Investor Presentation Second Quarter 2018
FOCUSED ON THE PACIFIC ALLIANCE
Attractive growth opportunity for the Bank
Pacific Alliance
○ Identified as a key area of growth for the Bank
。 Reflects a trade bloc with a free trade agreements to liberalize commerce and improve
integration among Mexico, Peru, Chile, and Colombia
○ The strategic purpose is to strengthen trade flows with Asia and to compete with Brazil
and Argentina, which participate in Mercosur
。 The Pacific Alliance accounts for 36% of Latin America's GDP, comparable to Brazil
o Canada has bilateral free-trade agreements with all four Pacific Alliance countries and it
has initiated an application for Associate Membership in the Alliance
• Pacific Alliance Presents an Attractive Long-Term Opportunity
○ Altogether the 6th largest goods exporter in the world
o Trade bloc with respective governments supporting growth/significant infrastructure
spending
o Strong GDP growth rates relative to peers
Considerable room to increase banking penetration (avg. domestic credit/GDP of 66%)
o Fast-growing middle-class with increasing financial demands
o Favourable demographics for banking needs (median age of 29 years old)
○ Relatively stable legal, tax, and regulatory infrastructure in place
。 Central bankers have earned credibility and banking system is well-capitalized
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