 | 13,792
Overdraft | 12,521 | – | – | – | 12,521 | 8,528
Total Retail | 838,126 | 307,623 | (110,179) | 197,444 | 640,682 | 550,535

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

52

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables on the following pages show the maximum off-balance sheet exposure to credit risk by segment. They also show the
total fair value of collateral, any surplus collateral, and the net exposure to credit risk:

Group | 31 December 2024
In RON thousand | Maxim exposure to credit risk | Fair value of collateral | Surplus of collateral | Used collateral | Net exposure | Associated ECL
Non-retail |  |  |  |  |  |
Financial guarantees given | 4,607,265 | 249,526 | (35,533) | 213,993 | 4,393,272 | 17,636
Loan commitments given | 13,086,138 | 235,427 | (35,328) | 200,099 | 12,886,039 | 20,037
Total Non-retail | 17,693,403 | 484,953 | (70,861) | 414,092 | 17,279,311 | 37,673
Retail |  |  |  |  |  |
Financial guarantees given | 23,811 | 12,740 | (3,668) | 9,072 | 14,739 | 442
Loan commitments given | 4,153,546 | 15,658 | (3,914) | 11,744 | 4,141,802 | 13,338
Total Retail | 4,177,357 | 28,398 | (7,582) | 20,816 | 4,156,541 | 13,780

Group | 31 December 2023
In RON thousand | Maxim exposure to credit risk | Fair value of collateral | Surplus of collateral | Used collateral | Net exposure | Associated ECL
Non-retail |  |  |  |  |  |
Financial guarantees given | 4,867,567 | 270,572 | (35,656) | 234,916 | 4,632,651 | 24,573
Loan commitments given | 11,825,972 | 70,976 | (51,476) | 19,500 | 11,806,472 | 17,310
Total Non-retail | 16,693,539 | 341,548 | (87,132) | 254,416 | 16,439,123 | 41,883
Retail |  |  |  |  |  |
Financial guarantees given | 21,088 | 11,871 | (3,447) | 8,424 | 12,664 | 153
Loan commitments given | 3,899,483 | 17,694 | (4,781) | 12,913 | 3,886,570 | 11,641
Total Retail | 3,920,571 | 29,565 | (8,228) | 21,337 | 3,899,234 | 11,794

Where the case, collateral values are allocated proportionally between on and off-balance sheet exposures.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

53

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables on the following pages show the maximum Stage 3 off-balance sheet exposure to credit risk by segment. They also
show the total fair value of collateral, any surplus collateral, and the net exposure to credit risk:

Group | 31 December 2024
In RON thousand | Maxim exposure to credit risk | Fair value of collateral | Surplus of collateral | Used collateral | Net exposure | Associated ECL
Non-retail |  |  |  |  |  |
Financial guarantees given | 75,316 | 1,131 | – | 1,131 | 74,185 | 16,754
Loan commitments given | 14,561 | 1,528 | – | 1,528 | 13,033 | 4,854
Total Non-retail | 89,877 | 2,659 | – | 2,659 | 87,218 | 21,608
Retail |  |  |  |  |  |
Financial guarantees given | – | – | – | – | – | 21
Loan commitments given | 17,560 | – | – | – | 17,560 | 9,927
Total Retail | 17,560 | – | – | – | 17,560 | 9,948

Group | 31 December 2023
In RON thousand | Maxim exposure to credit risk | Fair value of collateral | Surplus of collateral | Used collateral | Net exposure | Associated ECL
Non-retail |  |  |  |  |  |
Financial guarantees given | 68,758 | 1,404 | – | 1,404 | 67,354 | 23,800
Loan commitments given | 13,432 | 464 | – | 464 | 12,968 | 7,337
Total Non-retail | 82,190 | 1,868 | – | 1,868 | 80,322 | 31,137
Retail |  |  |  |  |  |
Financial guarantees given | – | – | – | – | – | –
Loan commitments given | 16,178 | – | – | – | 16,178 | 7,557
Total Retail | 16,178 | – | – | – | 16,178 | 7,557

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

54

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables on the following pages show the maximum off-balance sheet exposure to credit risk by segment. They also show the
total fair value of collateral, any surplus collateral, and the net exposure to credit risk:

Bank | 31 December 2024
In RON thousand | Maxim exposure to credit risk | Fair value of collateral | Surplus of collateral | Used collateral | Net exposure | Associated ECL
Non-retail |  |  |  |  |  |
Financial guarantees given | 4,607,265 | 249,526 | (35,533) | 213,993 | 4,393,272 | 17,636
Loan commitments given | 13,349,708 | 235,427 | (35,328) | 200,099 | 13,149,609 | 20,037
Total Non-retail | 17,956,973 | 484,953 | (70,861) | 414,092 | 17,542,881 | 37,673
Retail |  |  |  |  |  |
Financial guarantees given | 23,811 | 12,740 | (3,668) | 9,072 | 14,739 | 442
Loan commitments given | 4,117,971 | 15,658 | (3,914) | 11,744 | 4,106,227 | 13,338
Total Retail | 4,141,782 | 28,398 | (7,582) | 20,816 | 4,120,966 | 13,780

Bank | 31 December 2023
In RON thousand | Maxim exposure to credit risk | Fair value of collateral | Surplus of collateral | Used collateral | Net exposure | Associated ECL
Non-retail |  |  |  |  |  |
Financial guarantees given | 4,867,567 | 270,572 | (35,656) | 234,916 | 4,632,651 | 24,573
Loan commitments given | 11,751,372 | 70,976 | (51,476) | 19,500 | 11,731,872 | 17,310
Total Non-retail | 16,618,939 | 341,548 | (87,132) | 254,416 | 16,364,523 | 41,883
Retail |  |  |  |  |  |
Financial guarantees given | 21,088 | 11,871 | (3,447) | 8,424 | 12,664 | 153
Loan commitments given | 3,886,227 | 17,694 | (4,781) | 12,913 | 3,873,314 | 11,641
Total Retail | 3,907,315 | 29,565 | (8,228) | 21,337 | 3,885,978 | 11,794

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

55

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables on the following pages show the maximum Stage 3 off-balance sheet exposure to credit risk by segment. They also
show the total fair value of collateral, any surplus collateral, and the net exposure to credit risk:

Bank | 31 December 2024
In RON thousand | Maxim exposure to credit risk | Fair value of collateral | Surplus of collateral | Used collateral | Net exposure | Associated ECL
Non-retail |  |  |  |  |  |
Financial guarantees given | 75,316 | 1,131 | – | 1,131 | 74,185 | 16,754
Loan commitments given | 14,831 | 1,528 | – | 1,528 | 13,303 | 4,854
Total Non-retail | 90,147 | 2,659 | – | 2,659 | 87,488 | 21,608
Retail |  |  |  |  |  |
Financial guarantees given | – | – | – | – | – | 21
Loan commitments given | 17,290 | – | – | – | 17,290 | 9,927
Total Retail | 17,290 | – | – | – | 17,290 | 9,948

Bank | 31 December 2023
In RON thousand | Maxim exposure to credit risk | Fair value of collateral | Surplus of collateral | Used collateral | Net exposure | Associated ECL
Non-retail |  |  |  |  |  |
Financial guarantees given | 68,758 | 1,404 | – | 1,404 | 67,354 | 23,800
Loan commitments given | 13,702 | 464 | – | 464 | 13,238 | 7,337
Total Non-retail | 82,460 | 1,868 | – | 1,868 | 80,592 | 31,137
Retail |  |  |  |  |  |
Financial guarantees given | – | – | – | – | – | –
Loan commitments given | 15,908 | – | – | – | 15,908 | 7,557
Total Retail | 15,908 | – | – | – | 15,908 | 7,557

The Group holds collateral against loans and advances to customers in the form of pledge over cash deposits, mortgage interests
over property, guarantees and other pledge over equipments and/or receivable. The value of the mortgage collaterals executed
by the Group as a result of the enforcement at December 31, 2024 was RON 20,500 thousand (December 31, 2023: RON 21,496
thousand).
Impaired loans and securities
Impaired loans and securities are loans and securities for which the Group determines that it is probable that it will be unable to
collect all principal and interest due according to the contractual terms of the loan / securities agreement(s).

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

56

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Past due status
Loans and advances to customers past due of December 31, 2024 were as follows:

Group | Stage 1 | Stage 2 | Stage 3 | POCI
In RON thousand | <=30 days | 31-90 days | >90 days | <=30 days | 31-90 days | >90 days | <=30 days | 31-90 days | >90 days | <=30 days | 31-90 days | >90 days
Retail customers | 823,952 | – | – | 477,501 | 95,431 | – | 70,167 | 81,830 | 78,815 | 20,098 | 7,530 | 8,152
Non-retail customers | 366,795 | – | – | 88,838 | 6,452 | – | 18,344 | 14,873 | 22,725 | 1,888 | 995 | 1,515
Total | 1,190,747 | – | – | 566,339 | 101,883 | – | 88,511 | 96,703 | 101,540 | 21,986 | 8,525 | 9,667

Bank | Stage 1 | Stage 2 | Stage 3 | POCI
In RON thousand | <=30 days | 31-90 days | >90 days | <=30 days | 31-90 days | >90 days | <=30 days | 31-90 days | >90 days | <=30 days | 31-90 days | >90 days
Retail customers | 823,345 | – | – | 477,383 | 95,403 | – | 70,125 | 81,830 | 78,566 | 20,098 | 7,530 | 8,152
Non-retail customers | 270,907 | – | – | 64,539 | 4,185 | – | 15,552 | 10,374 | 21,576 | 1,888 | 995 | 1,515
Total | 1,094,252 | – | – | 541,922 | 99,588 | – | 85,677 | 92,204 | 100,142 | 21,986 | 8,525 | 9,667

Loans and advances to customers past due of December 31, 2023 were as follows:

Group | Stage 1 | Stage 2 | Stage 3 | POCI
In RON thousand | <=30 days | 31-90 days | >90 days | <=30 days | 31-90 days | >90 days | <=30 days | 31-90 days | >90 days | <=30 days | 31-90 days | >90 days
Retail customers | 733,803 | – | – | 538,833 | 105,287 | – | 64,352 | 74,884 | 64,695 | 24,713 | 6,076 | 6,761
Non-retail customers | 303,622 | – | – | 33,108 | 69,814 | – | 10,063 | 3,305 | 11,126 | 455 | 1,837 | 3,516
Total | 1,037,425 | – | – | 571,941 | 175,101 | – | 74,415 | 78,189 | 75,821 | 25,168 | 7,913 | 10,277

Bank | Stage 1 | Stage 2 | Stage 3 | POCI
In RON thousand | <=30 days | 31-90 days | >90 days | <=30 days | 31-90 days | >90 days | <=30 days | 31-90 days | >90 days | <=30 days | 31-90 days | >90 days
Retail customers | 731,971 | – | – | 538,578 | 104,692 | – | 64,301 | 74,884 | 64,568 | 24,713 | 6,076 | 6,761
Non-retail customers | 268,405 | – | – | 22,275 | 67,938 | – | 5,730 | – | 9,740 | 455 | 1,837 | 3,516
Total | 1,000,376 | – | – | 560,853 | 172,630 | – | 70,031 | 74,884 | 74,308 | 25,168 | 7,913 | 10,277

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

57

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below present the gross book value for the portfolio of loans to non-retail customers at amortised cost split on
industries:

Group |  |  |  |  |
In RON thousand | 31 December 2024
Non retail | Stage 1 | Stage 2 | Stage 3 | POCI | Total
A. Agriculture, forestry and fishing | 906,214 | 191,923 | 16,274 | 186 | 1,114,597
B. Mining and quarrying | 592,120 | 1,266 | 309 | – | 593,695
C. Manufacturing | 2,707,552 | 191,075 | 46,463 | 765 | 2,945,855
D. Electricity, gas, steam and air conditioning supply | 1,788,728 | 2,829 | 8,389 | – | 1,799,946
E. Water supply | 275,786 | 120,708 | 111 | – | 396,605
F. Construction | 1,190,605 | 153,340 | 11,491 | 5,850 | 1,361,286
G. Wholesale and retail trade | 5,491,764 | 556,700 | 91,855 | 646 | 6,140,965
H. Transport and storage services | 1,844,546 | 180,346 | 68,486 | 783 | 2,094,161
I. Accommodation and restaurant services | 380,255 | 158,864 | 9,221 | – | 548,340
J. Information and communications | 568,551 | 9,456 | 4,385 | 29,000 | 611,392
K. Financial and insurance activities | 559,509 | 206,605 | 4 | – | 766,118
L. Real estate activities | 1,991,115 | 429,917 | 18 | – | 2,421,050
M. Professional, scientific and technical activities | 568,157 | 19,443 | 2,584 | – | 590,184
N. Administrative and support service activities | 405,007 | 15,417 | 2,248 | – | 422,672
O. Public administration and defence, compulsory social security | 5,156,598 | 610,936 | 2 | – | 5,767,536
P. Education | 25,756 | 132 | 2 | – | 25,890
Q. Human health services and social work activities | 649,034 | 24,487 | 5 | – | 673,526
R. Arts, entertainment and recreation | 9,818 | 12,635 | 862 | – | 23,315
S. Other services | 30,360 | 34,015 | 2,836 | – | 67,211
TOTAL | 25,141,475 | 2,920,094 | 265,545 | 37,230 | 28,364,344

In industry “Public administration and defence, compulsory social security” as of 2024 is presented the term deposit placed at
Ministry of Finance in amount of RON 4,250 million.

Group |  |  |  |  |
In RON thousand | 31 December 2023
Non retail | Stage 1 | Stage 2 | Stage 3 | POCI | Total
A. Agriculture, forestry and fishing | 863,693 | 153,875 | 15,018 | 3,417 | 1,036,003
B. Mining and quarrying | 789,681 | 6,762 | 321 | – | 796,764
C. Manufacturing | 2,582,334 | 292,339 | 33,895 | 2,294 | 2,910,862
D. Electricity, gas, steam and air conditioning supply | 2,039,999 | 7,118 | 6,870 | – | 2,053,987
E. Water supply | 313,343 | 63,026 | 352 | – | 376,721
F. Construction | 863,072 | 296,037 | 11,227 | 3,532 | 1,173,868
G. Wholesale and retail trade | 4,800,309 | 341,509 | 91,351 | 25 | 5,233,194
H. Transport and storage services | 1,250,836 | 155,527 | 32,803 | – | 1,439,166
I. Accommodation and restaurant services | 188,767 | 270,431 | 12,621 | – | 471,819
J. Information and communications | 140,257 | 4,977 | 4,817 | 29,001 | 179,052
K. Financial and insurance activities | 1,563,780 | 80,298 | 4 | – | 1,644,082
L. Real estate activities | 2,153,727 | 320,563 | 11 | – | 2,474,301
M. Professional, scientific and technical activities | 262,362 | 21,915 | 801 | – | 285,078
N. Administrative and support service activities | 344,456 | 15,564 | 2,489 | 13 | 362,522
O. Public administration and defence, compulsory social security | 1,334,719 | 13,955 | – | – | 1,348,674
P. Education | 27,297 | 323 | – | – | 27,620
Q. Human health services and social work activities | 556,296 | 12,441 | – | – | 568,737
R. Arts, entertainment and recreation | 17,724 | 15,519 | 793 | – | 34,036
S. Other services | 83,273 | 9,475 | 2,707 | – | 95,455
TOTAL | 20,175,925 | 2,081,654 | 216,080 | 38,282 | 22,511,941

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

58

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below presents the gross book value for the portfolio of loans to non-retail customers at amortised cost split on
industries:

Bank |  |  |  |  |
In RON thousand | 31 December 2024
Non retail | Stage 1 | Stage 2 | Stage 3 | POCI | Total
A. Agriculture, forestry and fishing | 881,005 | 177,679 | 14,632 | 186 | 1,073,502
B. Mining and quarrying | 583,198 | 953 | 233 | – | 584,384
C. Manufacturing | 2,645,611 | 161,623 | 40,621 | 765 | 2,848,620
D. Electricity, gas, steam and air conditioning supply | 1,788,510 | 2,745 | 8,389 | – | 1,799,644
E. Water supply | 239,358 | 105,156 | 10 | – | 344,524
F. Construction | 1,023,518 | 122,515 | 9,870 | 5,850 | 1,161,753
G. Wholesale and retail trade | 5,228,363 | 496,220 | 90,066 | 646 | 5,815,295
H. Transport and storage services | 1,499,242 | 106,909 | 63,363 | 783 | 1,670,297
I. Accommodation and restaurant services | 357,964 | 158,257 | 9,221 | – | 525,442
J. Information and communications | 560,601 | 8,108 | 3,353 | 29,000 | 601,062
K. Financial and insurance activities | 1,700,372 | 206,605 | 4 | – | 1,906,981
L. Real estate activities | 1,988,511 | 428,950 | 18 | – | 2,417,479
M. Professional, scientific and technical activities | 545,130 | 14,760 | 2,584 | – | 562,474
N. Administrative and support service activities | 383,995 | 8,565 | 2,048 | – | 394,608
O. Public administration and defence, compulsory social security | 5,156,598 | 610,924 | 2 | – | 5,767,524
P. Education | 25,756 | 34 | 2 | – | 25,792
Q. Human health services and social work activities | 638,455 | 18,266 | 5 | – | 656,726
R. Arts, entertainment and recreation | 9,554 | 12,359 | 862 | – | 22,775
S. Other services | 16,046 | 30,138 | 2,838 | – | 49,022
TOTAL | 25,271,787 | 2,670,766 | 248,121 | 37,230 | 28,227,904

The tables below presents the gross book value for the portfolio of loans to non-retail customers at amortised cost split on
industries:

Bank |  |  |  |  |
In RON thousand | 31 December 2023
Non retail | Stage 1 | Stage 2 | Stage 3 | POCI | Total
A. Agriculture, forestry and fishing | 843,121 | 139,864 | 13,203 | 3,417 | 999,605
B. Mining and quarrying | 783,530 | 6,108 | 233 | – | 789,871
C. Manufacturing | 2,516,818 | 262,627 | 26,798 | 2,294 | 2,808,537
D. Electricity, gas, steam and air conditioning supply | 2,039,267 | 7,118 | 6,870 | – | 2,053,255
E. Water supply | 301,582 | 2,177 | 8 | – | 303,767
F. Construction | 735,361 | 264,174 | 10,739 | 3,532 | 1,013,806
G. Wholesale and retail trade | 4,658,311 | 273,428 | 88,670 | 25 | 5,020,434
H. Transport and storage services | 1,107,053 | 104,037 | 31,009 | – | 1,242,099
I. Accommodation and restaurant services | 187,391 | 246,171 | 12,552 | – | 446,114
J. Information and communications | 135,555 | 3,871 | 3,703 | 29,001 | 172,130
K. Financial and insurance activities | 2,308,537 | 80,298 | 4 | – | 2,388,839
L. Real estate activities | 2,152,249 | 319,677 | 11 | – | 2,471,937
M. Professional, scientific and technical activities | 251,862 | 19,810 | 801 | – | 272,473
N. Administrative and support service activities | 338,067 | 7,460 | 2,188 | 13 | 347,728
O. Public administration and defence, compulsory social security | 1,334,559 | 13,955 | – | – | 1,348,514
P. Education | 27,297 | 200 | – | – | 27,497
Q. Human health services and social work activities | 553,243 | 7,826 | – | – | 561,069
R. Arts, entertainment and recreation | 17,556 | 15,222 | 793 | – | 33,571
S. Other services | 77,376 | 8,647 | 2,707 | – | 88,730
TOTAL | 20,368,735 | 1,782,670 | 200,289 | 38,282 | 22,389,976

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

59

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below presents the gross book value for the portfolio of loans to retail customers at amortised cost split on industries:

Group |  |  |  |  |
In RON thousand | 31 December 2024
Retail | Stage 1 | Stage 2 | Stage 3 | POCI | Total
A. Agriculture, forestry and fishing | 235,081 | 63,323 | 11,557 | 1,140 | 311,101
B. Mining and quarrying | 765 | 1 | 56 | – | 822
C. Manufacturing | 147,171 | 25,197 | 9,455 | 414 | 182,237
D. Electricity, gas, steam and air conditioning supply | 994 | 3 | 17 | – | 1,014
E. Water supply | 6,434 | 640 | 643 | 81 | 7,798
F. Construction | 175,270 | 47,242 | 19,363 | 674 | 242,549
G. Wholesale and retail trade | 465,186 | 55,031 | 30,281 | 1,482 | 551,980
H. Transport and storage services | 252,655 | 45,483 | 28,668 | 517 | 327,323
I. Accommodation and restaurant services | 82,259 | 10,538 | 6,899 | 255 | 99,951
J. Information and communications | 55,314 | 12,489 | 2,630 | 164 | 70,597
K. Financial and insurance activities | 3,263 | 76 | 4 | – | 3,343
L. Real estate activities | 13,550 | 2,475 | 147 | – | 16,172
M. Professional, scientific and technical activities | 121,685 | 17,123 | 5,273 | 283 | 144,364
N. Administrative and support service activities | 66,589 | 9,312 | 3,404 | 334 | 79,639
O. Public administration and defence, compulsory social security | 888 | – | 3 | – | 891
P. Education | 10,004 | 858 | 319 | 14 | 11,195
Q. Human health services and social work activities | 40,732 | 5,304 | 1,079 | – | 47,115
R. Arts, entertainment and recreation | 18,941 | 2,104 | 1,152 | – | 22,197
S. Other services | 26,957 | 5,907 | 1,481 | 1 | 34,346
Private individuals | 16,270,838 | 2,494,585 | 755,600 | 157,097 | 19,678,120
TOTAL | 17,994,576 | 2,797,691 | 878,031 | 162,456 | 21,832,754

The tables below presents the gross book value for the portfolio of loans to retail customers at amortised cost split on industries:

Group |  |  |  |  |
In RON thousand | 31 December 2023
Retail | Stage 1 | Stage 2 | Stage 3 | POCI | Total
A. Agriculture, forestry and fishing | 236,239 | 76,029 | 5,953 | 306 | 318,527
B. Mining and quarrying | 686 | 152 | 51 | – | 889
C. Manufacturing | 149,393 | 26,150 | 7,986 | 110 | 183,639
D. Electricity, gas, steam and air conditioning supply | 986 | 134 | 16 | – | 1,136
E. Water supply | 6,305 | 978 | 369 | 28 | 7,680
F. Construction | 149,052 | 49,741 | 19,764 | 623 | 219,180
G. Wholesale and retail trade | 398,445 | 82,155 | 25,254 | 1,818 | 507,672
H. Transport and storage services | 246,846 | 44,019 | 23,649 | 304 | 314,818
I. Accommodation and restaurant services | 64,623 | 11,266 | 4,515 | 202 | 80,606
J. Information and communications | 47,932 | 10,510 | 2,898 | 176 | 61,516
K. Financial and insurance activities | 2,257 | 168 | 5 | – | 2,430
L. Real estate activities | 12,634 | 1,316 | 143 | – | 14,093
M. Professional, scientific and technical activities | 109,263 | 16,079 | 5,102 | 366 | 130,810
N. Administrative and support service activities | 55,384 | 8,419 | 3,087 | 283 | 67,173
O. Public administration and defence, compulsory social security | 641 | – | 2 | – | 643
P. Education | 5,955 | 1,284 | 345 | 43 | 7,627
Q. Human health services and social work activities | 36,195 | 3,685 | 725 | – | 40,605
R. Arts, entertainment and recreation | 11,526 | 1,956 | 1,337 | – | 14,819
S. Other services | 23,546 | 4,569 | 1,123 | 9 | 29,247
Private individuals | 15,036,820 | 2,626,403 | 689,903 | 172,465 | 18,525,591
TOTAL | 16,594,728 | 2,965,013 | 792,227 | 176,733 | 20,528,701

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

60

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The table below presents the gross book value for the portfolio of loans to retail customers at amortised cost split on industries:

Bank |  |  |  |  |
In RON thousand | 31 December 2024
Retail | Stage 1 | Stage 2 | Stage 3 | POCI | Total
A. Agriculture, forestry and fishing | 213,858 | 56,445 | 10,323 | 1,140 | 281,766
B. Mining and quarrying | 304 | 1 | 16 | – | 321
C. Manufacturing | 117,937 | 15,872 | 8,264 | 414 | 142,487
D. Electricity, gas, steam and air conditioning supply | 478 | 3 | 17 | – | 498
E. Water supply | 3,838 | 119 | 600 | 81 | 4,638
F. Construction | 117,483 | 33,793 | 18,180 | 674 | 170,130
G. Wholesale and retail trade | 384,782 | 34,894 | 28,609 | 1,482 | 449,767
H. Transport and storage services | 143,726 | 15,172 | 18,267 | 517 | 177,682
I. Accommodation and restaurant services | 68,849 | 6,920 | 6,686 | 255 | 82,710
J. Information and communications | 27,201 | 8,465 | 2,616 | 164 | 38,446
K. Financial and insurance activities | 261 | 4 | 4 | – | 269
L. Real estate activities | 6,078 | 497 | 82 | – | 6,657
M. Professional, scientific and technical activities | 71,533 | 11,291 | 4,926 | 283 | 88,033
N. Administrative and support service activities | 53,001 | 5,997 | 3,180 | 334 | 62,512
O. Public administration and defence, compulsory social security | 812 | – | 3 | – | 815
P. Education | 7,521 | 653 | 319 | 14 | 8,507
Q. Human health services and social work activities | 24,665 | 4,252 | 1,020 | – | 29,937
R. Arts, entertainment and recreation | 11,375 | 1,560 | 1,111 | – | 14,046
S. Other services | 8,200 | 1,493 | 934 | 1 | 10,628
Private individuals | 16,264,516 | 2,494,582 | 755,600 | 157,097 | 19,671,795
TOTAL | 17,526,418 | 2,692,013 | 860,757 | 162,456 | 21,241,644

The table below presents the gross book value for the portfolio of loans to retail customers at amortised cost split on industries:

Bank |  |  |  |  |
In RON thousand | 31 December 2023
Retail | Stage 1 | Stage 2 | Stage 3 | POCI | Total
A. Agriculture, forestry and fishing | 213,397 | 73,323 | 5,222 | 306 | 292,248
B. Mining and quarrying | 56 | 112 | 11 | – | 179
C. Manufacturing | 123,575 | 15,198 | 7,139 | 110 | 146,022
D. Electricity, gas, steam and air conditioning supply | 845 | 3 | 16 | – | 864
E. Water supply | 3,985 | 877 | 343 | 28 | 5,233
F. Construction | 99,437 | 41,854 | 18,322 | 623 | 160,236
G. Wholesale and retail trade | 330,585 | 67,592 | 24,139 | 1,818 | 424,134
H. Transport and storage services | 167,795 | 24,361 | 14,604 | 304 | 207,064
I. Accommodation and restaurant services | 52,565 | 10,104 | 4,213 | 202 | 67,084
J. Information and communications | 24,687 | 7,692 | 2,756 | 176 | 35,311
K. Financial and insurance activities | 2 | 32 | 5 | – | 39
L. Real estate activities | 5,793 | 376 | 143 | – | 6,312
M. Professional, scientific and technical activities | 69,477 | 12,024 | 4,735 | 366 | 86,602
N. Administrative and support service activities | 43,582 | 5,502 | 2,999 | 283 | 52,366
O. Public administration and defence, compulsory social security | 542 | – | 2 | – | 544
P. Education | 4,643 | 816 | 345 | 43 | 5,847
Q. Human health services and social work activities | 24,019 | 2,685 | 697 | – | 27,401
R. Arts, entertainment and recreation | 8,414 | 1,488 | 1,223 | – | 11,125
S. Other services | 10,915 | 1,314 | 1,073 | 9 | 13,311
Private individuals | 15,029,214 | 2,626,403 | 689,894 | 172,465 | 18,517,976
TOTAL | 16,213,528 | 2,891,756 | 777,881 | 176,733 | 20,059,898

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

61

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

ECL Scenario
The table shows the Group Research values of the key forward looking economic variables/assumptions used in each of the
economic scenarios, as of December 31, 2024 and December 31, 2023. These variables are the most significant variables used in
ECL calculation.

31 December 2024 | ECL | Assigned | 2025 | 2026 | 2027
Key drivers | Scenario | Probabilities
|  | % | % | % | %
EUR/RON |  |  |  |  |
| Baseline | 50 | 5.1 | 5.1 | 5.1
| Upside | 25 | 4.7 | 4.9 | 5.0
| Downside | 25 | 5.6 | 5.4 | 5.4
ROBOR 3M |  |  |  |  |
| Baseline | 50 | 5.6 | 5.0 | 3.9
| Upside | 25 | 3.3 | 3.7 | 2.7
| Downside | 25 | 7.4 | 6.0 | 5.0
Unemployment |  |  |  |  |
| Baseline | 50 | 5.3 | 5.1 | 4.7
| Upside | 25 | 5.0 | 4.9 | 4.6
| Downside | 25 | 6.0 | 5.5 | 5.1
GDP growth % |  |  |  |  |
| Baseline | 50 | 2.2 | 3.2 | 3.2
| Upside | 25 | 3.8 | 4.1 | 4.1
| Downside | 25 | -0.2 | 1.9 | 1.9

31 December 2023 | ECL | Assigned | 2024 | 2025 | 2026
Key drivers | Scenario | Probabilities
|  | % | % | % | %
EUR/RON |  |  |  |  |
| Baseline | 50 | 5.0 | 5.1 | 5.1
| Upside | 25 | 4.7 | 4.9 | 5.0
| Downside | 25 | 5.4 | 5.3 | 5.4
ROBOR 3M |  |  |  |  |
| Baseline | 50 | 6.2 | 5.1 | 3.8
| Upside | 25 | 3.8 | 3.8 | 2.5
| Downside | 25 | 8.0 | 6.1 | 4.8
GDP growth % |  |  |  |  |
| Baseline | 50 | 5.3 | 5.0 | 4.7
| Upside | 25 | 5.2 | 4.9 | 4.6
| Downside | 25 | 6.0 | 5.4 | 5.1
Unemployment |  |  |  |  |
| Baseline | 50 | 2.8 | 3.5 | 3.0
| Upside | 25 | 4.4 | 4.4 | 3.9
| Downside | 25 | 0.4 | 2.2 | 1.7

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

62

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The Group’s internal credit rating grades
The tables below show the internal credit rating grade by type of customers:

Retail: Private Individuals, MICRO
Internal rating grade | Internal rating description | 12 month Basel III PD range
Performing
0 | Not Rated |
0.5A | Minimal Risk | [0.00% - 0.043%]
0.5B | [0.043% - 0.087%]
0.5C | [0.087% - 0.17%]
1 | Excellent Credit Standing | [0.17% - 0.35%)
1.5 | Very Good Credit Standing | [0.35% - 0.69%)
2 | Good Credit Standing | [0.69% - 1.37%)
2.5 | Sound Credit Standing | [1.37% - 2.70%)
3.0A | Acceptable Credit Standing | [2.70% - 3.78%)
3.0B | [3.78% - 5.26%)
3.5A | Marginal Credit Standing | [5.26% - 7.28%)
3.5B | [7.28% - 10.00%)
4 | Weak Credit Standing | [10.00% - 18.18%)
4.5A | Very Weak Credit Standing | [18.18% - 30.77%)
4.5B | [30.77% - 100%)
Non- performing
5 | Default | 100%

In “Not Rated” category are included retail exposures of segments for which the standard approach method is applied in the
calculation of risk weighted assets. For the standard approach portfolios, no models are available and so the internal rating is not
applicable. For these exposures, general IFRS 9 impairment rules apply, as described in Note 3 (ix) Identification and
measurement of impairment.

Non-retail: Corporate
Internal rating grade | Internal rating description | 12 month Basel III PD range | Internal rating grade mapping
Performing |  |  |
1A, 1B, 1C | Minimal Risk | (0.00%-0.03%] | Excellent
2A, 2B, 2C | Excellent Credit Standing | (0.03% - 0.07%] | Strong
3A, 3B, 3C | Very Good Credit Standing | (0.07% - 0.18%]
4A, 4B, 4C | Good Credit Standing | (0.18% - 0.46%] | Good
5A, 5B, 5C | Sound Credit Standing | (0.46% - 1.17%]
6A, 6B, 6C | Acceptable Credit Standing | (1.17% - 2.93%] | Satisfactory
7A, 7B, 7C | Marginal Credit Standing | (2.93% - 7.33%]
8A, 8B, 8C | Weak Credit Standing | (7.33% - 18.33%] | Substandard
9A, 9B, 9C | Very Weak Credit Standing | (18.33% - 100%)
Non- performing
10 | Default | 100% | Impaired

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

63

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below show the internal credit rating grade by type of customers:

Non-retail: Small and medium business
Internal rating grade | Internal rating description | 12 month Basel III PD range | Internal rating grade mapping
Performing |  |  |
1A, 1B, 1C | Minimal Risk | (0.00%-0.03%] | Excellent
2A, 2B, 2C | Excellent Credit Standing | (0.03% - 0.07%] | Strong
3A, 3B, 3C | Very Good Credit Standing | (0.07% - 0.18%]
4A, 4B, 4C | Good Credit Standing | (0.18% - 0.46%] | Good
5A, 5B, 5C | Sound Credit Standing | (0.46% - 1.17%]
6A, 6B, 6C | Acceptable Credit Standing | (1.17% - 2.93%] | Satisfactory
7A, 7B, 7C | Marginal Credit Standing | (2.93% - 7.33%]
8A, 8B, 8C | Weak Credit Standing | (7.33% - 18.33%] | Substandard
9A, 9B, 9C | Very Weak Credit Standing | (18.33% - 100%)
Non- performing
10 | Default | 100% | Impaired

Non-retail: Financial institution
Internal rating grade | Internal rating description | 12 month Basel III PD range | Internal rating grade mapping
Performing |  |  |
1A, 1B, 1C | Minimal Risk | (0.00%-0.03%] | Excellent
2A, 2B, 2C | Excellent Credit Standing | (0.03% - 0.07%] | Strong
3A, 3B, 3C | Very Good Credit Standing | (0.07% - 0.18%]
4A, 4B, 4C | Good Credit Standing | (0.18% - 0.46%] | Good
5A, 5B, 5C | Sound Credit Standing | (0.46% - 1.17%]
6A, 6B, 6C | Acceptable Credit Standing | (1.17% - 2.93%] | Satisfactory
7A, 7B, 7C | Marginal Credit Standing | (2.93% - 7.33%]
8A, 8B, 8C | Weak Credit Standing | (7.33% - 18.33%] | Substandard
9A, 9B, 9C | Very Weak Credit Standing | (18.33% - 100%)
Non- performing
10 | Default | 100% | Impaired

Non-retail: Project Finance
Internal rating grade | Internal rating description | 12 month Basel III PD range | Internal rating grade mapping
Performing |  |  |
6.1 | Excellent project risk profile - very low risk | (0.18%-1.17%] | Good
6.2 | Good project risk profile - low risk | (1.17% - 3.98%] | Satisfactory
6.3 | Acceptable risk profile - average risk | (3.98% - 13.51%]
6.4 | Poor project risk profile - high risk | (13.51% - 100%) | Substandard
Non- performing |  |  |
6.5 | Default | 100% | Impaired

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

64

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below show the internal credit rating grade by type of customers:

Non-retail: Insurance |  |  |
Internal rating grade | Internal rating description | 12 month Basel III PD range | Internal rating grade mapping
Performing |  |  |
0.5 | Minimal Risk | [0.00% - 0.03%] | Excellent
1 | Excellent Credit Standing | (0.03% - 0.05%] | Strong
1.5 | Very Good Credit Standing | (0.05% - 0.07%]
2 | Good Credit Standing | (0.07% - 0.10%]
2.5 | Sound Credit Standing | (0.10% - 0.18%]
3 | Acceptable Credit Standing | (0.18% - 0.34%]
3.5 | Marginal Credit Standing | (0.34% - 0.63%] | Satisfactory
4 | Weak Credit Standing | (0.63% - 2.93%]
4.5 | Very Weak Credit Standing | (2.93% - 100%) | Substandard
Non- performing |  |  |
5 | Default | 100% | Impaired

Non-retail: Sovereign
Internal rating grade | Internal rating description | 12 month Basel III PD range | Internal rating grade mapping
Performing
1A, 1B, 1C | Minimal Risk | (0.00%-0.03%] | Excellent
2A, 2B, 2C | Excellent Credit Standing | (0.03% - 0.07%] | Strong
3A, 3B, 3C | Very Good Credit Standing | (0.07% - 0.18%]
4A, 4B, 4C | Good Credit Standing | (0.18% - 0.46%] | Good
5A, 5B, 5C | Sound Credit Standing | (0.46% - 1.17%]
6A, 6B, 6C | Acceptable Credit Standing | (1.17% - 2.93%] | Satisfactory
7A, 7B, 7C | Marginal Credit Standing | (2.93% - 7.33%]
8A, 8B, 8C | Weak Credit Standing | (7.33% - 18.33%] | Substandard
9A, 9B, 9C | Very Weak Credit Standing | (18.33% - 100%)
Non- performing |  |  |
10 | Default | 100% | Impaired

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

65

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below show the internal credit rating grade by type of customers:

Non-retail - Collective Investment Undertakings
Internal rating grade | Internal rating description | 12 month Basel III PD range | Internal rating grade mapping
Performing |  |  |
C1 | Excellent Credit Standing | (0.00% - 0.03%] | Strong
C2 | Very strong Credit Standing | (0.03% - 0.04%]
C3 | Strong Credit Standing | (0.04% - 0.05%]
C4 | Good Credit Standing | (0.05% - 0.07%]
C5 | Quite good Credit Standing | (0.07% - 0.25%]
C6 | Satisfactory Credit Standing | (0.25% - 1.17%]
C7 | Adequate Credit Standing | (1.17% - 2.93%] | Good
C8 | Highly questionable Credit Standing | (2.93% - 7.33%] | Satisfactory
C9 | Doubtful/high default risk | (7.33% - 100%) | Substandard
Non- performing |  |  |
CD | Insolvency, loss | 100% | Impaired

Non-retail: Local and Regional Government
Internal rating grade | Internal rating description | 12 month Basel III PD range | Internal rating grade mapping
Performing |  |  |
1A, 1B, 1C | Minimal Risk | (0.00%-0.03%] | Excellent
2A, 2B, 2C | Excellent Credit Standing | (0.03% - 0.07%] | Strong
3A, 3B, 3C | Very Good Credit Standing | (0.07% - 0.18%]
4A, 4B, 4C | Good Credit Standing | (0.18% - 0.46%] | Good
5A, 5B, 5C | Sound Credit Standing | (0.46% - 1.17%]
6A, 6B, 6C | Acceptable Credit Standing | (1.17% - 2.93%] | Satisfactory
7A, 7B, 7C | Marginal Credit Standing | (2.93% - 7.33%]
8A, 8B, 8C | Weak Credit Standing | (7.33% - 18.33%] | Substandard
9A, 9B, 9C | Very Weak Credit Standing | (18.33% - 100%)
Non- performing |  |  |
10 | Default | 100% | Impaired

Non-performing exposures
Non-retail
Non-performing exposures are the exposures that satisfy either or both of the following criteria:
a) material exposures which are more than 90 days past-due;
b) the debtor is assessed as unlikely to pay its credit obligations in full without realisation of collateral, regardless of the
existence of any past-due amount or the number of days past due.
The materiality threshold of the outstanding credit obligations , related to non-credit exposures, is:
a) the level of the relative component of the materiality threshold is 1%;
b) the level of the absolute component of the materiality threshold is RON 1,000.
Retail
The definition of non-performing exposures has been harmonized with the definition of defaulted exposures. Thus, an exposure is
considered non-performing if it is classified as being in default, namely if any of the following criteria is met:
• material exposures which are more than 90 days past-due;
• the debtor is assessed as unlikely to pay its credit obligations in full without realisation of collateral, regardless of the
existence of any past-due amount or the number of days past due.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

66

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The materiality threshold of the outstanding credit obligations consists in an absolute and a relative component:
• the level of the relative component is 1%;
• the level of the absolute component is RON 150.
ESG Risks
During the reporting period, it was determined that there are no financially material risks from climate change to the regular risk
parameters (market risk, credit risk, operational risk, and liquidity risk). The effects of climate change are mainly observed through
scenario analyses over longer periods. Further information on the nature, extent and mitigation of climate change risk are
available in chapter IRO-1: Process to identify and assess material impacts, risks and opportunities in the sustainability statement
of the Director’s Report.
c) Liquidity risk
Liquidity risk is generated in the normal course of banking activity being a consequence of the bank’s response to client needs.
While depositors need short term access to their funds, borrowers need the possibility to repay the loans in medium to long term
timeframes, therefore by responding to these needs the Bank accepts a degree of liquidity risk that has to be actively managed.
The Management Board defines the liquidity risk strategy based on recommendations made by the units responsible for liquidity
and funding management in cooperation with the area responsible for monitoring and controlling of liquidity risk. Management
Board approves each year the limits which are applied to measure and control liquidity risk as well as the Bank’s funding plan.
The risk tolerance of the Bank represents the foundation of the liquidity risk management framework and is defined:
• for normal business conditions, using a set of limits for the long term liquidity risk profile. The role of the limits is to
prevent the accumulation of liquidity risk from current activity of the Bank;
• for stress conditions, tolerance is the Bank’s capacity to operate for an acceptable time without significant changes to
the strategy or business model.
Treasury Directorate function is responsible for the management of liquidity and funding risk of the Bank and Group Risk
C ontrolling and Portfolio Management Directorate has responsibilities for liquidity risk monitoring and controlling, as defined in the
liquidity and funding strategies.
For liquidity management, the Bank analyses, monitors and forecasts the liquidity behavior of products and business segments
and maintains long-term liquidity, including stable deposits, in excess of illiquid assets, at an optimal cost, as defined in the risk
appetite.
Diversification of funding profile in terms of investor types, products and instruments is an important element of the liquidity
management framework. The core funding resources come from retail clients while other customer’s deposits, interbank deposits
and borrowings are additional sources of funding. This improves the Bank’s flexibility in funding and diminishes the liquidity cost.
The transfer pricing mechanism represents an important instrument for the management of liquidity risks. It covers the balance
sheet and off balance sheet elements and is designed to allocate all costs and benefits to the business segments in a way that
incentivizes the efficient use of liquidity.
The main tools used for liquidity and funding risk management are:
• the liquidity gap report: used to identify and measure the maturity mismatch between assets and liabilities;
• liquidity scorecard: tool for assessing the robustness of the balance sheet structure (loans to deposits ratio, funding
concentration, size of liquid assets in relation to total obligations, etc.);
• regulatory liquidity reports: the Bank has to comply with local and European liquidity requirements;
• funding scorecard: the Bank ensures that funding risk is mitigated through the monitoring of several triggers, among
which: the concentration in sources of wholesale funding, maturity concentration, the dependence on short term
funding and the percentage of unencumbered assets.
At Bank level, there are pre-established trigger levels set for the main tools which are monitored and, in case a breach is observed
or anticipated, a specific action plan is taken based on senior management decision.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

67

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

For stress conditions, the Bank maintains a sufficient liquidity buffer that can be used to compensate the limited access to
funding sources and liquidity outflows during stress periods. The Bank determines the necessary liquidity buffer based on stress
test analysis. In addition, the Bank defines a contingency plan which establishes responsibilities and specific actions that can be
taken to strengthen liquidity position on short term and reduce liquidity risk on medium to long term.
The main tools used for stress conditions are:
– Early warning system: used to monitoring financial markets and internal liquidity indicators in order to anticipate
accumulation of risks and potential stress conditions;
– Internal stress test: scenario based analysis used to evaluate Bank’s ability to operate in stress conditions;
– Regulatory liquidity coverage ratio: scenario based analysis standardized at banking system level, used to evaluate
Bank’s ability to operate in stress conditions, as described in CRR/ CRD IV package. According to the standard, banks are
required to hold an adequate stock of unencumbered high quality assets (HQLA) to cover potential liquidity outflows in
stress conditions.
Group
The financial assets and liabilities analyzed over the remaining period from the balance sheet date to contractual maturity are as
at 31 December 2024 as follows:

In RON thousand | Up to 3 Months | 3 Months to 1 Year | 1 Year to 5 Years | Over 5 Years | Without maturity | Total
Financial Assets |  |  |  |  |  |
Cash and cash with Central Bank | 14,050,036 | – | – | – | – | 14,050,036
Loans and advances to banks at amortised cost | 699,056 | 50,097 | 354,610 | 110,653 | 9 | 1,214,425
Derivative assets held for risk management | 716 | 260 | 7,990 | 462 | – | 9,428
Trading assets | 117,711 | 92,141 | 221,022 | 117,633 | – | 548,507
Financial assets mandatorily at fair value through profit or loss | 32,909 | 3,194 | 19,268 | 70,245 | 11,921 | 137,537
Investment securities at fair value through other comprehensive income | 146 | 424,904 | 825,144 | 911,437 | – | 2,161,631
Equity instruments at fair value through other comprehensive income | – | – | – | – | 135,593 | 135,593
Loans and advances to customers at amortised cost | 8,280,801 | 9,333,724 | 21,160,753 | 10,196,996 | – | 48,972,274
Derivatives Asset– Hedge accounting | – | 98 | 50,568 | 1,469 | – | 52,135
Investment securities at amortised cost | 272,775 | 457,956 | 6,295,213 | 6,865,407 | – | 13,891,351
Other assets | 468,503 | 118 | – | – | – | 468,621
Total financial assets | 23,922,653 | 10,362,492 | 28,934,568 | 18,274,302 | 147,523 | 81,641,538
Financial Liabilities |  |  |  |  |  |
Trading liabilities | 238,288 | 5,603 | 274 | – | – | 244,165
Deposits from banks | 551,497 | 483 | – | – | – | 551,980
Deposits from customers | 54,510,601 | 10,073,522 | 346,896 | 175,132 | – | 65,106,151
Loans from banks and other financial institutions | 155,433 | 47,537 | 127,674 | 446,202 | – | 776,846
Fair value changes of the hedged items-liability | 17,674 | – | – | – | – | 17,674
Derivatives – hedge accounting | – | 2,144 | 2 | – | – | 2,146
Debt securities issued | 34,407 | – | 5,038,298 | – | – | 5,072,705
Subordinated loans | – | 125,038 | 200,710 | 484,379 | – | 810,127
Other liabilities | 1,356,494 | 61,891 | 157,720 | 6,560 | – | 1,582,665
Total financial liabilities | 56,864,394 | 10,316,218 | 5,871,574 | 1,112,273 | – | 74,164,459
Maturity surplus/ (shortfall) | (32,941,741) | 46,274 | 23,062,994 | 17,162,029 | 147,523 | 7,477,079

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

68

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Group
The financial assets and liabilities analyzed over the remaining period from the balance sheet date to contractual maturity are as
at 31 December 2023 as follows:

In RON thousand | Up to 3 Months | 3 Months to 1 Year | 1 Year to 5 Years | Over 5 Years | Without maturity | Total
Financial Assets |  |  |  |  |  |
Cash and cash with Central Bank | 13,867,449 | – | – | – | – | 13,867,449
Loans and advances to banks at amortised cost | 281,043 | 151,253 | 50,098 | 2,242 | 4 | 484,640
Derivative assets held for risk management | 1,799 | 2,411 | 13,975 | – | – | 18,185
Trading assets | 7,367 | 7,145 | 118,965 | 47,839 | – | 181,316
Financial assets mandatorily at fair value through profit or loss | 32,357 | 3,859 | 23,138 | 100,520 | 18,553 | 178,427
Investment securities at fair value through other comprehensive income | 95,804 | 918,901 | 1,179,074 | 531,427 | – | 2,725,206
Equity instruments at fair value through other comprehensive income | – | – | – | – | 90,579 | 90,579
Loans and advances to customers at amortised cost | 3,890,583 | 9,250,380 | 17,971,252 | 10,624,538 | 76,481 | 41,813,234
Derivatives Asset– Hedge accounting | – | – | 35,729 | 2,064 | – | 37,793
Investment securities at amortised cost | 151,511 | 1,068,953 | 4,660,051 | 4,146,106 | – | 10,026,621
Other assets | 193,483 | 154 | – | – | – | 193,637
Total financial assets | 18,521,396 | 11,403,056 | 24,052,282 | 15,454,736 | 185,617 | 69,617,087
Financial Liabilities |  |  |  |  |  |
Trading liabilities | 7,456 | 1,861 | 123 | – | – | 9,440
Derivative liabilities held for risk management | 297 | 378 | – | – | – | 675
Deposits from banks | 435,001 | 484 | – | – | 59,443 | 494,928
Deposits from customers | 46,585,130 | 7,270,762 | 294,374 | 249,972 | – | 54,400,238
Loans from banks and other financial institutions | 345 | 38,779 | 93,444 | 355,990 | – | 488,558
Derivatives – Hedge accounting | – | – | 709 | – | – | 709
Fair value changes of the hedged items-liability | 4,940 | – | – | – | – | 4,940
Debt securities issued | 36,577 | – | 5,037,234 | 481,193 | – | 5,555,004
Subordinated loans | – | – | 125,050 | 201,065 | – | 326,115
Other liabilities | 1,279,326 | 61,537 | 174,383 | 3,100 | – | 1,518,346
Total financial liabilities | 48,349,072 | 7,373,801 | 5,725,317 | 1,291,320 | 59,443 | 62,798,953
Maturity surplus/ (shortfall) | (29,827,676) | 4,029,255 | 18,326,965 | 14,163,416 | 126,174 | 6,818,134

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

69

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Bank
The financial assets and liabilities analyzed over the remaining period from the balance sheet date to contractual maturity are as
of 31 December 2024 as follows:

In RON thousand | Up to 3 Months | 3 Months to 1 Year | 1 Year to 5 Years | Over 5 Years | Without maturity | Total
Financial Assets |  |  |  |  |  |
Cash and cash with Central Bank | 13,990,283 | – | – | – | – | 13,990,283
Loans and advances to banks at amortised cost | 696,848 | 50,097 | 354,610 | 122,816 | – | 1,224,371
Derivative assets held for risk management | 716 | 260 | 7,990 | 462 | – | 9,428
Trading assets | 117,711 | 92,141 | 221,022 | 117,633 | – | 548,507
Financial assets mandatorily at fair value through profit or loss | 7,448 | 3,194 | 19,268 | 70,245 | 11,921 | 112,076
Investment securities at fair value through other comprehensive income | 146 | 424,904 | 825,144 | 911,437 | – | 2,161,631
Equity instruments at fair value through other comprehensive income | – | – | – | – | 135,593 | 135,593
Loans and advances to customers at amortised cost | 8,361,303 | 9,501,259 | 20,305,372 | 10,114,350 | – | 48,282,284
Derivatives Asset– Hedge accounting | – | 98 | 50,568 | 1,469 | – | 52,135
Investment securities at amortised cost | 266,102 | 452,545 | 6,295,213 | 6,865,407 | – | 13,879,267
Other assets | 401,802 | – | – | – | – | 401,802
Total financial assets | 23,842,359 | 10,524,498 | 28,079,187 | 18,203,819 | 147,514 | 80,797,377
Financial Liabilities |  |  |  |  |  |
Trading liabilities | 238,288 | 5,603 | 274 | – | – | 244,165
Deposits from banks | 551,497 | 483 | – | – | – | 551,980
Deposits from customers | 54,623,925 | 10,070,699 | 346,896 | 175,132 | – | 65,216,652
Loans from banks and other financial institutions | 155,435 | 422 | 477 | – | – | 156,334
Fair value changes of the hedged items-liability | 17,674 | – | – | – | – | 17,674
Derivatives – hedge accounting | – | 2,144 | 2 | – | – | 2,146
Debt securities issued | 34,407 | – | 5,038,298 | – | – | 5,072,705
Subordinated loans | – | 125,038 | 200,710 | 484,379 | – | 810,127
Other liabilities | 1,325,636 | 61,272 | 157,720 | 6,560 | – | 1,551,188
Total financial liabilities | 56,946,862 | 10,265,661 | 5,744,377 | 666,071 | – | 73,622,971
Maturity surplus/ (shortfall) | (33,104,503) | 258,837 | 22,334,810 | 17,537,748 | 147,514 | 7,174,406

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

70

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Bank
The financial assets and liabilities analyzed over the remaining period from the balance sheet date to contractual maturity are as
of 31 December 2023 as follows:

In RON thousand | Up to 3 Months | 3 Months to 1 Year | 1 Year to 5 Years | Over 5 Years | Without maturity | Total
Financial Assets |  |  |  |  |  |
Cash and cash with Central Bank | 13,802,815 | – | – | – | – | 13,802,815
Loans and advances to banks at amortised cost | 279,614 | 151,253 | 50,098 | 14,292 | – | 495,257
Derivative assets held for risk management | 1,799 | 2,411 | 13,975 | – | – | 18,185
Trading assets | 7,367 | 7,145 | 118,965 | 47,839 | – | 181,316
Financial assets mandatorily at fair value through profit or loss | 10,043 | 3,859 | 23,138 | 100,520 | 18,553 | 156,113
Investment securities at fair value through other comprehensive income | 75,476 | 918,901 | 1,179,074 | 531,427 | – | 2,704,878
Equity instruments at fair value through other comprehensive income | – | – | – | – | 90,579 | 90,579
Loans and advances to customers at amortised cost | 3,675,061 | 9,164,342 | 18,142,758 | 10,277,276 | – | 41,259,437
Derivatives Asset– Hedge accounting | – | – | 35,729 | 2,064 | – | 37,793
Investment securities at amortised cost | 149,776 | 1,057,164 | 4,660,051 | 4,146,106 | – | 10,013,097
Other assets | 161,302 | – | – | – | – | 161,302
Total financial assets | 18,163,253 | 11,305,075 | 24,223,788 | 15,119,524 | 109,132 | 68,920,772
Financial Liabilities |  |  |  |  |  |
Trading liabilities | 7,456 | 1,861 | 123 | – | – | 9,440
Derivative liabilities held for risk management | 297 | 378 | – | – | – | 675
Deposits from banks | 435,001 | 484 | – | – | 59,443 | 494,928
Deposits from customers | 46,679,120 | 7,266,522 | 293,265 | 249,964 | – | 54,488,871
Loans from banks and other financial institutions | 346 | 518 | 881 | – | – | 1,745
Derivatives – Hedge accounting | – | – | 709 | – | – | 709
Fair value changes of the hedged items-liability | 4,940 | – | – | – | – | 4,940
Debt securities issued | 36,577 | – | 5,037,234 | 481,193 | – | 5,555,004
Subordinated loans | – | – | 125,050 | 200,965 | – | 326,015
Other liabilities | 1,245,880 | 60,660 | 171,487 | 3,100 | – | 1,481,127
Total financial liabilities | 48,409,617 | 7,330,423 | 5,628,749 | 935,222 | 59,443 | 62,363,454
Maturity surplus/ (shortfall) | (30,246,364) | 3,974,652 | 18,595,039 | 14,184,302 | 49,689 | 6,557,318

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

71

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Usually, the most significant liquidity gap is registered in the first interval (up to 3 months) mainly due to non-banking customers,
which prefer short term maturities for deposits and long term maturities for loans. This behaviour determines a negative gap in
the first interval generates a positive gap on the other intervals (higher than 3 months). In practice the negative gap in the first
bucket does not represent outflows as most customer deposits are rolled over or replaced by new deposits.
Also the Group securities portfolio can be turned to cash (repo or sale) in a short time representing thus a buffer that diminishes
the liquidity risk in the first bucket.
Group:
The negative liquidity gap for the first band increased in 2024 by RON 3,114,065 thousand compared to 2023, being mainly
determined by the increase of loans and advances to customers at amortized cost by RON 4,390,218 thousand compared to 2023,
partially compensated by the increase in deposits from customers in the first maturity by RON 7,925,471 thousand).
As for the other maturity bands, on the 3 months-1 year tenor, the liquidity surplus decreased by RON 3,982,981 thousand, as a
result of the increase in deposits from customers on this bucket by RON 2,802,760 thousand. On the maturity band of 1 – 5 years,
the liquidity surplus increased by RON 4,736,029 thousand, the main factor of influence being represented by the loans and
advances to customers at amortized cost which increased by RON 3,189,501 thousand and by debt securities at amortized cost
which increased by RON 1,635,162 thousands on this maturity band. On the maturity band of over 5 years, the liquidity surplus
increased by RON 2,998,613 thousand, being mainly influenced by the increase in investment securities at amortised cost by RON
2,719,301 thousand and by the increase in investment securities at fair value through other comprehensive income which increased
by RON 380,010 thousands on this maturity band.
Bank:
The negative liquidity gap for the first band increased in 2024 by RON 2.858.139 thousand compared to 2023, being mainly
determined by the increase of loans and advances to customers at amortized cost by RON 4.686.242 thousand compared to 2023,
partially compensated by the increase in deposits from customers in the first maturity band by RON 7,944,805 thousand).
As for the other maturity bands, on the 3 month – 1 year band, the liquidity surplus decrease by RON 3,715,815 thousand, as a result
of the increase in deposits from customers on this band by RON 2,804,177 thousand. On the maturity band of 1 – 5 years, the
liquidity surplus increased by RON 3,739,771 thousand, mainly due to loans and advances to customers at amortized cost which
increased by RON 2,162,614 thousands and to the increase in investment securities at amortized cost which increased by RON
1,635,162 thousands on this maturity band. On the maturity band of over 5 years, the liquidity surplus increased by RON 3,353,446
thousand, being mainly influenced by the increase in investment securities at amortised cost by RON 2,719,301 thousand and by
the increase in investment securities at fair value through other comprehensive income which increased by RON 380,010
thousands on this maturity band.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

72

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Analysis of financial liabilities by remaining contractual maturities
The amounts disclosed in the below tables represent contractual maturity analysis for financial liabilities disclosed in accordance
with IFRS 7, whereby the undiscounted cash flows to be shown in these predefined maturity-bands differ from the amounts
included in the balance sheet because the balance sheet amount is based on discounted cash flows.
Group
Financial liabilities analyzed over the remaining period from the reporting date, using undiscounted cash flows as of 31 December
2024 are as follows:

In RON thousand | Up to 1 Month | 1 Month to 3 Months | 3 Months to 1 Year | 1 Year to 5 Years | Over 5 Years | Total
Financial Liabilities |  |  |  |  |  |
Net settled trading liabilities | – | – | – | 88 | – | 88
Gross settled trading liabilities | 369,728 | 612,173 | 1,120,445 | 162,541 | – | 2,264,887
Deposits from banks | 551,497 | – | 483 | – | – | 551,980
Deposits from customers | 45,333,279 | 9,263,230 | 10,252,529 | 358,639 | 191,884 | 65,399,561
Loans from banks and other financial institutions | 155,339 | 51,402 | 144,853 | 468,610 | – | 820,204
Debt securities issued | 10,510 | – | 327,526 | 5,606,005 | – | 5,944,041
Subordinated loans | 1,030 | 11,810 | 157,481 | 351,723 | 626,051 | 1,148,095
Lease liabilities | 10,354 | 16,517 | 65,738 | 180,809 | 6,182 | 279,600
Total financial liabilities | 46,431,737 | 9,955,132 | 12,069,055 | 7,128,415 | 824,117 | 76,408,456
Undrawn commitments | 1,877,383 | 1,295,106 | 5,376,467 | 6,356,128 | 2,334,600 | 17,239,684
Financial guarantees and Letters of credit | 16,403 | 771,663 | 1,392,525 | 1,365,940 | 1,028,464 | 4,574,995
Other financial guarantees | 13 | 3,542 | 30,881 | 15,004 | 6,641 | 56,081
Total commitments and guarantees | 1,893,799 | 2,070,311 | 6,799,873 | 7,737,072 | 3,369,705 | 21,870,760
Contractual amounts receivable | 367,188 | 195,738 | 25,479 | – | – | 588,405
Contractual amounts payable | (366,469) | (195,018) | (24,871) | – | – | (586,358)
Gross settled derivative liabilities held for risk management | 719 | 720 | 608 | – | – | 2,047

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

73

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Group
Financial liabilities analyzed over the remaining period from the reporting date, using undiscounted cash flows as of 31 December
2023 are as follows:

In RON thousand | Up to 1 Month | 1 Month to 3 Months | 3 Months to 1 Year | 1 Year to 5 Years | Over 5 Years | Total
Financial Liabilities |  |  |  |  |  |
Net settled trading liabilities | – | – | 11 | 123 | – | 134
Gross settled trading liabilities | 166,357 | 287,268 | 472,817 | – | – | 926,442
Net settled derivative liabilities held for risk management | – | – | 87 | – | – | 87
Deposits from banks | 484,444 | – | 10,484 | – | – | 494,928
Deposits from customers | 39,857,464 | 6,796,001 | 7,454,476 | 307,403 | 313,602 | 54,728,946
Loans from banks and other financial institutions | 6 | 30,429 | 69,447 | 318,758 | – | 418,640
Debt securities issued | – | 11,830 | 363,568 | 6,118,637 | 526,340 | 7,020,375
Subordinated loans | 1,030 | 4,323 | 15,221 | 179,108 | 203,749 | 403,431
Lease liabilities | 10,439 | 15,924 | 62,693 | 182,851 | 3,492 | 275,399
Total financial liabilities | 40,519,740 | 7,145,775 | 8,448,804 | 7,106,880 | 1,047,183 | 64,268,382
Undrawn commitments | 2,164,671 | 1,453,556 | 4,970,774 | 5,538,137 | 1,598,317 | 15,725,455
Financial guarantees and Letters of credit | 501,669 | 1,271,880 | 1,024,997 | 896,533 | 1,144,055 | 4,839,134
Other financial guarantees | 793 | 782 | 25,326 | 9,502 | 13,118 | 49,521
Total commitments and guarantees | 2,667,133 | 2,726,218 | 6,021,097 | 6,444,172 | 2,755,490 | 20,614,110
Contractual amounts receivable | 1,026,723 | 232,979 | 49,746 | – | – | 1,309,448
Contractual amounts payable | (1,026,402) | (232,502) | (50,985) | – | – | (1,309,889)
Gross settled derivative liabilities held for risk management | 321 | 477 | (1,239) | – | – | (441)

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

74

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Bank
Financial liabilities analyzed over the remaining period from the reporting date, using undiscounted cash flows as of 31 December
2024 are as follows:

In RON thousand | Up to 1 Month | 1 Month to 3 Months | 3 Months to 1 Year | 1 Year to 5 Years | Over 5 Years | Total
Financial Liabilities |  |  |  |  |  |
Net settled trading liabilities | – | – | – | 88 | – | 88
Gross settled trading liabilities | 369,728 | 612,173 | 1,120,445 | 162,541 | – | 2,264,887
Deposits from banks | 551,497 | – | 483 | – | – | 551,980
Deposits from customers | 45,331,777 | 9,375,233 | 10,252,529 | 358,639 | 191,884 | 65,510,062
Loans from banks and other financial institutions | 155,339 | – | – | 995 | – | 156,334
Debt securities issued | 10,510 | – | 327,526 | 5,606,005 | – | 5,944,041
Subordinated loans | 1,030 | 11,810 | 157,481 | 351,723 | 626,051 | 1,148,095
Lease liabilities | 10,354 | 16,517 | 65,738 | 180,809 | 3,878 | 277,296
Total financial liabilities | 46,430,235 | 10,015,733 | 11,924,202 | 6,660,800 | 821,813 | 75,852,783
Undrawn commitments | 1,877,383 | 1,273,421 | 5,357,929 | 6,635,287 | 2,323,659 | 17,467,679
Financial guarantees and Letters of credit | 16,403 | 771,663 | 1,392,525 | 1,365,940 | 1,028,464 | 4,574,995
Other financial guarantees | 13 | 3,542 | 30,881 | 15,004 | 6,641 | 56,081
Total commitments and guarantees | 1,893,799 | 2,048,626 | 6,781,335 | 8,016,231 | 3,358,764 | 22,098,755
Contractual amounts receivable | 367,188 | 195,738 | 25,479 | – | – | 588,405
Contractual amounts payable | (366,469) | (195,018) | (24,871) | – | – | (586,358)
Gross settled derivative liabilities held for risk management | 719 | 720 | 608 | – | – | 2,047

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

75

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Bank
Financial liabilities analyzed over the remaining period from the reporting date, using undiscounted cash flows as of 31 December
2023 are as follows:

In RON thousand | Up to 1 Month | 1 Month to 3 Months | 3 Months to 1 Year | 1 Year to 5 Years | Over 5 Years | Total
Financial Liabilities |  |  |  |  |  |
Net settled trading liabilities | – | – | 11 | 123 | – | 134
Gross settled trading liabilities | 166,357 | 287,268 | 472,817 | – | – | 926,442
Net settled derivative liabilities held for risk management | – | – | 87 | – | – | 87
Deposits from banks | 484,444 | – | 10,484 | – | – | 494,928
Deposits from customers | 39,846,448 | 6,896,767 | 7,453,367 | 307,395 | 313,602 | 54,817,579
Loans from banks and other financial institutions | 6 | – | – | 1,739 | – | 1,745
Debt securities issued | – | 11,830 | 363,568 | 6,118,637 | 526,340 | 7,020,375
Subordinated loans | 1,030 | 4,323 | 15,221 | 179,008 | 203,749 | 403,331
Lease liabilities | 10,439 | 15,924 | 62,693 | 180,023 | 3,492 | 272,571
Total financial liabilities | 40,508,724 | 7,216,112 | 8,378,248 | 6,786,925 | 1,047,183 | 63,937,192
Undrawn commitments | 2,164,831 | 1,440,762 | 4,952,501 | 5,485,437 | 1,594,068 | 15,637,599
Financial guarantees and Letters of credit | 501,669 | 1,271,880 | 1,024,997 | 896,533 | 1,144,055 | 4,839,134
Other financial guarantees | 793 | 782 | 25,326 | 9,502 | 13,118 | 49,521
Total commitments and guarantees | 2,667,293 | 2,713,424 | 6,002,824 | 6,391,472 | 2,751,241 | 20,526,254
Contractual amounts receivable | 1,026,723 | 232,979 | 49,746 | – | – | 1,309,448
Contractual amounts payable | (1,026,402) | (232,502) | (50,985) | – | – | (1,309,889)
Gross settled derivative liabilities held for risk management | 321 | 477 | (1,239) | – | – | (441)

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

76

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

d) Market risk
Market risk is the risk that changes in market prices, such as interest rates, foreign exchange rates and others will affect the
Group’s income or the value of its holdings of financial instruments. The objective of market risk management is to manage and
control market risk exposures within acceptable parameters, while optimizing the return on risk.
The Group separates its exposure to market risk between trading and non-trading portfolios.
The principal tool used to measure and control market risk exposure within the Group’s trading portfolios is Value at Risk (VaR).
The VaR of a trading portfolio is the maximum estimated loss that can arise on the portfolio over a specified period of time
(holding period) from an adverse market movement with a specified probability (confidence level). In 2024, the VaR model used by
the Group is based upon a 99% confidence level and assumes a 1 day holding period.
Although VaR is an important tool for measuring market risk, the assumptions on which the model is based do give rise to some
limitations, including the following:
• A 1 day holding period assumes that it is possible to hedge or dispose of positions within that period. This is considered
to be a realistic assumption in almost all cases but may not be the case in situations when there is severe market
illiquidity for a prolonged period;
• A 99% confidence level does not reflect losses that may occur beyond this level. Even within the used model there is a 1%
probability that losses could exceed the VaR;
• VaR is calculated on an end-of-day basis and does not reflect exposures that may arise on positions during the trading
day.
The Group calculates VaR for total market risk and for individual foreign exchange and interest rate risk. The overall structure of
VaR limits is subject to review and approval by the Assets and Liabilities Committee (ALCO). VaR is calculated on a daily basis.
Reports including VaR figures and limits utilization are submitted daily to Group management and monthly summaries are
submitted to ALCO.
A summary of the VaR position of the Group’s trading portfolios at December 31, 2024 and 2023 and during the period is as follows
(trading portfolio includes trading assets and trading liabilities as well as the overall FX position of the Group):

In RON thousand | At 31 December | Average Risk | Maximum Risk | Minimum Risk
2024 |  |  |  |
Foreign currency risk* | 65 | 38 | 323 | 5
Interest-rate risk | 976 | 1,034 | 2,643 | 172
Total | 1,041 | 1,072 | 2,966 | 177
2023 |  |  |  |
Foreign currency risk* | 31 | 57 | 414 | 10
Interest-rate risk | 592 | 521 | 1,354 | 106
Total | 623 | 578 | 1,768 | 116

* Foreign currency risk is calculated based on the overall foreign exchange position of the Group

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

77

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

A summary of the VaR position of the Bank’s trading portfolios at December 31, 2024 and 2023 and during the period is as follows
(trading portfolio includes trading assets and trading liabilities as well as the overall FX position of the Bank):

In RON thousand | At 31 December | Average Risk | Maximum Risk | Minimum Risk
2024 |  |  |  |
Foreign currency risk* | 63 | 38 | 323 | 5
Interest-rate risk | 976 | 1,034 | 2,643 | 172
Total | 1,039 | 1,072 | 2,966 | 177
2023 |  |  |  |
Foreign currency risk* | 26 | 57 | 414 | 10
Interest-rate risk | 592 | 521 | 1,354 | 106
Total | 618 | 578 | 1,768 | 116

* Foreign currency risk is calculated based on the overall foreign exchange position of the Bank
At Bank level, the foreign exchange risk is managed through the overall open foreign currency position which represents the basis
for the calculation of the VaR for currency risk. In addition to VaR, the foreign exchange risk is measured, monitored and controlled
at Bank level through the set of limits for the open notional foreign currency position for each currency and for total. The Bank
may have positions only in currencies for which an approved open foreign currency notional position limit is in place.
Exposure to interest rate risk for non-trading portfolios
The main risk to which non-trading portfolios are exposed is the interest rate risk. Interest rate risk represents the risk of loss due
to adverse and unexpected movements in interest rates. On one side interest rate movements influence bank’s earnings by
affecting the net interest rate revenues (earnings perspective). On the other side movements in interest rates also affect the
economic value of bank’s assets, liabilities and off balance sheet items as the present value of future cash flows (and even the
actual cash flows) may change following interest rate movements (economic value perspective). Interest rate risk is principally
managed by monitoring the interest rate gap and a set of pre-approved limits. ALCO is the monitoring body for compliance with
these limits and is assisted by Risk Management in its day-to-day monitoring activities.
The derivative financial instruments used by the Group to reduce the interest rate risk include swaps that fluctuate in value
depending on the interest rates variations.
The swaps are over the counter market commitments and are traded between the Group and third parties with the purpose of
exchanging future cash flows on agreed amounts. Through interest rate swaps, the Group agrees to exchange with third parties,
at determined time intervals the difference between the fixed and variable interest rates.
The following tables provide an analysis of the interest rate risk exposure on non-trading financial assets and liabilities. The assets
and liabilities are included at carrying amount and categorised by the earlier of contractual repricing (repricing for products with
variable interest rates) or maturity dates (for products with fixed interest rates), except for positions without contractual maturity
(such as sight deposits from customers) which are distributed per buckets according to modelled interest rate profile calculated
based on statistical methods.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

78

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

A summary of the Group’s interest rate gap position on non-trading portfolios as at 31 December 2024 is as follows:

In RON thousand | Less than 3 months | 3 – 12 months | 1 – 5 years | Over 5 years | Non- interest bearing | Total
Assets |  |  |  |  |  |
Cash and cash with Central Bank | 12,218,613 | – | – | – | 1,831,423 | 14,050,036
Loans and advances to banks at amortised cost | 1,214,425 | – | – | – | – | 1,214,425
Financial assets mandatorily at fair value through profit or loss | 40,257 | 52,337 | 7,419 | 143 | 37,381 | 137,537
Investment securities at fair value through other comprehensive income | 79,851 | 506,038 | 785,253 | 790,489 | – | 2,161,631
Loans and advances to customers at amortised cost | 29,817,779 | 8,610,651 | 10,385,775 | 158,069 | – | 48,972,274
Investment securities at amortised cost | 318,205 | 765,517 | 6,088,681 | 6,718,948 | – | 13,891,351
| 43,689,130 | 9,934,543 | 17,267,128 | 7,667,649 | 1,868,804 | 80,427,254
Liabilities |  |  |  |  |  |
Deposits from banks | 500,875 | 16,134 | 34,971 | – | – | 551,980
Deposits from customers | 37,195,524 | 12,399,488 | 9,855,238 | 5,655,901 | – | 65,106,151
Loans from banks and other financial institutions | 750,170 | 12,326 | 14,350 | – | – | 776,846
Debt securities issued | – | 108,088 | 4,964,617 | – | – | 5,072,705
Subordinated loans | 685,774 | 124,353 | – | – | – | 810,127
| 39,132,343 | 12,660,389 | 14,869,176 | 5,655,901 | – | 72,317,809
Effect of derivatives held for risk management purposes | (2,531,558) | 198,705 | 2,360,780 | (29,845) | – | (1,918)
Net position | 2,025,229 | (2,527,141) | 4,758,732 | 1,981,903 | 1,868,804 | 8,107,527

A summary of the Group’s interest rate gap position on non-trading portfolios as at 31 December 2023 is as follows:

In RON thousand | Less than 3 months | 3 – 12 months | 1 – 5 years | Over 5 years | Non- interest bearing | Total
Assets |  |  |  |  |  |
Cash and cash with Central Bank | 12,003,878 | – | – | – | 1,863,571 | 13,867,449
Loans and advances to banks at amortised cost | 479,464 | – | – | 5,172 | 4 | 484,640
Financial assets mandatorily at fair value through profit or loss | 20,036 | 112,543 | 4,965 | 16 | 40,867 | 178,427
Investment securities at fair value through other comprehensive income | 147,859 | 1,019,741 | 1,081,990 | 475,616 | – | 2,725,206
Loans and advances to customers at amortised cost | 25,507,561 | 8,165,471 | 7,429,826 | 710,376 | – | 41,813,234
Investment securities at amortised cost | 109,703 | 1,337,149 | 4,580,181 | 3,999,588 | – | 10,026,621
| 38,268,501 | 10,634,904 | 13,096,962 | 5,190,768 | 1,904,442 | 69,095,577
Liabilities |  |  |  |  |  |
Deposits from banks | 455,053 | 3,618 | 16,712 | 19,545 | – | 494,928
Deposits from customers | 27,442,032 | 10,124,907 | 11,554,694 | 5,278,605 | – | 54,400,238
Loans from banks and other financial institutions | 439,254 | 17,125 | 32,179 | – | – | 488,558
Debt securities issued | 481,193 | 108,326 | 4,965,485 | – | – | 5,555,004
Subordinated loans | 201,750 | – | 124,365 | – | – | 326,115
| 29,019,282 | 10,253,976 | 16,693,435 | 5,298,150 | – | 61,264,843
Effect of derivatives held for risk management purposes | (1,360,177) | (74,369) | 1,464,939 | (29,848) | – | 545
Net position | 7,889,042 | 306,559 | (2,131,534) | (137,230) | 1,904,442 | 7,831,279

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

79

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

A summary of the Bank’s interest rate gap position on non-trading portfolios as at 31 December 2024 is as follows:

In RON thousand | Less than 3 months | 3 – 12 months | 1 – 5 years | Over 5 years | Non- interest bearing | Total
Assets |  |  |  |  |  |
Cash and cash with Central Bank | 12,158,869 | – | – | – | 1,831,414 | 13,990,283
Loans and advances to banks at amortised cost | 1,224,371 | – | – | – | – | 1,224,371
Financial assets mandatorily at fair value through profit or loss | 40,256 | 52,337 | 7,419 | 143 | 11,921 | 112,076
Investment securities at fair value through other comprehensive income | 79,851 | 506,038 | 785,253 | 790,489 | – | 2,161,631
Loans and advances to customers at amortised cost | 29,363,090 | 8,520,838 | 10,243,269 | 155,087 | – | 48,282,284
Investment securities at amortised cost | 318,205 | 758,946 | 6,083,168 | 6,718,948 | – | 13,879,267
| 43,184,642 | 9,838,159 | 17,119,109 | 7,664,667 | 1,843,335 | 79,649,912
Liabilities |  |  |  |  |  |
Deposits from banks | 500,875 | 16,134 | 34,971 | – | – | 551,980
Deposits from customers | 37,306,025 | 12,399,488 | 9,855,238 | 5,655,901 | – | 65,216,652
Loans from banks and other financial institutions | 155,150 | 824 | 360 | – | – | 156,334
Debt securities issued | – | 108,088 | 4,964,617 | – | – | 5,072,705
Subordinated loans | 685,774 | 124,353 | – | – | – | 810,127
| 38,647,824 | 12,648,887 | 14,855,186 | 5,655,901 | – | 71,807,798
Effect of derivatives held for risk management purposes | (2,531,557) | 198,705 | 2,360,780 | (29,845) | – | (1,917)
Net position | 2,005,261 | (2,612,023) | 4,624,703 | 1,978,921 | 1,843,335 | 7,840,197

A summary of the Bank’s interest rate gap position on non-trading portfolios as at 31 December 2023 is as follows:

In RON thousand | Less than 3 months | 3 – 12 months | 1 – 5 years | Over 5 years | Non- interest bearing | Total
Assets |  |  |  |  |  |
Cash and cash with Central Bank | 11,939,260 | – | – | – | 1,863,555 | 13,802,815
Loans and advances to banks at amortised cost | 490,085 | – | – | 5,172 | – | 495,257
Financial assets mandatorily at fair value through profit or loss | 20,036 | 112,543 | 4,965 | 16 | 18,553 | 156,113
Investment securities at fair value through other comprehensive income | 147,859 | 999,413 | 1,081,990 | 475,616 | – | 2,704,878
Loans and advances to customers at amortised cost | 25,116,526 | 8,109,423 | 7,324,696 | 708,792 | – | 41,259,437
Investment securities at amortised cost | 108,069 | 1,330,610 | 4,574,830 | 3,999,588 | – | 10,013,097
| 37,821,835 | 10,551,989 | 12,986,481 | 5,189,184 | 1,882,108 | 68,431,597
Liabilities |  |  |  |  |  |
Deposits from banks | 455,053 | 3,618 | 16,712 | 19,545 | – | 494,928
Deposits from customers | 27,532,366 | 10,124,322 | 11,553,585 | 5,278,598 | – | 54,488,871
Loans from banks and other financial institutions | 322 | 335 | 1,088 | – | – | 1,745
Debt securities issued | 481,193 | 108,326 | 4,965,485 | – | – | 5,555,004
Subordinated loans | 201,650 | – | 124,365 | – | – | 326,015
| 28,670,584 | 10,236,601 | 16,661,235 | 5,298,143 | – | 60,866,563
Effect of derivatives held for risk management purposes | (1,360,177) | (74,369) | 1,464,939 | (29,848) | – | 545
Net position | 7,791,074 | 241,019 | (2,209,815) | (138,807) | 1,882,108 | 7,565,579

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

80

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The management of interest rate risk through the set of interest rate gap limits is supplemented by monitoring the sensitivity of
the Group’s financial assets and liabilities to various standard and non-standard interest rate scenarios.
The sensitivity scenarios calculate the change in the economic value of the banking book interest rate sensitive assets and
liabilities of the Bank under the assumption that interest rates change according to the each of the interest rate scenarios. Under
each scenario the sensitivity result is calculated by comparing the present value of the banking book under stress scenario with
the present value calculated using the base interest rate curve. The present value of the banking book asset and liabilities is
calculated by discounting future cash flows generated by interest rate sensitive assets and liabilities which are distributed on
repricing gaps according to next reset date – in case of floating rate instruments – or according to maturity date – in case of
fixed rate instruments.
For comparability purposes, the impact of interest curve shocks on the economic value of equity considering shocks according to
the European Banking Authority's Guidelines on the management of interest rate risk associated with activities outside the
trading book (EBA/GL/2018/02) of 19.07.2018 is presented below.
An analysis of the Group’s sensitivity of the economic value of banking book assets and liabilities to interest rates movements
(under a defined set of interest rate scenarios) is as follows:

Group |  |
in RON million |  |
Applied shock on Economic Value of Equity | 2024 | 2023
Parallel +200bp | 307 | 156
Parallel -200bp | 342 | 163
Steepening 5Y +200bp | 292 | 133
Flattening 5Y -200bp | 326 | 157
Flattening 1D +200bp | 69 | 97
Steepening 1D -200bp | 71 | 99
Minimum impact* | 87 | 97
Maximum impact* | 370 | 284
* maximum/minimum impact during the financial year |  |

As of May 2024, the interest shocks applicable to currencies are according to COMMISSION DELEGATED REGULATION (EU) 2024/856
of 1 December 2023 supplementing Directive 2013/36/EU of the European Parliament and of the Council with regard to regulatory
technical standards specifying the supervisory shock scenarios, the common modelling and parametric assumptions and what
constitutes a large decline.
Below is the impact of interest curve shocks on economic value of equity considering the shocks according to the new regulation
in force starting May 2024, Delegated Regulation (EU) 2024/856.

Group |  |
In RON million |
Applied shock on Economic Value of Equity | 2024 | 2023
Parallel up +200bp/+350bp | (472) | 39
Parallel down -200bp/-350bp | 264 | (164)
Steepener with short rates down and long rates up | (31) | 31
Flattener with short rates up and long rates down | (112) | (138)
Short rates up | (273) | (99)
Short rates down | 127 | (29)
Long rates up | (204) | 43
Long rates down | 105 | (116)

For comparability purposes, the impact of interest curve shocks on the economic value of equity considering shocks according to
the European Banking Authority's Guidelines on the management of interest rate risk associated with activities outside the
trading book (EBA/GL/2018/02) of 19.07.2018 is presented below.
An analysis of the Bank’s sensitivity of the economic value of banking book assets and liabilities to interest rates movements
(under a defined set of interest rate scenarios) is as follows:

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

81

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Banca |  |
in RON million |  |
Applied shock on Economic Value of Equity | 2024 | 2023
Parallel +200bp | 305 | 155
Parallel -200bp | 340 | 167
Steepening 5Y +200bp | 290 | 136
Flattening 5Y -200bp | 324 | 161
Flattening 1D +200bp | 69 | 95
Steepening 1D -200bp | 70 | 97
Minimum impact* | 69 | 95
Maximum impact* | 369 | 281
* maximum/minimum impact during the financial year |  |

As of May 2024, the interest shocks applicable to currencies are according to COMMISSION DELEGATED REGULATION (EU) 2024/856
of 1 December 2023 supplementing Directive 2013/36/EU of the European Parliament and of the Council with regard to regulatory
technical standards specifying the supervisory shock scenarios, the common modelling and parametric assumptions and what
constitutes a large decline.
Below is the impact of interest curve shocks on economic value of equity considering the shocks according to the new regulation
in force starting May 2024, Delegated Regulation (EU) 2024/856.

Banca |  |
Applied shock on Economic Value of Equity |  |
| 2024 | 2023
Parallel up +200bp/+350bp | (470) | 43
Parallel down -200bp/-350bp | 263 | (168)
Steepener with short rates down and long rates up | (32) | 32
Flattener with short rates up and long rates down | (111) | (136)
Short rates up | (271) | (97)
Short rates down | 127 | (30)
Long rates up | (204) | 44
Long rates down | 105 | (117)

According to EBA requirements (EBA/GL/2022/14) and NBR requirements (Regulation no. 5/2013), measurement and monitoring of
interest rate risk in the banking book is done based on two approaches: economic value and net interest income (NII) volatility.
In order to assess the impact of interest rate changes on net interest income, a set of scenarios and assumptions are defined and
used to measure net interest income volatility and potential losses.
The assessment is made using a constant balance sheet, i.e. each maturing item is replaced by an item with similar
characteristics, over a 12-month period and an instantaneous shock.
The impact of interest rate shocks on net interest income is presented below.
For comparability purposes, the impact of interest curve shocks on net interest income considering shocks according to the
European Banking Authority's Guidelines on the management of interest rate risk associated with activities outside the trading
book (EBA/GL/2018/02) of 19.07.2018 is presented below:

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

82

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Bank |  |  |
in RON million |  |  |
Applied shock on Net Interest Income |  | 2024 | 2023
Parallel +200bp |  | (166) | 158
Parallel -200bp |  | (74) | (355)
Steepening 5Y +200bp |  | (20) | 36
Flattening 5Y -200bp |  | 15 | (42)
Flattening 1D +200bp |  | (146) | 122
Steepening 1D -200bp |  | (87) | (312)
Minimum impact* |  | 130 | 183
Maximum impact* |  | (357) | (373)
* maximum/minimum impact during the financial year |  |  |

As of May 2024, the interest shocks applicable to currencies are according to COMMISSION DELEGATED REGULATION (EU) 2024/856
of 1 December 2023 supplementing Directive 2013/36/EU of the European Parliament and of the Council with regard to regulatory
technical standards specifying the supervisory shock scenarios, the common modelling and parametric assumptions and what
constitutes a large decline.
Below is the impact of interest curve shocks on net interest income considering the shocks according to the new regulation in
force starting May 2024, Delegated Regulation (EU) 2024/856.

Bank |  |  |
In RON million |  |  |
Applied shock on Net Interest Income |  | 2024 | 2023
Parallel up +200bp/+350bp |  | (253) | 90
Parallel down -200bp/-350bp |  | (80) | (468)
Steepener with short rates down and long rates up |  | (90) | (362)
Flattener with short rates up and long rates down |  | (250) | 75
Short rates up |  | (323) | 101
Short rates down |  | (181) | (640)
Long rates up |  | (12) | 10
Long rates down |  | 6 | (22)

The interest rates related to the local currency and the major foreign currencies as at 31 December 2024 and 2023 were as follows:

Currencies |  | Interest rate |  | 31 December 2024 |  | 31 December 2023
RON |  | ROBOR 3 months |  | 5.92% |  | 6.22%
EUR |  | EURIBOR 3 months |  | 2.74% |  | 3.91%
EUR |  | EURIBOR 6 months |  | 2.56% |  | 3.86%
USD |  | SOFR/LIBOR 6 months |  | 4.25% |  | 5.16%

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

83

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The following table shows the average interest rates per annum obtained or offered by the Group for its interest-earning assets
and interest-bearing liabilities during the 2024 financial year:

| Average interest rate
| RON | EUR | USD
Assets |  |  |
Current accounts with National Bank of Romania | 0.79% | 0.14% | 0.53%
Loans and advances to banks at amortised cost | 4.35% | 3.63% | 5.06%
Trading assets | 5.31% | 2.67% | 4.59%
Financial assets mandatorily at fair value through profit or loss | 8.35% | 8.93% | N/A
Investment securities at fair value through other comprehensive income | 4.34% | 4.74% | N/A
Loans and advances to customers at amortised cost | 7.03% | 4.38% | 2.37%
Investment securities at amortised cost | 5.66% | 2.90% | N/A
Liabilities |  |  |
Deposits from banks | 4.79% | 0.02% | 0.00%
Deposits from customers | 2.36% | 1.94% | 1.57%
Loans from banks and other financial institutions | 1.30% | 0.00% | N/A
Debt securities issued | 4.34% | 6.68% | N/A
Subordinated loans | N/A | 5.89% | N/A

The following table shows the interest rates per annum obtained or offered by the Group for its interest-earning assets and
interest-bearing liabilities during the 2023 financial year:

| Average interest rate
| RON | EUR | USD
Assets |  |  |
Current accounts with National Bank of Romania | 0.74% | 0.07% | 0.28%
Loans and advances to banks at amortised cost | 2.84% | 3.25% | 4.84%
Trading assets | 4.88% | 2.19% | 0.00%
Financial assets mandatorily at fair value through profit or loss | 9.26% | 8.91% | N/A
Investment securities at fair value through other comprehensive income | 3.64% | 2.79% | N/A
Loans and advances to customers at amortised cost | 7.06% | 4.12% | 3.23%
Investment securities at amortised cost | 4.94% | 1.53% | N/A
Liabilities |  |  |
Deposits from banks | 5.64% | 0.50% | 0.00%
Deposits from customers | 2.38% | 1.04% | 1.28%
Loans from banks and other financial institutions | 1.25% | 0.00% | N/A
Debt securities issued | 5.59% | 6.65% | N/A
Subordinated loans | N/A | 6.04% | N/A

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

84

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The following table shows the average interest rates per annum obtained or offered by the Bank for its interest-earning assets
and interest-bearing liabilities during the 2024 financial year:

| Average interest rate
| RON | EUR | USD
Assets |  |  |
Current accounts with National Bank of Romania | 0.79% | 0.14% | 0.53%
Loans and advances to banks at amortised cost | 4.35% | 3.63% | 5.06%
Trading assets | 5.31% | 2.67% | 4.59%
Financial assets mandatorily at fair value through profit or loss | 8.35% | 8.93% | N/A
Investment securities at fair value through other comprehensive income | 4.34% | 4.74% | N/A
Loans and advances to customers at amortised cost | 7.03% | 4.38% | 2.37%
Investment securities at amortised cost | 5.66% | 2.90% | N/A
Liabilities |  |  |
Deposits from banks | 4.79% | 0.02% | 0.00%
Deposits from customers | 2.36% | 1.94% | 1.57%
Loans from banks and other financial institutions | 1.30% | 0.00% | N/A
Debt securities issued | 4.34% | 6.68% | N/A
Subordinated loans | N/A | 5.89% | N/A

The following table shows the average interest rates per annum obtained or offered by the Bank for its interest-earning assets
and interest-bearing liabilities during the 2023 financial year:

| Average interest rate
| RON | EUR | USD
Assets |  |  |
Current accounts with National Bank of Romania | 0.74% | 0.07% | 0.28%
Loans and advances to banks at amortised cost | 2.84% | 3.25% | 4.84%
Trading assets | 4.88% | 2.19% | 0.00%
Financial assets mandatorily at fair value through profit or loss | 9.26% | 8.91% | N/A
Investment securities at fair value through other comprehensive income | 3.64% | 2.79% | N/A
Loans and advances to customers at amortised cost | 7.06% | 4.12% | 3.23%
Investment securities at amortised cost | 4.94% | 1.53% | N/A
Liabilities |  |  |
Deposits from banks | 5.64% | 0.50% | 0.00%
Deposits from customers | 2.38% | 1.04% | 1.28%
Loans from banks and other financial institutions | 1.25% | 0.00% | N/A
Debt securities issued | 5.59% | 6.65% | N/A
Subordinated loans | N/A | 6.04% | N/A

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

85

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Exposure to currency risk
The Group is exposed to currency risk due to transactions in foreign currencies. There is also a balance sheet risk that the net
monetary assets in foreign currencies will take a lower value when translated into RON as a result of currency movements or net
monetary liabilities in foreign currencies will take a higher value as a result of these currency movements.
Group
The monetary assets and liabilities held in RON and in foreign currencies at 31 December 2024 are presented below:

In RON thousand | RON | USD | EUR | OTHER | Total
Monetary assets |  |  |  |  |
Cash and cash with Central Bank | 7,677,228 | 18,911 | 6,347,895 | 6,002 | 14,050,036
Loans and advances to banks at amortised cost | 398,462 | 38,319 | 775,099 | 2,545 | 1,214,425
Derivative assets held for risk management | 6,873 | – | 2,555 | – | 9,428
Trading assets | 535,127 | – | 13,380 | – | 548,507
Financial assets mandatorily at fair value through profit or loss | 109,684 | 11,921 | 5,441 | 10,491 | 137,537
Investment securities at fair value through other comprehensive income | 1,884,607 | – | 277,024 | – | 2,161,631
Equity instruments at fair value through other comprehensive income | 35,503 | 100,090 | – | – | 135,593
Investment in subsidiaries, associates and joint ventures | 26,170 | – | – | – | 26,170
Loans and advances to customers at amortised cost | 35,262,153 | 573,115 | 13,020,907 | 116,099 | 48,972,274
Derivatives Asset– Hedge accounting | 98 | – | 52,037 | – | 52,135
Investment securities at amortised cost | 11,313,770 | 279,852 | 2,297,729 | – | 13,891,351
Other assets | 334,423 | 5,671 | 128,518 | 10 | 468,622
Total monetary assets | 57,584,098 | 1,027,879 | 22,920,585 | 135,147 | 81,667,709
Monetary liabilities |  |  |  |  |
Trading liabilities | 244,052 | – | 113 | – | 244,165
Deposits from banks | 328,878 | 119 | 222,982 | 1 | 551,980
Deposits from customers | 44,303,814 | 1,847,525 | 18,707,784 | 247,028 | 65,106,151
Loans from banks and other financial institutions | 154,638 | – | 622,208 | – | 776,846
Derivatives – hedge accounting | 2,144 | – | 2 | – | 2,146
Fair value changes of the hedged items-liability | 1,429 | – | 16,245 | – | 17,674
Other liabilities | 992,848 | 60,095 | 520,943 | 8,779 | 1,582,665
Debt securities issued | 3,527,873 | – | 1,544,832 | – | 5,072,705
Subordinated loans | – | – | 810,127 | – | 810,127
Total monetary liabilities | 49,555,676 | 1,907,739 | 22,445,236 | 255,808 | 74,164,459
Net currency position | 8,028,422 | (879,860) | 475,349 | (120,661) | 7,503,250

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

86

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Group
The monetary assets and liabilities held in RON and in foreign currencies at 31 December 2023 are presented below:

In RON thousand | RON | USD | EUR | OTHER | Total
Monetary assets |  |  |  |  |
Cash and cash with Central Bank | 10,613,248 | 14,942 | 3,232,806 | 6,453 | 13,867,449
Loans and advances to banks at amortised cost | 87,254 | 26,043 | 368,560 | 2,783 | 484,640
Derivative assets held for risk management | 15,083 | – | 3,035 | 67 | 18,185
Trading assets | 139,015 | – | 42,301 | – | 181,316
Financial assets mandatorily at fair value through profit or loss | 135,535 | 18,553 | 8,034 | 16,305 | 178,427
Investment securities at fair value through other comprehensive income | 2,380,278 | 18 | 344,910 | – | 2,725,206
Equity instruments at fair value through other comprehensive income | 24,798 | 65,781 | – | – | 90,579
Investment in subsidiaries, associates and joint ventures | 18,853 | – | – | – | 18,853
Loans and advances to customers at amortised cost | 28,539,624 | 696,023 | 12,427,526 | 150,061 | 41,813,234
Derivatives Asset– Hedge accounting | 559 | – | 37,234 | – | 37,793
Investment securities at amortised cost | 8,414,356 | 191,093 | 1,421,172 | – | 10,026,621
Other assets | 143,161 | 783 | 49,497 | 195 | 193,636
Total monetary assets | 50,511,764 | 1,013,236 | 17,935,075 | 175,864 | 69,635,939
Monetary liabilities |  |  |  |  |
Trading liabilities | 9,271 | – | 169 | – | 9,440
Derivative liabilities held for risk management | 87 | 97 | 291 | 200 | 675
Deposits from banks | 441,124 | 105 | 53,183 | 516 | 494,928
Deposits from customers | 36,333,993 | 2,055,742 | 15,773,533 | 236,970 | 54,400,238
Loans from banks and other financial institutions | 8,603 | – | 479,955 | – | 488,558
Derivatives – hedge accounting | 709 | – | – | – | 709
Fair value changes of the hedged items-liability | 4,940 | – | – | – | 4,940
Other liabilities | 630,264 | 89,665 | 783,919 | 14,498 | 1,518,346
Debt securities issued | 4,007,815 | – | 1,547,189 | – | 5,555,004
Subordinated loans | 100 | – | 326,015 | – | 326,115
Total monetary liabilities | 41,436,906 | 2,145,609 | 18,964,254 | 252,184 | 62,798,953
Net currency position | 9,074,858 | (1,132,373) | (1,029,179) | (76,320) | 6,836,986

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

87

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Bank
The monetary assets and liabilities held in RON and in foreign currencies at 31 December 2024 are presented below:

In RON thousand | RON | USD | EUR | OTHER | Total
Monetary assets |  |  |  |  |
Cash and cash with Central Bank | 7,617,475 | 18,911 | 6,347,895 | 6,002 | 13,990,283
Loans and advances to banks at amortised cost | 410,294 | 38,308 | 773,224 | 2,545 | 1,224,371
Derivative assets held for risk management | 6,873 | – | 2,555 | – | 9,428
Trading assets | 535,127 | – | 13,380 | – | 548,507
Financial assets mandatorily at fair value through profit or loss | 84,223 | 11,921 | 5,441 | 10,491 | 112,076
Investment securities at fair value through other comprehensive income | 1,884,607 | – | 277,024 | – | 2,161,631
Equity instruments at fair value through other comprehensive income | 35,503 | 100,090 | – | – | 135,593
Investment in subsidiaries, associates and joint ventures | 139,996 | – | – | – | 139,996
Loans and advances to customers at amortised cost | 35,115,920 | 573,115 | 12,477,143 | 116,106 | 48,282,284
Derivatives Asset– Hedge accounting | 98 | – | 52,037 | – | 52,135
Investment securities at amortised cost | 11,301,686 | 279,852 | 2,297,729 | – | 13,879,267
Other assets | 306,534 | 5,671 | 89,587 | 10 | 401,802
Total monetary assets | 57,438,336 | 1,027,868 | 22,336,015 | 135,154 | 80,937,373
Monetary liabilities |  |  |  |  |
Trading liabilities | 244,052 | – | 113 | – | 244,165
Deposits from banks | 328,878 | 119 | 222,982 | 1 | 551,980
Deposits from customers | 44,378,118 | 1,847,525 | 18,743,981 | 247,028 | 65,216,652
Loans from banks and other financial institutions | 156,334 | – | – | – | 156,334
Derivatives – hedge accounting | 2,144 | – | 2 | – | 2,146
Fair value changes of the hedged items-liability | 1,429 | – | 16,245 | – | 17,674
Other liabilities | 961,457 | 60,080 | 520,872 | 8,779 | 1,551,188
Debt securities issued | 3,527,873 | – | 1,544,832 | – | 5,072,705
Subordinated loans | – | – | 810,127 | – | 810,127
Total monetary liabilities | 49,600,285 | 1,907,724 | 21,859,154 | 255,808 | 73,622,971
Net currency position | 7,838,051 | (879,856) | 476,861 | (120,654) | 7,314,402

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

88

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Bank
The monetary assets and liabilities held in RON and in foreign currencies at 31 December 2023 are presented below:

In RON thousand | RON | USD | EUR | OTHER | Total
Monetary assets |  |  |  |  |
Cash and cash with Central Bank | 10,548,620 | 14,939 | 3,232,803 | 6,453 | 13,802,815
Loans and advances to banks at amortised cost | 99,482 | 26,031 | 366,961 | 2,783 | 495,257
Derivative assets held for risk management | 15,083 | – | 3,035 | 67 | 18,185
Trading assets | 139,015 | – | 42,301 | – | 181,316
Financial assets mandatorily at fair value through profit or loss | 113,221 | 18,553 | 8,034 | 16,305 | 156,113
Investment securities at fair value through other comprehensive income | 2,359,950 | 18 | 344,910 | – | 2,704,878
Equity instruments at fair value through other comprehensive income | 24,798 | 65,781 | – | – | 90,579
Investment in subsidiaries, associates and joint ventures | 110,475 | – | – | – | 110,475
Loans and advances to customers at amortised cost | 28,428,090 | 696,023 | 11,985,263 | 150,061 | 41,259,437
Derivatives Asset– Hedge accounting | 559 | – | 37,234 | – | 37,793
Investment securities at amortised cost | 8,400,832 | 191,093 | 1,421,172 | – | 10,013,097
Other assets | 119,255 | 783 | 41,069 | 195 | 161,302
Total monetary assets | 50,359,380 | 1,013,221 | 17,482,782 | 175,864 | 69,031,247
Monetary liabilities |  |  |  |  |
Trading liabilities | 9,271 | – | 169 | – | 9,440
Derivative liabilities held for risk management | 87 | 97 | 291 | 200 | 675
Deposits from banks | 441,124 | 105 | 53,183 | 516 | 494,928
Deposits from customers | 36,375,122 | 2,055,742 | 15,821,037 | 236,970 | 54,488,871
Loans from banks and other financial institutions | 1,745 | – | – | – | 1,745
Derivatives – Hedge accounting | 709 | – | – | – | 709
Fair value changes of the hedged items-liability | 4,940 | – | – | – | 4,940
Other liabilities | 613,821 | 89,651 | 763,157 | 14,498 | 1,481,127
Debt securities issued | 4,007,815 | – | 1,547,189 | – | 5,555,004
Subordinated loans | – | – | 326,015 | – | 326,015
Total monetary liabilities | 41,454,634 | 2,145,595 | 18,511,041 | 252,184 | 62,363,454
Net currency position | 8,904,746 | (1,132,374) | (1,028,259) | (76,320) | 6,667,793

Derivative financial instruments used by the Group to mitigate currency risk include foreign exchange swaps.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

89

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

e) Operational risk
Operational risk is the risk of direct or indirect loss arising from a wide variety of causes associated with the Group’s processes,
personnel, technology and infrastructure and from external factors other than credit, market and liquidity risk, such as those
arising from legal and regulatory requirements and generally accepted standards of corporate behaviour. Operational risks arise
from all of the Group’s operations and are faced by all business entities. This definition includes legal risk, but excludes strategic
and reputational risk.
Legal risk is a component of the operational risk and is defined as the risk due to non-observance of the legal or statutory
requirements and/or inaccurately drafted contracts and their execution due to lack of diligence in applying the respective law or a
delay in reacting to changes in legal framework conditions.
The Group’s objective is to manage operational risk so as to balance the avoidance of financial losses and damage to the Group’s
reputation with overall cost effectiveness and to avoid control procedures that restrict initiative and creativity.
The main responsibility for the development and implementation of controls to address operational risk is assigned to senior
management within each business unit. This responsibility is supported by the development of overall Group standards for the
management of operational risk in the following areas:
• Requirements for appropriate segregation of duties, including the independent authorization of transactions;
• Requirement for inclusion of operational risk responsibilities in each job position;
• Requirements for the reconciliation and monitoring of transactions;
• Compliance with regulatory and other legal requirements;
• Documentation of controls and procedures;
• Requirements for the periodic assessment of operational risk faced by the Group, and the adequacy of controls and
procedures to address the risks identified;
• Requirements for the reporting of operational losses and proposed remedial action;
• Development of contingency plans;
• Training and professional development;
• Ethical and business standards;
• Risk mitigation, including insurance where this is effective.
f) Capital management
The National Bank of Romania (NBR) regulates and monitors the capital requirements at individual level and at group level.
Regulation (EU) no 575/2013 of the European Parliament and of the Council requires that the Group maintains a minimum
Common Equity Tier 1 capital ratio of 4.5%, a minimum Tier 1 capital ratio of 6% and a minimum total capital ratio of 8%. The
capital adequacy ratio is calculated dividing total Group’s own funds to the total risk weighted assets (Note 42).
Capital allocation
a) Credit risk: Starting with July 1st, 2009, the method for the risk weighted assets applied by the Group is internal ratings
based approach for Raiffeisen Bank non-retail exposures. Starting with December 1st, 2013, the Group received National
Bank of Romania approval for calculating capital requirements for credit risk related to retail portfolio using advanced
internal ratings based approach (AIRB). For the subsidiaries and for some specific portfolio, based on regulatory approval
received (main portfolios are sovereign and municipalities) the method used is standard approach.
b) Market risk: The Group calculates the capital requirements for market risk and for the trading book using the standard
model.
c) Operational Risk: Starting with 2010, the Group calculates the capital requirements for operational risk capital using the
standard approach.
The Group complies with the regulatory requirements regarding capital adequacy as at December 31, 2024 and 2023, being above
the minimum required values. For actual capital ratios, refer to Note 42.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

90

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

6. USE OF ESTIMATES AND JUDGMENTS
The Group makes estimates and assumptions that affect the reported amounts of assets and liabilities. Estimates and
judgments are continually evaluated and are based on historical experience and other factors, including expectations of future
events that are believed to be reasonable under the given circumstances.
Impairment allowance on loans and advances
The application of the Group’s accounting policy requires judgments from the management. The Group assesses on a forward-
looking basis the expected credit losses associated with its financial instrument assets carried at amortised cost and FVOCI and
with the exposures arising from loan commitments, financial guarantee contracts and leasing receivables. The calculation of
expected credit losses requires the use of accounting estimates that do not always match actual results. The amount of
impairment to be allocated depends on credit risk parameters such as: PD, LGD and EAD as well as on future-oriented information
(economic forecasts) which are estimated by the management.
The impairment of assets accounted for at amortized cost is described in accounting policy 3j (ix).
To determine the impairment allowances sensitivity to changes in risk parameters (loss given default, probability of default)
underlying provisioning computation, the Group has drawn up the following scenarios:
First scenario assumes changes in loss given default for retail and non retail portfolio, taking into account a variation of +/-5%. In
this scenario the provision for loan impairment loss would have been increased by RON 17,565 thousand (2023: increased by RON
16,106 thousand) or decreased by RON 17,558 thousand (2023: decreased by RON 15,853 thousand).
Second scenario assumes PD variation of +/-5%. In this scenario the provision for loan impairment loss would have been increased
by RON 14,473 thousand (2023: increased by RON 12,806 thousand) or decreased by RON 16,438 thousand (2023: decreased by RON
13,931 thousand).
Third scenario assumes changes of scenario weights from 25/50/25 (upside/baseline/downside) to 25/25/50 and 50/25/25. In this
scenario the provision for loan impairment loss would have been increased by RON 11,963 thousand (2023: increased by RON 10,312
thousand) or decreased by RON 7,451 thousand (2023: decreased by RON 9,408 thousand).
Parameters change by +/-5% is done in relation to the values used in provision calculation for December 31, 2024 figures
(December 31, 2023).
Fair value of financial instruments
The fair value of financial instruments that are not traded on an active market (for example, unlisted treasury securities, bonds
and certificates of deposit) is determined using valuation techniques. The Group uses its judgment to select the valuation method
and makes assumptions that are mainly based on market conditions existing at statement of financial position date. The Group
has used discounted cash flow analysis for the equity instruments that were not traded in active markets.
Valuation of financial instruments
The Group measures fair values using the following fair value hierarchy that reflects the significance of the inputs used in making
the measurements:
• Level 1: Quoted market price in an active market for an identical instrument;
• Level 2: Valuation techniques based on observable inputs. This category includes instruments valued using: quoted
market prices in active markets for similar instruments; quoted prices for similar instruments in markets that are
considered less active; or other valuation techniques where all significant inputs are directly or indirectly observable from
market data;
• Level 3: Valuation techniques using significant unobservable inputs. This category includes all instruments where the
valuation technique includes inputs not based on observable data and the unobservable inputs could have a significant
effect on the instrument’s valuation. This category includes instruments that are valued based on quoted prices for
similar instruments where significant unobservable adjustments or assumptions are required to reflect differences
between the instruments.
The Group measures fair values mainly using valuation techniques based on observable inputs, i.e. all significant inputs are directly
or indirectly observable from market data. Valuation techniques include net present value and discounted cash flow models, as
well as other valuation models. Assumptions and inputs used in valuation techniques include risk free and benchmark interest

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

91

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

rates, bond yields, foreign currency exchange rates, expected price volatilities and correlations. The objective of valuation
techniques is to arrive at a fair value determination that reflects the price of the financial instrument at the reporting date that
would have been determined by market participants acting at arm’s length.
The Group uses widely recognized valuation models for determining the fair value of common and simpler financial instruments,
like interest rate and currency swaps, foreign exchange forwards and swaps, that use only observable market data and require
little management judgment and estimation.
Observable prices and model inputs are usually available in the market for bonds and simple over the counter derivatives.
Availability of these reduces the need for management judgment and estimations and also reduces the uncertainty associated
with determination of fair values.
For bonds valuation the Group uses prices or yields which are observable in the market, quotes published by Central Bank or
quotes received upon request from third parties.
For more complex instruments, like over the counter foreign exchange options or interest rate options, the Group uses valuation
models, which are usually developed from recognized valuation models. These models also use inputs, which are observable in the
markets.
The valuation techniques used to determine the fair value of customers’ loans and deposits not measured at fair value and
disclosed in the notes consider unobservable inputs and assumptions, such as the specific credit risk and contractual
characteristics of the portfolios, but also observables inputs, the benchmark interest rates for recent originated portfolios.
The fair value of the unimpaired customer loans was determined based on the cash flows estimated to be generated by the
portfolio. These amounts were discounted using the interest rates that would be currently offered to clients for similar products
(the available offer as of the valuation date or loans granted during the last 3 months), by considering the characteristics of each
loan, namely product type, currency, remaining tenor, interest rate type, customer segmentation and for non-retail clients also risk
indicators based on the industry in which they are currently developing their activity. For the products no longer in the Group's
offer, and for which no current market (observed interest rates) are available, following assumptions were used: similar products'
prevailing margins for discounting, adjusted with the relevant market rate index correspondent to the particular products'
currencies, the swap points required for the currency conversion (if applicable) and remaining tenors.
For the impaired loan portfolio, a similar discounted cash flow calculation resulted in a fair value calculation that can be
approximated by the net book value.
The fair value of deposits from customers was determined based on the interest rate differential of the current portfolio as of the
end of the reporting period and the prevailing interest rates offered by the Bank, during the last three months from the financial
period ended. For the term deposits, a discounted cash flows calculation was performed using for discounting the weighted
average margins pertaining to the new deposits opened during the last month of the reporting period, based on their specific
characteristics like tenors, currencies and client types similar to the structure of the portfolio subject to the fair value calculation
and current market yield.
The fair value of the current accounts and savings accounts from clients was estimated to be equal to the book value, with no
evidence of product characteristics requiring a different value than the one currently in accounting books.
For the borrowings, the Group performed a discounted cash flows analysis in order to estimate the fair value. The discount factor
consisted of the initially calibrated spread, the liquidity curve at valuation date and the risk free rate at valuation date.
Market development
Romanian economy had a poor performance in 2024, real GDP increasing by only 0.9% from 2023 according to preliminary
estimates of the National Institute of Statistics. The unexpectedly slow real GDP advance from 2024 materialized despite a solid
increase in households’ consumption on the back of rapidly raising real disposable income (wages, pensions), improving
confidence, and decreasing lending interest rates. Activity in all major economic sectors (industry, services, construction)
underperformed in 2024 relative to expectations prevailing at the beginning of the year, while agricultural output recorded a large
contraction amid drought. Weak external demand had a negative impact on exports of goods and services and on industrial
activity in 2024.
Macroeconomic imbalances enlarged during 2024. While exports of goods and services decreased in 2024 due to weak external
demand, the imports increased on the back of a solid gain in domestic demand. As a result, both the foreign trade deficit and the
current account deficit increased in 2024. Also, the public budget deficit increased substantially in 2024, to around 8.7% of GDP,
mainly because of a sharp increase in public expenses in a very busy election year.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

92

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Intensity of inflation pressures eased in 2024 compared with 2023 but remained elevated. Annual inflation rate decreased to 5.1%
at end-2024 from 6.6% at end-2023. Central bank reduced the monetary policy rate two times in 2024, in July and in August, from
7% to 6.5%. In the last quarter of 2024, the central bank had to halt the key rate cutting cycle because of stalling disinflation
process and of growing risk aversion among investors towards Romania (due to significant fiscal slippage and due to increasing
political uncertainty). A very large liquidity surplus persisted in the money market throughout the year, keeping the money market
interest rates much below the level of the monetary policy rate. Still, the decrease in the liquidity surplus during the second half of
the year resulted in some increases in money market interest rates in the last months of 2024.
Interest rates on banking loans and banking deposits were on a decreasing path during 2024. Intensity of lending activity
improved especially on the segment of consumer loans, which recorded the fastest increase in terms of outstanding amounts in
2024. Lending for housing purposes gradually rebounded during the year, but their increase in outstanding terms remained
modest by end-year. In 2024 solid advance was recorded in case of the stock of loans granted to the companies.
The national aid package of state guarantees and interest subsidies to support the financing of the SME sector through the IMM
INVEST program (including sub-programmes and its components, all related to the state aid scheme initiated to combat the
effects of the Covid pandemic), IMM INVEST PLUS (and the components of the program, related to the state aid scheme that
supports companies affected by the effects of the war in Ukraine for the year 2023) and the state aid scheme IMM PLUS ROMANIA
with its components – IMM PLUS, AGRO PLUS, IMM PROD PLUS, CONSTRUCT PLUS, INNOVATION PLUS SI RURAL INVEST, on December
31, 2024, was worth 37.0 billion RON, of which 10.9 billion RON for the IMM PLUS ROMANIA program. Within them, eligible clients
received grants in the form of interest for financing from these programs/subprograms, subsidizing the commissions related to
the financing. On December 31, 2024, the Bank held a number of 4,329 active contracts, with a financed value of 4.2 billion RON.
The methodology of Non-retail impairment estimation was revised and adapted periodically to support a prudent approach and
to capture the expected credit risk evolution by monitoring the current economic environment. During 2024 Non Retail impairment
methodology was revised as follows:
• The additional provision for "refinancing risk" was reviewed and maintained; it applies to the specialized financing/real
estate projects segment to capture specific financial market risks that may affect borrowers' ability to refinance loans
with "balloon/bullet" repayment schedules. This overlay-type provision has been periodically reviewed and maintained
considering the persistence of high interest rates.
• The additional provision for "fiscal measures" was reviewed and maintained to reflect potential risks that may affect
companies, considering the fiscal package adopted by the government at the end of 2023 to reduce the budget deficit,
by considering the impact on companies subject to fiscal changes (minimum tax on turnover, additional taxation of
companies operating in the oil and gas industry) as well as the potential ripple effect on borrowers by stress testing
annual financial reports. The maintenance of this additional provision is also justified by the announced fiscal changes
for 2025, which include tax increases, minimum wage increase, and taxation of special constructions.
• The additional provision for "office financing", was reviewed and maintained, as there are still certain uncertainties that
may affect entities with office real estate projects due to the generalization of the hybrid work environment, potential
reduction in leased spaces upon lease expiration, availability and cost of financing, and demand for increased ESG
standards of properties.
• The calculation parameters, macroeconomic scenarios, and industry risk, which are part of the expected loss estimation
model, have been updated.
The measures described above have led to a decrease of EUR 2.3 million in provisions for stages 1 and 2 of the Non-Retail portfolio
compared to December 2023.
The methodology of Retail impairment calculation was revised and adapted periodically to support a prudent approach and to
capture the expected credit risk evolution by monitoring the current economic environment. During 2024, Retail impairment
methodology was revised as follows:
• Macro-economic scenarios update in in March, June, September and November and new MOF PD model implementation
for PI personal loan in March
• Annual IFRS9 parameters and calibration update in March - April
• Reviewing and maintaining ‘Inflation’ PMA for PI portfolio in December.
• Revising industries in ‘Fiscal measures’ PMA for Micro portfolio for more specific NACE’s and regional approach (e.g.
agriculture): IT, Construction, Automotive, Agriculture.
• No changes in PMA methodology for Stage 3 (BEEL parameter).
The cumulated effect as of December 31,2024 after Retail methodology update is a release of EUR 5.7 millions on Retail Stage 2
provisions (EUR 4.6 millions release for private individuals loans and EUR 1.1 millions release for Micro loans).

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

93

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

7. FINANCIAL ASSETS AND LIABILITIES
The table below analyses financial instruments at fair value and at carrying amount by using the valuation methods described in
Note 6:

Group |  |  |  |  |  |
In RON thousand | Note | Level 1 | Level 2 | Level 3 | Total | Carrying amount
31 December 2024 |  |  |  |  |  |
Financial assets |  |  |  |  |  |
Financial instruments measured at fair value |  |  |  |  |  |
Trading assets, out of which: | 18 | 532,365 | 16,142 | – | 548,507 | 548,507
Debt securities |  | 532,365 | – | – | 532,365 | 532,365
Foreign exchange contracts |  | – | 16,126 | – | 16,126 | 16,126
Interest rate swaps |  | – | 16 | – | 16 | 16
Derivative assets held for risk management | 19 | – | 9,428 | – | 9,428 | 9,428
Financial assets mandatorily at fair value through profit or loss, out of which: | 26 | 25,461 | 11,921 | 100,155 | 137,537 | 137,537
Loans and advances to customers |  | – | – | 100,155 | 100,155 | 100,155
Debt securities and equity instruments |  | 25,461 | 11,921 | – | 37,382 | 37,382
Investment securities at fair value through other comprehensive income, out of which: | 22 | 1,540,287 | 182,553 | 438,791 | 2,161,631 | 2,161,631
Bonds issued by General Governments |  | 1,540,287 | – | – | 1,540,287 | 1,540,287
Bonds issued by credit institutions |  | – | 182,553 | – | 182,553 | 182,553
Bonds issued by other public sector |  | – | – | 438,791 | 438,791 | 438,791
Equity instruments at fair value through other comprehensive income | 23 | 100,090 | – | 35,503 | 135,593 | 135,593
Derivatives Asset– Hedge accounting | 27 | – | 52,135 | – | 52,135 | 52,135
Financial instruments for which fair value is disclosed |  |  |  |  |  |
Cash and cash with Central Bank | 17 | 14,050,036 | – | – | 14,050,036 | 14,050,036
Loans and advances to banks at amortised cost | 20 | 1,214,425 | – | – | 1,214,425 | 1,214,425
Loans and advances to customers at amortised cost | 21 | – | – | 49,007,698 | 49,007,698 | 48,972,274
Investment securities at amortised cost | 24 | 12,956,434 | 384,414 | 72,503 | 13,413,351 | 13,891,351
Other assets | 28 | – | – | 468,622 | 468,622 | 468,622
Financial liabilities |  |  |  |  |  |
Financial instruments measured at fair value |  |  |  |  |  |
Trading liabilities | 18 | – | 244,165 | – | 244,165 | 244,165
Derivatives – hedge accounting | 27 | – | 2,146 | – | 2,146 | 2,146
Fair value changes of the hedged items-liability | 27 | – | 17,674 | – | 17,674 | 17,674
Financial instruments for which fair value is disclosed |  |  |  |  |  |
Deposits from banks | 32 | 551,978 | – | – | 551,978 | 551,980
Deposits from customers | 33 | – | – | 65,047,068 | 65,047,068 | 65,106,151
Loans from banks and other financial institutions | 34 | – | – | 776,830 | 776,830 | 776,846
Debt securities issued | 34 | – | 4,941,740 | – | 4,941,740 | 5,072,705
Subordinated loans | 34 | – | – | 818,656 | 818,656 | 810,127
Other liabilities | 35 | – | – | 1,582,665 | 1,582,665 | 1,582,665

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

94

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The table below analyses financial instruments at fair value and at carrying amount by using the valuation methods described in
Note 6:

Group |  |  |  |  |  |
In RON thousand | Note | Level 1 | Level 2 | Level 3 | Total | Carrying amount
31 December 2023 |  |  |  |  |  |
Financial assets |  |  |  |  |  |
Financial instruments measured at fair value |  |  |  |  |  |
Trading assets, out of which: | 18 | 177,901 | 3,415 | – | 181,316 | 181,316
Debt securities |  | 177,901 | – | – | 177,901 | 177,901
Foreign exchange contracts |  | – | 3,355 | – | 3,355 | 3,355
Interest rate swaps |  | – | 60 | – | 60 | 60
Derivative assets held for risk management | 19 | – | 18,185 | – | 18,185 | 18,185
Financial assets mandatorily at fair value through profit or loss, out of which: | 26 | 22,314 | 18,553 | 137,560 | 178,427 | 178,427
Loans and advances to customers |  | – | – | 137,560 | 137,560 | 137,560
Debt securities and equity instruments |  | 22,314 | 18,553 | – | 40,867 | 40,867
Investment securities at fair value through other comprehensive income, out of which: | 22 | 1,994,966 | 252,967 | 477,273 | 2,725,206 | 2,725,206
Bonds issued by the Government of Romania |  | 1,994,966 | – | – | 1,994,966 | 1,994,966
Bonds issued by credit institutions |  | – | 252,967 | – | 252,967 | 252,967
Bonds issued by other public sector |  | – | – | 477,273 | 477,273 | 477,273
Equity instruments at fair value through other comprehensive income | 23 | 65,781 | – | 24,798 | 90,579 | 90,579
Derivatives Asset– Hedge accounting | 27 | – | 37,793 | – | 37,793 | 37,793
Financial instruments for which fair value is disclosed |  |  |  |  |  |
Cash and cash with Central Bank | 17 | 13,867,449 | – | – | 13,867,449 | 13,867,449
Loans and advances to banks at amortised cost | 20 | 484,640 | – | – | 484,640 | 484,640
Loans and advances to customers at amortised cost | 21 | – | – | 41,810,068 | 41,810,068 | 41,813,234
Investment securities at amortised cost | 24 | 9,464,052 | 309,882 | 71,951 | 9,845,885 | 10,026,621
Other assets | 28 | – | – | 193,637 | 193,637 | 193,637
Financial liabilities |  |  |  |  |  |
Financial instruments measured at fair value |  |  |  |  |  |
Trading liabilities | 18 | – | 9,440 | – | 9,440 | 9,440
Derivative liabilities held for risk management | 19 | – | 675 | – | 675 | 675
Fair value changes of the hedged items-liability | 27 | – | 4,940 | – | 4,940 | 4,940
Derivatives – hedge accounting | 27 | – | 709 | – | 709 | 709
Financial instruments for which fair value is disclosed |  |  |  |  |  |
Deposits from banks | 32 | 494,933 | – | – | 494,933 | 494,928
Deposits from customers | 33 | – | – | 54,346,579 | 54,346,579 | 54,400,238
Loans from banks and other financial institutions | 34 | – | – | 488,502 | 488,502 | 488,558
Debt securities issued | 34 | – | 5,423,599 | – | 5,423,599 | 5,555,004
Subordinated loans | 34 | – | – | 328,008 | 328,008 | 326,115
Other liabilities | 35 | – | – | 1,518,346 | 1,518,346 | 1,518,346

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

95

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The table below analyses financial instruments at fair value and at carrying amount by using the valuation methods described in
Note 6:

Bank |  |  |  |  |  |
In RON thousand | Note | Level 1 | Level 2 | Level 3 | Total | Carrying amount
31 December 2024 |  |  |  |  |  |
Financial assets |  |  |  |  |  |
Financial instruments measured at fair value |  |  |  |  |  |
Trading assets, out of which: | 18 | 532,365 | 16,142 | – | 548,507 | 548,507
Debt securities |  | 532,365 | – | – | 532,365 | 532,365
Foreign exchange contracts |  | – | 16,126 | – | 16,126 | 16,126
Interest rate swaps |  | – | 16 | – | 16 | 16
Derivative assets held for risk management | 19 | – | 9,428 | – | 9,428 | 9,428
Financial assets mandatorily at fair value through profit or loss, out of which: | 26 | – | 11,921 | 100,155 | 112,076 | 112,076
Loans and advances to customers |  | – | – | 100,155 | 100,155 | 100,155
Debt securities and equity instruments |  | – | 11,921 | – | 11,921 | 11,921
Investment securities at fair value through other comprehensive income, out of which: | 22 | 1,540,287 | 182,553 | 438,791 | 2,161,631 | 2,161,631
Bonds issued by General Governments |  | 1,540,287 | – | – | 1,540,287 | 1,540,287
Bonds issued by credit institutions |  | – | 182,553 | – | 182,553 | 182,553
Bonds issued by other public sector |  | – | – | 438,791 | 438,791 | 438,791
Equity instruments at fair value through other comprehensive income | 23 | 100,090 | – | 35,503 | 135,593 | 135,593
Derivatives Asset– Hedge accounting | 27 | – | 52,135 | – | 52,135 | 52,135
Financial instruments for which fair value is disclosed |  |  |  |  |  |
Cash and cash with Central Bank | 17 | 13,990,283 | – | – | 13,990,283 | 13,990,283
Loans and advances to banks at amortised cost | 20 | 1,224,371 | – | – | 1,224,371 | 1,224,371
Loans and advances to customers at amortised cost | 21 | – | – | 48,317,708 | 48,317,708 | 48,282,284
Investment securities at amortised cost | 24 | 12,944,627 | 384,414 | 72,503 | 13,401,544 | 13,879,267
Other assets | 28 | – | – | 401,802 | 401,802 | 401,802
Financial liabilities |  |  |  |  |  |
Financial instruments measured at fair value |  |  |  |  |  |
Trading liabilities | 18 | – | 244,165 | – | 244,165 | 244,165
Derivatives – hedge accounting | 27 | – | 2,146 | – | 2,146 | 2,146
Fair value changes of the hedged items-liability | 27 | – | 17,674 | – | 17,674 | 17,674
Financial instruments for which fair value is disclosed |  |  |  |  |  |
Deposits from banks | 32 | 551,978 | – | – | 551,978 | 551,980
Deposits from customers | 33 | – | – | 65,157,569 | 65,157,569 | 65,216,652
Loans from banks and other financial institutions | 34 | – | – | 156,317 | 156,317 | 156,334
Debt securities issued | 34 | – | 4,941,740 | – | 4,941,740 | 5,072,705
Subordinated loans | 34 | – | – | 818,656 | 818,656 | 810,127
Other liabilities | 35 | – | – | 1,551,188 | 1,551,188 | 1,551,188

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

96

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The table below analyses financial instruments at fair value and at carrying amount by using the valuation methods described in
Note 6:

Bank |  |  |  |  |  |
In RON thousand | Note | Level 1 | Level 2 | Level 3 | Total | Carrying amount
31 December 2023 |  |  |  |  |  |
Financial assets |  |  |  |  |  |
Financial instruments measured at fair value |  |  |  |  |  |
Trading assets, out of which: | 18 | 177,901 | 3,415 | – | 181,316 | 181,316
Debt securities |  | 177,901 | – | – | 177,901 | 177,901
Foreign exchange contracts |  | – | 3,355 | – | 3,355 | 3,355
Interest rate swaps |  | – | 60 | – | 60 | 60
Derivative assets held for risk management | 19 | – | 18,185 | – | 18,185 | 18,185
Financial assets mandatorily at fair value through profit or loss, out of which: | 26 | – | 18,553 | 137,560 | 156,113 | 156,113
Loans and advances to customers |  | – | – | 137,560 | 137,560 | 137,560
Debt securities and equity instruments |  | – | 18,553 | – | 18,553 | 18,553
Investment securities at fair value through other comprehensive income, out of which: | 22 | 1,974,638 | 252,967 | 477,273 | 2,704,878 | 2,704,878
Bonds issued by the Government of Romania |  | 1,974,638 | – | – | 1,974,638 | 1,974,638
Bonds issued by credit institutions |  | – | 252,967 | – | 252,967 | 252,967
Bonds issued by other public sector |  | – | – | 477,273 | 477,273 | 477,273
Equity instruments at fair value through other comprehensive income | 23 | 65,781 | – | 24,798 | 90,579 | 90,579
Derivatives Asset– Hedge accounting | 27 | – | 37,793 | – | 37,793 | 37,793
Financial instruments for which fair value is disclosed |  |  |  |  |  |
Cash and cash with Central Bank | 17 | 13,802,815 | – | – | 13,802,815 | 13,802,815
Loans and advances to banks at amortised cost | 20 | 495,257 | – | – | 495,257 | 495,257
Loans and advances to customers at amortised cost | 21 | – | – | 41,256,270 | 41,256,270 | 41,259,437
Investment securities at amortised cost | 24 | 9,450,902 | 309,883 | 71,951 | 9,832,736 | 10,013,097
Other assets | 28 | – | – | 161,302 | 161,302 | 161,302
Financial liabilities |  |  |  |  |  |
Financial instruments measured at fair value |  |  |  |  |  |
Trading liabilities | 18 | – | 9,440 | – | 9,440 | 9,440
Derivative liabilities held for risk management | 19 | – | 675 | – | 675 | 675
Fair value changes of the hedged items-liability | 27 | – | 4,940 | – | 4,940 | 4,940
Derivatives – Hedge accounting | 27 | – | 709 | – | 709 | 709
Financial instruments for which fair value is disclosed |  |  |  |  |  |
Deposits from banks | 32 | 494,933 | – | – | 494,933 | 494,928
Deposits from customers | 33 | – | – | 54,435,212 | 54,435,212 | 54,488,871
Loans from banks and other financial institutions | 34 | – | – | 1,688 | 1,688 | 1,745
Debt securities issued | 34 | – | 5,423,599 | – | 5,423,599 | 5,555,004
Subordinated loans | 34 | – | – | 328,008 | 328,008 | 326,015
Other liabilities | 35 | – | – | 1,481,127 | 1,481,127 | 1,481,127

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

97

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The below table presents the measurements categories for financial instruments:

Group |  |  |  |  |  |  |
In RON thousand | Note | Held for trading | Mandatorily at fair value through profit or loss | Fair value through other comprehensive income | Amortised cost | Total carrying amount | Fair value
31 December 2024 |  |  |  |  |  |  |
Financial assets |  |  |  |  |  |  |
Cash and cash with Central Bank | 17 | – | – | – | 14,050,036 | 14,050,036 | 14,050,036
Trading assets | 18 | 548,507 | – | – | – | 548,507 | 548,507
Derivative assets held for risk management | 19 | 9,428 | – | – | – | 9,428 | 9,428
Financial assets mandatorily at fair value through profit or loss | 26 | – | 137,537 | – | – | 137,537 | 137,537
Loans and advances to banks at amortised cost | 20 | – | – | – | 1,214,425 | 1,214,425 | 1,214,425
Loans and advances to customers at amortised cost | 21 | – | – | – | 48,972,274 | 48,972,274 | 49,007,698
Investment securities and equity instruments | 22, 23, 24 | – | – | 2,297,224 | 13,891,351 | 16,188,575 | 15,710,575
Derivatives Asset– Hedge accounting | 27 | 52,135 | – | – | – | 52,135 | 52,135
Other assets | 28 | – | – | – | 468,622 | 468,622 | 468,622
Total financial assets |  | 610,070 | 137,537 | 2,297,224 | 78,596,708 | 81,641,539 | 81,198,963
Financial liabilities |  |  |  |  |  |  |
Trading liabilities | 18 | 244,165 | – | – | – | 244,165 | 244,165
Fair value changes of the hedged items-liability | 27 | 17,674 | – | – | – | 17,674 | 17,674
Derivatives – Hedge accounting | 27 | 2,146 | – | – | – | 2,146 | 2,146
Deposits from banks | 32 | – | – | – | 551,980 | 551,980 | 551,978
Deposits from customers | 33 | – | – | – | 65,106,151 | 65,106,151 | 65,047,068
Loans from banks and other financial institutions | 34 | – | – | – | 776,846 | 776,846 | 776,830
Debt securities issued | 34 | – | – | – | 5,072,705 | 5,072,705 | 4,941,740
Subordinated loans | 34 | – | – | – | 810,127 | 810,127 | 818,656
Other liabilities | 35 | – | – | – | 1,582,665 | 1,582,665 | 1,582,665
Total financial liabilities |  | 263,985 | – | – | 73,900,474 | 74,164,459 | 73,982,922

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

98

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The below table presents the measurements categories for financial instruments:

Group |  |  |  |  |  |  |
In RON thousand | Note | Held for trading | Mandatorily at fair value through profit or loss | Fair value through other comprehensive income | Amortised cost | Total carrying amount | Fair value
31 December 2023 |  |  |  |  |  |  |
Financial assets |  |  |  |  |  |  |
Cash and cash with Central Bank | 17 | – | – | – | 13,867,449 | 13,867,449 | 13,867,449
Trading assets | 18 | 181,316 | – | – | – | 181,316 | 181,316
Derivative assets held for risk management | 19 | 18,185 | – | – | – | 18,185 | 18,185
Financial assets mandatorily at fair value through profit or loss | 26 | – | 178,427 | – | – | 178,427 | 178,427
Loans and advances to banks at amortised cost | 20 | – | – | – | 484,640 | 484,640 | 484,640
Loans and advances to customers at amortised cost | 21 | – | – | – | 41,813,234 | 41,813,234 | 41,810,068
Derivatives Asset– Hedge accounting | 27 | 37,793 | – | – | – | 37,793 | 37,793
Investment securities and equity instruments | 22, 23, 24 | – | – | 2,815,785 | 10,026,621 | 12,842,406 | 12,661,670
Other assets | 28 | – | – | – | 193,637 | 193,637 | 193,637
Total financial assets |  | 237,294 | 178,427 | 2,815,785 | 66,385,581 | 69,617,087 | 69,433,185
Financial liabilities |  |  |  |  |  |  |
Trading liabilities | 18 | 9,440 | – | – | – | 9,440 | 9,440
Derivative liabilities held for risk management | 19 | 675 | – | – | – | 675 | 675
Fair value changes of the hedged items-liability | 27 | 4,940 | – | – | – | 4,940 | 4,940
Derivatives – Hedge accounting | 27 | 709 | – | – | – | 709 | 709
Deposits from banks | 32 | – | – | – | 494,928 | 494,928 | 494,933
Deposits from customers | 33 | – | – | – | 54,400,238 | 54,400,238 | 54,346,579
Loans from banks and other financial institutions | 34 | – | – | – | 488,558 | 488,558 | 488,502
Debt securities issued | 34 | – | – | – | 5,555,004 | 5,555,004 | 5,423,599
Subordinated loans | 34 | – | – | – | 326,115 | 326,115 | 328,008
Other liabilities | 35 | – | – | – | 1,518,346 | 1,518,346 | 1,518,346
Total financial liabilities |  | 15,764 | – | – | 62,783,189 | 62,798,953 | 62,615,731

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

99

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The below table presents the measurements categories for financial instruments:

Bank |  |  |  |  |  |  |
In RON thousand | Note | Held for trading | Mandatorily at fair value through profit or loss | Fair value through other comprehensive income | Amortised cost | Total carrying amount | Fair value
31 December 2024 |  |  |  |  |  |  |
Financial assets |  |  |  |  |  |  |
Cash and cash with Central Bank | 17 | – | – | – | 13,990,283 | 13,990,283 | 13,990,283
Trading assets | 18 | 548,507 | – | – | – | 548,507 | 548,507
Derivative assets held for risk management | 19 | 9,428 | – | – | – | 9,428 | 9,428
Financial assets mandatorily at fair value through profit or loss | 26 | – | 112,076 | – | – | 112,076 | 112,076
Loans and advances to banks at amortised cost | 20 | – | – | – | 1,224,371 | 1,224,371 | 1,224,371
Loans and advances to customers at amortised cost | 21 | – | – | – | 48,282,284 | 48,282,284 | 48,317,708
Investment securities and equity instruments | 22, 23, 24 | – | – | 2,297,224 | 13,879,267 | 16,176,491 | 15,698,769
Derivatives Asset– Hedge accounting | 27 | 52,135 | – | – | – | 52,135 | 52,135
Other assets | 28 | – | – | – | 401,802 | 401,802 | 401,802
Total financial assets |  | 610,070 | 112,076 | 2,297,224 | 77,778,007 | 80,797,377 | 80,355,079
Financial liabilities |  |  |  |  |  |  |
Trading liabilities | 18 | 244,165 | – | – | – | 244,165 | 244,165
Fair value changes of the hedged items-Liability | 27 | 17,674 | – | – | – | 17,674 | 17,674
Derivatives – Hedge accounting | 27 | 2,146 | – | – | – | 2,146 | 2,146
Deposits from banks | 32 | – | – | – | 551,980 | 551,980 | 551,978
Deposits from customers | 33 | – | – | – | 65,216,652 | 65,216,652 | 65,157,569
Loans from banks and other financial institutions | 34 | – | – | – | 156,334 | 156,334 | 156,317
Debt securities issued | 34 | – | – | – | 5,072,705 | 5,072,705 | 4,941,740
Subordinated loans | 34 | – | – | – | 810,127 | 810,127 | 818,656
Other liabilities | 35 | – | – | – | 1,551,188 | 1,551,188 | 1,551,188
Total financial liabilities |  | 263,985 | – | – | 73,358,986 | 73,622,971 | 73,441,433

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

100

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The below table presents the measurements categories for financial instruments:

Bank |  |  |  |  |  |  |
In RON thousand | Note | Held for trading | Mandatorily at fair value through profit or loss | Fair value through other comprehensive income | Amortised cost | Total carrying amount | Fair value
31 December 2023 |  |  |  |  |  |  |
Financial assets |  |  |  |  |  |  |
Cash and cash with Central Bank | 17 | – | – | – | 13,802,815 | 13,802,815 | 13,802,815
Trading assets | 18 | 181,316 | – | – | – | 181,316 | 181,316
Derivative assets held for risk management | 19 | 18,185 | – | – | – | 18,185 | 18,185
Financial assets mandatorily at fair value through profit or loss | 26 | – | 156,113 | – | – | 156,113 | 156,113
Loans and advances to banks at amortised cost | 20 | – | – | – | 495,257 | 495,257 | 495,257
Loans and advances to customers at amortised cost | 21 | – | – | – | 41,259,437 | 41,259,437 | 41,256,270
Derivatives Asset– Hedge accounting | 27 | 37,793 | – | – | – | 37,793 | 37,793
Investment securities and equity instruments | 22, 23, 24 | – | – | 2,795,457 | 10,013,097 | 12,808,554 | 12,628,193
Other assets | 28 | – | – | – | 161,302 | 161,302 | 161,302
Total financial assets |  | 237,294 | 156,113 | 2,795,457 | 65,731,908 | 68,920,772 | 68,737,244
Financial liabilities |  |  |  |  |  |  |
Trading liabilities | 18 | 9,440 | – | – | – | 9,440 | 9,440
Derivative liabilities held for risk management | 19 | 675 | – | – | – | 675 | 675
Fair value changes of the hedged items-Liability | 27 | 4,940 | – | – | – | 4,940 | 4,940
Derivatives – Hedge accounting | 27 | 709 | – | – | – | 709 | 709
Deposits from banks | 32 | – | – | – | 494,928 | 494,928 | 494,933
Deposits from customers | 33 | – | – | – | 54,488,871 | 54,488,871 | 54,435,212
Loans from banks and other financial institutions | 34 | – | – | – | 1,745 | 1,745 | 1,688
Debt securities issued | 34 | – | – | – | 5,555,004 | 5,555,004 | 5,423,599
Subordinated loans | 34 | – | – | – | 326,015 | 326,015 | 328,008
Other liabilities | 35 | – | – | – | 1,481,127 | 1,481,127 | 1,481,127
Total financial liabilities |  | 15,764 | – | – | 62,347,690 | 62,363,454 | 62,180,331

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

101

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

8. NET INTEREST INCOME

| Group |  | Bank
In RON thousand | 2024 | 2023 |  | 2024 | 2023
Interest income according to effective interest method |  |  |  |  |
Current accounts and loans and advances to banks | 148,179 | 42,940 |  | 144,311 | 41,001
Loans and advances to customers (i) | 3,256,676 | 3,235,673 |  | 3,294,178 | 3,264,848
Investments measured at fair value through other comprehensive income | 125,689 | 122,600 |  | 125,094 | 119,552
Investment securities measured at amortised cost | 639,052 | 436,129 |  | 638,510 | 435,405
| 4,169,596 | 3,837,342 |  | 4,202,093 | 3,860,806
Interest income other |  |  |  |  |
Current accounts and loans and advances to banks | 395,733 | 187,562 |  | 394,953 | 186,628
Finance leasing activity | 105,341 | 79,033 |  | – | –
Derivatives - Hedge accounting, interest rate risk | 3,959 | 3,772 |  | 3,958 | 3,772
| 505,033 | 270,367 |  | 398,911 | 190,400
Total interest income | 4,674,629 | 4,107,709 |  | 4,601,004 | 4,051,206

Interest expense |  |  |  |  |
Deposits from banks | (15,529) | (8,090) |  | (15,529) | (8,090)
Deposits from customers | (1,165,720) | (939,448) |  | (1,165,676) | (939,228)
Debt securities issued | (332,459) | (245,333) |  | (332,459) | (245,333)
Loans from banks and subordinated liabilities | (90,331) | (83,195) |  | (67,701) | (69,761)
Leasing | (6,431) | (4,554) |  | (6,246) | (4,322)
Negative interest on financial assets | 4 | (28) |  | 4 | (28)
Derivatives - Hedge accounting, interest rate risk | (10,205) | (1,900) |  | (10,205) | (1,900)
Interest cost on benefit obligation | (3,978) | (4,232) |  | (3,978) | (4,232)
Total interest expense | (1,624,649) | (1,286,780) |  | (1,601,790) | (1,272,894)

Net interest income | 3,049,980 | 2,820,929 |  | 2,999,214 | 2,778,312

(i) The amount of interest income from impaired loans amounts to RON 41,917 thousand (31 December 2023: RON 37,898 thousand).

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

102

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

9. NET FEE AND COMMISSION INCOME

| Group |  | Bank
In RON thousand | 2024 | 2023 |  | 2024 | 2023
Fee and commission income |  |  |  |  |
Transactions from payments transfer business | 678,746 | 628,746 |  | 678,746 | 628,746
Loans administration and guarantee issuance | 81,281 | 72,331 |  | 81,269 | 72,293
Asset management fee (i) | 48,598 | 29,831 |  | – | –
Commissions from insurance premium collections (ii) | 125,017 | 88,289 |  | 125,017 | 88,289
Finance leasing administration | 1,736 | 13,537 |  | – | –
Other (iii) | 75,075 | 70,841 |  | 89,748 | 75,410
Total fee and commission income | 1,010,453 | 903,575 |  | 974,780 | 864,738
Fees and commissions expense |  |  |  |  |
Commissions for payment transfer business | (300,828) | (258,960) |  | (300,828) | (258,960)
Loan and guarantees received from banks | (16,299) | (16,173) |  | (16,299) | (16,173)
For securities business | (3,855) | (3,442) |  | (3,791) | (1,871)
Commissions for buying/selling cash | (9,547) | (12,024) |  | (9,547) | (12,024)
Others | (7,581) | (10,726) |  | (6,775) | (7,937)
Total fee and commission expense | (338,110) | (301,325) |  | (337,240) | (296,965)
Net fee and commission income | 672,343 | 602,250 |  | 637,540 | 567,773

(i) The caption "Asset management fees" includes fees obtained by Raiffeisen Asset Management S.A. from its customers and are
based on the value of assets under management.
(ii) The caption “Commissions from insurance premium collections” represents fees earned by the Bank for the intermediation of
insurance policies between its customers and insurance companies.
(iii) Under "Other", the Group records mainly fees for its custody activity.
10. NET TRADING INCOME

| Group |  | Bank
In RON thousand | 2024 | 2023 |  | 2024 | 2023
Net trading income from: |  |  |  |  |
Currency based instruments (i), out of which: | 338,020 | 360,863 |  | 334,896 | 362,003
• Gain/(loss) from foreign exchange derivative transactions | 5,775 | (5,990) |  | 5,775 | (6,008)
• Net gain on revaluation of monetary assets and foreign currency transactions | 332,245 | 366,853 |  | 329,121 | 368,011
Interest rate instruments (ii), out of which: | 25,692 | 16,687 |  | 25,692 | 16,687
• Net trading result from government securities and corporate debt securities | 25,310 | 17,098 |  | 25,310 | 17,098
• Interest rate swaps gain/(loss) | 382 | (411) |  | 382 | (411)
Net trading income | 363,712 | 377,550 |  | 360,588 | 378,690

(i) Net foreign exchange income from currency based transactions includes gains and losses from spot and forward contracts,
money market instruments, currency swaps and from the translation of foreign currency assets and liabilities.
(ii) Net trading income from interest rate instruments includes the net result on trading in government securities, corporate debt
securities and interest rate swaps.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

103

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

11. OTHER OPERATING INCOME

| Group |  | Bank
In RON thousand | 2024 | 2023 |  | 2024 | 2023
Revenues from additional leasing services | 4,800 | 3,474 |  | – | –
Reversal of other provisions | 13,351 | 587 |  | 15,604 | 587
Dividend income | 3,942 | 3,122 |  | 17,172 | 32,716
Income from repossessed assets | 312 | 1,570 |  | 312 | 1,570
Reversal of litigation provision | 6,524 | 25,357 |  | 6,524 | 25,357
Sundry income (i) | 33,619 | 30,430 |  | 30,671 | 31,406
Total | 62,548 | 64,540 |  | 70,283 | 91,636

(i) In “sundry income” position, the Group includes revenues from: various recoveries on sundry debtors, liabilities of the Bank which
reached the prescription term and were derecognised, amounts resulted from cash reconciliation process etc.
12. OPERATING EXPENSES

| Group |  | Bank
In RON thousand | 2024 | 2023 |  | 2024 | 2023
Office space expenses (i) | (73,762) | (69,492) |  | (72,958) | (67,672)
IT repairs and maintenance | (154,954) | (160,273) |  | (149,012) | (154,960)
Depreciation and amortization (Note 30 and 31) | (270,313) | (274,702) |  | (267,106) | (271,545)
Bank levies (v) | (120,878) | – |  | (120,878) | –
Deposit insurance fees (ii) | (18,279) | (17,969) |  | (18,279) | (17,969)
Resolution fund fee (iii) | (21,071) | (30,635) |  | (21,048) | (30,605)
Security expenses | (49,189) | (51,657) |  | (49,180) | (51,647)
Advertising | (83,539) | (64,282) |  | (82,343) | (63,333)
Legal, advisory and consulting expenses | (53,248) | (45,943) |  | (51,714) | (44,450)
Postal and telecommunication expenses | (128,865) | (98,555) |  | (128,406) | (97,983)
Office supplies | (31,926) | (32,211) |  | (31,821) | (32,114)
Sundry operating expenses | (54,109) | (55,515) |  | (49,953) | (51,178)
Charge of other provisions | (7,253) | (27,725) |  | (6,705) | (22,802)
Training expenses for staff | (10,270) | (12,435) |  | (9,893) | (11,755)
Travelling expenses | (9,916) | (5,717) |  | (9,734) | (5,524)
Transport costs | (7,486) | (7,126) |  | (6,903) | (6,712)
Other taxes (iv) | (4,844) | (26,344) |  | (2,230) | (24,365)
Total | (1,099,902) | (980,581) |  | (1,078,163) | (954,614)

(i) The amounts under "Office space expenses" include mainly cleaning, security expenses and the VAT related to the rental paid
invoices.
(ii) The Bank pays annually contributions to the Bank Deposit Guarantee Fund for guaranteed deposits. Guaranteed deposits
represent any credit balance, including the due interest, which results from funds left in an account or from temporary situations
deriving from normal banking transactions and which a credit institution must repay in the legal and contractual conditions
applicable. Examples of guaranteed deposits are: time deposits, current accounts, savings accounts, debit/credit card accounts.
(iii) The Bank pays contribution to resolution fund for liabilities not covered, respectively for liabilities (excluding own funds) less
covered deposits. The liability to pay these levies is recognized when they become constructive. In this case, the obligation arises
annually on January 1, as the Bank performs activities related to deposits received.
The expense with deposit insurance fees and resolution fund fee is recognised in the year when paid.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

104

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

(iv) Under the caption “Other taxes” the Group presents the 2023 movement in provision for tax audit (please see note 28 Other
assets).
(v) Within a package of tax reforms, Law 296/2023 introduced starting with 2024 an additional permanent banking fee, applicable
to all credit institutions in Romania, regardless of the recorded financial result, with the introduction of differentiated tax rates, as
follows:
a) 2% of turnover, for the period 1 January 2024 – 31 December 2025 inclusive;
b) 1% of turnover, as of 1 January 2026.
This tax on the operational income of banks was introduced to be paid in addition to the corporate income tax. The bank will
calculate, declare, and pay the turnover tax starting with 2024 according to the tax laws in force.
External auditor expense:
Group: The expense with statutory audit of financial statements as at December 31, 2024 was in amount of RON 1,896 thousand
(December 31, 2023: RON 1,756 thousand), the expense with assurance services as at December 31, 2024 was in amount of RON
1,776 thousand ( December 31, 2023: RON 1,114 thousand), and the expense with non-assurance services as at December 31, 2024
was in amount of RON 450 thousand (December 31, 2023: RON 41 thousand).
Bank: The expense with statutory audit of financial statements as at December 31, 2024 was in amount of RON 1,258 thousand
(December 31, 2023: RON 1,257 thousand), the expense with assurance services as at December 31, 2024 was in amount of RON
1,776 thousand (December 31, 2023: RON 1,011 thousand), and the expense with non-assurance services as at December 31, 2024
was in amount of RON 450 thousand (December 31, 2023: RON 41 thousand).
13. PERSONNEL EXPENSES

| Group |  | Bank
In RON thousand | 2024 | 2023 |  | 2024 | 2023
Salary expense | (838,458) | (777,132) |  | (803,223) | (745,567)
Social contributions | (27,773) | (24,719) |  | (26,873) | (24,062)
Other staff expenses | (48,991) | (36,545) |  | (47,404) | (35,435)
Expenses for defined benefit pension plans | (7,120) | (3,885) |  | (7,120) | (3,885)
Long term employee benefits | (2,664) | (4,592) |  | (2,494) | (4,491)
Total | (925,006) | (846,873) |  | (887,114) | (813,440)

The number of employees (full time equivalent) at Group level as at December 31, 2024 was 5,034 (December 31, 2023: 5,037). The
number of employees at Bank level as at December 31, 2024 was 4,901 (December 31, 2023: 4,879).

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

105

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

14. IMPAIRMENT (LOSSES)/REVERSALS

Group | 31 December 2024
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
Loans and advances to banks at amortised cost | (40) | (10) | – | – | (50)
Loans and advances to customers at amortised cost | (19,066) | 19,095 | (14,842) | (6,443) | (21,256)
Loan commitments and financial guarantees | (4,993) | (316) | 8,891 | – | 3,582
Investment securities at amortised cost | (3,836) | – | – | – | (3,836)
Loans written-off | – | (449) | (266) | 7,051 | 6,336
Recoveries from loans and advances to customers | – | – | 18,401 | 2,253 | 20,654
Total non-retail | (27,935) | 18,320 | 12,184 | 2,861 | 5,430
Retail |  |  |  |  |
Loans and advances to customers at amortised cost | 9,878 | 49,292 | (154,770) | 22,755 | (72,845)
Loan commitments and financial guarantees | 291 | 141 | (1,737) | – | (1,305)
Loans written-off | – | (5,326) | (4,319) | (28,913) | (38,558)
Recoveries from loans and advances to customers | – | 1,255 | 64,140 | 16,900 | 82,295
Total retail | 10,169 | 45,362 | (96,686) | 10,742 | (30,413)
Total | (17,766) | 63,682 | (84,502) | 13,603 | (24,983)

Group | 31 December 2023
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
Loans and advances to banks at amortised cost | (12) | (78) | – | – | (90)
Loans and advances to customers at amortised cost | 2,406 | (1,760) | (31,454) | (23,816) | (54,624)
Loan commitments and financial guarantees | 6,426 | 653 | 16,807 | – | 23,886
Investment securities at amortised cost | (1,657) | – | – | – | (1,657)
Investment in subsidiaries, associates and joint ventures | (1,421) | – | – | – | (1,421)
Loans written-off | – | (1,557) | (15,943) | (591) | (18,091)
Recoveries from loans and advances to customers | – | – | 34,840 | 5,195 | 40,035
Total non-retail | 5,742 | (2,742) | 4,250 | (19,212) | (11,962)
Retail |  |  |  |  |
Loans and advances to customers at amortised cost | 38,708 | 45,332 | (187,035) | 30,090 | (72,905)
Loan commitments and financial guarantees | 2,556 | 4,340 | 2,276 | – | 9,172
Loans written-off | – | (2,023) | (3,847) | (89) | (5,959)
Recoveries from loans and advances to customers | – | – | 106,019 | 5,554 | 111,573
Total retail | 41,264 | 47,649 | (82,587) | 35,555 | 41,881
Total | 47,006 | 44,907 | (78,337) | 16,343 | 29,919

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

106

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Bank | 31 December 2024
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
Loans and advances to banks at amortised cost | (40) | (10) | – | – | (50)
Loans and advances to customers at amortised cost | (18,401) | 19,981 | (13,372) | (6,409) | (18,201)
Loan commitments and financial guarantees | (4,993) | (316) | 8,891 | – | 3,582
Investment in subsidiaries, associates and joint ventures | 4,756 | – | – | – | 4,756
Investment securities at amortised cost | (3,836) | – | – | – | (3,836)
Loans written-off | – | (449) | (136) | 7,051 | 6,466
Recoveries from loans and advances to customers | – | – | 18,401 | 2,253 | 20,654
Total non-retail | (22,514) | 19,206 | 13,784 | 2,895 | 13,371
Retail |  |  |  |  |
Loans and advances to customers at amortised cost | 9,792 | 49,286 | (154,795) | 22,755 | (72,962)
Loan commitments and financial guarantees | 291 | 141 | (1,737) | – | (1,305)
Loans written-off | – | (5,326) | (4,319) | (28,913) | (38,558)
Recoveries from loans and advances to customers | – | 1,255 | 63,487 | 16,900 | 81,642
Total retail | 10,083 | 45,356 | (97,364) | 10,742 | (31,183)
Total | (12,431) | 64,562 | (83,580) | 13,637 | (17,812)

Bank | 31 December 2023
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
Loans and advances to banks at amortised cost | (12) | (78) | – | – | (90)
Loans and advances to customers at amortised cost | (631) | 1,608 | (34,203) | (23,816) | (57,042)
Loan commitments and financial guarantees | 6,426 | 653 | 16,807 | – | 23,886
Investment in subsidiaries, associates and joint ventures | 5,270 | – | – | – | 5,270
Investment securities at amortised cost | (1,657) | – | – | – | (1,657)
Loans written-off | – | (1,557) | (14,591) | (591) | (16,739)
Recoveries from loans and advances to customers | – | – | 34,840 | 5,195 | 40,035
Total non-retail | 9,396 | 626 | 2,853 | (19,212) | (6,337)
Retail |  |  |  |  |
Loans and advances to customers at amortised cost | 38,774 | 45,250 | (187,129) | 30,090 | (73,015)
Loan commitments and financial guarantees | 2,556 | 4,340 | 2,276 | – | 9,172
Loans written-off | – | (2,023) | (3,847) | (89) | (5,959)
Recoveries from loans and advances to customers | – | – | 105,530 | 5,554 | 111,084
Total retail | 41,330 | 47,567 | (83,170) | 35,555 | 41,282
Total | 50,726 | 48,193 | (80,317) | 16,343 | 34,945

The level of Retail impairment in 2024 is mainly due to the following factors: new MOF (Macroeconomic overlay factor) PD model
implementation, annual IFRS9 parameters update, good portfolio performance and good NPE management.
The contractual amount outstanding on credit exposures that were written off and are still subject to enforcement activity during
the period as of December 31, 2024 is RON 83,947 thousand (December 31, 2023: RON 46,701 thousand), out of which non-retail
exposures in amount of RON 34,021 thousand (December 31, 2023: RON 5,028 thousand) and retail exposures in amount of RON
49,926 thousand (December 31, 2023: RON 41,673 thousand).

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

107

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

15. INCOME TAX EXPENSE
i) INCOME TAX EXPENSE

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Current tax expenses at 16% (2023:16%) of taxable profits determined in accordance with Romanian law | (357,187) | (348,037) |  | (350,217) | (344,939)
Adjustments recognized in the period for current tax of prior periods | (2,709) | 3 |  | (2,710) | 4
Deferred tax expense / (income) (Note 29) | (12,140) | (11,138) |  | (12,257) | (8,045)
Expense with provision from tax inspection | – | (24,388) |  | – | (24,388)
Total | (372,036) | (383,560) |  | (365,184) | (377,368)

ii) INCOME TAX RECEIVABLE

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Current tax receivable | 18,292 | – |  | 18,292 | –
Non current tax receivable – Gross Book Value * | 143,246 | 143,246 |  | 143,246 | 143,246
Provision for Non current tax receivable | (93,784) | (93,784) |  | (93,784) | (93,784)
Total | 67,754 | 49,462 |  | 67,754 | 49,462

*According to IFRIC 23, as of December 31, 2024, the carrying amount of income taxes with uncertain treatment is RON 143,246
thousand (December 31, 2023: RON 143,246 thousand) and the correspondent provision is RON 93,784 thousand (December 31,
2023: RON 93,784 thousand) and resulted from the tax audit detailed in note 28 “Other assets”. This amount includes income tax
(principal and related penalties). In this respect, the taxation authority and the court represent the bodies that decide whether tax
treatments are acceptable under tax law.
Law no. 431/2023 transposes the provisions of EU Directive 2022/2523 called “Pillar 2 Directive”, introducing in Romania the
additional global minimum tax that applies to multinational enterprise groups starting with January 1, 2024. The additional tax
applies at the level of the constituent entities that are located in Romania where the effective tax rate is lower than the minimum
tax rate of 15% and is calculated as the difference between the effective tax rate and the minimum tax rate of 15%.
By way of derogation the top-up tax due by a group in a jurisdiction shall be deemed to be zero for the fiscal years 2024-2026 if
temporary country-by-country (CbCR) safe harbour conditions are met.
The Bank qualifies for the CbCR safe harbour given that the constituent entities in Romania meet, based on estimated data, the
simplified effective tax rate test for the 2024 financial year. Therefore, the Bank does not expect to be subject to top-up tax in
relation to its operations in Romania relating to year 2024.
For the 2024 transitional year, the reporting deadline for top-up tax is 18 months from the last day of the reporting financial year.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

108

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

16. RECONCILIATION OF INCOME TAX WITH THE CONSOLIDATED AND SEPARATE STATEMENT OF COMPREHENSIVE INCOME

| Group |  | Bank
In RON thousand | 2024 | 2023 |  | 2024 | 2023
Gross profit before tax | 2,058,081 | 2,084,327 |  | 2,035,562 | 2,096,858
Taxation at statutory rate of 16% (2023: 16%) | (329,293) | (333,492) |  | (325,690) | (335,497)
Non-deductible expenses | (78,410) | (26,613) |  | (76,191) | (23,088)
Non-taxable revenues | 36,914 | (3,193) |  | 38,184 | 1,694
Corporate income tax before fiscal credit | (370,789) | (363,298) |  | (363,697) | (356,891)
Fiscal credit | 1,463 | 4,122 |  | 1,223 | 3,907
Adjustments recognized in the period for current tax of prior periods | (2,710) | 4 |  | (2,710) | 4
Corporate income tax | (372,036) | (359,172) |  | (365,184) | (352,980)
Income tax resulted from tax inspection | – | (24,388) |  | – | (24,388)
Income tax expense | (372,036) | (383,560) |  | (365,184) | (377,368)

The main non-taxable income is from reversal of provisions and dividends received. Non-deductible expenses are from provisions,
sponsorships, accruals and other non-deductible expenses according to the Fiscal Code. In 2024 the non deductible expenses are
affected by the turnover tax, applicable starting with 1st of January 2024..

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

109

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

17. CASH AND CASH WITH CENTRAL BANK

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Cash and cash equivalents | 1,836,243 | 2,108,370 |  | 1,836,234 | 2,108,360
Minimum compulsory reserve | 10,547,538 | 11,759,079 |  | 10,487,794 | 11,694,455
Other demand deposits | 1,666,255 | – |  | 1,666,255 | –
Total | 14,050,036 | 13,867,449 |  | 13,990,283 | 13,802,815

The Bank maintains with the National Bank of Romania the minimum compulsory reserve established under Regulation no. 6/2002
issued by the National Bank of Romania, with subsequent amendments and addendums. As of December 31, 2024, the mandatory
minimum reserve ratio was 8% (December 31, 2023: 8%) for funds raised in RON and 5% (December 31, 2023: 5%) for funds in
foreign currency with residual maturity of less than 2 years, at the end of the observation period. For liabilities having residual
maturity over 2 years at the end of the observation period, without reimbursement, conversion or early retirement clauses,
compulsory minimum reserve ratio was set at 0% (December 31, 2023: 0%).
The minimum compulsory reserve can be used by the Group for daily activities but under the condition that the monthly average
balance of the minimum compulsory reserve is kept within the legal limits, therefore the Group considers that this is not restrictive
cash and includes the amount in cash and cash equivalents considered in Cash flow statement.
18. TRADING ASSETS / LIABILITIES

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Trading assets |  |  |  |  |
Debt instruments | 532,365 | 177,901 |  | 532,365 | 177,901
Derivative financial instruments | 16,142 | 3,415 |  | 16,142 | 3,415
Total | 548,507 | 181,316 |  | 548,507 | 181,316

Trading liabilities |  |  |  |  |
Derivative financial instruments | 12,981 | 6,539 |  | 12,981 | 6,539
Short position | 231,184 | 2,901 |  | 231,184 | 2,901
Total | 244,165 | 9,440 |  | 244,165 | 9,440

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

110

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

19. DERIVATIVES HELD FOR RISK MANAGEMENT
The portfolio of derivatives held for economic hedge risk management purposes (hedge accounting is not applied here) are
detailed below:
Group

31 December 2024 |  |  |  |
| Notional | Notional | Fair value
In RON thousand | buy | sell | Assets | Liabilities
OTC products: |  |  |  |
Cross currency Interest rate swaps | 149,223 | 149,223 | 6,166 | –
FX swap | 588,405 | 586,357 | 1,439 | –
Interest rate swaps | 49,741 | 49,741 | 1,823 | –
Total |  |  | 9,428 | –

31 December 2023 |  |  |  |
| Notional | Notional | Fair value
In RON thousand | buy | sell | Assets | Liabilities
OTC products: |  |  |  |
Cross currency Interest rate swaps | 177,153 | 177,153 | 13,351 | –
FX swap | 1,309,448 | 1,309,889 | 589 | 588
Interest rate swaps | 146,746 | 146,746 | 4,245 | 87
Total |  |  | 18,185 | 675

Bank

31 December 2024 |  |  |  |
| Notional | Notional | Fair value
In RON thousand | buy | sell | Assets | Liabilities
OTC products: |  |  |  |
Cross currency Interest rate swaps | 149,223 | 149,223 | 6,166 | –
FX swap | 588,405 | 586,357 | 1,439 | –
Interest rate swaps | 49,741 | 49,741 | 1,823 | –
Total |  |  | 9,428 | –

31 December 2023 |  |  |  |
| Notional | Notional | Fair value
In RON thousand | buy | sell | Assets | Liabilities
OTC products: |  |  |  |
Cross currency Interest rate swaps | 177,153 | 177,153 | 13,351 | –
FX swap | 1,309,448 | 1,309,889 | 589 | 588
Interest rate swaps | 146,746 | 146,746 | 4,245 | 87
Total |  |  | 18,185 | 675

FX swap contracts are used by the bank mainly for liquidity management. These operations are used by the bank to invest for a
period of time the liquidity available in a currency by exchange it for another currency.
The fair value of derivative financial instruments is determined by discounted cash flow models using the market quotations at
the valuation date. Foreign exchange transactions are measured by discounted future models using the market rates from
Reuters and the fixing price of National Bank of Romania.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

111

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

20. LOANS AND ADVANCES TO BANKS AT AMORTISED COST

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Refundable at request | 22,390 | 94,551 |  | 20,368 | 93,307
Sight deposits | 649,240 | 164,872 |  | 649,356 | 164,872
Term deposits | 15,195 | 22,827 |  | 15,195 | 22,827
Reverse repo | 328,579 | 2,918 |  | 328,579 | 2,918
Term loans | 199,021 | 199,472 |  | 199,021 | 199,472
Subordinated loans | – | – |  | 11,852 | 11,861
Total | 1,214,425 | 484,640 |  | 1,224,371 | 495,257

21. LOANS AND ADVANCES TO CUSTOMERS AT AMORTISED COST
The table below presents the carrying amount of credit risk exposures and corresponding impairment allowances as follows:

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Non-retail |  |  |  |  |
Gross exposure | 28,364,344 | 22,511,941 |  | 28,227,904 | 22,389,976
Impairment allowance | (406,631) | (397,070) |  | (386,531) | (374,935)
Net exposure | 27,957,713 | 22,114,871 |  | 27,841,373 | 22,015,041
Retail |  |  |  |  |
Gross exposure | 21,832,754 | 20,528,701 |  | 21,241,644 | 20,059,898
Impairment allowance | (818,193) | (830,338) |  | (800,733) | (815,502)
Net exposure | 21,014,561 | 19,698,363 |  | 20,440,911 | 19,244,396
Total net exposure | 48,972,274 | 41,813,234 |  | 48,282,284 | 41,259,437

The Group has loans and advances (financial assets at amortized cost) in the amount of RON 375,166 thousands (December 31,
2023: RON 141,525 thousands) and Reverse Repo business in the amount of RON 328,579 thousands (December 31, 2023: RON
742,261 thousands) with no expected credit losses due to collateral.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

112

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below present an analysis of changes in the gross carrying amount as follows:

Group | 31 December 2024
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
Gross carrying amount as at 1 January 2024 | 20,175,925 | 2,081,654 | 216,080 | 38,282 | 22,511,941
New assets originated or purchased | 19,177,326 | 1,233,975 | 29,410 | 2,541 | 20,443,252
Assets derecognised or repaid (excluding write offs) | (12,731,322) | (1,777,755) | (95,440) | (3,588) | (14,608,105)
Transfers to Stage 1 | 974,357 | (974,357) | – | – | –
Transfers to Stage 2 | (2,478,646) | 2,478,646 | – | – | –
Transfers to Stage 3 | (10,257) | (122,399) | 132,656 | – | –
Decrease due to write-offs | – | – | (25,019) | – | (25,019)
Foreign exchange adjustments | 34,092 | 330 | 7,858 | (5) | 42,275
Total non-retail gross carrying amount as at 31 December 2024 | 25,141,475 | 2,920,094 | 265,545 | 37,230 | 28,364,344
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail |  |  |  |  |
Gross carrying amount as at 1 January 2024 | 16,594,728 | 2,965,013 | 792,227 | 176,733 | 20,528,701
New assets originated or purchased | 9,537,857 | 233,377 | 29,843 | 12,424 | 9,813,501
Assets derecognised or repaid (excluding write offs) | (6,855,343) | (1,284,909) | (299,349) | (26,254) | (8,465,855)
Transfers to Stage 1 | 4,864,399 | (4,838,778) | (25,621) | – | –
Transfers to Stage 2 | (6,102,538) | 6,179,159 | (76,621) | – | –
Transfers to Stage 3 | (44,454) | (453,752) | 498,206 | – | –
Decrease due to write-offs | – | – | (39,576) | – | (39,576)
Foreign exchange adjustments | (73) | (2,419) | (1,078) | (447) | (4,017)
Total retail gross carrying amount as at 31 December 2024 | 17,994,576 | 2,797,691 | 878,031 | 162,456 | 21,832,754
Total gross carrying amount | 43,136,051 | 5,717,785 | 1,143,576 | 199,686 | 50,197,098

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

113

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below present an analysis of changes in the gross carrying amount as follows:

Group | 31 December 2023
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
Gross carrying amount as at 1 January 2023 | 17,337,146 | 2,687,988 | 236,299 | 48,051 | 20,309,484
New assets originated or purchased | 16,276,936 | 871,656 | 22,951 | 923 | 17,172,466
Assets derecognised or repaid (excluding write offs) | (13,374,130) | (1,502,867) | (151,786) | (10,703) | (15,039,486)
Transfers to Stage 1 | 2,205,456 | (2,199,575) | (5,881) | – | –
Transfers to Stage 2 | (2,322,618) | 2,332,952 | (1,491) | – | 8,843
Transfers to Stage 3 | (3,249) | (114,718) | 118,056 | – | 89
Decrease due to write-offs | – | – | (2,121) | – | (2,121)
Foreign exchange adjustments | 56,384 | 6,218 | 53 | 11 | 62,666
Total non-retail gross carrying amount as at 31 December 2023 | 20,175,925 | 2,081,654 | 216,080 | 38,282 | 22,511,941
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail |  |  |  |  |
Gross carrying amount as at 1 January 2023 | 17,811,492 | 2,166,865 | 722,263 | 178,007 | 20,878,627
New assets originated or purchased | 5,655,018 | 854,043 | 9,071 | 13,847 | 6,531,979
Assets derecognised or repaid (excluding write offs) | (5,357,496) | (1,130,091) | (365,635) | (17,057) | (6,870,279)
Transfers to Stage 1 | 5,547,934 | (5,521,785) | (26,149) | – | –
Transfers to Stage 2 | (7,022,279) | 7,088,353 | (74,917) | – | (8,843)
Transfers to Stage 3 | (45,319) | (503,103) | 548,333 | – | (89)
Decrease due to write-offs | – | – | (25,466) | – | (25,466)
Foreign exchange adjustments | 5,378 | 10,731 | 4,727 | 1,936 | 22,772
Total retail gross carrying amount as at 31 December 2023 | 16,594,728 | 2,965,013 | 792,227 | 176,733 | 20,528,701
Total gross carrying amount | 36,770,653 | 5,046,667 | 1,008,307 | 215,015 | 43,040,642

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

114

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below present an analysis of changes in the gross carrying amount as follows:

Bank | 31 December 2024
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
Gross carrying amount as at 1 January 2024 | 20,368,735 | 1,782,670 | 200,289 | 38,282 | 22,389,976
New assets originated or purchased | 18,966,819 | 1,152,816 | 36,473 | 2,541 | 20,158,649
Assets derecognised or repaid (excluding write offs) | (12,573,989) | (1,663,128) | (89,413) | (3,588) | (14,330,118)
Transfers to Stage 1 | 862,570 | (862,570) | – | – | –
Transfers to Stage 2 | (2,380,233) | 2,380,233 | – | – | –
Transfers to Stage 3 | (6,207) | (119,585) | 125,792 | – | –
Decrease due to write-offs | – | – | (25,019) | – | (25,019)
Foreign exchange adjustments | 34,092 | 330 | (1) | (5) | 34,416
Total non-retail gross carrying amount as at 31 December 2024 | 25,271,787 | 2,670,766 | 248,121 | 37,230 | 28,227,904
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail |  |  |  |  |
Gross carrying amount as at 1 January 2024 | 16,213,528 | 2,891,756 | 777,881 | 176,733 | 20,059,898
New assets originated or purchased | 9,276,269 | 186,048 | 28,002 | 12,424 | 9,502,743
Assets derecognised or repaid (excluding write offs) | (6,720,690) | (1,239,268) | (291,192) | (26,254) | (8,277,404)
Transfers to Stage 1 | 4,838,042 | (4,813,039) | (25,003) | – | –
Transfers to Stage 2 | (6,042,506) | 6,118,998 | (76,492) | – | –
Transfers to Stage 3 | (38,152) | (450,063) | 488,215 | – | –
Decrease due to write-offs | – | – | (39,576) | – | (39,576)
Foreign exchange adjustments | (73) | (2,419) | (1,078) | (447) | (4,017)
Total retail gross carrying amount as at 31 December 2024 | 17,526,418 | 2,692,013 | 860,757 | 162,456 | 21,241,644
Total gross carrying amount | 42,798,205 | 5,362,779 | 1,108,878 | 199,686 | 49,469,548

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

115

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below present an analysis of changes in the gross carrying amount as follows:

Bank | 31 December 2023
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
Gross carrying amount as at 1 January 2023 | 17,402,955 | 2,541,618 | 219,746 | 48,051 | 20,212,370
New assets originated or purchased | 16,181,029 | 786,614 | 22,951 | 923 | 16,991,517
Assets derecognised or repaid (excluding write offs) | (13,217,946) | (1,497,612) | (150,209) | (10,703) | (14,876,470)
Transfers to Stage 1 | 2,119,633 | (2,113,752) | (5,881) | – | –
Transfers to Stage 2 | (2,170,071) | 2,171,562 | (1,491) | – | –
Transfers to Stage 3 | (3,249) | (111,978) | 115,227 | – | –
Decrease due to write-offs | – | – | (107) | – | (107)
Foreign exchange adjustments | 56,384 | 6,218 | 53 | 11 | 62,666
Total non-retail gross carrying amount as at 31 December 2023 | 20,368,735 | 1,782,670 | 200,289 | 38,282 | 22,389,976
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail |  |  |  |  |
Gross carrying amount as at 1 January 2023 | 17,438,371 | 2,132,357 | 703,664 | 178,007 | 20,452,399
New assets originated or purchased | 5,472,740 | 826,745 | 8,700 | 13,847 | 6,322,032
Assets derecognised or repaid (excluding write offs) | (5,233,448) | (1,104,670) | (356,819) | (17,057) | (6,711,994)
Transfers to Stage 1 | 5,526,782 | (5,501,328) | (25,454) | – | –
Transfers to Stage 2 | (6,954,782) | 7,029,493 | (74,711) | – | –
Transfers to Stage 3 | (41,513) | (501,572) | 543,085 | – | –
Decrease due to write-offs | – | – | (25,311) | – | (25,311)
Foreign exchange adjustments | 5,378 | 10,731 | 4,727 | 1,936 | 22,772
Total retail gross carrying amount as at 31 December 2023 | 16,213,528 | 2,891,756 | 777,881 | 176,733 | 20,059,898
Total gross carrying amount | 36,582,263 | 4,674,426 | 978,170 | 215,015 | 42,449,874

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

116

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below present an analysis of changes in the ECL allowances as follows:

Group | 31 December 2024
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
ECL allowance as at 1 January 2024 | 142,805 | 85,661 | 136,647 | 31,957 | 397,070
New assets originated or purchased | 116,902 | 16,434 | 14,223 | – | 147,559
Assets derecognised or repaid (excluding write offs) | (45,887) | (23,429) | (18,570) | (1,084) | (88,970)
Transfers to Stage 1 | 14,436 | (14,436) | – | – | –
Transfers to Stage 2 | (7,960) | 7,951 | 9 | – | –
Transfers to Stage 3 | (33) | (3,617) | 3,650 | – | –
Impact on year end ECL of exposures transferred between stages during the year | (58,527) | (5,265) | 42,998 | (1,976) | (22,770)
Decrease in allowance account due to write-offs | – | – | (27,441) | – | (27,441)
Foreign exchange adjustments | 559 | 9 | (4) | (1) | 563
Total non-retail ECL as at 31 December 2024 | 162,295 | 63,308 | 151,512 | 28,896 | 406,011
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail |  |  |  |  |
ECL allowance as at 1 January 2024 | 87,529 | 182,560 | 526,442 | 33,807 | 830,338
New assets originated or purchased | 93,144 | 9,456 | 6,608 | – | 109,208
Assets derecognised or repaid (excluding write offs) | (26,250) | (40,290) | (122,398) | (4,514) | (193,452)
Transfers to Stage 1 | 253,877 | (247,114) | (6,763) | – | –
Transfers to Stage 2 | (45,757) | 72,872 | (27,115) | – | –
Transfers to Stage 3 | (443) | (58,432) | 58,875 | – | –
Impact on year end ECL of exposures transferred between stages during the year | (284,147) | 210,262 | 181,628 | (220) | 107,523
Decrease in allowance account due to write-offs | – | – | (33,573) | – | (33,573)
Foreign exchange adjustments | 2 | (180) | (868) | (185) | (1,231)
Total retail ECL as at 31 December 2024 | 77,955 | 129,134 | 582,836 | 28,888 | 818,813
Total impairment allowance | 240,250 | 192,442 | 734,348 | 57,784 | 1,224,824

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

117

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below present an analysis of changes in the ECL allowances as follows:

Group | 31 December 2023
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
ECL allowance as at 1 January 2023 | 160,587 | 83,190 | 142,601 | 37,796 | 424,174
New assets originated or purchased | 122,393 | 25,870 | 22,208 | – | 170,471
Assets derecognised or repaid (excluding write offs) | (76,681) | (14,565) | (72,329) | (1,782) | (165,357)
Transfers to Stage 1 | 16,028 | (15,987) | (41) | – | –
Transfers to Stage 2 | (13,726) | 13,726 | – | – | –
Transfers to Stage 3 | (11) | (4,941) | 4,952 | – | –
Impact on year end ECL of exposures transferred between stages during the year | (65,981) | (1,918) | 40,770 | (4,062) | (31,191)
Decrease in allowance account due to write-offs | – | – | (1,424) | – | (1,424)
Foreign exchange adjustments | 196 | 286 | (90) | 5 | 397
Total non-retail ECL as at 31 December 2023 | 142,805 | 85,661 | 136,647 | 31,957 | 397,070
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail |  |  |  |  |
ECL allowance as at 1 January 2023 | 110,577 | 234,911 | 529,161 | 37,719 | 912,368
New assets originated or purchased | 102,595 | 36,141 | 17,750 | – | 156,486
Assets derecognised or repaid (excluding write offs) | (24,399) | (53,676) | (229,005) | (4,756) | (311,836)
Transfers to Stage 1 | 379,465 | (370,583) | (8,882) | – | –
Transfers to Stage 2 | (82,387) | 112,068 | (29,681) | – | –
Transfers to Stage 3 | (640) | (85,850) | 86,490 | – | –
Impact on year end ECL of exposures transferred between stages during the year | (397,674) | 309,315 | 181,804 | 192 | 93,637
Decrease in allowance account due to write-offs | – | – | (24,335) | – | (24,335)
Foreign exchange adjustments | (8) | 234 | 3,140 | 652 | 4,018
Total retail ECL as at 31 December 2023 | 87,529 | 182,560 | 526,442 | 33,807 | 830,338
Total impairment allowance | 230,334 | 268,221 | 663,089 | 65,764 | 1,227,408

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

118

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below present an analysis of changes in the ECL allowances as follows:

Bank | 31 December 2024
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
ECL allowance as at 1 January 2024 | 142,653 | 75,777 | 124,548 | 31,957 | 374,935
New assets originated or purchased | 113,154 | 15,573 | 14,220 | – | 142,947
Assets derecognised or repaid (excluding write offs) | (45,766) | (22,570) | (18,082) | (1,084) | (87,502)
Transfers to Stage 1 | 14,436 | (14,436) | – | – | –
Transfers to Stage 2 | (7,960) | 7,951 | 9 | – | –
Transfers to Stage 3 | (33) | (3,617) | 3,650 | – | –
Impact on year end ECL of exposures transferred between stages during the year | (55,488) | (3,034) | 42,906 | (1,976) | (17,592)
Decrease in allowance account due to write-offs | – | – | (27,441) | – | (27,441)
Foreign exchange adjustments | 559 | 8 | (2) | (1) | 564
Total non-retail ECL as at 31 December 2024 | 161,555 | 55,652 | 139,808 | 28,896 | 385,911
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail |  |  |  |  |
ECL allowance as at 1 January 2024 | 84,679 | 179,412 | 517,604 | 33,807 | 815,502
New assets originated or purchased | 91,378 | 8,845 | 6,596 | – | 106,819
Assets derecognised or repaid (excluding write offs) | (26,032) | (39,836) | (121,631) | (4,514) | (192,013)
Transfers to Stage 1 | 253,877 | (247,114) | (6,763) | – | –
Transfers to Stage 2 | (45,757) | 72,872 | (27,115) | – | –
Transfers to Stage 3 | (443) | (58,432) | 58,875 | – | –
Impact on year end ECL of exposures transferred between stages during the year | (282,529) | 207,532 | 181,066 | (220) | 105,849
Decrease in allowance account due to write-offs | – | – | (33,573) | – | (33,573)
Foreign exchange adjustments | 1 | (180) | (867) | (185) | (1,231)
Total retail ECL as at 31 December 2024 | 75,174 | 123,099 | 574,192 | 28,888 | 801,353
Total impairment allowance | 236,729 | 178,751 | 714,000 | 57,784 | 1,187,264

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

119

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below present an analysis of changes in the ECL allowances as follows:

Bank | 31 December 2023
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
ECL allowance as at 1 January 2023 | 160,102 | 75,735 | 129,455 | 37,796 | 403,088
New assets originated or purchased | 120,579 | 24,701 | 22,208 | – | 167,488
Assets derecognised or repaid (excluding write offs) | (76,302) | (14,171) | (72,109) | (1,782) | (164,364)
Transfers to Stage 1 | 16,028 | (15,987) | (41) | – | –
Transfers to Stage 2 | (13,726) | 13,726 | – | – | –
Transfers to Stage 3 | (11) | (4,941) | 4,952 | – | –
Impact on year end ECL of exposures transferred between stages during the year | (64,211) | (3,565) | 40,325 | (4,062) | (31,513)
Decrease in allowance account due to write-offs | – | – | (106) | – | (106)
Foreign exchange adjustments | 194 | 279 | (136) | 5 | 342
Total non-retail ECL as at 31 December 2023 | 142,653 | 75,777 | 124,548 | 31,957 | 374,935
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail |  |  |  |  |
ECL allowance as at 1 January 2023 | 104,989 | 232,755 | 518,703 | 37,719 | 894,166
New assets originated or purchased | 100,784 | 35,736 | 17,745 | – | 154,265
Assets derecognised or repaid (excluding write offs) | (24,018) | (53,428) | (227,583) | (4,756) | (309,785)
Transfers to Stage 1 | 379,465 | (370,583) | (8,882) | – | –
Transfers to Stage 2 | (82,387) | 112,068 | (29,681) | – | –
Transfers to Stage 3 | (640) | (85,850) | 86,490 | – | –
Impact on year end ECL of exposures transferred between stages during the year | (393,503) | 308,479 | 182,041 | 192 | 97,209
Decrease in allowance account due to write-offs | – | – | (24,335) | – | (24,335)
Foreign exchange adjustments | (11) | 235 | 3,106 | 652 | 3,982
Total retail ECL as at 31 December 2023 | 84,679 | 179,412 | 517,604 | 33,807 | 815,502
Total impairment allowance | 227,332 | 255,189 | 642,152 | 65,764 | 1,190,437

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

120

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below present an analysis of changes in the ECL allowances for secured retail portfolio as follows:

Group | 31 December 2024
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail secured |  |  |  |  |
ECL allowance as at 1 January 2024 | 1,948 | 21,533 | 152,958 | 29,738 | 206,177
New assets originated or purchased | 287 | 452 | 1,664 | 1,057 | 3,460
Assets derecognised or repaid (excluding write offs) | (119) | (2,486) | (11,853) | (2,127) | (16,585)
Transfers to Stage 1 | 21,904 | (19,717) | (2,182) | – | 5
Transfers to Stage 2 | (845) | 14,454 | (13,609) | – | –
Transfers to Stage 3 | (11) | (2,648) | 2,659 | – | –
Impact on year end ECL of exposures transferred between stages during the year | (21,652) | 1,611 | 3,769 | (4,519) | (20,791)
Decrease in allowance account due to write-offs | – | – | (5,453) | – | (5,453)
Foreign exchange adjustments | 1 | (214) | (1,021) | (185) | (1,419)
Total retail secured ECL as at 31 December 2024 | 1,513 | 12,985 | 126,932 | 23,964 | 165,394

Group | 31 December 2023
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail secured |  |  |  |  |
ECL allowance as at 1 January 2023 | 26,284 | 92,706 | 177,725 | 34,245 | 330,960
New assets originated or purchased | 98 | 1,352 | 2,230 | 1,495 | 5,175
Assets derecognised or repaid (excluding write offs) | (304) | (2,336) | (15,383) | (2,467) | (20,490)
Transfers to Stage 1 | 69,653 | (66,425) | (3,228) | – | –
Transfers to Stage 2 | (5,742) | 21,916 | (16,174) | – | –
Transfers to Stage 3 | (21) | (4,937) | 4,958 | – | –
Impact on year end ECL of exposures transferred between stages during the year | (88,010) | (21,003) | 4,343 | (4,186) | (108,856)
Decrease in allowance account due to write-offs | – | – | (5,195) | – | (5,195)
Foreign exchange adjustments | (10) | 260 | 3,682 | 651 | 4,583
Total retail secured ECL as at 31 December 2023 | 1,948 | 21,533 | 152,958 | 29,738 | 206,177

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

121

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below present an analysis of changes in the ECL allowances for secured retail portfolio as follows:

Bank | 31 December 2024
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail secured |  |  |  |  |
ECL allowance as at 1 January 2024 | 1,948 | 21,533 | 152,958 | 29,738 | 206,177
New assets originated or purchased | 287 | 452 | 1,664 | 1,057 | 3,460
Assets derecognised or repaid (excluding write offs) | (119) | (2,486) | (11,853) | (2,127) | (16,585)
Transfers to Stage 1 | 21,904 | (19,717) | (2,182) | – | 5
Transfers to Stage 2 | (845) | 14,454 | (13,609) | – | –
Transfers to Stage 3 | (11) | (2,648) | 2,659 | – | –
Impact on year end ECL of exposures transferred between stages during the year | (21,652) | 1,611 | 3,769 | (4,519) | (20,791)
Decrease in allowance account due to write-offs | – | – | (5,453) | – | (5,453)
Foreign exchange adjustments | 1 | (214) | (1,021) | (185) | (1,419)
Total retail secured ECL as at 31 December 2024 | 1,513 | 12,985 | 126,932 | 23,964 | 165,394

Bank | 31 December 2023
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail secured |  |  |  |  |
ECL allowance as at 1 January 2023 | 26,284 | 92,706 | 177,725 | 34,245 | 330,960
New assets originated or purchased | 98 | 1,352 | 2,230 | 1,495 | 5,175
Assets derecognised or repaid (excluding write offs) | (304) | (2,336) | (15,383) | (2,467) | (20,490)
Transfers to Stage 1 | 69,653 | (66,425) | (3,228) | – | –
Transfers to Stage 2 | (5,742) | 21,916 | (16,174) | – | –
Transfers to Stage 3 | (21) | (4,937) | 4,958 | – | –
Impact on year end ECL of exposures transferred between stages during the year | (88,010) | (21,003) | 4,343 | (4,186) | (108,856)
Decrease in allowance account due to write-offs | – | – | (5,195) | – | (5,195)
Foreign exchange adjustments | (10) | 260 | 3,682 | 651 | 4,583
Total retail secured ECL as at 31 December 2023 | 1,948 | 21,533 | 152,958 | 29,738 | 206,177

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

122

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below present an analysis of changes in the gross carrying for off-balance sheet exposures as follows:

Group | 31 December 2024
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
Gross carrying amount as at 1 January 2024 | 15,621,593 | 989,756 | 81,644 | 546 | 16,693,539
New assets originated or purchased | 11,326,578 | 209,907 | 23,341 | 5 | 11,559,831
Assets derecognized or credit limit usage | (10,144,976) | (426,563) | (23,139) | 34 | (10,594,644)
Transfers to Stage 1 | 405,238 | (405,238) | – | – | –
Transfers to Stage 2 | (471,124) | 471,124 | – | – | –
Transfers to Stage 3 | (220) | (6,963) | 7,183 | – | –
Foreign exchange adjustments | 34,372 | 42 | 263 | – | 34,677
Total non-retail gross carrying amount as at 31 December 2024 | 16,771,461 | 832,065 | 89,292 | 585 | 17,693,403
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail |  |  |  |  |
Gross carrying amount as at 1 January 2024 | 2,683,441 | 1,220,952 | 12,458 | 3,720 | 3,920,571
New assets originated or purchased | 815,460 | 458,111 | 8,077 | 1,867 | 1,283,515
Assets derecognized or credit limit usage | (827,296) | (182,869) | (14,933) | (1,617) | (1,026,715)
Transfers to Stage 1 | 1,939,419 | (1,938,120) | (1,299) | – | –
Transfers to Stage 2 | (1,717,434) | 1,722,489 | (5,055) | – | –
Transfers to Stage 3 | (5,031) | (9,311) | 14,342 | – | –
Foreign exchange adjustments | (18) | 4 | – | – | (14)
Total retail gross carrying amount as at 31 December 2024 | 2,888,541 | 1,271,256 | 13,590 | 3,970 | 4,177,357
Total gross carrying amount | 19,660,002 | 2,103,321 | 102,882 | 4,555 | 21,870,760

Group | 31 December 2023
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
Gross carrying amount as at 1 January 2023 | 15,977,322 | 829,294 | 123,363 | 160 | 16,930,139
New assets originated or purchased | 8,545,557 | 231,373 | 32,966 | 628 | 8,810,524
Assets derecognized or credit limit usage | (8,948,510) | (370,746) | (32,941) | (242) | (9,352,439)
Transfers to Stage 1 | 728,896 | (698,162) | (30,734) | – | –
Transfers to Stage 2 | (986,353) | 1,011,471 | (25,118) | – | –
Transfers to Stage 3 | – | (13,918) | 13,918 | – | –
Foreign exchange adjustments | 304,681 | 444 | 190 | – | 305,315
Total non-retail gross carrying amount as at 31 December 2023 | 15,621,593 | 989,756 | 81,644 | 546 | 16,693,539
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail |  |  |  |  |
Gross carrying amount as at 1 January 2023 | 2,396,414 | 1,412,583 | 12,499 | 3,752 | 3,825,248
New assets originated or purchased | 559,472 | 551,800 | 7,096 | 1,168 | 1,119,536
Assets derecognized or credit limit usage | (826,146) | (183,368) | (13,664) | (1,200) | (1,024,378)
Transfers to Stage 1 | 2,568,781 | (2,567,188) | (1,593) | – | –
Transfers to Stage 2 | (2,010,593) | 2,016,610 | (6,017) | – | –
Transfers to Stage 3 | (4,693) | (9,444) | 14,137 | – | –
Foreign exchange adjustments | 206 | (41) | – | – | 165
Total retail gross carrying amount as at 31 December 2023 | 2,683,441 | 1,220,952 | 12,458 | 3,720 | 3,920,571
Total gross carrying amount | 18,305,034 | 2,210,708 | 94,102 | 4,266 | 20,614,110

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

123

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below present an analysis of changes in the gross carrying for off-balance sheet exposures as follows:

Bank | 31 December 2024
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
Gross carrying amount as at 1 January 2024 | 15,537,674 | 998,805 | 81,914 | 546 | 16,618,939
New assets originated or purchased | 11,665,186 | 209,907 | 23,341 | 5 | 11,898,439
Assets derecognized or credit limit usage | (10,144,976) | (427,001) | (23,139) | 34 | (10,595,082)
Transfers to Stage 1 | 405,238 | (405,238) | – | – | –
Transfers to Stage 2 | (471,124) | 471,124 | – | – | –
Transfers to Stage 3 | (220) | (6,963) | 7,183 | – | –
Foreign exchange adjustments | 34,372 | 42 | 263 | – | 34,677
Total non-retail gross carrying amount as at 31 December 2024 | 17,026,150 | 840,676 | 89,562 | 585 | 17,956,973
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail |  |  |  |  |
Gross carrying amount as at 1 January 2024 | 2,670,606 | 1,220,801 | 12,188 | 3,720 | 3,907,315
New assets originated or purchased | 797,484 | 458,111 | 8,077 | 1,867 | 1,265,539
Assets derecognized or credit limit usage | (827,297) | (187,211) | (14,933) | (1,617) | (1,031,058)
Transfers to Stage 1 | 1,939,419 | (1,938,120) | (1,299) | – | –
Transfers to Stage 2 | (1,717,434) | 1,722,489 | (5,055) | – | –
Transfers to Stage 3 | (5,031) | (9,311) | 14,342 | – | –
Foreign exchange adjustments | (18) | 4 | – | – | (14)
Total retail gross carrying amount as at 31 December 2024 | 2,857,729 | 1,266,763 | 13,320 | 3,970 | 4,141,782
Total gross carrying amount | 19,883,879 | 2,107,439 | 102,882 | 4,555 | 22,098,755

Bank | 31 December 2023
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
Gross carrying amount as at 1 January 2023 | 16,082,181 | 826,236 | 123,633 | 160 | 17,032,210
New assets originated or purchased | 8,545,557 | 231,373 | 32,966 | 628 | 8,810,524
Assets derecognized or credit limit usage | (9,137,288) | (358,639) | (32,941) | (242) | (9,529,110)
Transfers to Stage 1 | 728,896 | (698,162) | (30,734) | – | –
Transfers to Stage 2 | (986,353) | 1,011,471 | (25,118) | – | –
Transfers to Stage 3 | – | (13,918) | 13,918 | – | –
Foreign exchange adjustments | 304,681 | 444 | 190 | – | 305,315
Total non-retail gross carrying amount as at 31 December 2023 | 15,537,674 | 998,805 | 81,914 | 546 | 16,618,939
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail |  |  |  |  |
Gross carrying amount as at 1 January 2023 | 2,374,527 | 1,412,291 | 12,229 | 3,752 | 3,802,799
New assets originated or purchased | 568,524 | 551,800 | 7,096 | 1,168 | 1,128,588
Assets derecognized or credit limit usage | (826,146) | (183,227) | (13,664) | (1,200) | (1,024,237)
Transfers to Stage 1 | 2,568,781 | (2,567,188) | (1,593) | – | –
Transfers to Stage 2 | (2,010,593) | 2,016,610 | (6,017) | – | –
Transfers to Stage 3 | (4,693) | (9,444) | 14,137 | – | –
Foreign exchange adjustments | 206 | (41) | – | – | 165
Total retail gross carrying amount as at 31 December 2023 | 2,670,606 | 1,220,801 | 12,188 | 3,720 | 3,907,315
Total gross carrying amount | 18,208,280 | 2,219,606 | 94,102 | 4,266 | 20,526,254

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

124

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below present an analysis of changes in the ECL for off-balance sheet exposures allowances as follows:

Group | 31 December 2024
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
ECL allowance as at 1 January 2024 | 9,813 | 1,363 | 31,028 | 109 | 42,313
New assets originated or purchased | 9,828 | 782 | 11,583 | – | 22,193
Assets derecognized or credit limit usage | (3,719) | (572) | (7,678) | – | (11,969)
Transfers to Stage 1 | 1,435 | (1,435) | – | – | –
Transfers to Stage 2 | (384) | 384 | – | – | –
Transfers to Stage 3 | – | (116) | 116 | – | –
Impact on changes due to change in credit risk (net) | (2,095) | 1,270 | (13,522) | (55) | (14,402)
Foreign exchange adjustments | 20 | – | 27 | – | 47
Total non-retail ECL as at 31 December 2024 | 14,898 | 1,676 | 21,554 | 54 | 38,182
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail |  |  |  |  |
ECL allowance as at 1 January 2024 | 2,401 | 2,403 | 5,792 | 1,309 | 11,905
New assets originated or purchased | 4,579 | 1,362 | 605 | 398 | 6,944
Assets derecognized or credit limit usage | (532) | (1,216) | (6,338) | (632) | (8,718)
Transfers to Stage 1 | 6,643 | (5,906) | (736) | (1) | –
Transfers to Stage 2 | (995) | 3,306 | (2,321) | 10 | –
Transfers to Stage 3 | (3) | (66) | 69 | – | –
Impact on changes due to change in credit risk (net) | (9,258) | 2,680 | 10,150 | 564 | 4,136
Foreign exchange adjustments | – | 1 | – | – | 1
Total retail ECL as at 31 December 2024 | 2,835 | 2,564 | 7,221 | 1,648 | 14,268
Total ECL allowance | 17,733 | 4,240 | 28,775 | 1,702 | 52,450

Group | 31 December 2023
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
ECL allowance as at 1 January 2023 | 15,977 | 2,029 | 47,918 | – | 65,924
New assets originated or purchased | 6,461 | 157 | 10,951 | 13 | 17,582
Assets derecognized or credit limit usage | (3,220) | (608) | (15,197) | – | (19,025)
Transfers to Stage 1 | 1,276 | (1,247) | (29) | – | –
Transfers to Stage 2 | (552) | 17,160 | (16,608) | – | –
Transfers to Stage 3 | – | (83) | 83 | – | –
Impact on changes due to change in credit risk (net) | (10,153) | (16,051) | 3,876 | 96 | (22,232)
Foreign exchange adjustments | 24 | 6 | 34 | – | 64
Total non-retail ECL as at 31 December 2023 | 9,813 | 1,363 | 31,028 | 109 | 42,313
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail |  |  |  |  |
ECL allowance as at 1 January 2023 | 4,826 | 6,765 | 7,505 | 2,215 | 21,311
New assets originated or purchased | 3,919 | 4,390 | 404 | 286 | 8,999
Assets derecognized or credit limit usage | (1,328) | (2,856) | (7,162) | (740) | (12,086)
Transfers to Stage 1 | 13,528 | (12,008) | (1,512) | (8) | –
Transfers to Stage 2 | (1,873) | 4,693 | (2,810) | (10) | –
Transfers to Stage 3 | (8) | (110) | 118 | – | –
Impact on changes due to change in credit risk (net) | (16,664) | 1,528 | 9,247 | (434) | (6,323)
Foreign exchange adjustments | 1 | 1 | 2 | – | 4
Total retail ECL as at 31 December 2023 | 2,401 | 2,403 | 5,792 | 1,309 | 11,905
Total ECL allowance | 12,214 | 3,766 | 36,820 | 1,418 | 54,218

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

125

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The tables below present an analysis of changes in the ECL for off-balance sheet exposures allowances as follows:

Bank | 31 December 2024
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
ECL allowance as at 1 January 2024 | 9,401 | 1,345 | 31,028 | 109 | 41,883
New assets originated or purchased | 9,334 | 768 | 11,583 | – | 21,685
Assets derecognized or credit limit usage | (3,307) | (554) | (7,678) | – | (11,539)
Transfers to Stage 1 | 1,435 | (1,435) | – | – | –
Transfers to Stage 2 | (384) | 384 | – | – | –
Transfers to Stage 3 | – | (116) | 116 | – | –
Impact on changes due to change in credit risk (net) | (2,095) | 1,270 | (13,522) | (55) | (14,402)
Foreign exchange adjustments | 20 | – | 27 | – | 47
Total non-retail ECL as at 31 December 2024 | 14,404 | 1,662 | 21,554 | 54 | 37,674
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail |  |  |  |  |
ECL allowance as at 1 January 2024 | 2,325 | 2,362 | 5,798 | 1,309 | 11,794
New assets originated or purchased | 4,436 | 1,016 | 605 | 398 | 6,455
Assets derecognized or credit limit usage | (456) | (1,181) | (6,338) | (632) | (8,607)
Transfers to Stage 1 | 6,643 | (5,906) | (736) | (1) | –
Transfers to Stage 2 | (995) | 3,306 | (2,321) | 10 | –
Transfers to Stage 3 | (3) | (66) | 69 | – | –
Impact on changes due to change in credit risk (net) | (9,258) | 2,686 | 10,144 | 564 | 4,136
Foreign exchange adjustments | – | 1 | – | – | 1
Total retail ECL as at 31 December 2024 | 2,692 | 2,218 | 7,221 | 1,648 | 13,779
Total ECL allowance | 17,096 | 3,880 | 28,775 | 1,702 | 51,453

Bank | 31 December 2023
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Non-retail |  |  |  |  |
ECL allowance as at 1 January 2023 | 15,795 | 1,992 | 47,918 | – | 65,705
New assets originated or purchased | 6,049 | 139 | 10,951 | 13 | 17,152
Assets derecognized or credit limit usage | (3,038) | (571) | (15,197) | – | (18,806)
Transfers to Stage 1 | 1,276 | (1,247) | (29) | – | –
Transfers to Stage 2 | (552) | 17,160 | (16,608) | – | –
Transfers to Stage 3 | – | (83) | 83 | – | –
Impact on changes due to change in credit risk (net) | (10,153) | (16,051) | 3,876 | 96 | (22,232)
Foreign exchange adjustments | 24 | 6 | 34 | – | 64
Total non-retail ECL as at 31 December 2023 | 9,401 | 1,345 | 31,028 | 109 | 41,883
In RON thousand | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Retail |  |  |  |  |
ECL allowance as at 1 January 2023 | 4,541 | 6,702 | 7,504 | 2,215 | 20,962
New assets originated or purchased | 3,843 | 4,355 | 404 | 286 | 8,888
Assets derecognized or credit limit usage | (1,043) | (2,793) | (7,162) | (740) | (11,738)
Transfers to Stage 1 | 13,528 | (12,008) | (1,512) | (8) | –
Transfers to Stage 2 | (1,873) | 4,693 | (2,810) | (10) | –
Transfers to Stage 3 | (8) | (110) | 118 | – | –
Impact on changes due to change in credit risk (net) | (16,664) | 1,522 | 9,254 | (434) | (6,322)
Foreign exchange adjustments | 1 | 1 | 2 | – | 4
Total retail ECL as at 31 December 2023 | 2,325 | 2,362 | 5,798 | 1,309 | 11,794
Total ECL allowance | 11,726 | 3,707 | 36,826 | 1,418 | 53,677

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

126

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Non-performing exposure, in accordance with EBA/ITS/2013/03/rev1 Regulation from July 24th 2014 with subsequent
amendments, can be analysed as follows:

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Exposure | 1,242,722 | 1,106,655 |  | 1,206,059 | 1,076,519
out of which retail: | 938,914 | 852,289 |  | 920,814 | 837,944
out of which non-retail: | 303,808 | 254,366 |  | 285,245 | 238,575
Impairment allowance | 793,557 | 727,982 |  | 771,152 | 707,046
out of which retail: | 612,218 | 559,736 |  | 602,446 | 550,541
out of which non-retail: | 181,339 | 168,246 |  | 168,706 | 156,505
Net Book Value | 449,165 | 378,673 |  | 434,907 | 369,473
out of which retail: | 326,696 | 292,553 |  | 318,368 | 287,403
out of which non-retail: | 122,469 | 86,120 |  | 116,539 | 82,070

During the financial year 2024, the following existing loans were modified,and have not resulted in derecognition:

Group | Stage 1 | Stage 2 | Stage 3 | POCI | Total
In RON thousand |  |  |  |  |
Amortised cost before modification | 231,088 | 104,576 | 31,429 | 160 | 367,253
Net modification gain/loss | (6,435) | (2,793) | (869) | (3) | (10,100)
Amortised cost after modification | 224,653 | 101,783 | 30,560 | 157 | 357,153
Bank | Stage 1 | Stage 2 | Stage 3 | POCI | Total
In RON thousand |  |  |  |  |
Amortised cost before modification | 231,088 | 104,576 | 31,429 | 160 | 367,253
Net modification gain/loss | (6,435) | (2,793) | (869) | (3) | (10,100)
Amortised cost after modification | 224,653 | 101,783 | 30,560 | 157 | 357,153

During the financial year 2023, the following existing loans were modified,and have not resulted in derecognition:

Group | Stage 1 | Stage 2 | Stage 3 | POCI | Total
In RON thousand |  |  |  |  |
Amortised cost before modification | 235,585 | 138,378 | 33,594 | 991 | 408,548
Net modification gain/loss | (7,636) | (3,399) | (805) | (20) | (11,860)
Amortised cost after modification | 227,949 | 134,979 | 32,789 | 971 | 396,688
Bank | Stage 1 | Stage 2 | Stage 3 | POCI | Total
In RON thousand |  |  |  |  |
Amortised cost before modification | 235,585 | 138,378 | 33,594 | 991 | 408,548
Net modification gain/loss | (7,636) | (3,399) | (805) | (20) | (11,860)
Amortised cost after modification | 227,949 | 134,979 | 32,789 | 971 | 396,688

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

127

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Financial lease
The Group acts as a lessor in finance lease contracts for vehicles, equipment and real estate. Leasing contracts are denominated
in EUR or RON and with a contract tenor of 1 to 8 years, in the case of vehicle lease contracts and 1 to 10 years in case or real
estate lease. The transfer of ownership rights is at the maturity of the contract. The interest applicable to lease contracts is
variable or fixed and is computed for the entire tenor of the contract. The corresponding receivables are collateralized with the
object of the lease contract, as well as with other type of collaterals. Loans and advances to Group’s customers include the
following receivables from lease contracts (the ECL for lease exposure is presented within the Group total ECL):

In RON thousand | 31 December 2024
Less than one year | 112,435
1 to 2 years | 254,765
Two to 3 years | 411,176
Three to 4 years | 592,250
Four to 5 years | 613,630
More than 5 years | 99,014
Total undiscounted lease payments receivables | 2,083,270
Unearned finance income | (191,251)
Net investment in lease | 1,892,019

In RON thousand | 31 December 2023
Less than one year | 97,239
1 to 2 years | 217,564
Two to 3 years | 288,854
Three to 4 years | 376,890
Four to 5 years | 408,479
More than 5 years | 95,902
Total undiscounted lease payments receivables | 1,484,928
Unearned finance income | (148,276)
Net investment in lease | 1,336,652

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

128

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The goals which the Bank pursues with respect to its securitization activities
In December 2010, Raiffeisen Bank S.A. concluded a synthetic securitization transaction under the JEREMIE initiative (closed in
2024), through which the European Investment Fund (EIF) offers partial credit risk protection for a portfolio of loans granted by the
Bank to medium and small enterprises (SME). COSME program was concluded in 2017, EASI in 2020, ROOF synthetic securitization of
existing portfolio in December 2022 and Microfinance in June 2023.
The financial instrument used in this transaction is a first loss portfolio guarantee and mezzanine guarantee for ROOF
transaction. By joining this program, the Bank’s objective is to improve the utilization of capital, the benefit being passed to the
end-customer, in the form of a lower price of loan and diminished collateral requirements.
Raiffeisen Bank as originator
• Under COSME program, by contract, EIF guarantees 50% or 80% of each eligible loan included in the portfolio, covering
losses up to a maximum cap of 9.7% of the total portfolio volume.
• Under EASI program, by contract, EIF guarantees 90% of each eligible loan included in the portfolio, covering losses up to
a maximum cap of 15% of the total portfolio volume.
• Under ROOF program, by contract, EIF guarantees 95% of each eligible loan included in the portfolio, covering losses up
to a maximum cap of 12% of the total portfolio volume after the first loss retained by the Bank is exceed (app 4%).
• Under Microfinance program, by contract, EIF guarantees 80% of each eligible loan included in the portfolio, covering
losses up to a maximum cap of 12% of the total portfolio volume.
The below stated amounts represent the securitized portfolio and the underlying receivables as well as the externally placed
tranche as of December 31, 2024:

in RON million | Date of contract | End of Maturity | Maximum volume | Securitized Portfolio | Outstanding contractual amount | Portfolio Type | Externally placed tranche | Amount of externally placed tranche
EIF COSME | 2017 | 2034 | 2,119 | 204 | 368 | SME | Junior | 69
EIF EASI | 2020 | 2032 | 298 | 34 | 40 | SME | Junior | 31
EIF ROOF | 2022 | 2037 | 1,535 | 1,520 | 1,722 | SME | Mezzanine | 131
EIF MICROFINANCE | 2023 | 2027 | 264 | 134 | 168 | SME | Junior | 16

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

129

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

22. INVESTMENT SECURITIES AT FAIR VALUE THROUGH OTHER COMPREHENSIVE INCOME

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Stage 1 |  |  |  |  |
Bonds issued by General Governments | 1,540,288 | 1,994,966 |  | 1,540,288 | 1,974,638
Bonds issued by other public sector | 435,115 | 471,751 |  | 435,115 | 471,751
Bonds issued by credit institutions | 158,996 | 230,816 |  | 158,996 | 230,816
Total | 2,134,399 | 2,697,533 |  | 2,134,399 | 2,677,205
Stage 2 |  |  |  |  |
Bonds issued by other public sector | 3,675 | 5,522 |  | 3,675 | 5,522
Bonds issued by credit institutions | 23,557 | 22,151 |  | 23,557 | 22,151
Total | 27,232 | 27,673 |  | 27,232 | 27,673
Total investment securities at fair value through other comprehensive income | 2,161,631 | 2,725,206 |  | 2,161,631 | 2,704,878

Treasury securities issued by the Government of Romania include discount and coupon securities denominated in RON. As at
December 31, 2024, treasury securities amounting to RON 310,563 thousand (December 31, 2023: RON 183,207 thousand) are
pledged as security in order to comply with National Bank of Romania prudential regulations for settlement of inter-banking
operations. Income from debt instruments is recognized in interest and similar income.
Bonds issued by the Government of Romania include bonds issued by the Ministry of Finance denominated in RON, EUR and USD,
bearing fixed interest rate between 1.38% p.a. and 8.25% p.a.
Bonds issued by credit institutions are valued using valuation models based on observable inputs (Level II), bonds issued by other
public sector entities are valued using valuation models based on observable an unobservable inputs (Level III), while the rest of
the instruments are valued based on quoted market prices (Level I).
Losses on derecognition of financial assets measured at fair value through other comprehensive income are due to selling of
short-term securities holdings maturing in 2025 and in 2026H1 in total amount of approx. EUR 150 million. In line with the approved
securities investment strategy of the bank to increase the duration of the RON denominated bond portfolio, considering the
interest rate environment, proceeds from sold bonds were reinvested in longer dated RON denominated government bonds.
23. EQUITY INSTRUMENTS AT FAIR VALUE THROUGH OTHER COMPREHENSIVE INCOME

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Unquoted equity instruments | 35,503 | 24,798 |  | 35,503 | 24,798
Quoted equity instruments | 100,090 | 65,781 |  | 100,090 | 65,781
Total equity instruments at fair value through other comprehensive income | 135,593 | 90,579 |  | 135,593 | 90,579

Upon initial recognition, the Group elected to classify irrevocably its equity investments, other than subsidiaries, joint ventures and
associates as equity instruments at FVOCI with no recycling of gains or losses on profit or loss on derecognition.
The Group received dividends at December 31, 2024 amounting to RON 3,942 thousand (December 31, 2023: RON 15,239 thousand).
The Group holds shares in Visa Inc., a company providing payment services for Visa cards. The shares representing Series C
Preferred Stock are restricted from sale, but are convertible into Class A Common Stock of Visa Inc in a maximum period of 12
years from the date in which they were granted. Due to the fact that at initial recognition it was not known the exact number of
Class A shares they are converted into, they were reclassified into debt instruments instead of equity. The total reclassified
amount was RON 48,228 thousand, which represented the fair value of the shares as of December 31, 2019.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

130

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

During 2020, part of the Series C Preferred Stock were converted into Class A Common Stock. The converted shares were classified
into “at fair value through other comprehensive income” category.
In July 2022 a second conversion of Visa Inc. C-shares into tradeable A-shares took place and the Bank received 17,821 Class A
Preferred Stock with an approximate market value of EUR 3.7 million. The remaining Class C Stock has an indicative value of EUR
3.6 million after completion of the conversion. The shares representing Series C Preferred Stock are restricted from sale, but are
convertible into Class A Common Stock of Visa Inc in a maximum period of 12 years from the date in which they were granted.
In July 2024 a third conversion of Visa Inc. C-shares into tradeable A-shares took place and the Bank received 10,100 Class A
Preferred Stock with an approximate market value of EUR 2.7 million. The remaining Class C Stock has an indicative value of EUR
2.2 million after completion of the conversion. The shares representing Series C Preferred Stock are restricted from sale, but are
convertible into Class A Common Stock of Visa Inc in a maximum period of 12 years from the date in which they were granted.
At the end of 2024 VISA shares are as follows: Class A 66,300 shares with a market value of RON 100.1 million and Class C 5,606
shares with a market value of RON 12 million.
24. INVESTMENT SECURITIES AT AMORTISED COST

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Stage 1 |  |  |  |  |
Bonds issued by credit institutions | 276,241 | 387,920 |  | 276,241 | 387,920
Bonds issued by General Governments | 13,428,622 | 9,638,701 |  | 13,416,539 | 9,625,177
| 13,704,863 | 10,026,621 |  | 13,692,780 | 10,013,097
Stage 2 |  |  |  |  |
Bonds issued by credit institutions | 186,488 | – |  | 186,487 | –
| 186,488 | – |  | 186,487 | –
Total investment securities at amortised cost | 13,891,351 | 10,026,621 |  | 13,879,267 | 10,013,097

At December 31, 2024, the Group has one micro hedge relationship and the hedged instrument is a debt security at amortised
cost. The carrying amount of the hedged item is RON 29,007 thousand (2023: RON 28,469 thousand).

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

131

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

25. INVESTMENT IN SUBSIDIARIES, ASSOCIATES AND JOINT VENTURES
Subsidiaries, associates and joint ventures

| Group |  | Bank
In RON thousand | 2024 | 2023 |  | 2024 | 2023
Balance at 1 January | 18,853 | 32,891 |  | 181,962 | 188,031
Additions (i) | – | – |  | 24,765 | –
Disposals/Writte off (ii) | – | (3,088) |  | (21,426) | (6,069)
Dividends received | – | (12,116) |  | – | –
Group’s share of gain from associates | 7,317 | 1,166 |  | – | –
Total | 26,170 | 18,853 |  | 185,301 | 181,962
Impairment allowance | – | – |  | (45,305) | (71,487)
Balance at the end of reporting period | 26,170 | 18,853 |  | 139,996 | 110,475

(i) In 2024 it was performed an increase in the share capital of Raiffeisen Leasing in amount of RON 24,765 to support business
growth and associated capital requirements.
(ii) Considering the Bank’s strategy of concentration on the basic activities and implicitly on the holdings considered strategic,
Raiffeisen Bank reviewed its entire portfolio of holdings. In this context, during July 2023 the formalities for the sale of the bank’s
share in Fondul Roman de Garantare a Creditului Rural IFN S.A. (33.331%) for the price of RON 1,667 thousand. Fondul de Garantare
a Creditului Rural IFN S.A. paid in 2023 dividends in amount of RON 12,116 thousand.
In 2024 it was performed a write down of the participation of ABL in amount of RON 21,426 thousand by using the provision
already booked.
The Group’s interests in its associates that are unlisted are as follows:

In RON thousand | Assets | Liabilities | Revenues | Interest expense | Income taxes | Profit | Net assets | Interest held% | % Net assets | Carrying amount
31 December 2024 |  |  |  |  |  |  |  |  |  |
CIT One | 157,184 | 78,233 | 340,057 | 2,523 | 4,669 | 21,256 | 78,951 | 33.33% | 26,314 | 26,170
31 December 2023 |  |  |  |  |  |  |  |  |  |
CIT One | 142,192 | 85,197 | 278,791 | 4,093 | 3,680 | 287 | 56,995 | 33.33% | 18,996 | 18,853

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

132

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

26. FINANCIAL ASSETS MANDATORILY AT FAIR VALUE THROUGH PROFIT OR LOSS
The table below shows the split of total financial assets mandatorily at fair value through profit or loss:

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Loans and advances to customers | 100,155 | 137,560 |  | 100,155 | 137,560
Debt instruments | 37,382 | 40,867 |  | 11,921 | 18,553
Total | 137,537 | 178,427 |  | 112,076 | 156,113

Group: Net gains/loss on non-trading financial assets mandatorily at fair value through profit or loss for the period ended
December 31, 2024 are in amount of RON (15,001) thousand (2023: RON 12,974 thousand).
Bank: Net gains/loss on non-trading financial assets mandatorily at fair value through profit or loss for the period ended
December 31, 2024 are in amount of RON (16,047) thousand (2023: RON 11,679 thousand).
27. FAIR VALUE CHANGES OF THE HEDGED ITEMS-HEDGE ACCOUNTING
The Bank applies both micro and macro fair value hedge.
Micro fair value hedge
For the micro fair value hedge, the Bank uses as hedging instrument interest rate swaps, while the hedged items are debt
securities at amortised cost purchased or issued.
In March 2018 the Bank initiated a micro fair value hedge accounting relation to hedge the interest rate risk from an investment
into a fixed rate bond in amount of EUR 6 million.
In October 2023 the Bank initiated a micro fair value hedge accounting relation in order to hedge the interest rate risk of the MREL
fixed rate bond issued in amount of EUR 300 million and to decrease the net interest income volatility.
The net loss resulted from this hedge relationship at December 31, 2024 is RON (942) thousand, while at December 31, 2023 the
Bank incurred a gain of RON 538 thousand. The remaining term for the hedging item is more than 5 years (February 2030) for debt
securities at amortised cost and less than 2 years for the debt securities issued (October 2026).
The total accumulated amount of fair value adjustments of the hedged item is disclosed under the balance sheet position
together with the hedged instrument and for hedging instrument is disclosed under “Derivatives – hedge accounting position” in
the statement of financial position.
Macro fair value hedge – for amortised cost loans
The macro fair value hedge started in 2020 and the Bank uses as hedging instruments four interest rate swaps, while the hedged
item is a loan portfolio at amortised cost. Total hedged amount is RON 125 million.
The net gain resulted from this hedge relationship at December 31, 2024 is RON 1,686 thousand, while at December 31, 2023 the
gain is RON 1,339 thousand. The remaining term for the hedging items is less than 1 year.
Macro fair value hedge – for non-maturing deposits
In April 2024 the Bank initiated four macro fair value hedge accounting relations in amount of EUR 50 million each with tenors of
1.5, 2.5, 3.5 and 4.5 years. In October 2024 a new relation in amount of EUR 5 million with 5 years tenor was concluded. Total
hedged amount is EUR 205 million. The hedged items are the existing EUR non maturing deposits - retail current accounts/saving
accounts modelled for interest rate risk. The designated hedged risk is the exposure to interest benchmark rate EURIBOR from the
bank’s payer position opened by the modelled retail current accounts/saving accounts with administrated interest rate.
The hedging instruments are EUR IRS receive fixed rate and pay variable (EURIBOR 3M) with a duration equal to average modelled
duration of the retail current accounts/saving accounts from each bucket (e.g. for bucket 2-3y the duration considered will be 2.5y
for IRS).

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

133

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The net loss resulted from these hedge relations at December 31, 2024 is RON (130) thousand. The remaining weighted average
term for the hedging items included in the macro fair value hedge is less than 3 years (2.3 years).
The total accumulated amount of fair value adjustments of hedged item and hedging instruments are disclosed under "Fair value
changes of the hedged items - hedge accounting", respectively “Derivatives – hedge accounting position” in the statement of
financial position.
The tables below provide more information regarding the hedged items and hedging instruments:

31 December 2024 | Carrying amount of hedged items | Accumulated amount of fair value adjustments on the hedged items
In RON thousand | Assets | Liabilities | Assets | Liabilities
Micro fair value hedges |  |  |  |
Debt securities | 29,007 | – | – | –
Debt securities issued | – | 1,544,832 | – | –
| 29,007 | 1,544,832 | – | –
Macro fair value hedges |  |  |  |
Loan portfolio measured at amortised cost | 197,835 | – | – | 1,429
Deposits from customers | – | 6,338,548 | – | 16,245
| 197,835 | 6,338,548 | – | 17,674
Total | 226,842 | 7,883,380 | – | 17,674

31 December 2023 | Carrying amount of hedged items | Accumulated amount of fair value adjustments on the hedged items
In RON thousand | Assets | Liabilities | Assets | Liabilities
Micro fair value hedges |  |  |  |
Debt securities | 28,469 | – | – | –
Debt securities issued | – | 1,475,601 | – | –
| 28,469 | 1,475,601 | – | –
Macro fair value hedges |  |  |  |
Loan portfolio measured at amortised cost | 238,947 | – | – | 4,940
| 238,947 | – | – | 4,940
Total | 267,416 | 1,475,601 | – | 4,940

| 31 December 2024 | 31 December 2023
In RON thousand | Notional amount | Assets | Liabilities | Notional amount | Assets | Liabilities
Micro fair value hedges |  |  |  |  |  |
Interest rate swap | 1,522,075 | 36,530 | – | 1,522,228 | 37,234 | –
| 1,522,075 | 36,530 | – | 1,522,228 | 37,234 | –
Macro fair value hedges |  |  |  |  |  |
Interest rate swaps | 1,144,691 | 15,605 | 2,146 | 125,000 | 559 | 709
| 1,144,691 | 15,605 | 2,146 | 125,000 | 559 | 709
Total | 2,666,766 | 52,135 | 2,146 | 1,647,228 | 37,793 | 709

During the period, the results of the hedge effectiveness assessments showed that the hedge relationships were effective. No
situations of hedge ineffectiveness were identified.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

134

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

28. OTHER ASSETS

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Prepayments | 56,387 | 46,241 |  | 49,453 | 40,818
Tax audit (i) | 93,606 | 93,606 |  | 93,606 | 93,606
Clearing claims from payment transfer business (ii) | 344,592 | 148,205 |  | 344,592 | 148,205
Receivables from sale of loans | 6,677 | – |  | 6,677 | –
Sundry debtors (iii) | 240,978 | 168,429 |  | 174,161 | 136,094
Inventories | 9,449 | 7,629 |  | 8,633 | 7,611
Repossessed assets | 24,306 | 24,614 |  | 24,307 | 24,467
Gross Book Value | 775,995 | 488,724 |  | 701,429 | 450,801
Impairment | (140,455) | (139,246) |  | (140,455) | (139,246)
Net Book Value | 635,540 | 349,478 |  | 560,974 | 311,555

i) In the period December 2017 – May 2019, the Bank had been subject to a fiscal audit from Romanian Tax Authority (further called
“ANAF”). The object of the audit was income tax (period 2011-2016) and withholding tax (period 2013-2016).
The fiscal audit report indicated total additional charges of RON 262,413 thousand which includes income tax, withholding tax and
related penalties. The Bank has paid all the charges resulting from the fiscal inspection.
In response, the Bank submitted an administrative appeal against the inspection report, requesting its cancellation. During 2020,
the Bank received the answer to the appeal according to which the Bank is entitled to receive back 10% of all charges included in
the tax report. The Bank continued legal procedures for the recovery of the remaining amounts and initiated a litigation in this
respect.
As of December 31, 2024 the maximum exposure related to fiscal audit is RON 195,965 thousand resulted from:
(+) RON 262,413 thousand, total charges as result of tax audit paid by the Bank in 2019
(-) RON 27,605 thousand, refund from the administrative appeal resolution received in 2020
(-) RON 38,689 thousand, refund to be received for year 2011 that should not have been in the scope of audit.
The legal case is still on merits, the stage of the administration of the evidences, respectively of an technical expertise.
The amounts receivable from the tax audit are presented under two balance sheet positions: other assets (the part representing
withholding taxes and related penalties) and income tax receivable (the part representing income tax and related penalties). As of
December 31, 2024, the amount reflected under other assets is RON 93,606 thousand (December 31, 2023: RON 93,606 thousand)
and the correspondent provision is RON 85,431 thousand (December 31, 2023: RON 85,431 thousand). As of December 31, 2024, the
amount reflected under income tax receivable is RON 143,246 thousand (December 31, 2023: RON 143,246 thousand) and the
correspondent provision is RON 93,784 thousand December 31, 2023: RON 93,784 thousand).
ii) Clearing claims from payment transfer business include amounts to be settled as of December 31, 2024 like: cards transactions
of RON 342,746 thousand (2023: RON 123,825 thousand).
iii) Sundry debtors include various receivables such for: services provided by the Bank to its customers (such as for cash
transportation), advances paid to suppliers, amounts receivables as a result of operational incidents etc.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

135

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

In the tables below is presented the movement in impairment of other assets position:

Group | Impairment as at 1 January 2024 | Increase | Decrease | Other movements | Impairment as at 31 December 2024
In RON thousand |  |  |  |  |
Sundry debtors | 37,562 | 6,773 | (6,143) | – | 38,192
Tax audit | 85,431 | – | – | – | 85,431
Repossesed assets | 14,954 | 841 | – | – | 15,795
Inventory | 1,299 | 156 | (418) | – | 1,037
Total | 139,246 | 7,770 | (6,561) | – | 140,455

Group | Impairment as at 1 January 2023 | Increase | Decrease | Other movements | Impairment as at 31 December 2023
In RON thousand |  |  |  |  |
Sundry debtors | 34,818 | 12,094 | (9,350) | – | 37,562
Tax audit | 53,985 | 23,223 | – | 8,223 | 85,431
Repossesed assets | 13,642 | 1,341 | (29) | – | 14,954
Inventory | 578 | 759 | (38) | – | 1,299
Total | 103,023 | 37,417 | (9,417) | 8,223 | 139,246

Bank | Impairment as at 1 January 2024 | Increase | Decrease | Other movements | Impairment as at 31 December 2024
In RON thousand |  |  |  |  |
Sundry debtors | 37,562 | 6,773 | (6,143) | – | 38,192
Tax audit | 85,431 | – | – | – | 85,431
Repossesed assets | 14,954 | 841 | – | – | 15,795
Inventory | 1,299 | 156 | (418) | – | 1,037
Total | 139,246 | 7,770 | (6,561) | – | 140,455

Bank | Impairment as at 1 January 2023 | Increase | Decrease | Other movements | Impairment as at 31 December 2023
In RON thousand |  |  |  |  |
Sundry debtors | 34,818 | 12,094 | (9,350) | – | 37,562
Tax audit | 53,985 | 23,223 | – | 8,223 | 85,431
Repossesed assets | 13,642 | 1,341 | (29) | – | 14,954
Inventory | 578 | 759 | (38) | – | 1,299
Total | 103,023 | 37,417 | (9,417) | 8,223 | 139,246

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

136

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

In the tables below is presented the split of net book value of other assets to customers by their quality:

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Financial assets | 468,622 | 193,637 |  | 401,802 | 161,302
Non-financial assets | 166,918 | 155,841 |  | 159,169 | 150,254
Total | 635,540 | 349,478 |  | 560,971 | 311,556
Of which: |  |  |  |  |
| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Current assets | 432,845 | 158,791 |  | 366,025 | 126,456
Impaired assets | 35,777 | 34,846 |  | 35,777 | 34,846
Total | 468,622 | 193,637 |  | 401,802 | 161,302

29. DEFERRED TAX
Deferred tax assets of the Group are attributable to the items detailed in the tables below:
Group

| 31 December 2024
In RON thousand | Assets | Liabilities | Net | Deferred tax asset/ (liability)
Property, plant and equipment and intangible assets | 1,198 | 270,530 | (269,332) | (43,093)
Other liabilities | 332,522 | – | 332,522 | 53,204
Actuarial gains/(losses) on defined benefit pension plans | 2,708 | – | 2,708 | 433
Valuation reserve financial assets (FVOCI) | 88,435 | 102,485 | (14,050) | (2,248)
Provisions for liabilities and charges | 117,208 | – | 117,208 | 18,753
Total | 542,071 | 373,015 | 169,056 | 27,049

Group

| 31 December 2023
In RON thousand | Assets | Liabilities | Net | Deferred tax asset/ (liability)
Property, plant and equipment and intangible assets | 1,113 | 146,070 | (144,957) | (23,193)
Other liabilities | 278,768 | – | 278,768 | 44,603
Actuarial gains/(losses) on defined benefit pension plans | 3,018 | – | 3,018 | 483
Valuation reserve financial assets (FVOCI) | 130,332 | 61,478 | 68,854 | 11,017
Provisions for liabilities and charges | 122,466 | – | 122,466 | 19,594
Total | 535,697 | 207,548 | 328,149 | 52,504

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

137

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Deferred tax assets of the Bank are attributable to the items detailed in the tables below:
Bank

| 31 December 2024
In RON thousand | Assets | Liabilities | Net | Deferred tax asset/ (liability)
Property, plant and equipment and intangible assets | 1,198 | 270,530 | (269,332) | (43,093)
Other liabilities | 332,522 | – | 332,522 | 53,204
Actuarial gains/(losses) on defined benefit pension plans | 2,708 | – | 2,708 | 433
Valuation reserve financial assets (FVOCI) | 88,435 | 102,485 | (14,050) | (2,248)
Provisions for liabilities and charges | 114,298 | – | 114,298 | 18,287
Total | 539,161 | 373,015 | 166,146 | 26,583

Bank

| 31 December 2023
In RON thousand | Assets | Liabilities | Net | Deferred tax asset/ (liability)
Property, plant and equipment and intangible assets | 1,113 | 146,070 | (144,957) | (23,193)
Other liabilities | 278,768 | – | 278,768 | 44,603
Actuarial gains/(losses) on defined benefit pension plans | 3,018 | – | 3,018 | 483
Valuation reserve financial assets (FVOCI) | 130,332 | 61,478 | 68,854 | 11,017
Provisions for liabilities and charges | 120,286 | – | 120,286 | 19,245
Total | 533,517 | 207,548 | 325,969 | 52,155

Expenses and income deferred tax as at December 31, 2024 are attributable to the items detailed in the table below:

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Property, plant and equipment and intangible assets | (19,900) | 2,277 |  | (19,900) | 2,277
Other liabilities | 8,601 | 4,979 |  | 8,601 | 4,978
Provisions for liabilities and charges | (841) | (18,394) |  | (958) | (15,300)
Deferred tax income / (expense) | (12,140) | (11,138) |  | (12,257) | (8,045)

Deferred tax related to items recognised in other comprehensive income during the year is due to unrealised gain/loss on financial
assets (FVOCI) of previous year.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

138

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

30. PROPERTY, PLANT AND EQUIPMENT AND RIGHT-OF-USE ASSETS
Group

In RON thousand | Land and buildings | Furniture and computer equipment | Motor vehicles | Assets in progress | Right-of-Use assets Land and buildings | Total
Cost: |  |  |  |  |  |
Balance at 1 January 2023 | 200,550 | 471,481 | 43,763 | 50,404 | 578,575 | 1,344,773
Additions | 1,514 | 6,674 | 3,711 | 36,115 | 105,067 | 153,081
Transfers | 4,756 | 49,931 | 1,779 | (56,466) | – | –
Disposals | (1,307) | 908 | (4,474) | – | (18,041) | (22,914)
Balance at 31 December 2023 | 205,513 | 528,994 | 44,779 | 30,053 | 665,601 | 1,474,940
Balance at 1 January 2024 | 205,513 | 528,994 | 44,779 | 30,053 | 665,601 | 1,474,940
Additions | – | 7,975 | 1,720 | 42,061 | 90,568 | 142,324
Transfers | 12,533 | 34,914 | 1,044 | (48,491) | – | –
Disposals | (3,271) | (22,203) | (2,129) | – | (29,569) | (57,172)
Balance at 31 December 2024 | 214,775 | 549,680 | 45,414 | 23,623 | 726,600 | 1,560,092
Depreciation and impairment losses: |  |  |  |  |  |
Balance at 1 January 2023 | 165,725 | 354,371 | 31,953 | 2,465 | 355,438 | 909,952
Charge for the year | 11,515 | 47,829 | 4,036 | – | 82,061 | 145,441
Disposals | (752) | (954) | (5,913) | 113 | (9,685) | (17,191)
Balance at 31 December 2023 | 176,488 | 401,246 | 30,076 | 2,578 | 427,814 | 1,038,202
Balance at 1 January 2024 | 176,488 | 401,246 | 30,076 | 2,578 | 427,814 | 1,038,202
Charge for the year | 11,769 | 50,774 | 4,136 | (1,684) | 84,288 | 149,283
Disposals | (3,814) | (21,486) | (2,298) | – | (19,801) | (47,399)
Balance at 31 December 2024 | 184,443 | 430,534 | 31,914 | 894 | 492,301 | 1,140,086
Carrying amounts: |  |  |  |  |  |
At 1 January 2023 | 34,825 | 117,110 | 11,810 | 47,939 | 223,137 | 434,821
At 31 December 2023 | 29,025 | 127,748 | 14,703 | 27,475 | 237,787 | 436,738
At 1 January 2024 | 29,025 | 127,748 | 14,703 | 27,475 | 237,787 | 436,738
At 31 December 2024 | 30,332 | 119,146 | 13,500 | 22,729 | 234,299 | 420,006

Under “Assets in progress” category, the Group includes investments in branch redesign, technological equipment, vehicles and
furniture, which are not yet put in function.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

139

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Bank

In RON thousand | Land and buildings | Furniture and computer equipment | Motor vehicles | Assets in progress | Right-of-Use assets Land and buildings | Total
Cost: |  |  |  |  |  |
Balance at 1 January 2023 | 200,477 | 471,558 | 40,596 | 46,546 | 578,575 | 1,337,752
Additions | 1,399 | 5,909 | 3,550 | 39,227 | 97,526 | 147,611
Transfers | 4,756 | 49,931 | 1,779 | (56,466) | – | –
Disposals | (1,930) | (3,325) | (6,542) | – | (12,052) | (23,849)
Balance at 31 December 2023 | 204,702 | 524,073 | 39,383 | 29,307 | 664,049 | 1,461,514
Balance at 1 January 2024 | 204,702 | 524,073 | 39,383 | 29,307 | 664,049 | 1,461,514
Additions | – | 7,835 | – | 42,061 | 91,028 | 140,924
Transfers | 12,533 | 34,914 | 1,044 | (48,491) | – | –
Disposals | (3,271) | (22,314) | (1,113) | – | (27,389) | (54,087)
Balance at 31 December 2024 | 213,964 | 544,508 | 39,314 | 22,877 | 727,688 | 1,548,351
Depreciation and impairment losses: |  |  |  |  |  |
Balance at 1 January 2023 | 166,199 | 352,538 | 27,885 | 1,719 | 355,438 | 903,779
Charge for the year | 11,261 | 47,553 | 3,739 | – | 81,038 | 143,591
Disposals | (752) | (3,170) | (6,454) | 113 | (7,017) | (17,280)
Balance at 31 December 2023 | 176,708 | 396,921 | 25,170 | 1,832 | 429,459 | 1,030,090
Balance at 1 January 2024 | 176,708 | 396,921 | 25,170 | 1,832 | 429,459 | 1,030,090
Charge for the year | 11,768 | 50,565 | 3,711 | (1,684) | 83,284 | 147,644
Disposals | (3,184) | (21,375) | (954) | – | (19,296) | (44,809)
Balance at 31 December 2024 | 185,292 | 426,111 | 27,927 | 148 | 493,447 | 1,132,925
Carrying amounts: |  |  |  |  |  |
At 1 January 2023 | 34,278 | 119,020 | 12,711 | 44,827 | 223,137 | 433,973
At 31 December 2023 | 27,994 | 127,152 | 14,213 | 27,475 | 234,590 | 431,424
At 1 January 2024 | 27,994 | 127,152 | 14,213 | 27,475 | 234,590 | 431,424
At 31 December 2024 | 28,672 | 118,397 | 11,387 | 22,729 | 234,241 | 415,426

Group: Purchases of property, plant and equipment during year 2024 were in amount of RON 51,756 thousand (2023 : RON 48,014
thousand).
Bank: Purchases of property, plant and equipment during year 2024 were in amount of RON 49,896 thousand (2023: RON 50,085
thousand).

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

140

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Movement in the Right of Use Assets is detailed in the table below:

| Group |  | Bank
In RON thousand | Land and buildings |  | Land and buildings
Balance at 1 January 2024 | 237,787 |  | 234,590
Additions | 90,568 |  | 91,028
Depreciation expense | (90,675) |  | (89,671)
Impairment release/charges | 6,387 |  | 6,387
Disposals and other decreases | (9,768) |  | (8,093)
Contractual changes | – |  | –
Balance at 31 December 2024 | 234,299 |  | 234,241

| Group |  | Bank
In RON thousand | Land and buildings |  | Land and buildings
Balance at 1 January 2023 | 223,137 |  | 223,137
Additions | 100,723 |  | 97,526
Depreciation expense | (87,376) |  | (87,376)
Impairment release/charges | 6,338 |  | 6,338
Disposals and other decreases | (5,035) |  | (5,035)
Contractual changes | – |  | –
Balance at 31 December 2023 | 237,787 |  | 234,590

Movement in the lease liability is detailed in the table below:

| Group |  | Bank
In RON thousand | Land and buildings |  | Land and buildings
Balance at 1 January 2024 | 263,681 |  | 260,853
Additions | 84,470 |  | 84,994
Interest expense | 6,261 |  | 6,261
Payments | (97,742) |  | (97,742)
Other movements (fx, contractual changes, interest paid) | (3,590) |  | (3,590)
Balance at 31 December 2024 | 253,080 |  | 250,776

| Group |  | Bank
In RON thousand | Land and buildings |  | Land and buildings
Balance at 1 January 2023 | 259,291 |  | 258,964
Additions | 95,172 |  | 92,671
Interest expense | 4,322 |  | 4,322
Payments | (96,364) |  | (96,364)
Other movements (fx, contractual changes, interest paid) | 1,260 |  | 1,260
Balance at 31 December 2023 | 263,681 |  | 260,853

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

141

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

31. INTANGIBLE ASSETS
Group

In RON thousand | Purchased Software | Assets in progress | Total
Cost: |  |  |
Balance at 1 January 2023 | 1,011,866 | 79,592 | 1,091,458
Additions | 2,529 | 182,318 | 184,847
Transfers | 165,148 | (165,148) | –
Disposals | (74,051) | (76) | (74,127)
Balance at 31 December 2023 | 1,105,492 | 96,686 | 1,202,178
Balance at 1 January 2024 | 1,105,492 | 96,686 | 1,202,178
Additions | 2,503 | 205,681 | 208,184
Transfers | 227,616 | (227,616) | –
Disposals | (9,228) | – | (9,228)
Balance at 31 December 2024 | 1,326,383 | 74,751 | 1,401,134
Amortization and impairment losses: |  |  |
Balance at 1 January 2023 | 697,954 | – | 697,954
Charge for the year | 129,261 | – | 129,261
Disposals | (72,399) | – | (72,399)
Balance at 31 December 2023 | 754,816 | – | 754,816
Balance at 1 January 2024 | 754,816 | – | 754,816
Charge for the year | 121,030 | – | 121,030
Disposals | (3,311) | – | (3,311)
Balance at 31 December 2024 | 872,535 | – | 872,535
Carrying amounts: |  |  |
At 1 January 2023 | 313,912 | 79,592 | 393,504
At 31 December 2023 | 350,676 | 96,686 | 447,362
At 1 January 2024 | 350,676 | 96,686 | 447,362
At 31 December 2024 | 453,848 | 74,751 | 528,599

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

142

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Bank

In RON thousand | Purchased Software | Assets in progress | Total
Cost: |  |  |
Balance at 1 January 2023 | 984,712 | 78,833 | 1,063,545
Additions | – | 182,615 | 182,615
Transfers | 165,148 | (165,148) | –
Disposals | (74,150) | – | (74,150)
Balance at 31 December 2023 | 1,075,710 | 96,300 | 1,172,010
Balance at 1 January 2024 | 1,075,710 | 96,300 | 1,172,010
Additions | – | 206,975 | 206,975
Transfers | 227,616 | (227,616) | –
Disposals | (9,228) | – | (9,228)
Balance at 31 December 2024 | 1,294,098 | 75,659 | 1,369,757
Amortization and impairment losses: |  |  |
Balance at 1 January 2023 | 673,339 | – | 673,339
Charge for the year | 127,954 | – | 127,954
Disposals | (72,400) | – | (72,400)
Balance at 31 December 2023 | 728,893 | – | 728,893
Balance at 1 January 2024 | 728,893 | – | 728,893
Charge for the year | 119,462 | – | 119,462
Disposals | (3,311) | – | (3,311)
Balance at 31 December 2024 | 845,044 | – | 845,044
Carrying amounts: |  |  |
At 1 January 2023 | 311,373 | 78,833 | 390,206
At 31 December 2023 | 346,817 | 96,300 | 443,117
At 1 January 2024 | 346,817 | 96,300 | 443,117
At 31 December 2024 | 449,054 | 75,659 | 524,713

Group: Purchases of intangible assets during year 2024 were in amount of RON 208,184 thousand (2023: RON 184,847 thousand).
Bank: Purchases of intangible assets during year 2024 were in amount of RON 206,975 thousand (2023: RON 182,615 thousand).

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

143

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

32. DEPOSITS FROM BANKS

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Payable on demand | 332,896 | 433,525 |  | 332,896 | 433,525
Term deposits | 219,084 | 61,403 |  | 219,084 | 61,403
Total | 551,980 | 494,928 |  | 551,980 | 494,928

33. DEPOSITS FROM CUSTOMERS

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Payable on demand |  |  |  |  |
Retail customers | 21,867,164 | 21,213,976 |  | 21,865,663 | 21,201,259
Non-retail customers | 8,894,209 | 8,841,670 |  | 9,006,211 | 8,943,020
| 30,761,373 | 30,055,646 |  | 30,871,874 | 30,144,279
Term deposits |  |  |  |  |
Retail customers | 22,743,761 | 18,704,930 |  | 22,743,761 | 18,704,930
Non-retail customers | 11,600,963 | 5,639,608 |  | 11,600,963 | 5,639,608
| 34,344,724 | 24,344,538 |  | 34,344,724 | 24,344,538
Savings accounts |  |  |  |  |
Retail customers | 54 | 54 |  | 54 | 54
| 54 | 54 |  | 54 | 54
Total | 65,106,151 | 54,400,238 |  | 65,216,652 | 54,488,871

34. TOTAL LONG TERM DEBT
Long term-debt includes debt securities issued, senior loans and subordinated loans from banks, as presented in the table below:

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Senior loans from banks and financial institutions | 776,846 | 488,558 |  | 156,334 | 1,745
Of which unsecured | 362,153 | 304,058 |  | – | –
Debt securities issued | 5,072,705 | 5,555,004 |  | 5,072,705 | 5,555,004
of which accrued interest EMREL bonds | 108,088 | 108,326 |  | 108,088 | 108,326
Subordinated loans | 810,127 | 326,115 |  | 810,127 | 326,015
Total | 6,659,678 | 6,369,677 |  | 6,039,166 | 5,882,764

(i) Senior loans from banks and financial institutions are detailed in the table from below:

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Commercial banks | 657,866 | 304,058 |  | 155,333 | –
Multilateral Development Banks | 117,979 | 182,755 |  | – | –
Other financial institutions | 1,001 | 1,745 |  | 1,001 | 1,745
Total loans from banks and financial institutions | 776,846 | 488,558 |  | 156,334 | 1,745

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

144

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The loans received from banks and other financial institutions are denominated in EUR and RON, with a final maturity which varies
between December 2025 and December 2034.
The Group takes all the necessary measures in order to ensure compliance with the financial covenants that may be attached to
the loans received from banks and other financial institutions. Consequently, there have been no breaches in the financial
covenants of any loans from banks and other financial institutions in the analysed period.
Senior debt has greater seniority in the Bank's liabilities structure than subordinated debt and regulatory capital instruments as
regulated by applicable insolvency law.
As of December 31, 2024, the Group has commitments received from credit institutions in amount of EUR 50,000 thousand
(December 31, 2023: EUR 50,000 thousand).
As of December 31, 2024, the Bank has commitments received from credit institutions in amount of EUR 50,000 thousand
(December 31, 2023: EUR 50,000 thousand).
(ii) Debt securities issued
Group: The balance of debt securities issued as at December 31, 2024, including accrued interest, is in amount of RON 5,072,705
thousand (December 31, 2023: RON 5,555,004 thousand, taking into account also the unsecured subordinated bonds).
Bank: The balance of debt securities issued as at December 31, 2024, including accrued interest, is in amount of RON 5,072,705
thousand (December 31, 2023: RON 5,555,004 thousand, taking into account also the unsecured subordinated bonds).
In December 2019, the Bank issued unsecured, subordinated RON-denominated bonds in nominal amount of RON 480,000
thousand that qualify as Tier 2 instruments as defined by Regulation (EU) No. 575/2013. The instruments bear variable rate and
have maturity on 19 December 2029. Initially the bonds were subscribed by private investors through a private placement process.
According to the terms and conditions of the issuance, the bonds were admitted to trading on the Regulated Spot Market of the
Bucharest Stock Exchange on 14th of May 2020, under ISIN code: ROJX86UZW1R4.
On 14 May 2021 the Bank issued its inaugural Senior Preferred (SP) RON-denominted green bond in nominal amount of RON 400,575
thousand bearing a fixed rate coupon with the final maturity on 14 May 2026. The notes have an early redemption feature at the
option of the Issuer, subject to prior regulatory approval, with the call redemption date on 14 May 2025. The instruments were
issued under the Bank’s EMTN programme which was established at the end of April 2021. The notes are expected to be eligible
for MREL (Minimum Requirement for Own Funds and Eligible Liabilities). The bonds were listed on the Luxembourg Stock Exchange
on 18 May 2021, under ISIN code XS2339508587 and were included in the LGX - Luxembourg Green Exchange platform, dedicated
solely to the Green and Sustainble bonds. The notes were passported on 27th of May 2021 on the Regulated Spot Market of the
Bucharest Stock Exchange under the same ISIN (Symbol RBRO26).
On 11 June 2021, under the EMTN programme, the Bank issued its first Senior Non-Preferred (SNP) RON-denominted green bond, in
nominal amount of RON 1,207,500 thousand bearing a fixed rate coupon, with the maturity date on 11 June 2028 and an early
redemption feature at the option of the Issuer on 11 June 2027, subject to prior regulatory approval. The notes are expected to be
eligible for MREL (Minimum Requirement for Own Funds and Eligible Liabilities). The bonds were listed on the Luxembourg Stock
Exchange - LGX platform on 15 June 2021 under ISIN: XS2349343256 and on 2 July 2021 were passported on the Regulated Spot
Market of the Bucharest Stock Exchange, under the same ISIN (Symbol RBRO28).
Under the EMTN programme which was successfully updated in April 2022, the Bank issued on 15th of June 2022 the second RON-
denominated green bond in Senior Non-Preferred (SNP) format, in nominal amount of RON 525,000 thousand with a fixed rate
coupon, having the final maturity date on 15th of June 2027 and the early redemption feature at the option of the Issuer on 15th of
June 2026. Similar to the 2021 green issuances, the notes are expected to be eligible for MREL (Minimum Requirement for Own
Funds and Eligible Liabilities) and were listed on the Luxembourg Stock Exchange - LGX platform on 15 June 2022 under ISIN:
XS2489289053 and on 24 June 2022 were passported on the Regulated Spot Market of the Bucharest Stock Exchange, under the
same ISIN (Symbol RBRO27).
In the second part of the year 2022, the Bank issued three RON-denominated bonds in sustainable format bearing fixed interest
payable annually, with a total nominal amount of RON 1,195,425 thousand, out of which two in senior non-preferred format (SNP)
in the amount of RON 869,925 thousand. The bonds have a final maturity of 5 years from the date of issue, with the possibility of
early redemption 1 year prior to maturity at the option of the issuer and were listed on the Luxembourg Stock Exchange and on
the regulated market of the Bucharest Stock Exchange with the following ISINs: XS2511879160, XS2539944012, XS2556373046. The
three bonds were issued in order to meet the minimum own funds and eligible debt requirement (MREL).

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

145

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

On 31st of March 2023, the Bank issued a new Senior Non-Preferred (SNP) note due on 7th of December 2027, under the second
tranche of series no. 6 issued on 7th of December 2022, with a total amount of RON 119,175 thousand as part of the reopening of
the last sustainable bond series. Thus, the bond issuance of series no. 6 reaches a total notional of RON 488.25 million.
The Bank continued to issue sustainability bonds in the second half of 2023 and, in a premiere for the Romanian banking sector,
the Bank issued the first sustainability Eurobonds in senior non-preferred format on the international capital markets with a total
amount of EUR 300 million. The bonds have a fixed coupon of 7% in the first three years and a final maturity of four years with the
possibility of early redemption 1 year prior to maturity at the option of the issuer and were listed on the Luxembourg Stock
Exchange (ISIN: XS2700245561). The bond enabled the bank to meet the fully phased in MREL requirements applicable starting with
1st January 2024.
On 19th of December 2024, the bank early redeemed the subordinated RON denominated bonds in amount of RON 480,000
thousand (ISIN ROJX86UZW1R4) with an initial maturity on 19th of December 2029, after obtaining the prior permission from the
National Bank of Romania. The decision to early redeem the Tier 2 Notes derives from the bank’s proactive approach to capital
management, taking into account the regulatory amortization of Tier 2 instruments in own funds. The early redemption is part of
the bank’s ongoing strategy to optimize its funding structure and enhance capital efficiency.
(iii) Subordinated liabilities
The balance of subordinated liabilities as at December 31, 2024, in RON equivalents, including accrued interest is RON 810,127
thousand (December 31, 2023: RON 326,115 thousand).
All subordinated loans are granted by Raiffeisen Bank International A.G.
In addition, the subordinated bond subscribed by private investors as of December 2023 in amount of RON 481,193 thousand has
been included in the above section (ii).
On 9th of December 2024, the bank received a new subordinated loan in amount of EUR 97,000 thousand, with a final maturity of
10 years, which can be early repaid starting with 9th of December 2029.
The below tables show the split of total long term debt by contractual maturities as of December 31, 2024:

Group |  |  |
In RON thousand | Less than 1 year | Over 1 year | Total
Senior loans from banks and financial institutions | 159,276 | 617,570 | 776,846
Of which unsecured | – | 362,153 | 362,153
Debt securities issued | 132,800 | 4,939,905 | 5,072,705
Subordinated loans | 128,675 | 681,452 | 810,127
Total | 420,751 | 6,238,927 | 6,659,678

Bank |  |  |
In RON thousand | Less than 1 year | Over 1 year | Total
Senior loans from banks and financial institutions | 155,856 | 478 | 156,334
Of which unsecured | – | – | –
Debt securities issued | 132,800 | 4,939,905 | 5,072,705
Subordinated loans | 128,675 | 681,452 | 810,127
Total | 417,331 | 5,621,835 | 6,039,166

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

146

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

The below tables show the split of total long term debt by contractual maturities as of December 31, 2023:

Group |  |  |
In RON thousand | Less than 1 year | Over 1 year | Total
Senior loans from banks and financial institutions | 4,914 | 483,644 | 488,558
Of which unsecured | – | 304,058 | 304,058
Debt securities issued | 134,949 | 5,420,055 | 5,555,004
Subordinated loans | 2,766 | 323,349 | 326,115
Total | 142,629 | 6,227,048 | 6,369,677

Bank |  |  |
In RON thousand | Less than 1 year | Over 1 year | Total
Senior loans from banks and financial institutions | 864 | 881 | 1,745
Of which unsecured | – | – | –
Debt securities issued | 134,949 | 5,420,055 | 5,555,004
Subordinated loans | 2,666 | 323,349 | 326,015
Total | 138,479 | 5,744,285 | 5,882,764

Group/Bank
The below table shows the split of debt securities issued:

ISIN | Description | 31 December 2024 |  | 31 December 2023
XS2339508587 | senior preferred | 407,982 |  | 407,557
XS2539944012 | senior preferred | 331,147 |  | 331,078
XS2349343256 | senior non-preferred | 1,230,878 |  | 1,230,359
XS2489289053 | senior non-preferred | 549,898 |  | 549,489
XS2511879160 | senior non-preferred | 516,788 |  | 516,483
XS2556373046 | senior non-preferred | 491,180 |  | 490,091
XS2700245561* | senior non-preferred | 1,544,832 |  | 1,548,754
ROJX86UZW1R4 | subordinated bond | – |  | 481,193
Total |  | 5,072,705 |  | 5,555,004

*in the book value of this ISIN is included the fair value adjustment from the hedge relationship in amount of RON 34,407
(December 31, 2023 RON 36,577).

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

147

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

35. OTHER LIABILITIES

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Lease liability | 253,080 | 263,681 |  | 250,776 | 260,853
Amounts due to state budget for social security | 54,358 | 54,424 |  | 53,838 | 53,519
Short-term employee benefits | 108,150 | 108,754 |  | 108,150 | 108,624
Accrual for suppliers | 284,765 | 234,765 |  | 284,268 | 234,583
Cash in transit (i) | 244,175 | 579,274 |  | 244,175 | 579,274
Deferred income | 76,849 | 69,377 |  | 57,029 | 55,622
Other liabilities(ii) | 679,961 | 320,911 |  | 651,805 | 287,607
Total | 1,701,338 | 1,631,186 |  | 1,650,041 | 1,580,082

i) Cash in transit includes payments which should be settled with other banks of RON 194,921 thousand (2023: RON 307,815
thousand) and receipts which should be settled with current accounts RON 49,254 thousand (2023: RON 271,459 thousand).
ii) Other liabilities include credit cards of RON 341,431 thousand (2023: RON 62,214 thousand), liabilities due to customers of RON
231,631 thousand (2023: 179,256 thousand RON) and deposits representing the share capital at companies in course of set-up of
RON 6,405 thousand (2023: RO N 7,312 thousand).
36. PROVISIONS

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Provisions for litigations and potential risks (i) | 15,511 | 29,663 |  | 14,403 | 29,355
Provision for un-drawn commitments (ii) | 52,450 | 54,218 |  | 51,453 | 53,677
Provision for employee benefits | 612 | 474 |  | – | –
Defined benefit plan (iii) | 55,642 | 45,388 |  | 55,642 | 45,388
Provisions for severance payments and similar obligations | 4,076 | 5,128 |  | 4,076 | 5,128
Sundry provisions | 15,381 | 25,106 |  | 8,631 | 15,833
Total | 143,672 | 159,977 |  | 134,205 | 149,381

i) The nature of provisions for litigation represents legal disputes. Expected timing of outflows for litigations cannot be
appreciated, depending on various factors. Given the complexity and inherent uncertainties related to the outcome of possible
scenario regarding the provision for litigation, the Group's estimates needed may differ from actual obligation resulting from the
completion of such legal disputes in future periods.
Included in position “Provisions for litigations and potential risks” are the following main legal disputes:
a) Disputes with consumers
As of December 31, 2024, the provisions related to individual consumer loan litigations amounted to 2,605 RON thousand (2023:
RON 3,771 thousand). They are due to contractual clauses that may generate losses because they are considered unfair by
customers. The existing provisions are both for ongoing litigations and for potential ones (which might result in litigations in the
future).
b) Order no. 234 of September 3, 2021, received from the National Authority for Consumer Protection
On July 2014 ANPC issued Order number 280 which contains a decision requesting the Bank to stop the incorrect practice of
including the administration fee in the bank’s margin, at the implementation of the restructuring acts. The Bank was furthered
sanctioned for not implementing the ANPC Order 280/2014.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

148

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Subsequently, ANPC issued Order no. 234/2021, which ordered the application of the additional sanction of suspending the activity
of the banking institution, Raiffeisen Bank SA, with regard to the unfair commercial practice consisting in the unilateral decision of
the bank to increase the margins of the interest component at the time of loan restructuring, by introducing the management
fee, which the bank expressly waived by the additional acts signed with the clients, and to refund the amounts incorrectly
collected from the consumers.
The Bank contested the minute issued, case which was solved in favour of the Bank, and against the order it was filed an action
for annulment, which was won in first instance by the Bank. The decision hasn’t been yet communicated. Also, the Bucharest Court
of Appeal ordered the suspension of the execution of Order no. 234/2021, until the resolution of the action to cancel the order, a
decision that was not appealed by ANPC. During February 2025 the Court rejected the ANPC appeal and gave a final favourable
solution to the Bank
The existing provision was derecognized during 2023 as there were no material risks associated at that time.
c) Order no. 21696/299/ June 2024 received from ANPC
In June 2024, the Bank received an ANPC report following a thematic control action, for violations of the OG no. 21/1992 on
consumer protection, but also for misleading commercial practices.
The acts allegedly committed relate to the lack of information to consumers, ordering the recalculation and retroactive charging
of an interest rate depending on a financial reference index, as well as the payment of instalments on loans granted in CHF in a
different way from the contract (respectively as if they were granted in EUR).
As of 31 December 2024, there are no provisions recognised, as based on the legal opinion there are no material risks associated
with legal case.
ii) For off balance sheet commitments, provisions are calculated by multiplying net exposure (gross exposure minus collateral
value) with expected loss rates specific for each risk category, further adjusted with the credit conversion factor. The credit
conversion factor represents the Bank's expectations of the respective loan commitment to become a balance sheet exposure
over its expected life.
iii) The defined benefit plan is the Group’s one off obligation to offer a number of salaries depending on the service period. The
Group has calculated provision for contributions granted to employees on retirement as of 31 December 2024, using indicators
such as: remaining number of years with the company up to retirement, probability that employee will stay with the company up
to retirement, current salary, average number of salaries paid as benefit at retirement, age, sex, expected age of retirement as
per current legislation.
Movement in defined benefits obligations

In RON thousand | 31 December 2024 | 31 December 2023
Opening defined benefit obligation | 45,388 | 32,685
Total service cost | 4,289 | 353
Interest cost on benefit obligation | 3,978 | 4,232
Transfer in | 2,297 | 3,533
Actuarial (gains) / losses arising from changes in financial assumptions | (310) | 4,585
Closing defined benefit obligation | 55,642 | 45,388

Main actuarial assumptions:

| Group
| 31 December 2024 | 31 December 2023
Discount rate | 4.56% – 7.01% | 4.79% – 7.28%
Average long term inflation rate | 3.15% | 3.15%
Average remaining working period (years) | 25.79 | 26.25

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

149

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Sensitivities on the defined benefit obligation
The results of any valuation depend upon the assumptions employed. Significant actuarial assumptions for the determination of
the defined obligation are discount rate and expected salary increase.
The sensitivity analyses below have been determined based on reasonably possible changes of the respective assumptions
occurring at the end of the reporting period, while holding all other assumptions constant.
• If the discount rate used was 0.5% higher, then the defined benefit obligation would be lower by about 3.17% meaning
RON 1,763 thousand.
• If the discount rate used was 0.5% lower, then the defined benefit obligation would be higher by about 3.36% meaning
RON 1,868 thousand.
• If the salary increase rate used was 0.5% higher, then the defined benefit obligation would be higher by about 3.44%
meaning RON 1,912 thousand.
The sensitivity analysis presented above may not be representative of the actual change in the defined benefit obligation as it is
unlikely that the change in assumptions would occur in isolation of one another as some of the assumptions may be correlated.
Furthermore, in presenting the above sensitivity analysis, the present value of the defined benefit obligation has been calculated
using the projected unit credit method at the end of the reporting period, which is the same as that applied in calculating the
defined benefit obligation liability recognised in the statement of financial position. The eventual cost of providing the benefits
depends on the current future experience. Other factors such as the number of new employees could also change the cost.
Group
During 2024 the provisions can be further analyzed as follows:

In RON thousand | Opening Balance | Allocation | Release | Usage | Other movements | FX difference | Closing balance
Provisions for litigations and potential risks | 29,663 | 1,464 | (7,988) | (7,628) | – | – | 15,511
Provision for un-drawn commitments | 54,218 | 483 | (2,299) | – | – | 48 | 52,450
Provision for employee benefits | 474 | 138 | – | – | – | – | 612
Defined benefit plan | 45,388 | 7,120 | – | – | 3,134 | – | 55,642
Provisions for severance payments and similar obligations | 5,128 | – | (1,052) | – | – | – | 4,076
Sundry provisions | 25,106 | 5,727 | (11,851) | (3,601) | – | – | 15,381
Total | 159,977 | 14,932 | (23,190) | (11,229) | 3,134 | 48 | 143,672

During 2023 the provisions can be further analyzed as follows:

In RON thousand | Opening Balance | Allocation | Release | Usage | Other movements | FX difference | Closing balance
Provisions for litigations and potential risks | 108,974 | 791 | (34,207) | (46,261) | – | 366 | 29,663
Provision for un-drawn commitments | 87,235 | – | (33,080) | – | – | 63 | 54,218
Provision for employee benefits | 397 | 77 | – | – | – | – | 474
Defined benefit plan | 32,685 | 3,885 | – | – | 8,818 | – | 45,388
Provisions for severance payments and similar obligations | 737 | 4,391 | – | – | – | – | 5,128
Sundry provisions | 3,374 | 21,732 | – | – | – | – | 25,106
Total | 233,402 | 30,876 | (67,287) | (46,261) | 8,818 | 429 | 159,977

*) Provisions for overdue vacations were reclassified into other liabilities caption.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

150

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Bank
During 2024 the provisions can be further analyzed as follows:

In RON thousand | Opening Balance | Allocation | Release | Usage | Other movements | FX difference | Closing balance
Provisions for litigations and potential risks | 29,355 | 1,464 | (7,988) | (8,106) | (322) | – | 14,403
Provision for un-drawn commitments | 53,677 | – | (2,272) | – | – | 48 | 51,453
Defined benefit plan | 45,388 | 7,120 | – | – | 3,134 | – | 55,642
Provisions for severance payments and similar obligations | 5,128 | – | (1,052) | – | – | – | 4,076
Sundry provisions | 15,833 | 3,593 | (10,795) | – | – | – | 8,631
Total | 149,381 | 12,177 | (22,107) | (8,106) | 2,812 | 48 | 134,205

During 2023 the provisions can be further analyzed as follows:

In RON thousand | Opening Balance | Allocation | Release | Usage | Other movements | FX difference | Closing balance
Provisions for litigations and potential risks | 108,972 | 485 | (34,207) | (46,261) | – | 366 | 29,355
Provision for un-drawn commitments | 86,667 | – | (33,053) | – | – | 63 | 53,677
Defined benefit plan | 32,685 | 3,885 | – | – | 8,818 | – | 45,388
Provisions for severance payments and similar obligations | 737 | 4,391 | – | – | – | – | 5,128
Sundry provisions | 1,015 | 14,818 | – | – | – | – | 15,833
Total | 230,076 | 23,579 | (67,260) | (46,261) | 8,818 | 429 | 149,381

*) Provisions for overdue vacations were reclassified into other liabilities caption.
37. SHARE CAPITAL
As of December 31, 2024 the number of shares of the Bank is 12,000 and there were no changes in shares structure. Share capital
in amount of RON 1,200,000,000 consists in 12,000 shares with a nominal value of RON 100,000/share.
During 2024, Raiffeisen Bank S.A paid dividends from 2023 profit to its shareholders in amount of RON 860,400 thousand which
represents a dividend of RON 71,700/share (2023: RON dividends from 2022 profit to its shareholders in amount of RON 617,400
thousand which represents a dividend of RON 51,450/share).
The shareholders of the Group are as follows:

| 31 December 2024 | 31 December 2023
| % | %
Raiffeisen SEE Region Holding GmbH | 99.95 | 99.925
Other shareholders | 0.05 | 0.075
Total | 100 | 100

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

151

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

38. OTHER EQUITY INSTRUMENTS
Other equity instruments are comprised of subordinated unsecured instruments notes issued by the Group that are classified as
equity instruments in accordance to IAS 32 "Financial Instruments: Presentation". The instruments meet the criteria for inclusion in
Group Tier 1 own funds, as they qualify as Additional Tier 1 instruments, as defined by Regulation (EU) No. 575/2013 (CRR), article 52.
They are perpetual instruments, with no maturity, while the issuer’s reimbursement is limited and subject to supervisory approval.
Although the notes include a coupon rate, this is fully discretionary and is paid out of the distributable profits. In case the Group’s
CET 1 Capital Ratio is below a certain threshold, this might trigger full or partial write-down of the notes. The write-down is
temporary and can be followed by a write-up, which is at the sole discretion of the issuer and compliance with applicable
supervisory regulations. The total issue of the notes amounts to EUR 125 million (2023: EUR 125 million) and have been purchased by
Raiffeisen Bank International A.G. (please refer to note 40 Related party transactions).
During 2024, Raiffeisen Bank S.A paid coupon in amount of RON 73,656 thousand (2023: RON 64,458).
39. OTHER RESERVES

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Statutory reserve | 242,128 | 242,128 |  | 240,000 | 240,000
Fair value of equity instruments measured at fair value through other comprehensive income (net of tax) | 84,394 | 46,582 |  | 84,394 | 46,582
Fair value of debt instruments measured at fair value through other comprehensive income (net of tax) | (72,835) | (106,309) |  | (72,925) | (104,753)
Actuarial gains or (-) losses on defined benefit pension plans (net of tax) | (1,941) | (2,202) |  | (1,941) | (2,202)
Total | 251,746 | 180,199 |  | 249,528 | 179,627

Fair value reserve for financial assets FVOCI

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Balance at 1 January | (59,727) | (219,331) |  | (58,171) | (217,639)
Fair value changes of equity instruments measured at fair value through other comprehensive income | 39,482 | 14,653 |  | 37,812 | 14,653
Valuation gains or (-) losses taken to equity of debt instruments at fair value through other comprehensive income | 31,804 | 144,951 |  | 31,828 | 144,815
Balance at the end of reporting period | 11,559 | (59,727) |  | 11,469 | (58,171)

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

152

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

40. RELATED PARTY TRANSACTIONS
The Group entered into a number of banking transactions with Raiffeisen Bank International AG, the ultimate controlling
party and its subsidiaries in the normal course of business.
The transactions and balances with related parties are presented in tables below:

Group | 31 December 2024
In RON thousand | Ultimate controlling entity | Associates | Key Personnel | Other interest | Total
Trading assets | 11,449 | – | – | – | 11,449
Derivative assets held for risk management | 9,428 | – | – | – | 9,428
Loans and advances to banks at amortised cost | 16,165 | – | – | 126 | 16,291
Investment in subsidiaries, associates and joint ventures | – | 26,170 | – | – | 26,170
Equity instruments at fair value through other comprehensive income | – | – | – | 135,593 | 135,593
Derivatives Asset– Hedge accounting | 52,135 | – | – | – | 52,135
Loans and advances to customers at amortised cost | – | 6,097 | 9,634 | 32,760 | 48,491
Property, equipment and right-of-use assets | – | – | – | 56,969 | 56,969
Other assets | 4,526 | – | 6 | 23,935 | 28,467
Outstanding assets | 93,703 | 32,267 | 9,640 | 249,383 | 384,993
Fair value changes of the hedged items-liability | 17,674 | – | – | – | 17,674
Derivatives – Hedge accounting | 2,146 | – | – | – | 2,146
Trading liabilities | 124 | – | – | – | 124
Deposits from banks | 74,833 | – | – | 2,739 | 77,572
Deposits from customers | – | 2,302 | 33,288 | 158,421 | 194,011
Loans from banks and other financial institutions | 248,607 | – | – | – | 248,607
Subordinated loans | 810,127 | – | – | – | 810,127
Other equity instruments | 609,298 | – | – | – | 609,298
Other liabilities | 106,912 | 15,075 | 1 | 74,420 | 196,408
Outstanding liabilities | 1,869,721 | 17,377 | 33,289 | 235,580 | 2,155,967
Commitments given | – | 20,000 | – | 118,881 | 138,881
Guarantees issued | 121,492 | – | – | 10,754 | 132,246
Commitments received | 248,705 | – | – | – | 248,705
Guarantees received | 140,910 | – | – | 8,535 | 149,445
Notional amount of derivative instruments | 2,992,231 | – | – | – | 2,992,231

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

153

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Group | 31 December 2023
In RON thousand | Ultimate controlling entity | Associates | Key Personnel | Other interest | Total
Trading assets | 605 | – | – | – | 605
Derivative assets held for risk management | 16,975 | – | – | – | 16,975
Loans and advances to banks at amortised cost | 79,830 | – | – | 957 | 80,787
Investment in subsidiaries, associates and joint ventures | – | 18,853 | – | – | 18,853
Equity instruments at fair value through other comprehensive income | – | – | – | 90,579 | 90,579
Loans and advances to customers at amortised cost | – | 22,978 | 5,916 | 33,112 | 62,006
Derivatives Asset– Hedge accounting | 37,793 | – | – | – | 37,793
Property, equipment and right-of-use assets | 732 | – | – | 82,150 | 82,882
Other assets | 7,974 | – | 28 | 21,085 | 29,087
Outstanding assets | 143,909 | 41,831 | 5,944 | 227,883 | 419,567
Derivative liabilities held for risk management | 675 | – | – | – | 675
Derivatives – Hedge accounting | 709 | – | – | – | 709
Fair value changes of the hedged items-liability | 4,940 | – | – | – | 4,940
Trading liabilities | 3,471 | – | – | – | 3,471
Deposits from banks | 202,783 | – | – | 2,941 | 205,724
Deposits from customers | – | 7,409 | 29,014 | 162,874 | 199,297
Loans from banks and other financial institutions | 150,851 | – | – | – | 150,851
Subordinated loans | 326,115 | – | – | – | 326,115
Other equity instruments | 609,298 | – | – | – | 609,298
Other liabilities | 62,628 | 5,028 | 7 | 119,003 | 186,666
Outstanding liabilities | 1,361,470 | 12,437 | 29,021 | 284,818 | 1,687,746
Commitments given | – | 20,000 | – | 44,771 | 64,771
Guarantees issued | 118,508 | – | – | 16,638 | 135,146
Commitments received | 248,730 | – | – | – | 248,730
Guarantees received | 125,552 | – | – | 22,036 | 147,588
Notional amount of derivative instruments | 3,662,314 | – | – | – | 3,662,314

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

154

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Bank | 31 December 2024
In RON thousand | Ultimate controlling entity | Subsidiaries | Associates | Key Personnel | Other interest | Total
Trading assets | 11,449 | – | – | – | – | 11,449
Derivative assets held for risk management | 9,428 | – | – | – | – | 9,428
Loans and advances to banks at amortised cost | 15,849 | 11,968 | – | – | 126 | 27,943
Investment in subsidiaries, associates and joint ventures | – | 128,096 | 11,900 | – | – | 139,996
Equity instruments at fair value through other comprehensive income | – | – | – | – | 135,593 | 135,593
Derivatives Asset– Hedge accounting | 52,135 | – | – | – | – | 52,135
Loans and advances to customers at amortised cost | – | 1,141,625 | 6,097 | 9,634 | 32,760 | 1,190,116
Property, equipment and right-of-use assets | – | – | – | – | 56,969 | 56,969
Other assets | 4,357 | 14,534 | – | 6 | 23,935 | 42,832
Outstanding assets | 93,218 | 1,296,223 | 17,997 | 9,640 | 249,383 | 1,666,461
Fair value changes of the hedged items-liability | 17,674 | – | – | – | – | 17,674
Derivatives – Hedge accounting | 2,146 | – | – | – | – | 2,146
Trading liabilities | 124 | – | – | – | – | 124
Deposits from banks | 74,833 | 195 | – | – | 2,739 | 77,767
Deposits from customers | – | 114,592 | 2,302 | 33,288 | 158,421 | 308,603
Subordinated loans | 810,127 | – | – | – | – | 810,127
Other equity instruments | 609,298 | – | – | – | – | 609,298
Other liabilities | 106,912 | 827 | 15,075 | 1 | 74,420 | 197,235
Outstanding liabilities | 1,621,114 | 115,614 | 17,377 | 33,289 | 235,580 | 2,022,974
Commitments given | – | 373,109 | 20,000 | – | 118,881 | 511,990
Guarantees issued | 121,492 | – | – | – | 10,754 | 132,246
Commitments received | 248,705 | – | – | – | – | 248,705
Guarantees received | 140,910 | – | – | – | 8,535 | 149,445
Notional amount of derivative instruments | 2,992,231 | – | – | – | – | 2,992,231

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

155

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Bank | 31 December 2023
In RON thousand | Ultimate controlling entity | Subsidiaries | Associates | Key Personnel | Other interest | Total
Trading assets | 605 | – | – | – | – | 605
Derivative assets held for risk management | 16,975 | – | – | – | – | 16,975
Loans and advances to banks at amortised cost | 79,507 | 11,861 | – | – | 957 | 92,325
Investment in subsidiaries, associates and joint ventures | – | 98,575 | 11,900 | – | – | 110,475
Equity instruments at fair value through other comprehensive income | – | – | – | – | 90,579 | 90,579
Loans and advances to customers at amortised cost | – | 745,703 | 22,978 | 5,916 | 33,112 | 807,709
Derivatives Asset– Hedge accounting | 37,793 | – | – | – | – | 37,793
Property, equipment and right-of-use assets | 732 | – | – | – | 82,150 | 82,882
Other assets | 7,877 | 3,615 | – | 28 | 21,085 | 32,605
Outstanding assets | 143,489 | 859,754 | 34,878 | 5,944 | 227,883 | 1,271,948
Derivative liabilities held for risk management | 675 | – | – | – | – | 675
Derivatives – Hedge accounting | 709 | – | – | – | – | 709
Fair value changes of the hedged items-liability | 4,940 | – | – | – | – | 4,940
Trading liabilities | 3,471 | – | – | – | – | 3,471
Deposits from banks | 51,932 | 189 | – | – | 2,941 | 55,062
Deposits from customers | – | 104,157 | 7,409 | 29,014 | 162,874 | 303,454
Loans from banks and other financial institutions | 150,851 | – | – | – | – | 150,851
Subordinated loans | 326,015 | – | – | – | – | 326,015
Other equity instruments | 609,298 | – | – | – | – | 609,298
Other liabilities | 62,628 | 977 | 5,028 | 7 | 119,003 | 187,643
Outstanding liabilities | 1,210,519 | 105,323 | 12,437 | 29,021 | 284,818 | 1,642,118
Commitments given | – | 19,949 | 20,000 | – | 44,771 | 84,720
Guarantees issued | 118,508 | 160 | – | – | 16,638 | 135,306
Commitments received | 248,730 | – | – | – | – | 248,730
Guarantees received | 125,552 | – | – | – | 22,036 | 147,588
Notional amount of derivative instruments | 3,662,314 | – | – | – | – | 3,662,314

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

156

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Group | 2024
In RON thousand | Ultimate controlling entity | Associates | Key Personnel | Other interest | Total
Interest income | 83,655 | 1,120 | 470 | 4,187 | 89,432
Interest expense | (40,972) | – | (2,010) | (3,235) | (46,217)
Fees and commissions income | 9,036 | – | 5 | 74 | 9,115
Fees and commissions expense | (6,083) | – | – | (28,225) | (34,308)
Net trading income | 10,889 | – | – | – | 10,889
Operating expenses | 83,219 | 62,491 | – | 94,587 | 240,297
Personnel expenses | – | – | (39,810) | – | (39,810)
Other operating income | 9,763 | – | – | 1,358 | 11,121
Gains or (-) losses from hedge accounting, net | 613 | – | – | – | 613
Share of gain from associates and joint ventures | – | 7,317 | – | – | 7,317

| 2023
In RON thousand | Ultimate controlling entity | Associates | Key Personnel | Other interest | Total
Interest income | 22,485 | 1,993 | 425 | 9,508 | 34,411
Interest expense | (32,589) | – | 709 | – | (31,880)
Fees and commissions income | 6,074 | 6 | 6 | 91 | 6,177
Fees and commissions expense | (4,163) | – | – | (41,247) | (45,410)
Net trading income | (11,585) | – | – | – | (11,585)
Operating expenses | (44,219) | (59,811) | – | (93,918) | (197,948)
Personnel expenses | – | – | (39,380) | – | (39,380)
Other operating income | 2,258 | – | – | 1,271 | 3,529
Gains or (-) losses from hedge accounting, net | 1,877 | – | – | – | 1,877
Impairment (losses)/reversals | – | – | 33 | – | 33
Share of gain from associates and joint ventures | – | 1,166 | – | – | 1,166

Operating expenses include mostly IT costs, legal, advisory and consulting expenses and office space expenses such as rental,
maintenance and others.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

157

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Bank | 2024
In RON thousand | Ultimate controlling entity | Subsidiaries | Associates | Key Personnel | Other interest | Total
Interest income | 83,655 | 48,011 | 1,120 | 470 | 4,187 | 137,443
Interest expense | (40,972) | (3,400) | – | (2,010) | (3,235) | (49,617)
Fees and commissions income | 9,036 | 19,298 | – | 5 | 74 | 28,413
Fees and commissions expense | (6,079) | – | – | – | (28,225) | (34,304)
Net trading income | 10,889 | – | – | – | – | 10,889
Operating expenses | 83,219 | – | 62,491 | – | 94,587 | 240,297
Personnel expenses | – | – | – | (39,810) | – | (39,810)
Dividend income | – | 13,230 | – | – | 1,351 | 14,581
Other operating income | 9,763 | 2,011 | – | – | 1,358 | 13,132
Gains or (-) losses from hedge accounting, net | 613 | – | – | – | – | 613
Impairment (losses)/reversals | – | 4,756 | – | – | – | 4,756

| 2023
In RON thousand | Ultimate controlling entity | Subsidiaries | Associates | Key Personnel | Other interest | Total
Interest income | 22,485 | 29,099 | 1,993 | 425 | 9,508 | 63,510
Interest expense | (30,046) | (55) | – | 709 | – | (29,392)
Fees and commissions income | 6,074 | 5,829 | 6 | 6 | 91 | 12,006
Fees and commissions expense | (4,161) | – | – | – | (41,247) | (45,408)
Net trading income | (11,585) | – | – | – | – | (11,585)
Operating expenses | (44,219) | (21) | (59,811) | – | (93,918) | (197,969)
Personnel expenses | – | – | – | (39,380) | – | (39,380)
Dividend income | – | 17,478 | 12,116 | – | 988 | 30,582
Other operating income | 2,258 | 4,796 | – | – | 1,271 | 8,325
Gains or (-) losses from hedge accounting, net | 1,877 | – | – | – | – | 1,877
Impairment (losses)/reversals | – | 6,691 | – | 33 | – | 6,724
Share of gain from associates and joint ventures | – | – | 1,166 | – | – | 1,166

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

158

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Transactions with key management personnel
Key management personnel is comprised of the members of the Supervisory Board, Management Board and other senior
management as defined by the National Bank of Romania Regulation no.5/20.12.2013 related to the prudential requirements for
credit institutions and amended by the Regulation no.5/17.12.2014.
The transactions between the Group and key management personnel are in the normal course of business, representing: loans
granted, deposits placed, foreign currency transactions and guarantees issued.
The volumes of key management personnel transactions as at year-end and expense and income for the year are presented in
the below tables.

In RON thousand | Group |  | Bank
| 2024 | 2023 |  | 2024 | 2023
Loans and advances to customers | 9,634 | 5,916 |  | 9,634 | 5,916
Interest income and fees and commission income | 475 | 431 |  | 475 | 431
Impairment for loans and advances to customer | 67 | 78 |  | 67 | 78
Deposits | 33,288 | 29,014 |  | 33,288 | 29,014
Interest expense | (2,010) | (709) |  | (2,010) | (709)

The following table shows total remuneration of the members of the Key management personnel according to IAS 24.17. The
expenses according to IAS 24 were recognized on an accrual basis and according to the rules of the underlying standards,
respectively IAS 19.
Key management personnel compensation

In RON thousand | Group |  | Bank
| 2024 | 2023 |  | 2024 | 2023
Short-term employee benefits | 36,546 | 35,637 |  | 36,546 | 35,637
Other long term benefits | 3,264 | 3,743 |  | 3,264 | 3,743
Total compensation | 39,810 | 39,380 |  | 39,810 | 39,380

Short-term employee benefits shown in the above table contain salaries and benefits in kind and other benefits and those parts
of the bonuses which become due for the short term. Furthermore, changes possibly arising from the difference between the
bonus provision and the later awarded bonus are also contained.
Other long-term benefits contain bonus payments, deferred on a period above one year, payable in cash.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

159

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

41. COMMITMENTS AND CONTINGENCIES
Guarantees and letters of credit
The Group issues guarantees and letters of credit for its customers. Guarantees and letters of credit represent irrevocable
assurances that the Group will make payments in the event that a customer cannot meet its obligations to third parties. The
primary purpose of letters of credit is to ensure that funds are available to a customer as required.
Credit related commitments
Loan commitments represent unused amounts of approved credit facilities. Off-balance sheet contractual amounts of loan
commitments, guarantees and letters of credit issued are presented in the following table:

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 |  | 31 December 2024 | 31 December 2023
Loan commitments | 17,239,684 | 15,725,455 |  | 17,467,679 | 15,637,599
Guarantees issued | 4,320,972 | 4,286,170 |  | 4,320,972 | 4,286,170
Letters of credit | 310,104 | 602,485 |  | 310,104 | 602,485
Total | 21,870,760 | 20,614,110 |  | 22,098,755 | 20,526,254

The tables below present the split of credit related commitments on stages and credit quality:
Group
Non-retail financial guarantees given

In RON thousand | 31 December 2024
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Excellent | 2,279 | – | – | – | 2,279
Strong | 616,033 | 3,892 | – | – | 619,925
Good | 2,825,814 | 140,019 | – | – | 2,965,833
Satisfactory | 872,200 | 65,969 | – | – | 938,169
Substandard | – | 459 | – | – | 459
Impaired | – | – | 74,878 | 438 | 75,316
Unrated | 5,284 | – | – | – | 5,284
Total | 4,321,610 | 210,339 | 74,878 | 438 | 4,607,265

Group
Non-retail financial guarantees given

In RON thousand | 31 December 2023
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Excellent | 442 | – | – | – | 442
Strong | 532,536 | 3,839 | – | – | 536,375
Good | 3,379,755 | 87,729 | – | – | 3,467,484
Satisfactory | 619,732 | 96,189 | – | – | 715,921
Substandard | – | 844 | – | – | 844
Impaired | – | – | 68,320 | 438 | 68,758
Unrated | 77,743 | – | – | – | 77,743
Total | 4,610,208 | 188,601 | 68,320 | 438 | 4,867,567

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

160

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Group
Non-retail loan commitments given

In RON thousand | 31 December 2024
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Excellent | 69,225 | 7,315 | – | – | 76,540
Strong | 2,193,023 | 347,849 | – | – | 2,540,872
Good | 7,844,540 | 118,023 | – | – | 7,962,563
Satisfactory | 2,316,429 | 146,478 | – | – | 2,462,907
Substandard | 7 | 2,021 | – | – | 2,028
Impaired | 59 | – | 14,414 | 147 | 14,620
Unrated | 26,568 | 40 | – | – | 26,608
Total | 12,449,851 | 621,726 | 14,414 | 147 | 13,086,138

Group
Non-retail loan commitments given

In RON thousand | 31 December 2023
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Excellent | 8,947 | 2,247 | – | – | 11,194
Strong | 2,394,666 | 463,270 | – | – | 2,857,936
Good | 6,675,362 | 163,107 | – | – | 6,838,469
Satisfactory | 1,927,848 | 171,805 | – | – | 2,099,653
Substandard | 6 | 304 | – | – | 310
Impaired | – | – | 13,324 | 108 | 13,432
Unrated | 4,556 | 422 | – | – | 4,978
Total | 11,011,385 | 801,155 | 13,324 | 108 | 11,825,972

Bank
Non-retail financial guarantees given

In RON thousand | 31 December 2024
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Excellent | 2,279 | – | – | – | 2,279
Strong | 616,033 | 3,892 | – | – | 619,925
Good | 2,825,814 | 140,019 | – | – | 2,965,833
Satisfactory | 872,200 | 65,969 | – | – | 938,169
Substandard | – | 459 | – | – | 459
Impaired | – | – | 74,878 | 438 | 75,316
Unrated | 5,284 | – | – | – | 5,284
Total | 4,321,610 | 210,339 | 74,878 | 438 | 4,607,265

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

161

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Bank |  |  |  |  |
Non-retail financial guarantees given |  |  |  |  |
In RON thousand | 31 December 2023
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Excellent | 442 | – | – | – | 442
Strong | 532,536 | 3,839 | – | – | 536,375
Good | 3,379,755 | 87,729 | – | – | 3,467,484
Satisfactory | 619,732 | 96,189 | – | – | 715,921
Substandard | – | 844 | – | – | 844
Impaired | – | – | 68,320 | 438 | 68,758
Unrated | 77,743 | – | – | – | 77,743
Total | 4,610,208 | 188,601 | 68,320 | 438 | 4,867,567

Bank
Non-retail loan commitments given

In RON thousand | 31 December 2024
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Excellent | 69,225 | 7,315 | – | – | 76,540
Strong | 2,190,385 | 347,849 | – | – | 2,538,234
Good | 8,158,186 | 126,634 | – | – | 8,284,820
Satisfactory | 2,260,110 | 146,478 | – | – | 2,406,588
Substandard | 7 | 2,021 | – | – | 2,028
Impaired | 59 | – | 14,684 | 147 | 14,890
Unrated | 26,568 | 40 | – | – | 26,608
Total | 12,704,540 | 630,337 | 14,684 | 147 | 13,349,708

Bank
Non-retail loan commitments given

In RON thousand | 31 December 2023
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Excellent | 8,947 | 2,247 | – | – | 11,194
Strong | 2,392,361 | 463,270 | – | – | 2,855,631
Good | 6,655,562 | 172,663 | – | – | 6,828,225
Satisfactory | 1,866,034 | 171,618 | – | – | 2,037,652
Substandard | 6 | 304 | – | – | 310
Impaired | – | – | 13,594 | 108 | 13,702
Unrated | 4,556 | 102 | – | – | 4,658
Total | 10,927,466 | 810,204 | 13,594 | 108 | 11,751,372

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

162

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Group
Retail financial guarantees given

In RON thousand | 31 December 2024
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | Total
Minimal Risk | – | – | – | –
Excellent Credit Standing | 9,817 | 368 | – | 10,185
Very Good Credit Standing | 6,526 | – | – | 6,526
Good Credit Standing | 2,874 | 425 | – | 3,299
Sound Credit Standing | 527 | 37 | – | 564
Acceptable Credit Standing | 1,053 | 1,656 | – | 2,709
Marginal Credit Standing | 23 | 11 | – | 34
Weak Credit Standing | – | – | – | –
Very Weak Credit Standing | 124 | 151 | – | 275
Default | – | – | – | –
Not Rated | – | 219 | – | 219
Total | 20,944 | 2,867 | – | 23,811

Group
Retail financial guarantees given

In RON thousand | 31 December 2023
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | Total
Minimal Risk | – | – | – | –
Excellent Credit Standing | 8,512 | 953 | – | 9,465
Very Good Credit Standing | 3,615 | – | – | 3,615
Good Credit Standing | – | – | – | –
Sound Credit Standing | 5,656 | 105 | – | 5,761
Acceptable Credit Standing | 234 | 932 | – | 1,166
Marginal Credit Standing | 199 | 451 | – | 650
Weak Credit Standing | – | – | – | –
Very Weak Credit Standing | – | 315 | – | 315
Default | – | – | – | –
Not Rated | – | 116 | – | 116
Total | 18,216 | 2,872 | – | 21,088

In “Not Rated” category are included retail exposures of segments for which the standard approach method is applied in the
calculation of risk weighted assets. For the standard approach portfolios, no models are available and so the internal rating is not
applicable. For these exposures, general IFRS 9 impairment rules apply, as described in Note 3 (ix) Identification and
measurement of impairment.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

163

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Group
Retail loan commitments given

In RON thousand | 31 December 2024
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Minimal Risk | 504,062 | 435,760 | – | – | 939,822
Excellent Credit Standing | 758,215 | 402,769 | – | – | 1,160,984
Very Good Credit Standing | 1,172,501 | 253,487 | – | – | 1,425,988
Good Credit Standing | 243,035 | 78,037 | – | – | 321,072
Sound Credit Standing | 72,609 | 36,088 | – | – | 108,697
Acceptable Credit Standing | 22,550 | 17,444 | – | – | 39,994
Marginal Credit Standing | 3,740 | 9,082 | – | – | 12,822
Weak Credit Standing | 2,032 | 14,151 | – | – | 16,183
Very Weak Credit Standing | 587 | 525 | – | – | 1,112
Default | 12 | – | 13,586 | 3,970 | 17,568
Not Rated | 88,254 | 21,046 | 4 | – | 109,304
Total | 2,867,597 | 1,268,389 | 13,590 | 3,970 | 4,153,546

Group
Retail loan commitments given

In RON thousand | 31 December 2023
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Minimal Risk | 340,059 | 280,080 | – | – | 620,139
Excellent Credit Standing | 670,147 | 427,968 | – | – | 1,098,115
Very Good Credit Standing | 1,164,075 | 317,039 | – | – | 1,481,114
Good Credit Standing | 166,843 | 66,550 | – | – | 233,393
Sound Credit Standing | 227,488 | 59,846 | – | – | 287,334
Acceptable Credit Standing | 23,378 | 20,739 | – | – | 44,117
Marginal Credit Standing | 8,249 | 9,736 | – | – | 17,985
Weak Credit Standing | 2,556 | 15,447 | – | – | 18,003
Very Weak Credit Standing | 723 | 861 | – | – | 1,584
Default | – | – | 12,454 | 3,720 | 16,174
Not Rated | 61,707 | 19,814 | 4 | – | 81,525
Total | 2,665,225 | 1,218,080 | 12,458 | 3,720 | 3,899,483

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

164

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Bank
Retail Financial guarantees given

In RON thousand | 31 December 2024
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | Total
Minimal Risk | – | – | – | –
Excellent Credit Standing | 9,817 | 368 | – | 10,185
Very Good Credit Standing | 6,526 | – | – | 6,526
Good Credit Standing | 2,874 | 425 | – | 3,299
Sound Credit Standing | 527 | 37 | – | 564
Acceptable Credit Standing | 1,053 | 1,656 | – | 2,709
Marginal Credit Standing | 23 | 11 | – | 34
Weak Credit Standing | – | – | – | –
Very Weak Credit Standing | 124 | 151 | – | 275
Default | – | – | – | –
Not Rated | – | 219 | – | 219
Total | 20,944 | 2,867 | – | 23,811

Bank
Retail Financial guarantees given

In RON thousand | 31 December 2023
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | Total
Minimal Risk | – | – | – | –
Excellent Credit Standing | 8,512 | 953 | – | 9,465
Very Good Credit Standing | 3,615 | – | – | 3,615
Good Credit Standing | – | – | – | –
Sound Credit Standing | 5,656 | 105 | – | 5,761
Acceptable Credit Standing | 234 | 932 | – | 1,166
Marginal Credit Standing | 199 | 451 | – | 650
Weak Credit Standing | – | – | – | –
Very Weak Credit Standing | – | 315 | – | 315
Default | – | – | – | –
Not Rated | – | 116 | – | 116
Total | 18,216 | 2,872 | – | 21,088

In “Not Rated” category are included retail exposures of segments for which the standard approach method is applied in the
calculation of risk weighted assets. For the standard approach portfolios, no models are available and so the internal rating is not
applicable. For these exposures, general IFRS 9 impairment rules apply.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

165

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Bank
Retail Loan commitments given

In RON thousand | 31 December 2024
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Minimal Risk | 504,062 | 435,760 | – | – | 939,822
Excellent Credit Standing | 758,215 | 402,769 | – | – | 1,160,984
Very Good Credit Standing | 1,172,501 | 253,487 | – | – | 1,425,988
Good Credit Standing | 243,035 | 78,037 | – | – | 321,072
Sound Credit Standing | 72,609 | 36,088 | – | – | 108,697
Acceptable Credit Standing | 22,550 | 17,444 | – | – | 39,994
Marginal Credit Standing | 3,740 | 9,082 | – | – | 12,822
Weak Credit Standing | 2,032 | 14,151 | – | – | 16,183
Very Weak Credit Standing | 587 | 525 | – | – | 1,112
Default | 12 | – | 13,316 | 3,970 | 17,298
Not Rated | 57,442 | 16,553 | 4 | – | 73,999
Total | 2,836,785 | 1,263,896 | 13,320 | 3,970 | 4,117,971

Bank
Retail Loan commitments given

In RON thousand | 31 December 2023
Internal rating grade | Stage 1 | Stage 2 | Stage 3 | POCI | Total
Minimal Risk | 340,059 | 280,080 | – | – | 620,139
Excellent Credit Standing | 670,147 | 427,968 | – | – | 1,098,115
Very Good Credit Standing | 1,164,075 | 317,039 | – | – | 1,481,114
Good Credit Standing | 166,843 | 66,550 | – | – | 233,393
Sound Credit Standing | 227,488 | 59,846 | – | – | 287,334
Acceptable Credit Standing | 23,378 | 20,739 | – | – | 44,117
Marginal Credit Standing | 8,249 | 9,736 | – | – | 17,985
Weak Credit Standing | 2,556 | 15,447 | – | – | 18,003
Very Weak Credit Standing | 723 | 861 | – | – | 1,584
Default | – | – | 12,184 | 3,720 | 15,904
Not Rated | 48,872 | 19,663 | 4 | – | 68,539
Total | 2,652,390 | 1,217,929 | 12,188 | 3,720 | 3,886,227

In “Not Rated” category are included retail exposures of segments for which the standard approach method is applied in the
calculation of risk weighted assets. For the standard approach portfolios, no models are available and so the internal rating is not
applicable. For these exposures, general IFRS 9 impairment rules apply.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

166

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

42. CAPITAL
The capital management of the Group is defined through the capital strategy approved by the Management Board and is reviewed at least once every year.
The primary objective of the Group's capital management is to ensure an adequate level of capital which meets not only the regulatory requirements, but also the limits set in the capital strategy.
The Management Board of the Group actively manages the capital structure and seeks to maintain at all times a higher level of capital than the regulatory one in order to ensure a comfortable
position in achieving the Group's business objectives. No major changes have been made to the objectives and policies regarding capital management compared to the previous year.
As a result of the implementation of the new CRR3 requirements, the Bank estimates a decrease in risk-weighted assets (both for credit and operational risk) which will bring an improvement in
capital ratios.
Regulation (EU) No. 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and investment firms and amending Regulation (EU)
No.648/2012 requires that the Group maintain a minimum Common Equity Tier 1 capital ratio of 4.5 %, a minimum Tier 1 capital ratio of 6% and a minimum total capital ratio of 8%.
According to supervisory review, Group was requested through an official notification to hold additional capital to cover risks which are not or not adequately taken into account under pillar I. The
Group is also subject to Conservation and other systemically important institutions buffer. The Group is compliant with all of the above requirements.

| Group |  | Bank
In RON thousand | 31 December 2024 | 31 December 2023 | 31 December 2023 |  | 31 December 2024 | 31 December 2023 | 31 December 2023
| Before Profit Incorporation | Before Profit Incorporation | After Profit Incorporation |  | Before Profit Incorporation | Before Profit Incorporation | After Profit Incorporation
Tier 1 Capital, of which: | 7,022,727 | 6,233,199 | 6,435,027 |  | 6,865,262 | 6,057,276 | 6,277,827
Common Equity Tier 1 (CET 1) Capital | 6,413,429 | 5,623,901 | 5,825,729 |  | 6,255,964 | 5,447,978 | 5,668,529
Additional Tier 1 Capital | 609,298 | 609,298 | 609,298 |  | 609,298 | 609,298 | 609,298
Tier 2 Capital | 822,309 | 854,012 | 854,012 |  | 812,080 | 843,385 | 843,385
Total capital | 7,845,036 | 7,087,211 | 7,289,039 |  | 7,677,342 | 6,900,661 | 7,121,212
Risk weighted assets | 36,585,245 | 33,600,206 | 33,600,206 |  | 35,220,384 | 32,263,820 | 32,261,372
Common Equity Tier 1 Capital ratio | 17.53% | 16.74% | 17.34% |  | 17.76% | 16.89% | 17.57%
Tier 1 Capital ratio | 19.20% | 18.55% | 19.15% |  | 19.49% | 18.77% | 19.46%
Total Capital ratio | 21.44% | 21.09% | 21.69% |  | 21.80% | 21.39% | 22.07%

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

167

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Regulatory capital consists of Tier 1 and Tier 2 layers of capital. Tier 1 is made of share capital, premium reserves, retained earnings (excluding current year profit) and deductions according to
legislation in force. Tier 2 capital includes subordinated long term debt and deductions according to legislation in force.
As of December 31, 2024, the Group has Additional Tier 1 Notes in amount of RON 609,298 thousand (RON 609,298 thousand as of December 31, 2023) that were purchased by Raiffeisen Bank
International AG. The instruments are classified as equity instruments in accordance to IAS 32 "Financial Instruments: Presentation" and meet the criteria for inclusion in Group Tier 1 capital (see note
38 Other equity instruments).
All subordinated loans qualify as Tier 2 instruments as defined by Regulation (EU) No. 575/2013 and more detailed information about this instruments can be found in note 34 Total long term debt.
43. SEGMENTS CONSOLIDATION
Directors’ decisions regarding the resources allocated to each segment are based on its financial strength and profitability.
The Group follows financial performance and steers the business by segments and products, namely customer business consists of Corporate, Retail, Financial Institutions and Own employees.
Corporate comprises legal entities with an annual turnover exceeding EUR 6.7 million. Retail contains individual clients and legal entities with an annual turnover below the EUR 6.7 million threshold
(small and medium entities), while Financial Institutions (part of Treasury Division) deals with brokers, banks, insurance companies, leasing firms, investment and pension funds, as well as asset
management companies.
The Group offers a wide array of banking services to its customers, adapted to the ever changing needs of our clients, but with maintained focus on the basics of banking.
Customer business lines bring in more than 85% of the Group's operating income, with following specifics worth mentioning: corporate clients chiefly draw their revenue streams from lending
business, followed by fees from cash management, account services, foreign currency deals and investment banking activity.
Small clients also share these characteristics, while their unique business traits are visible through more intense payment and account activity, thus generating visibly greater proportion of the
revenues as fees.
Private individual customers provide a highly diversified revenue source for the Group, mainly from unsecured loans, credit card and overdraft facilities, but also from mortgage loans, saving
products and transactional business, FX deals and asset management services, as well as from the activity of intermediating transactions on the stock exchange; the Group continues to focus its
attention on promoting alternative channels usage and thus provide improved services with advantages for both sides.
Proprietary business consists of Treasury Division (less Financial Institutions) and "Others" segment (less Own employees). The first mainly provides income streams from treasury activities, namely
trading revenues, net income from financial assets held at fair value through profit or loss, as well as from interest contribution. The latter shows revenues mainly obtained as a result of transfers
among segments, capital benefit, income generated by participations.
Regarding the segmentation by geographical area, the Group is performing its activity mainly under geographical area of Romania.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

168

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Group | 2024
In RON thousand | Corporate Customers | Private Individuals | SME | Treasury Division | Others | Total unit
Total assets before impairment allowance on loans and advances to customers at amortised cost | 20,661,827 | 19,508,459 | 4,461,902 | 35,100,850 | 4,369,821 | 84,102,859
Impairment allowance on loans and advances to customers at amortised cost | (330,641) | (718,260) | (158,998) | (1,425) | (15,500) | (1,224,824)
Total assets | 20,331,186 | 18,790,199 | 4,302,904 | 35,099,425 | 4,354,321 | 82,878,035
Total liabilities | 14,895,148 | 37,734,225 | 9,277,028 | 5,479,184 | 7,042,407 | 74,427,992
Equity | – | – | – | – | 8,450,043 | 8,450,043
Net interest income | 598,500 | 1,255,198 | 403,606 | 314,364 | 478,312 | 3,049,980
Net fee and commission income | 126,825 | 327,771 | 176,718 | 36,902 | 4,127 | 672,343
Net trading income | 75,002 | 190,456 | 82,983 | 69,821 | (54,550) | 363,712
Gains or (-) losses on non-trading financial assets mandatorily at fair value through profit or loss, net | (360) | (13,745) | (2,302) | 1,047 | 359 | (15,001)
Gains or (-) losses from hedge accounting, net | – | – | – | 613 | – | 613
Net gains/(losses) on derecognition of financial assets measured at fair value through other comprehensive income | – | – | – | (33,540) | – | (33,540)
Other operating income* | (12,208) | (10,629) | 983 | 30,107 | 54,295 | 62,548
Operating income | 787,759 | 1,749,051 | 661,988 | 419,314 | 482,543 | 4,100,655
Operating expenses | (121,660) | (575,227) | (193,935) | (26,897) | (182,183) | (1,099,902)
Personnel expenses | (124,366) | (529,661) | (219,684) | (31,708) | (19,587) | (925,006)
Impairment (losses)/reversals | 25,116 | (25,410) | (21,101) | (4,418) | 830 | (24,983)
Share of gain from associates and joint ventures | – | – | – | – | 7,317 | 7,317
Profit before income tax | 566,849 | 618,753 | 227,268 | 356,291 | 288,920 | 2,058,081
Income tax expense | – | – | – | – | (372,036) | (372,036)
Net profit for the year | 566,849 | 618,753 | 227,268 | 356,291 | (83,116) | 1,686,045

*) Other operating income for the segments mainly contain the re-distribution of the cost of capital from Treasury to the other segments, relative to the regulatory assets held by Treasury, like
Stress buffer and Minimum reserve.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

169

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Group | 2023
In RON thousand | Corporate Customers | Private Individuals | SME | Treasury Division | Others | Total unit
Total assets before impairment allowance on loans and advances to customers at amortised cost | 18,687,957 | 18,435,527 | 4,195,327 | 26,883,251 | 3,803,193 | 72,005,255
Impairment allowance on loans and advances to customers at amortised cost | (345,816) | (730,063) | (144,503) | (877) | (6,149) | (1,227,408)
Total assets | 18,342,141 | 17,705,464 | 4,050,824 | 26,882,374 | 3,797,044 | 70,777,847
Total liabilities | 10,759,117 | 33,145,182 | 8,780,955 | 4,097,609 | 6,366,807 | 63,149,670
Equity | – | – | – | – | 7,628,177 | 7,628,177
Net interest income | 570,617 | 1,100,964 | 350,488 | 450,699 | 348,161 | 2,820,929
Net fee and commission income | 108,267 | 261,463 | 170,373 | 58,060 | 4,087 | 602,250
Net trading income | 68,739 | 185,819 | 85,648 | 36,522 | 822 | 377,550
Gains or (-) losses on non-trading financial assets mandatorily at fair value through profit or loss, net | 171 | 9,565 | 835 | 1,295 | 1,108 | 12,974
Gains or (-) losses from hedge accounting, net | – | – | – | 1,877 | – | 1,877
Net gains/(losses) on derecognition of financial assets measured at fair value through other comprehensive income | – | – | – | – | 576 | 576
Other operating income* | (34,781) | (35,292) | (4,863) | 79,007 | 60,469 | 64,540
Operating income | 713,013 | 1,522,519 | 602,481 | 627,460 | 415,223 | 3,880,696
Operating expenses | (127,382) | (505,585) | (192,540) | (27,193) | (127,881) | (980,581)
Personnel expenses | (103,044) | (482,142) | (214,621) | (26,592) | (20,474) | (846,873)
Impairment (losses)/reversals | 9,641 | (115) | 15,169 | (3,559) | 8,783 | 29,919
Share of gain from associates and joint ventures | – | – | – | – | 1,166 | 1,166
Profit before income tax | 492,228 | 534,677 | 210,489 | 570,116 | 276,817 | 2,084,327
Income tax expense | – | – | – | – | (383,560) | (383,560)
Net profit for the year | 492,228 | 534,677 | 210,489 | 570,116 | (106,743) | 1,700,767

*) Other operating income for the segments mainly contain the re-distribution of the cost of capital from Treasury to the other segments, relative to the regulatory assets held by Treasury, like
Stress buffer and Minimum reserve.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

170

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Bank | 2024
In RON thousand | Corporate Customers | Private Individuals | SME | Treasury Division | Others | Total unit
Total assets before impairment allowance on loans and advances to customers at amortised cost | 20,989,917 | 19,502,051 | 3,620,134 | 34,977,298 | 4,228,885 | 83,318,285
Impairment allowance on loans and advances to customers at amortised cost | (330,641) | (718,232) | (133,157) | (1,425) | (3,809) | (1,187,264)
Total assets | 20,659,276 | 18,783,819 | 3,486,977 | 34,975,873 | 4,225,076 | 82,131,021
Total liabilities | 15,764,478 | 37,722,240 | 9,267,620 | 4,088,573 | 7,013,118 | 73,856,029
Equity | – | – | – | – | 8,274,992 | 8,274,992
Net interest income | 583,403 | 1,254,939 | 385,057 | 307,618 | 468,197 | 2,999,214
Net fee and commission income | 114,916 | 303,484 | 166,490 | 48,299 | 4,351 | 637,540
Net trading income | 75,002 | 190,456 | 82,983 | 66,713 | (54,566) | 360,588
Gains or (-) losses on non-trading financial assets mandatorily at fair value through profit or loss, net | (360) | (13,745) | (2,302) | – | 360 | (16,047)
Gains or (-) losses from hedge accounting, net | – | – | – | 613 | – | 613
Net gains/(losses) on derecognition of financial assets measured at fair value through other comprehensive income | – | – | – | (33,540) | – | (33,540)
Other operating income* | (12,020) | (13,922) | (3,985) | 30,107 | 70,103 | 70,283
Operating income | 760,941 | 1,721,212 | 628,243 | 419,810 | 488,445 | 4,018,651
Operating expenses | (116,557) | (569,769) | (186,615) | (26,718) | (178,504) | (1,078,163)
Personnel expenses | (113,131) | (523,127) | (205,431) | (31,581) | (13,844) | (887,114)
Impairment (losses)/reversals | 23,439 | (25,505) | (12,073) | (4,418) | 745 | (17,812)
Profit before income tax | 554,692 | 602,811 | 224,124 | 357,093 | 296,842 | 2,035,562
Income tax expense | – | – | – | – | (365,184) | (365,184)
Net profit for the year | 554,692 | 602,811 | 224,124 | 357,093 | (68,342) | 1,670,378

*) Other operating income for the segments mainly contain the re-distribution of the cost of capital from Treasury to the other segments, relative to the regulatory assets held by Treasury, like
Stress buffer and Minimum reserve.

TRANSLATOR’S EXPLANATORY NOTE: The above translation of the consolidated and separate financial statements is provided as a free translation from Romanian which is the official and binding version.

171

RAIFFEISEN BANK S.A. |
Notes to the consolidated and separate financial statements
for the year ended
31 December 2024

Bank | 2023
In RON thousand | Corporate Customers | Private Individuals | SME | Treasury Division | Others | Total unit
Total assets before impairment allowance on loans and advances to customers at amortised cost | 18,943,219 | 18,427,913 | 3,532,343 | 26,738,754 | 3,705,866 | 71,348,095
Impairment allowance on loans and advances to customers at amortised cost | (330,210) | (730,015) | (122,905) | (877) | (6,430) | (1,190,437)
Total assets | 18,613,009 | 17,697,898 | 3,409,438 | 26,737,877 | 3,699,436 | 70,157,658
Total liabilities | 10,746,198 | 33,133,222 | 8,776,466 | 2,861,824 | 7,171,179 | 62,688,889
Equity | – | – | – | – | 7,468,769 | 7,468,769
Net interest income | 559,028 | 1,100,676 | 333,327 | 446,098 | 339,183 | 2,778,312
Net fee and commission income | 104,686 | 239,662 | 160,879 | 58,235 | 4,311 | 567,773
Net trading income | 68,739 | 185,819 | 85,648 | 37,657 | 827 | 378,690
Gains or (-) losses on non-trading financial assets mandatorily at fair value through profit or loss, net | 171 | 9,565 | 835 | – | 1,108 | 11,679
Gains or (-) losses from hedge accounting, net | – | – | – | 1,877 | – | 1,877
Net gains/(losses) on derecognition of financial assets measured at fair value through other comprehensive income | – | – | – | – | – | –
Other operating income* | (35,301) | (34,700) | (8,499) | 79,007 | 91,129 | 91,636
Operating income | 697,323 | 1,501,022 | 572,190 | 622,874 | 436,558 | 3,829,967
Operating expenses | (123,669) | (498,773) | (185,514) | (26,960) | (119,698) | (954,614)
Personnel expenses | (96,093) | (473,828) | (201,498) | (26,427) | (15,594) | (813,440)
Impairment (losses)/reversals | 10,518 | (261) | 19,567 | (3,559) | 8,680 | 34,945
Profit before income tax | 488,079 | 528,160 | 204,745 | 565,928 | 309,946 | 2,096,858
Income tax expense | – | – | – | – | (377,368) | (377,368)
Net profit for the year | 488,079 | 528,160 | 204,745 | 565,928 | (67,422) | 1,719,490

*) Other operating income for the segments mainly contain the re-distribution of the cost of capital from Treasury to the other segments, relative to the regulatory assets held by Treasury, like
Stress buffer and Minimum reserve.