Banco BBVA Argentina (BBAR) investor relations material

Macro and economic outlook

• Fiscal equilibrium remains central to economic policy, with disinflation expected to bring inflation below 25% in 2026, supporting investment and credit growth.

• Disinflation has improved public trust in government and is expected to boost GDP and credit expansion.

• Monetary policy focuses on tight aggregates and reserve accumulation, with interest rates remaining volatile.

• External surpluses from hydrocarbons and mining are projected to support a stronger peso and stable FX bands.

• Financial system size is expected to grow as inflation falls, with credit as a percentage of GDP set to more than double by 2026.

Financial system and competitive position

• Private sector activity and market share in loans and deposits have grown, with BBVA showing leading organic growth among peers.

• Capital and liquidity ratios remain robust, with BBVA maintaining higher-than-average capital and coverage levels.

• BBVA's branch and employee structure is stable, with a focus on efficiency and environmental standards.

• BBVA holds significant market shares in assets, loans, and deposits, ranking among the top private banks in Argentina.

Balance sheet and loan portfolio

• Assets and liabilities grew 31% YoY, with a shift toward private sector exposure and reduced public sector risk.

• Private loan portfolio increased 48% YoY, with market share rising to 11.91%.

• Commercial loans now represent 58% of the portfolio, with retail at 42%; pledge and mortgage loans saw rapid growth.

• Loan-to-deposit ratio remains below system average, reflecting conservative risk management.

• Deposit base reached a double-digit market share, with ARS and USD deposits both increasing.