1. 2016 IRAQ BANKING FORUM
Beirut, Lebanon
Confidential
September 2015

2. Best Brokerage House in Iraq Best Investment Bank in Iraq
Our Firm
We are an independent Iraqi owned and managed financial services firm
We operate out of 3 offices in Iraq and provide services through two entities
Rabee Securities: a securities brokerage firm licensed and regulated by the Iraqi Stock Exchange (ISX)
Execute transactions for local, regional and international clients. Our client base includes both institutional and private clients
Melak Iraq provides investment banking, advisory and merchant banking services to local and international corporate clients and family businesses
Play a bridging role providing services to local Iraqi companies and international firms with interest in Iraq
Best Brokerage House in Iraq
2011 & 2013 & 2014
Best Investment Bank in Iraq
2013
Monitor Company ©1999 — Confidential

3. Execution Ability FINANCING TRADE FINANCING INVESTING Advisory
Acted as principal lender and sole arranger providing working capital facility to support daily operations and facilitate growth plans for an Oil and Gas services Firm
FINANCING
Local Adviser providing value added services
Focus on providing unique financial solutions
Facilitate funding for project finance and trade finance activities
TRADE FINANCING
Investor in an Oil and Gas services company providing drilling fluids
INVESTING
Advisory
Monitor Company ©1999 — Confidential

4. Equity Capital Markets: Performance
RSISX Index*
2011: 51.8%
2012: 7.4%
2013: 15.5%
2014: -25.3%
2015: -16.9% (YTD)
* The Index is a free float weighted index of 10 ISX stocks.
* Index companies represents 57% of the liquidity in the ISX. (Calculated on September 13, 2015 according to the average daily trading volumes in the recent six months.)

5. Equity Capital Markets: Landmark Deals
2 landmark deals that added more than USD 8 billion to the total Iraq Stock Exchange market capitalization
The largest ever listings in Iraq and among the largest listings in the MENA region
Listing of 25%
67,503,000,000 shares
For a total of
1,485,066,000,000 IQD
(1,240,000,000 USD)
Listing of 25%
457,445,663,350 shares
Sole distributer
joint lead manager & sole distributer
Sole financial adviser
sole adviser & joint lead manager
June 2015
February 2013

6. Equity Capital Markets: Opportunity
Country
# of Firms Listed
Market Cap (September 2015)
Saudi Arabia
171
$463 Bln
Qatar 44
$173 Bln
Abu dhabi 66
$124 Bln
Dubai FM 60
$97 Bln
Kuwait
222
$89 Bln
Morocco 90
$59 Bln
Egypt
268
$58 Bln
Bahrain 48
$51 Bln
Jordan
264
$29 Bln
Oman
129
$24 Bln
Tunis 76
$22 Bln
Iraq 98
$12 Bln
Lebanon 29
Palestine 50
Less than 10 Bln
Syria 24
The ISX is at a very nascent stage
A country that is fifth in the world in oil reserves with 30 plus million in population should develop to the level and size of similar markets in the GCC
Further, the number of companies listed is relatively small with limited diversity in terms of sectors
Source: Zawya, Individual stock exchanges’ websites

7. Equity Capital Markets: Opportunity
Source: World Bank, United Nations, Individual stock exchanges’ websites

8. Debt Capital Markets: Indicators
Deposits (% of GDP)
Source: World Bank

9. Debt Capital Markets: Indicators
Domestic credit provided by financial sector (% of GDP)
Domestic credit provided by the financial sector includes all credit to various sectors on a gross basis, with the exception of credit to the central government, which is net. The financial sector includes monetary authorities and deposit money banks, as well as other financial corporations where data are available (including corporations that do not accept transferable deposits but do incur such liabilities as time and savings deposits). Examples of other financial corporations are finance and leasing companies, money lenders, insurance corporations, pension funds, and foreign exchange companies.
Source: International Monetary Fund, International Financial Statistics and data files, and World Bank and OECD GDP estimates

10. Debt Capital Markets: Indicators
Domestic Credit provided to the private sector (% of GDP)
Source: World Bank, July, 27, 2015

11. Debt Capital Markets: Indicators
Lending interest rate (%)
Lending rate is the bank rate that usually meets the short- and medium-term financing needs of the private sector. This rate is normally differentiated according to creditworthiness of borrowers and objectives of financing.
Source: International Monetary Fund, International Financial Statistics and data files

12. Challenges Faced
Understanding of Capital Markets (Process, players, products)
Regulatory Framework Development and support
Custody
Debt market regulations, issuance framework (corporates)
Empowering market players / dealers (dealer system and clearing rules, etc)
Repos market
Level of product sophistication
Benchmarking
Issuance is irregular – more adhoc vs scheduled (no true yield curves)
Limited benchmarking
Liquidity Pools of domestic liquidity are key to supporting capital markets
Raising domestic savings rates
Insurance sector development
Pension reforms
Banks offering of dedicated long term savings products

13. Disclaimer
This document contains information that is privileged and confidential. Any dissemination, distribution, copying or unauthorized use of this document without the written consent of Melak Iraq and or Rabee Securities is strictly prohibited.
This document is for informational purposes only and is not an offer to sell securities by Melak Iraq or Rabee Securities or any other party. At such time as Melak Iraq, Rabee Securities or any other party referenced in this presentation should decide to effect an offering of securities, such offering will be made by means of a private placement memorandum which satisfies all applicable legal requirements.
This document contains certain forward looking statements regarding strategies, plans, beliefs, and current expectations of Melak Iraq and Rabee Securities. Recipients are cautioned that any such forward looking statements are not guarantees of future events and involve risks and uncertainties that would cause actual results to differ materially from those in the forward looking statements.