Banking considerations for foreign investors in Albania Karl Sevelda, Member of the Board

The Raiffeisen Banking Group: Three-tier structure Raiffeisen Banks 557 Raiffeisen Banks, 1,695 Affiliated Branches Regional Raiffeisen Banks 8 Regional Raiffeisen Banks, Zveza Bank Interests in Austrian Financial Institutions Insurers, Investment Fund Companies, Finance Leasing Companies, Building Society, Raiffeisen Centrobank, Kathrein&Co., Nationalbank, Kontrollbank, VISA, Europay, etc. The Network in Central and Eastern Europe Raiffeisen International (Shareholders: 68.5% RZB, 31.5% Free Float) Network Banks, Leasing Companies, Other Subsidiaries Other Foreign Branches, Offices and Equity Participations Branches, Representative Offices, Banks Specialist Companies and Back-Office Companies Payment Transfer and Securities Settlers, IT Companies, Real-Estate and Trading Companies, Private Equity Company, etc.

RZB Group one of the world's 100 biggest banks delivering strong figures > 14 million customers > 61,000 employees > 3,000 outlets 31/12/2007 31/12/2006 Assets (€ bn) 137.4 115.6 RoE before tax (%) 22.2 21.5 Profit before tax (€mn) 1,485 1,286 Customers (mn) 13.6 >12 Staff 61,351 55,434 Outlets 3,036 2,866 36 markets 1 group RZB GROUP

Asset growth of RZB AG and RZB Group

Local ranking by total assets Picture: HO RB Albania # 1 Albania, Raiffeisen Bank # 1 Serbia, Raiffeisen banka # 2 Bosnia and Herzegovina, Raiffeisen Bank Bosna i Hercegovina # 2 Kosovo, Raiffeisen Bank Kosovo # 2 Ukraine, Raiffeisen Bank Aval # 3 Belarus, Priorbank # 3 Bulgaria, Raiffeisenbank (Bulgaria) # 3 Romania, Raiffeisen Bank # 3 Slovakia, Tatra banka # 4 Croatia, Raiffeisenbank Austria # 5 Czech Republic, Raiffeisenbank & eBanka # 6 Hungary, Raiffeisen Bank # 7 Russia, Raiffeisenbank Austria & Impexbank (largest international banking group) # 10 Slovenia, Raiffeisen Banka # 12 Poland, Raiffeisen Bank Polska THE SUCCESS STORY

RB Albania 2004 2007 Difference in % Total assets: EUR 1,647 mln EUR 1,947 mln + 18.8% Total loans: EUR 7.5 mln EUR 486 mln + 6,380.0% Total liabilities: EUR 1,605 mln EUR 1,860 mln + 15.9% Number of employees 1,026 1,373 + 33.8% Number of branches 84 96 + 14.3% Number of customers 300,644 552,193 + 83.7% Debit cards 6,666 183,565 + 2,653.8% ATM 31 154 + 396.8% POS N/A 353 n.a.

International Desk Concept Account opening services Working Capital Finance Financing long-term investments Financing acquisitions and/or start-ups Cash management services Trade Finance (L/C, L/G etc.) Export Finance with export promotion programs Project & structured finance/Real Estate Investment products Leasing / Factoring Personal banking services for customers' employees FX Business 15 MARKETS, ONE SERVICE LEVEL

Other value adding services English speaking staff Mrs. Adriana Jorgji/ Head of Int. Desk Albania Tel.: +355 4 2222 669 – 2545 adriana.jorgji@raiffeisen.al Contacts to local authorities Referral of CPAs and law firms Support in founding a business Search of suitable production sites and objects Subsidy programmes Networking and lobbying 15 MARKETS, ONE SERVICE LEVEL

Albania – A lot of room/need to catch up! 110% Spain 100% Greece 90% 80% 70% Portugal 60% 50% 40% 30% 20% 10% 0% PL HU CZ SK SI RO BG HR RS BA AL RU UA BY CE SEE CIS 2000 2007 GDP per capita (at PPP) in % of EU-27 avg Source: wiiw, Raiffeisen RESEARCH

High GDP growth rates Source: Raiffeisen RESEARCH

To be considered for investors … Standard of legal system/ Independency of justice Bureaucratic procedures (registration of land ownership, approval of construction permissions, etc.) Lack of infrastructure (Poor roads, electricity/ power cuts, ..) Low Standard of Social System

Positive factors to be considered Upcoming privatization process High GDP growth rates Efforts to reduce administrative obstacles Fast registration of business (8 days) 10% corporate tax Signed Double Taxation Agreement with Austria (in force by 2009/01/01)

Thank you for your attention!