Third Quarter 2021 Investor Presentation slide image

Third Quarter 2021 Investor Presentation

Macroeconomic Scenarios Select Macroeconomic Variables used to estimate Expected Credit Losses Base Case Scenario Next 12 months Canada Real GDP growth, Y/Y % change Alternative Scenario - Alternative Scenario - Optimistic Pessimistic Alternative Scenario - Pessimistic Front Loaded As at July 31, 2021 As at April 30, 2021 As at July 31, 2021 As at April 30, 2021 As at July 31, 2021 As at April 30, 2021 As at As at July 31, 2021 April 30, 2021 5.3 7.8 7.1 74 9.9 1.2 12 2.8 -5.7 -3.5 Unemployment rate, average % 6.5 6.7 5.8 6.1 9.0 9.3 11.9 12.2 US Real GDP growth, Y/Y % change 6.7 8.2 8.5 10.3 3.6 4.8 Unemployment rate, average % 4.7 5.0 4.3 4.5 6.5 6.7 879 -0.5 0.9 7.8 8.0 Global WTI oil price, average USD/bbl 65 62 71 70 58 54 62 52 50 Next 12 months Quarterly breakdown of the projections for the above macroeconomic variables: Base Case Scenario Calendar Quarters Calendar Quarters Average Q3 Q4 Q1 Q2 July 31 Q2 Q3 Q4 Q1 2021 2021 2022 2022 2021 2021 2021 2021 2022 Average April 30 2021 Canada Real GDP growth, Y/Y % change 6.4 5.2 4.7 5.1 5.3 14.1 6.6 5.3 5.2 7.8 Unemployment rate, average % 7.3 6.7 6.2 5.9 6.5 7.7 7.0 6.4 5.9 6.7 US Real GDP growth, Y/Y % change Unemployment rate, average % 7.1 7.7 6.8 5.1 6.7 11.8 6.6 7.3 7.0 8.2 5.4 4.9 4.5 4.1 4.7 5.8 5.3 4.8 4.2 5.0 Global WTI oil price, average USD/bbl 65 Source: Scotiabank Economics, forecasts as of June 11, 2021 55 65 66 66 65 60 61 55 65 61 62 62 25 25
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