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FGB Investor Presentation

September 2015

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Disclaimer

This presentation provides information in summary form only and is not intended to be complete. It is not intended to be relied upon as

advice to investors or potential investors and does not take into account the investment objectives, financial situation or needs of any

particular investor.

No presentation ,express or implied, is made as to the fairness accuracy, completeness or correctness of information contained in this

presentation, including the accuracy, likelihood of achievement or reasonableness of any forecasts, prospects, synergies, returns,

benefits or statements in relation to future matters contained in the presentation.

The forward-looking statements are by their nature subject to significant uncertainties and contingencies and are based on numbers or

estimates or assumptions that are subject to change (and in many cases are outside the control of FGB and its directors) which may

cause the actual results or performance of FGB to be materially different from any future results or performance expressed or implied

by such forward looking statements.

To the maximum extent permitted by law, FGB disclaims any responsibility for the accuracy or completeness of any information

contained in this presentation including any forward-looking statements and disclaims any responsibility to update or revise any

information or forward-looking statement to reflect any change in FGB’s financial condition, status or affairs or any change in the

events, conditions or circumstances on which a statement is based.

To the maximum extent permitted by law, neither FGB nor its related bodies corporate, directors, employees or agents, nor any other

person, accepts any liability, including, without limitation, any liability arising from fault or negligence, for any direct, indirect or

consequential loss arising from the use of this presentation or its contents or otherwise arising in connection with it.

Please note that rounding differences may appear throughout this presentation.

This presentation should be read in conjunction with other publicity available material. Further information including historical results

and a description of the activities of FGB is available on our website, www.fgb.ae

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Contents

OperatingEnvironment FGB Profile Capital Liquidity &

Funding

Asset Mix &Asset

QualityAppendix

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-4

-2

0

2

4

6

8

10

12

2010 2011 2012 2013 2014e 2015e 2016f

%

UAE Economic OverviewREAL GDP GROWTH (YOY % CHANGE)SOLID FUNDAMENTALS

UAE GDP BREAKDOWN BY SECTOR³ FISCAL BALANCE (AS % GDP)Source: IMF

OperatingEnvironment FGB Profile Capital Liquidity & Funding Asset Mix &

Asset Quality Appendix

Agriculture1%

Mining &Quarrying

35%

Manufacturing

9%Electricity,Gas, Water

2%Construction

9%

Trade,Restaurant &

Hotels14%

Transport9%

Real Estate &BusinessServices

10%

Finance8%

GovernmentServices

1%

Other2%

UAE federation was established in 1971 and comprises of sevenEmirates

Politically stable country and highly favorable business climate

Second largest economy in the GCC; Total population of 9.3Million

7th largest oil reserves in the world (97.8 Bn boe¹)

FY15e nominal GDP estimated at USD 364Bn

2015e and 2016f Real GDP growth both seen at 3.2%², down from3.6% in 2014, due to lower oil prices

According to the IMF, UAE fiscal deficit would reach 3.0% of GDPin 2015e

Source: IMF statistic as of April 2015¹Bp report June 2015²IMF statistic as of April 2015³UAE National Bureau of Statistics, 2014 GDP

-1

1

3

5

7

2010 2011 2012 2013 2014e 2015e 2016f

%Real GDP Growth Oil Real GDP GrowthNon-Oil Real GDP Growth

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Abu Dhabi Economic Overview

Sharjah

ABU DHABI

Dubai Ajman

Umm al-Quwayn

Ras al-Khaymah

Fujairah

ABU DHABI AT A GLANCE

1 Source: Moody’s Credit Analysis Report on Government of Abu Dhabi published on 26 January 20152 Source: Statistics Center Abu Dhabi (SCAD) 2015, preliminary estimates



Largest Emirate in the UAE accounting for more than 80%of the country’s total land area

Abu Dhabi Nominal GDP estimated at USD 261.6Bn inFY14e1, that’s 65% of UAE overall nominal GDP

51% of 2014e² GDP generated from the hydrocarbon sector

Major non-oil GDP contributors include: construction andreal estate, manufacturing, logistics, and wholesale andretail trade

Transition underway towards a more diversified economywith a particular focus on the infrastructure and servicessectors inline with Abu Dhabi Plan 2030

Economic Structureand Performance 2013 2014e 2015f

Nominal GDP (USD Bn) 259.6 261.6 213.3

Nominal GDP (% change) 4.8 0.8 -18.4

Real GDP (% change) 5.2 4.1 2.5

Inflation Rate (CPI, % change) 1.3 3.0 3.2

Crude Oil Export Price (avg USD/b) 108.8 100.7 55.0

ABU DHABI – KEY STATISTICS¹

Mining andQuarrying

51%

Construction10%

Financial andInsurance

7%

Real estate5%

Publicadministration

and defense6%

ManufacturingIndustries

5%

Transportand Storage

4%

WholesaleRetail Trade

and RepairingServices

4%

Others8%

ABU DHABI – GDP BREAKDOWN BY SECTOR 2014²

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GCC Country SWF Assets/General Gvt Expenditure (Years)Kuwait 7.6UAE 5.1Qatar 4.7Saudi Arabia 2.7Oman 1.7Bahrain 1.2

UAE and the oil price shock

SIZEABLE ASSET BUFFERS TO WITHSTAND OIL PRICE DROP

OIL PRICE/ UAE NOMINAL GDP 1990-2015EEIBOR/ LIBOR SPREAD

1UAE Purchasing Manager Index is a composite indicator designed to provide an overall view of activity in the UAE’s non-oil private sector economy.The indicator is derived from individual diffusion indices which measure changes in output, new orders, employment, suppliers’ delivery and stocks of goods purchased.

Source: “Resilience to Lower Oil Prices Varies; Bahrain and Oman most exposed”, Moody’s Dec’14

Source: Bloomberg Source: IMF

UAE PMI1 ABOVE THE 50-MARK

Source: Markit/HSBC



55.8

40

45

50

55

60

65

Jul-14 Aug-14 Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15

0.6

0.65

0.7

0.75

0.8

0.85

0.2

0.25

0.3

0.35

0.4

31-Dec-14 28-Feb-15 30-Apr-15 30-Jun-15

3M LIBOR

3M EIBOR

3M LIBOR % 3M EIBOR %

050100150200250300350400450

-

20

40

60

80

100

120

1990 1995 2000 2005 2010 2015e

USD

Bn

USD/

bl

Crude Oil Price(USD)UAE NominalGDP (USD Bn)

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Figures in USD Bn Jun’15 YTDChange

YoYChange

Total Assets, net 633 5.2% 9.1%

Loans and Advances, net 368 5.3% 10.5%

Customer Deposits 393 1.6% 3.1%

LDR 94% 4.0% 7.0%

CAR 18.3% - -

Tier 1 capital 16.5% - -

UAE Banking Sector Landscape

OUTLOOK KEY INDICATORS1

1 Source: UAE Central Bank

SYSTEM LOAN-TO-DEPOSIT RATIOSYSTEM DEPOSIT SURPLUS AT USD 25BN AS OF JUN’15

2 1 4

-5

0

-19

-10

5

0

19

27

38

25

-30

-20

-10

0

10

20

30

40

50

Dec'03 Dec'04 Dec'05 Dec'06 Dec'07 Dec'08 Dec'09 Dec'10 Dec'11 Dec'12 Dec'13 Dec'14 Jun'15

USD

Bn



108%

94%

80%

85%

90%

95%

100%

105%

110%

Dec'03Dec'04Dec'05Dec'06Dec'07Dec'08Dec'09Dec'10Dec'11Dec'12Dec'13Dec'14Jun'15

UAE Banking sector comprises 51 banks (23 local, 28 foreign)

Strong track record of systemic support as evident through themeasures taken at the onset of the financial crisis

As of Jun’15, system loan book grew 5% YTD (+USD 18.6Bn) whilecustomer deposits added 2% YTD (+USD 6.3Bn); this implied asystem L/D ratio of 94%, translating to a system-wide net depositsurplus of USD 25Bn

At the end of May, the UAE Central Bank released a liquiditycircular introducing a pathway for UAE banks to migrate to aBasel III Liquidity Coverage Ratio (LCR) regulatory environment.The Basel III glide path was set at 60% for the current year.

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FGB Summary Profile

Leading UAE franchise; #1 UAE bank by net profit in FY’14 for the secondconsecutive year and #3 by total assets; 11% and 10% market shares in loansand deposits respectively.

Superior fundamentals in terms of growth, NIMs, cost efficiency, asset qualityand profitability

Strong Credit Ratings: A2 by Moody's and A+ by Fitch

Comfortable liquidity position and access to multiple funding channels

Strong risk management culture and stable management team

Business model re-aligned to drive sustainable value creation

Robust capital position: Basel II total CAR at 18.7% and Tier 1 capital ratio at17.5% as of Jun’15



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Aseel Finance to provide innovativeIslamic products to a broad base ofcustomers and businesses

Dubai First to provide specialistcredit card propositions to theexpanding UAE customer base

Enhance fee income throughcomprehensive propertymanagement of residential andcommercial real estate assetsacross the UAE

Geographic diversification throughexpansion of existing operationsand penetration in key markets

Focus on trade and financial flowsthrough the UAE into targetinternational locations

Sourcing and distribution of tradeand financing opportunities acrossthe FGB network

Build deeper client relationships,providing solutions and highquality service

Continue to target largecreditworthy UAE-based customers

Develop and strengthen acustomer-centric approachemphasizing on bespoke servicequality and product range

Three-Pillar Strategy

ORGANIC GROWTH OFCORE BANKING ACTIVITIES

SELECTIVE REGIONAL ANDINTERNATIONAL EXPANSION

SYNERGIES WITHSUBSIDIARIES AND ASSOCIATES

1 2 3

Our Mission:To Be the “First Choice” for customers

Our Vision:To Be Recognised as a World-Class Organization Maximizing Value For All Stakeholders



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Business Segments

Original core business of theBank

Customer base includes largecorporate & multi-nationalclients and financialinstitutions

Services include debt markets(advisory, bilateral, &syndicated loans, DCM, projectand structured finance),transaction banking (cash,trade, liabilities), CorporateFinance, and Islamic Finance(bilateral trading, tradefinance) supported by treasurysales (hedging, FX, rates,commodities)

Organized geographicallyacross UAE and internationallocations (Singapore, Libya,Hong-Kong, Qatar, India, UKand South Korea)

Core Banking Revenue Drivers

Focus on key customersegments: Emirati, Mass, SME,Wealth

Leverage product innovation,analytics, and alliances tocreate differentiation

Investing for the future andenhancing customerexperience throughtechnology and processimprovements

Positioning as Bank of Choicefor UAE Nationals

Manage National Housing Loanprogram for Abu Dhabigovernment

Manages FGB’s wholesalefunding activities and liquidity,interest rate and foreignexchange risk, and proprietaryinvestment portfolio

Provides bespoke riskmanagement solutions to theBank’s clients across FX,Interest Rate, Credit andCommodity asset classes

Also provides client investmentsolutions via structuredproducts, asset management,equity brokerage and margintrading

Strong growth opportunitiesproviding an access point tothe global markets byleveraging on strongcorrespondent bankingrelationships

Subsidiaries: First Gulf LibyanBank, First Gulf Properties,Aseel Finance, Dubai First,Mismak Properties, FirstMerchant International,Radman Properties, FGIT

Associate companies*: GreenEmirates Properties

Head Office support units:Audit, Financial Control, HR,Operations, Strategy andPlanning, PMO, Admin, Legal,Risk Management, CorporateCommunications

WHOLESALE BANKING CONSUMER BANKINGTREASURY &

GLOBAL MARKETS SUBSIDIARIES & OTHER

Incremental RevenueStreams

Note: % of Assets as of June-end 2015. % of H1’15 Revenue*In October 2014, the Bank entered into a sale and purchase agreement in respect of its investment in First Gulf Financial Services (FGFS)to a third party for a total consideration of USD 10.4Mn. The sale was effective in Q1 2015 generating a gain on sale of associate of USD 4Mn.

44% 36%

% of Assets % of Revenue

24% 38%


22% 14%


10% 12%% of Assets % of Revenue



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Key Achievements

NET INTEREST MARGIN (%) NPL RATIO (%) PROVISION COVERAGE (%)

COST TO INCOME RATIO (%) ROAE (%) ROAA (%)

3.83.7 3.7 3.6

3.4

2011 2012 2013 2014 H1'15

3.4 3.3 3.3

2.5 2.6

2011 2012 2013 2014 H1'15

98.496.1

91.1

126.7

116.6

2011 2012 2013 2014 H1'15

18.9 19.621.0

23.1 24.1

2011 2012 2013 2014 H1'15

14.6 14.8

15.8

17.3 17.1

2011 2012 2013 2014 H1'15

2.5 2.52.6

2.82.7

2011 2012 2013 2014 H1'15



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14

1,540

0 800 1600

'00

'01

'02

'03

'04

'05

'06

'07

'08

'09

'10

'11

'12

'13

'14

0.7

57.8

0 30 60

'00

'01

'02

'03

'04

'05

'06

'07

'08

'09

'10

'11

'12

'13

'14

An impressive journey of consistent growth and valuecreation over the past 15 years

Total Assets (in USD Bn) Market Cap (in USD Bn)Net Profit (in USD Mn)

x113 x88 x124

Source: FGB, Bloomberg



0.15

18.9

0 10 20

'00

'01

'02

'03

'04

'05

'06

'07

'08

'09

'10

'11

'12

'13

'14

30 Jun'15

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Ranking

Profitability& Efficiency

Return on Average Equity* % 17.1 14.4 14.0 19.0 #2

Return on Average Assets* % 2.7 1.5 1.8 2.4 #1

Cost to Income % 24.1 37.5 29.3 32.4 #1

Net Interest Margin % 3.4 2.0 2.8 3.5 #2

Earnings Per Share* USD 0.35 0.30 0.30 0.27 #1

Asset QualityNPL ratio % 2.6 2.6 7.4 3.0 #1

Provision Coverage % 116.6 112.0 109.8 138.6 #2

Liquidity

Net Loans to Total Assets % 68.0 55.5 66.0 68.7 #2

Loans to Deposits % 106.1 94.7 93.3 110.7 #3

Liquid Asset Ratio % 12.3 21.5 23.8 14.9 #4

SolvencyTier 1 Capital % 17.5 15.4 18.0 16.1 #2

Capital Adequacy % 18.7 16.6 21.0 19.8 #3

FGB vs. large domestic peers – H1’15

*Annualized



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FY15 Financial Guidance

Oldas initially provided in Nov’14

Newas revised post H1’15 results

LOAN BOOK GROWTH High Single-Digit 10-12%

REVENUE GROWTH Double-Digit Mid-single digit

NIMS 25bps – 35bps decrease 25bps – 35bps decrease

EXPENSES C/I Ratio: 23%-24% C/I Ratio: 23%-24%

ASSET QUALITY CoR ~ 100bps CoR: 80-90bps

NET PROFIT GROWTH Low Double-Digit 8-10%

ROAE* 18% ~18%

TIER 1 CAPITAL* 15%-16% 15%-16%

*Including perpetual notes



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Capital Strength (Basel II)CAPITAL ADEQUACY RATIO (%)

RISK WEIGHED ASSETS (USD BN)CAPITAL BASE (USD BN)

HIGHLIGHTS



47.3 48.0

50.0 50.4 50.7

Jun'14 Sep'14 Dec'14 Mar'15 Jun'15

9.0

9.4

8.7

9.1

9.5

8.4

8.7

8.18.5

8.8


Total Capital Tier 1 Capital

18.919.5

17.518.0

18.7

17.7

18.2

16.216.8

17.5


BASEL II CAR Tier 1 Capital• Basel II total CAR and Tier 1 capital ratios remained

robust at 18.7% and 17.5% respectively as of June-end ‘15

• RWA grew by 7% YoY reflecting the growing balance

sheet

• FGB’s medium term Tier 1 capital floor under Basel II

remains at 14%

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Regulatory Environment

OTHER REGULATION FGB

GENERALPROVISIONS

GP at 1.5% of CRWA • GP exceed 1.5% of CRWA as of Jun’15

CREDITBUREAU

Al Etihad Credit Bureau (AECB) is expected to beoperational in 2015

• FGB fully supports market-wide utilisation of AECB• No significant business impact at this stage



BASEL III GUIDELINES FGB

LIQUIDITYShort-term resilience of the liquidity risk profile- sufficient HQLA to survive a significant stressscenario lasting 30 calendar days (LCR)

• FGB Group LCR as of June-end 2015 stood at 66.8%,above the current year minimum requirement of 60%

FUNDING

Structural ratio aiming to ensure banks havesufficient long term funding to meet fundingof long term assets & a portion of contingentliability drawdowns during market wide stress(NSFR) i.e. Available Stable Funding to be >Required Stable Funding (w.e.f. 2018)

• Internally manages with 35% of term assets funded byterm liabilities of the respective tenor; major initiativesunderway for moving towards NSFR prior to the Baselimplementation date of 2018.

CAPITALUAE CB expected to release Basel III guidelinesin the course of 2015

• Basel II Total CAR and Tier 1 ratio of 18.7% and 17.5%respectively as of June-end 2015

• FGB’s ability to comply with Basel III requirements doesnot raise any concerns given its comfortable liquidityand capital positions

LEVERAGERATIO

Minimum Basel III Leverage Ratio of 3% • FGB highly comfortable as of Jun’15

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Asset / Liability Mix

Jun’15 Balance Sheet size of USD 59.7Bn

JUN’15 ASSET MIX JUN’15 FUNDING MIX



Liquid Assets12%

Loans &Advances

68%

Investments11%

Inv.Properties

4%

Other5%

Customerdeposits

64%

Due to Banks10%

Borrowings,EMTN, Sukuk

7%

Other4% Equity

15%

18/48

37.4

39.438.5 38.9 38.2


LiquidityCUSTOMER DEPOSITS TREND (USD BN)

DEPOSITS BY SECTORLIQUIDITY RATIOS (%)

HIGHLIGHTS

+2%



93.2 91.8

98.9 99.9

106.1

80.779.1

83.5 85.587.5


L/D ratio Regulatory Advances-to-Deposits Ratio

Government& PublicSector

33%

NHL Deposit13%

Corporate39%

Retail13%

InternationalDivision

2%

• Customer deposits increased by 2% YoY and declined by 2% QoQ as of

June-end ‘15, mainly due to volatility in fixed deposits

• Deposits breakdown by sector remained quasi-intact with Government &

Public Sector deposits representing 33% of the total

• CASA deposits represent 19% of Jun’15 deposit base

• L/D ratio tightened to 106.1% in Q2’15 yet regulatory Advances to

Deposits ratio at 87.5% remained well below the regulatory ceiling.

• In light of the latest UAE CB liquidity circular, FGB is comfortably above the

Basel III glide path of 60% with a Group LCR of 66.8%.

Banks39%

FundManagers

23%

Insurance12%

PrivateBanks14%

CentralBanks/Govt

6%

HedgeFunds

5%

Other1%

-300

200

700

1,200

2016 2017 2018 2019 2020 2022 2023 2025

PP Public Swiss LoansPublic US$ Sukuk Public US$ Conv. Public A$Tokyo Pro-Bond Formosa Club Loan

USD Mn

Club

Loan

Recent Notable Public Trades

Wholesale Funding Maturity Profile (USD 4.4Bn)

Investor base by type and geography overprevious 24 months Issuances

Funding Diversification

Middle East32%

Europe32%

UK10%

Asia16%

Japan6%

Australia4%

In H1’15 FGB raised USD 1.1Bn of term funding against an annual target of USD1.5-2Bn.FGB successfully established a USD 3Bn ECP programme in June.



5yr A$250MnKangaroo

5yr ¥10BnPro-Bond

5yr US$750MnReg S

3yr CNH400MnFormosa

Mar’14

Jun’14

Feb’15

Jan’15 Apr’15

May’15

Sep’15

7yr CHF200MnSwiss

3yr US$1BnSyndicated loan

US$900Mnloan repayment

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34.9 36.1 38.0 38.9 40.5


Asset Mix and Lending ActivityLOAN BOOK TREND (USD BN)

LOAN BOOK BREAKDOWN BY SECTORASSET MIX

HIGHLIGHTS

+16%



Agriculture1% Construction

4%Energy

1%

Financial Services9% Government

0%Manufacturing

4%Personal-Others

3%Public Sector9% Real estate

8%

Retail Loans &Cards23%

Retail Mortgages2%

Retail NHLMortgages

12%

Securities/ShareFinancing

0%

Services17%

Trading5%

Transportation2%

JUN’14 JUN’15

Liquid Assets12%

Loans &Advances

68%

Investments11%

Inv. Properties4%

Other5%Liquid Assets

18%

Loans &Advances

65%

Investments9%

Inv. Properties4%

Other4%

• During H1’15, loans and advances grew by 16% YoY and 4% QoQ (+USD1.7Bn) driven by continued strength across both wholesale and consumersegments

• In light of the robust loan growth in H1’15, we revise our FY15 guidancefrom high single-digit growth to a range of 10-12%

• FGB’s loan portfolio is very well diversified across economic sectors with amix of 60% wholesale/ 40% consumer

• Liquid assets represent 12% of total assets as of June-end 2015, against18% in Q2’14. This reflects strong loan growth achieved over the period, aswell as FGB’s compliance with LCR requirements.

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Jun’15 Jun’14 YoY % Mar’15 QoQ %

NPLs 1,075 1,073 0% 998 8%

Provisions 1,254 1,182 6% 1,259 0%

Specific 556 574 -3% 539 3%

General 698 609 15% 719 -3%

Asset QualityNPL RATIO AND PROVISION COVERAGE (%)

NPLS AND PROVISIONS (USD MN)COST OF RISK (%) - YTD

HIGHLIGHTS



3.02.7

2.5 2.5 2.6

110.2

121.6

126.7 126.1

116.6


NPL ratio

Provision Coverage

1.251.15

0.95 0.97

0.80

H1'14 9M'14 FY'14 Q1'15 H1'15

• H1’15 asset quality metrics remained healthy with NPLratio at 2.6% and provision coverage at 116.6%

• At USD 0.7Bn, general provisions exceed 1.5% of total CRWA(all inclusive)

• Credit impairments declined by 26% YoY to USD 170Mnimplying an annualized cost of risk at a post-crisis low of80bps.

• As our outlook on credit quality remains favorable for theremainder of the year, we review our FY15 cost of riskguidance to 80-90bps down from 100bps

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Appendix

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Appendix Content• Q2/H1’15 Summary Financials

• Revenue Mix & Cost Efficiency

• Business Segment Contributions

• Dividend History

• FGB Overview

• History & Key Milestones

• Key Achievements

• Board of Directors

• Corporate Governance

• ERM Framework

• Abu Dhabi Plan 2030

• UAE Real Estate Overview

• FGB 2015 Awards

24/48

Q2/H1’15 Summary Financials

Note: Rounding differences may appear in the above table

Income Statement (USD Mn) H1'15 H1'14 YoY Q2'15 Q1'15 QoQ Q2'14 YoYNet Interest and Islamic Financing Income 870 884 -2% 438 432 1% 448 -2%Other Operating Income 391 352 11% 191 200 -4% 175 10%Operating Income 1,262 1,236 2% 629 632 0% 623 1%G & A expenses (304) (274) 11% (161) (143) 13% (145) 11%Provisions/ Impairments (172) (225) -24% (70) (101) -31% (107) -34%Taxes (3) (3) -9% (1) (1) -20% (2) -43%Minority Interest (2) (3) -33% (1) (1) 150% (2) -29%Net Income 781 730 7% 395 386 2% 368 8%Earnings Per Share (USD) 0.17 0.16 9% 0.09 0.08 3% 0.08 10%

Balance Sheet (USD Bn) Jun'15 Jun'14 YoY Mar'15 QoQNet Loans & Advances 40.5 34.9 16% 38.9 4%Customer Deposits 38.2 37.4 2% 38.9 -2%Total Assets 59.7 54.0 11% 58.3 2%Shareholders’ Equity 9.0 8.4 6% 8.6 4%

Key Ratios (%) Jun'15 Jun'14 YoY (bps)Net Interest Margin 3.4 3.7 (29)Cost-to-Income 24.1 22.2 190Non-Performing Loan (NPL) 2.6 3.0 (40)Provision Coverage 116.6 110.2 640Loan-to-Deposit 106.1 93.2 1,290Return on Average Equity 17.1 17.2 (10)Return on Average Assets 2.7 2.7 -Capital Adequacy 18.7 18.9 (20)

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1,236 1,262

-14 -10 +22 +3 +25

H1'14 Net Interestand Islamic Fin.

Income

InvestmentIncome

Fees andcommissions

Other income FX&Derivatives H1'15

Key Revenue Movements and NIMsKEY MOVEMENTS IN OPERATING INCOME (USD MN)HIGHLIGHTS

NET INTEREST MARGIN (%) - YTD REVENUE BREAKDOWN (USD MN)

+2%

72% 69% 69% 68% 70%

72% 69%28% 31% 31% 32% 30%

28% 31%

Q2'14 Q3'14 Q4'14 Q1'15 Q2'15 H1'14 H1'15

Other Income (inc. share of profit from assoc.)

Net Interest and Islamic Financing Income

646623 634 632

1,236

630

1,262

• H1’15 revenues grew by 2% YoY (+USD 26Mn) as a result of :o -USD 14Mn reduction in net interest and Islamic income due

to asset yield compression insufficiently offset by highervolumes. H1’15 NIM was down 29bps YoY, yet still within ouranticipated 25-35bps contraction range for FY15

o -USD 10Mn decline in investment income due to volatilemarket conditions

o +USD 22Mn addition in core fees and commissions thanks tohigher corporate & syndication fees , wealth managementand other retail lending fees

o +USD 3Mn rise in Other Income including USD 5Mn gain onsale of property (USD 14Mn in Q2’15)

o +USD 7Mn increase in FX & Derivatives income

• In light of a slower than anticipated revenue growth as of June-end2015, we review our FY15 revenue growth guidance from lowdouble-digit to mid single-digit

3.683.61 3.58

3.44 3.39


26/48

Non-Interest Revenues and Cost EfficiencyQ1’15 NON-INTEREST REVENUES

COST EFFICIENCY

HIGHLIGHTS

H1’15 NON-INTEREST REVENUE BREAKDOWN*Including share of profit from associates

In USD Mn H1’15 H1’14 YoY %

Commission Income 67 75 -11%

Fee Income 117 94 24%

Credit card fees 83 75 10%

Investment income 24 33 -30%

FX & Derivatives 48 24 105%

Property and otherincome* 53 50 6%

Total 392 352 11%

+11%

CommissionIncome

17%

Fee Income30%

Credit cardfees21%

Investmentincome

6%

FX &Derivatives

12%

Propertyand other

Income14%

• Non-interest revenues expanded by 11% YoY increasing theircontribution in total operating income to 31% (vs. 28% last year)

• Fee income and credit card fees grew by 24% and 10% YoYrespectively, offsetting the 11% decline in commissions mainlyattributable to declining LCs

• Core fees and commissions represent 68% of non interestrevenues (21% total operating income) as of June-end’15

• Higher business volumes and continued investments in systemsand technology drove the 11% rise in operating expenses duringthe period. Due to slower revenue growth, H1’15 C/I ratio landedat 24.1% yet still remaining within our target range for thecurrent year.

274 304

22.2%24.1%

H1'14 H1'15

Operating expenses (USD Mn) C/I ratio (YTD)

27/48

Business Segment ContributionsASSETS BREAKDOWN

• Continued focus on enhancing core capabilities and onmaximizing synergies between the three corebusinesses: Wholesale & International Banking Group(WBG), Consumer Banking Group (CBG), and Treasury &Global Markets Group (T&GM)

• These three pillars represent 90% of Group total assetsas of Jun’15

• CBG generated 38% of H1’15 Group revenues, followedby WBG (36%) and T&GM (14%).

SEGMENTAL REVENUE BREAKDOWN AND CONTRIBUTIONS TO GROUP REVENUE* (USD MN)

HIGHLIGHTS

*“Effective 1st January, 2015, the Bank has changed its Funds Transfer Pricing Methodology (“FTP”). As a result of the change inthe FTP, comparative figures relating to net interest income and income from Islamic financing as well as profit attributable toequity holders of the Bank for 2014 have been adjusted for consistency purposes.”

WBG Total44%

CBG24%

T&GM22%

Real Estateactivities

4%

Otheroperations*

6%

*Other Operations include subsidiaries and associates (other than real estate),and the Head Office

WBG36%

CBG38%

T&GM14%

Otheroperations

8%

RealEstate

4%

455

1,262

485

173105 44

WBG CBG T&GM Otheroperations

Real Estate FGB Group

28/48

89% 92%

11% 8%

H1'14 H1'15

UAE Operations International Operations

351311

87% 88%

13% 12%

H1'14 H1'15

UAE Operations International Operations

455478

Wholesale Banking Group - WBGOPERATING INCOME (USD MN)

WHOLESALE GROSS LOAN PORTFOLIO (JUN’15)TOTAL ASSETS (USD BN)

HIGHLIGHTS NET PROFITS (USD MN)

-5% +13%

+18%

Government& PublicSector

9%

Abu DhabiPrivateSector

36%

Dubai PrivateSector

19%

Other UAEPrivateSector

4%

Non UAE-based

Corporates32%

• Healthy commercial momentumsupported 18% YoY assets growth forWBG

• Revenues were down 5% YoY mainly dueto contracting NIMs

• Successful product mix diversificationsupported solid fee income growthduring the period

• Net profit grew by 13% to USD 351Mn(USD +40Mn) thanks to expense controland lower provisions

22.2

26.3

Jun'14 Jun'15

29/48

13.014.5

Jun'14 Jun'15

Personal Loans37%

Abu DhabiGovernment

NationalHousing Loans

35%

Credit Cards8%

Other MortgageLoans

4%Loans to SMEs

5%Wealth

Management10%

Others*0%

236 237

H1'14 H1'15

448485

H1'14 H1'15

Consumer Banking Group - CBGOPERATING INCOME (USD MN)

CONSUMER GROSS LOAN PORTFOLIO (JUN’15)TOTAL ASSETS (USD BN)


*Auto loans and overdrafts

+11%

+8% +1%

• Continued focus on product innovationand enhanced customer experience

• CBG revenues grew 8% YoY toUSD 485Mn while Net Profit shows a 1%YoY increase

• Wealth Management , SME loans andcredit cards remain key growth driversrepresenting 23% of the gross loanportfolio in H1’15 up from 19% in H1’14

30/48

Bonds92%

Funds1%

Equities1%

PrivateEquity

6%

UAE46%

Asia23%

MENA17%

Europe10%

NorthAmerica

3%

Africa1%

SouthAmerica

0%

Australia0%

164 154

H1'14 H1'15

178 173

H1'14 H1'15

13.3 13.1

Jun'14 Jun'15

Treasury & Global Markets – T&GMOPERATING INCOME (USD MN)

TOTAL ASSETS (USD BN)


-2%

-3% -6%

INVESTMENTS1 BY TYPE INVESTMENTS1 BY REGION

1Excluding Treasury Bills and bonds related to LCR portfolio

• Due to market volatility, T&GM revenues andnet profits declined by 3% and 6% respectivelyin H1’15

• 92% of FGB’s investment portfolio is ininvestment grade fixed income of which 58%is allocated to the GCC

• The average duration of the AFS portfolio is2.88 years which represents 75% of theportfolio size

• 54% of Fixed Income is rated A- & above, 36%is rated between BBB+ & BBB-, the remaining10% is either non rated or sub–investmentgrade

• The WARF of the portfolio is BBB

31/48

216305

344357

H1'14 H1'15

Dubai First Aseel

238 316

395403

H1'14 H1'15

Dubai First Aseel

1830

12

6

H1'14 H1'15

Dubai First Aseel

46 56

1926

H1'14 H1'15

Dubai First Aseel

6582

Consumer Finance SubsidiariesDubai First and Aseel Islamic Finance

OPERATING INCOME (USD MN)• Dubai First and Aseel are FGB’s consumer

finance subsidiaries specialised in creditcards and SME islamic financingrespectively

• The 2 companies generated combinedrevenues of USD 82Mn in H1’15, up 27%YoY, contributing 7% to Group revenue

• Aggregate net profit improved by 20%YoY to USD 36Mn, that is 5% of Group netprofit

• Aggregate loan book grew by 18% YoY

TOTAL LOANS (USD MN)TOTAL ASSETS (USD MN)


+14%

+27%+20%

3630

633719

560662

+18%

32/48

38 38

H1'14 H1'15

44 44

H1'14 H1'15

2.82.5

Jun'14 Jun'15

Real Estate SubsidiariesOPERATING INCOME (USD MN)

• Real estate revenues remained quasi-stable at USD 44Mn

• During Q2’15, the bank proceeded withthe sale of Opal Tower located in BusinessBay (Dubai) generating a gain of USD14Mn

• H1’15 rental yield stood at 6.0%

INVESTMENT PROPERTIES PORTFOLIO1 (JUN’15)TOTAL ASSETS (USD BN)


1USD 2.3Bn as of June-end 2015

-9%

-1% -1%

Land in AbuDhabi29%

Dev.Properties in

Abu Dhabi45%

Land inDubai

2%Dev.

Properties inDubai

2%

PropertiesGenerating

RentalIncome

22%

33/48

Dividend History

2014 2013 2012 2011 20101

NET PROFIT (USD MN) 1,540 1,300 1,131 1,009 931

CASH DIVIDEND (USD MN) 1,062 817 681 408 245

CASH DIVIDEND (% OF CAPITAL) 100% 100% 83% 100% 60%

BONUS SHARES (% OF CAPITAL) 15.38% 30% - 100% -

DIVIDEND PAYOUT RATIO(% OF NET PROFIT) 69% 63% 60% 40% 26%

BASEL II CAPITAL ADEQUACYAFTER DIVIDEND DISTRIBUTION2 17.5% 17.4% 18.7% 18.0% 19.5%

1 Shares bought back in 2010: 5% of capital2CAR adjusted from Tier 2 MoF Loan

34/48

FGB Overview

GLOBAL FOOTPRINTRATINGS

1 Subsidiary4 Rep Offices

21 branches in the UAEand 2 branches overseas

Doha

Singapore

Mumbai

Hong KongFGB-Libya

Tripoli

UAE

LONG TERM RATING OUTLOOK

A2(Since 2007) Stable

A+(Since 2007)

Stable

A+ Stable

Incorporated in 1979 and headquartered in Abu Dhabi

Wide range of financial products and services offeredthrough a network of 21 branches in the UAE. In addition,FGB is present through branches in Doha and Singapore,and rep offices in Mumbai, Hong Kong, Seoul and London.The Bank also has a JV in Libya.

1,484 employees

Listed in 2002; Largest UAE bank by market cap of USD18.9Bn as of July 26th, 2015

A LEADING UAE FRANCHISE OWNERSHIP STRUCTURE* (AS OF JUN’15)

Seoul

London

* FGB’s Foreign Ownership Limit (FOL) is at 25%

UAEcompanies

andindividuals

86.6%

ForeignInvestors

11.3%

GCC (ex-UAE)2.1%

35/48

1996-1999

History & Key Milestones

1979 FGB is incorporated in Ajman with an initial focus on Corporate Banking

Abu Dhabi ruling family acquires 45% stake and designates new management team

2001 New vision, brand identity and introduction of new business segments: Retail and Treasury & Investments

2002 Listing on Abu Dhabi Exchange

2005 Net profit crosses the USD 272 Mn mark

2006 Introduction of Islamic banking servicesRated A by Fitch (followed by A+ in 2007) and A2 by Moody’s

2007 First overseas office in Singapore

2011 Net profit crossed the USD 1Bn mark

2013 Acquisition of Aseel and Dubai FirstFGB becomes the #1 UAE Bank in termsof net profit with USD 1.3Bn

2009 New offices in Qatar and India

2012 New office in Hong Kong

New rep offices in London and SeoulMaintained position of #1 UAE Bank by

Net Profit at USD 1.54Bn2014

2015 In H1’15, Dubai First and Aseel Financecontributed 7% to Group revenue

36/48

Key Achievements

TOTAL ASSETS (USD BN) LOANS & ADVANCES (USD BN) CUSTOMER DEPOSITS (USD BN)

SHAREHOLDERS’ EQUITY (USD BN) OPERATING INCOME (USD MN) NET PROFIT (USD MN)

42.948.2

53.157.8 59.7

2011 2012 2013 2014 H1'15

28.5 30.534.6

38.040.5

2011 2012 2013 2014 H1'15

28.232.5

37.6 38.5 38.2

2011 2012 2013 2014 H1'15

7.38.0

8.59.3 9.0

2011 2012 2013 2014 H1'15

1,7651,980

2,2932,565

1,262

2011 2012 2013 2014 H1'15

1,0091,131

1,300

1,540

781

2011 2012 2013 2014 H1'15

37/48

ABDULHAMIDMOHAMMED SAEED

BOARD MEMBER

FGB MANAGING DIRECTOR

Board Member of:Emirates Investment Authority

Mubadala DevelopmentCompany

H.H. SHEIKH TAHNOON BIN ZAYED AL NAHYAN – CHAIRMAN

CHAIRMAN OF AMIRI FLIGHT

CHAIRMAN OF ROYAL GROUP

38/48

Corporate Governance

Board of Directors

ManagementCommittees

Wholesale Banking CreditCommittee

Compliance & Ops RiskCommittee

First Gulf CreditCommittee

HR Steering Committee

Asset Liability Committee

Real Estate Committee

Investment Committee

IT Steering Committee

BoardCommittees

Executive Committee Risk & Compliance Management Committee

Remuneration & Nomination Committee Audit Committee

Enterprise RiskManagement

GroupHead of Enterprise Risk Management

Group CRO

Credit Risk Market Risk ALM Risk OperationalRisk

ComplianceRisk Basel II / IIIERM

Strong & Independent Governance framework covering all material risks across the Group

Executive Management Committee

39/48

Key metrics for 76

banks (rated AA-

and above) across

36 countries

Metrics used by

rating agencies

for annual rating

reviews

FGB’s GCC peer

benchmarks

CBUAE regulatory

requirements

Metrics across Key Risk Categories

monitored on a monthly basis COMPREHENSIVE 3 TIERED STRUCTURE

Metrics @

FGB Group

Metrics @ BusinessGroup and Group Entity

level

Metrics for specific portfolios

within all businesses

Tier 1(Implemented)

Tier 2(Implemented)

Tier 2.5(To be launched)

Implemented comprehensive Risk Appetite Framework covering all businesses within FGBGroup facilitating business into acceptable Risk / Reward framework

ERM ComponentsRisk Appetite Framework

40/48

Impact

Current

Compliance

Lifecycle

FGBs Culture & Values

Support FGBs Growth Strategy

International Capabilities

Proactive Capabilities

Product Specialists

Compliance CultureChange

Scan

Target

Compliance

Lifecycle

CURRENT STATE LIFECYCLE TARGET STATE LIFECYCLESTRATEGIC ALIGNMENT

RegulatoryCompliance AML & Sanctions

ExtraterritorialRegulations

Current Compliance Framework

OtherRegulatory

Aspects

Current Compliance framework isin line with regional practices &regulatory requirements.

Enhancements being undertakento align with global business andregulatory environment

Financial Crimes RegulatoryCompliance

Global Markets &Int’l Regulations

New Compliance Framework

ConductCompliance

ERM ComponentsCompliance Framework

Carried out benchmarking of Group Compliance Framework - Enhancement Underway

41/48

Strategic Alignment with Business

HRSC

EMCO

WBCC

CBCC

ALCOIMCO

ORC

TSC

REC

CC

Mgmt

Committees

STRONGGOVERNANCE

Board of DirectorsBoD

CommitteesEC RCMC ACREMCO

Risk scorecards

Holistic Risk

Appetite

Compliance

guidance

Enhanced ALM

management

Advanced measures

for risk reward

analysis

Product

review

Comprehensive ERM

Policy framework

Strong IT /

IS controls

ERMPARTNERSHIP

KEY

CHALLENGES

Margin pressures

Large exposurerestrictions

Strong SMEcompetition

Compliance Issues

Real estatevolatility

New portfoliorisksLiquidity

regulations

Geopoliticalrisks

Emerging Marketconcerns

Trading controls Business modelalignment

Subsidiaries

WBG CBG

TGM

CUSTOMER

Robust limit

structure

42/48

Plan Abu Dhabi 2030

Strata

ClevelandClinic

ParisSorbonne

ZayedUniversity

New YorkUniversity

Masdar City

Masdar City

Ferrari World Abu Dhabi

EmiratesPalace

EtihadTowers

Yas MarinaCircuit

ENERGY Masdar City - the world’s first carbon neutral, zero-waste to landfill, car-free city

powered entirely by alternative energy sources. Masdar Institute – an institute developed with Massachusetts Institute of Technology

(MIT) with the aim to develop the emirate’s human capital and develop research inalternative energies.

TOURISM

Hotels Etihad Towers Emirates Palace St. Regis Abu Dhabi Rocco Forte Hotel Qasr Al Sarab Desert Resort Ritz-Carlton Abu Dhabi Eastern Mangroves Hotel

Entertainment

Yas Marina Circuit Ferrari World Abu Dhabi Yas Waterworld Abu Dhabi Al Ain Wildlife Park Shopping malls

EDUCATION Universities: Paris Sorbonne Abu Dhabi, New York University, and Zayed University

AVIATION, AEROSPACE & DEFENCE Strata is a composite aero structures manufacturing facility, wholly-owned by

Mubadala, which has formed partnerships with a number of leading aerospacecompanies to establish manufacturing programs at a new plant in Al Ain.

HEALTHCARE, EQUIPMENT & SERVICES Cleveland Clinic Abu Dhabi will offer a 364-bed hospital organized into five institutes,

digestive disease, eye, heart & vascular, neurological, respiratory and critical care.

Source: Abu Dhabi Council for Economic Development (June 2012)

43/41

GDP Per Capita(2)Oil Production(1)LT Ratings(Moody’s, S&P, Fitch)

Abu Dhabi in the GCC context

Kuwait

Qatar

Saudi Arabia

Abu Dhabi

Bahrain

Oman

Aa2, AA, AA

Aa2, AA, NR

Aa3, AA-, AA

Aa2 , AA, AA

Baa2 (-), BBB, BBB

A1, A, NR

3.1mn bpd

2.0mn bpd

11.5mn bpd

0.4mn bpd

0.9mn bpd

USD 32,719

USD 81,603

USD 20,677

USD 25,633

USD 14,887

USD 74,927

1 Source: BP Statistical Review of World Energy (June 2015), except Abu Dhabi (Opec statistical year book 2015)2 2015 forecasts - Source: April 2015 IMF data for all, except Abu Dhabi (Moody’s, Jan’15 report)Note: Unless otherwise indicated, all outlooks are stable; (-) Negative outlook

2.8mn bpd

43/48

44/48

Real Estate Trends – Abu Dhabi

Prime residential sales and residential rents in Abu Dhabi were quasi-stable in Q2’15

During Q2 the Hotel, Office and Retail market remained stable

Large projects to be delivered over the next 3 years include: Airport expansion, Etihad Rail and Saadiyat Island museums

-

2,000

4,000

6,000

Q3-08 Q1-09 Q3-09 Q1-10 Q3-10 Q1-11 Q3-11 Q1-12 Q3-12 Q1-13 Q3-13 Q1-14 Q3-14 Q1-15

650

700

750

800

850

900

Q4-08 Q2-09 Q4-09 Q2-10 Q4-10 Q2-11 Q4-11 Q2-12 Q4-12 Q2-13 Q4-13 Q2-14 Q4-14 Q2-15

82% 79%

55%68% 63%

71% 76% 77%

0%

20%

40%

60%

80%

100%

2008 2009 2010 2011 2012 2013 2014 Q2'15-

500

1,000

1,500

Q4-08Q2-09Q4-09Q2-10Q4-10Q2-11Q4-11Q2-12Q4-12Q2-13Q4-13Q2-14Q4-14Q2-15

MARKET OVERVIEW

ANNUAL RETAIL RENT PRICES (USD/SQM)RESIDENTIAL SALE PRICES (USD/SQM)

OFFICE (GRADE A) RENT PRICES (USD/SQM)HOTEL OCCUPANCY RATES (%)

Source: JLL Abu Dhabi Real Estate Market Overview Q1 2015, REIDIN Indices

45/48

Real Estate Trends – Dubai

-

500

1,000

1,500

2,000

2,500

Q4-08 Q2-09 Q4-09 Q2-10 Q4-10 Q2-11 Q4-11 Q2-12 Q4-12 Q2-13 Q4-13 Q2-14 Q4-14

79% 72% 80% 82%

86% 88% 79% 84%

0%

20%

40%

60%

80%

100%

2008 2009 2010 2011 2012 2013 2014 Q2'150

50

100

150

Q4-08Q2-09Q4-09Q2-10Q4-10 Q2-11Q4-11Q2-12Q4-12Q2-13Q4-13Q2-14Q4-14Q2-15

MARKET OVERVIEW

Residential prices and rentals faced downward pressure and declined in Q2’15; residential segment slowdown expected to continuethroughout 2015 due to large supply

Strong economic growth in Dubai is expected to drive higher demand for affordable housing for the middle-income segment In the hotel segment, occupancy rates remain healthy and above the MENA average while are expected to further decline during the

year in response to the additional future supply

RETAIL RENT INDEX - PRIME MALLS (USD/SQM)RESIDENTIAL SALE PRICE INDEX (USD/SQFT)

OFFICE RENT PRICE INDEX (USD/SQFT)HOTEL OCCUPANCY RATES (%)

Source: JLL Dubai Real Estate Market Overview Q1 2015, REIDIN Indices

050

100150200250300350

Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13 Dec-14

46/48

Real Estate Trends – Rental Clock

ABU DHABI PRIME RENTAL CLOCK

DUBAI PRIME RENTAL CLOCK

Source: JLL Abu Dhabi and Dubai Real Estate Market Overview Q2 2015* Hotel clock reflects the movement of RevPAR

47/48

Seven Banker Middle East UAE Product Awards: ‘Best Call Centre’, ‘Best Credit Card’, ‘Best PersonalLoan’, ‘Best Wealth Management Service/Proposition,’ ‘Best Offshore Wealth Proposition’, ‘BestDeposit Account Product’ and ‘Best Bancassurance Product’

“Most Innovative Service Provider” - 2015 MENA IR Insurance Awards

The Banker 2015 Islamic Banker of the Year Awards - “Shariah-Compliant Window”

2015 Trade Finance Awards for Excellence: “Best Islamic Trade Finance Bank EMEA”

Asian Banker 2015 Middle East and Africa Country Awards: “Best Wealth Management in the Middle

East Award” and “Best Mortgage and Home Loan Product in the Middle East Award”

2015 Global Capital Bond Market Awards: “Most Impressive Middle East Borrower Award”

2015 Smart Card and Payments Middle East Awards: “Best Commercial Card Across Middle East”

FGB 2015 Awards

48/48

Thank you!

For more Information:

Contact FGB Investor Relations Department: [email protected]

Visit our corporate website www.fgb.ae

Follow FGB on social media:

Or download FGB’s Investor Relations app: https://www.myirapp.com/fgb/

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