Informe Anual Integrado Peru 2020 ENG

Creating Opportunities
Annual Report
2020
Integrated
Report
Annual Report 2020
Integrated Report
Declaration of responsibility
This document contains truthful and sufficient information regarding BBVA's business
during 2020. Without prejudice to the responsibility of the issuer, the signatories are
responsible for its content, per the applicable legal provisions.
Lima, March 24th, 2021
People responsible for its preparation
Ignacio Fernández Palomero

Deputy General Manager – Finance
Carlos Loo Pun

General Accountant
Raúl Roca Kohler

Legal Services Manager-Corporate Commercial - Stock Market Representative
2
Index
1. BBVA in brief 5
2. Letter from the President 6
3. Letter from the CEO 7
4. About BBVA 10
4.1. Impact data 10
4.2. BBVA’s measures against covid-19 14
4.3. Environment 15
4.4. BBVA’s purpose 19
4.5. Organization chart and governance structure 20
4.6. Engagement with initiatives 21
5. Non-financial information 23
5.1. Strategy and business model 23
5.1.1. BBVA’s transformation 23
5.1.2. BBVA’s values 25
5.1.3. Materiality analysis 26
5.1.4. Responsible Banking Model 27
5.1.5. Stakeholders 29
5.2. Relationship with the client 32
5.2.1. Customer experience 32
5.2.2. TCR communication 33
5.2.3. Management of complaints and claims 35
5.3. Responsible practices 37
5.3.1. The team 37
5.3.1.1. Selection, training and development 42
5.3.1.2. Diversity and work-life balance 47
5.3.1.3. Compensation and remuneration 49
5.3.1.4. Labor conditions 50
5.3.1.5. Volunteering and social engagement 52
5.3.2. Governance systems and ethical behavior 52
5.3.2.1. Corporate governance 52
5.3.2.2. Compliance system 56
5.3.2.3. Standards of conduct 61
5.3.2.4. Internal control model 62
5.3.3. Fiscal transparency 65
5.3.4. Responsible purchasing 66
5.4. Sustainable finance 69
5.4.1. Pledge 2025 69
5.4.2. Sustainable financing 70
5.4.3. Management of social, environmental, and reputational risks 72
5.4.3.1. Management of social and environmental risks 72
5.4.3.2. Eco-efficiency 74
5.4.4. Sustainable Development Goals 78
5.4.5. Products with high social impact 88
5.5. Contribution to society 93
5.5.1. Investment in social programs 93
5.5.2. Financial education 93
5.5.3. Knowledge, science, and culture 94
5.6. Awards and honors 99
3
6. Financial information 101
6.1. Business and activities 101
6.1.1. Corporate & Investment Banking (CIB) 106
6.1.2. Financial management 107
6.1.3. Risk management 108
6.1.4. Subsidiary BBVA Bolsa SAB SA 112
6.1.5. Subsidiary BBVA Sociedad Titulizadora SA 113
6.1.6. Subsidiary BBVA Asset Management SA SAF 114
6.1.7. Engineering 114
6.2. Management report 121
6.3. Separate audited financial statements 132
6.4. Consolidated audited financial statements 232
6.5. Additional information 333
6.5.1. General data 333
6.5.2. Description of operations and development 334
6.5.3. Judicial, administrative or arbitration proceedings 335
6.5.4. Management 335
6.5.5. Financial information and financial statements 338
6.5.6. Information related to the stock market 338
6.5.7. Report on compliance with the code of good corporate governance for Peruvian companies (10150) 360
6.5.8. Corporate Sustainability Report (10180) 405
6.5.9. Report on shareholder structure by type of investor (10190) 426
6.6. Branch and agent network 427
7. Criteria and standards of non-financial information 429

8. GRI content index 431
9. Independent review report of non-financial information 441
4
1. BBVA in brief
53%/47% 7,734 73,714

women/men on payroll private shareholders private clients with
received rescheduled loans without
S/ 534,050,894.30 for interest due to covid-19
cash remuneration for a total of S/ 1,649 MM
1,245 11,483 1,891

million soles in taxes million soles of financing people who have
accrued and collected by granted to SMEs participated in financial
BBVA's activity education programs
137,000 55,595 735,615

affiliates accumulated in SMEs supported or new people banked in
BIM with BBVA as issuer financed by BBVA 2020
3,438,728.92 6,365
of soles allocated to BBVA beneficiaries of the
Foundation programs integration scholarship
program
5
2. Letter from the President
GRI 102-14
Dear shareholders:
I am pleased to highlight
Peru and the world faced in 2020 a health, economic and social crisis that cost the lives that, despite the
of more than 1.8 million people, modified the habits of social behavior, and put the complexity of 2020, we
resistance of entire societies to the test. are in a stable position of
financial strength to face
Faced with an unforeseen event of such magnitude, the role of the companies was the future and continue
decisive in helping to contain the crisis. BBVA Peru took a step forward and became one to generate value for our
of the first financial institutions to propose a support plan for its clients, which resulted in shareholders, whom I
the rescheduling of more than 287 thousand loans for an amount of 19,311 million soles thank for their trust and
and a special credit line of 2,500 million soles aimed at the SME sector. permanent support
under all circumstances.
Likewise, the Bank actively participated in public financing programs and granted, within
Reactiva Peru, more than 39,121 credits for an amount greater than 14,931 million soles,
which allowed thousands of companies to maintain their payment chains and preserve
the employment of its employees.
In very challenging circumstances, we put all our human, technological and physical
infrastructure at the disposal of the country, without neglecting the health of clients,
employees, and all Peruvians at any time.
Our quick and effective response evidenced the success of the digital transformation
strategy, to the point that not only more than 80% of the over 5 thousand Bank
employees were able to work from home without losing closeness to the customer, but
also the digital customer service channels companies achieved, without incident, an
operations growth of more than 70% compared to 2019.
These digital capabilities were crucial in the most difficult moments of the pandemic, as
demonstrated by the launch of a 100% digital account and a new app, GloMo (Global
Mobile), which enhances the user experience by incorporating facial biometrics and new
functionalities, and the development of financial products such as Zero and Fixed Fee
cards, focused on meeting the new demands of the local market.
In the area of social responsibility and sustainability, the BBVA Group, as a member of the
United Nations Global Compact for more than a decade, once again promoted the
Sustainable Development Goals (SDGs) with an emphasis on financial inclusion, the
promotion of equitable education, diversity, gender equality and the preservation of the
environment.
In summary, I am pleased to highlight that, despite the complexity of 2020, we are in a

stable position of financial strength to face the future and continue to generate value for
our shareholders, whom I thank for their trust and permanent support under all
circumstances.
Alex Fort Brescia

Chairman
BBVA Peru
6
3. Letter from the CEO
GRI 102-14
Dear shareholders:
BBVA directed its efforts
As we all experienced, 2020 was marked by the global covid-19 pandemic, and BBVA to promote the internal
Peru's efforts were aimed at protecting the health of not only of its clients and employees cultural transformation
but of society as a whole. During the health emergency, our teams provided an essential to strengthen simpler
service throughout the country and, from the beginning, we implemented a series of and faster structures,
measures to alleviate the financial burden of the client through rescheduling and deferral which in turn allow it to
of obligations. adapt to the new
environment and face
Along these lines of action, we facilitated access to financing for thousands of companies not only present
and SMEs through our credit lines and public guarantee programs, to maintain the challenges but future
payment chain and safeguard as many jobs as possible. ones because social
change and technological
However, amid the uncertainty and volatility of an unprecedented situation - which development do not stop.
compressed the GDP by more than two digits and has affected banks' balance sheets -
BBVA attributes, such as its strategy, purpose, and values were consolidated and
strengthened, to the point of placing ourselves in a position of digital, financial and
organizational strength for the future.
The Bank's advances in digital transformation played a fundamental role in the crisis and
allowed it to be closer to customers, by offering them innovative solutions such as a
100% digital account or the new GloMo app, which incorporates facial recognition to
authorize operations. Hence, the use of digital channels, both the mobile application and
internet banking, will increase by more than 70% in 2020, an acceleration that is a trend
and is estimated to continue in the short term.
Another digital strength of BBVA Peru was the ability of its teams to, since the beginning
of the crisis, implement remote work and provide financial advice to clients through
virtual platforms and tools, at the same time that we were able to increase our market
share in consumer loans and credit cards, two key retail banking products.
Likewise, BBVA directed its efforts to promote the internal cultural transformation to
strengthen simpler and faster structures, which in turn allow it to adapt to the new
environment and face not only present challenges but future ones because social change
and technological development do not stop.
Lastly, I want to recognize that the achievements of BBVA Peru in 2020 would not have
been possible without the commitment and effort of the over 5 thousand employees that
constitute the organization, as well as the decisive support of you, its shareholders, who
commit us to continue offering the best of our personal and professional capacities for
the benefit of clients and the most sustainable and inclusive growth of the country.
Fernando Eguiluz Lozano

Gerente General
BBVA Peru
7
Board of Directors
Pedro Brescia Moreyra Ignacio Lacasta Casado

Alex Fort Brescia Deputy Chair Second Deputy Chair
Chairman
Fernando Eguiluz Mario Brescia Moreyra Fortunato Brescia Rafael Varela Martínez
Lozano Director Moreyra Director
Chief Executive Officer Director
José Ignacio Merino José Carlos López Ismael Benavides José Manuel Rodríguez-
Martín Álvarez Ferreyros Novás Sánchez-Diezma
Director Director Independent Director Independent Director
8
Managing Committee
Fernando Eguiluz Lozano Frank Erick Sandra Bianco Roa Luis Morales
Babarczy Rodríguez Deputy General Espinoza
Chief Executive Officer Deputy General Manager Deputy General
Manager Talent & Culture Manager
Corporate & Client Solutions
Investment Banking
Gustavo Delgado- Ignacio Fernández- Marco Antonio Ruth Anabelí Enrique Medina
Aparicio Labarthe Palomero Morales Galdo Marín González Velapatiño García
Deputy General Deputy General Deputy General Deputy General Deputy General
Manager Manager Manager Manager Manager
Commercial and Finance Retail Banking Legal Transformation
Corporate Banking and Data
Guadalupe Pérez Vicente Puig Payá Walter Borra

Suárez Deputy General Núñez*
Deputy General Manager Chief Audit
Manager Risks
*Attends the Managing
Engineering Committee as a guest.
9
4. About BBVA
Banco BBVA Peru is a solid financial institution of great national and international prestige
belonging to the BBVA Group, whose main shareholders are BBVA Peru Holding S. A. C. and
Holding Continental S. A., each of which owns 46.12% of the Bank's shares. It is authorized to
operate by the Superintendency of Banking, Insurance and AFP (pensions) (SBS by its Spanish
acronym), under Law Nº 26702, General Law of the Financial System and the Insurance and
Organic System of the SBS, which establishes the regulatory and supervisory framework for the
companies that operate in the financial and insurance system submit. It carries out its activities
through a network distributed throughout the country and its headquarters are located at Av.
Republica de Panama 3055, district of San Isidro, city of Lima, capital of Peru. The Bank is a
public limited company incorporated in 1951, with RUC number 20100130204.
GRI 102-1, 102-2, 102-3, 102-4, 102-5, 102-7, 207-4
4.1. Impact data

GRI 102-6
AMAZONAS
CAJAMARCA
S/107,384
SAN MARTÍN
TUMBES million in assets
PIURA
LAMBAYEQUE
6,869,787
clients
LORETO
UCAYALI
23
MADRE DE DIOS regions
CUZCO
PUNO
321
offices
LA LIBERTAD
ÁNCASH
HUÁNUCO
PASCO
LIMA
1,933
ATMs
JUNÍN
ICA
APURÍMAC
5,974
AYACUCHO employees
AREQUIPA
MOQUEGUA
TACNA
10
Key indicators of Responsible Business
GRI 102-7, 102-8, 201-1, 202-2, 401-1, 405-1 2020 2019 2018 2017
Economic
Economic value generated (millions of S/) 4,644 4,904 4,496 4,168
Economic value distributed (millions of S/) 1,902 2,262 2,070 1,964
Retained economic value (millions of S/) 2,742 2,642 2,426 2,204
Social
Community
Investment in social programs (S/) 4,068,711.47 4,320,757.75 4,219,870.52 4,447,233.66
Profit attributed to the Group dedicated to social programs (%) 0.62 0.27 0.29 0.32
Number of people benefited by the financial education program 1,891 1,219 1,479 498
Number of people benefited by the Leer es estar adelante program 6,365 6,642 5,715 14,474
Indirect beneficiaries 25,900 27,084 31,704 57,896
Human capital
Employees(*) 5,974 6,180 6,008 5,666
Employees’ gender diversity (women/total payroll,%) 53 52 52 52
Management team 92 87 87 87
Management team’s gender diversity(women/total payroll,%) 33 30 30 31
Average age (years) 35 35 34 35
Job stability (% permanent employment) 84.00 81.83 81.10 80.00
Turnover 12 18.30 21.00 18.20
Net jobs created 696 880 891 870
Labor seniority (years) 9.10 9 9.10 9.20
Training hours per employee 52.81 50.9 44.00 53.96
Participants in volunteer initiatives who are BBVA employees 73 270 341 100
Environmental
CO2 emissions per person (T) 1.0 1.52 1.66 1.88
Paper consumption per person (Kg) 35.71 45.27 43.94 50.52
Water consumption per person (m3) 26.06 24.24 24.25 25.18
Electricity consumption per person (MWh) 4.68 4.71 5.00 6.25
People working in certified buildings (%) 41.08 42.26 39.66 35.00
Corporate governance
Data (number)
Dirctors 9 9 9 8
Independent directors 2 2 2 1
Managing Committee 11 11 10 10
Committe meetings 14 12 12 12
Gender diversity in the Committee (women/total directors,%)1 14 30 20 22
(*) The data corresponds to BBVA payroll.

1 For the calculation of Gender Diversity in the Committee, the Board of Directors and Managing Committee are considered.
11
BBVA’s relevant data In millions of soles and percentage
GRI 102-7 2020 2019 2018 2017 Var. Var. %

Financial statements
Total assets 107,384 81,722 74,979 76,591 25,662 31.4%
Loan portfolio1 66,447 56,209 51,866 49,892 10,238 18.2%
Obligations to the public 70,813 54,660 48,946 47,402 16,153 29.6%
Net worth 9,376 9,188 8,359 7,660 188 2.0%
Income statements
Gross financial margin 3,204 3,373 3,119 2,870 –169 –5.0%
Net financial margin 1,481 2,623 2,386 2,331 –1,142 –43.6%
Net financial services income 777 787 782 765 –10 –1.3%
Results from financial operations 687 727 613 587 –40 –5.5%
Operating margin 2,945 4,137 3,780 3,683 –1,192 –28.8%
Administration expenses 1,677 1,650 1,520 1,468 27 1.7%
Profit before income tax 879 2,222 2,026 1,883 –1,343 –60.4%
Net profit 655 1,610 1,476 1,387 –955 –59.3%
Portfolio quality
NPL ratio2 3.22% 3.02% 2.94% 2.68% 20 pbs —
Non-performing portfolio coverage ratio3 192.88% 161.84% 153.58% 168.49% 3,104 pbs —
Liquidity
Available funds/ Total deposits4 34.48% 26.32% 25.11% 31.01% 816 pbs —
Net loan portfolio/Total deposits4 91.90% 99.98% 100.81% 101.05% –808 pbs —
Productivity
Total assets/ Nº of personnel (millions of S/) 16.39 12.89 12.16 13.18 — 27.2%
Capital ratios
Overall capital ratio5 13.68% 14.05% 14.95% 14.20% –37 pbs —
Profitability and efficiency indices

ROE6 7.04% 18.78% 18.98% 19.52% –1174 pbs —
ROA7 0.68% 2.00% 1.97% 1.83% –132 pbs —
Efficiency ratio8 40.42% 37.71% 37.46% 37.89% 271 pbs —
Market share
Current placements 21.53% 20.40% 19.98% 21.11% 113 pbs —
Total deposits 21.62% 21.04% 20.81% 21.21% 58 pbs —
Other data
Structural payroll 6,551 6,342 6,164 5,811 209 3.3%
Total Commercial Network

Commercial Banking Offices 321 329 329 329 –8 –2.4%
Business Banking Offices 23 20 20 20 3 15.0%
Corporate Banking Offices 1 1 1 1 0 0.0%
Institutional Banking Office 1 1 1 1 0 0.0%
Premium Banking Offices 3 3 3 3 0 0.0%
ATMs 1,933 1,969 1,970 1,968 –36 –1.8%
1 Net of Provisions.
2 Overdue portfolio/gross loans.
3 Provisions/overdue portfolio.
4 Obligations with the public and deposits of the financial system.
5 Cash equity/risk-weighted assets
6 Annualized net income/average equity.
7 Annualized net profit/average asset.
8 Operating expenses/total financial margin.
Includes branches abroad
Source: Superintendency of the Securities Market/Superintendency of Banking, Insurance, and AFP (pensions).
12
Business volumes In millions of soles
2020 2019 2018 2017 Var.
Loan portfolio 66,447 56,209 51,866 49,892 18.2%

Obligations to the public 70,813 54,660 48,946 47,403 29.6%
Source: Superintendency of the Securities Market
Economic Value Added (EVA): Detail by stakeholders In millions of soles
Value indicator Dec-20 Dec-19 Dec-18
Shareholders Dividends 563 812 763

Price 2.17 3.43 3.90
Employees Personnel and directory expenses1 734 718 642
Employee participation2 114 134 113
Customers Loan portfolio 66,447 56,209 51,866
Obligations to the public 70,813 54,660 48,946
Suppliers Expenses for services and others3 830 798 765
Society Income tax 224 612 550
1 Does not include employee participation.

According to the latest SBS regulations effective as of 01.01.211, the participation of employees is included in administrative expenses (personnel expenses item).
2 Dividends, participations, and remunerations payable. Source: Notes to the FS - SMV

Calculated following the GRI SPI model. www.spfinance.com
3 Includes expenses for services received from third parties and taxes and contributions. Source: Notes to the FS - SMV
Source: Superintendency of the Securities Market - SMV
Economic value generated and distributed In millions of soles
Dec-20 Dec-19 Dec-18
Economic value generated (EVG)

1 Gross financial margin 3,204 3,373 3,119
2 Net commissions 777 787 782
3 Result from financial operations (ROF) 687 727 612
4 Other income and expenses –25 16 –18
Total (1 + 2 + 3 + 4) 4,644 4,904 4,496
Distributed Economic Value (DEV)

1 Employee participation1 114 134 113
2 Income Tax 224 612 550
3 Personnel and directory expenses2 734 718 642
4 4 Expenses for services and others3 830 798 765
Total (1 + 2 + 3 + 4) 1,902 2,262 2,070
Retained economic value (REV = EVG - DEV)

1 Net profit 655 1,610 1,476
2 Provisions and amortizations 2,087 1,032 950
Total (1 + 2) 2,742 2,642 2,426
1 Dividends, participations, and remunerations payable. Source: Notes to the FS - SMV
2 Does not include employee participation. According to the latest SBS regulations effective as of 01.01.2011, the participation of employees is included in administrative expenses
(personnel expenses item).
3 Includes expenses for services received from third parties and taxes and contributions. Source: Notes to the FS - SMV
Source: Superintendency of the Securities Market - SMV
13
4.2. BBVA’s measures against covid-19
BBVA prioritized clients, employees, and society in its response to covid-19, especially
since the containment measures to prevent the spread of the pandemic caused many Throughout the state of
people to see their economic income reduced. Thus, the Bank prepared various support emergency, BBVA made
measures that allowed more than 200,000 people to access the rescheduling of their various measures
financial obligations, without affecting their credit rating. At the end of December 2020, available to the client
the Bank reprogrammed S/ 13,252MM in loans. that provided grace
periods, such as payment
Throughout the state of emergency, BBVA made various measures available to the client deferral plans (from 30
that provided grace periods, such as payment deferral plans (from 30 to 90 days) and a to 90 days) and a three-
three-month installment freeze. In parallel, a special credit line for SMEs was created, month installment
amounting to 2,500 million soles. freeze.
Also, the Bank made its network of offices available to the Government for the delivery of
the social bonds that it provided in support of the population during the emergency, while
actively participating in the Reactiva Peru programs, placing S/ 14,930MM and FAE-Mype,
for which it granted more than 15,000 credits at the end of 2020.
New protocols for admission and credit Other facilities

rescheduling
Granting •Payment of social bonus through BBVA branches.
•Reprogramming with and without interest in financial relief
consumption, credit cards, cars, small and medium- •Exemption of ATM fees from other banks.
to our clients
sized companies.
•Withdrawal of CTS and up to 25% of the funds from
•Reduction of fees for a maximum of 48 months and the AFPs.
grace periods for SMEs, after evaluation.
•BBVA offers loans from the Reactiva program with
•Request for rescheduling through Mobile Banking rates of around 1%.
and Internet Banking.
•Convenience to perform any operation without
leaving home.
In its commitment to the community, BBVA made donations and implemented the
following social action programs:
Biosafety plan Team recognition and reinforcement
•Decrease of capacity in offices. Assuring •Full-time occupational physicians, psychologists,

the well-being of and coaching for team leaders.
•Health kits for employees.
employees •Recognition bonus for those who work in person
•Protection for the group considered vulnerable to (not remotely).
covid-19.
•Financial support (reprogramming and withdrawal
•Home office for employees. of CTS).
•Special transportation for employees.
Commercial Bank Business Banking Remote staff Critical staff

Network commitment for more than Closeness with our clients advising Over 2,300 employees working Endeavor to keep critical services
210 days of state of emergency and guiding them with government remotely available at all times
programs
14
En su compromiso con la comunidad, BBVA realizó donaciones e implementó los
siguientes programas de acción social:
Donations Social programs
•Donation of personal protective equipment (PPE) •Alliance with Minedu for the inclusion of our
for Minsa and Essalud. Actions for the methodology and educational tools in the Aprendo
community en casa portal.
•Food donation to vulnerable populations through
the SEP. •Use of virtual tools for the adaptation of our Leer es
estar Adelante program (reading comprehension)
and Your money, your friend (financial education).
•Continuity with cultural programs in new formats

(Lima International Book Fair, PUCP Cultural Center,
Hay Festival).
4.3. Environment
GRI 102-6
Economic situation
The quarantine measures ordered by the Government to contain the spread of the
coronavirus impacted economic activity with a drop of –11.1% in GDP (Gross Domestic The quarantine measures
Product). The decline was generalized by sector during the year. In the primary GDP, ordered by the
which groups together extractive and natural resource processing activities, the decline in Government to contain
Mining and Hydrocarbons stood out; while in non-primary GDP, more linked to domestic the spread of the
demand, the decline was even more pronounced, with sectors such as Commerce and coronavirus impacted
Services with the most pronounced declines, in a context of slowdown in domestic economic activity with a
demand. drop of –11.1% in GDP
(Gross Domestic
Real GDP Interannual variation (%) Product).
9.8
8.8
6.9 6.3
5.8
3.3 4.0 2.5 4.0
2.4 2.1
0.9
–11.1
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Source: Central Reserve Bank of Peru (BCRP)
15
Regarding spending, the moderation in the growth of domestic demand in 2020 is mainly
explained by the decline in private consumption –in an environment of job destruction The moderation in the
due to the confinement measures– and a gradual resumption of activities. For the same growth of domestic
reason, a significant drop in private investment was observed. Regarding external factors, demand in 2020 is
the decline in exports should be taken into account as a reflection of lower mining mainly explained by the
production and the reduction in global demand for other products, as well as because decline in private
imports were affected by lower domestic consumption. consumption –in an
environment of job
Concerning the public sector accounts, in 2020 the fiscal deficit increased to a level destruction due to the
equivalent to 8.9% of GDP1. As a result, gross public debt was 35.0% of GDP2. confinement measures–
and a gradual
Economic result of the non-financial public sector resumption of activities.
Percentage of nominal GDP (%)
2.5 2.1 2.3

0.9
–0.2 –0.2
–1.3 –1.6
–1.9–2.3
–2.3
–3.0
–8.6
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
On the external accounts side, there was a trade surplus that reached US$ 7,750 million,
which was nevertheless offset by the deficit in the balance of services (US$ 4,091 million)
and the net payment of profits, dividends and interest abroad (US$ 6,688 million). Even
so, the current account of the balance of payments closed 2020 with a surplus of 0.5% of
GDP. On the other hand, the inflow of long-term capital directed to the private sector
reached 0.3%3 of the GDP.
Current account of the balance of payments and

long-term external financing
Percentage of nominal GDP (%)
4.6
3.6
2.4
1.1
0.4 0.4 0.5 0.3
–1.3 –1.5
–1.7
–2.6
–4.5 –5.0 –5.0
2014 2015 2016 2017 2018 2019 2020
Cuenta corriente Capitales privados de largo plazo
1
BCRP, Weekly Note, table 122
2
3
16
In 2020, inflation closed at 2.0%, in the center of the target range of the Central Reserve
Bank of Peru (BCRP) (2%, +/– one percentage point). This occurred in the context of
weak economic activity and low fuel prices, offset by the increase in the exchange rate
and restrictions on the local supply of some foods.
Consumer Price Index of Metropolitan Lima

Year-on-year percentage change
p
4.7
4.4
3.2 3.2
2.9
2.6
2.1 2.2
1.9 2.0
1.4
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
The Peruvian sol devalued and presented episodes of volatility fueled by external and
internal factors. Among the former, the outflow of capital from emerging economies
registered amid the uncertainty experienced at the beginning of the covid-19 pandemic
stands out, while, among the latter, the tensions in the local political context that have
occurred throughout the year. It is worth noting that the weakening of the local currency
registered at the end of 2020, compared to the end of the previous year, occurred despite
the strength of the country's macroeconomic indicators and the high trade surplus.
Exchange rate
Interbank sale, end of period, soles per dollar
3.70
3.65
3.60
3.55
3.50
3.45
3.40
3.35
3.30
3.25
3.20
Feb-18
Apr-18
Jun-18
Aug-18
Oct-18
Dec-18
Feb-19
Apr-19
Jun-19
Aug-19
Oct-19
Dec-19
Feb-20
Apr-20
Jun-20
Aug-20
Oct-20
Dec-20
dic-18
dic-19
dic-20
feb-18
feb-19
feb-20
oct-18
jun-18
jun-19
oct-19
oct-20
jun-20
abr-20
abr-18
abr-19
ago-18
ago-19
ago-20
17
Peruvian financial system
In 2020, loans from the financial system to the private sector grew by 17.2%4 (6.2% the
previous year), which is mainly explained by loans to companies, particularly to SMEs, in
the context of the Reactiva Peru program, which auctioned resources for approximately
S/ 55 billion. It is worth mentioning that the dollarization of loans was 21.4%5 (26.0% at
the end of 2019).
Financial system credits Balance valued in millions of

soles, end of period
87 84
88
77 83
77 293
288
228
204
195
182
2015 2016 2017 2018 2019 2020

Monedacurrency
National nacional Moneda
Foreignextranjera
currency
Source: Superintendency of Banking, Insurance, and AFP
The growth of deposits in the financial system improved during 2020, reaching 23.4%
compared to 8.1% in 20196. The dollarization of deposits fell, from 35.2% in 2019 to
34.6% at the end of 20207. The considerable expansion of deposits is explained by the
implementation of the Reactiva Peru program and the withdrawals of funds from the AFP
(pensions).
Financial system deposits Balance valued in billions of

soles, end of period
127
98 104
103 101
114 239
192
155 176
117 130
2015 2016 2017 2018 2019 2020

National
Monedacurrency
nacional Foreignextranjera
Moneda currency
On the other hand, the quality of the banking system’s portfolio showed a decline,
whereby the delinquency rate went from 3.02% in 2019 to 3.8%8 in 2020.
Finally, the average profitability of banks, which is calculated by dividing the annualized
net profit by the average equity (ROE), was located at 3.96%9, a level lower than that
registered in 2019 (18.34%).
4
Superintendency of Banking, Insurance and AFP (pensions).
5
6
7
8
9
18
Financial indicators of banking companies
Delinquency Cost effectiveness

Institution 2019 2020 2019 2020
BBVA Perú 3.02% 3.22% 18.78% 7.04%

Banco de Comercio 2.54% 2.56% 10.79% 6.60%
Banco de Crédito 2.71% 3.20% 20.41% 4.47%
Banco Pichincha 4.03% 5.55% 6.47% –1.94%
BIF 2.87% 3.18% 13.77% 5.03%
Scotiabank 3.50% 5.37% 15.83% 2.61%
Citibank 0.00% 0.00% 22.66% 14.84%
Interbank 2.62% 3.40% 21.84% 4.35%
Mibanco 5.42% 7.08% 20.63% –1.71%
GNB 4.29% 3.89% 5.86% 0.64%
Falabella Bank 2.85% 4.69% 12.14% –11.68%
Santander Bank 0.55% 8.93% 14.27% 14.32%
Ripley Bank 3.04% 11.65% 13.16% –25.78%
Azteca Bank 8.99% 15.46% –6.72% –46.11%
Cencosud Bank 0.00% 0.00% 0.00% 0.00%
ICBC Bank 0.00% 0.00% 4.45% 8.53%
Bank of China – – – –2.04%
Average of the banking system 3.02% 3.80% 18.34% 3.96%
Source: Superintendency of Banking, Insurance, and AFP (pensions).
4.4. BBVA’s purpose

BBVA’s global purpose is to bring the age of opportunities to everyone. This means that
the Bank bases its existence on its ability to generate opportunities that allow people to BBVA guides its actions
make their projects a reality in any personal or social sphere. In Peru, BBVA follows this towards customer
conviction by providing its clients with access to opportunities aimed at achieving a full satisfaction and works
life. tirelessly to provide them
with physical and digital
“Customer comes first”, indicates the institution's first value, which is why it is the center service channels that
of all the Bank’s efforts, basing its actions on two additional principles: we are one team seek excellence in
and we think big. service quality.
With these values as a platform, BBVA guides its actions towards customer satisfaction
and works tirelessly to provide them with physical and digital service channels that seek
excellence in service quality.
Certainly, BBVA understands that, beyond the business sphere, its actions have a social
impact, which is why it extends its citizen commitment under strict criteria of
sustainability and inclusive development.
Our purpose
To bring the age of opportunity to everyone
Customer We think We are

comes first big one team
Improving Helping our Reaching more Driving The best and Data and
client’s clients clients operational most engaged Technology
financial health transition Excellence team
towards a
sustainable
future
19
4.5. Organization chart and governance
structure
The many achievements obtained by betting on innovation and the use of new agile ways
of working to deliver innovative solutions to the client in record time have allowed the The central areas of the
Bank to be a leader in digital transformation. The central areas of the Bank have migrated Bank have migrated to
to the new agile organizational model, with multidisciplinary and empowered teams, the new agile
integrating it into the next stage of the agile transformation, within a synchronized effort organizational model,
of the BBVA Group worldwide. with multidisciplinary
and empowered teams,
As a result of the change, the new organizational structure of the Bank is made up of the integrating it into the
following areas: next stage of the agile
transformation, within a
Internal Audit: Performs an independent and objective evaluation of the risks related to synchronized effort of
business processes, the controls to mitigate them, and the related regulatory aspects. the BBVA Group
worldwide.
Corporate & Investment Banking: Concentrates on the activities of investment banking,
global markets, global loans, and transactional services for corporate clients and
institutional investors. Provides its clients with a wide catalog of products and services
with high added value.
Client Solutions: Creates opportunities that take the business to the time and place
where the customer needs it, with differential solutions to revolutionize their experience;
To ensure this, it designs, develops, innovates, and maintains products, services, and
distribution channels.
Commercial Bank: Defines the relevant strategy in Retail Banking, Private Banking, and
Business Centers, to ensure maximum performance in the evolution of the business and
the balance of results.
Business and Corporate Banking: In charge of determining the strategy that safeguards
the best solution in the progress of the business, as well as the balance of results in
Business and Corporate Banking.
Engineering: Accompanies the different areas of Headquarters and Branch Network in

the achievement of their objectives with solutions and technological supports, data
processing and security measures.
Talent & Culture: With the focus on the employee, it leads the transformation of
organizational change by ensuring the deployment of governance and relationship
models, seeking the most appropriate spaces, and actively participating in the monitoring
of new dynamics in work teams.
Finance: Its main objective is to achieve the efficiency and effectiveness of the
organization's economic-financial resources, for which it makes use of management
information systems, analysis tools, and investor relations.
Risks: Seeks to guarantee the solvency and sustainable development of operations

through a single, independent and global corporate risk management model, which
assesses risks and minimizes their impact on the expected results of the business.
Juridical services: Advises the supporting units on legal aspects and designs strategies
focused on the defense of the BBVA Peru Group, to ensure compliance with regulations in
aspects such as money laundering, customer protection, personal data, and the
securities market.
Transformation & Data: With a client-centered vision, it designs processes that promote
an increase in productivity and focus on the key activities of the banking business. It is
also in charge of implementing the corporate data development roadmap in the country.
20
On the other hand, the Bank has the following supporting units:
Business Strategy: Performs the general services management for the CEO’s office.
Supports the alignment of global and local strategies for projects and initiatives that have
an impact on the bank.
Brand and Communication: Manages and promotes BBVA Peru Group’s brand in
different media and public spaces.
BBVA Research: Responsible for making projections, presentations, and reports that
show the evolution of economic variables, which facilitates decision-making by
management levels and business areas.
Board of Directors
Internal Audit
Compliance
General Management
Brand and Communication
Economic Studies
Commercial
Client Retail Talent & Legal and Transformation
C&IB Perú and Corporate Engineering Finance Risks
Solutions Banking Culture Compliance & Data
Banking
n Area
n Unit
4.6. Engagement with initiatives

International
GRI 102-12, 201-2
Compliance with the main international standards on corporate social responsibility
(CSR), which the Responsible Business Committee has seen as appropriate and relevant,
is specified in BBVA's adherence and engagement with the following commitments:
•Principles of Responsible Banking, promoted by the Financial Initiative of the United

Nations Environment Program (UNEP FI) (Since 2019).
•Sustainable Development Goals
(https://www.undp.org/content/undp/es/home/sustainable-development-
goals.html). (Since 2018).
•United Nations Global Compact (www.globalcompact.org). (Since 2014).
•Finance Initiative of the United Nations Environment Program, UNEP-FI
(www.unepfi.org). (Since 1999).
•Equator Principles (www.equator-principles.com).
•United Nations Declaration of Human Rights (www.un.org).
•Labor regulations of the International Labor Organization (www.ilo.org).
•Carbon Disclosure Project (www.cdproject.net). (Since 2004).
21
•Principles for Responsible Investment. (www.unpri.org). (Since 2004).
•Task Force on Climate-related Financial Disclosures (TCFD). https://www.fsb-
tcfd.org/). (Since 2017).
•Principles for Responsible Investment. (Since 2008)
•Paris Agreement. (Since 2008).
Nationals
GRI 102-13
BBVA is subscribed to several national institutions and associations with which it
implements a series of actions. In only one of them, the Chamber of Commerce of Spain
in Peru, one of BBVA’s directors is a member of its board of directors.
22
5. Non-financial
information
5.1. Strategy and business model

5.1.1. BBVA’s transformation
GRI 102-1, 102-14, 102-15, 103-1
In 2020, the foundations were set to execute the Strategic Plan that includes changes in
the organizational structure, the beginning of the cultural transformation, and the Regarding cultural
continuous improvement of the agile organization model. Thus, the Transformation and transformation, the
Data Division was created, which brings together the offices of Transformation, CREO Movement was
Organization, Processes and Agile, and the management team was transformed with the created throughout the
incorporation of new talent in strategic positions, both at the level of the Management Bank, to promote BBVA
Committee and its direct reports. Likewise, in line with strategic priorities, changes were values and be a high-
made to organizational structures in different Bank units. performance
organization.
Regarding cultural transformation, the CREO Movement was created throughout the
Bank, to promote BBVA values and be a high-performance organization.
BBVA's strategy is made up of six strategic priorities:
1. Improving client’s financial health
As a priority, BBVA aspires to be the trusted financial partner for its clients in the
management and control of their finances on a day-to-day basis and thus help them
improve their financial health and achieve their goals. Undoubtedly, digitization plays a
key role in today's world, which is why the Bank seeks to acquire the best digital
platforms to help the client in this regard.
On the other hand, BBVA culture is customer-centric, so providing personalized advice

based on the use of data and state-of-the-art artificial intelligence is the logical task. In
that sense, in 2020 a new mobile application for people was launched, with functionalities
that allow the client to better manage their finances.
2. Helping our clients transition towards a sustainable future
Another of BBVA's main objectives is to promote and support its clients in the transition
towards a sustainable future, which entails taking into account the implications that
clients' projects and the Bank's strategy and commercial processes may have on climate
change.
In 2020, BBVA Peru promoted green mortgage loans and strengthened its sustainable
commitment to education and the State, signing an agreement with the Ministry of
Education to promote the Leer es estar adelante program, which has served more than
6,000 children and trained more than 250 teachers in dozens of public schools.
23
Also, the Bank registered in the Ministry of Environment’s official Carbon Footprint tool,
committing to the State's sustainable development agenda.
Likewise, BBVA has remodeled the dining at Headquarters with the criteria of the EDGE
sustainable certification, which guarantees a substantial reduction in its impact on the
use of energy and water, as well as on the energy accumulated in materials.
3. Reaching more clients
BBVA seeks to accelerate its growth to serve more customers in the different segments
and with its various physical and digital channels. To achieve this, it builds a value offer of
means of payments and increases the customer's relationship with a better value offer of
its products.
Along those lines, the Bank simplified and improved the value offer of the credit card
portfolio, launching two new products in 2020: the Zero Card and the Fixed Fee Card.
Together with other financial service companies, it implemented PLIN, which provides the
client with a new digital payment solution. Also, to provide a better offer with more
personalized service, the segmentation of SMEs was redefined.
4. Driving operational excellence
The Bank is committed to a relationship model leveraged on digitization, with digitally

available products and services to focus face-to-face attention on advice and higher-value In 2020, BBVA launched
operations. BBVA relies on an efficient and productive operating model, with automated the new Digital GloMo
and increasingly simple processes thanks to the use of new technologies. application for 100% of
digital clients and
In 2020, BBVA launched the new Digital GloMo application for 100% of digital clients and deployed new risk tools
deployed new risk tools that improve the admission processes of retail clients. Likewise, it that improve the
optimized processes in the branch network and at its Headquarters, which freed up its admission processes of
capacity in operational processes, which allowed it to invest more time with the client. retail clients.
5. The best and most engaged team
The team has always been, is, and will be a strategic priority for BBVA, which aspires to
have its purpose and values at the center of the strategy and the day-to-day life of its
employees. Thus, it seeks to attract and retain the best talent, for which it constantly
improves the experience of employees on their journey and repositions the BBVA
employer brand. Boosting employee engagement and performance, while ensuring that
they live out the company's values is a distinct goal.
In line with these priorities, in 2020 the Bank deployed the CREO cultural movement as
the main axis of its Cultural Transformation, renewed internal talent, and promoted the
training and experience of employees through various business schools and internal
training.
6. Data and technology
To accelerate transformation across the board, BBVA has Data and Technology enablers
as catalysts for innovation, which drive transformation based on data and deliver high-
quality solutions.
One purpose of the Bank is to accelerate the transformation of the business with the
constant contribution of new technological capabilities that generate stability, robustness,
and security in the systems. In compliance with this, in 2020 it enabled the secure Home
Office and strengthened the Contact Center to ensure post-covid continuity. It also
launched various Data Use Cases to improve productivity and free up employee time.
24
5.1.2. BBVA’s values
GRI 102-16, 102-17
To identify the values, the BBVA Group developed an open process, in which the opinion
of employees from all countries and units of the Group was considered. These values People are the most
define BBVA's identity and are the pillars for making its purpose come true: important thing in the
Group. All employees are
Customer comes first owners and co-managers
of this project. They
BBVA has always focused on the customer, but now it comes first, putting it before break the mold and trust
everything else. There is a holistic and not only financial view of the client, which means, others as well as
among other things, working with empathy, agility, and integrity. themselves.
•We are empathetic: The Bank incorporates the customer's viewpoint from the
outset, putting itself in their shoes to better understand their needs.
•We have integrity: Everything that the Bank does is legal, publishable, and morally
acceptable to society.
•We meet their needs: The Bank is swift, agile, and responsive in resolving the
problems and needs of the customers, overcoming any difficulties that are
encountered.
We think big
It is not just about innovating but about causing a significant impact on people's lives and
that this leads them to improve their opportunities. The BBVA Group works with ambition
in pursuit of this objective, it is open to questioning everything and is not satisfied with
doing things reasonably well, but rather seeks excellence as a standard.
•We are ambitious: BBVA sets itself ambitious and motivational challenges to have a
real impact on people's lives.
•We break the mold: The Bank questions everything it does to consider new ways of
doing things, innovating, and testing new ideas which enable it to learn.
•We amaze the customer: The Group seeks excellence in everything it does to amaze
its customers, creating unique experiences and solutions which exceed their
expectations.
We are one team
People are the most important thing in the Group. All employees are owners and co-
managers of this project. They break the mold and trust others as well as themselves.
•I am committed: "I am committed to my role and my objectives and I feel

empowered and fully responsible for achieving them, working with passion and
enthusiasm."
•I trust others: "I trust others from the outset and I work generous, collaborating and
breaking down silos between areas and hierarchical barriers."
•I am BBVA: "I feel ownership of BBVA, I take its objectives as my own and do
everything in my power to achieve them and make our purpose a reality."
The Group, including its senior management, promotes global and local initiatives for the
continuous implementation and homogeneous activation of BBVA values in all countries.
In 2020, the new leadership traits - entrepreneurship, empowerment, and accountability -
were deployed, which were presented through a global communication and training plan
(leadership express) and integrated into the processes of the professional development
model, for their promotion among employees.
During 2020, BBVA advanced in the positioning of its values and leadership traits through
the CREO cultural movement, and under its umbrella, the third edition of the Global
Values Day was held, this time it was implemented with online gamified activities on the
BBVA Values platform, with the participation of 89,451 employees worldwide.
In Peru, workshops on values were organized that fostered the exchange of opinions and
experiences on how values and behaviors aligned with strategic priorities are lived. Led by
25
the agents of change of the CREO cultural movement, 2,162 virtual workshops were
developed for 3,064 employees.
Likewise, Challenge 1 of the movement was deployed: I Create Ideas, an initiative that
seeks to generate ideas for continuous improvement at all levels of the organization and
invites employees to take them into action. At the end of the year, 1,272 generated ideas
had been identified, several of which - such as the Bravo recognition platform or
#LaHoraCampusBBVA - will become a reality in 2021.
5.1.3. Materiality analysis

GRI 102-15, 102-21, 102-42, 102-43, 102-44, 102-46, 102-47, 103-1
The BBVA Group updated its materiality analysis in 2020 with which it intends to
prioritize the most relevant issues for both its key stakeholders and the business. The
materiality matrix is one of the sources that feed the Group’s strategic planning and
determines the priority aspects on which it must report. Such analysis integrates the
perspective of Peru’s stakeholders.
The phases of the materiality analysis were as follows:
1. Identification of the material issues in 2020. Based on the material issues of 2019 and
the different tools of listening to the stakeholders managed by the Bank were reviewed, as
well as the most recent trend studies. The process allowed updating the list, which counts
as the main and inevitable novelty in the management of covid-19.
2. Prioritization of issues based on their importance for stakeholders. To know the

priorities of some stakeholders (clients, employees, investors), interviews and ad-hoc
surveys were implemented. For other stakeholders, Datamaran was used as a data
analysis tool.
3. Prioritization of issues based on their impact on BBVA's business strategy. Since the
most relevant issues for BBVA are those that help it optimize its strategy, an assessment
was made of how each of them impacts the six Strategic Priorities.
The result of this analysis was the materiality matrix of Peru in 2020:
26
GRI 102-44
After the analysis, the four most relevant issues for BBVA in 2020 were:
Climate change; opportunities and risks: Stakeholders have climate change among
their main concerns and they hope that BBVA will contribute to an ordered transition
towards a low-emission economy, which will make it possible to stop it. This requires
adequate management of risks and opportunities.
Solvency and financial results: The stakeholders expect BBVA to be a robust and solvent
bank, thus contributing to the stability of the system. They also expect BBVA to be a bank
with good results over time. That is, they demand a sustainable business model in the
current context characterized by the continuous development of disruptive technologies
and the consolidation of Big Tech as competitors. A more competitive environment, with
more opportunities and also with more risks.
Easy, fast and do it yourself (DIY): The stakeholders expect BBVA to continue putting
technology and digitalization at the service of customers and the business. Thus, it will be
more agile and more simple for customers to operate with the Bank any time and from
anywhere (mobile banking, fully digital contracting processes, etc.). Also, new
technologies will allow BBVA for greater operational efficiency, generating value for
shareholders.
Financial health and personalized advice to customers: The stakeholders expect the
Bank to get to know its customers and, where appropriate, propose personalized
solutions and recommendations to better manage their financial health and achieve their
vital objectives, all this proactively.
5.1.4. Responsible Banking Model

GRI 102-16, 102-19, 102-20, 102-32, 102-33, 102-34, 103-1, 103-2
In 2019, the BBVA Group implemented a process of strategic reflection that allowed it to
continue deepening its transformation and adapt to the major trends that are changing The BBVA Group's main
the world and the financial industry. Two of the main trends identified were the fight action focuses on
against climate change and the growing relevance of social inclusion. sustainability are:
(i) climate change, and
In this context, the strategic plan approved by its Board of Directors in 2019 sought to (ii) inclusive and
accelerate this transformation and the achievement of its purpose "To bring the age of sustainable social
opportunity to everyone." This plan is made up of six strategic priorities, one of which is development.
“helping our clients transition towards a sustainable future”.
The BBVA Group's main action focuses on sustainability are: (i) climate change, and (ii)
inclusive and sustainable social development; for which it has set priorities in both areas,
inspired by the 2030 Agenda for Sustainable Development of the United Nations, with
particular emphasis on the SDGs with the greatest impact.
Sustainability priority axes
•Regarding climate change:

-Energy efficiency.
-Circular economy.
-Reduction of carbon emissions.
•Regarding inclusive and sustainable social development:
-Facilitate access to financial services for unbanked groups through basic digital
solutions.
-Promote inclusive infrastructures, including basic services and transport systems.
-Support for entrepreneurs and promotion of economic growth and full and
productive employment.
The Group will follow the following general principles of action in matters of sustainability:
•Support clients in their transition towards sustainable business models, acting as a

lever that enhances said behaviors or actions.
27
•Progressively incorporate sustainability into the day-to-day of their businesses and
activities.
•Progressively integrate the opportunities and risks related to climate change into its
strategy, processes, and risk management, adding to its Risk Appetite Framework the
commitments that the Group's strategy implies.
•Ensure the direct and indirect environmental and social impact generated by its
activity and, specifically, in the climate field, progressively align its credit activity with
the objectives of the Paris Agreement.
•Leading its environment by example, setting renewable energy consumption targets
and reducing carbon emissions in the development of their activities.
•Encourage the involvement of all stakeholders to meet their expectations and
collectively promote a greater contribution of the financial industry to sustainable
development.
In 2020, BBVA launched its sustainability policy in which it presented its objectives
(hereinafter, the “Group sustainability targets”).
Group sustainability targets

GRI 102-19, 102-20
1. To promote the development of sustainable solutions: Identifying opportunities,
developing sustainable products and offering advice to individual customers and
companies.
2. To integrate sustainability risk into its processes: Making climate change risks,
whether physical or transitory, part of the Group's management processes.
3. To build a single agenda with stakeholders: Fostering transparency in commitments

and performance, reducing the direct impact and promoting active involvement with
all stakeholders to drive sustainability within the financial sector.
4. To develop new competencies in the sphere of sustainability: Leveraging the

Group’s capabilities in the field of data and technology to drive the development of the
strategy, which includes sustainability and climate change as one of its priorities,
across the Organization, and promoting as well the training on this subject among all
employees.
These goals are materialized in different lines of work entrusted to various areas, and a
supervisor has been appointed for each area.
Likewise, the Global Sustainability Office (GSO) was created, the unit responsible for
promoting and coordinating sustainability initiatives in the BBVA Group, which has the Likewise, the Global
support of the top executive officers of the different areas of the Bank at the global and Sustainability Office
local level. In Peru, the responsible area is Brand and Communication management. (GSO) was created, the
unit responsible for
Finally, sustainability experts have been identified in different areas of the BBVA Group promoting and
(Client Solutions, Corporate & Investment Banking, Global Risk Management, coordinating
Communications & Responsible Business), whom the GSO has coordinated as a network. sustainability initiatives
This network is responsible for generating knowledge in the field of sustainability in the BBVA Group, which
pertinent to advising clients, as well as supporting the areas in the development of new has the support of the
value proposals in this area, integrating climate risks into risk management, and define a top executive officers of
public agenda of sustainability standards. the different areas of the
Bank at the global and
local level.
28
5.1.5. Stakeholders
GRI 102-33, 102-37, 102-38, 102-39, 102-40, 102-42, 102-43
To comply with the general principles of action regarding sustainability and the objectives
of the sustainability policy, BBVA puts into practice the following specific commitments:
a) Clients
•To place the client as the center of the Bank’s activity, to establish lasting
relationships, based on mutual trust and the contribution of value.
•Promote transparent, clear, and responsible communication, as well as financial
education that facilitates informed decision-making.
•Encourage the development of products and services with high social impact,
adapted to the context in which the client lives.
•Promote financial inclusion and universal responsible access to financial services.
b) Employees
•Respect diversity, promote equal opportunities, and not discriminate based on

gender, age, disability, or any other circumstance.
•Promote practices for reconciling work and family life.
•Implement practices to guarantee the security of the payroll and ensure the health of
all employees.
•Promote a culture of social commitment and shared values among employees,
facilitating the conditions for volunteering activities to be implemented.
c) Shareholders and investors
•Provide transparency, veracity, immediacy, and homogeneity in the dissemination of

information.
•Provide the information that may be necessary to allow the proper exercise of the
shareholders’ rights.
•Publish the information continuously, periodically, timely and available in time.
•Treat all shareholders and investors in the same position equally.
•Use a variety of instruments and communication channels that allow shareholders to
access the Bank in an extremely easy and convenient way.
d) Society and environment
•In the societies where the Bank is present, support their development both through
financial activity and social programs focused on education, knowledge, financial
training, and entrepreneurship.
•Promote own or collective initiatives to achieve the United Nations Sustainable
Development Goals.
•Participate in initiatives and collaborate with regulators and other organizations for
the promotion and dissemination of responsible practices.
•Define and apply an environmental policy that includes, among other objectives, the
management of risks in this area, the progressive integration of environmental
variables in product development, and the promotion of eco-efficiency as well as the
management of direct impacts.
•Promote actions against climate change, such as promoting low-carbon financial
solutions and transparency in emissions.
e) Suppliers
•Define and apply a responsible purchasing policy (RPP) that includes, among other
points, providing complete and transparent information in the procurement
processes, respect for human and labor rights in the supply chain, and stimulating
demand only responsible products and services.
29
f) Fiscal responsibility
•Implement the Bank’s activity in such a way that it adequately complies with tax
obligations and avoids any practice that involves the illicit avoidance of paying taxes or
damaging the public treasury. To this end, the Group has a tax strategy following the
principles of integrity, transparency, and prudence.
g) Prevention of illegal behavior
•Encourage compliance with legal obligations and avoid conduct that is contrary to
internal rules and policies or that may harm BBVA's assets, image, or reputation.
h) Respect for human rights
•Apply the Commitment on Human Rights, which includes respect for these by the
International Charter of Human Rights, the United Nations Global Compact, and the
principles of action and recommendations for the development of business activity
published by the United Nations, the Organization for Economic Cooperation and
Development, and the International Labor Organization.
i) Other international commitments signed
•BBVA is committed to the main international standards on CSR.
It is worth noting that this policy is practiced, in their operating models, by the different
business and support areas of the Group. Its implementation is coordinated by the
Responsible Business department, which defines the standards and provides the
corresponding support, working primarily as a second line.
The Board of Directors and its various committees, as well as the Bank’s senior
management, are in charge of supervising the responsible banking model.
Listening and dialogue tools

GRI 102-21, 102-33, 102-42, 102-43
In 2020, BBVA developed its report under the GRI Standards methodology. To comply
with each of these indicators, the Bank implemented a series of actions with its
stakeholders that allowed it to determine and update the material aspects most relevant
to the development of its actions.
For their part, the Bank's internal teams reported their performance and main actions,
which were reviewed and aligned with the objectives on social responsibility and with the The Bank’s internal
strategy that should accompany their impact on the business. teams reported their
performance and main
The listening and dialogue tools that the different Bank units use to generate actions, which were
communication with their stakeholders guaranteed adequate and timely attention to their reviewed and aligned
queries and needs, which in turn, being reliable and close sources of information, with the objectives on
improved responsiveness. social responsibility and
with the strategy that
should accompany their
impact on the business.
30
Listening and dialogue tools
1. Society and customers
Customer satisfaction survey and recommendation and other quantitative and qualitative quality/satisfaction research managed
by the Customer Experience areas
Customer service and complaints and claims analysis committees
Customer advocate
Reputation survey to customers and society (Reptrak)
Continuous tracking or tracking of Millward Brown advertising and branding
Focus groups and work sessions with clients to get their opinion on specific topics (also to the quality of service)
Analysis of presence in social networks: Quantico
Analysis of presence in the media: Access 360
Participation in corporate reputation and responsibility events and forums
BBVA Research study services
The Image and Communication Unit uses most of these tools/sources and fulfills the function of “radar”
2. Employees
Employee Attention Service (EAS)
Annual Internal Reputation Survey among Employees (Reptrak)
Oracle or similar tools for regular listening to employees of the branch network
Focus groups and work sessions with employees to get their opinion on specific topics
Regular personal interviews between each manager and their team members, as well as goal setting, competency, and
feedback interviews
Employee Portal: You&BBVA and websites for dialogue on specific topics
Report Channel (free and anonymous)
Meetings and massive conferences (executive meetings, area conferences, and others)
HR Department (Talent & Culture) and in particular the managers, who periodically interview people, virtually during 2020
Google+ Communities
Mobility
Results presentation meeting
3. Shareholders and investors

General meeting of shareholders
Shareholders and investors website
Annual report, quarterly reports, and relevant events
Constant contact with shareholders and investors (electronic mailbox, telephone numbers, events in bank branches, others)
Meetings with investors and shareholders
Remote attendance at conferences for investors and shareholders
Relationship with analysts and rating agencies
Alert services and sending relevant information
4. Regulators
Bank participation in different formal and informal groupings to improve understanding of regulators’ concerns
Departments that manage the relationship with regulators: Legal Services, Internal Control, Risks, Presidency
Regulatory trend reports
5. Suppliers
Homologation questionnaires
Satisfaction surveys
Regular meetings with suppliers
Online trading and provisioning tool (Adquira)
Suppliers mailbox
GRI 102-40, 102-42

Communicating with its stakeholders, to whom it informs its actions in multiple ways –in
internal and external channels, social networks, and the main media– is a constant
concern at BBVA.
31
5.2. Relationship with the client
5.2.1. Customer experience
GRI 416-1
BBVA works as an organization that places its client as a fundamental pillar of its work, to
ensure the best experience. A priority throughout
2020 was to consolidate
The objective is that after each interaction that the client has with the Bank, predisposed feedback collection
to recommend it to his family and friends. To do this, BBVA must meet certain premises, mechanisms; For this, a
such as being reliable and innovative and offering clients access to opportunities that monitoring system
were previously unavailable to them; that is, to be the client’s preferred financial ally in the implemented in various
achievement of their plans. channels allowed
evaluating the
To do this, it is necessary to listen to the voice of the client (external/internal) in their transactional and
interaction with the Bank's multiple products and channels, detect their pain points and relational experience
aspirations and contribute to designing solutions that generate value, having as main developed by customers.
objective to provide the best experience.
Placing the customer at the center of the value proposition is the challenge. And do it in a
way that clearly and timely perceives the benefits of the BBVA strategy.
IReNe and feedback
The methodology of the Net Promoter Score (NPS or Net Recommendation Index -
IReNe-), known and recognized internationally, allows to notice the degree of
recommendation and, therefore, the degree of customer satisfaction with the different
products, channels and services from the bank. This index is based on a survey that
measures, on a scale from 0 to 10, if a bank's customer is a promoter (score of 9 or 10),
neutral (7 or 8) or detractor (0 to 6), when asked If you would recommend your bank, the
use of a certain channel or a specific customer journey to a family member or friend. This
information is of vital importance to: a) validate the alignment between the client’s needs
and expectations with the implemented initiatives, b) establish plans that eliminate the
gaps detected and c) provide the best experiences.
In 2020, four were the key points of this strategy:
1. Listen to the voice of the customer. A priority throughout 2020 was to consolidate
feedback collection mechanisms; For this, a monitoring system implemented in various
channels allowed evaluating the transactional and relational experience developed by
customers.
2. Quality Committee. Its primary objective was to promote the voice of the customer and
implement the actions identified as opportunities to improve the customer experience.
3. Participation of the Management Committee. As far as the summary of what is

presented in the Quality Committee goes, for the prioritization and monitoring of
opportunities for improvement.
4. Proactive attitude. BBVA employees help to formulate and execute action plans to
achieve a higher customer recommendation.
Throughout 2020 the following actions were implemented:
•43 measurements in branch network, business banking, segments, SMEs, etc.

•Installation of quality committees, in which not only results were presented, but also
action plans and the impact obtained.
•Continuous measurements of the Network employees, with the aim of transmitting
to the internal areas the perception of the service provided by them to the offices.
Thanks to this, improvements were implemented in the service and in the processes in
the internal areas, which optimized the experience of the network employees.
•The continuous improvement approach was consolidated in all channels and
products.
32
Detractors Neutrals Promoters
Measuring scale
1 2 3 4 5 6 7 8 9 10
IReNe = Promoters – Detractors
Quality Initiatives
•Work Tables were installed that, with the participation of different areas, focused on
solving the clients’ pain points. As of December 2020,
•A new work front was opened with internal clients and the IReNe Internal BBVA ranked first in the
Headquarters, which evaluated the teams as service suppliers. NPS retail indicator with
•Talent and Culture became a strategic partner, helping to promote a culture of 36% and NPS
service throughout the organization. commercial with 65%.
GRI 416-1
To determine the degree of recommendation from customers, the Group uses the Net
Promoter Score (NPS) methodology, which recognizes BBVA as one of the most
recommended banking entities in the countries where it operates.
As of December 2020, BBVA ranked first in the NPS retail indicator with 36% and NPS
commercial with 65%.
Ranking Net Promoter Score by countries 2020 Rank (2019)
Retail 2º (2º) 1º (1º) 1º (1º) 2º (2º) 1º (1º) 3º (1º) U 1º (2º) W

SMEs 3º (3º) 1º (2º) 3º (3º) 1º (4º) 1º (1º) 2º (1º) 1º (1º)
Commercial 2º (4º) 1º (1º) 1º (1º) 1º (1º) 2º (1º) 1º (1º)
5.2.2. TCR Communication

GRI 417-1, 417-2, 417-3
BBVA's Transparent, Clear and Responsible Communication (TCR) project seeks to help
clients make informed decisions throughout their relationship with the Bank, so as to
ensure that they are in control. The objective is to increase your confidence, level of
recommendation and loyalty, for which you are offered, in an easy-to-understand
language, the relevant information that allows you to always take care of your short,
medium and long-term interests and promote financially responsible behavior.
Among the actions implemented during 2020 regarding the TCR Communication
principles are:
Training of office employees
The information that the Bank provides to the client from the first contact must always be
given in a TCR manner. For this, the Commercial School, whose objective is to train all the
positions of the network, has the Onboarding to the position program, which offers all the
information necessary for the employee to fulfill their role. The Unique Experience
category has recently been incorporated into the curriculum, which reinforces the
knowledge of the principles of TCR Communication and ensures that advisors, executives
and bankers keep them in mind and use them from the moment they start customer
service in the office.
33
TCR product sheets
The TCR product sheets are graphic documents designed for the client, which explain the
main advantages, requirements and costs associated with the Bank’s products in clear
language and an easy-to-understand structure. They are found in the commercial
information portal (collaborative environment/the commercial portal), which office
executives can access at any time to share with the client.
The TCR files have a design that uses visual elements that facilitate the understanding of
the most relevant information and there are them for both natural and legal persons.
TCR Digital
During 2020, compliance with the TCR principles was monitored in the digital initiatives
delivered by the customer (EMC). This was implemented through sessions with each In 2020, four Design
project team, from its design, to validate that each initiative complies with the TCR Thinking training
checklist. workshops were held
with TCR inputs for
Likewise, the following applied actions were specified, both in the process of creating various profiles of the
digital products and services and in the training part: Bank, such as program
managers, product
•Application of the TCR checklist with the 15 TCR principles for 20 projects designed owners and other
in 2020, mainly in channels such as Internet Banking, Mobile Banking, ATM and the members of the scrum
new public website. It should be noted that some of these projects continued for more teams who work both on
than a quarter. solutions and content for
•Active participation from the role of TCR in team meetings and in sessions with other the client.
project stakeholders.
•Inclusion of a second TCR compliance check in the general quality control process for
the design of digital products and services, understood as priorities by SDA.
•Integration of content production with a user experience approach (UX writing) in all
meetings, as well as internal reviews to monitor the TCR application.
•In 2020, four Design Thinking training workshops were held with TCR inputs for
various profiles of the Bank, such as program managers, product owners and other
members of the scrum teams who work both on solutions and content for the client.
Given the context of remote work, the sessions –two aimed at employees in general
and the other two at leaders– were adapted to take place virtually. Regarding ad hoc
TCR, training was given on the application of TCR guidelines in advertising for the
agency that, since 2020, provides digital sales support.
•Throughout the year, several members of the design team participated as students in
two editions of training in Clear Language and in two training sessions in Accessibility,
organized by Holding. On the other hand, learning and knowledge about Inclusive and
Accessible Design were shared in one of the Design CoP sessions (Communities of
Practice).
Customer Wellness
Contact Center
The situation experienced in 2020 caused a great change in the Contact Center
management model, which started to have an operation as a supplier for two service
fronts in one for seven. This meant that the traffic was distributed among two suppliers,
so as to ensure operational continuity with 42% in teleworking, 40% in Atento Peru, 7% in
Atento Colombia and 11% with a new GSS supplier, providing the advisors with
teleworking the necessary tools for safe care.
Hand in hand with the change in the management model and putting the customer at the
center of the decisions, the Bank sought to maintain the 98% target level of service,
without the Prime and Private segment being impacted throughout the year.
Likewise, the transformation process was accelerated, so that the Bank adapted to the
new behavior of the client, who seeks faster solutions, tripling the available self-
management services, offering them adapted options according to their relationship with
the Bank, as well as a process of more secure authentication. This generated greater
34
efficiency in the consultant’s attention time (less than 150 seconds) and ensured the safe
continuity of the telework model. Also, a new online support chat was launched, adjusted In mid-2020, sales were
to the increase in customer digitization, which managed to solve their queries and reactivated through
problems by 55%. cross selling, surpassing
the results obtained in
In mid-2020, sales were reactivated through cross selling, surpassing the results obtained 2019 with an additional
in 2019 with an additional 20% of sales: S/ 66 MM of soles between portfolio products 20% of sales: S/ 66 MM
and PLD. Thanks to the work implemented, at the end of November, BBVA once again of soles between
positioned itself as the leading telephone bank in the country, with an IRENE of 60%, the portfolio products and
best in the industry. PLD.
5.2.3. Management of complaints and claims

GRI 103-2, 416-1, 416-2, 417-3, 418-1
A general conclusion is that 2020 was a very tough year for everyone, with the special
challenge of transforming and adapting to new ways of managing and understanding
customer needs, and doing so while maintaining BBVA’s main value: “the customer
comes first ”.
As a result of the new provisions decreed by the Peruvian Government, BBVA had to
quickly adapt to the changes in the National State of Emergency to manage care through
its digital channels, which went from 13% to 99% of registration of the claims. The
strategy included focusing on implementing new face-to-face and remote work
methodologies, with the pertinent security measures to avoid contagion and ensure the
continuity of the service.
The Bank experienced a considerable increase in the number of claims and requirements
during the pandemic due to cases associated with covid-19, to a figure that came to
represent 43% of monthly income. At the same time, the number of available advisers
dropped precipitously, forcing the hiring of additional staff, in this case hiring a second
backup supplier, who supported with 24% of the handling of the total claims.
Monthly claims 2020
35.9
33.7
32.9 33 32.6
29.9 29.9 28.5
27.1 26.1
24.8 25.9
27.7
24.2 22.9 25.4 25.3 26.7 25.5 26.8 26.3
21.7 24.8 25.5
Jan
Ene Feb Mar
Mar Apr
Abr May
May Jun Jul
Jul Aug
Ago Sep
Sep Oct
Oct Nov Dec
Dic
2019 2020
Despite the increase in claims due to the current situation and the recovery of the Bank's
transactional volume in recent months, BBVA maintained the best operating efficiency
indicator compared to the main banks in the financial system. The Bank ended 2020 as
the financial institution with the best pre and post pandemic efficiency indicator, with 6
and 9 claims for every 10M operations, respectively (ASBANC advance to IIIT).
35
Claims 2020
Claims received Claims for every 10M Settled in favor of the client
of operations
4T
20 332,820
19 77%
141,873 11 44% 46%
85,710 7 8 30%
69,826
BBVA A B C BBVA A B C BBVA A B C
–11% –8% –11% –10% –7d +2d –10d –1d
3T
363,212 72%
20 29
55%
47%
160,281 14
9 9 25%
96,582 77,616
BBVA A B C BBVA A B C BBVA A B C
The constant work to increase productivity and the levels of attention to which the client
is accustomed has been reflected in the latest statistics provided by ASBANC, which
indicates that the financial system suffered a 45% rise in claims, while BBVA it only got
14%. This is explained in the restart of quick solutions in the first contact with the client,
which reached an FCR indicator of 36%, and the implementation of chat on the Bank's
digital channels (Web and BxI).
GRI 406-1
In 2020, BBVA was sanctioned by Indecopi, which considered that it had committed an
act of discrimination by not allowing a foreign citizen to contract a financial product. He
tried to carry out his transaction through internet banking, which was not allowed due to
an operational problem, as he did not have a Peruvian identity document.
GRI 417-3
In the 2020 period, BBVA presented 84 cases of non-compliance with ASBANC’s
Advertising Guidelines. Adherence to these guidelines seeks to make it easier to
understand information related to interest rates, fees or other characteristics and
conditions of financial products.
GRI 418-1
In 2020, BBVA did not receive substantiated complaints10 regarding violations of customer
privacy or identified cases of leaks, theft or loss of customer data.
GRI 408-1
Basic claims data
2020 2019 2018
Number of claims before the suprabanking authority 893 535 445

Average claim time (calendar days) 14.34 8.47 9.20
Claims resolved with First Contact Resolution (FCR) 4,392 13,699 28,766
Client protection
GRI 416-1, 416-2
BBVA Peru has been executing its security strategy that seeks to prevent Cybersecurity
events, Fraud and physical violations, without affecting or impacting the customer In 2020, we have faced
experience. Timely detection and action plans will avoid any type of impact (Monetary or an unprecedented
Reputational) to the Bank. situation and before this
we have strengthened
In 2020, we have faced an unprecedented situation and before this we have strengthened the measures for remote
the measures for remote work, so that we can connect from our home network without work, so that we can
any risk of violation, this measure was implemented for 3,500 users. We also enhance our connect from our home
technology that prevent cyberattacks with 40 use cases in Qradar, implementation of network without any risk
Data Loss Prevention web, FireEye HXD, AV Agent Handler and CrowdStrike for Linux. of violation.
10
A substantiated complaint is understood as the statement written by an official regulatory body or similar and addressed to the
organization, in which violations of the clients’ privacy or complaints presented to the organization and that the organization has
recognized as legitimate.
36
In the face of fraud attacks, we have implemented a behavioral biometrics component in
all digital channels (natural and legal persons) so that we can have better precision in
detecting unusual accesses in customer accounts, reducing 20% of the impact on these
channels. This will mitigate fraud at its roots. Behavioral biometrics collects information
on the customer's performance in their benches, building a pattern through mouse
movement, typing, and key device data.
The security policies and procedures are available to all employees through the
collaborative tools that BBVA has. Along these lines, employee training is implemented
through virtual activities (BBVA CAMPUS) and is part of the mandatory training
(Regulatory Packs). The channel established for employees to transfer suspicious events
through the CERT global mailbox. In some areas that handle critical information, security
indicators have been established that influence performance evaluation, for example, in
the Branch Network.
Finally, we have maintained the ISO 27001 and ISO 22301 certification, which accredits
BBVA Peru as a mature organization and a benchmark in the financial sector to
adequately manage Information Security and the continuity of business line operations in
the event of any crisis event or interruption of services.
Customer privacy indicators
2020 2019 2018 2017
Total number of information security breaches or other cybersecurity

incidents 0 0 0 0
Total number of information security breaches that include personally
identifiable customer information 0 0 0 0
Total number of clients affected by the Company's data breach 0 0 0 0
Total amount of fine S/ penalties paid in relation to information security
breaches or other cybersecurity incidents 0 0 0 0
5.3. Responsible practices

5.3.1. The team
GRI 102-8, 202-2, 401-1, 405-1
Crisis and opportunities for creating a new beginning
The pandemic generated by covid-19 placed the biosanitary security of BBVA employees
at the top of the annual agenda of the Talent & Culture (T&C) area. However, while the
initiatives and projects planned for 2019 by 2020 suffered a temporary hiatus, they began
to be implemented at high speed in the middle of the second quarter of the year.
Despite being a near unprecedented event, BBVA reacted from the first day of the crisis,
using all its resources to ensure a labor ecosystem that would reduce the risk of
contagion among employees both at the offices and at Headquarters. To this end, the
Bank covered all the fronts affected by the pandemic, from the constitution of a first-rate
medical team dedicated to exclusively attending to the employee and their family to the
development of a virtual prevention program, including the digital adaptation of the
workspace for increased safety.
The Bank established, in the first hours of the health emergency, a biosanitary emergency
protocol that included a remote work plan for the 2,500 employees at Headquarters.
Likewise, it implemented an intense coordinated effort at the national level to strengthen
biosanitary measures in its 310 offices, safeguarding the biosecurity of its more than
3,000 employees and hundreds of thousands of clients throughout the country.
At the end of the second quarter, BBVA created a task force dedicated exclusively to crisis
management in the biosanitary, process and service fields. His work notably reduced the
number of infections within the organization and kept it operational with a reduced report
of incidents.
37
Among the main actions implemented by BBVA in its strategy to face covid-19 were:
•Creation of the Business Execution Covid (BEX Covid) team, in charge of managing,
coordinating and monitoring the containment strategy and ensuring business
continuity in the pandemic scenario.
•Creation of various national and international crisis and war room committees,
especially dedicated to the monitoring and follow-up of crisis management.
•Preparation of biosanitary protocols, even stricter than those established by law, with
special care towards vulnerable employees. The process, which had the advice of Dr.
Eduardo Gotuzzo, one of the main epidemiological authorities in the country,
concluded with the 2020 Surveillance Plan for the prevention and control of covid-19,
approved by the Ministry of Health.
•Implementation of a pool of doctors dedicated exclusively to providing medical
attention by telephone to ensure adequate daily monitoring of possible positive
employees.
•Taking preventive disposal tests at the national level, through agreements with
certified laboratories.
•Assumption by BBVA of 100% EPS Rímac coverage for hospital care caused by
covid-19. Likewise, in alliance with the International Clinic, the "Virtual Doctor" service
was enabled.
•Migration of more than 2,500 employees from Headquarters and 1,500 from
Commercial Banking to the work-at-home mode through the “Virtual Desk” software,
equipped with a rigorous control system that preserves the same technological
capabilities to be able to develop the functions with normal.
•Deployment of the bus service in Lima and the provinces that facilitated the
transportation of employees during the most critical period of the pandemic.
•Dictation of the cycle of preventive talks and publication of the KO newsletter to the
covid.
•The talks had 95% participation from the network of offices and 70% from the
Headquarters.
•Development and deployment of the BBVA Tracing app, a mobile application that
detects and notifies the breach of the minimum distance allowed between two or
more employees who are physically working at Headquarters or in the branch
network.
•Installation of cameras with facial recognition and temperature taking at the
Headquarters.
•Conditioning and adaptation to the highest biosafety standards of the various spaces
in which employees of the Headquarters and network of offices work in person.
Also, aware of the economic impact of the pandemic on the families of employees, the
Bank launched a financial benefits program that grants exceptional rates on products Aware of the economic
such as Mortgage Loans, Free Availability and Credit Card. Under the same program, the impact of the pandemic
most competitive exchange rate in the Peruvian market was made available to employees on the families of
through the digital tool T-Cambio. employees, the Bank
launched a financial
Additionally, complementary measures to support employees were implemented, benefits program that
including the following: grants exceptional rates
on products such as
•Health loan for covid-19 cases, with 0% interest rates. Mortgage Loans, Free
•Covid-19 discard tests for family members of the employee, through the payroll Availability and Credit
discount modality. Card.
•Free psychological line for employees and their families, to provide emotional
support.
•Recognition bonus for Commercial Banking employees, during the first two months
of quarantine.
•Ergonomic chairs for employees at Headquarters working remotely.
•Financial facilities for the acquisition of products and articles to carry out remote
work.
•Administrative loan at a rate of 0% for social cases, with a payroll discount.
•Remote Coexistence Plan to promote the reconciliation of work and family life,
among BBVA leaders and teams.
•Coaching workshops to develop, among leaders who manage remote teams, habits
and behaviors that promote empathy and closeness in teams and employees.
38
Basic data of the BBVA team
2020 2019 2018 2017
Number of employees 5,974.00 6,180.00 6,008.00 5,666.00

Average age (years) 9.10 9.00 9.10 9.20
Average age (years) 35.00 35.00 34.00 35.00
Diversity (% women) 53.00 52.00 52.00 52.00
Rotation (%) 12.00 18.30 21.00 18.20
Average age of employees (years) and distribution by age group (%)
2020 2019 2018 2017

Middle <25 25-45 >45 Middle <25 25-45 >45 Middle <25 25-45 >45 Middle <25 25-45 >45
Ages % % % Ages % % % Ages % % % Ages % % %
35 10.6 76.8 12.6 35 14 71.5 14.5 34 15.33 69.49 15.18 35 15.8 67 17.2
Average seniority of employees, by gender (%)
2020 2019 2018 2017
Average age 9.1 9.0 9.2 9.2

Men 9.7 9.7 10.2 10.2
Women 8.6 8.3 8.3 8.3
Employees by professional categories and geographic areas
2020 2019 2018 2017

% % % %
Number of spreadsheet Number of spreadsheet Number of spreadsheet Number of spreadsheet
employees of geographic employees of geographic employees of geographic employees of geographic
area area area area
Management team(*) 92.0 1.5 87 1.4 87 1.5 87 1.5

Middle managers 1,153.0 19.3 1,188 19.2 1,224 20.4 1,194 21.1
Specialists 1,646.0 27.6 1,627 26.4 1,565 26.1 1,441 25.4
Sales Force 1,425.0 23.9 1,549 25.1 1,411 23.5 1,304 23.0
Base Posts 1,658.0 27.8 1,729 27.9 1,721 28.7 1,640 28.9
(*) Managing Committee and unit managers.
CREO, culture in motion
Once the first impacts of the crisis were assimilated and after a serene process of
reflection on the consequences that the pandemic will generate in future work and social
coexistence scenarios, T&C envisioned an opportunity to design and promote a new
corporate culture that contributes to renewing and enlivening the reciprocal commitment
between employees and the institution in a context of great uncertainty.
It was understood that the basis of the new culture should be in the renewal of a
leadership that is characterized by a greater closeness with the teams and is manifested
through the deployment of concrete actions, aimed at reinforcing the well-being and
growth of the employees in all the areas of life. Thus, and with the firm conviction that
“happy employees create happy customers”, T&C took on the challenge of transforming
the organization with the biosanitary crisis as a backdrop.
This was the genesis of the CREO cultural movement, an initiative that bases its principles
on the purpose (We create opportunities) and the three global values of the BBVA Group
(The Customer comes first, We are one team and We think big). Also, its architecture is
based on the BBVA leadership traits: Entrepreneurship, Empowerment and
Accountability.
39
At CREO Culture in Motion, driven by the Managing Committee, leaders are the main
protagonists in promoting and promoting change, with the aim that all employees assume CREO's goal is to
their ability to create and believe; that is, to generate actions to live daily behaviors generate a common
aligned with the values and global leadership traits of the BBVA Group and to actively culture within the Bank
participate in them. that enables actions and
behaviors necessary to
Thus, CREO's goal is to generate a common culture within the Bank that enables actions achieve the corporate
and behaviors necessary to achieve the corporate strategy. Six levers define this cultural strategy.
manifesto:
•I think for the client, because the client comes first: I make decisions and actions
focused on the client, both internally and externally, and constantly work to build a
culture of excellence in service.
•I think synergies, because we are a single team: I break the ground to collaborate as
a team in a coordinated way between areas, units and roles.
•I think big, because we think big: I constantly seek to break the mold, be ambitious
and aspirational to achieve excellence in all my actions.
•I think actions, because we are accountable: As a employee, I am responsible from
start to finish to make things happen.
•I think ideas, because we undertake: I generate and listen to new ideas to make the
necessary changes, without fear of making mistakes and seeing mistakes as an
opportunity to improve.
•I think decisions, because we empower: I am empowered in making decisions to
work in a more agile and effective way.
The CREO change strategy began with a diagnosis of the current culture and the
subsequent construction of the desired culture as a result of the feedback among
employees at all levels of the organization. In 2020, its evolution took place on five
fronts:
•CREO communication: Through a comprehensive high-impact plan, all employees

were informed of the importance and reason behind the cultural transformation, their
link to the business, and the behaviors expected in each of them. The dissemination
was implemented through different communication channels and media to guarantee
its maximum arrival among the BBVA community.
•Awareness and training: To make cultural change a reality, more than 130 Bank
leaders were trained in topics related to cultural transformation, their role as a leader
and generator of culture, and the three traits of leadership.
•Agents of change CREO: 45 CREO transformation champions and 200 Energizers
were identified, who completed a training plan on the movement and reached all the
corners where the organization operates to spread the messages, provide feedback on
the scope of CREO and change the culture that is lived in. the day to day, with actions
such as Insights Cafés, Values Workshops and hacks implemented to hack old habits.
•Stakeholders Plan: To strengthen the role of leader, an action plan was developed to
accompany their transformation as a benchmark for the six behaviors of the BBVA
culture.
•Operationalization of the CREO Culture: Having identified the need to change the
way of working, the Management Committee and BBVA leaders began to develop and
adapt internal processes, so that they align with the new desired culture.
Values, from word to action
For three years, the Bank has dedicated a day to reflecting on the importance of
corporate purpose and values as guides on the path that employees should follow in their To the question of
daily work. In 2020, Values Day took on a different meaning, of a transcendent present whether BBVA values
time. To the question of whether BBVA values remain in force in times of crisis, a clear remain in force in times
answer emerged: Yes, and not only do they remain in force, but they become more of crisis, a clear answer
effective in the daily life of the employee. emerged: Yes, and not
only do they remain in
Based on this premise, it was decided that Values Day, which traditionally takes place at force, but they become
Headquarters through a series of community activities, would be implemented virtually, more effective in the
through the different digital platforms. Thus, despite the distance and the impossibility of daily life of the
employee.
40
face-to-face integration, it became one of the most significant corporate events in recent
years in the Bank's history.
Added to the emergency environment due to the health crisis was the presentation in
society of the CREO cultural movement which, precisely, proposes a leadership based on
the proximity of the teams and a management focused on the well-being of the employee,
on the basis of the values that define BBVA's path: The Customer comes first, We are a
single team and We think big.
Values Day became a forum for reflection and assumption of commitments with a long-
term vision of the future. The full Managing Committee embraced CREO's postulates,
with special emphasis on strengthening a leadership that promotes closeness. The big
conclusion: You don't have to be physically together to be a great team; The essential
thing is to share a goal and the firm conviction that together the members of the
organization can overcome any limit.
First results. The Gallup Measurement
What is not measured does not exist. Although CREO's presentation during Values Day
had generated a series of spontaneous adhesions and support from employees from all
over the country, it was necessary to objectively measure the work implemented.
The Group calibrates the level of commitment of the teams in each country where it
operates, through a rigorous survey conducted by the prestigious Gallup firm. In 2020,
the test sought to define, in a range of 0 to 5 points, the real degree of impact registered
by the cultural transformation in BBVA Peru.
The Bank set the ambitious goal of 4.20 as its objective in the country and the result was
pleasantly satisfactory: 4.21; that is, a growth of more than 20% compared to 2019.
The score, although it generates enthusiasm and security about the path taken, does not
imply conformity or full satisfaction. T&C is fully convinced that, as CREO is adopted, the
levels of commitment will continue to rise, which will contribute decisively to the great
objective of achieving a score of 4.60 by 2024 and becoming the bank of choice for all
Peruvians.
Agile in full growth stage
BBVA began the transformation towards the Agile model three years ago. This
methodological renewal was anticipatory and timely in the face of the scenarios At the end of the year,
generated by the pandemic, allowing a better adaptation to the forced process of the organization had 228
accelerated change that the world experienced in 2020. teams registered to
assess their maturity in
At the end of the year, the organization had 228 teams registered to assess their maturity agile in the global tool
in agile in the global tool MAT (Maturity Agile Model for Teams), distributed as follows: MAT (Maturity Agile
67% Business Execution, 30% in Solutions Development and 3% in Discipline, Internal Model for Teams),
Control and Front. distributed as follows:
67% Business Execution,
To catalyze agility in the teams and appreciate the progress in their adaptation to the 30% in Solutions
model, comprehensive indicators were identified focused on compliance, quality and Development and 3% in
achievement of objectives, to which frequent challenges were added, both for teams and Discipline, Internal
for coaches responsible for their guidance. The evaluation showed that 68% of the teams Control and Front.
had passed agile adoption, seeking sustainability, maturity and continuous improvement.
Synergies were substantially promoted in different teams, such as Project Review (Talent
Management), Continous Improvement (Business Process), Project Management (SDA)
and Continuous Improvement Model, with the aim of leveraging their behaviors in the
CREO cultural movement. Likewise, the necessary support was provided to the different
territories to find opportunities for development, growth and synergies.
41
5.3.1.1. Selection, training and development
GRI 404-1, 404-2, 404-3
Talent Acquisition
In 2020, Talent & Culture started the CREO cultural movement, which encourages all
employees to create actions to experience the behaviors aligned with the values and
global leadership traits of the BBVA Group on a daily basis, described in the section
“CREO, culture in motion".
Professional development model
BBVA Peru has a Professional Development Model whose main objective is to put people
at the center of the organization's actions, providing them with the tools they need to
make the best decisions about their professional life.
The three main elements of the model are: Know Yourself, Improve and Explore.
1. Get to know yourself
Aware that the basis for making good decisions is knowing yourself, the employee must
be clearly aware of their main objectives, strengths and abilities, for which they have the
following tools:
•Roles: Employees have a portal where they can easily identify what BBVA expects
from each person according to their role.
•Project Review: It is a quarterly evaluation process that evaluates the deliverables of
the teams that work on projects. With it, teams can make visible their contribution and
their level of alignment with the objectives and allows them to provide mutual
feedback to continue moving forward.
•Annual evaluation: In this 360° process, each employee knows their performance
results, the development of BBVA's intrinsic skills and their potential to continue
growing. At the end of the process, you get a detailed report with the results and a
summary of the feedback obtained by your leader, peers and employees. In 2020,
100% of employees with more than three months in the company went through this
enriching process.
2. Improvement
At this stage of the Professional Development Model, and after receiving the results
report, the employee manages actions that allow them to overcome the improvement
points identified in Know yourself. To manage your progress, you have the following
tools:
•Growth plan: It is a roadmap that allows employees to draw up training and

development actions focused on promoting their professional progress, either in the
role they currently play or in others within BBVA.
•Open Mentoring: It is a program that stimulates the development of employee skills
by enabling them to acquire and share new knowledge and expand their network of
contacts within the organization. The platform connects, through the use of
algorithms, mentors with whom they want to learn and grow professionally to
experience a mutual development process, in which the former shares their
knowledge and experience. Mentoring relationships can be transversal, with
participants from different roles, areas or even countries, where employees can
volunteer. During 2020 there were 168 mentors, 291 mentees and 54 active mentoring
relationships.
•BBVA Campus: This digital learning ecosystem allows any member of the BBVA
Group to access immediately and from various devices to a universe of virtual and
remote training resources (videos, pills, materials, courses, MOOCs, etc.).
42
Campus BBVA promotes a culture of continuous learning, through a gamified
experience with B-Tokens, virtual currencies that, through a reward system, give value
to face-to-face or online training resources. Thus, the employee's self-learning is
promoted, who earns B-Tokens by taking virtual courses that they can then invest in
courses of their interest, mostly associated with their role.
The digital ecosystem also has training schools that enhance technical and intrinsic
skills aligned with BBVA's strategic priorities and that accompany the employee in the
development of their career. These schools are of three types: a) business, b) reskilling
and upskilling and c) intrinsic skills.
3. Explore
In this phase of the model, the employee has tools that allow them to identify new paths
and internal job opportunities in possible areas, or new disciplines that they might want to
develop. To do this, you have at your disposal elements that let you know the different
roles within the BBVA Group, apply for job offers, see career paths and even create a
personal roadmap through the following tools:
•Role Finder: It allows to know the requirements of other roles of interest. With this
information, the employee can establish actions to cover the improvement
opportunities required by the role they wish to access.
•Mobility: It enables any BBVA employee to apply to another role within the
organization at the national level, and even find one in any of the countries where
BBVA has a presence.
•Opportunity: It is the first tool that makes use of machine learning, since through
advanced analytics it allows predicting the professional path that each employee
wants to follow within the organization. Through the use of data, it offers you
personalized advice so that you can make the best decisions about your professional
development. Opportunity allows the employee to reflect on their current situation,
receive personalized recommendations based on their concerns, discover new paths
and establish professional goals according to their objectives. At the end of 2020, 70%
of employees had navigated and interacted with this tool, launched only in October of
that year.
Re-creation of programs and initiatives
The programs and initiatives that had to be stopped due to the emergence of the
pandemic, regained vigor and fresh air in the middle of the second quarter. Resuming
what was planned and under the objective of “improving the employee experience”
–one of the levers that sustain the vision of T & C– programs such as BBVA ModeOn,
which promotes work-life balance among employees, ended up being recognized in the
ANDA Awards as the Best Internal Employer Brand Campaign.
Likewise, and with the aim of continuing to provide the best work environment, the
process of adapting spaces to the new reality was consolidated, complying with the
highest sustainability standards in the development of construction works. This vision
of commitment to caring for the environment made it possible to obtain EDGE
certification for the remodeling project of the new dining room at Headquarters.
Also, driven by the renewed commitment to be a strategic partner of the business,

Talent & Culture deployed actions to attract and retain the best professionals in the
market. The various initiatives allowed BBVA Peru to be recognized by the prestigious
Merco Reputation Monitor as the Best Bank in Attracting and Retaining Talent. In this
context, training schools were implemented to promote and strengthen the
development of skills and capacities in employees that will allow them to continue
transforming the Bank’s business model.
43
Despite the biosanitary crisis, the following schools were created in 2020:
A. Business Schools
Business School
The objective is to make available to Commercial Banking employees a comprehensive

training offer that includes onboarding, updating and rescue programs, as well as trainees
aimed at different management positions.
Its learning methodology follows 70-20-10 –with virtual, face-to-face/remote experiences

and on the job training– and has as internal allies various facilitators, Bank experts and
leaders of commercial banking. The certifications have alliances with prestigious
universities and international consulting firms with high academic support.
At the end of 2020, new Risk and Product Certifications had been implemented, trainee
programs that prepare for the next position, also to the Reinvent yourself Program, which During 2020, commercial
seeks to accompany low-performing employees to increase their productivity. During banking employees were
2020, commercial banking employees were provided with a total of 152,930 training provided with a total of
hours, which represents 118% more than in 2019. 152,930 training hours,
which represents 118%
In summary, 2,153 network employees were trained throughout the year, in a total of more than in 2019.
152,930 hours of training.
BEC Academy
Another training improvement focused on providing essential support to the employee is

the BEC Academy, which provides the roles of Business and Corporate Banking with
comprehensive learning in all strategic business issues. The school grants three
certifications that accompany the development of the participant: BEC Fundamentals,
BEC Advanced and BEC Expert.
The learning methodology obeys the 70-20-10 –with virtual, face-to-face/remote

experiences and support of real cases– and its internal allies are various facilitators,
expert referents of the organization and business banking leaders. Alliances with the most
prestigious universities in the country and international consultants with high academic
support support the certifications.
At the end of 2020, BEC Academy provided a total of 18,750 training hours to employees
in the Business Banking segment, 29% more than in 2019.
CIB Academy
As part of the deployment of business schools within BBVA, the CIB Academy was
launched, a global workshop that instructs Corporate & Investment Banking employees in
various investment banking products, global markets, global loans and transactional
services for international corporate clients. and institutional investors. During 2020, CIB
Academy provided 1,405 hours of training
Risks
Risk management being a highly relevant factor for the financial business, in 2020 a
Learning Map of technical certifications on the subject was implemented for Retail Credit
& Wholesale Credit teams. Through virtual and face-to-face/remote training with strategic
partners such as ESAN and Pacífico Business School, a total of 9,927 hours of training
were provided, resulting in 353 trained Risk employees.
44
B. Reskilling & Upskilling of Strategic Capabilities
BBVA promotes the development of strategic capacities that accompany digital

transformation through learning maps in the following disciplines: Agile, Data, Behavioral BBVA promotes the
Economics, Design Thinking, Engineering, Sustainability and Processes. development of strategic
capacities that
Data University accompany digital
transformation through
During 2020 the digital transformation continued through two core training proposals learning maps in the
that allow improving the skills of professionals in the use and management of data: Data following disciplines:
Scientist Fundamentals and Data Specialist Fundamentals. Three promotions were Agile, Data, Behavioral
organized which, with a total of 50 participants and after 7,060 hours of training, 22 Data Economics, Design
Scientist experts and 28 Data Specialists certified. Thinking, Engineering,
Sustainability and
Tech University and Ninja Academy Processes.
Tech University and Ninja Academy integrated the specialized offer for strategic roles in
the Engineering area during 2020.
Tech U aims to prepare software designers in the implementation of the New Ether
Corporate Platform. The program, which comprises three levels of training according to
expertise, prepared 259 employees, for which 4,720 hours were invested at the startup level
(virtual), 5,512 in the practitioner (face-to-face) and 5,148 in the specialized (blended).
For its part, Ninja is a virtual platform with gamification that makes a specialized and
diverse offer available to the employee. In 2020, the program obtained 626 registered
Ninjas, of which 163 were blue belts, 41 were brown belts and two reached the highest
level of expertise (black belt) on the platform.
It should be noted that throughout the year the Engineering area produced 84 talks, 41
workshops, 49 certifications, 316 moocs and a hackathon.
Process Academy
The 2020 biosanitary crisis forced Process Academy to be reinvented as a remote

methodology. Adapted to the situation of the pandemic, the program - whose objective is
to train in processes based on the concepts of Learn, Agile and Design Thinking - was
deployed in six editions: three at the sponsor level, for 50 employees, and three at the
level practitioner, for 65. Total training hours amounted to 1,625, with an NPS of 73%.
Agile University
Agile University is a program made up of training resources at basic, intermediate and

advanced levels. Its objective is to accompany the agile transformation in all teams in the
central areas, especially those that manage projects. During 2020, seven new training
resources were created that were deployed in 16,214 training hours that impacted on the
development of 2,083 employees, with an NPS of 79%.
Behavioral Economics
Composed of training resources of basic and intermediate levels, Behavorial Economics

develops in the employee skills so that their actions, processes and initiatives are more
effective and multiply their impact, in a way that helps the client to make better decisions.
During 2020, two editions were deployed that added 918 training hours with 42
employees and an NPS of 91%.
Design Thinking
During 2020, a program was deployed that, through Design Thinking and made up of
training resources of basic and intermediate levels, developed the skills to promote the
creative and collaborative resolution of problems and the creation of opportunities. Under
this premise, the Bank deployed four editions, for a total of 1,152 training hours, which
impacted on the development of 50 employees, with an NPS of 92%.
45
C. Intrinsic Skills School
As part of its cultural transformation, BBVA Peru deployed a series of training programs
throughout 2020 to enhance the intrinsic skills (cultural, leadership and transversal) of BBVA Peru deployed a
employees. series of training
programs throughout
CREO Program, Culture in Motion 2020 to enhance the
intrinsic skills (cultural,
To promote the behaviors associated with the Bank's target culture, a training network leadership and
was developed focused on the three BBVA values and the Leadership traits; transversal) of
Entrepreneurship, Accountability and Empowerment, which finally value the CREO employees.
Culture. The training contents in 2020 were:
•CREO: culture in motion

•My role as a change leader
•We lead together
•Purpose Driven Leadership
•Positive leadership
Throughout the year, the program trained 55 leaders and 23 change agents, with an NPS
of 82.5%.
CREO Program, Culture of Service
Aligned with the service culture strategy that promotes the integral transformation of the
Bank, in 2020 the CREO Service Culture program was implemented, aimed at enhancing
the internal customer service skills that all employees in central areas must put into
practice in their day a day. In this way, the aim was to promote a behavior that allows
generating memorable experiences among internal users and, above all, in the branch
network. To achieve this, three types of training were implemented: Express Service
Culture, Fundamentals Service Culture and effective Communication towards the
Network.
•Leadership Express: To promote leadership, a virtual course was designed that

provides the foundations to develop the three traits that every BBVA leader must
have: Entrepreneurship, Accountability and Empowerment. The program, launched at
the end of 2020, offered 594 hours of training to 594 employees.
•Close Leadership Certification: It is a program focused on commercial leadership
skills that every Manager of the Commercial Banking Office and Business and
Corporate Banking must deploy for a correct accompaniment and development of
their employees that promotes more motivated and better-performing commercial
teams. 108 office network leaders were trained, with an NPS of 91%.
•Management 3.0 Certification: It is a globally recognized certification that provides
leadership skills in agile environments. With it, in 2020 147 leaders from various
central areas were trained, who rated the program with an NPS of 96%.
46
Basic information on training at BBVA
GRI 404-1, 404-2, 404-3
2020 2019 2018 2017
Investment in training (in thousands of soles) 7,108,000 7,979,141 7,875,993 5,715,000

Investment in training per employee (in thousands of soles) 1,190 1,291 1,311 990
Employees with training (%) 99.50 98 98 95.7
Average hours of training per employee

GRI 404-1
Training hours Number of employees Average hours/ employee
Rank Men Women Men Women Men Women
Managers 14,437 10,895 340 250 42.46 43.58
Bosses and specialists 24,111 19,958 643 553 37.50 36.09
Technicians 62,160 61,911 1,237 1,320 50.25 46.90
Base positions 47,041 87,460 613 1,018 76.74 85.70
An important aspect for professional development is the completion of the annual

Individual Performance Evaluation process, which assesses the level of compliance with
the objectives established in the year and the experience of BBVA values, as well as the
employee's skills regarding their role..
GRI 404-3
Each boss must transparently communicate the result obtained, which fosters the
confidence of their teams and contributes to the commitment of the person in charge of
working on the continuous improvement of the performance of the employees under their
charge, under the premise of offering an appropriate career path.
The instrument for evaluating and promoting the evolution of the career line was People
Assessment, which compares the employee's skills with those of their role, based on the
competencies defined at the BBVA Group level. This allows identifying strengths and
opportunities for improvement through a growth plan
Evaluation annual Employees receiving periodic professional development reviews

and performance reviews (%)
GRI 404-3
2020
Men Women Total
(*)
Management team 100% 97% 99%
Middle managers 98% 99% 99%
Specialists 98% 97% 97%
Sales force 99% 99% 99%
Base positions 88% 86% 87%
Grand total 96% 94% 95%
5.3.1.2. Diversity and work-life balance

GRI 405-1
Diversity is a determining factor for the creation and implementation of value proposals in
Bank projects, which is why in each selection process to incorporate personnel, criteria of
gender equality and equity are taken into account. The presence of women has become
an inherent attribute of the BBVA culture, which is demonstrated in that they make up
53% of the payroll and 14% of the Managing Committee and unit managers.
Likewise, BBVA offers, as part of the promotion of its diversity and conciliation policy,
employment opportunities for people with disabilities, through permanent communication
with organizations that promote equal opportunities, such as the National Council for the
Integration of People with Disabilities (Conadis) and the Ministry of Labor and
Employment Promotion. Internally, it coordinates the work furniture requirements for them
through the occupational doctor and the team of social employees.
47
Distribution of employees by gender and professional category (%)
GRI 405-1
2020 2019 2018 2017
Men Women Men Women Men Women Men Women
(*)
Management team 67% 33% 70% 30% 70% 30% 69% 31%
Middle managers 53% 47% 53% 47% 55% 45% 55% 34%
Specialists 55% 45% 57% 43% 56% 44% 55% 34%
Sales Force 40% 60% 43% 57% 44% 56% 42% 58%
Base Posts 37% 63% 41% 59% 39% 61% 42% 58%
Employees by type of contract and gender (%)

GRI 405-1
2020 2019 2018 2017
M W Total M W Total M W Total M W Total
Permanent or
permanent full time 41.71 42.38 84.09 41.31 40.5 81.81 41.0 40.0 81.1 40.4 39.6 80.0
Fixed or permanent
part-time 0.03 0.02 0.05 n.a. 0.02 0.02 n.a. 0.03 0.03 n.a. 0.02 0.02
Temporary 5.67 10.18 15.85 6.99 11.18 18.17 7.1 11.8 18.9 8.0 12 20
n.a.: Not applicable.
Voluntary resignations of the workforce (turn-over) (*) and distribution by gender (%)
GRI 401-1
2020 2019 2018 2017
Turnover Turnover Turnover Turnover

rate rate rate rate
over the over the over the over the
total total total total
payroll Men Women payroll Men Women payroll Men Women payroll Men Women
14.8% 14.6% 14.9% 18.3% 17.8% 18.7% 21.1% 22.5% 19.7% 18.2% 17.7% 18.6%
(*) Turn-over = [Voluntary retirements (excluding early retirement)/Number of employees at the beginning of the period] x 100.
Employee registration(*)
GRI 401-1
Men Women Total
Employee registration 316.0 389.0 705.0
(*) Additions due to consolidations are included.
Dismissal of employees
GRI 401-1
Men Women Total
Discharges incentivized 155 98 253

Voluntary withdrawals
(resignations) 216 236 452
Other 186 229 415
Total 557 563 1,120
48
Diversity in the Management Committee and among unit managers
GRI 202-2
Grand
Nation Women Men total Percentage
Italy 0 1 1 1.09%
Spain 0 2 2 2.17%
Mexico 1 2 3 3.26%
Peru 28 58 86 93.48%
Grand total 29 63 92 100.00%
•1.5% of the workforce corresponds to senior managers (Management Committee and unit managers).
•Senior managers are understood to be first and second line managers.
5.3.1.3. Compensation and remuneration

GRI 102-35, 102-37, 102-38, 102-39, 202-1, 405-2
The BBVA Group bases its remuneration model aligned with the priorities defined by the
shareholders and takes into account management following the organization's objectives.
This model meets the following principles:
•Create long-term value.

•Reward the achievement of results based on responsible risk taking.
•Attract and retain the best professionals.
•Reward the level of responsibility and career path.
•Ensure internal equity and external competitiveness.
•Have market references, such as analyzes implemented by companies of recognized
prestige and leaders in the compensation consulting sector.
•Ensure transparency.
•Guarantee that there are no gender pay differences.
In summary, BBVA's remuneration policy promotes equal treatment between men and
women and rejects salary differentiation by gender, as well as rewards the level of
responsibility and professional trajectory, ensuring internal equity and external
competitiveness.
GRI 102-36, 102-39
The remuneration is made up of two clearly differentiated parts:
•Fixed compensation: It is established by considering the level of responsibility and

the professional trajectory of the employee, thus establishing a salary reference for
each function.
•Variable compensation: It rewards the generation of value in each of the units that
make up the BBVA Group, remunerating the individual contributions measured by the
individual performance evaluation composed of objectives and values, the evaluations
of the teams and the integration of these contributions. It is aimed at rewarding the
achievement of individual, group and organizational results, measured with various
indicators.
All Bank employees, whether full-time or part-time, have access to the same benefits,
among which are the payment of school fees, insurance, bonuses and uniforms, as well as
vouchers for snacks, mobility and rest due to grief, among others. Likewise, BBVA ensures
that no employee earns below the current minimum living wage.
GRI 401-2, 202-1
The Talent & Culture area is responsible for disseminating the “Corporate Compensation
and Valuation Schemes”, as well as detailing the management of these processes and
their impact on the employee's professional development. The implementation of these
schemes allows promoting the importance of the role of the direct manager in the
differentiation and recognition of his team.
49
BBVA's remuneration policy promotes equal treatment between men and women and
rejects salary differentiation by gender. The compensation model rewards the level of BBVA’s remuneration
responsibility and professional trajectory, while ensuring internal fairness and external policy promotes equal
competitiveness. In the case of the latter, salary studies are implemented through the treatment between men
Korn Ferry company, which compare salaries based on the measure of the position and and women and rejects
the comparison of similarities between positions. salary differentiation by
GRI 405-2 gender.
BBVA determined that, during 2020, the ratio of the base salary of women to men was
–0.14%. The calculation was made for all new employees during 2020, with the
exception of the Management Committee and service advisers.
Social prevention system

GRI 201-3
BBVA has a social security system (AFP (pensions)/ONP) ordered according to Peruvian
laws, which it offers to different groups of employees. The social security system is a
defined contribution system (paid by the employee) for the retirement contingency.
Contributions to employee welfare systems are made within the framework of Peruvian
labor regulations.
Employee benefits:
•Launch of new rates on freely available loans and mortgages, and credit cards.
•Full coverage of the EPS Health Plan, EPS Health Plan 2020-2021 and Oncológico
Plus Oncoplus Benefits.
•Snack voucher per day worked.
Wellness programs for employees and family members
Within the permanent interest in innovating activities, and in the firm conviction that the
integral growth of the employee must be based on giving them the opportunity to
develop, in April 2020 the Oportunidad de Avanzar Juntos portal was launched, with
proposals and information aimed at their care and your safety, as well as entertainment
alternatives without leaving home. With this criterion, the portal offers various options
through its sections:
•Opportunity to Take Care of Us

•Opportunity to Develop
•Opportunity to Share
Also, during 2020 initiatives focused on providing emotional and physical support in
these difficult times were implemented, such as a psychological line, a nutritional
platform, and a series of webinars on topics that contribute to improving the quality of
life, among others.
5.3.1.4. Labor conditions

GRI 102-41, 401-2
During 2020, BBVA persisted in developing adequate working conditions, for which it
promoted the training, integration and quality of life of the employee and their family. In
this sense, in a pandemic scenario, the Bank drew up strategies and adopted concrete
measures to safeguard the integral health of its employees and families.
The Culture, Welfare & Communication team worked in a committed way to carry out the
programs and activities in favor of the employee, based on the following premises:
•Achieve the maximum well-being of employees and their families

•Protect health and contribute to your quality of life
•Enhance the benefits and facilities available to him
•Disseminate the important portfolio of benefits that the Bank offers
50
Employees have Enjoy, a digital space located on the web portal, and the BBVA Benefits
app, two tools that inform them of the discount programs and exclusive corporate As of December 31, 2020,
promotions of different businesses nationwide and allow them to easily access them. The BBVA Peru had 394
benefits granted by the Bank are equitably given to all employees, without differentiating employees registered
their type of contract, working day, gender, age, etc. under the collective
GRI 401-2 bargaining agreement
Under the protection of laws 26644 and 30807, which govern parental leave and which entered into for the 2021
assign 10 days of leave for men, as a complement to the right to maternity leave and period, representing
whose paid leave is for 98 days, BBVA registered, during 2020, a total of 80 employees 6.6% of the total number
who enjoyed this benefit. of employees.
GRI 401-3
Likewise, the Bank maintains a constant dialogue with the representatives of the BBVA
Federated Center to reach agreements, following the provisions of the law. The employees
affiliated with the union are covered by the collective agreements and every two years the
board of directors of the union representation is elected by its associates.
GRI 102-1
As of December 31, 2020, BBVA Peru had 394 employees registered under the collective
bargaining agreement entered into for the 2021 period, representing 6.6% of the total
number of employees.
GRI 102-41
Health and Safety at Work
GRI 403-2
BBVA is concerned that its employees acquire the knowledge and tools that allow them to
develop prevention habits and early detection of any situation that could put their safety
or health at risk, as well as encourages them to actively participate in the process of
improving work environments.
In this sense, the Bank’s objective is to generate an impact on the employee's working life
and extend it to family life in terms of risk prevention and health care. Within the 2020
pandemic scenario, a series of surveillance and control measures for covid-19 were
established at work:
•Surveillance of confirmed, suspected and positive cases of covid-19.

•Covid-19 preventive talks. Between the months of August to December, ten virtual
meetings were held, with the participation of some 4,000 employees.
•Discard of covid-19 with laboratory tests. Rapid tests were performed as part of the
medical intervention protocol.
•Registration and evaluation of vulnerable employees through an online form.
•Following the provisions of the Ministry of Health (Minsa), medical evaluations were
taken to update the vulnerability status of each employee. At the end of the year, there
were 973 vulnerable employees.
•Development of protocols and recommendations to avoid covid-19 on issues such as
access to different areas, capacity and preventive measures in customer service,
office visits, travel, Managing Committee meetings and use of spaces for work
meetings in a face-to-face return.
•Continuation of prevention activities at BBVA in terms of gas lines, fumigation, LPG
filling, substation maintenance and work accidents.
•Start of activities, in September 2020, of the centralized medical Call Center service
for employees dedicated to the discarding and/or monitoring of covid-19 cases.
•Start, in December 2020, of the preventive testing program in the network of offices,
the pilot phase of which included the districts with the highest prevalence. It is
planned to monitor 1,500 employees in the first quarter of 2021.
During 2020 there were no cases of death due to work accidents or occupational
diseases.
GRI 403-2
51
Basic occupational health data
GRI 403-1, 403-2
2020 2019 2018 2017
Number of technical-preventive procedures n.a. 52 116 33

Preventive actions to improve working
conditions n.a. 150 622 132
Appointments to health exams n.a. 1,588 1,719 1,404
Employees represented in health and safety
committees (percentage) 100% 100% 100% 100%
Absenteeism rate 2.90% 0.86% 1.15% 1.10%
Due to the atypical nature of the pandemic, during 2020 the technical-preventive
monitoring procedures and preventive actions to improve working conditions migrated
from the aforementioned medical actions.
5.3.1.5. Volunteering and social engagement

GRI 413-1
In its global strategy, the BBVA Group has a corporate volunteering program that
encourages it to develop sustainability projects in all the countries where it is present. During 2020, and due to
Employees are an active part of these initiatives. the pandemic, a series of
virtual volunteering
The volunteer program allows to reinforce self-esteem and pride of belonging to the actions were
company, helping to build an identity based on values of solidarity, empathy and collective implemented that
thinking within the organization. allowed employees to
join them without
During 2020, and due to the pandemic, a series of virtual volunteering actions were exposing themselves to
implemented that allowed employees to join them without exposing themselves to the the virus.
virus. The activities had the participation of several dozen employees and benefited
approximately 4,500 people.
The most outstanding activities in 2020 were:
•Non-perishable food donation campaign “Together for Villa el Salvador”

•Job interview simulation – Forge Foundation
•Volunteer “Había una vez” program
•Bicycle donation campaign – Baika Organization
•Donation of gifts for Christmas Michiquillay in Cajamarca
The constant shortage of personal protection elements for medical teams in the
framework of the state of emergency led BBVA to organize among its employees the
campaign ‘Your help is worth double’, which managed to gather more than 50,000
personal protection equipment (safety glasses, face shields, KN95 masks, suits, aprons,
and surgical gloves), which were delivered to the Ministry of Health (Minsa). Likewise, a
part of the proceeds was used for the purchase of ethyl alcohol, antibacterial gel, shoe
covers, surgery bars, masks, and clinical infrared thermometers, which were allocated to
EsSalud.
5.3.2. Governance systems and ethical behavior

5.3.2.1. Corporate governance
GRI 102-13, 102-19, 102-20, 102-21, 102-24, 102-26, 102-29, 102-30, 102-32, 103-2, 417-3
BBVA includes in this 2020 Integrated Report its report on compliance with the principles
of good corporate governance during the period concluded, which explains in detail,
following legal provisions, the degree of implementation of the recommendations in this
regard. Likewise, all the current information required is included in the corresponding
section of the Bank’s website.
For the Bank, the good corporate governance system is a fundamental element of the
corporate social responsibility (CSR) model and one of the pillars that sustain its
development. According to the internal regulations of the entity, the approval of its CSR
52
policy corresponds to the Board of Directors, which annually receives a detailed report on
the implementation and realization of said policy. For the Bank, the good
corporate governance
This practice allows transparent and adequate management of the social organs of the system is a fundamental
organization and the actions of its shareholders, per the objectives of the stakeholders. element of the corporate
social responsibility
BBVA has been an uninterrupted member of the Good Corporate Governance Index (CSR) model and one of
(IBGC) of the Lima Stock Exchange (BVL) since 2008. This statistical stock market the pillars that sustain
indicator reflects the behavior of the prices of the most representative shares of the its development.
issuing companies that comply with the principles of good governance and have a
minimum level of liquidity established by the BVL.
The corporate governance system has essential characteristics such as:
•An adequate composition of its corporate bodies.

•A clear distribution of functions between the Board of Directors and its committees,
and between them and senior management.
•An orderly decision-making process.
•A solid monitoring, supervision, and control system for the Company’s management.
1. Regulatory framework
The regulatory system of corporate governance in Peru is structured by the principles

contained in the Code of Good Corporate Governance for Peruvian Companies (CBGC),
approved by the Superintendency of the Securities Market (SMV), as well as by the
Corporate Governance Regulations and the Comprehensive Risk Management, tested by
the Superintendency of Banking, Insurance and AFP (pensions) (SBS). Its objective is to
generate a culture of corporate governance, improve the perception of investors of public
limited companies, promote business development and contribute to the generation of
value in the national economy.
The CBGC applies to all public limited companies in the country, but especially to those
that have securities registered in the Public Stock Market Registry (the “Registry”), which
are obliged to disseminate their good governance practices to the market. corporate. It is
made up of five pillars:
a. Shareholders’ rights.
b. General meeting of shareholders.
c. Board of Directors and Senior Management.
d. Risks and compliance.
e. Information transparency
The CBGC also includes compLimantary principles that apply to state-owned companies
and family businesses, considering that some of them have securities registered in the
registry.
Adherence to the principles contained in the CBGC by companies not only fosters a
climate of respect for the rights of shareholders and investors in general but also
contributes to creating value, strength, and efficiency in companies. In the same way, it
encourages better risk management to which companies could be exposed and facilitates
access to the capital market. As such, it reduces capital costs and favors greater and
better access to sources of financing and long-term investment.
2. The Bank’s corporate governance regime

GRI 102-20, 102-24, 102-26, 102-29, 102-30
This regime is made up of a set of internal rules and regulations that determine various
rights and duties of the Company's governing bodies, drawn up under the guidelines set
forth by the principles outlined in the CBGC and the Corporate Governance Regulations
and the Comprehensive risk management. These standards are permanently revised so
that they are kept up-to-date and their application is adapted to the activities
implemented by the Bank as a company.
53
Within this regulatory regime, BBVA has a Regulation for the General Shareholders’
Meeting, which dictates the principles of organization and operation of that governing BBVA has a Regulation
body and establishes its regime for calling, information, attendance, and the development for the General
of the meeting itself. The guiding principle is to provide shareholders with the exercise of Shareholders’ Meeting,
their corresponding rights, protected not only by the bylaws but also by regulatory which dictates the
standards, the General Law of Companies, and the principles of corporate governance. principles of organization
and operation of that
Likewise, it empowers the Board of Directors to establish, to better perform its functions, governing body and
the committees it deems necessary to assist it in matters of its competence. These establishes its regime for
committees are the following: Audit; Compliance; Appointments, Remuneration, and calling, information,
Talent Management; of Risks; and Corporate Governance. attendance, and the
development of the
The Corporate Governance Committee is in charge of supervising the Bank’s compliance meeting itself.
with such practices, as well as implementing the necessary improvements to maintain
social responsibility standards. The committee was constituted by a board meeting
agreement dated November 17, 2011, and its regulations contain the provisions related to
its operation, structure, and composition.
3. Composition of the Board of Directors

GRI 102-18, 102-22, 102-23
The Board of Directors is made up of people with different specialties and competencies,
all of them recognized for their prestige, ethics, economic independence, sufficient
availability, and a series of relevant qualities for the Company so that a plurality of
approaches and opinions coexist. Likewise, under the provisions of the Corporate
Governance and Comprehensive Risk Management Regulations, it has two (02)
independent directors, who meet the applicable requirements according to current
regulations.
The current members of the BBVA Board of Directors are the following:
54
GRI 102-22, 102-23
Date Shareholding
Names Vocational training Start End Nº shares Part. %
Directors, not including independent directors
Alex Fort Brescia Master in Business May 1995 Does not Does not
Chairman of the Board Administration. He apply apply
participates on the boards of
Holding Continental and
Fundación BBVA Peru.
Pedro Brescia Moreyra Business Administrator, May 1995 Does not Does not
First Vice President participates in the boards of apply apply
Fundación BBVA Perú.
Ignacio Javier Lacasta Casado Economist. Participates in January Does not Does not
Second Vice President the board of the BBVA Peru 2013 apply apply
Foundation. He participated
in the board of the Holding
Continental.
Mario Brescia Moreyra Administrator. He March 2013 Does not Does not
Principal Director participates on the boards of apply apply
Fortunato Brescia Moreyra Engineer. He participates on June 2013 Does not Does not
Principal Director the boards of Holding apply apply
Continental and Fundación
BBVA Peru.
Fernando Eguiluz Lozano Industrial and Systems July 2019 Does not Does not
General Managing Director Engineer. MBA. He apply apply
participates on the boards of
BBVA Consumer Finance
Edpyme, Forum
Comercializadora del Perú SA,
Forum Distribuidora del Perú
SA and Fundación BBVA Perú.
José Ignacio Merino Martín Degree in Business Sciences. March 2016 Does not Does not
Principal Director He participates in the board apply apply
of directors of Fundación
BBVA Peru.
Rafael Varela Martínez Graduated in Law, he May 2020 Does not Does not
Principal Director participates in the board of apply apply
the BBVA Peru Foundation.
José Carlos López Álvarez Degree in Business Sciences. June 2018 Does not Does not
Head Director He participates in the board apply apply
of directors of Fundación
BBVA Peru.
Independent directors
José Manuel Rodríguez- Master in Engineering in May 2020 Does not Does not
Novás Sánchez-Diezma Agricultural Industry. He apply apply
Independent Director participates in the board of
directors of Fundación BBVA
Peru.
Ismael Alberto Benavides An agronomist, he March 2018 Does not Does not
Ferreyros participates in the board of apply apply
Independent Director the BBVA Peru Foundation.
>
55
GRI 102-22, 102-23
Date Shareholding
Names Vocational training Start End Nº shares Part. %
Alternate directors
Jaime Aráoz Medani Business administrator. March 2018 Does not Does not
Alternate Director MBA. apply apply
Fernando José Alegre Basurco Industrial Engineer. MBA. March 2018 September Does not Does not
Alternate Director 2020 apply apply
Miguel Ángel Salmón Jacobs Degree in Law and Political March 2018 Does not Does not
Alternate Director Science. apply apply
Gustavo Alberto Mazzolini Public accountant and March 2018 Does not Does not
Casas licensed in Administration. apply apply
Alternate Director
Antonio Alonso Granada Degree in Economics. May 2020 Does not Does not
Alternate Director apply apply
Board delegate committees

GRI 102-18
Names and surnames Position
Audit Committee
José Manuel Rodríguez-Novás Sánchez-Diezma(*) President
Alex Fort Brescia Member
José Ignacio Merino Martín Member
Appointments, Remuneration, and Talent Management Committee

Ignacio Lacasta Casado President
Pedro Brescia Moreyra Member
Fernando Eguiluz Lozano Member
Corporate Governance Committee

Alex Fort Brescia President
Mario Brescia Moreyra Member
Rafael Varela Martínez Member
Risk Committee
José Ignacio Merino Martín President
Vicente Puig Payá(**) Member
Compliance Committee
Alex Fort Brescia President
Fortunato Brescia Moreyra Member
(*) Independent director.

(**) In his capacity as Risk Manager of the Bank.
5.3.2.2. Compliance system

GRI 102-16, 102-25, 102-28, 205-2, 205-3
Following the principles established in the Bank for International Settlements (BIS) and the
reference regulations on the matter, BBVA articulates its activity around the development and
implementation of specific policies and procedures under strict standards of ethical behavior,
as well as its dissemination and compliance. In this sense, the compliance risk management
model is aimed at identifying, evaluating, and mitigating eventual compliance risks.
“Compliance risks” are defined as the danger of incurring legal sanctions and financial or
reputational losses that an entity may suffer for failing to comply with laws, regulations,
rules, self-regulatory standards, and codes of conduct applicable to its activities.
56
In line with the corporate organizational structure, and to properly manage compliance
risks in BBVA Group entities in Peru, the Compliance area reports directly to the Board of
Directors, in a clear reaffirmation of the autonomy, importance, and independence with
which the Group has endowed it.
Under an agile organizational structure, the area consists of five disciplines, supported by
a process execution block (Compliance Execution) and a project development block
(Compliance Solutions):
•Anti Money Laundering (AML) Compliance, in charge of the risks of money

laundering and financing of terrorism (PLMTF).
•Customer Compliance, in charge of managing market conduct risks, customer
protection, product governance, and conflicts of interest, among other related parties.
•Corporate Compliance, Responsible for managing mainly the risks related to ethical
conduct, corruption, criminal liability of the Group's companies, and competition risks
(antitrust).
•Securities & Derivatives (S&D) Compliance, which manages the risks of conduct in
the securities markets, prevention of the improper use of privileged information, and
abuse of the market, among others.
•Model & Assurance, a discipline that develops and implements the Compliance
model with a global scope, which includes Compliance Testing, an independent
function for the assurance of controls and compliance mitigators.
During 2020, as a consequence of the global health emergency, the Compliance function
had two main drivers of action:
i) Due compliance with the emerging regulation, which required the implementation of
adequate procedures and protocols for action, in the shortest time. It was promoted and
ii) Need to ensure that the offer of products and services does not present streamlined, with the
deficiencies in the management of compliance risks. support of biometric
technology, the
In this sense, the corporate compliance risk management model was subjected to a onboarding of clients in a
period of intense testing, for which it had to reinforce the elements and pillars on which it non-face-to-face way, as
is based. To do this, the Compliance function at BBVA Peru put into practice the well as the attention of
fundamental elements of the model: operations through non-
face-to-face channels
a. Provision of an adequate organizational structure that allowed it to maintain its and credit requirements,
authority and independence of judgment. and debt rescheduling.
b. Maintenance or updating, as appropriate, of internal regulations, policies, and
procedures, to guarantee business continuity;
c. Support in the technological infrastructure, a crucial element for the effective
development of Compliance supervision and control activities remotely.
d. Permanent activity in risk assessment, both in the scenarios affected by the
changes, to define the mitigation actions that ensure the proper management of the
risks involved, as well as in those that were not hit.
e. Dissemination and communication of the relevant changes and actions, also
understood as a “re-education” in the new ways of developing activities, if applicable.
f. Continuity in the supervision and control of the established processes that did not
suffer the impact of the pandemic, while monitoring schemes were developed for the
changes implemented.
This management scheme made it possible to respond in a timely and effective manner
to activities with a high component of risk factors linked to the Compliance activity, even
in the context of the health emergency. Thus, it was promoted and streamlined, with the
support of biometric technology, the onboarding of clients in a non-face-to-face way, as
well as the attention of operations through non-face-to-face channels and credit
requirements, and debt rescheduling.
The regulatory and environmental changes in the special situation of 2020 impacted to a
greater or lesser extent the prevention of money laundering and financing of terrorism,
the risks of corruption, those of market conduct, the prevention of conflicts of interest
and competition. and corporate integrity, to list the most significant.
57
On the other hand, the Bank’s macro vision that any action is undertaken also requires
ensuring traceability for subsequent evaluation led to the implementation, in 2020, of
independent evaluations of both the regulators and the internal and external audit bodies.
This tool becomes increasingly relevant as the new normal becomes viable.
Regarding communication and training for the entire organization, the Bank has, also to
face-to-face and e-learning instruction from Campus BBVA –a portal to teach courses
and corporate training tools–, with a Compliance Portal (intranet) It uses internally for the
following functions:
•Disseminate news or changes in the legal framework, internal regulations, national

and international documents, red flags, and suspicious behavior patterns, as well as
answers to frequently asked questions.
•Provide differential notoriety to a specific standard or informative or educational
content related to activities to prevent money laundering and financing of terrorism
and other compliance risks.
•Maintain an appropriate level of awareness, which is achieved when compliance with
the rules and proper ethical behavior is part of the institutional messages.
•Have a continuous and easily accessible information medium for the staff.
During 2020, the Internal Regulation Framework (self-regulation) was reinforced, through
the issuance and application of the Internal Regulation Standard to all bank units, having
defined that the update of the existing regulations will be implemented within a period of
two years.
Also to the Policy on Conduct in Securities Markets, the Anti-Corruption Policy, the
Prevention Policy in Matters of Conflicts of Interest, the Product Governance Policy, and
the Competition Policy, in 2020 the application of the General Policy on Conflicts of
interest. This is an integrating element of the other documents, which both in the
Compliance area and in the other units are used to manage conflicts of interest and which
applies to all local business units of the BBVA Group.
Advice on ethical and legal behavior

GRI 102-17, 102,25, 102-26, 102-27
The Code of Conduct of the BBVA Group in Peru includes the latest regulatory
requirements and recommendations from international organizations such as BIS, EBA,
ISO, among others, as well as the best practices and requirements of supervisory bodies.
It also contains current societal expectations about what a strict ethics-based business
culture should be.
The Code stipulates very clearly that the behavior of BBVA employees must be legal,
morally acceptable and publishable, and provides guidelines for behavior per the Group’s
principles of prudence, integrity, and transparency. It includes procedures to help
employees resolve doubts and clarify the fulfillment of their obligations.
During 2020, the Compliance area once again reinforced the BBVA Group’s permanent
commitment to business integrity, promoting communication, training, and adherence to During 2020, the
its Code, as well as the foundations that inspire it: transparency, integrity, and prudence. Compliance area once
again reinforced the
The Code applies to all entities linked to the BBVA Group in Peru. Each employee has a BBVA Group's permanent
copy of the Code, which is also published on the Bank's website and the Compliance commitment to business
portal (intranet). Training and formal adherence are done by electronic signature, which integrity, promoting
contributes to the greater efficiency and simplicity of the process and is in line with the communication, training,
Group's technological innovation strategy. and adherence to its
Code, as well as the
In 2020, the Compliance area continued to provide support and advice to BBVA foundations that inspire
employees and senior management regarding the application of the Code and current it: transparency,
corporate policies. The advice was given on matters related to, among others, the integrity, and prudence.
acceptance of gifts or personal benefits, the development of professional activities, the
treatment and management of potential conflicts of interest, and the management of
personal assets.
58
The Bank has created the Corporate Integrity Management Committee as the highest
level body to oversee the proper application of the policies and guidelines included in the
Code. The Compliance area presents the evolution of all areas related to the Code at the
Committee sessions.
As indicated in the preceding section, in 2020 the General Conflict of Interest Policy came
into force, which reaffirms the commitment to manage the interests of the Bank’s
shareholders with absolute integrity, transparency, and objectivity, seeking to prevent the
occurrence of potential conflicts of interest. interests, or managing existing ones in the
best way.
As in the case of other policies, this provides general mitigation actions, as well as specific
actions to avoid incurring conflicts of interest. In this regard, the use, on a corporate basis,
of the Whistleblower Channel is also established, which includes all communication about
any possible breach of the policy, also to the governance model and sanctions framework
that apply to this policy.
Anti-corruption policy
GRI 412-2
The update of the BBVA anti-corruption policy implemented in 2020 emphasizes its
introduction that is aligned with the FCPA (USA), the UK Bribery Act, the Spanish Penal The update of the BBVA
Code, and the best practices in the sector, and takes as reference ISO 37001. Likewise, it anti-corruption policy
establishes the guidelines to be able to make donations to public entities and collaborate implemented in 2020
during the covid-19 pandemic. emphasizes its
introduction that is
With the participation of the General Manager through video, the Responsible Attitude aligned with the FCPA
Program (PARE) was relaunched, to reinforce the desired actions within the framework of (USA), the UK Bribery
the Code of Conduct. During the campaign, new videos developed topics such as Act, the Spanish Penal
“Conduct with customers”, which emphasized the provisions of the Market Conduct Code, and the best
Regulation issued by the Superintendency of Banking, Insurance and AFP (pensions), and practices in the sector,
“Conduct with colleagues”, regarding the issues of work climate and sexual harassment. and takes as reference
ISO 37001.
Likewise, the BBVA Code of Conduct course was included in the pack of regulatory
courses, to reinforce its validity and application through didactic examples, including a
reference to the Whistleblower Channel.
Total
number(*) Percentage
Employees to whom the anti-corruption policies and procedures

have been communicated 6,182 100%
Employees who have received anti-corruption training 6,001 99%
(*) The total number of employees is higher due to job rotation.
The Anti-Corruption Policy course is compulsory for all new employees of all Group
entities in Peru, through the virtual training platform. The same happens with the Code of
Conduct.
During the second half of 2020, a project was started to reinforce the ABC (Anti Bribery
and Corruption) Model, the main objective of which is the proper application of the anti-
corruption policy and the applicable regulations in this regard. It is scheduled to conclude
in 2021.
59
Prevention of money laundering and terrorist financing (PLMTF)
GRI 205-2
Among the objectives that the BBVA Group associates with its commitment to improve
the social environments in which it carries out its activities is the permanent prevention of
money laundering and terrorist financing (PLMTF).
The Bank considers that preventing its products and services from being used for
criminal purposes is an essential requirement to preserve corporate integrity and,
thereby, maintain the trust of the stakeholders with whom it is directly related
(customers, employees, shareholders, suppliers, etc.) and with society in general.
To this end, BBVA supports its actions on a corporate risk management model, which
includes the best practices of the financial industry worldwide in the prevention of PLMTF, BBVA supports its
among them the recommendations of organizations such as the Financial Action Task actions on a corporate
Force (FATF). risk management model,
which includes the best
PLMTF’s risk management model is constantly evolving and is subject to continuous practices of the financial
independent reviews. These analyzes make it possible, in particular, to strengthen industry worldwide in the
controls and establish additional mitigating measures to strengthen them. prevention of PLMTF,
among them the
During 2020, the Bank strengthened the PLMTF risk management model with recommendations of
improvements in the mitigation and control processes; for example, in the timely organizations such as
adaptation of the granting of economic reactivation credits, or in the processes of the Financial Action Task
opening non-face-to-face accounts. Likewise, the monitoring of cash operations with Force (FATF).
foreign currencies and of new types of money laundering continued, having issued the
corresponding risk reports. Likewise, the project to replace the operations monitoring tool
began, as well as the adaptation of regulatory reporting to the new legal provisions.
It should be noted that, within the permanent training of employees, subsidiaries and
related parties in PLMTF, training activities were implemented, both face-to-face for new
entrants and remotely (online) for personnel dedicated to commercial work. In total, 99%
of employees engaged in commercial activities, and 98% of the general payroll were
trained.
GRI 205-2
Market conduct (Transparency and user protection)
Market conduct issues (Customer Compliance), in charge of the market conduct officer
(OCM), whose objective is to ensure the development of the following activities
established within the framework of the market conduct regulation issued by the
Superintendency of Banking, Insurance and AFP (pensions) (SBS):
•Assessment of risks for clients associated with BBVA products, services, and
activities, as well as promotion or implementation of measures to mitigate them.
During 2020, the application of the compliance model was consolidated in the new
product committees and the quality assurance program (PAC), ensuring the
intervention of the OCM from its conception and subsequent development, marketing,
and post-contracting.
•Coordination of action plans to adapt to the new requirements and criteria issued in
terms of user protection, mainly by the SBS. During 2020, and due to the health
emergency, a series of regulatory changes took place with a special focus on
consumer protection, which demanded the proactive action of the OCM to prevent the
materialization of non-compliances.
•Close and continuous collaboration with product and business development units,
with an emphasis on digital banking initiatives, to incorporate the vision of user
protection into their projects.
•Permanent updating of the internal regulatory framework for the correct marketing
of the Bank's products and services, especially in the proper application of the
regulatory changes provided in the field of market conduct.
•Participation in projects to improve and update the Bank's business processes and
computer systems, to ensure their alignment with the best practices for the
protection of customer interests. The emergency determined the need for ongoing
accompaniment by the OCM.
60
•Communication and training actions aimed at commercial networks in matters of
transparency and consumer protection. As each employee who attends a client/user
must be duly informed and permanently updated, the annual training program was
developed, extensive to all employees who provide support to internal processes, and
a periodic update of the reference material was implemented. offices through a
centralized application.
•Specific reviews of the information available to the public and the sales force, which
includes control of the application of commissions and expenses and their publication
in the branch network. All the communications issued were validated and the
commission governance framework was reviewed.
•Review of the contents of promotional campaigns and commercial actions of
productS/ services, in compliance with the principle of transparent, clear, and
responsible advertising (TCR) and the Advertising Self-Regulation Code signed by the
Association of Banks of Peru (ASBANC). For this, quarterly reports were made to
monitor advertising activity.
•Strengthening of compliance risk monitoring metrics and indicators, to promote a
preventive approach.
•Evaluation of customer complaints, internal and external audit reviews, and
examinations and requirements of regulators, which verified that these were
addressed within the current legal term.
In 2020, BBVA presented an average of 93% compliance with ASBANC’s advertising

guidelines. This self-regulation of the system seeks to facilitate the understanding by the
client of the information related to interest rates, fees, or other characteristics and
conditions of financial products.
GRI 417-1
During the completed period, the Product Governance Policy was put into practice, and
the OCM participated in the prior evaluation and subsequent monitoring of all
commercial initiatives developed by the Bank within the framework of the PAC and the
New Modalities and Products Committee (CNMP).
5.3.2.3. Standards of conduct

GRI 102-16, 102-17, 205-2, 307-1, 406-1, 412-2, 419-1
The Code of Conduct applies to all personnel and companies of the BBVA Group in Peru
and, if applicable, applies to third parties linked to the Bank if they represent exposure to The Code of Ethics in the
reputational risk. The Code develops guidelines in four areas: i) Conduct with the client, Securities Markets
ii) Conduct with colleagues, iii) Conduct with the company and, iv) Conduct with society. defines in BBVA the
It also develops the governance and application framework of the Code. actions of the personnel
who carry out their
The Code of Ethics in the Securities Markets defines in BBVA the actions of the personnel activities in the field of
who carry out their activities in the field of investments on behalf of third parties or of investments on behalf of
Group entities in Peru. To prevent the improper use of privileged information and/or third parties or of Group
market abuse, the Bank applies measures to control the flow of information to its related entities in Peru.
parties (natural and/or legal persons), the prior authorization of operations, the
construction of Physical or intangible “Chinese walls” and the monitoring of operations on
its account or of its related parties in the securities markets.
To achieve synergies and simplify the communication of actions or situations that may be
contrary to the Code, the policies that develop it, or its values and guidelines, it was
established that the Whistleblower Channel is the means of communication of such
actions, regardless of the Group self-regulatory provisions.
During 2020, the analysis of the written and digital media did not identify any report
regarding controversial issues related to sustainability that affected BBVA.
GRI 307-1
Whistleblower channel
GRI 102-17, 102-33, 102-34
To avoid any behavior or action that is morally questionable or is outside the law, the
Group and all the companies that comprise it abide by the BBVA Code of Conduct.
61
The Whistleblower Channel is a means by which any stakeholder can report any non-
compliance that he or she observes or is transmitted to him by other employees, clients, The timely and effective
or suppliers, which includes, but is not limited to, illegal or unethical conduct. To do this, resolution of the
you must comply with the following procedure: complaints raised
guaranteed due
•Discuss the case with your immediate superior or your Talent & Culture Manager. compliance with the
•Notify the case through the local Whistleblower Channel. Code and consolidated
•Use the corporate Whistleblower Channel when you want the case to be notified to confidence in the use of
Compliance Holding. the Complaint Channel.
Those people who in good faith report inappropriate facts or actions to the Whistleblower
Channel (emails and/or telephones) may not be subject to retaliation or suffer any
adverse consequences for such reason.
It is the task of the Compliance Unit to process the complaints received promptly and
diligently, promote their investigation and verify and promote the necessary measures for
their resolution following the complaints channel management procedures. The
information will be analyzed objectively, impartially, and confidentially, keeping the
identity of the complainant confidential.
It is worth noting that for some years now, special attention has been paid to complaints
that appear on social networks, several of which have been dealt with in the field of
conduct with the client, as indicated in the Code of Conduct.
Of the total number of complaints received about misconduct by employees during 2020,
36% of them were related to customers, 45% to colleagues, 17% to the company, and 2%
to society.
In 2020, very possibly due to the emergency, the number of complaints decreased by
22% compared to the previous year. However, it should be noted that 18% of the
complaints were made by email, with the identification of the complainant, and the rest
by the anonymous and free telephone mailbox, the other means used for the
management of communications through the Whistleblower Channel.
The timely and effective resolution of the complaints raised guaranteed due compliance
with the Code and consolidated confidence in the use of the Complaint Channel.
During the 2020 period, no complaint was received about any case of corruption at
BBVA.
GRI 205-3
Legal compliance
GRI 419-1
During 2020, no non-monetary fine or sanction in socio-economic matters was given
against BBVA that had materiality.
GRI 416-2, 417-2
70 cases were registered with financial penalties from Indecopi for infractions of the
Consumer Protection Code, with fines amounting to 199.87 UIT.
5.3.2.4. Internal control model

GRI 102-11, 103-3, 205-1
The internal control model is based on the recommendations of the Basel Committee and
industry best practices. It has an internal control scheme structured in three lines of
defense, to guarantee that operations are implemented respecting both the applicable
regulations and the internal policies and procedures established by the institution.
•First line: Made up of the owners of the processes, responsible for managing current
and emerging risks and executing the control procedures inherent to them. Likewise, it
has a Risk Control Assurer, whose purpose is to promote the adequate management
of operational risk in their respective management areas, by extending the risk
identification methodology and establishment of controls to the process owners.
62
•Second line: Integrated by a Risk Control Specialist team (Compliance, Processes,
Third Party, Finance, Legal, People, Riesgos, Physical Security, Information & Data Regarding the relevant
Security and Technology Security). He is in charge of defining the mitigation and initiatives implemented
control frameworks in his field of specialty (across the entire organization) and in 2020, the
contrasting them with what was implemented by the first line. strengthening of the
•Third line: Assumed by the Internal Audit Area, it independently, impartially, and Bank's internal control
objectively evaluates the organization's internal control and risk management scheme with the
systems. Its purpose is to add value, improve operations and support the Group in provision of a greater
achieving its objectives within an adequate control environment. structure and work
methodologies stands
This model allows the Bank to comply with the highest standards in terms of internal out.
control, issued and updated in 2013 by the Committee of Sponsoring Organizations of the
Treadway Commission (COSO).
Regarding the relevant initiatives implemented in 2020, the strengthening of the Bank’s
internal control scheme with the provision of a greater structure and work methodologies
stands out.
Corporate Assurance
GRI 102-30
The Bank maintains the Corporate Assurance model launched in 2013, the purpose of
which is to strengthen internal control to allow senior management to have a
comprehensive view of the organization. A governance scheme was established that
involves senior management and is supported by the work implemented by the control
teams, which makes the model viable.
This scheme promotes the coordinated action of the three lines of defense, to increase
the effectiveness and efficiency of the internal control model. Also, it provides the
necessary management tools for the prioritization and escalation of matters related to
internal control.
For proper compliance with the mechanism, quarterly meetings are held in which the
members of the management committees of the Group and its subsidiaries participate.
The purpose of these meetings is to know and make decisions on control matters that
may have a significant impact on the objectives of the different units.
Internal Audit
The Internal Audit Department (IA) is a global unit that at a corporate level depends on
the Presidency of the BBVA Group and locally, on the Bank's Board of Directors, in charge
of overseeing the annual plan approved by it.
In this way, AI accompanies the digital transformation process in which the Bank is
immersed, so it has transformed its work methodology and adapted its internal
processes to be in tune with changes in the organization, obtain efficiencies and enhance
the work done.
The preparation of the Bank's annual plan is based on a Risk Assessment process that is
applied to all its areas and processes. The idea is that through continuous evaluation the
levels of inherent risk and control of each process are valued and the sources of risk are
identified, with which, if necessary, a specifically oriented revision proposal is made. Also
to this evaluation, the plan includes regulatory reviews established in current Peruvian
regulations and others requested by Management.
In the preparation of the annual plan, the coverage of a type of risk is taken into account
that allows maintaining adequate control in the organization. As established in the
regulations, any change in the plan must be approved by the Audit Committee and
reported to the local regulator.
As part of the constant improvements in the methodology, in 2020 the Risk Assessment
was kept updated and the work proposal was reviewed quarterly, so that, if it is necessary
to make any changes to the plan due to the appearance of a relevant issue, it is possible
to do it quickly and efficiently.
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Since 2008, BBVA Peru has been authorized by the SBS to carry out its annual risk-based
audit plan (ABR). This authorization allows specific regulatory reviews not to be included 2020 was an atypical
in the plan, insofar as IA has control information on the process that the standard year due to the health
establishes to review. Since December 31, 2014, this ABR authorization is permanent. emergency generated as
a result of the covid-19
2020 was an atypical year due to the health emergency generated as a result of the pandemic worldwide, so
covid-19 pandemic worldwide, so IA had to adapt to the teleworking modality. This was IA had to adapt to the
possible thanks to the operational support provided by the Bank and the internal teleworking modality.
coordination of the team, which allowed the execution of the plan to continue. However,
precisely due to the situation, the plan did undergo changes, which included revisions to
the aid programs that the Government launched to reactivate the economy and avoid a
break in the payment chain (FAE, Crecer, Reactiva I and Reactiva II).
Due to the changes as a result of the 2020 health emergency, the audit plan included the
following distribution of jobs by type of risk:
Main internal audit activities by type of risk
Type of job Plan 2020(1) Plan 2019(2) Plan 2018(3)
Operational risk 5 2 8
Compliance risk 4 5 4
Credit risk 6 4 5
Technological risk 4 2 3
Legal risk 2 5 2
Structural risk 1 1 0
Capital risk 0 0 1
Business model risk 2 0 1
Market risk 0 0 1
Extended enterprise risk 0 1 1
Internal governance risk 0 1 1
Total 24 21 27
(1) Plan executed during the fiscal year 2020.

The main risk sources on which Internal Audit focused its work plan during 2020 were:
•Operational risk: Digital transformation, banking processes, and Operational Risk

model.
•Compliance risk: Consumer Protection, Corporate Compliance, and PLD & FT.
•Credit risk: Proactive Admission, Rescheduling, and Credit Quality.
•Technological risk: Business Continuity and Information Security.
•Legal risk: Regulatory Risk and Financial Reporting.
•Structural risk: Liquidity risk.
•Business model risk: Strategic Plans and Business Viability.
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5.3.3. Fiscal transparency
GRI 207-1, 207-2, 207-3
Tax strategy
BBVA is committed to providing the best solutions to its clients, offering profitable and
sustained growth to its shareholders, and collaborating in the progress of the companies Effective compliance
in which it is present. These values are reflected in tax policies and are aligned with with the provisions of the
corporate principles: integrity of tax matters, prudence in the tax context, and tax strategy is duly
transparency in the entity’s information on its activity. monitored and
supervised by BBVA's
Thus, in 2015, the Board of Directors approved the “Corporate Principles on Tax Matters governing bodies.
and Tax Strategy”, which are framed within BBVA's corporate governance system and
establish the policies, scope, principles, and values that should guide the behavior of the
Group in tax matters. As they have a global scope, the principles, which are published on
the Group’s website, affect all the people who are part of the Bank and their compliance is
of the utmost importance, given the relevance and impact that the taxation of a large
multinational such as BBVA has a presence in the jurisdictions where it is present. This
guideline is in force and governed for action during 2020.
The policies and values that makeup BBVA’s tax strategy are supported and aligned with
the following corporate principles:
I. Integrity, as a manifestation of ethics in everything the Group does and in all its
relationships with stakeholders. In tax matters, this means respecting the rules and
cooperating with the different tax authorities within a relationship founded on good
faith.
II. Prudence, basically understood as a principle of due caution when taking risks.
BBVA always analyzes the tax implications as part of its decision-making process.
III. Transparency, as a maxim that governs all activity. We must always give clear and
truthful information, within the limits of legality. In tax matters, this implies being
transparent in the information that we provide to our clients and in the information
that we give to the rest of the stakeholders about BBVA’s activity.
Effective compliance with the provisions of the tax strategy is duly monitored and
supervised by BBVA's governing bodies. Accordingly, the Bank’s fiscal strategy is based
on the following basic points:
•BBVA’s decisions in tax matters are linked to the payment of taxes, as this is an
important part of its contribution to the economies of the different jurisdictions in
which it operates, aligning taxation with both the effective performance of economic
activity as with the generation of value in the different geographies in which it is
present.
•Active work to adapt to the new digital environment, also in tax matters, by
incorporating virtual presence to the generation of value and its subsequent valuation.
Similarly, seeking to adapt to the requirements in this matter by the tax administration
regarding the new channels of formal and substantial tax compliance, as well as with
participation in digital transformation pilots proposed by the tax administration.
•The establishment of a reciprocally cooperative relationship with the different tax
administrations, based on the principles of transparency, mutual trust, good faith, and
loyalty between the parties.
•The promotion of clear, transparent, and responsible communication with its
different stakeholders, on their main magnitudes and tax matters.
For this, the Tax Department has the support of qualified human resources and the
material and functional resources that it may need to achieve the objectives pursued by
the Principles. Thus, the different areas and businesses act following their internal
regulations and, in particular, with the Standard Framework for Fiscal Control, the
compliance of which is periodically reported to the governing bodies of BBVA.
65
Tax contribution
BBVA is committed to transparency in the payment of taxes and, driven by this effort,
voluntarily discloses its total tax contribution.
The total tax contribution of the BBVA Group (Total Tax Contribution Report, ITTC), which
follows a methodology created by PricewaterhouseCoopers (PwC), includes payments,
both own and third parties, for income tax, general tax on sales, local taxes, and fees,
withholdings for the Tax on Natural Persons and Companies, as well as contributions to
the social security system, as well as those that are made during the year due to tax
litigation related to the aforementioned taxes. In other words, both related taxes (those
that represent a cost to companies and impact their results) and those that are paid on
behalf of third parties are included.
The ITTC provides all interested parties with the opportunity to understand the Bank’s tax
payment and represents a forward-thinking approach, as well as a clear correspondence
with corporate social responsibility, assuming a leadership position in tax transparency.
Total tax contribution Interannual variation (in millions of soles)
2020 2019 2018 2017
Own taxes 853 923 698 723

Third party taxes 392 321 353 342
Total contribution 1,245 1,244 1,051 1,065
5.3.4. Responsible purchasing

GRI 102-9, 102-10, 103-2, 204-1, 308-1, 308-2, 414-1, 414-2
Supply chain
BBVA has a Global Procurement System (GPS), a global technology platform that
supports all phases of the procurement process in the BBVA Group, from the approval of
the budget to the registration and accounting of invoices (budgeting, purchasing, and
finance).
The Group carries out the different negotiation processes with its suppliers (RFIs, RFQs,
RFPs, electronic auctions, and final award rounds) through Adquira Podium, an electronic
platform that offers them the following advantages:
•Greater control, traceability, and visibility of the status of the different negotiation
processes in which it has participated.
•Agility, standardization, and automation of negotiation processes.
•Transparency and simplicity of the process.
•Comprehensive telephone advice on the operation on the portal for doubts, queries,
incidents, and training.
In 2020, BBVA evolved towards the global model with a progressive implementation
approach. The greater globalization in the purchasing activity through the framework of
new purchases and the creation of the Global HUB brings important opportunities:
•Advance in purchasing centralization by promoting the new category framework

defined to take advantage of the Group’s scale.
•Generate operational efficiencies in the Procurement area by consolidating its
activities.
•Strengthen internal control and supplier risk management within acquisitions
(aligned with the Kaizen project).
•Promote the comprehensive supply management model to improve customer
service.
•Improve the global management of suppliers.
66
The Procurement Action Plan, launched in May 2019, continued its development during
2020, for which it had the active participation of the different units/countries involved in In April 2020, BBVA
the process. Such deployment was a challenge in terms of coordination, given the launched the digital
multiple stakeholders involved. signing of contracts with
suppliers. With the
The Plan was structured around four main objectives: support of a global
technology platform for
•Reduce non-standard hiring. signatures, the
•Strengthen the control mechanisms over the negotiable financial invoice processes document thus initialed
and the receipt of goods and acceptance of services, as well as the Delegated is safely and automated
Purchasing Units (UDA). custody in a trusted third
•Improve the Supplier Approval process. party.
•Extend the Supplier Homologation process.
In April 2020, BBVA launched the digital signing of contracts with suppliers. With the
support of a global technology platform for signatures, the document thus initialed is
safely and automated custody in a trusted third party. The digital signature of contracts
provides advantages in terms of efficiency and agility of the process, ease of use, and
greater security and control.
Suppliers portal
The Supplier Portal allows the Group to interact electronically with suppliers that do not
yet work with it, by providing their data within a collaborative environment. This tool has
been a valuable aid for transparency when contacting those who wish to provide their
services to the Bank.
Average term of payment to suppliers
2020 2019 2018 2017
Number of days 11 8 11 25
Supplier satisfaction survey
BBVA conducts a biannual survey to measure the degree of supplier satisfaction. Given
that the last version was implemented in 2019, with a result of 79 points, the next survey
will be implemented in 2021.
Suppliers
For BBVA, its suppliers are a fundamental part of its business model. Their relationship
with them is governed by the Group’s Code of Conduct, the Supplier Code of Ethics, the
Responsible Purchasing Policy, and the Standard for the acquisition of goods and
contracting of services.
BBVA contributes positively to the development of the societies in which it operates,

which is why it understands that integrating ethical, social, and environmental factors into
the supply chain is part of its responsibility. Its Supplier Code of Ethics defines the
minimum standards of behavior in terms of ethical, social, and environmental conduct
that it expects all of its suppliers of products and services to follow. Similarly, the Code
includes BBVA's aspiration to promote human rights in its relationships with suppliers,
which is reflected in its Commitment to Human Rights.
Basic supplier data
2020 2019 2018 2017

(1)
Number of suppliers 5,846 2,147 3,752 3,230
Volume billed by supplier (in millions of soles) 942 1,030 1,054 967
Number of approved suppliers(2) 508 366 486 429
(1) Suppliers who have billed the Bank are considered. Consider the amount without taxes.
(2) Suppliers with current approval as of 2020.
67
The Bank signs contracts mainly with suppliers of labor intermediation, work contractors,
outsourcing services, and the purchase of goods, among others. Depending on the
category, purchases are made with local or non-domiciled suppliers.
Supplier management
Homologation process
GRI 412-3
The homologation process that BBVA carries out with its suppliers consists of assessing
their financial, legal, and employment situation, as well as their reputation, knowing their The homologation
basic technical capabilities, and validating that they share the same values as the Group process that BBVA
in terms of social responsibility. This applies to recurring suppliers with higher purchase carries out with its
volumes. suppliers consists of
assessing their financial,
This process also allows to know if the supplier complies with its legal responsibilities legal, and employment
(labor or environmental regulations, among others) and to promote its civic situation, as well as their
responsibilities through the following actions: reputation, knowing their
basic technical
•Compliance with the UN social and environmental principles. capabilities, and
•Adoption of internal measures to guarantee diversity and equal opportunities in validating that they
human resource management. share the same values as
•Adoption of measures to promote occupational health and safety and the prevention the Group in terms of
of incidents and accidents at work. social responsibility.
•Support for the freedom of association and collective bargaining of its employees in
all the countries in which they operate.
•Possession of a code of conduct or policy to avoid forced labor, child labor, and other
human rights violations in the company itself or those of its subcontractors.
•Possession of a code of conduct or policy to prevent corruption and bribery.
•Participation or collaboration in activities related to culture, scientific knowledge,
sports, the environment, or disadvantaged sectors, with direct measures or donations,
in collaboration with other organizations or institutions.
•The hiring of disabled people.
•Existence of a corporate responsibility policy in the company.
Since 2017, the supplier approval process for South American countries includes the
Reputational Risk analysis. In this way, the purchasing hub assesses, in a centralized
manner, all suppliers according to the criteria of reputational risk and susceptible to
homologation to determine the level of risk they may represent for the region.
The benefits of including operational risk are:
•Establish governance over the assessment of reputational risk from the hub to the
South American countries for the faithful compliance of this variable within the
homologation process.
•Reduce reputational risk so that it does not negatively impact BBVA's stakeholders.
•Establish alerts and continuous monitoring of suppliers with potential impact on
reputational risk.
•Standardize the assessment of reputational risk at the South American level.
During the last quarter of 2020, a new BBVA Group Supplier Assessment model was
developed. The objective of the change was to assess the level of risk of the suppliers with
whom there are current activity and those with whom a relationship could be established
in the fairly near future.
The single and homogeneous evaluation, process, and result model for the BBVA Group
includes nine different types of risks (anti-corruption, legal, tax, labor, reputational,
country and concentration, technological, financial, and, finally, protection of the
clientele) and their defined weights, which allows you to identify the appropriate strategy
and decision-making with suppliers and the market. It has been designed and approved
by the Supplier Risk Management governance model, in consensus with the risk
specialists involved in the supplier evaluation process.
68
Every supplier must go through the evaluation process, to identify the level of associated
risk and verify that it conforms to the required quality standards.
Basic data of suppliers in the homologation process
2020 2019 2018 2017
Number of suppliers that went through the

homologation process(1) 304.00 391.00 505.00 202.00
Purchases from suppliers that participated in
the homologation process (in percentage)(2) 5.20 18.21 13.47 6.25
Number of suppliers that did not pass the
homologation process 26.00 25.00 19.00 24.00
(1) Suppliers evaluated by the certifier.

(2) The percentage of suppliers that have passed the homologation process is considered for the total of suppliers that have billed
during 2020 (Preferred suppliers are not included).
The percentage of approved suppliers in 2020 was 4.76%, which accounted for 60.14% of
the total awarded. BBVA remains firmly committed to contributing to the economic and
social growth of the countries in which it is present. Thus, 98.31% of its suppliers were
local and represented 84.36% of the total billing. A local supplier is understood to be one
whose tax identification coincides with the country of the company receiving the good or
service.
GRI 204-1
Impact management
The Bank has a purchasing policy, a standardization process, and a corporate standard
for the acquisition of goods and contracting of services, to achieve optimal management
of the impacts that may be caused to the entity.
The impacts that are considered feasible can be:
•Environmental
•Produced by poor labor practices implemented in the suppliers’ companies
•Derived from the absence of freedom of association
•That affects human rights
•Positive or negative to society
5.4. Sustainable finance

Banks play a crucial role in the fight against climate change and in achieving the United
Nations Sustainable Development Goals (SDGs), thanks to their unique position to The BBVA Group has
mobilize capital through investments, loans, issuances, and advisory functions. Two are established a
the most relevant ways to contribute to this challenge: on the one hand, by providing commitment, called
innovative solutions to its clients that help them in the transition towards a low-carbon “Pledge 2025” regarding
economy and that promote sustainable financing and, on the other, by integrating risks climate change and
environmental and social systems systematically in decision-making. sustainable development
to contribute to the
5.4.1. Pledge 2025 fulfillment of the
Sustainable Development
In line with the above, the BBVA Group has established a commitment, called “Pledge Goals (SDGs) and the
2025” regarding climate change and sustainable development to contribute to the challenges derived from
fulfillment of the Sustainable Development Goals (SDGs) and the challenges derived from the Paris Agreement on
the Paris Agreement on Climate. To allow everyone to achieve the opportunities of this Climate.
new era, it has committed to mobilizing 100 billion euros in green financing, sustainable
infrastructure, social entrepreneurship, and financial inclusion.
69
PLEDGE 2025
To finance To manage To engage
Help create the mobilization Manage environmental and Engage stakeholders to
of capital to curb climate social risks to minimize collectively promote the
change and achieve the potential direct and indirect contribution of the financial
Sustainable Development negative impacts. sector to sustainable
Goals. •Transparency in the development.
•Green financing. exposure of fossil fuels. •Implementation of TCFD
•Sustainable •Alignment with the 2°C recommendations for
infrastructures and scenario for 2050. 2020.
agrobussines. •Sectoral regulations in •Education and financial
•Financial inclusion and mining, energy, education.
entrepreneurship. agrobusiness and •Promotion of the
infrastructure. Responsible Banking model
in the industry.
5.4.2. Sustainable financing

Clients’ climatic performance and their ability to adapt to environmental challenges can
affect a bank’s business and, ultimately, its ability to pay and solvency. BBVA wants to make a
significant contribution
BBVA wants to make a significant contribution in the fight against climate change, helping in the fight against
its clients in the transition towards a low-carbon economy. Also, it is committed to climate change, helping
supporting inclusive economic development, both through its business and the various its clients in the
social programs that the Group promotes. To do this, it initially focuses on those SDGs in transition towards a low-
which the Group can have a greater positive impact by taking advantage of the multiplier carbon economy.
effect of banking.
70
Taking into account the previous focuses of action, and to deepen this strategic priority,
four main objectives are established:
Corporate Investment Banking (CIB)
CIB has developed a global strategic plan in which each geography participates in a very
coordinated manner in its launch and development. The Plan involves six global lines of En BBVA Perú, el equipo
action, each with its local lines of work for its development: de CIB cuenta con un
champion que representa
•Customer mapping: Recognition of the ESG (environmental, social, and governance) a la geografía y distintos
strategy of clients and preparation of a list of target clients by product and geography. champions por producto.
•Development of sustainable products and services: Preparation for each division
GTB (Global Transactional Banking), IB&F (Investment, Banking & Finance), and GM
(Global Market) of portfolios of sustainable products to offer to clients based on: a)
their interest or market situation in each geography and b) ability to offer the products
in each geography.
•Increased demand for ESG products in less developed markets: a) Active
leadership with local institutional investors, b) generation of ESG awareness in local
corporate clients, c) internalization of some of the expenses associated with ESG
operations (such as the cost of certification) and d) promotion of BBVA’s institutional
role within of the financial sector in each country.
•Organization: Appointment of champions at the level of each geography for CIB and
each product: CIB Sustainable Network. Establishment of an ad-hoc committee with
the Head of Sustainability Office, as well as local committees, to monitor the business.
•Knowledge and community: ESG technical training focused on priority sectors.
•KPI: Agreement of certain KPIs between the client and the Bank to monitor each
operation or project and thus maintain the rating.
At BBVA Peru, the CIB team has a champion who represents geography and different
champions by product. The main actions of initiatives developed by the CIB team at the
local level are detailed below:
•DCM (Debt Capital Markets): With the commitment to promote the issuance of ESG
bonds, the DCM team advises and accompanies clients who want to make their
commitment to sustainability known. Locally, it contacts the Lima Stock Exchange
(BVL), which is the entity that “labels” the ESG instruments (bonds or papers) that are
issued in Peru. On occasions, he approaches potential issuers together and with the
support of the Global team, he manages action plans (visits, calls, pitches, etc.),
objectives, and monthly follow-ups to them. All activities related to potential issuance
of ESG bonds are placed in a template that can be accessed by those who lead DCM
initiatives in the parent company, from which, in turn, comes a Bulletin with the
issuance of ESG Bonds that are given in the different geographies, whether BBVA
participates in them or not.
71
•GTB (Global Transactional Banking): Its main action plan was the signing and
development of the Transactional Framework of the Sustainable Transactional Product
at a global level, which allows credit lines that are linked to sustainability to be
classified as such (green, social, and sustainable). All the geographies in which GTB is
present have adhered to said Framework, under which GTB Peru closed the first
operation in 2020, together with Compartamos Financiera, for US$ 35 million.
•Global Markets: Although the market for financial products linked to sustainability is
relatively new, one of Global Markets’ main objectives for the coming years is to
increase the offer of structured products (investment and hedging) that incorporate
ESG criteria. For GM it is important to offer the client the possibility of investing in
products that are backed by sustainable financing, as well as alternative underlying in
the market that seeks to promote a sustainable future. Likewise, it is proposed to
generate coverage products for clients associated with sustainability KPIs that
promote a culture of greater sustainable responsibility in companies.
Sustainable Vehicle Credit
Launched in November 2020, the Sustainable Vehicle Credit is aimed at facilitating the
acquisition of hybrid and electric cars, with the first specific product for the Peruvian
financial market that allows access to a renewable energy vehicle.
The loan can finance up to 100% of the value of the vehicle (subject to credit evaluation),
with the possibility of including an additional 10% that covers prepaid maintenance. The
repayment term is up to 72 months, with vehicle insurance that includes additional
coverage for trips by bike/motorbike/scooter at no additional cost. Also, it has a very
special rate of 7.99% EAR.
5.4.3. Management of social, environmental

and reputational risks
GRI 102-11, 102-15, 102-29, 102-30
The impact of BBVA’s activities on the environment and society occurs, directly, through
the use of natural resources and the relationship with its stakeholders, and indirectly,
through credit activity and financing projects. These impacts lead to three types of risks:
direct, indirect, and reputational.
Thus, extra financial risks can affect the credit profile of the borrowers or the projects
being financed, which in turn would damage the quality of the risk assumed and,
consequently, affect the repayment of the credits.
To manage these risks, BBVA takes into consideration, along with the usual financial
variables in risk management, environmental, social, and reputational aspects. The
integration of these aspects is consistent with the principle of prudence that governs the
Bank's activity and is specified in different lines of action.
5.4.3.1. Management of social and environmental risks

Equator Principles
GRI 102-12, 201-2, 412-3
The BBVA Group has adhered to the Equator Principles (EPs) since 2004, which is why it
applies its standards to determine, evaluate and manage environmental and social risks in
project financing. Also, it is based on the policy and performance standards on the social,
and environmental sustainability of the International Finance Corporation (IFC) and the
general guidelines on environment, health, and safety of the World Bank Group (WBG).
Thus, BBVA assumes the EPs as the starting point for applying the best responsible
financing practices and the framework for dialogue with clients and groups interested in
the projects it finances. Thus, they have become the reference standard for responsible
financing, and their development and dissemination are a commitment assumed by the
Management Committee and the working groups in which it participates.
72
The energy, transportation, and social service infrastructures that drive economic
development and create jobs in a country can impact the environment and society. During 2020, the project
BBVA's commitment is to manage the financing of these projects in such a way that it is analysis methodology
possible to reduce and even avoid negative impacts and thus enhance their economic, was maintained, which
social and environmental value. consists of submitting
each transaction that is
In line with this commitment, all project financing decisions are based on the criterion of presented to a due
profitability adjusted to principles. Placing people at the center of the business implies diligence process in two
both meetings the expectations of the groups interested in the projects and the social fundamental aspects:
demand for the fight against climate change and respecting human rights. Financing environmental and
contracts must incorporate the client's obligations regarding the environment and social social.
impact, as well as its submission to the monitoring of a specialized team.
During 2020, the project analysis methodology was maintained, which consists of
submitting each transaction that is presented to a due diligence process in two
fundamental aspects: environmental and social. This begins with the assignment of a
category (A, B, C), as established by the IFC classification process. The review of the
documentation provided by the client and by the independent advisers makes it possible
to assess compliance with the requirements indicated in the EPs based on the two
aspects mentioned.
Social and environmental risk assessment and responsible credit granting

GRI 102-31, 102-34
The Bank has implemented a social and environmental risk management system aligned
with Regulation 1928-2015 issued by the SBS, which takes as a reference the EPs and IFC
performance standards, requirements that, to a large extent, the Bank already had.
considered since 2004 on their initiative. The minimum requirements for the
management of social and environmental risk established in this regulation promote the
implementation of good practices and prudent risk-taking by banks.
Based on this scheme, project financing is categorized according to its levels of social and
environmental risk. This contributes to the assessment of the probability and severity of
the impacts of the economic activities exposed to them and favors early action to prevent
or reduce their undesirable consequences.
The Investment Banking & Finance team assumes the responsibilities of analyzing the
Project Finance, representing the Bank before stakeholders, rendering accounts before
senior management, and the design and implementation of the management system. The
review of risks and opportunities of an economic, environmental, and social nature is
implemented monthly by the Board of Directors and the committees involved.
In 2020, BBVA evaluated the Salaverry Multipurpose Port Terminal Project under the
Equator Principles, consisting of the design, financing, construction, and operation, which In 2020, BBVA evaluated
will allow the modernization and improvement of the current infrastructure. The main the Salaverry
services contemplated are access and use of the docking fronts for vessels, cargo, and Multipurpose Port
storage services. The project has a value of USD 132 Mm and, according to the Equator Terminal Project under
Principles, its categorization is B. the Equator Principles,
consisting of the design,
Reputational risk management financing, construction,
and operation, which will
Since 2006, BBVA has developed a methodology to identify, assess and manage allow the modernization
reputational risk. This work proposal has defined a map that reflects the risks to which and improvement of the
the entity is exposed, which periodically reviews them together with a set of action plans current infrastructure.
aimed at mitigating them. Thus, you have identified two types of key instances:
•Responsible Business & Communications teams, responsible for identifying risks and
assessing their impact.
•The Assurance Suppliers, whose mission is to assess and mitigate the identified
risks.
The Reputational Risk Management (RRM) unit is made up of specialists from various
areas since the subject that brings them together has very varied origins. The RRM report
is prepared with the report of each of these representatives in their field of action and
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includes the aggregate view of risks, for which it considers local regulatory requirements.
The governance implemented is consolidated with the strengthening of the methodology
and the development of a computer tool for its management.
This work prioritizes two variables: the impact on stakeholder perceptions and BBVA's
strength in the face of this risk. This is an exercise focused on the reputation that is
implemented in all the geographies where the BBVA Group operates, the integration of
which allows a consolidated view to be obtained.
Since 2015, a computer tool has been used to facilitate risk assessment by the
competent areas. It was in 2018 that the figure of the reputational risk specialist was
established, which was an important milestone in the development of the Bank's three
lines of defense model.
Thus, BBVA has a Reputation Risk Operating Committee, made up of the areas of
Operational Risk and Internal Control, Regulatory Compliance, Corporate
Communication, and Corporate Responsibility and Reputation (which performs
secretarial duties). The Committee is responsible for designing the reputation risk
management model, as well as promoting its proper implementation within the Group. Its
conformation at a global level is replicated in the different geographies.
The Bank considers that the socioeconomic and environmental environment directly
influences the development of its activity. For this reason, its highest governing bodies
– the Board of Directors and the Assets and Liabilities Committee (COAP), made up of
members of the Management Committee – have permanent access to the reports on the
economic and social situation of the country that BBVA Research prepares monthly.
These documents include the analysis of facts, conflicts, or environmental measures that
have occurred in the country or in the world, which may cause an impact in the regions
where the Bank operates, such as what happened with the health emergency generated
by covid-19. This information is key for decision-making.
On the other hand, the Bank's Purchasing, Real Estate, and General Services Unit is
responsible for verifying that suppliers have undergone the PE evaluation, an essential
requirement for them to be considered suitable to carry out transactions during the term
of the contract. This process makes it possible to determine the reliability of its suppliers
and the correct support of its transactions, which is a key aspect of BBVA's ethical
framework.
5.4.3.2. Eco-efficiency
GRI 103-2, 103-3, 201-2, 301-1, 302-1, 302-3, 302-4, 302-5, 303-1, 305-1, 305-2, 305-3, 305-4, 305-5, 306-2
The Global Eco-Efficiency Plan (GEP) aims to reduce the BBVA Group's environmental
footprint, which was adopted in 2014 and includes various initiatives such as efficient The GEP establishes
energy consumption, the implementation of renewable energies, the use of new controls and the
technologies to energy saving, environmental and energy audits in buildings and collection of waste
rationalization of resources to make infrastructure more efficient, among other measures resulting from inputs
within a new concept of “green office”. such as
paper, electrical
In this sense, theGEP established the following objectives for the 2016-2020 period, appliances, and other
whose results for 2020 were atypical due to the conditions of the pandemic: remnants throughout the
Group's sphere of
•7% reduction in CO2 emissions (t CO2e/occupant). influence.
Goal achieved (2020 vs. 2015): –48.
•13% reduction in water consumption (m3/occupant).
Goal not reached (2020 vs. 2015): result of 15%.
•8% reduction in electricity consumption (kWh/occupant).
Goal not reached (2020 vs. 2015): result of –2%.
•Energy of renewable origin (%). There was no expected goal.
Result (2020 vs. 2015): result exceeded 24%.
•Reduction in paper consumption (kg/occupant). There was no expected goal.
Result (2020 vs. 2015): result exceeded –34%.
•That 35% of the staff work in buildings and offices with environmental certification.
Goal achieved (2020 vs 2015): 41%.
74
The GEP establishes controls and the collection of waste resulting from inputs such as
paper, electrical appliances, and other remnants throughout the Group’s sphere of
influence.
Main indicators of the GEP(1)

GRI 305-4
2020 2019 2018 2017
(2)
Personnel working in certified buildings (%) 41% 42% 40% 40%
CO2 emissions per employee (t/employee-year) 0.78 1.30 1.65 1.63
Paper consumption per employee (kg) 30.92 38.68 37.58 42.63
Electricity consumed per employee (MW-h/employee-year) 4.68 4.71 5.00 5.26
Water consumption per person (m3/employee-year) 26.06 24.24 24.25 24.40
(1) Includes BBVA employees including personnel from subsidiaries and external employees (working in Bank facilities) nationwide,
except for any other express indication in this document.
(2) Based on ISO 14001 (headquarters) and EDGE Certifications (Dining room of the Headquarters).
Initiatives 2020
During 2020, BBVA Peru, continuing with the sustainability guidelines, implemented the
following initiatives and projects to achieve lower consumption and more efficient use of
our resources, as well as maintaining (and in some cases incorporating) the certifications
related to the subject:
1. Carbon Footprint Peru
Through the Peru Carbon Footprint platform, the Bank measured its Greenhouse Gas
emissions, for which it received recognition by the Ministry of the Environment as a
pioneer and leader in the use of the tool. In 2020 we achieved the first star by
measuring the Carbon Footprint, during 2021 we aim to receive the second star through
the verification of our emissions.
2. Transformation of the Corporate Building: Headquarters
The first project, called Open Space, includes the renovation of all the electromechanical
installations of the main building with solutions that allow optimizing the use of:
•Energy: The spaces have LED lighting, which by their nature is equipment with low
electricity consumption, and presence detectors in areas such as meeting rooms and
SSHH, which allows correct use of the resource only when necessary.
•Water: Enabling energy-saving taps and low-consumption sanitary devices.
Likewise, there is a Building Management System or Building Management System, which

allows to manage operations in the environments with the monitoring of the operation
and efficient use of the equipment and facilities of the Headquarters.
Regarding Work Place (jobs), the Headquarters Transformation Project includes

collaboration areas with the permanent infrastructure necessary for the development of
audio and/or videoconferences, to reduce the displacement of employees (and, therefore,
lower fuel consumption), as well as centralized document printing areas, if required. Also,
the provision of areas for the selective disposal of waste.
3. New Employee Dining at Headquarters
This second applied project, the design of the new dining has the EDGE certification and,
to access it, savings of 20% in energy, 40% less water consumption, and 57% reduction
in project materials were achieved. Also, plastic recycling and proper waste management
have been implemented.
75
4. Corporate Taxi Service
This service has the following environmental commitments:
•Maintain the Sustainable Development Goals of the UN 2030 Agenda.

•Participate in the United Nations Global Compact, supporting its principles related to
human rights, labor, the environment (principles 7, 8, and 9), and anti-corruption.
•Achieve to be “Carbon Neutral”; the ultimate goal is not to affect the natural
concentration of greenhouse gases that exist in the atmosphere.
5. Certified premises
ISO 14001: Headquarters

EDGE: Headquarters dining room
The Headquarters maintains its ISO 14001 Environmental Management Certification.
The purpose of this International Standard is to provide organizations with a frame of

reference to protect the environment and respond to changing environmental conditions,
in balance with socio-economic needs.
The standard specifies the requirements that allow an organization to achieve the
expected results (in the case of BBVA, selective waste collection, and sustainable final
disposal, among other points) established as objectives in its Environmental Management
System.
Likewise, we can mention that from the year 2020 the electricity supply of the
Headquarters comes from sources of renewable origin, accredited annually through a
certificate from the corresponding supplier.
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Environmental management
GRI 103-2, 301-1, 302-1, 302-4, 302-5, 303-1,306-2

2020 2019 2018 2017
1. Water consumption
Annual total water consumed (m3) 192,829.26 176,934.00 175,286.00 166,301.41
Water consumed per employee (m3/employee-year)* 26.06 24.24 24.25 24.40
2. Electrical consumption
Annual total direct energy consumed (GJ) (diesel) (and LPG
since 2016) 1,264.99 1,188.33 1,130.12 1,258.93
Direct energy (diesel) (and LPG since 2016) per employee
(GJ/employee-year) 0.17 0.16 0.16 0.22
Total annual electricity consumed (GJ) 124,783.93 123,801.00 130,034.00 128,564.32
During 2020, annual energy consumption was classified as: energy from BBVA Peru
Headquarters, from certified sources of renewable origin, 24%; Energy from the BBVA
Peru Network from offices in Lima and provinces, non-renewable, 76%.
3. Paper consumption
Total annual paper consumed (t) 229 282 272 287
Total paper consumed per occupant (kg/occupant-year) 30.92 38.68 37.58 42.03
Ecological paper consumed (t) 229 282 272 287
4. Waste management
Annual recycled paper (first stage: chopped) (kg) 5,693.00 17,525.00 15,705.00 46,397.00
Electrical and electronic equipment (kg)** 0.00 61,031.00 216,434.00 8,140.00
* Occupant includes BBVA employees including subsidiaries and external employees.

** Devices sold.
During 2020, 1,103 tons of non-hazardous waste were generated, consisting of 8 tons of
recycling (paper and plastic) and 1,095 tons of landfill (ordinary solid waste). A ton of
hazardous waste was also generated, corresponding to a security landfill.
CO2 emissions
2020 2019 2018
Scope 1: CO2 emissions (t) (1) 92.73 88.27 83.46

Scope 2: CO2 emissions (t)(2) 5,321.68 7,703.16 9,610.21
Scope 3: CO2 emissions (t)(3) 336.23 1,666.82 2,179.31
(1) Scope 1: Emissions derived from the consumption of fuels (diesel and LPG) in tons CO2e.
(2) Scope 2: Emissions derived from electricity consumption (under the Market Based methodology), in tons CO2e.
(3) Scope 3: Emissions derived from business (air) travel by Bank professionals, in tons CO2e.
Involvement in global initiatives
Among the main international sustainable development initiatives in which BBVA

participates are the United Nations Global Compact, the Equator Principles, the Principles
for Responsible Investment, and the Financial Initiative of the United Nations Environment
Program (UNEP FI).
Likewise, it expresses its commitment to the United Nations Sustainable Development

Goals (SDGs), accession confirmed in December 2018.
The Bank actively participates in forums and events in which it presents its main actions
in the area of social responsibility.
77
5.4.4. Sustainable Development Goals
To protect the planet, eradicate poverty, and achieve a prosperous world for future
generations, world leaders adopted 17 Sustainable Development Goals (SDGs) in 2015. BBVA contributes to the
The purpose of this commitment is framed in the 2030 Agenda on Development SDGs with the Group's
sustainable and seeks to involve everyone: governments, companies, civil society, and wide range of businesses
individuals. and its global presence.
In this sense, it seeks to
The stated objectives have a specific purpose and in turn, include different goals for their respond to the
fulfillment, and each goal has its indicators, which serve to determine the degree of commitments of the
achievement of each objective. 2030 Agenda and, at the
same time, take
BBVA contributes to the SDGs with the Group’s wide range of businesses and its global advantage of the
presence. In this sense, it seeks to respond to the commitments of the 2030 Agenda and, business opportunities
at the same time, take advantage of the business opportunities derived from its derived from its
fulfillment. fulfillment.
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Local goals/
Contribution to the SDGs Bank Actions 2020 Commitments 2021
End poverty in all its forms MORTGAGE PRODUCTS •Place 1,000 mortgage loans
everywhere •Financing of social housing in conjunction with for social housing.
the MiVivienda, MiVivienda Verde, and Techo
Propio funds. During 2020, the Bank granted
636 loans –51% more than in 2019– for this
type of modality, 483 of which, for S/ 58.3
million, corresponding to MiVivienda and
MiVivienda Verde, and the remaining 153, for
S/ 5.7 million, to own roof.
EXPRESS AGENTS •Strengthen the network of

•Also known as correspondent tellers or bank 5,200 agents nationwide and
agents, they are service channels enabled in small ensure accessibility and
businesses, such as pharmacies, taps, hardware quality service to customers
stores, warehouses, among others, which allow a and users.
series of financial operations to be implemented
with total ease. They are located in different parts
of the national territory, often in places where
there are no bank offices.
End hunger, achieve food OTHER SPONSORSHIPS AND DONATIONS •Continue to strengthen
security and improved •Support, through the NGO Soluciones alliances with institutions that
nutrition, and promote Empresariales Contra la Pobreza, the vulnerable allow supporting
sustainable agriculture population affected by the pandemic caused by disadvantaged groups.
covid-19.
Ensure healthy lives and COVID-19 BIOSECURITY PLAN •Strengthen the covid-19
promote well-being for all at all •Reduction of capacity in offices. Biosafety Plan, with emphasis
ages •Health kits for employees. on home office and the
•Protection for a group considered vulnerable to Screening Program.
covid-19.
•Teleworking for employees.
•Full-time occupational physicians.
COVID-19 INVESTIGATION •Communicate the impact

•Financing, for S/ 350,000, of scientific and main results of the
research projects developed, within the health funded scientific research
emergency, by the Faculty of Biomedical projects.
Engineering of the PUCP, in conjunction with the •Summon new universities for
Universidad Peruana Cayetano Heredia. research projects with an
allocation of 4.76% of the
BBVA Foundation’s annual
budget.
Ensure inclusive and equitable LEER ES ESTAR ADELANTE •Strengthen the program
quality education and promote •Program that aims to increase the reading strategy through digital tools.
lifelong learning opportunities comprehension levels of students from 3rd to •Increase the budget of the
for all 6th grade of primary school. From 2007 to BBVA Foundation in education
2020 it has been implemented in 10 regions of by 26.30%.
the country, managing to serve 122,902
students, training 3,991 teachers, in 1,208
schools.
•Use of digital tools due to covid-19.
>
79
Local goals/
UNDERGRADUATE SCHOLARSHIPS •Increase the budget of the

•Agreement with the PUCP. Sixteen students BBVA Foundation in education
from the specialties of Management, Senior by 26.30%.
Management, Industrial Engineering,
Communication for Development,
Telecommunications Engineering, Arts and
Economics are part of this benefit that includes
the full payment of their academic studies
including health insurance, studies second
language, and licensure fees. To date, the
Foundation has benefited a total of 85
students.
HABÍA UNA VEZ •Raise awareness of new BBVA

•Program that promotes shared reading employees about the
between parents and children. It is implemented importance of shared reading
by the Luminario Association and works based through internal training
on the actions of the BBVA Volunteering. sessions, as well as recruiting
and training new BBVA
volunteers.
•Reach a minimum of 200
families through reading
sessions.
FIND YOUR POEM •Develop the educational line

•Website that promotes Peruvian poetry with greater emphasis, also to
through the voices of renowned personalities continuing to update the
from the cultural, television and sports fields of content of the platform.
the country. In this last year it has been included •Reach 500,000 unique users
in the strategy Aprendo en casa of the Minedu on the web
that has incorporated it as reference material www.encuentratupoema.pe.
for teachers and students at the national level.
PARTNERSHIPS IN THE CONTEXT OF •Increase 50% in access to the

COVID-19 BBVA Foundation’s Reading at
•Alliance with Minedu (framework agreement in home website.
force until 2022) to include the Foundation’s https://fundacionbbva.pe/educacion/
educational methodology and tools in the leer-es-estar-adelante/
Aprendo en casa portal. •Incorporate educational

resources on the BBVA
Foundation website to
facilitate access to more users.
Achieve gender equality and DIVERSITY AND CONCILIATION •Continue to promote the
empower all women and girls •Promote the incorporation of personnel in each policy of equal treatment
selection process, under the criteria of gender between men and women
equality and equity. (wage gap, reward in level of
responsibilities, and
professional career).
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80
Local goals/
Ensure availability and GLOBAL ECO-EFFICIENCY PLAN •Continue sustainable

sustainable management of •The BBVA Group has adopted various environmental management
water and sanitation for all environmental initiatives since 2008. The Global by making employees aware of
Eco-efficiency Plan (GEP) is rethought every 4-5 the efficient use of resources,
years, renewing the goals by country. The aiming to operate under the
initiatives it includes are efficient energy concept of “green office”.
consumption, such as the implementation of Note: The quantitative goals of
renewable energy, the use of new technologies the GEP will be updated in Q1
for energy saving, the performance of 2021.
environmental and energy audits in buildings,
and the rationalization of resources such as
water and waste management to do more
efficient infrastructure, within a new concept of
“green office”.
Ensure access to affordable, GLOBAL ECO-EFFICIENCY PLAN •Continue sustainable

reliable, sustainable, and •The BBVA Group has adopted various environmental management
modern energy for all environmental initiatives since 2008. The Global by making employees aware of
“green office”.
Promote sustained, inclusive, COMMUNICATION TCR •100% of the projects with

and sustainable economic •Transparent, Clear and Responsible design support will apply TCR
growth, full and productive Communication Project (TCR) seeks to help principles.
employment, and decent work clients make informed decisions throughout
for all their relationship with the Bank, offering them
relevant information and in an easy-to-
understand language, always focused on their
short and medium interests. and long term
and in promoting financially responsible
behavior.
EDUCATION FINANCIAL •Increase the number of

•The Tu Dinero, Tu Amigo program was participants in the workshops
developed with workshops that promote the by 25%.
financial health of banked people, aimed at •Develop strategies that allow
employees of companies and institutions who reaching other segments of
are reached from the offer of the Mundo Sueldo the population, such as high
area (clients and non-clients of the Bank), who school students from public
receive information about savings, credit cards, educational institutions and
and mortgage credit. SME entrepreneurs.
•Use of digital tools due to covid-19.
>
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Local goals/
EXPRESS AGENTS •Strengthen the network of

•Also known as correspondent tellers or bank 5,200 agents nationwide and
agents, they are service channels enabled in ensure accessibility and
small businesses, such as pharmacies, taps, quality service to customers
hardware stores, warehouses, among others, and users.
which allow a series of financial operations to
be implemented with total ease. They are
located in different parts of the national
territory, often in places where there are no
bank offices.
SME PRODUCTS •Grant financing to SMEs for

•Deployment of a support plan through the S/ 24 million through
creation of a special credit line amounting to campaigns with effectiveness
S/ 2,500 million. of around 5%.
•Banking specialized in advising this sector to
accelerate its scale.
MORTGAGE PRODUCTS
•Financing of social housing in conjunction with •Place 1,000 mortgage loans
the MiVivienda, MiVivienda Verde, and Techo for social housing.
BENEFITS TO EMPLOYEES •Generate a positive impact on

•BBVA is concerned that its employees have the the work and family life of
knowledge and tools that allow them to improve employees through initiatives
the conditions that favor their professional, and benefits that contribute to
personal, and family development; the care of physical and
strengthening commitment and improving the mental health.
working environment at the Bank. •Increase the indicator of
Commitment, by measuring
the Gallup Poll.
SUSTAINABLE FINANCING •Continue to offer innovative

•The Sustainable Transactional Product was financing solutions of a
developed in conjunction with Compartamos sustainable nature so that
Financiera for USD 35 million. clients can take advantage of
opportunities at all stages of
their value chain.
•The Corporate and
Investment Banking area
within BBVA has business
objectives set for 2021, which
are reviewed monthly, to
promote sustainable business
with clients.
>
82
Local goals/
Build resilient infrastructure, PROMOTING INNOVATION •Increase digital retail

promote inclusive and •BBVA is in a process of digital transformation, customers by more than 20%
sustainable industrialization, with which it seeks to improve the experience of through improvements in the
and foster innovation its customers by promoting the use of digital mobile application and digital
channels. contracting processes.
•Grow the Financial Health
NPS for Open Market &
Customers above the average
for peer banks.
Reduce inequality within and FINANCIAL INCLUSION •Strengthen the network of

among countries •Express Agents, also known as correspondent 5,200 agents nationwide,
tellers or bank agents, are service channels ensuring accessibility and
enabled in small businesses nationwide, such quality service to customers
as pharmacies, taps, hardware stores, and users.
warehouses, among others, which allow a series
of financial operations to be implemented with
total ease and many times in places where
there is no bank branch.
Make cities and human MORTGAGE PRODUCTS •Place 1,000 mortgage loans
settlements inclusive, safe, •Financing of social housing in conjunction with for social housing.
resilient, and sustainable the MiVivienda, MiVivienda Verde, and Techo
GLOBAL ECO-EFFICIENCY PLAN •Continue sustainable

•The BBVA Group has adopted various environmental management
environmental initiatives since 2008. The Global by making employees aware of
“green office”.
CONSERVATION OF HERITAGE •Disseminate heritage with

HISTORICAL AND ARCHITECTURAL digital tools through 360°
•Within the framework of the celebrations for virtual tours.
the Bicentennial of Independence, restoration
and enhancement actions were implemented
on properties that are considered historical and
architectural heritage (Casa de la
Emancipación in Trujillo and Casa Tristán del
Pozo in Arequipa). Both centers maintain
constant activities and are mainly promoters of
regional art.
>
83
Local goals/
MUSEUM OF PRE-COLUMBIAN ART •Preserve the historic Casa

•The MAP Cusco is a cultural space that houses Cabrera, home of the
a collection of 388 pieces from the collection of museum, as well as contribute
the Rafael Larco Museum in Lima. It has a to the dissemination of pre-
museum concept based on the artistic criteria of Columbian history and art.
the collection under a 3,500 year-old historical •Receive 18,000 national
line of ancient Peru. It is a self-sustaining model and/or foreign visitors,
and curated by the painter Fernando de Szyszlo, virtually and/or in person.
the historian Cecilia Bákula, the archaeologist
Ulla Holmquist and the architects Hugo Fiestas,
Gisella Montes, and Juan Carlos Burga.
SPONSORSHIPS TO CULTURAL •Form alliances with State

INSTITUTIONS entities (Mincul, Mincetur) and
•Agreements with the MALI, the MAC, the with other institutions, such as
CCPUCP, the Lima International Book Fair, the the Association of Museums
Hay Festival, among others. of Peru, that allows to
stimulate and that are in line
with the principles that govern
BBVA and the BBVA
Foundation.
Ensure sustainable GLOBAL ECO-EFFICIENCY PLAN •Continue sustainable

consumption and production •The BBVA Group has adopted various environmental management
patterns environmental initiatives since 2008. The Global by making employees aware of
“green office”.
DISCLOSURE OF NON-FINANCIAL •Continue to report financial

INFORMATION and non-financial information
•BBVA presents its 2020 Annual Report – publicly for the Bank's
Integrated Report for the first time, after stakeholders.
reporting non-financial information through the
Responsible Banking Report since 2005, aligned
with the Communication on Progress (COP) of
Pledge 2025.
>
84
Local goals/
Take urgent action to combat GLOBAL ECO-EFFICIENCY PLAN •Continue sustainable

climate change and its •The BBVA Group has adopted various environmental management
impacts environmental initiatives since 2008. The Global by making employees aware of
“green office”.
CARBON FOOTPRINT PERU •Achieve the escalation of the

•The Ministry of the Environment has commitment to the second
recognized BBVA as a pioneer and leader in the star of the Carbon Footprint
use of the Peru Carbon Footprint tool, which Peru.
allows the identification of public and private
organizations that have managed to manage
their greenhouse gas emissions. In this way,
the financial institution reaffirms its
sustainable commitment and care for the
environment.
SUSTAINABLE FINANCING •Continue to offer innovative

•The Sustainable Transactional Product was financing solutions of a
developed in conjunction with Compartamos sustainable nature so that
Financiera for USD 35 million. clients can take advantage of
opportunities at all stages of
their value chain.
•The Corporate and
Investment Banking area
within BBVA has business
objectives set for 2021, which
are reviewed monthly, to
promote sustainable business
with clients.
Promote peaceful and CODE OF CONDUCT •Communicate and reinforce

inclusive societies for •The Code stipulates that the behavior of BBVA knowledge of the Code of
sustainable development, employees must be legal, morally acceptable Conduct in employees.
provide access to justice for and publishable, and provides guidelines for
all, and build effective, behavior following the Group's principles of
accountable, and inclusive prudence, integrity, and transparency. It
institutions at all levels includes procedures to help employees resolve
doubts and clarify the fulfillment of their
obligations.
>
85
Local goals/
ANTI-CORRUPTION POLICY •Communicate and reinforce

•BBVA has a firm and irrevocable commitment knowledge of the policy
to legality and ethical principles, especially in anti-corruption in employees.
anti-corruption matters.
•BBVA not only rejects any corrupt practice but
also demands from third parties, and assumes
as its own, the responsibility of actively
participating in the eradication and prevention
of corruption, both in the public and private
sectors.
•For this, it has internal rules, procedures, and
controls that complete, develop and specify its
principles.
HUMAN RIGHTS •In line with the Principles of

•BBVA applies the Commitment to Human the United Nations Global
Rights, which includes respect for these Compact, to which it has
following the International Bill of Human Rights, adhered, the Bank will
the United Nations Global Compact, and the continue to disseminate its
principles of action and recommendations for Communication on Progress
the development of the business activity (COP) report.
published by the United Nations, the
Organization for Economic Cooperation and
Development and the International Labor
Organization.
Strengthen the means of ALLIANCE WITH PUBLIC INSTITUTIONS FOR •Maintain and strengthen
implementation and revitalize EDUCATION alliances and agreements with
the global partnership for •Educational programs that promote greater the National Library of Peru
sustainable development access to the population, in alliances with (BNP) and the Ministry of
public institutions such as the National Library Education (Minedu).
of Peru (BNP) and the Ministry of Education
(Minedu).
SPONSORSHIPS TO CULTURAL •Forming alliances with State

INSTITUTIONS entities (Mincul, Mincetur)
•Agreements with the MALI, the MAC, the and with other institutions,
CCPUCP, the Lima International Book Fair, the such as the Association of
Hay Festival, among others. Museums of Peru, that allow
dynamism and that are in line
with the principles that govern
BBVA and the BBVA
Foundation.
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Local goals/
SIGNED COMMITMENTS •Generate new alliances with

•Principles of Responsible Banking, promoted other actors that allow
by the Financial Initiative of the United Nations dynamism and that are in line
Environment Program (UNEP FI) with the principles that govern
(Since 2019). the institution.
•Sustainable Development Goals •Form alliances with State
(https://www.undp.org/content/undp/es/home entities (Mincul, Mincetur) and
/sustainable-development-goals.html). (Since with other institutions
2018). (Association of Museums of
•United Nations Global Compact Peru).
(www.globalcompact.org). (Since 2014). •Renewal of agreements with
•Finance Initiative of the United Nations Minedu, the United Nations
Environment Program, UNEP-FI Global Compact, the Equator
(www.unepfi.org). (Since 1999). Principles, the Principles of
•Equator Principles (www.equator- Responsible Banking of
principles.com). UNEPFI, and regulatory
•United Nations Declaration of Human Rights entities such as ASBANC and
(www.un.org). SBS.
•Labor regulations of the International Labor
Organization (www.ilo.org).
•Carbon Disclosure Project
(www.cdproject.net). (Since 2004).
•Principles for Responsible Investment.
(www.unpri.org). (Since 2004).
•Task Force on Climate-related Financial
Disclosures (TCFD). https://www.fsb-tcfd.org/).
(Since 2017).
•Principles for Responsible Investment. (Since
2008).
•Paris Agreements. (Since 2008).
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5.4.5. Products with high social impact
People-centered solutions
GRI 102-2, 103-2
One of BBVA's constant objectives is to integrate social attributes that make a difference
into the products and initiatives of its daily activity. To do this, it designs its products and
services with an impact greater than that already generated with its ordinary activity, by
having a focus on:
•Financial inclusion
•Small and medium-sized enterprises (SMEs)
•Individuals with special needs
•Socially responsible investment
Financial inclusion
In alliance with ASBANC and PDP (Peruvian Digital Payments), BBVA launched in
February 2016 BIM (mobile wallet), a proposal for mobile payments interoperable
between all the banks in the system.
An easy-access, low-cost, and time-saving channel, BIM is based on an electronic

money platform that allows access to the financial system from a cell phone,
transferring funds, and paying for various services. A smartphone is the best ally to join:
you only need a cell phone activated in Claro, Movistar, Entel, or Bitel, indicate the
number of your National Identity Document (DNI) and the financial entity that will take
care of your BIM.
At the end of 2020, BIM had 26 participating financial entities, more than 1.1 million users
(of which 137 thousand chose BBVA as issuer), and more than 12.2 million transactions
implemented in the channel; that is, +57% and +11%, respectively, compared to the
previous year.
Customer data from the financial inclusion segment
2020 2019 2018 2017
Number of clients 1,904,382 1,457,678 1,197,205 909,251
Access to savings with greater benefits
The context of the covid-19 pandemic was a real challenge and implied a synergy
between the state and private spheres to implement social support projects such as the In 2020, the GloMo
Universal Bond. BBVA managed to open 836 thousand intangible accounts; that is to rollout began, for which
say, without affection of charges, paying S/ 636 million in this management. On the the My Goals and My
other hand, it participated in the AFP (pensions) Release process allowed in two different Day-to-Day (PFM) tools
decrees (DU No. 034-2020 and DU No. 038-2020), managing to collect S/ 6.5 billion were migrated and My
concentrated in more than 1MM of contributors who chose the Bank for the payment of Budgets were added to
your contributions. In that sense, we achieved a 24% participation in the financial the BBVA App, which
system. promotes the financial
organization by creating
In 2020, the GloMo rollout began, for which the My Goals and My Day-to-Day (PFM) tools savings objectives and
were migrated and My Budgets were added to the BBVA App, which promotes the review of expenses by
financial organization by creating savings objectives and review of expenses by categories.
categories. To generate a simple and clear value offer for the client, work was done on
simplifying the portfolio of savings products with two of the most valued drivers: cost-free
operations (transactionality) and access to prizes for maintaining savings with BBVA.
The transactional account Cuenta Independencia was promoted with a clear message:
zero cost in commissions at the national level, also to the Mundo Independencia benefits
program, which offers discounts at associated establishments, which contributes to the
customer being able to save on their consumption. For its part, Cuenta Ganadora
increased the opportunity to win its prizes by adding the weekly version to the classic
semi-annual raffles.
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Additionally, for customers who receive their payroll at BBVA, the Mundo Sueldo loyalty
program was reinforced and the offer of discount value continued to be improved for both
Lima and the provinces. Likewise, in the context of the health emergency that occurred in
2020, discounts were included in the most used establishments, such as restaurants with
delivery and health centers.
Co-responsible cashiers
In 2020, the correspondent channel Agentes BBVA grew by more than 5,200 points of its
own, which consolidated the Bank’s presence at the national level. At the end of the year,
it had 5,206 agents, 43% of them located in the provinces.
As the greater capillarity of the channel allows serving more customers, the number of
those who used it per month increased by 30%, compared to 2019. It should be noted
that even being in a situation of pandemic and national emergency, the number of clients
for December 2020 exceeded one million.
Number of premises Number of transactions
2020 5,206 55,307,432

2019 5,366 46,006,997
2018 6,617 39,304,994
2017 6,831 28,830,000
Business support
In 2020, due to the impact of covid-19, BBVA promoted the government’s largest business
aid program: Reactiva. With this program, more than 38 million disbursements were
made for almost S/ 15,000 million, which made the Bank one of the main participating
financial entities.
Support for individuals with special needs
In 2020, BBVA has about 62 agreements with public companies, to which consumer
loans are offered with special conditions, and payment is made through payroll
discounts.
Market share in mortgage loan financing
BBVA was an important player in the development of the real estate market in 2020,
registering a net increase in mortgage loan balances of S/ 21 MM, which reached
S/ 12,868 MM, that is, a market share of 26.47% (to November 2020) for the end of the
year.
Housing and access to mortgage credit at the end of 2020
Mortgage loans: Market Share:
S/ 12,868 MM 26.47%
The Bank's commitment is to generate the largest portfolio of real estate projects –today
there are more than 3,300 units for sale in the different socioeconomic segments– and to In June 2019, the Bank
meet the demand of customers, who expect to receive a quality product that meets their created the Social
needs and expectations. Thanks to the efforts made, BBVA was positioned at the end of Interest Housing and
the year as one of the leading banks in generating available real estate projects. Residential Housing sub-
managements, a new
In June 2019, the Bank created the Social Interest Housing and Residential Housing sub- work structure to meet
managements, a new work structure to meet real estate needs. At the end of 2020, both real estate needs.
showed a great performance not only due to their respective developments but also
because they boosted the sector and generated organic growth in the real estate business,
breaking disbursement records in the last quarter.
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To distinguish and make the mortgage offers visible by type of home and to be competitive
in each of them, the Bank launched a promotional campaign under the concept of
“Welcome Promoter”, with a differentiated offer.
By 2021, the Bank expects to grow above 9% in mortgage balances and thus meet the
challenge of doubling its presence in placements of social loans, as well as developing
residential housing projects that have energy improvements and care for the environment.
This is undoubtedly an excellent opportunity for BBVA, as Peru is the youngest country in
the region in this area.
Omnichannel
BBVA has designed an omnichannel strategy to serve customers in the most timely
manner, regardless of when, how, or where they want to access the different services that At the end of 2020, the
the Bank offers. This strategy is based on three pillars: Bank had a network of
349 branches (Retail
•Full Channel Choice: : In which the client can choose the channel that interests him Banking, Wholesale
the most for each operation. Banking, and Patrimonial
•Consistent Experience: In which the customer must perceive a unique and Banking) and 1,933 ATMs
satisfactory experience in all channels. (dispensing machines
•Seamless Journeys: That offers an agile and categorical service that responds to the and multifunction ATMs).
client's needs.
At the end of 2020, the Bank had a network of 349 branches (Retail Banking, Wholesale
Banking, and Patrimonial Banking) and 1,933 ATMs (dispensing machines and
multifunction ATMs).
Its main direct channels are:
Internet banking
The BBVA website (www.bbva.pe) received approximately 61 million visits in 2020. The
public portal allows access to the private Internet Banking area, which recorded more
than 960 million transactions during the completed period.
The Bank has 4.6 million active clients, of which 3.3 million are affiliated with digital channels.
Mobile banking
Mobile banking is growing continuously and in 2020 it obtained 1,087k mobile clients,
which represents a penetration of 45.75% within the target clients. The permanent
evolution of the Mobile Banking app (85% on Android devices and 15% on iPhone) made
it possible to carry out 3.656 million transactions (monetary and non-monetary) from this
type of device.
Digital Sale
During 2020, the pandemic harmed the growth of the sale of active products in digital
channels, so at the end of the period, it showed an increase of only + 3% of units sold
compared to 2019.
2020 turned out to be a paradox for the business. On the one hand, sales of consumer
loans and credit cards were highly affected, registering a drop, compared to 2019,
of –49% units sold in both categories. On the other hand, the confinement and social
measures provided by the Government boosted savings, leading to + 43% growth in
digital savings account sales, and + 14% in mutual fund subscriptions. Also, more than 1.1
million operations were implemented and more than 739 million soles were exchanged for
“BBVA T-Cambio”.
Correspondent Agent
At the end of 2020, there were 5,172 Express Agents and 34 Express Plus Agents, which
together generated a total of 55 million transactions.
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Dispenser Cashier
With its own network of 1,606 ATMs, the channel registered 102 million transactions.
Cashier Deposit
The Bank has 327 deposit (multifunction) ATMs, in which 13 million transactions were
implemented at the end of 2020.
Omnichannel
2020 2019 2018 2017
Digital customers (in thousands) 2,452 974 714 470

Mobile clients (in thousands) 1,087 840 550 311
Transactions per channel
Channel 2020 2019 2018 2017
Offices 0.36% 0.68% 0.75% 1.35%

ATM machines 1.64% 2.80% 2.89% 4.38%
Internet banking 14.95% 17.17% 18.25% 15.36%
Mobile Banking – SMS 51.99% 40.82% 37.25% 30.18%
Continental Net Cash 28.74% 35.36% 37.36% 44.31%
Banking by phone 0.01% 0.10% 0.41% 0.67%
Express Agent 0.79% 0.86% 0.95% 0.92%
Automatic debit 0.16% 0.21% 0.23% 0.31%
Balances and operations module 0.00% 0.00% 0.00% 0.22%
POS (debit) 1.36% 2.00% 1.98% 2.30%
100.00% 100.00% 100.00% 100.00%
Care channels
Offices nationwide 2020 2019 2018 2017
Retail Network 321.00 329.00 329.00 329.00

Patrimonial Banking 3.00 3.00 3.00 3.00
Wholesale Banking Network 25.00 22.00 22.00 22.00
Total 349.00 354.00 354.00 354.00
ATMs and deposit tellers 2019 2019 2018 2017
Lima 1,321.00 1,351.00 1,360.00 1,343.00

Provinces 612.00 618.00 610.00 604.00
Total 1,933.00 1,969.00 1,970.00 1,947.00
Express Agents + Express

Plus Agents + Kasnet
Agents + Western Union
Agents + FullCarga 2020 2019 2018 2017
Lima 2,971.00 3,087.00 3,469.00 3,407.00

Provinces 2,235.00 2,257.00 3,148.00 3,885.00
Total 5,206.00 5,344.00 6,617.00 7,292.00
Variation –3% –19% –9% –30%
Customer solutions
BBVA is leading the digital transformation of Peruvian banking with numerous launches of
technological products and services that make customer life easier.
Along these lines, in February 2020, BBVA launched its new BBVA (Mobile Banking) App,
which replaced the previous version and came with several benefits:
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•Improved presentation: A much more modern and visually cleaner interface,
homologated at the BBVA Group level.
•Ease of processes: More intuitive flows that reduce operational times and errors for
customers.
•Greater security: Facial and finger biometrics as additional mechanisms to the
Digital Token.
On the other hand, the Bank announced the launch of Plin, which allows transfers
between BBVA and also Interbank, Scotiabank, and BanBif with the following benefits:
•Without any commission charge.

•No account numbers or CCI (interbank account code).
•Immediate and available 24 hours a day, 365 days a year.
It should be noted that, given the complicated situation of 2020, the use of digital
channels became essential, by encouraging less use of cash, which led, for example, that
in the period concluded 2.7 million transfers were generated by Plin from BBVA, and 9.5
million transfers between all the banks in the consortium.
Mortgage Products
GRI 203-1
Supporting projects with high social impact will always be in the Bank's plans since they
are in line with its purpose: to bring the age of opportunity to everyone, and 2020 was In 2020 there was
another year in which we worked for hand in hand with different non-profit institutions. special satisfaction with
what was done with the
The policy implemented by the Bank in the real estate business seeks to generate Mivivienda Fund since
mortgage loans in projects that have sustainability certificates in Mivivienda Verde closing the housing gap
projects nationwide, and support as an articulator of access to credit, especially to low- for the emerging
income families, through the financing of the Techo Propio program. The goal for 2021 is population is
to place 1,000 loans in both programs –led by the Mivivienda Fund and managed by undoubtedly a pending
commercial banks– for which the realization of this type of project at the national level issue in the country.
has been consistently supported.
Thus, it is committed to real estate projects that have the Edge sustainability certification
granted by the IFC, an organization of the World Bank, which the Bank publishes in its real
estate catalog so that the client can appreciate their different stamps of sustainability and
social character.
In 2020 there was special satisfaction with what was done with the Mivivienda Fund since
closing the housing gap for the emerging population is undoubtedly a pending issue in
the country. The achievements of programs of this type allow one to see with optimism
what can be done to help more Peruvians obtain a suitable home at an affordable price.
Regarding the results, a total of 636 loans were disbursed, 153 of which, for PEN 5.7MM,
were under the Techo Propio modality. On the other hand, 483 corresponded to the My
House and My Green House program, for PEN 58.3MM, which was 51% more than in 2019
in terms of the number of disbursements.
Finally, it is important to indicate that in 2020 BBVA organized the award for “Best place
to live”, a seal that promotes excellence in housing in its different stages. The process, led
by Inteligencia y Data, a company that belongs to Capeco, seeks to highlight the real
estate companies that best perform in product quality, to facilitate families to find the
best place to live or invest and to worry about obtaining the best experience during the
process.
Mortgage Product Categories Monetary value (S/)
Mi vivienda Mortgage Credit 58,335,891

Home Loans Techo Propio 5,744,565
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5.5. Contribution to society
5.5.1. Investment in social programs
GRI 103-2, 203-1, 203-2, 413-1
Resources allocated by BBVA and its Foundation in thousands of soles
Por entidad 2020 2019 2018 2017
BBVA 629,982.55 155,996.00 238,242.00 447,490.07

BBVA Foundation 3,438,728.92 4,164,761.75 3,981,628.52 3,999,743.59
Total 4,068,711.47 4,320,757.75 4,219,870.52 4,447,233.66
In 2020, the BBVA Foundation made an economic contribution of S/ 3,438,728.92, as

part of its constant contribution to the country's education and culture.
Investment in social programs by strategic priorities
Culture 25%
Communication 11%
Financial education 5%
Education for society 45%
Others 14%
5.5.2. Financial education

One of BBVA’s strategic priorities in the Responsible Business Plan is to promote financial
education through workshops aimed at an adult audience that is already banked. The
“Your money, your friend” program promotes knowledge of the main products of the
financial system (savings, credit cards, and mortgage loans) so that users of the system
know the benefits of maintaining adequate financial health.
Given the conditions created by the pandemic in 2020, the workshops, which were face-
to-face until the beginning of March, began to take place in digital format. In total, 32
program workshops were held for 1,001 participants and a presentation addressed to the
SME segment, in which 890 attendees participated.
It is important to highlight the realization of a study of the SME segment, in conjunction

with the company Arellano Consultoría, whose results will allow establishing guidelines to
improve the financial education of small entrepreneurs, based on the identification of
insights of the value of their financial situation and their perception of the banking
system.
Main indicators of financial education
2020 2019 2018 2017
Number of beneficiaries for the global financial

education program 1,891 1,219 1,459 498
Adults 1,891 1,219 1,459 498
Number of financial education workshops 33 40 37 14
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5.5.3. Knowledge, science, and culture
Education for society
In its 47 years of tireless work, the BBVA Foundation has not ceased in its efforts to
develop activities in the field of education and culture, with the firm intention of creating
opportunities for society as a whole and always in a decentralized and inclusive manner.
In the educational field alone, the Foundation managed to serve 8,852 people in 2020,
including adults and minors.
2020 2019 2018 2017

Direct Indirect Direct Indirect Direct Indirect Direct Indirect
beneficiaries beneficiaries beneficiaries beneficiaries beneficiaries beneficiaries beneficiaries beneficiaries
Infant and
primary
education(1) 6,475 25,900 6,771 27,084 7,926 31,704 14,474 57,896
Training
for adults(2) 2,377 n.a. 2,069 n.a. 1,754 n.a. 591 n.a.
Total 8,852 25,900 8,840 27,084 9,680 31,704 15,065 57,896
(1) In 2020, this item was made up of students participating in the Leer es estar adelante program (6,365) and children participating in
the reading promotion Había una vez program (110).
(2) In 2020, this category was made up of PUCP undergraduate scholarship holders (16), those attending financial education
workshops (1,891), participants in the Marcelino Champagnat University program (360), and parents from the Había una vez program
(110).
In the area of education, the following actions stand out:
Read program is to be ahead and its adaptation to covid-19
The health situation and the measures ordered by the Government made it necessary to
rethink the activities of the program for the 2020 school year, traditionally structured for
face-to-face development, which considerably affected rural areas of the country.
Distance education designed by the Ministry of Education (Minedu) had as its main pillar
the initiative Aprendo en casa, to which the Foundation managed to incorporate content
from its Leer es estar adelante program.
The few possibilities for rural families to access the TV, internet or cell phone signal
complicated the scenario. Faced with this situation, access to the internet, the telephone,
and the radio were the means of communication with the greatest coverage in the areas
where the LEEA project is implemented, which led to focusing activities through the
effective use of these means of communication.
The pedagogical and logistical challenges that had to be faced to guarantee that children
in the areas where the program is applied could have the educational service in the
situation led to the following objectives in the face of the emergency:
•Facilitate connectivity between teachers and students.

•Provide pedagogical support to teachers to strengthen their work in the distance
mode.
Activities
After a diagnosis of the situation in which both teachers and students of the educational
institutions participating in the program found themselves, the following activities were
planned:
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1. Provision of educational materials:
a. Adelante Collection. Given the limited possibility for students to access the Aprendo
en casa initiative, an operation was designed to distribute the program materials The successful
– workbooks and Adelante books – in the towns where the program takes place. As the adaptation strategy of
Government was enabling access facilities, the distribution of the books was finalized, the the program in the rural
use of which was indicated by radio programs and monitored by WhatsApp messages. area of the country, in a
joint effort with PERU
b. Preparation and distribution of pedagogical folders. Five pedagogical folders were LNG, received the 2020
prepared that were sent by email, specially designed to help the teacher’s work, with Sustainable Development
activities for the learning of literacy, science, and the environment. Likewise, gender and Award from the National
intercultural issues are addressed, corresponding to the approaches of the current Society of Mining, Oil
curriculum. and Energy in the
category “Together
The pedagogical folders include a catalog of other open-access platforms, as well as a against covid-Adding
selection of texts prepared by the students of the program themselves, to encourage efforts”.
reading for pleasure. The PDF version of the Adelante books for teachers and students
was shared with each of the teachers.
2. Teacher training and accompaniment:
For the 2020 school year, a pedagogical support strategy was designed, the purpose of
which was to assist the program's teacher in the distance education exercise. This was
achieved through: 1) training for the effective use of five pedagogical folders and
2) training meetings and talks on teaching and learning topics, as well as emotional
support through the zoom platform.
a. Zoom forums. The teachers were summoned to collective meetings through the Zoom
platform, hired by the program for the 2020 school year to provide pedagogical support to
teachers, propose strategies and activities that they could replicate with their students,
also to providing support. emotional and caring.
b. Follow-up to teachers. The support to the teacher was constant, by telephone and
through the WhatsApp application, in charge of the pedagogical team of the program.
3. Preparation of content for radio spaces (rural area):
To disseminate educational information, facilitate the teacher's contact with his students,
monitor the use of the Adelante collection, and broadcast the contents of Aprendo en
casa by radio, special half-hour programs were developed and spaces were hired in
stations. locals for their weekly broadcast. This was achieved through coordination with
the Ministry of Education to access the contents of I learn at home by radio.
In the radio programs (30 minutes), information was broadcast in both Quechua and
Spanish on:
•The health emergency and preventive measures.

•The importance of complying with the regulations of the authorities.
•The need to stay in the community and for family and communal care.
•The use of Adelante books and literacy activities.
Finally, to facilitate the access by teachers, students, and their families to all the tools of
the program, the Read at home space was enabled on the website
www.fundacionbbva.pe. Also, throughout the year four webinars were held for the
pedagogical community with relevant topics, referring especially to the teaching of
history, which achieved 74,000 views.
The successful adaptation strategy of the program in the rural area of the country, in a
joint effort with PERU LNG, received the 2020 Sustainable Development Award from the
National Society of Mining, Oil and Energy in the category “Together against covid-Adding
efforts”.
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The regions served in 2020 were Ayacucho, Huancavelica, Ica, Lima and Piura. To date the
program has served 122,902 students and 3,901 teachers in 1,028 schools in 10 regions
of the country.
Regarding the institutionalization component, in 2020 the following actions were

developed:
•Signing of the agreement with the Ministry of Education.

•Meetings with specialists from the Aprendo en casa platform to use the program
materials.
Main indicators of the program Leer es estar adelante
Number of
scholarship Number of
Investment 2020 recipients volunteers(1) Number of allies(2)
Peru S/385,233.78 6,365.00 73.00 7.00
(1) Corresponds to BBVA volunteers.

(2) Includes: IEP, BBVA Asset Management, Ministry of Education, Educational Management Units of Huaytara, La Mar and Huamanga;
and the private partner PERU LNG.
Había una vez
Given the impossibility of carrying out face-to-face activities, the start of the shared
reading program “Había una vez” was postponed. During the month of May, together with During the months of
Luminario, the methodology was adapted to the virtual format to be able to share June and July, an internal
readings with families through the Zoom platform, after registering on our social awareness campaign was
networks. During the months of June and July, an internal awareness campaign was implemented on the
implemented on the importance of shared reading at home, which managed to attract importance of shared
120 BBVA employees, train 70 more on different reading techniques, and train 12 new reading at home, which
“Había una vez” volunteers. managed to attract 120
BBVA employees, train
Over the following months, the volunteers implemented 14 shared reading sessions of an 70 more on different
hour and a half each, aimed at parents and children, on Saturday mornings. The program reading techniques, and
helped 220 adults and children improve their reading skills and enjoy it as a family. train 12 new “Había una
vez” volunteers.
On the communication side, the program had greater scope. Also to the constant
publications on the Bank's internal and external networks, a communication campaign
was implemented on social networks together with RPP Noticias, a virtual discussion was
organized within the framework of the International Book Fair (3.8 thousand people
reached) and another on the International Children's and Youth Book Day (17,2 thousand
people reached). Finally, the last reading session aimed at parents and their children,
implemented live from the Foundation's Facebook page, obtained 4,200 views.
Other education programs
Despite the restrictions and confinement of the pandemic, our scholarship program with
the Pontifical Catholic University of Peru (PUCP) was developed for the same number of
scholars (16) from the specialties of Management, Senior Management, Industrial
Engineering, Communication for Development, Performing Arts, Graphic Design and
Economics, who benefited from full payment for their studies, including health insurance,
second language studies, and undergraduate fees.
Similarly, the Foundation and the Marcelino Champagnat University continued with the
development of the licensing program for teachers in the communities of the Datem del
Marañon province, in the Loreto region, in eastern Peru, which graduated 360
professionals.
As a result of the pandemic, the Foundation received a series of scientific research

projects by groups of specialists from the Faculty of Biomedical Engineering formed by
the PUCP and the Cayetano Heredia Private University. The financing will cover the
following lines of work, which are in advanced stages of development:
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•Biomedical engineering (biomedicine).
•Mechanical engineering (hospital technology).
•Economic and social sciences (big data).
Conservation of Heritage and Culture
The cultural sector was one of the most affected by the pandemic, forced into inactivity
for seven months. However, in many cases, the Foundation, together with partner The MAP Cusco received
institutions, worked to rethink the programmed formats and develop activities on new two important
platforms, mainly virtual ones. recognitions in 2020: the
IPAE 2019 Award to the
BBVA equity company in the Culture
category, in recognition
House Tristán del Pozo-Arequipa of its contribution to the
development of
The Pedro Brescia Cafferata exhibition hall was open to the public from January to March education of excellence
15, when it had received 15,656 visitors. In December, a registration project was started and the progress and
that will allow it to offer a virtual tour in 2021. dissemination of
Peruvian culture, and the
House of Emancipation-Trujillo Traveller’s Choice
certification, TripAdvisor
2020 was a very significant year for this space due to the commemoration of the ranked the museum
Bicentennial of the Declaration of Independence of Trujillo by Torre Tagle. On December among the 10% of the
29, the central date of this event, a commemorative video was presented that highlights most important
the historical, architectural, and cultural importance of the property, which in just the attractions to visit in the
remaining two days of 2020 reached 16,800 views on social networks. The house world.
reopened its doors on November 12 and at the end of the year had received a total of
21,168 visitors.
The Museum of Pre-Columbian Art of Cusco (MAP)
Due to the health crisis, the Museum of Pre-Columbian Art of Cusco (MAP Cusco) closed
its doors to its tenants and visitors from March 15 to November 12, when it was able to
reopen them after implementing a strict biosafety protocol approved by both the
Peruvian State, through the Ministries of Culture (Mincul) and Health (Minsa), as well as
BBVA’s Health and Safety at Work area. For this reason, the museum received a total of
5,843 visitors in 2020.
In this context, MAP Cusco developed strategic alliances that will allow it to have greater
visibility at the national level. Thus, thanks to an agreement with Promperú, the museum
participated as a speaker in a virtual fair aimed at 650 travel agents from the United
States and, at the initiative of the Mincul, it was integrated into the “Online Museums”
network created by the General Directorate of Museums (DGM). Finally, since 2020 it is
part of the Association of Museums of Peru, together with the Osma Museum, MALI,
MUCEN, MAC, Icpna, Larco Museum, Archbishopric Museum of Cusco, among other
institutions in the field at the national level.
On the other hand, MAP has developed new innovative lines of communication. In the first
place, the 360-degree Virtual Reality video about the pre-Columbian world was adapted in
Spanish and English, in free access YouTube format. Then, the first virtual 360 online
visits to the museum were implemented, in a free and open access format. Finally, 4,000
MAP catalogs have been printed in Spanish, English, and French, for sale during 2021.
The MAP Cusco received two important recognitions in 2020: the IPAE 2019 Award to the
company in the Culture category, in recognition of its contribution to the development of
education of excellence and the progress and dissemination of Peruvian culture, and the
Traveller’s Choice certification, TripAdvisor ranked the museum among the 10% of the
most important attractions to visit in the world.
The alliance with the PUCP Cultural Center allowed the launch of the PUCP at Casa
Cultural Center space, a platform enabled to transfer theatrical activities, exhibitions, and
conferences to the virtual format, including the Lima Film Festival, which under this
format allowed a greater reach to the public of Lima as of other regions of the country.
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In November, together with the Lima Art Museum, the exhibition “Khipus: Our History in
Knots” was inaugurated, which brought together an important variety of these precious
objects of our antiquity from private collections and archaeological projects and included
recent revelations and sources documentaries that allow you to expand your study.
Based on the agreement with the Barranco Museum of Contemporary Art, the Foundation
participated in the podcast series #ConexionArtista, a set of sessions in which the main
artists of the medium shared their experiences and insights about their work and that of
other creators.
The 25th version of the Lima International Book Fair took place virtually and brought
together more than 900,000 users who gathered at the 319 events that took place over
17 days. Along the same lines and under the same virtual format, the sixth edition of the
Hay Festival Arequipa was held, whose activities reached 293,000 views.
In the publishing field, the Foundation participated in the publication of “Cantarureando

Cantererías”, a book in homage to the centenary of the birth of Chabuca Granda, a project
developed by the publishing house Cosas, and of the book “History of the Contemporary
Art Institute collection” in alliance with the Museum of Contemporary Art.
Find your poem
The BBVA Foundation initiative that seeks to bring the poetry of national and Latin
American authors closer to more Peruvians through a website has completed four years In 2020, the platform
of work. Adding more and more authors and poems, but above all, cultivating more and recorded the highest
more readers. By the end of 2020, the platform had collected 110 poems, of which 70 had numbers in its history.
video, and 13 podcasts on secret stories of the main Peruvian poets. These podcasts, Between 2019 and 2020,
which propose a new way of approaching and enjoying national poetry through interesting the number of visits grew
biographies of its most representative vates, totaled 17,175 downloads, which placed them by 57% and the number
in position six of the 17 podcasts developed by the BBVA group. of unique users by 58%.
Due to the situation, the traditional poetic reading contest could not be implemented.
However, its content was available to more than four million children in Peru through a
strategic alliance made with Minedu, to integrate the poems into the program “I learn at
home” with broadcast on the web, radio, and television. To this was added a digital
communication campaign at the national level implemented together with RPP Noticias.
In 2020, the platform recorded the highest numbers in its history. Between 2019 and
2020, the number of visits grew by 57% and the number of unique users by 58%.
Portal statistics Find your poem
2020 2019 2018 2017
Number of annual visits 1,173,496 839,297 551,862 195,569

The only users 540,149 408,774 270,307 65,040
Other sponsorships and donations
In 2020, the Foundation and the Bank collaborated with the following non-profit entities:
•Fundación Peruana de Cáncer (collection “Ponle corazón”).

•Public Charity of Lima (Casa de Todos project).
•New Future Peru Household Association.
•Ayacucho Emergency Association.
•Peruvian Hearing and Language Center (CPAL).
•Huascarán Mission.
•Contributes (Advanced program in data science and global skills).
•Symphony for Peru.
•Business Solutions Against Poverty, “Shoulder to shoulder” campaign.
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Institutional activities
The health emergency generated by covid-19 motivated BBVA to adapt various activities
to the virtual format to strengthen relations with its different stakeholders.
One of the activities that generated the most interest was the conversation that Fernando
Eguiluz, CEO of BBVA in Peru, had with Randi Zuckerberg, former marketing director of
Facebook and CEO of Zuckerberg Media. At the meeting, they discussed various aspects
related to the future of the digital transformation of companies in the context of the global
health crisis, among which they highlighted the importance of adapting and training
teams for the new work habits generated by the pandemic.
On the other hand, the relationship with clients was marked by the development of a
series of webinars aimed at the public of Corporate Banking and CIB, which provided a
political analysis by a specialized journalist, as well as the economic perspective prepared
by BBVA Research.
The Private Banking Unit and Prime also maintained frequent contact with its clients, for
which it implemented virtual activities on various topics, mainly financial and economic
markets, both local and international. For this, it had the participation of BBVA exhibitors
and external guests.
Finally, BBVA in Peru held December, also virtually, the first SME Opportunity Creators
Summit, which included a series of advisory, training and education activities to help
entrepreneurs answer their questions about how to ensure operability and continuity. of
their ventures in times of pandemic.
BBVA Research
Regarding the exchange of knowledge, the BBVA Research Peru unit produced 42
economic publications during 2020, which it hosted on its website and which generated Regarding the exchange
great repercussions in different media. of knowledge, the BBVA
Research Peru unit
Throughout the year, the team had 457 public interventions on topics of macroeconomic, produced 42 economic
financial, and sector analysis. The documents published covered issues related to the publications during
Peruvian economy and the global economic environment that impacts it, and although 2020, which it hosted on
they were written in Spanish, some of them, considering the global focus of BBVA its website and which
Research, were also presented in English. generated great
repercussions in
The magazine Situación Perú, which deals with the analysis of the national economy different media.
quarterly, continued to take the pulse of the country’s development. The reports prepared
by the local team are offered free of charge on the website www.bbvaresearch.com, thus
taking advantage of a new publication platform to fulfill its social commitment and
address the digital transformation.
5.6. Awards and honors

BBVA in Peru as the best supplier of “Trade Finance”
The prestigious international magazine Global Finance chose BBVA in Peru as the best
financial institution in the country to provide “Trade Finance” services. The evaluation not
only considered the information shared by the participating financial institutions, but also
the contributions of various industry analysts, corporate executives, and prominent
technology experts.
BBVA, number one bank to attract and retain talent in Peru
According to the Merco Talento 2020 ‘ranking’, a classification that is a benchmark for
employer brand, BBVA was the number one bank in Peru as an employer brand in the
national banking sector, and the fourth company in the global ‘ranking’.
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BBVA, recognized for its good corporate governance in Peru
The Lima Stock Exchange highlighted BBVA as one of the nine companies that make up
the Good Corporate Governance Index 2020-2021 in the country, for its responsible
practices in the financial system. This index is developed through a validation
implemented by third parties, with the objective that companies comply with five main
pillars: a) the right of shareholders, b) general meeting of shareholders, c) board of
directors and senior management, d) risk and compliance and e) transparency of
information.
BBVA, a pioneer in the use of the Peru Carbon Footprint tool
The Ministry of the Environment recognized BBVA as a pioneer and leader in the use of
the Peru Carbon Footprint tool, which allows the identification of public and private
organizations that have managed to manage their greenhouse gas emissions. BBVA
complied with the requirements corresponding to the financial sector for the benefit of
the environment, which consolidated its sustainable strategy and guaranteed its
environmental and social commitment to government entities.
BBVA, recognized in the ranking “Merco Companies and Leaders 2020” of Peru
BBVA was placed in the ‘Top 5’ of the ranking “Merco Empresas y Líderes 2020”, which
recognizes the organizations with the best corporate reputation in Peru. In an
environment marked by the pandemic, the measurement identified that institutional
strengths were oriented to values such as innovation, institutional pride, social
responsibility, and the new products and services offered during the national health
emergency.
BBVA, recognized as one of “The Most Admired Companies” in Peru
For the sixth consecutive year, BBVA was awarded as one of the ten most admired
companies in Peru. The recognition, delivered by PwC and G de Gestión magazine,
highlighted the Bank’s work in the categories of business reputation and capacity for
innovation and transformation.
BBVA Foundation, IPAE Award to the company in the Culture category
The IPAE Award is a recognition granted annually to companies that contribute to the
development of education of excellence and the progress and dissemination of Peruvian
culture. In 2020, it was awarded to the Museum of Pre-Columbian Art, which is located on
the premises of Casa Cabrera, a property owned by BBVA that is managed by its
Foundation and is the architectural and cultural heritage of the nation.
BBVA Foundation, Travelers' Choice certification – Tripadvisor
The recognition given to the Museum of Pre-Columbian Art of Cusco by Traveller’s

Choice – Tripadvisor gives it an outstanding rating and places it among the 10% of the
most important attractions to visit in the world
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6. Financial
information
6.1. Business and activities

GRI 102-6
Segment management
I. Natural persons
a. Individuals
In 2020, BBVA increased its customer acquisition by strengthening its digital channels.
Likewise, by reinforcing the benefits of its products through communication onboarding, it One of the great
not only maintained its objective of early engagement but also improved digitization novelties of BBVA Peru
ratios, at the same time that it raised the engagement ratio of target customers and during the year was the
reduced its level of engagement. leakage and inactivity. launch of the first
account with a 100%
One of the great novelties of BBVA Peru during the year was the launch of the first digital opening, without
account with a 100% digital opening, without the client having to go to an office, thanks to the client having to go to
facial recognition technology. During the situation generated by the pandemic, it was very an office, thanks to facial
useful to promote the use of digital channels and contribute to people's health care. recognition technology.
As part of this work, in 2020 the following products were delivered for the benefit of
customers:
Zero Card: Launched at the end of July, it does not charge a fee for membership or
withdrawal from ATMs nationwide, can be used to make purchases in physical and virtual
stores, and includes contactless payment technology. It provides all the security
measures to give the client the necessary peace of mind both when reviewing their
consumption through mobile banking and when operating in BBVA Wallet.
Fixed Fee Card: Its name refers to the fact that it allows the user to pay the same amount
every month, regardless of what they have consumed during the billed period. Launched
in December, it offers the facility of contactless payment, and consumptions are always
charged in soles, regardless of the currency in which they were made. The fixed fee that
the client must pay reaches 10% of his line, which includes the revolving capital, interest,
expenses, and commissions; If the total consumption is less than the established quota,
the payment is too. This card, which also does not charge for membership, acquires
greater importance since it will promote financial inclusion.
Plin: On the digital level, BBVA actively participated in the launch of this feature that
allows money transfers between accounts at different banks with only the contact’s cell
phone number. It is an effort by the financial system to reduce the use of cash in the
country, thus helping to improve the security of operations. At the end of 2020, Plin
added more than two million registrants and BBVA intervened in more than 38% of the
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transactions implemented. Likewise, the functionality allowed the Bank to reach new
customers and increase its acquisition by 67%, strengthening its acquisition through
digital channels.
GloMo: BBVA was the first bank in the Peruvian market to use this application, which
includes a series of innovations, such as biometric technology, which uses facial or finger
recognition as a security mechanism to enter and confirm operations. GloMo seeks to
become a standardized version at the Group level and before it arrives in Peru it was
launched in Spain and Mexico. Its main competitive advantage is its “global aspect”, which
allows the adaptation of progress in each country where BBVA operates, which facilitates
the development of new functionalities in the shortest possible time.
As a result of the health situation, BBVA provided a series of measures to help its clients
and actively supported the Government in the delivery of social assistance vouchers,
aimed at the neediest sectors, for which it made its offices available at the national.
On the other hand, BBVA Peru granted important facilities for clients, which allowed the
rescheduling of more than 225 thousand loans, for approximately S/ 20 MM, which
represents 31% of the Bank's total portfolio; Of these, 73,714 were individuals, who were
able to reschedule their loans without interest for S/ 1,649MM. Programs were also
designed to postpone and freeze debts, as well as to consolidate consumer loans and
credit cards, by extending the payment term and reducing installments of up to 40%.
Finally, with the idea of facilitating customer operations during the health emergency,
BBVA temporarily eliminated commissions for cash withdrawals from the ATMs of any
bank nationwide.
b. BBVA Prime
2020 marked the second anniversary of the launch of the Prime Segment, which
response to a relationship model that provides personalized attention to high-value 2020 marked the second
customers (customers with surpluses or high monthly income). anniversary of the launch
of the Prime Segment,
Despite the social and economic context faced by the country due to health and political which response to a
factors, it was possible to consolidate the value offer of the segment and obtain relationship model that
significant growth, both in terms of assets and resources managed. For this, agile and provides personalized
lasting action plans were executed, such as increasing contact with the client to forge attention to high-value
better relationships. customers (customers
with surpluses or high
The approach to the client through technological means allowed to continue and even monthly income).
increase the frequency of contact, providing security. Thanks to this link, it was possible
to attend to queries, needs, and requirements, which finally resulted in the generation of
new business opportunities.
Consumer loans: The balance of consumption increased by 16% thanks to the recovery
of productivity per banker (29%), which allowed, despite the situation, to exceed the new
production by 4% compared to 2019. These figures are a consequence of the An impulse
given from the second half of 2020, in which the restrictions to combat the pandemic
were eased, which reduced uncertainty and allowed the number and amount of loans to
grow.
Credit card: The growth of credit card balances was encouraged, through a 29% increase
in the purchase of debt and cash versus 2019 and the maintenance of consumption
levels. The digital linkage and communication strategy allowed, on the one hand, to make
improvements in the conditions of the product to a group of customers of the stock,
which favored a significant re-stacking and, on the other hand, to execute a
communication plan, based on the knowledge of the client, by providing benefits in
establishments where they usually consume or in other related establishments, for which
behavioral economics tools were applied.
Mutual funds and structured products: Mutual fund balances increased by 36% and
structured products by 18%, as a result of the implementation of a fund-raising strategy
based on the correct investment advice, leveraged in a medium and long-term horizon
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and a differentiated offer according to the Client’s profile. Additionally, and aligned with
the new constructability model, virtual events were generated by strategic partners such
as E&Y, PIMCO, and JP Morgan, which not only allowed the contracting of products but
also provided security to the client for decision making.
c. Private banking
In 2020, the consolidation of BBVA Private Banking continued, aimed at high net worth
clients, who receive highly personalized attention through a banker and an associate
executive –as well as an investment advisor if advice is required on specialized
investments– in any of the three exclusive offices located in top areas of Lima.
As part of the initiatives, the bank's management model was improved to allow, through a
series of cascading ceremonies towards all hierarchical levels, to focus on business The bank's management
priorities and to monitor activity in all offices in a synchronized and homogeneous model was improved to
manner. allow, through a series of
cascading ceremonies
The order provided by the new management model, together with the refinement of the towards all hierarchical
incentive model, allowed us to be closer to the client and achieve record levels of levels, to focus on
satisfaction (relational NPS: 90%). business priorities and to
monitor activity in all
Mutual funds and structured products: Both products had important balance growth of offices in a synchronized
30% and 50%, respectively. Regarding the former, in 020 the launching of Strategic and homogeneous
Funds, a core product of the bank that achieved annual fundraising of USD 59MM, and manner.
the placement of the new BBVA Renta Global Fund, which managed to capture
USD 50MM; As for the latter, the launching of structures with or without loss of capital
continued.
Consumer loans: The loan balance increased by 37%, led by BBVA Collateral, financing
with a guarantee on client investments. Finally, throughout the year, and in line with
always being close to the client, providing first-hand information on issues relevant to
wealth management, webinars and live broadcasts were held on different topics, such as
the economic situation, financial markets, alternatives. investment and tax issues, with
guests, specialized in each subject, such as EY, BBVA Research, BBVA Asset
Management, JP Morgan, PIMCO, among others.
II. Legal persons
a. Business Banking
In 2020, BBVA continued to promote Business Banking as a platform for business

customer service, with a range of products and services designed to meet their high
demands. Along these lines, multiproduct sales were promoted, to offer a portfolio that
comprehensively meets the customer's need.
The value offer was improved with the launch of the unnamed Working Capital Card,
which decentralized the issuance of plastic by providing a more agile process in the
delivery of the product and, consequently, an improvement in the customer experience.
As part of the Government’s guarantee program to offer a quick and effective response to
the liquidity needs faced by companies in the face of the impact of covid-19, BBVA
actively participated through the Reactiva, Crecer, and FAE funds, which granted
financing and benefited more than 30,000 clients in the segment.
During 2020, different improvements were developed in BBVA Net Cash, to consolidate it
as a support platform for the operations that the client needs.
At the end of the first quarter, Fast Cash with insurance was implemented, which allows
the client to pay their loans associated with some type of insurance (credit life, property
or guarantees). The year closed with the activation of BBVA Net Cash from the
application and the possibility of interbank transfers 24 hours a day. These improvements
were key to continue encouraging the use of digital channels.
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The Bank strengthened strategic alliances with POS suppliers, making new collection
solutions available to customers, such as collection links and virtual stores, which allowed
companies to have more collection channels for their customers.
Finally, to strengthen the insurance portfolio for the segment, the Salud a tu Alcance
insurance was promoted, which allows obtaining compensation for cancer diagnosis and
a benefit of outpatient medical care for the client and their family group.
b. Business and Local Corporate Banking
In 2020, the consolidation of the management model began, with a segmentation of

clients by profile that allows offering specialized attention.
At the beginning of the second quarter, as a consequence of the State of National

Emergency, the management model of the Corporate Banking team was redirected,
which innovated a commercial plan to approach customers to identify the economic-
financial needs that were being generated and, likewise, offer the benefits of financing
either through programs created by the State or with reprogramming credit facilities.
Under the Reactiva Program, the commitment of 3,235 credits was reaffirmed, for a total
of S/ 6,970MM. Under the Reactiva
Program, the
In the middle of the year, the Anticipa plan was implemented, which offered the client an commitment of 3,235
extension of the term for the payment of their loans, thus allowing them to mitigate the credits was reaffirmed,
impact of the situation. At the end of the year, this plan, which will continue in 2021, for a total of
managed to formalize 380 loans for a total of S/ 2,295MM. S/ 6,970MM.
c. Transactionality
2020 was a challenging year for companies, which due to the state of emergency had to
renew their way of operating, reinvent their products and business model, also to
adopting the new digital way of collecting and paying. In this sense, the Bank
accompanied its adaptation to the new environment with the best Cash Management
solutions for all segments, according to the needs of each client.
BBVA Netcash's offer of value was boosted and new agile and digital contracting
processes were implemented, which made it possible to reach historical records in new
customer affiliations, with a growth of 115% compared to the months before the
pandemic. In this way, the Bank contributed to maintaining the chain of payments to
suppliers and employees, without the need to go to an office.
The launch of immediate interbank transfers in October 2020 and its 24x7 version in
November allowed companies to make their payments instantly 24 hours a day, seven
days a week, and increased transactions by 42,160.
Also, work was implemented on simplifying the contracts for all transactional products, in
such a way that the documentation required from clients was reduced by 35%. Likewise,
to encourage operations through digital channels, which are cheaper and generate
savings in companies, the commissions of all products were adjusted to the new market
conditions. Collection operations reflected an important growth of 37% compared to
2019, with more than 4.5 million transactions per month. Of these operations, 57% were
implemented through digital channels, 11% more than in 2019, due to the recruitment of
new companies that had to close their collection centers due to the situation and the
growth of the internet and commerce recharging market electronically.
d. Multi-channel
Regarding digital channels for natural persons, the continuous improvement of the
customer’s user experience was sought. The new BBVA app was launched, a completely
re-powered digital channel, with a more intuitive format and with new security
mechanisms, such as biometric authentication to enter the application and to confirm
operations.
104
At the end of 2020, the app had more than 2.5 million users and a meticulous follow-up
was implemented for its continuous improvement according to what they revealed. For
that same date, the channel was valued with 3.2 stars in the Playstore rating and 3.8 in
the Appstore; the goal by 2021 is to reach at least 4.0 on both listings.
Additionally, PLIN was included in the BBVA app, the P2P transfer platform for Bank and
consortium clients. At the end of 2020, this service had more than 1 million affiliated
clients, who executed more than 2.7 million P2P transfers. Its main immediate objective is
the inclusion of operations through the QR.
In 2020, the Bank concentrated its efforts on accelerating the maturation of its network
of correspondent agents, which at the end of the year reached a record monthly In 2020, the Bank
transaction level of 5.5MM and an influx of 1.1MM from unique customers of this channel. concentrated its efforts
Despite the difficulties caused by the pandemic, the number of transactions grew by 14%, on accelerating the
and in customers, by + 51%, compared to 2019. maturation of its
network of
e. Unique experience correspondent agents,
which at the end of the
As part of its strategic plan, the Bank decided during 2020 that, while continuing with the year reached a record
certification process of the BEC and BCOM single experience models, certain parts of monthly transaction level
them be updated to strengthen them and align them more precisely with the business of 5.5MM and an influx of
needs. 1.1MM from unique
customers of this
BEC: In conjunction with the Holding team, a comprehensive diagnosis of the bank was channel.
implemented and work was implemented so that the model established the guidelines
that allow it to develop its activity based on business priorities and in an attempt to
achieve strategic goals.
Along these lines, it was established that the BEC management model would articulate
the different protocols to establish homogeneous work schemes among themselves, so
that those who lead teams and business units can communicate the strategy clearly to
the entire network, motivate and develop accordingly. continuously to their groups and
thereby maximize the achievement of results.
The implementation of the new model based on the principles of management by value,
customer orientation, commitment and empowerment, achieved the creation of
sustainable value and the professional growth of the teams. The success achieved
prompted the design of the management model leveraged in the Digital Workplace tool,
which will be deployed during 2021.
BCOM: An initial diagnosis was made on the functionality of certain protocols and the
structure of some of them was updated within the new management model. The idea is to
align them more precisely to the current reality of the business, to follow the variables of
the total mobilization plan, and to generate a coaching space for the office manager with
his team.
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6.1.1. Corporate & Investment Banking (CIB)
In the field of global business, during 2020 the Corporate & Investment Banking (CIB)
area implemented its activities on two pillars: Global Banking and Global Markets.
Global Banking Global Markets
•Managed around US $ 7.244 million in •During 2020, it managed an average of

assets placed in large corporations US $ 2,936 million in assets.
operating in Peru.
•It covers the areas of Trading, Sales and
•The business comprises relationship Structuring of Derivative Products.
units (Global Clients and Global
Transactional Banking) and product units •Manages and distributes treasury
(Investment Banking and Finance). products related to Foreign Exchange,
Interest Rates & Credit.
•It also has a Trust Services Unit.
• It also offers debt origination service
(DCM), as well as stock brokerage
through its subsidiary BBVA Bolsa SAB.
Within CIB there is a Chief Operating Officer, a support unit in charge of bringing results
and management reports, leading the execution of strategies and developing key
indicators, as well as providing operational support to the entire business.
Investment Banking and Finance
BBVA has teams specialized in offering products, services, and comprehensive solutions
that generate global reach opportunities for its clients: large national and foreign
corporations.
In 2020, IB & F's commercial activity presented a good performance in direct loans,
mainly aimed at corporate clients in the energy, infrastructure, mining, and industrial
sectors, among which the loans to Buenaventura, Belcorp, and Supermercados Peruanos
stand out. In Project Finance, the most outstanding operations were those implemented
for Salaverry Terminal Internacional, Lima Airport Partners, and Lima Expresa.
Likewise, in the capital market (ECM), BBVA structured and placed a new issue of Fibra
Prime, a securitization trust for investment in real estate income. On this occasion,
US$ 20 million were placed to continue developing its portfolio and generate greater
diversification in the assets under management. The transaction is part of a total program
of US$ 500 million, which will continue to be implemented in the coming years.
Global Transactional Banking
In 2020, Global Transactional Banking (GTB) Peru consolidated its offer of direct channels
for multinational companies, which at the end of the year managed to get 107 economic
groups to use the solution. Thus, the increase in the number of clients that migrated to
digital channels not only led to a 45% reduction in the number of manual operations
received but also improved the customer experience and streamlined operations in user
treasuries.
On the other hand, more than 130 new companies were linked to the Net Cash app mobile
solution, which allows the client, also to viewing their balances, to authorize their
operations in an agile and above all secure manner. This solution is complemented by the
benefit of having a digital token, one of the benefits offered by the Net Cash app.
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Global Markets
Global presence and experience are differentiating elements for the BBVA Group, as they
allow it to offer its clients personalized and innovative products such as Interest Rates During 2020, BBVA
Swaps, Cross Currency Swaps, FX Options, Structured Notes, and Credit Link Notes, Global Markets again
among others. ranked first in all the
products it offers, both
During 2020, BBVA Global Markets again ranked first in all the products it offers, both in in the Sovereign Bonds
the Sovereign Bonds sector of Peru –where it led the ranking of market makers published sector of Peru –where it
by the Ministry of Economy and Finance (MEF), for the highest volume traded in all digital led the ranking of market
channels and platforms (datatec)– such as Coins and Government Bonds. This effort makers published by the
earned BBVA being considered the Best FX Bank in Latam by Global Finance Magazine. Ministry of Economy and
Finance (MEF), for the
Likewise, with financial solutions tailored to each client, in 2020 BBVA maintained its highest volume traded in
leadership position in all market segments in the field of financial derivatives, by capturing all digital channels and
a record 38% share of the Peruvian derivatives market for corporate clients and platforms (datatec)–
institutional. It should be noted that Global Markets Peru was nominated for the third such as Coins and
consecutive year at the SRP America Awards as the leader of structured products in the Government Bonds. This
Peruvian market in the Best Distributor and Best Performance categories. effort earned BBVA being
considered the Best FX
For its part, BBVA SAB also consolidated its position in the intermediation of variable Bank in Latam by Global
income and fixed income operations. In 2020, it ranked second in the equity trading Finance Magazine.
ranking, participated in the second most important operation in the history of the Lima
Stock Exchange, and, not least, ranked first in a number of primary issues.
The Debt Capital Markets team led the local capital market with the structuring and
placement of seven public issues (30% of the market), for a total of S/ 504 million (31%
of the market). One of the main transactions of the year was the issuance of the
MiVivienda Fund for S/ 240 million, with a term of 7 years. It was the second consecutive
year that the fund issued debt in the stock market accompanied by BBVA as structuring
and underwriter.
6.1.2. Financial management

2020 was a year of constant challenges for Balance Sheet Management. From a liquidity
perspective, management was initially focused on ensuring the availability of funds during
the onset of the health crisis in Peru. To do this, a series of lines were negotiated with
foreign banks –such as Mizuho Bank, for $ 50 million over 3 years– and a series of
products launched by the BCRP was implemented in an attempt to provide liquidity to the
financial system and ensure the payment chain.
By anticipating rate reductions in the market, the balance sheet positioning focused on
lengthening the duration of the Fixed Income portfolio. In this way, it was sought to
compensate for the reduction in the expected financial income through a Fixed Income
portfolio with higher profitability. On the liability side, the focus was on continuing to
reduce its duration and work intensively and in coordination with the business teams to
reduce rates. In this way, it was possible to have a reduction in financial expenses of
25.6% in all of 2020 vs 2019, the second-largest savings among our peers.
Finally, another important role during 2020 was the implementation, on the liability side,
of government programs such as Reactiva, Fae, and the Reprogramming Repos launched
by Cofide, the MEF and the BCRP. This allowed rapid deployment of these programs
within the Bank and thus ensure a leading role for BBVA among the peers.
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6.1.3. Risk management
Risk management plays a fundamental role in BBVA Peru’s strategy, as it guarantees the
solvency and sustainable development of the entity.
For effective management with a comprehensive vision, the BBVA Peru Risk Area is
organized according to the type of risk. To seek synergies and achieve greater integration
of the processes ranging from strategy and planning to implementation in management
–and within an adequate control environment verified by the Risk Internal Control Unit–,
the Portfolio unit, Management, Data & Reporting consolidates transversal and support
functions for risk management.
The risk management Unique

model pursues three main
objectives:
Focused on a single objective. Sustained risk appetite is
determined in fundamental metrics, limits for portfolios and
Strategy, definition and economic sectors, and indicators for the management and
integration in risk appetite monitoring of portfolios.
management
Independent
Independent and complementary to the business. The rapid

Agile and effective risk
adaptation of the BBVA Risk area allows us to closely monitor
management and processes
the business and thus detect opportunities.
Global
Infrastructure, tools and

BBVA has an adaptable risk model for all risks, in all countries
people
and in all businesses.
Portfolio, Management, Data & Reporting Unit
As part of integrated management, the Portfolio, Management, Data & Reporting Unit
designs, develops, and implements models and tools that provide support to credit
processes for the development of the risk function.
The monitoring of the BBVA Peru portfolio is implemented through analysis, reports and,
constant monitoring, to guide an adequate execution of the strategy of constant
compliance with the pillars of risk quality and sustained profitability following capital
consumption. Only permanent coordination with the other BBVA Peru support areas
allows risks to be efficiently integrated into the commercial process.
The following table describes the composition of the unit:
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Portfolio Management, Data & Reporting
CoE: Risk Model Factory Reporting, Monitoring Measurement

& Data
Model tracking Estimation of parameters,

IFRS9 and stress Responsible for the In charge of ensuring the
Reporting and Monitoring of correct calculation of
risk metrics at the Bank level provisions for credit risk.
(internal and Holding).
In charge of defining and Responsible for the
executing the estimation calibration of credit risk
plan of the credit and parameters for IFRS9 capital,
regulatory risk models for estimation of expected
natural and legal persons. losses and economic capital;
in addition to capital
optimization, deterioration
monitoring and scenario
analysis.
Credit risk management
Retail risks
The following fundamentals describe credit risk management in the retail environment:
•Define the guidelines for the admission of clients.

•Study the results of the behavior of products, segments and, campaigns, analyzing
their respective evolutions and developments.
•Disseminate and strengthen BBVA’s risk culture, improving, through constant
training programs, the capacities of the commercial areas and risk specialists.
•Maintain, through interrelation with the different business areas and attention to
internal and external supervisory bodies, a comprehensive credit risk policy that
allows preserving the quality of the loan portfolio.
•Propose and promote continuous improvements in processes, tools and, regulations
for management.
The detection of warning signs and high-risk groups is implemented based on statistical
information and monitoring management of the Risk Portfolios of Natural Persons and
Business Banking.
Wholesale risks
He is in charge of credit risk management in the business segments of the Retail Network,
Business Banking, Institutions, Global Clients, IFIS, and the Real Estate Sector by
integrating –based on the lines of action defined in the credit risk policy wholesaler–
origination, admission, and follow-up phases.
As part of the Group's strategy and considering the challenging environment of the local
market as a result of the spread of covid-19 and the measures taken by the Government
to contain it, BBVA strengthened control of asset allocation limits and suggested sector
profiles, in such a way consistent with the risk appetite and hand in hand with the
evolution of the pandemic and the reactivation of economic activities.
Thus, through portfolio containment, selection of the best profiles, and monitoring of
concentration thresholds by sectors, portfolio diversification was promoted by prioritizing
risk-adjusted returns. For this, different strategies were deployed in the Branch Network,
such as preventive action focused on collections and the identification and redirection of
business opportunities.
Keeping the agile structure, the admissions team segmentation was divided into two
groups:
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•Stage 1: It operates with a primary axis of analysis under sectoral groupings, while
maintaining specialization by segment.
•Stage 2 and Business Monitoring: It operates under a preventive management
approach, with strategies to maintain and/or reduce portfolio risk, and contains
impairment by structuring suitable financial solutions.
The Portfolio Management team focused on the segmentation of the portfolio by

vulnerability and sensitivity axes, for which it incorporated quantitative and qualitative
variables and sectorial vision. Likewise, it paid special attention to the development of
dashboards with useful information for credit risk management and protocols for the
attention of the different aid programs arranged by the Government. To have more
focused management in 2021, the team has been divided into Strategies and
Governance.
It should be noted that the Rating, Risk Analyst, and Early Alerts tools are an important
support in decision-making. Likewise, the Automated Financial Program and the Digital
Financial Program, used in the BEC and CIB segments, respectively, continued as digital
platforms for the preparation and analysis of loan proposals.
Management of follow-up, collection, and recovery
It brings together the functions and processes necessary for the monitoring, containment
of non-payment, collection, recoveries, and divestment of the portfolio in problems, both
from Commercial Banking and Business Banking throughout the credit life cycle. Its
objective is to achieve efficiencies in the processes in a transversal manner, both in
external management channels (collection agencies and law firms) and internal (Office
Network).
The management of the troubled portfolio is articulated from a centralized strategy that
defines the differentiated actions for each of the segments and each stage of the life cycle
of the leveraged credit in policies of refinancing, awarding, and payment agreements with
clients, in the search to minimize the expense of provisions and the level of delinquency.
In 2020, the execution of the Comprehensive Collection Plan continued. This

transformation project, which began in 2018 and which involves improvements in In 2020, the execution of
processes and information management, remediable products, customer experience, and the Comprehensive
the technological platform, is scheduled to continue its development throughout 2021. Collection Plan
continued. This
The plan allowed to implement the strengthening of the Collection Factory. Through the transformation project,
KPI dashboard for collections and recoveries and the development of solution products, which began in 2018 and
new tenders were executed in the external channels of collections and legal studies, which which involves
promoted the strengthening of ANS and incentive schemes and the supervision of the improvements in
performance of suppliers according to good market practices. Additionally, as part of the processes and
new management impulses and to support the client to go through the crisis resulting information
from the pandemic, the Solution Office (Commercial Banking) and the Anticipa Office management, remediable
(Business Banking) were launched, which allowed better management of the troubled products, customer
portfolio and an increase in the level of containment. experience, and the
technological platform, is
Market risk management scheduled to continue its
development throughout
The determination of market risk limits is based on the risk appetite approved by the 2021.
highest levels of corporate governance and the assumption of maximum consumption of
economic capital to face unexpected losses. Based on this, economic capital charges
were incorporated to adapt BBVA to the provisions of Basel 2.5, for which a CEMO limit
(average objective economic capital) was introduced that takes into account risk levels in
terms of VaR, both under normal and stress conditions.
Subsequently, other indicators were used that allow prudent business management, such
as a daily VaR limit and alerts and limits to VaR Stress under a stress scenario. The
defined control scheme was complemented with limits to losses and a system of warning
signals to anticipate unwanted situations in terms of risk levels or results.
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Following this model, periodic back testing of the risk measurement models was
implemented, used to verify whether the model is adequate, as well as calculations of the
impact of extreme market movements on the risk positions held (stress testing).
Structural risk management
The structural interest risk and the liquidity and financing risk make up the structural risk
in the Bank's management. The first arises from the potential alteration in the net interest
income or the economic value of the entity's equity due to the variation in market interest
rates. Exposure to adverse movements in these rates constitutes a risk inherent to the
development of BBVA's activity which, at the same time, becomes an opportunity for the
creation of economic value.
Thus, the management and monitoring of liquidity and financing risk are implemented
comprehensively with a double approach (short and long term), interrelated and
concatenated, so that the tension in one triggers pressures in the other if not a timely
response occurs, both under normal and low-stress conditions.
The Bank has a contingency plan whose sole objective is to keep it prepared to face
possible liquidity problems.
Operational risk management
The operational risk management model that BBVA has implemented throughout the
organization is based on methodologies and procedures for the identification, evaluation, Thanks to the permanent
and monitoring of operational risk, supported by tools that allow its qualitative and updating of risks and
quantitative management. controls, the operational
risk management model
This model is based on decentralized management of operational risk implemented by remained in force
operational risk management teams in the two lines of defense. In the first, there is the throughout 2020.
Risk Control Assurer, to promote the adequate management of operational risk in their
respective management areas, extending the methodology for identifying risks and
establishing controls to the owners of the processes. In the second line, there is a Risk
Control Specialist team, which defines mitigation and control frameworks in their field of
specialty (across the entire organization) and performs the contrast with what is
implemented by the first line.
Both control teams are in permanent coordination of a methodological unit and

constantly report to the corresponding risk committees. From the Risk area, the Non-
Financial Risk Unit is in charge of coordinating the operational risk committees, the
implementation of corporate management tools, and the training of both control teams
(Risk Control Assurer and Risk Control Specialist), the coordination for updating the
risk map according to the established methodology and the monitoring of mitigation
plans.
Regarding qualitative management, the STORM tool (Support Tool for Operational Risk
Management) enables the recording and quantification of the operational risks identified,
associated with a taxonomy of processes, as well as the recording of the periodic
evaluation of the controls associated with the critical risks.
Thanks to the permanent updating of risks and controls, the operational risk
management model remained in force throughout 2020.
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STORM distribution by operational risk class
Process
Procesos Fraude externo
External fraud 7% Fraude
Internal fraud
64% 14%
interno 14%
Suppliers
Proveedores Technology
3% deficiencies
tecnología 8%8%
HR
RR.HH. Commercial
Prácticas Disasters
Desastres
1% practices
comerciales 2% 1%
Source: Central Reserve Bank of Peru (BCRP). Own elaboration.
On the other hand, there is the fundamental quantitative tool for operational risk
management: SIRO (Integrated Operational Risk System), a database that collects all
operational risk events that represent a loss for the Bank and its subsidiaries.
BBVA is authorized to use the Alternative Standard Method (ASA) to calculate the
effective equity requirement for operational risk, which allows it to optimize the regulatory
capital requirement.
Requirement of effective equity for operational risk

In millions of soles
70,011 70,372
66,140
60,950
507 513 527 541
1T2020 2T2020 3T2020 4T2020

Loans
Colocaciones Capital RO
Source: Central Reserve Bank of Peru (BCRP). Own elaboration.
In 2020, the strengthening of the Bank's internal control scheme was highlighted as a
relevant initiative, thanks to the fact that it was given a greater structure and provided
improvements in work methodologies.
6.1.4. Subsidiary BBVA Bolsa SAB SA

BBVA Bolsa SAB had a 29.4% participation in the Equity market. At the end of 2020, it
ranked second in the Trading Ranking, having implemented most of the most important
operations of the year, such as Telefónica del Perú, the second-largest stock exchange
operation in the history of the Lima Stock Exchange.
Likewise, BBVA Bolsa SAB remained the leader in the fiber market in Peru by carrying out
the fourth placement of PRIME fiber, for about 20 million dollars.
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Second place in equities (PEN)
Amount
Nº Stockbroker society (millions)
1° Credicorp Capital 8,548

2° BBVA Bolsa 7,739
3° Seminario y Cía. SAB 2,728
4° Scotiabolsa SAB 2,259
5° BTG Pactual Perú SAB 1,002
6° Larraín Vial SAB 860
Source: Lima Stock Exchange. Own elaboration.
In fixed income, BBVA Bolsa SAB ranked second in the primary issuance market.
Second place in placements of primary issues

(PEN)
Amount
Nº Stockbroker society (millions)
1° Credicorp Capital 634

2° BBVA Bolsa 502
3° Inteligo SAB 371
4° Cofide 57
5° Scotiabolsa 50
6° Kallpa Securities 32
Source: Lima Stock Exchange. Own elaboration.
6.1.5. Subsidiary BBVA Sociedad Titulizadora SA

In 2020, BBVA Sociedad Titulizadora SA maintained the administration of fourteen
securitization assets established in previous years:
•Trust assets – DS 093-2002 – EF, Title XI, Concesionaria La Chira SA.

•Trust assets – DL 861, Title XI, Odebrecht Inversiones Inmobiliarias SAC – Las
Palmeras Building.
•Trust assets – Pardo y Aliaga Building – DL 861, Title XI.
•Trust assets – DL 861, Title XI, Los Portales SA – Real Estate Business – Second
Program – First issue.
•Trust assets – DL 861, Title XI, Los Portales SA – Real Estate Business – Second
Program – Second issue.
•Trust Equity – DS 093-2002 – EF, Title XI, La Chira Issue.
•Trust assets – DL 861, Title XI, Centro Empresarial San Isidro.
•Trust assets – DS 093-2002 – EF, Title XI, Concesionaria Desaladora del Sur SA.
•Trust Equity – Structured Bonds Issuance of Notes Equity Linked Notes.
•Trust Equity – DL Nº 861, Title XI – Best Structured Bonds – CLN Investment Grade.
•Trust Equity – DL Nº 861, Title XI – Securitization Trust for Investment in Real Estate
Rental – Fibra – Prime.
•Trust Equity – Structured Bonds – Equity Autocall IIQ19.
•Trust Equity – DL Nº 861, Title XI – Best – CLN Investment Grade Global.
•Trust Estate – DL Nº 861, Title XI – Arte Express.
Additionally, in 2020 three new patrimonies were constituted:
•Trust Estate DL 861, Title XI – Advance CXC Utilities

•Trust assets DL 861, Title XI – EST bonds macro-trust.
•Trust assets DL 861, Title XI – CXC 001.
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6.1.6. Subsidiary BBVA Asset Management SA SAF
2020 was a year of volatility for the international and local financial markets, both in
equity and fixed income markets, as they suffered in March one of the strongest falls in in July BBVA Renta
history due to the global health crisis caused by the appearance of the covid-19. After the Global was launched, the
market correction, the economic and stock market recovery took place in an accelerated first fund of the manager
way thanks to the international monetary and fiscal policies implemented to strengthen with the objective of
macroeconomic fundamentals and promote recovery. Economic data showed even income distribution and
better results than expected in leading indicators in areas of expansion, mainly in free availability of
developed economies. It is expected that both the reduction of confirmed cases in these capital, which achieved a
countries as a result of the confinements, as well as the development of potential raising of S/ 180 million.
vaccines.
In Peru, GDP contracted 13% in 2020, mainly due to the weakness of internal and
external demand in general, but it is projected to recover by 10% in 2021, in line with the
international economic reactivation and industrial revitalization and of local
consumption, with economic stimuli that will be maintained at least until the recovery is
consolidated. Thus, economic activity will continue to normalize in the coming quarters,
supported by spending on infrastructure maintenance and construction and, on the
supply side, the gradual deployment of phase 4 of economic reactivation. In this context,
the activity of the mutual fund industry was characterized during 2020 by the greater
placement of low-risk products, liquidity, or short-term funds.
Thus, BBVA Asset Management implemented a new investment advisory model with
great success, based on the launch of three Foes (strategic funds) that raised
approximately S/ 220 million. Likewise, in the search to improve the value offer, in July
BBVA Renta Global was launched, the first fund of the manager with the objective of
income distribution and free availability of capital, which achieved a raising of S/ 180
million.
Finally, the total equity managed by the mutual fund industry registered an increase of
29% in year-on-year terms, for a total of S/ 45,596 million at the end of 2020. It is worth
noting that BBVA Asset Management is the second mutual fund manager, with a
patrimony under the management of S/ 9,477 million and a share of 20.8%, also leading
the sector in the number of participants, with more than 152,000 investor clients.
6.1.7. Engineering
2020 will always be remembered as the year in which it was necessary to transcend and
consolidate. Not only did they have to adapt to a new reality, each one from their most
personal and intimate position, but the digital age was not alien to that context.
Engineering had to accelerate the transformation for both its internal and external
customers. In other words, it not only enabled SSCC colleagues to continue with their
functions from home (Home Office) but also made available to the public new functions
in digital channels that allowed them to operate without having to go to an office, as in the
case of the 100% digital account opening.
Also, innovation continued by finalizing the app for the commercial banking client. GloMo
is a transformative application with high levels of security, such as facial biometrics to
access and perform monetary operations, a new look & feel, and optimal processes, that
is, in a single click, which at the end of the year had 90% of migrated clients.
Apart from efficiency in everything it manages, Engineering achieved multiple savings for
the Bank: 10.5% in general expenses, 22% in fraud, and 40% less than in 2019 than
assumed by the client.
Finally, the focus was on operational excellence, both internally and externally. Thus,
Centralized Operations sought, under the slogan “Operation at your service”, to be an
extended arm of the offices; while the objective at Costumer Wellness was to maintain
the level of service to external customers at 98%, without affecting the Prime and
Private Banking segments. At the end of the period, the level of service in all channels
was 99.4%.
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Strategy & Control
The Strategy & Control area led the digital transformation by accompanying the Strategic
Route and providing development resource capacity both internally and externally. His The Strategy & Control
greatest contribution was to enable more than 700 employees to work in virtual mode. In area led the digital
a year with spending constraints, it achieved the required efficiencies and even exceeded transformation by
expectations: accompanying the
Strategic Route and
Financial providing development
resource capacity both
•Compliance Target Opex 2020: Achieve efficiency over the Opex Target of S/ 30 internally and externally.
million, after strong work with suppliers, support areas, account management, and His greatest contribution
GRF. was to enable more than
•Ensure that the “Accounting Data Improvement Project”, which involved a review of 700 employees to work
GPS accounts and concepts defined in the White Paper, is implemented by the GRF so in virtual mode.
that the accounting of expenses is homogeneous at the group level. Reaching this goal
was necessary to start the IT Metrics Automation 2021 project.
Organization
•Launch of the New Agile Organization: Launch the new Engineering organization
aligned to a holding company and consolidated after the experience in Peru, the first
geography to establish it.
Internal control
•Zero overdue recommendations (management of 29 internal, external and regulatory

audit recommendations and closing of two overdue recommendations).
Bex Transformation
•Work on improving the E2E processes of projects and consolidate the entire
refinement, execution, and support process in a single tool: JIRA 2.0.
•Laying the foundations for the digital factory, which seeks to build multidisciplinary
teams that share the objectives of the same portfolio, as well as work with autonomy
and execution capacity, through work models (physical or remote) that ensure their
cohesion and coordination.
Banking Platform
•2020 was a challenging year for Natural Persons, which from the second quarter
focused on addressing the Government's initiatives to support the population hit by
the emergency, for which it had to implement loan rescheduling, payment of CTS,
universal bond, AFP (pensions) fertilizer, perfect suspension.
•In Legal Entities, the Crecer Fund, FAE and Reactiva, State initiatives to inject working
capital into small and large companies, financing with State coverage, minimum rates,
and grace periods were worked on.
•The 24x7 CCE project was successfully implemented, which grants availability at all
hours and any day of the week for interbank transfers.
•It was a year in which special attention was devoted to the creation of PN Cards for
the mass segment, which produced the Zero cards (without charging fees or
membership), Fixed Fee (established by the client), and Deferred Payment (purchases
for up to three months). Furthermore, BBVA was the first bank in Peru to implement
dynamic CVV2, which favors safe shopping through E-commerce.
•The first flow was implemented from a single highway, for a 100% Ether Public Zone
credit card, and more than 50 reusable Multichannel/Multiproduct services were
made available.
•The challenge of the Agile organization was assumed as an opportunity for change,
by generating initiatives to focus on teams, giving them the tools so that
empowerment is done with criteria, knowledge, and attitude. Bootcamps was started,
a Core applications training project that allowed expanding capacity on the topics of
greatest demand, and work was implemented on initiatives that seek efficiencies and
improve the quality of the deliverable.
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•The Reliability Restructuring Project was started, which incorporates leadership and
transversal vision at the level of the entire system, with approved flows and
incorporation of new services, to establish a criterion of order and priority in the care
of minor evolutionary, management of Agreements of Level of Service, all with the
support of Management Solutions.
Banking Systems
Enterprise & CIB Systems
In 2020, the exchange rate fixing event (TC) was implemented for rate derivatives (IR
Swap), which allows the automatic calculation of the settlement amount after setting the
TC, thereby eliminating operational risk and reducing the operating process.
The Royal Project was launched, which proposes a new vision of bancassurance by
changing the way of working, and discoveries were implemented as a single Bank and The Royal Project was
Insurer team to redefine insurance marketing processes. launched, which
proposes a new vision of
In Digital WorkPlace three functionalities were implemented so that office managers or bancassurance by
regional managers could carry out daily, weekly or monthly follow-ups with their changing the way of
executives (individual meetings), review customer financial profitability ratios (RORC working, and discoveries
calculator), and have the account plan of the client, which allows generating opportunities were implemented as a
according to their needs (Account plan). Thus, the number of users increased by 32% single Bank and Insurer
(from 257 in 2019 to 340 in 2020) and the number of managed clients by 27% (from team to redefine
11,000 to 14,038 in the same period). insurance marketing
processes.
Akamai was implemented in Net Cash, which provides a perimeter layer of security to the
client and reduces the response time (TdR) during their navigation on the platform. The
web platform evolved to consume global services with the reuse of technological pieces
that facilitated the implementation of immediate interbank transfers, which since July
multiplied the number of operations by six and since November made them available
24x7.
Also, as part of the transformation plans of the digital platform for Companies, the pilot of
GEMA (Global Enterprise Mobile App) was launched, a mobile application aimed
exclusively at Natural Persons with Business (PNN) customers, with a unique value offer
in the market for this segment.
In the context of the health emergency, the measures dictated by the SBS that authorized
the debt rescheduling and the freezing of the days of arrears for the Portfolio, Confirming,
Leasing, and Comex applications were taken into account, which benefited customers by
allowing them to comply with obligations.
Corporate Functions
In compliance with the BCBS 239 regulation, the Data Quality controls of the FIN/GRM
processes were implemented, for the generation of the information reported to Holding
and the European regulator JST. This strategic project is aligned with Cross-Domain
DataBase Reporting for the improvement of Data Quality of the main processes of the
group, which manages to have a robust environment with global data, processes, and
tools for the presentation of FIN/GRM reports.
The provisioning and construction of the Operations Registry (RO) were concluded
according to SBS resolution No. 1743-2020, which involved the participatory work of more
than 15 crossed teams and the mapping of all monetary operations handled by the bank
to comply with the requirement. regulator. It is important to note that although BBVA has
arrived on a date with the implementation of the new instructions, the entry into force has
been postponed by the SBS at the request of the ASBANC.
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Retail Customer Systems
In the context of the pandemic, the Web and Mobile digital channels gained prevailing
relevance. In Retail Customer Systems and was up to the task to adapt to the situation
and launch services and products in record time such as Debt rescheduling, Deferred
payment, Grace period, Fixed Fee Card, Zero Card, Unnamed Cards, as well as innovative
solutions, such as the 100% digital activation flow to create an account and withdraw
funds from the AFP (pensions) through facial recognition.
In the Advisory line, PFM: My Goals and Financial Health was launched, surpassing the
commercial KPIs defined for the year.
The deployment of GloMo, which incorporated PLIN for interbank transfers with the bank
consortium, was completed.
With the integration of SalesForce Marketing Cloud (SFMC) to the Bank’s digital channels,
campaign management was completed.
Within the development of the DCC project for ATM, since 2020 foreign Visa card
customers can choose the most convenient exchange rate to carry out their operation.
Always seeking to provide greater customer security, state-of-the-art detection tools such
as Biocatch were implemented.
The customer service experience that uses Telephone Banking as the main contact
channel was radically changed, by implementing Smart IVR with intelligent and
personalized service and launching the cloud service chat in Pure Cloud.
Regarding Correspondent Agents, the optimization of the channel made it possible to

maintain it for the second consecutive year in first place in terms of income, to the point
of exceeding the projection of income from commissions of S/ 55 million with 76 million
transactions.
Data Engineering
Site Data Engineering was the first CREO case in Engineering (#creoSinergias).
Collaborative work was implemented between Data Engineering, Data Architecture, and
Data Security to develop a single site that centralizes the information of these units on
their guidelines, indicators, flows, project status, and post-production report, among
others, within the reach of the entire Bank.
Data Engineering Academy: The academy on provisioning and exploitation was

inaugurated in Datio, whose objective is to promote the development of liquid profiles and The academy on
train ambassadors for Data in Engineering. The first training workshop culminated provisioning and
successfully with the first promotion of Systems teams. exploitation was
inaugurated in Datio,
Engineering's first analytical model: The restructuring of the area brought with it the whose objective is to
creation of the advanced analytics discipline, which is a short term managed to complete promote the
the first analytical model of the area, which allows calculating the probability of preventive development of liquid
maintenance of an ATM in 15 days, visualized through a map heat by the criticality of profiles and train
maintenance, type of machine and location. It is projected that the weekly execution of ambassadors for Data in
the model will allow the largest number of ATMs to be kept operational, optimize costs Engineering. The first
and reduce the influx to the windows. training workshop
culminated successfully
End2End flow optimization of Datio projects: Since Datio was deployed, the constant with the first promotion
challenge of designing an optimal process flow for the development of Datio projects have of Systems teams.
been taken on. 2020 was a year of learning and continuous improvement of End2End,
which had its relevant point in September, when a great collaborative work between the
different participants of the flow led to various workshops in which, among other
interactions, knowledge was shared, roles and roles were shared. responsibilities and
identified gaps.
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New factory intake scheme in Datio 2021 projects: Data Engineering was prepared in
2020 to take on the challenge of establishing an industrialization process on data intakes,
working under a factory scheme, and completely outsourcing its developments. These
changes will allow it to reinvent itself in 2021 and become a digital factory that can meet
greater demand and meet the Bank’s needs.
Operations
Due to the pandemic, 2020 was a particularly atypical year for the Bank's work and for
the way employees work. The use of new digital tools made it possible to serve customers
efficiently and maintain the stability of services.
Among the main activities of Operations were:
•In March, amid the pandemic, a share sale operation was implemented for an amount
of S/ 6,987 million, the second-largest in the history of Peru, which implied In March, amid the
collaboration between the Foreign Transfers and Custody teams. Values with other pandemic, a share sale
areas of the Bank. In parallel, the Government launched the Reactiva program, which operation was
implemented a process to manage the guarantees with Cofide and resulted in the implemented for an
placement of S/ 14,968 MM to 29,759 clients, among individuals, SMEs and amount of S/ 6,987
companies, in 39,359 operations, as well as the correct physical and digital custody of million, the second-
the documents, which meant monitoring 39,206 contracts of the Reactiva en File largest in the history of
Único program. Peru, which implied
•Active support to the AFP (pensions) for the special processes for the release of collaboration between
funds, authorized by the Government for the contributors who so requested during the Foreign Transfers and
the quarantine. Custody teams. Values
•In the logistics chain of cash, it was managed that there is no lack of cash in any with other areas of the
region of the country for clients in offices and ATMs, in the midst of a situation that Bank.
limited interprovincial transfers by land and air. There was no stock break in any
province and logistics productivity was even improved by 13.29%. In turn, the
Document Management, Distribution and Logistics processes had to be rethought to
cover the demand generated by the covid-19 effect, enabling 184 additional bags to
send customer files from offices in remote locations and with access restrictions, and
thus not break the service.
•There was no overdue audit throughout 2020.
Remarkable milestones and awards
•Recognition of the VISA and MasterCard card brands for having the best approval
ratios in the market for transactions with credit and debit cards (Card Present + Card
Not Present), maintaining the category of Best in Class in Peru and Latam.
•Obtaining recognition for the first Being Agile team of Engineering Peru and the
second most valued team in the Internal Irene.
•The first catalog was made with 531 Operations-Peru services, as well as the
identification of transformational projects to be implemented in TMP 2021.
Corporate Security
Business continuity
Once the emergency was declared due to the pandemic, the crisis committees in the
organization were activated and a coordinated plan of action was established. The
security teams actively collaborated and generated solutions so that the BBVA Peru
organization could continue its operations safely in the remote work mode.
Cybersecurity
In this context, BBVA Peru did not suffer any incidents during 2020, it consolidated itself
as the safest bank in the country –according to Bitsight reports– and reduced
vulnerabilities by 60%.
To support and continue with the work of being the number 1 bank in cybersecurity, the
ISO 27001 Cybersecurity certification and ISO 22301 on business continuity were
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renewed, making it once again the only Peruvian bank to obtain them and makes a
difference to the time of the banking choice of international corporate clients.
On the sidelines, Awareness campaigns occur in the media to continue helping our clients
make good security decisions.
Physical security
The Physical Security team got the Bank's offices to lead the opening, concerning the
competition, during the context of the mobilizations for the vacancy. By implementing an
observation-based risk methodology, there were no human incidents to regret, just a
minor incident at crystals.
During the course, intelligence and active monitoring area were implemented to quickly
identify critical points in the country and keep the direction of events and the general
context updated.
Anti-fraud
It is important to note the transformation in the understanding of fraud in BBVA Peru,

going from being a number that impacts the income statement to be an element to
monitor, whose prevention is key for the digital adoption of the client and an improvement
in the index of net recommendation.
Thanks to investments in the prevention of this crime, it was possible to reduce fraud
assumed by clients by 40% (from S/ 22 million to S/ 13 million) and fraud per active It was possible to reduce
client from 11 to 9.5 soles/client. fraud assumed by clients
by 40% (from S/ 22
The key to the success of these figures was to reduce fraud in digital channels by 20% million to S/ 13 million)
and internal fraud by 98%. Also, the prevention of external fraud was reinforced with the and fraud per active
deployment in all offices of advanced fingerprint biometric systems. client from 11 to 9.5
soles/client.
Infrastructure & IT Ops
2020 was an atypical year due to the pandemic, with a cut budget (“war economy”) and
delays in the distribution of infrastructure by suppliers, limited by the mobility conditions
of the State. However, what was proposed in the IT 2020 route was achieved and the
unforeseen needs that arose as a result of the contingency were responded to.
In the Hygienic Projects line of work, which consists of improving the user experience and
their work environment, the following were implemented:
1) Technological renovation in Offices and Headquarters.

2) Vegetative growth in Offices and Headquarters.
3) Technical optimization of processing in CPD MX.
4) COVID Infrastructure.
In the stable critical services line of work, which consists of keeping the capacities
available to operate in data centers, the following were implemented:
1) Technological Renovation in Local CPD.

2) Stabilization of critical services.
Main achievements in 2020:
Stable critical services: Availability of critical services greater than 99.4% average and
Implementation of availability measurement in the ACS model for three local applications:
Single File (FU), Instant Multi-offers (MOI) and Simple Contracting.
Technological renovation: Annual infrastructure renewal to meet the Hw and Sw

obsolescence KPI, with a reduction from 54.9% to 18.5%.
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Vegetative growth: Enabling the infrastructure for a second Call Center supplier to cope
with the new volume, technical optimization of the GloMo mobile application,
improvement in the infrastructure for response time in Monitor Plus and migration of
Telefónica's Alternate Center to GTD.
Work at home (covid infrastructure): Implementation of the necessary infrastructure for

remote work in local CPD (Pulse Secure and System Center in DMZ); allocation of 413
teams for Headquarters and offices (approximately 100 teams for Solution Plan) and
technical support and monitoring of teams of employees in work-at-home mode, with an
average of connections per day, for December 2020, of 1,400 in Home Office, 250 in
Gateway Teleworking (Local VDI) and 260 in Remote Desktop (AppStream).
Nucleos global project – Global centralized inventory with local information:

According to the globally defined design of the services, it relates in the local
infrastructure the infrastructure configuration elements (CI) and the application units
(UUAA), to strengthen the administration of the Infrastructure & IT Operation services
for, for example, having the ability to measure and manage the obsolescence of Hw and
Sw.
Implementation of the event process: Life cycle management of all identified IT events
(incidents, problems, requests, queries and optimizations), intending to provide: a) a
standard work process to all Engineering teams, b) a support process that allows the user
to register and timely follow-up of the reported incidents (E2E of the process), c) a control
base for monitoring and continuous improvement of the process and d) a standard flow
of communication and follow-up that allows all those involved to know, of timely manner,
the status of reported incidents.
Security: Compliance with the local KPI of vulnerabilities; application of corrections on

the infrastructure; KPI reduction from 238 to 75 vulnerabilities per asset, with the
application of the Windows 10 operating system upgrade and installation of the security
agent (Qualys) in ATMs. Likewise, the entire ATM network was upgraded to Checker 6.0
(1,949) and the BRS Local plan technical test (11 services at 100%).
Architecture
In 2020, BBVA Peru’s technological transformation process was consolidated and

deepened. Through the interception of the flow of projects by the solution architects, 55% Given the health
of them were executed on the Ether platform. emergency caused by
covid-19, the Virtual
Given the health emergency caused by covid-19, the Virtual Desktop solution was Desktop solution was
provided in Amazon-AppStream, which managed to cover 1,400 executives in provided in Amazon-
simultaneous work on the platform, with access to critical tools necessary for remote AppStream, which
customer service. managed to cover 1,400
executives in
About 10% of host transactions were migrated to low-cost Ether transactions and, in simultaneous work on
terms of data transformation, the Unica campaign solution was shut down and migrated the platform, with access
to Datio. to critical tools
necessary for remote
Facial biometrics was implemented –in record time– for the affiliation of clients in Mobile customer service.
Banking, as part of the onboarding process for the return of funds from the AFP
(pensions), to ensure the health of clients during a pandemic.
Likewise, self-service was implemented in the IVR of the Contact Center, which allows the
customer to carry out operations directly such as, among others, blocking and activating
cards and checking balances, movements or debts without requiring an agent. Likewise,
recurrent tasks, which do not add value, were automated through advanced robotics.
120
RCS Engineering
In 2020, the two-layer model for risk management was consolidated, when the
Engineering Risks unit was created as a second line of defense, with a transversal scope In 2020, the two-layer
in charge of the risks of Technology, Information and Data and Physical Security. model for risk
management was
The focus was on the deployment of control frameworks that aim to mitigate priority risks consolidated, when the
within Engineering processes, such as Change Management, Incident Management, Engineering Risks unit
Protection of Sensitive Data and Vulnerability Management, among others. was created as a second
line of defense, with a
Along these lines, three stages were followed: a) Engineering risk analysis of all new transversal scope in
initiatives and projects from their conception, b) challenge the mitigation actions charge of the risks of
proposed by the front-line units, and c) follow-up until their implementation. Lastly, the Technology, Information
Engineering Risk indicators (Management Limits) were monitored to ensure that they and Data and Physical
were within the risk appetite thresholds defined by the Group. Security.
6.2. Management report

Evolution of the Peruvian banking system
Main figures In millions of soles
D Yearly (Dec-20/Dec-19)
Dec-19 Dec-20 Absolute %
Statement of financial position

Total assets 414,175 515,698 101,523 24.5%
Net loans 272,685 303,527 30,842 11.3%
Provision for direct loans (13,140) (22,009) (8,869) 67.5%
Total liabilities 361,535 461,883 100,348 27.8%
Obligations to the public 261,204 327,985 66,780 25.6%
Net worth 52,641 53,815 1,175 2.2%
Income statement
Gross financial margin 20,944 20,227 (718) –3.4%
Administrative expenses (11,291) (10,810) 481 –4.3%
Profit before income tax 12,039 2,620 (9,420) –78.2%
Net profit 9,082 2,116 (6,966) –76.7%
Main ratios
Dec-19 Dec-20 D Yearly (Dec-20/Dec-19)
Asset quality
NPL ratio 3.02% 3.80% 78 pbs
Coverage ratio 152.14% 177.68% 2,554 pbs
ROE 18.34% 3.96% (1,438) pbs
ROA 2.25% 0.44% (181) pbs
Efficiency ratio 41.11% 43.40% 229 pbs
Solvency
Global capital ratio 14.57% 15.44% 87 pbs
Source: SBS/ASBANC.
121
At the end of November, the total assets of the banking system reached S/ 515,698
million, with a growth of 24.5% compared to 2019. This as a consequence of the strong Regarding administrative
increase in investments, net loans and available loans of S/ 34,646 million (45.6%), S/ expenses, a decrease of
33,765 million (74.2%) and S/ 30,842 million (11.3%), respectively. S/ 481 million (–4.3%)
was observed due to
The favorable evolution of investments and cash flow was the result of the various savings in personnel
monetary stimuli given by the BCRP, which generated excess liquidity. On the other expenses of S/ 386
hand, loans grew due to the higher placements granted under the Reactiva program in million (–6.5%) and
the financial system, for S/ 51 billion, at an average rate of 1.4%. According to the BCRP, services received from
the program benefited more than 502 thousand companies, 98% of them micro and third parties for S/ 74
small companies. Thus, credit to the private sector grew 22.3% year-on-year in million (–1.5%), which
November, one of the highest rates internationally. generated a net profit of
S/ 2,116 million, with a
Following the above, loans to companies in the banking system increased due to the reduction of S/ 6,966
segments of medium-sized companies, large companies, small companies and micro- million (–76.7%).
companies; On the other hand, credit cards and consumer loans from individuals
decreased due to lower commercial activity, which exceeded the increase in mortgages.
Regarding the quality of the portfolio, there was an increase of 78 bps in the NPL ratio,
attributed to the higher growth of the delinquent portfolio (43.4%) compared to that of
the gross portfolio (14.0%). Meanwhile, the coverage ratio increased by 26 pp due to
the higher level of provisions (67.5%), related to the higher voluntary and specific
provisions concentrated in the second and third quarters of the year, as prudential
measures against possible deterioration.
Total liabilities reached S/ 461,883 million, an increase of 27.8% over the previous year,
due to higher deposits with the public of S/ 66,780 million (25.6%) and accounts
payable of S/ 40,959 million. In the case of deposits, growth is explained by the greater
capture of transactional resources from companies due to the permanence of
Reactiva's flows, which remained in customer or supplier accounts.
Likewise, more demand deposits + savings in individuals were obtained, favored by the
release of 25% of the deposits of the AFP (pensions), in April, and the following, by up
to 4 UIT, starting in November, to which was added the delivery of bonds by the State.
Consequently, demand resources increased by S/ 36,616 million and savings by
S/ 36,471 million. On the other hand, accounts payable increased, mainly due to the
BCRP's Reactiva disbursements.
Regarding the results, the gross financial margin reached S/ 20,227 million, a reduction
of S/ 718 million (–3.4%) generated by lower income from loans of S/ 1,836 million
(–6.9%) and the S/ 635 million lower yield than available (–76.8%) due to the context
of rates close to zero. On the other hand, provisions for direct loans grew by S/ 6,578
million, thanks to the greater constitution of specific and voluntary provisions to face
portfolio impairments due to economic uncertainty and rescheduling provided to
clients.
Regarding administrative expenses, a decrease of S/ 481 million (–4.3%) was observed

due to savings in personnel expenses of S/ 386 million (–6.5%) and services received
from third parties for S/ 74 million (–1.5%), which generated a net profit of S/ 2,116
million, with a reduction of S/ 6,966 million (–76.7%). Due to this, profitability indicators
were negatively affected: ROE stood at 3.96%, with a reduction of 14 pp, while ROA
stood at 0.44%, with a decrease of 181 bps.
122
BBVA
Highlights
Statement of financial position

Total assets 81,722 107,384 25,662 31.4%
Net loans 56,209 66,447 10,238 18.2%
Net worth 9,188 9,376 188 2.0%
Main ratios
Asset quality
NPL ratio 3.02% 3.22% 20 pbs
Coverage ratio 161.84% 192.88% 3,104 pbs
ROE 18.78% 7.04% (1,174) pbs
ROA 2.00% 0.68% (132) pbs
Efficiency ratio 37.71% 40.42% 271 pbs
Solvency
Global capital ratio 14.05% 13.68% (36) pbs
Tier 1 ratio 10.96% 10.77% (19) pbs
Income statement
Gross financial margin 3,373 3,204 –5.00%
Provision for direct loans (750) (1,724) 129.79%
Net income from financial services 787 777 –1.31%
Result from financial operations (ROF) 727 687 –5.48%
Operational expenses (1,817) (1,871) 2.98%
Profit before income tax 2,222 879 –60.42%
Net profit 1,610 655 –59.31%
BBVA Peru’s gross financial margin decreased 5.0% in 2020, despite the 11.5%
contraction of GDP and the context of rates close to zero. Net income, however, showed a
greater contraction due to the high level of voluntary and specific provisions to anticipate
the possible deterioration of the portfolio caused by the crisis.
Net loans reached S/ 66,447 million, with a year-on-year growth of 18.2%. In companies,
the increase was associated with loans granted under Reactiva Perú, which at the end of
the year amounted to S/ 15 billion. In particular, an increase generated by consumer loans
and mortgages was observed, in an environment of normalization of commercial activity.
Obligations with the public and BCRP funds remained the main source of liquidity.
Deposits grew by 29.6%, due to the higher resources Vista (61.8%) and Ahorro (43.3%),
given the permanence of Reactiva flows in the accounts, the approval of the withdrawal of
25% from the AFP (pensions) in April and the withdrawal of up to 4 IUTs in November, the
distribution of government bonds and flows from corporate clients.
123
Regarding digital developments for companies, in 2020 BBVA strengthened the value
offered to accompany its clients in the process of adapting to new forms of payment,
collection and operation. For this purpose, it developed an agile hiring process at BBVA
Net Cash that tripled the affiliations of new clients without having to go to an office,
thereby helping the Bank to maintain the chain of payments to suppliers and employees.
In the last quarter, the new modality of immediate interbank transfers and interbank
transfers (24x7) was launched.
In Individuals, the acquisition of products continued to be promoted through the use of

digital channels, since 42% of savings accounts and mutual funds are opened via the app
or the web. On the other hand, it should be noted that in 2020 66.7% of exchange rate
operations were implemented by BBVA T-Cambio, 19pp higher than the previous year.
Asset Management
Assets In millions of soles
Available 14,797 24,930 10,132 68.5%

Interbank funds 150 138 (13) –8.4%
Investments at fair value through
profit or loss 2,669 4,679 2,010 75.3%
Investments available for sale 3,913 6,692 2,779 71.0%
Investments hold to maturity — — — —
Net loan portfolio 56,209 66,447 10,238 18.2%
Property, plant and equipment (PPE) 988 1,013 25 2.5%
Others assets 2,995 3,486 491 16.4%
Total assets 81,722 107,384 25,662 31.4%
Variation
In the year-on-year comparison, total assets showed a significant increase of 31.4%, due
to the evolution of loans (18.2%), available (68.5%) and investments.
The variation in favor of loans was mainly driven by the Companies segment (29.0%),
where Reactiva helped to offset the lower turnover of foreign trade products and loans.
To this was added the favorable evolution of Individuals (1.5%), which despite the
contraction of private consumption during the second quarter, showed a marked
recovery in the last part of the year.
Regarding cash, the higher balances are explained as a consequence of excess liquidity
from Reactiva flows, the release of the AFP (pensions), the delivery of bonds by the
Government and flows from corporate clients; In this sense, part of these surpluses was
left in the BCRP’s Vista accounts in national currency and foreign financial institutions.
On the other hand, the increase in investments was the result of higher DPV investments
due to the purchase of foreign papers, sovereign bonds and CDs, while the positive
evolution of investments at fair value is explained by the increase in the portfolio fixed
income. Both actions were taken to capitalize on the strong increase in liquidity
surpluses.
124
Placements
Detail of loans In millions of soles
Current loans 56,119 66,843 10,724 19.1%

Overdue loans 1,744 2,225 481 27.6%
Refinanced and restructured loans 1,219 1,743 523 42.9%
Gross loan portfolio 59,082 70,811 11,729 19.9%
Provision (2,873) (4,364) (1,491) 51.9%
Net loan portfolio 56,209 66,447 10,238 18.2%
Regarding the interannual variation, net loans grew 18.2%, thanks to the collations in
Companies (29.0%), where the higher loans in the segments of medium-sized companies
stand out in S/ 8.424 million, large companies in S/ 2,752 million, small companies in
S/ 1,670 million and micro companies in S/ 65 million, undoubtedly due to the loans
granted by Reactiva during 2020.
In Individuals, an increase was obtained (1.5%), explained by higher consumer loans and
mortgages. The first, generated by the growth that occurred before the social restrictions
caused by the pandemic and the various commercial actions to retain and attract
customers; the second, due to the impact of the balances obtained before the pandemic,
added to the increase in credits due to the reopening of notaries and the construction
sector after the release of social restrictions.
Asset structure evolution
4.9% 4.2%
61.9%
68.8%
n Rest of assets
10.6%
n Loan portfolio
8.1%
n Investments
n Available and 23.3%
18.3%
interbank funds
Dec-19 Dec-20
Regarding the mix of assets, a change is observed in 2020, explained by the increase in
the weight of available funds caused by excess liquidity, in line with what is observed in
the banking system. The excess was caused by the permanence of the balances of
Reactiva's disbursements, the withdrawal of the AFP (pensions), the delivery of
government bonds and greater funds from corporate clients, which in turn drove the
increase in the peso of Investments, to make profitable said surpluses. Conversely, there
was a decrease in the weight of loans in the asset composition that impacted ROA.
125
Asset quality
Default ratio
3.80%
3.22%
3.02%
2.95%
3.02%
2.94%
Dic-2018 Dic-2019 Dic-2020
BBVAPerú
BBVA Peru Banking
Sistema system
bancario
At the end of the year, BBVA recorded a stable NPL ratio of 3.22%, with an increase of 20
bps year-on-year that, however, was below the system. The variation was originated from
the growth of overdue loans, mainly caused by Business Banking, Cards and Consumer
Affairs, behavior that was also appreciated in the system.
Coverage ratio
192.88%
177.68%
163.35% 161.84%
153.58% 152.14%
Dic-2018 Dic-2019 Dic-2020
BBVAPerú
BBVA Peru Banking
Sistema system
bancario
Regarding the coverage ratio, an increase of 31pp was observed compared to the
previous year, closing at 193.00% and thus being above the system. The growth is
based on the higher provisions on the arrears portfolio, due to the strong growth of the
stock of volunteers and specific during 2020 to face possible deterioration of the
portfolio due to the downturn of the economy in the second quarter and the
rescheduling granted.
Liability management
Liabilities and equity In millions of soles

Financial system deposits 1,560 1,493 (67) –4.3%
Interbank funds 150 72 (78) –51.7%
Debts and financial obligations 9,590 7,030 (2,560) –26.7%
Other liabilities 6,574 18,600 12,025 182.9%
Equity 9,188 9,376 188 2.0%
Total liabilities and equity 81,722 107,384 25,662 31.4%
126
Variation
In 2020, total liabilities also showed significant growth –S/ 25,474 million, which
represents 35.1% compared to 2019–, mainly associated with the strong increase in
deposits in Companies and Individuals. Similarly, an increase was observed in the Other
Liabilities item due to higher balances in accounts payable, with a variation in favor of
S/ 11,817 million, mostly in local currency due to the Reactiva fund and the net of
maturities of operations of currency and securities.
This counteracts the reduction in debt and financial obligations (–26.7%), concentrated
in the last quarter due to the execution of the call option of the Subordinated Tier 1 Loans
of $ 200 million. Also, an international loan for $ 350 million, local bonds for S/ 508
million, and a CDN for S/ 150 million were allowed to mature.
Deposits
Detalle de depósitos En millones de soles
Demand deposits 18,404 29,779 11,374 61.8%

Savings deposits 17,239 24,712 7,473 43.3%
Time deposits 18,913 16,247 (2,666) –14.1%
Other obligations 104 75 (29) –27.7%
Financial system deposits 1,560 1,493 (67) –4.3%
Total deposits 56,220 72,306 16,086 28.6%
In 2020, total deposits presented a variation in favor of S/ 16,086 million generated by the
higher transactional resources of Companies and Individuals, contrary to the decrease in
terms in both segments.
Regarding the growth of Vista y Ahorro, this was favored by the release of the AFP
(pensions), the permanence of Reactiva balances, corporate deposits, the delivery of
government subsidies and the payment of bonuses, as well as by the campaigns
implemented to encourage the capture and retention of balances in each segment. On
the contrary, deposits in the financial system decreased by 4.3%, due to lower term
resources (–22.8%), given the excess liquidity of the system and the unattractive rates in
the context of interest rates close to zero.
Evolution of liability structure
9.1% 1.41%
15.23%
13.2%
2.3%
0.2% 7.2%
0.1%
n Repos
n Reactiva
n Rest of liabilities 77.5% 73.8%
n Debts and
obligations
n Interbank funds
n Total deposits
Dec-19 Dec-20
127
In the expired period, the composition of liabilities changed due to the increase in the
weight of accounts payable, in turn as a result of the taking of balances in the BCRP
auction for Reactiva. Thus, the weight of deposits and debt decreased, the latter affected
by the various wholesale maturities in the last quarter.
Income statement
Income statement In millions of soles
Interest income 4,746 4,254 (492) —10.4%

Interest financial expenses (1,373) (1,049) 323 —23.6%
Gross financial margin 3,373 3,204 (169) —5.0%
Provision for direct loans (750) (1,724) (974) 129.8%
Net financial margin 2,623 1,481 (1,142) —43.6%
Income from financial services 1,176 1,111 (66) —5.6%
Financial services expenses (389) (334) 55 —14.2%
Net financial margin of income and expense
for financial services 3,410 2,257 (1,153) —33.8%
Result from financial operations (ROF) 727 687 (40) —5.5%
Operating margin 4,137 2,945 (1,192) —28.8%
Administrative expenses (1,650) (1,677) (27) 1.7%
Depreciation and amortization (167) (194) (27) 16.1%
Net operating margin 2,320 1,074 (1,247) —53.7%
Valuation of assets and provision (115) (169) (55) 47.6%
Operating result 2,206 904 (1,301) —59.0%
Other income and expenses 16 (25) (41) —251.1%
Profits before taxes 2,222 879 (1,343) —60.4%
Income tax (612) (224) 388 —63.4%
Net profit 1,610 655 (955) —59.3%
In 2020, interest income decreased by 10.4% due to lower earnings from loans (S/ –346
million), available loans (S/ –110 million) and investments (S/ –64 million). The lower
generation of income from loans is associated with the low market rates that impacted the
new production, the rescheduling without interest between April and June and the lower
collection of refinanced and overdue loans; The profitability of cash, for its part, was
impacted by the fall in rates of the FED, while the lower interest on investments is
explained in the repricing of the portfolio of securities concentrated in the short term at
rates close to zero.
On the other hand, there was a significant reduction in financial expenses (–23.6%) as a
result of lower rates paid on deposits from the public (S/ –246 million) and the financial
system (S/ –33 million), savings in operations coverage (S/ –37 million) in foreign
currency due to debt with IRS and lower expenses in debt (S/ –24 million) due to the call
execution of Tier 1 subordinated loan; also, local bonds, a senior loan and CDN were
allowed to mature. As a result, the gross margin decreased by S/ 169 million (–5.0%).
Provisions for direct loans increased by S/ 974 million compared to the previous year,
mainly due to the constitution of voluntary provisions that amounted to S/ 529 million and
whose purpose was to anticipate the possible deterioration of the portfolio.
Income from financial services decreased by S/ 66 million in the miscellaneous income

item (S/ –69 million), due to the lower use of credit and debit cards as a result of low
dynamism due to mandatory social quarantine and operational restrictions of shops,
arranged by the Government in the second quarter of 2020. Also, a decrease in Comex
was obtained due to the fall in operations with China and the US as well as the lower
number of transfers abroad.
The aforementioned counteracts the increase in insurance and other associated

commissions for real estate, leasing and vehicle operations. Regarding spending, a
128
reduction of S/ 55 million was observed for payments to Visa and Mastercard and the
Points and Miles program, as a consequence of the lower activity in cards. Provisions for direct
loans increased by S/
Regarding the results from financial operations (ROF), these decreased by S/ 40 million, 974 million compared to
mainly due to investments at fair value (S/ –17 million) and DPV (S/ –10 million). The the previous year, mainly
variation in the former was due to the lower valuation of the sovereign bond portfolio, while due to the constitution of
the low results in the latter were due to lower portfolio sales compared to 2019 when there voluntary provisions that
were operations of the Government of Liability Management. Both factors offset the amounted to S/ 529
increase in exchange rate operations (S/ 19 million), in which the growth of digital million and whose
channels stood out. purpose was to
anticipate the possible
On the other hand, the results for non-ordinary income decreased by S/ 1 million due to deterioration of the
the reduction of earnings in Niubiz, BBVA Consumer Finance-Edpyme and IRCSA. portfolio.
Administration expenses increased by S/ 27 million due to a series of expenses originated

by the pandemic, such as purchases of protection elements against covid-19 for
employees and clients, adjustments for remote work and higher cleaning expenses in
Offices. This was partially offset by the saving measures in personnel –associated
fundamentally with the lower variable remuneration– and in third-party expenses due to
contract renegotiations.
The reduction in indirect provisions of S/ 3 million in 2020 was because in 2019 voluntary
provisions were made for letters of guarantee for an amount of S/ 18.6 million.
Finally, profit before tax was reduced by 60.4%, impacted by the increase in provisions,
lower financial income and commissions. The implicit tax rate went from 27.6% to 25.5%,
which gives a net profit of S/ 955 million, a reduction of 59.3%.
Return on equity – ROE

Return on Assets – ROA
18.98% 18.78%
1.97% 2.00%
7.04%
0.68%
Dec-2018
Dic-2018 Dec-2019
Dic-2019 Dec-2020
Dic-2020
ROE ROA
At the end of 2020, BBVA presented a ROA of 0.68% and an ROE of 7.04%, with
reductions of 132bps and 12pp year-on-year, respectively. The contraction is explained by
the reduction in results due to the higher level of provisions and the lower generation of
income, impacted by the context of interest rates close to zero and interest-free
rescheduling.
129
Solvency and regulatory capital
Solvency and regulatory capital In millions of soles
Dec-20 vs. Dec-19

Regulatory capital 10,776 10,649 (127) –1.2%

(i) Basic capital (Level 1) 8,409 8,383 (26) –0.3%
(ii) Complementary capital (Level 2) 2,367 2,266 (101) –4.3%
Capital 5,885 6,529 644 10.9%
Bookings 1,831 1,897 66 3.6%
Results with capitalization agreement 408 142 (266) –65.2%
Provision 881 892 11 1.3%
Tier 1 subordinated debt 464 — (464) –100.0%
Tier 2 subordinated debt 1,660 1,559 (100) –6.0%
Detractions and Goodwill –353 –370 (18) 5.0%
Risk-weighted assets 76,706 77,820 1,114 1.5%
(i) Assets weighted by loan risk 70,382 71,155 773.1 1.1%
(ii) Assets weighted by market risk 1,305 1,249 (56) –4.3%
(iii) Assets weighted by operational risk 5,019 5,416 397 7.9%
Common Equity Ratio 10.36% 10.77%
Tier 1 Ratio 10.96% 10.77%
Minimum legal ratio adjusted to risk profile 12.09% 11.65%
Global capital ratio 14.05% 13.68%
Regulatory capital amounted to S/ 10,649 million, a decrease of 1.2% compared to 2019,

due to the lower complementary capital (–4.3%), due to the lower subordinated debt. BBVA Peru maintains the
Also, in 2020 the basic capital reached S/ 8,383 million, a variation of –0.3% compared objective of continuing
to the previous year, explained by the lower subordinated debt that was computed as to strengthen the
part of Tier 1 after the call of a bond for $ 200 million in the last trimester. The latter solvency level, in such a
exceeded the capitalization of 40% of 2019 profits, the increase in legal reserves and the way that it allows it to
commitment made for 2020 profits of S/ 142 million. comfortably cover the
capital requirements that
On the other hand, risk-weighted assets (APR) increased by 1.5% compared to 2019, its are being implemented
main component being the growth of credit APRs, which represented 91.4% of total as part of the adaptation
APRs. The growth in credit APRs is due to the greater exposure and the change in the of local regulations to
regulation of intangible assets (S/ 779 million), higher deferred income tax assets (S/ international standards.
348 million) and the acquisition of portfolio (S/ 192 million). Added to this was the
increase in available assets, which caused an increase of S/ 512 million within other
assets.
Meanwhile, market APRs decreased by 4.3% compared to 2019, mainly due to a

reduction in foreign exchange risk in scenarios with increased risk and greater volatility,
such as that observed during 2020, while operational APRs grew 7.9% in 2020 to the
natural growth of the business, as reflected in the financial statements, mainly in the
Commercial Banking and Retail Banking lines.
In this way, the Bank registered a Global Capital Ratio of 13.68%, above the global limit
adjusted to the risk profile of the institution, established at 11.65%. Likewise, CET1 stood
at 10.77%, even above the level recommended by the regulator in the expansionary
phase of the cycle (9.5%), like Tier 1. It is important to note that BBVA Peru maintains
the objective of continuing to strengthen the solvency level, in such a way that it allows it
to comfortably cover the capital requirements that are being implemented as part of the
adaptation of local regulations to international standards.
130
Effective equity, risk-weighted assets and capital ratios In millions of soles and percentage
76,706
77,820
10,776 10,649 14.05% 13.68%
2,367 2,266 3.09% 2.91%
8,383 10.77%
8,409 10.96%
Dic-2019 Dic-2020 Dic-2019 Dic-2020

TIER 1 TIER 2 APR TIER 1 TIER 2
Annexes
Risk classification
By December 2020, BBVA Peru held the investment-grade granted by prestigious

international agencies.
International risk classification
Instrument Fitch Ratings Standard & Poor’s
Long-term issuance in M. E. BBB+ BBB+

Short-term issuance in M. E. F2 A–2
Long-term issuance in M. N. BBB+ BBB+
Short-term issuance in M. N. F2 A–2
Perspective Negative Stable2
Ratings valid as of December 2020. Source: www.fitchratings.com / www.standardandpoors.com
International risk classification
Instrument Moody’s
Long-term deposits Baa1

Short-term deposits Prime 2
Perspective Stable
It should be noted that on July 16, 2020, Standard & Poor's ratified BBVA Peru's rating at
BBB + and changed the outlook from stable to negative, as credit losses in Peru are
expected to be higher than expected, which could adversely affect the profitability and
capitalization of banks. Additionally, BBVA Peru is subject to a credit rating by the local
rating agencies: Apoyo & Asociados Internacionales, Moody's Local and Pacific Credit
Rating.
Local risk classification
Instrument Apoyo & Asociados Moody’s Pacific Credit Rating
Deposits for <1 year CP – 1 + (pe) ML 1 + pe Categoría I

PE
Deposits for > 1 year AAA (pe) AAA.pe PEAAA
Corporate bonds AAA (pe) AAA.pe PEAAA
Subordinated bonds AA+ (pe) AA+.pe PEAA+
Finance lease bonds AAA (pe) AAA.pe PEAAA
Common asset 1a (pe) 1ª Clase.pe PEN1
Entity’s rating A+ A+ PEA+
Negotiable certificates of deposit CP – 1 + (pe) ML 1+.pe PE1+
Ratings valid as of December 2020. Source: www.aai.com.pe / www.equilibrium.com.pe / www.ratingspcr.com
131
6.3. Separate audited financial statements
132
Banco BBVA Perú
Separate Financial Statements
As of December 31, 2020 and 2019
(including Independent Auditors' Report)
(TRANSLATION OF FINANCIAL STATEMENTS
ORIGINALLY ISSUED IN SPANISH)
133
(TRANSLATION OF A REPORT ORIGINALLY ISSUED IN SPANISH)
INDEPENDENT AUDITORS' REPORT

To the Shareholders and Directors of
Banco BBVA Perú
We have audited the accompanying separate financial statements of Banco BBVA Perú (a subsidiary
of BBVA Perú Holdings S.A.C., incorporated in Peru), which comprise the separate statement of
financial position as of December 31, 2020 and 2019, and the separate statements of profit or loss,
profit or loss and other comprehensive income, changes in equity and cash flows for the years then
ended, and notes, comprising a summary of significant accounting policies and other explanatory
information.
Management's Responsibility for the Separate Financial Statements
Management is responsible for the preparation and fair presentation of these separate financial
statements in accordance with the accounting standards established for financial institutions in Peru
by the Banking, Insurance and Pension Plan Agency (Superintendencia de Banca, Seguros y
Administradoras Privadas de Fondos de Pensiones – SBS) for financial institutions in Peru, and for
such internal control as management determines is necessary to enable the preparation of separate
financial statements that are free from material misstatement, whether due to fraud or error.
Auditors' Responsibility
Our responsibility is to express an opinion on these separate financial statements based on our
audit. We conducted our audit in accordance with the International Standards on Auditing approved
for their application in Peru by the Dean's Council of the Peruvian Professional Associations of Public
Accountants. Those standards require that we comply with ethical requirements and plan and
perform the audit to obtain reasonable assurance about whether the separate financial statements
are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures
in the separate financial statements. The procedures selected depend on our judgment, including
the assessment of the risks of material misstatement of the separate financial statements, whether
due to fraud or error. In making those risk assessments, we consider internal control relevant to the
Bank's preparation and fair presentation of the separate financial statements in order to design audit
procedures that are appropriate in the circumstances, but not for the purpose of expressing an
opinion on the effectiveness of the Bank's internal control. An audit also includes evaluating the
appropriateness of accounting policies used and the reasonableness of accounting estimates made
by management, as well as evaluating the overall presentation of the separate financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our opinion.
134
Opinion
In our opinion, the separate financial statements referred to above, present fairly, in all material
respects, the non-consolidated financial position of Banco BBVA Perú as of December 31, 2020 and
2019, and their non-consolidated financial performance and their non-consolidated cash flows for the
years then ended, in accordance with accounting standards established for financial institutions in
Peru by the SBS.
Other Matters
The consolidated financial statements as of December 31, 2020 and 2019 of Banco BBVA Perú and
its subsidiaries have been prepared and presented separately; and in our report, dated February 23,
2021, we expressed an unqualified opinion on those financial statements. The separate financial
statements have been prepared in compliance with existing Peruvian requirements for financial
statement presentation, and reflect the carrying amount of an investment in a subsidiary using the
equity method.
Lima, Peru
February 23, 2021
Countersigned by:
____________________________
Eduardo Alejos (Partner)
Peruvian CPA Registration 01-29180
135
Banco BBVA Perú

Contents Page
Separate Statement of Financial Position 137
Separate Statement of Income 138
Separate Statement of Income and Other Comprehensive Income 139
Separate Statement of Changes in Equity 140
Separate Statement of Cash Flows 141
Notes to the Separate Financial Statements 142-231
136
(Translation of Financial Statements originally issued in Spanish)
Banco BBVA Perú

Separate Statement of Financial Position
In thousands of soles Note 2020 2019 In thousands of soles Note 2020 2019
Assets Liabilities
Cash and due from banks 5 24,929,883 14,797,386 Obligations to the public and deposits from
Interbank funds 137,599 150,137 financial system entities 12 72,305,600 56,219,883
Investments at fair value through profit or loss Interbank funds 72,421 150,015
and available-for-sale 6 11,371,092 6,582,487 Borrowings and financial obligations 13 7,030,231 9,590,022
Loan portfolio, net 7 66,446,955 56,209,207 Trading derivatives 8 876,395 490,934
Trading derivatives 8 898,595 567,686 Hedging derivatives 8 14,633 19,777
Hedging derivatives 8 103,354 4,611 Accounts payable, provisions and other
Realizable assets and assets seized and liabilities 14 17,708,760 6,063,630
recovered through legal actions 34,296 68,609 Total liabilities 98,008,040 72,534,261
Subsidiaries and associates 9 372,137 365,299
Property, furniture and equipment, net 10 1,012,968 987,810 Equity 15
Deferred income tax 24 673,980 434,322 Share capital 6,529,169 5,885,209
Other assets, net 11 1,403,250 1,554,467 Reserves 1,831,131 1,669,835
Adjustments to equity 119,148 22,816
Retained earnings 896,621 1,609,900
Total equity 9,376,069 9,187,760
Total assets 107,384,109 81,722,021 Total liabilities and equity 107,384,109 81,722,021
Risks and contingent commitments 16 34,118,738 30,035,042 Risks and contingent commitments 16 34,118,738 30,035,042
The accompanying notes on pages 6 to 95 are an integral part of these separate financial statements.
137
Banco BBVA Perú

Separate Statement of Income
For the years ended December 31, 2020 and 2019
In thousands of soles Note 2020 2019

Interest income 17 4,253,579 4,745,777
Interest expense 18 (1,049,264) (1,372,663)
Gross financial income 3,204,315 3,373,114
Provision for direct loans, net of recovery 7 (1,723,646) (750,090)
Net financial income 1,480,669 2,623,024
Income from financial services, net 19 776,808 787,112
Financial income net of income and expenses for
2,257,477 3,410,136
financial services
Profit or loss from financial operations 20 687,338 727,163
Operating margin 2,944,815 4,137,299
Administrative expenses 21 (1,677,491) (1,650,069)
Depreciation and amortization (193,654) (166,843)
Net operating margin 1,073,670 2,320,387
Valuation of assets and provisions (169,297) (114,710)
Net operating profit or loss 904,373 2,205,677
Other expenses and income, net 22 (24,881) 16,469
Profit or loss before tax 879,492 2,222,146
Income tax 23 (224,356) (612,246)
Net profit or loss 655,136 1,609,900
Basic and diluted earnings per share in soles 25 0.1003 0.2466
Weighted average number of outstanding shares (in
25 6,529,169 6,529,169
thousands of shares)
138
Banco BBVA Perú

Separate Statement of Income and Other Comprehensive Income
In thousands of soles 2020 2019

Other comprehensive income:
Unrealized gain for investments available-for-sale 79,405 36,211
Unrealized gain on cash flow hedges 14,754 915
Interests in other comprehensive income from subsidiaries and
associates 410 (1,497)
Unrealized gain (loss) on actuarial liabilities 16,493 (8,894)
Income tax related to components of other comprehensive
income (14,730) 4,077
Other comprehensive income for the year, net of income tax 96,332 30,812
Total comprehensive income for the year 751,468 1,640,712
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Banco BBVA Perú

Separate Statement of Changes in Equity
Number of
shares in Adjustments Retained
thousands Share capital Legal reserve to equity earnings Total
In thousands of soles (note 15.B) (note 15.B) (note 15.C) (note 15.D) (note 15.E) equity
Balance as of January 1, 2019 5,368,602 5,368,602 1,522,035 (7,996) 1,476,022 8,358,663
Net profit or loss - - - - 1,609,900 1,609,900
Other comprehensive income -
Unrealized gain for investments available-for-sale - - - 37,934 - 37,934
Unrealized gain from cash flow hedges - - - 645 - 645
Unrealized loss on interests in other comprehensive income from
- - - (1,497) - (1,497)
subsidiaries and associates
Unrealized losses for actuarial liabilities - - - (6,270) - (6,270)
Total comprehensive income - - - 30,812 1,609,900 1,640,712
Changes in equity (not included in other comprehensive income)
Dividends - - - - (811,812) (811,812)
Capitalization of retained earnings 516,607 516,607 - - (516,607) -
Additions to reserves and other movements - - 147,800 - (147,603) 197
Balance as of December 31, 2019 5,885,209 5,885,209 1,669,835 22,816 1,609,900 9,187,760
Balance as of January 1, 2020 5,885,209 5,885,209 1,669,835 22,816 1,609,900 9,187,760
Net profit or loss - - - - 655,136 655,136
Other comprehensive income -
Unrealized gain from cash flow hedges - - - 10,401 - 10,401
Unrealized gain on interests in other comprehensive income from
- - - 410 - 410
associates
Unrealized gain for actuarial liabilities - - - 11,628 - 11,628
Total comprehensive income - - - 96,332 655,136 751,468
Changes in equity (not included in comprehensive income)
Dividends - - - - (563,465) (563,465)
Balance as of December 31, 2020 6,529,169 6,529,169 1,831,131 119,148 896,621 9,376,069
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Banco BBVA Perú

Separate Statement of Cash Flows

Reconciliation of net profit with cash and cash equivalents
from operating activities
Adjustments
Depreciation and amortization 193,654 166,843
Impairment of property, furniture, and equipment and
intangible assets 20,113 26,300
Impairment of investments in subsidiaries and investments
available-for-sale 23,972 3,972
Provisions 1,848,858 834,529
Other adjustments 119,605 560,926
Net changes in assets and liabilities
Loan portfolio (10,405,427) (5,445,837)
Investments available-for-sale 434,543 (598,357)
Accounts receivable and others 309,011 (1,144,677)
Non-subordinated financial liabilities 13,272,864 3,964,508
Accounts payable and others 11,866,290 2,280,356
Profit or loss for the period after net changes in assets,
18,338,619 2,258,463
liabilities and adjustments
Income tax paid (635,438) (622,502)
Net cash and cash equivalents from operating activities 17,703,181 1,635,961
Cash flows from investing activities
Acquisition of securities - (40)
Acquisition of intangible assets and property, furniture, and
equipment (236,999) (236,394)
Other cash inflows from investing activities 53,407 63,455
Net cash and cash equivalents used in investing activities (183,592) (172,979)
Cash flows from financing activities
Dividends paid (562,761) (810,470)
Cash outflows for redemption of subordinated financial
(719,400) -
liabilities
Issuance of debt securities and bonds 308,048 577,427
Payment of debt securities and bonds (2,303,090) (655,100)
Net cash and cash equivalents used in financing activities (3,277,203) (888,143)
Net increase in cash and cash equivalents before effects
14,242,386 574,839
of exchange rate fluctuations
Effects of changes in exchange rates on cash and cash
equivalents 1,238,806 (127,102)
Net increase in cash and cash equivalents 15,481,192 447,737
Cash and cash equivalents at the beginning of the year 15,716,904 15,269,167
Cash and cash equivalents at the end of the year 31,198,096 15,716,904
Funds pledges as guarantee 1,896,324 2,256,757
Interbank funds (137,599) (150,137)
Investments with maturities of less than 90 days (8,026,938) (3,026,138)
Cash and due from banks as per the separate statement
5 24,929,883 14,797,386
of financial position
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Banco BBVA Perú

Notes to the Separate Financial Statements
December 31, 2020 and 2019
1. Reporting Entity and Business Activity
A. Reporting entity
Banco BBVA Perú (hereinafter the Bank) is a subsidiary of BBVA Perú Holding S.A.C., which holds
46.12% of its shares as of December 31, 2020 and 2019. Banco Bilbao Vizcaya Argentaria S.A.
(BBVA) holds 100% of the shares of BBVA Perú Holding S.A.C.
B. Business activity
The Bank is a public limited company incorporated in 1951 and authorized to operate as a bank by
the SBS.
The Bank's activities mainly comprise financial intermediation by commercial banks. Such activities
are governed by the SBS according to Law 26702 "General Law of the Financial and Insurance
Systems and SBS Organic Law" (hereinafter the Banking Law). This Law establishes the
requirements, rights, obligations, guarantees, restrictions, and other operating conditions to which
every legal entity operating in the financial and insurance systems is subject.
The registered office and headquarters of the Banks are located at Av. República de Panamá
N° 3055 - San Isidro, Lima, Peru.
As of December 31, 2020 and 2019, the Bank operates through a national network of 332 agencies.
As of December 31, 2020, and 2019, the Bank has 5,974 and 6,180 employees, respectively.
As of December 31, 2020 and 2019, the Bank's subsidiaries are the following: BBVA Bolsa
Sociedad Agente de Bolsa S.A., BBVA Asset Management Continental S.A. SAF, BBVA Sociedad
Titulizadora S.A., Inmuebles y Recuperaciones BBVA S.A., BBVA Consumer Finance EDPYME,
Forum Comercializadora del Perú S.A., Forum Distribuidora del Perú S.A. and Continental DPR
DRAFT
Finance Company, a special purpose entity.
The Bank prepares and presents separate financial statements in addition to consolidated financial
statements in accordance with SBS regulations and Peruvian Generally Accepted Accounting
Principles (Peruvian GAAP) applicable to financial institutions.

Loan portfolio 66,593,761 56,398,279
Total assets 107,337,268 81,778,899
Total liabilities 97,975,412 72,598,433
Equity 9,361,856 9,180,466
National State of Emergency

On March 11, 2020, the World Health Organization (WHO) declared a pandemic due to the
coronavirus disease (COVID-19), and recommended contention and mitigation measurements
worldwide. On March 15, 2020, the Peruvian government declared, through Supreme Decree, a
national state of emergency due to the serious circumstances affecting people's life as a result of
the COVID-19 outbreak. As of reporting date, the state of emergency has been extended until
September 2, 2021, inclusive. In this context, the government enforced a series of exceptional and
preventive measurements.
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Banco BBVA Perú

The Bank did not suspend its business activities to help finance government's financial-support
schemes and distribute community support initiatives - e.g., bonds for households in poverty or
extreme poverty.
Since the beginning of the pandemic, the Bank carried out a number of contingency actions, which
led to the creation of a multidisciplinary team in charge of designing and implementing the strategy
for the biosanitary crisis, whose main objective is to protect the health of employees and customers
throughout Peru.
For this purpose, this multidisciplinary team designed a health strategy, comprehensive
infrastructure implementation and management of the demand of the offices, based on the new
reality due to the pandemic. Likewise, teleworking for the employees of the core areas was
implemented, as well as for the employees considered vulnerable population due to preexisting
health conditions.
C. Peruvian government programs for economic reactivation

The Ministry of Economy and Finance (MEF) implemented the following economic aid programs to
debtors affected by the state of emergency:
Amount of
Program / the
Validity Legal basis Brief description of the program program
Reactiva Perú Legislative It was created with the following purposes: S/ 60,000
Until Decree 1455 million
November 30, (April 6, 2020) ▪ Respond to the liquidity needs that companies
2020 face due to the impact of
Ministerial COVID-19.DRAFT
Resolution ▪ Ensure the continuity of the chain of

134-2020-EF payments.
(April 13,
2020) Through this program, the Government grants
guarantees to companies so that they can access
working capital loans, and can meet short-term
obligations with their workers, and suppliers of
goods and services. The government guarantees
ranges are between 80% and 98% of the loan,
whose maximum amount per customer is S/ 10
million, which is terminated based on the volume
of sales.
Additionally, the Bank obtains the resources to

grant these loans through repurchase agreement
with the Central Reserve Bank of Peru (BCRP, for
its Spanish acronym), for the guaranteed portion.
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Banco BBVA Perú

Scheme and
term Legal basis Brief overview Amount
FAE for SME Emergency Business Support Fund (FAE) for Small and Micro S/ 4,000
Until Decree Enterprise (SME). million
December 31, 029-2020
2020 (March 20, Initially, it applied for new working capital loans,
2020) rescheduling and refinancing and the maximum
amount of the loan per customer was up to S/ 90
Ministerial thousand with coverage percentages of 30%,
Resolution 50% and 70%.
124-2020-EF
(March 25, Currently, it applies for new working capital loans
2020) and the maximum amount of the loan per
customer is up to S/ 30 thousand with coverage
percentages of 95% and 98%.
FAE for Tourism Emergency It was intended for SME that carry out lodging S/ 1,500
Until June 30, Decree activities, interprovincial passenger land transport, million
2021 076-2020 tourist transport, travel and tourism agencies,
(June 30, restaurants, leisure activities, organization of
2020) congresses, conventions and events, tourist
guidance, and production and marketing of
Ministerial handicrafts. Currently, it applies for new working
Resolution capital loans and the maximum amount of the
228-2020-EF loan per customer is up to S/ 750 thousand with
(August 11, coverage percentages of 95% and 98%.
DRAFT
2020)
FAE for Farmers Emergency It was intended for farmers. It is a loan S/ 2,000
Until June 30, Decree guaranteed to the Bank so that it in turn grants million
2021 082-2020 loans to customers for working capital. The
(July 9, 2020) maximum amount of the loan per customer is up
to S/ 30 thousand with coverage percentages of
Ministerial 95% and 98%.
Resolution
226-2020-EF
(August 9,
2020)
CRECER Fund Legislative It is a program that grants guarantees to loans for Not
Until year 2049 Decree working capital, fixed assets and export credits to specified
1399 promote the productive and business
(September 7, development of SME. The maximum amount of
2018) the loan per customer is up to S/ 10 million.
Coverage percentages are up to 75% for SME, up
Supreme to 70% for Medium-business and up to 60% for
Decree exporting company.
007-2019-EF
(January 11,
2019)
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Banco BBVA Perú

Scheme and
term Legal basis Brief overview Amount
Government Legislative It is intended to provide liquidity to banks, financial S/ 7,000
guarantee Decree entities and credit agencies. million
program, to the 1508-2020
credit portfolio of (May 11, 2020)
financial
institutions.
Ministerial
Until December Resolution
31, 2022 178-2020-EF
(June 24,
2020)
Repurchase BCRP Official BCRP order the possibility that financial entities Not
agreement with Letter obtain an economic fund at a rate of 0.5% through specified
rescheduling of 0021--2020 repurchase agreement. Therefore, financial
credit portfolio (June 7, 2020) entities are committed to reschedule their
customer's credit portfolio or the portfolio
adquired to other financial entities, temporally
reducing the interest rate for the duration of the
operation with the BCRP.
Guarantee Law 31050 It is intended to consumer credit portfolios, S/ 5,500

programs - (October 8, personal loans, mortgages loans, vehicles and million
COVID-19 2020) SME. The program guarantees credits
DRAFT
rescheduled by financial entities. Such

Until March 31, Ministerial reschedule contemplates the decrease of the
2021 Resolution interest rate.
296-2020-EF
(October 18,
2020)
D. Approval of the separate financial statements

The separate financial statements as of December 31, 2020 were approved by the Bank’s
Management and will be presented for approval to Board of Directors and General Shareholder's
Meeting within the terms established by Law. In management's opinion, the Board of Directors and
the General Shareholder's Meeting will approve the accompanying separate financial statements
without amendments. The General Shareholders' Meeting, held May 11, 2020, approved the
separate financial statements as of December 31, 2019.
2. Basis of Preparation of the Separate Financial Statements

A. Statement of compliance
The separate financial statements are prepared and presented in accordance with current
regulations and Peruvian GAAP applicable to financial institutions, which comprise the accounting
standards and practices authorized by the SBS, in use of its powers, delegated in accordance with
the provisions of the Banking Law. The aforementioned standards are contained in the Accounting
Manual for Financial Institutions (hereinafter the “Accounting Manual”) approved by SBS Resolution
895-98, dated September 1, 1998, effective as of January 1, 2001, and complementary norms and
amendments.
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Banco BBVA Perú

In the absence of such applicable SBS regulations, the International Financial Reporting Standards
(IFRS), issued by the International Accounting Standards Board (IASB), made official in Peru by the
Peruvian Accounting Board (CNC, for its Spanish acronym), are applied.
Peruvian GAAP comprise the standards and interpretations issued or adopted by the IASB, which
include IFRSs, International Accounting Standards (IAS), and interpretations issued by the
International Financial Reporting Interpretations Committee (IFRIC), or the former Standing
Interpretations Committee (SIC), adopted by the IASB and made official by the CNC for their
application in Peru.
The separate financial statements have been prepared in accordance with existing regulations in
Peru and do not include the consolidation effects of the Bank's financial statements with those of its
subsidiaries (note 9). As of December 31, 2020 and 2019, the Bank recognizes its investments using
the equity method.
In accordance with the Peruvian GAAP applicable to financial entities, the Bank prepares and
presents its separate financial statements excluding the consolidation effects of the Bank's financial
statements with those of its subsidiaries.
B. Basis of measurement
The separate financial statements have been prepared on a historical cost basis, except for the
following:
▪ Derivative financial instruments are measured at fair value;

▪ Financial instruments at fair value through profit or loss are measured at fair value; and
▪ Available-for-sale financial assets are measured at fair value.
C. Functional and presentation currency DRAFT
The Bank prepares and presents its separate financial statements in soles (S/ or PEN), which
is the currency related to the main economic environment in which the Bank operates, such
currency influences the Bank's transactions and services it provides, among other factors. All
amounts have been rounded to the nearest thousand, unless otherwise indicated.
D. Use of judgments and estimates

In preparing these separate financial statements, management has made judgments, estimates
and assumptions that affect the application of the accounting policies and the reported amounts
of assets, liabilities, income and expenses. Actual results may differ from these estimates.
The accounting estimates and judgments used are reviewed on an ongoing basis. Any
effects are recognized in the separate statement of profit or loss from the year of the
assessment.
The most relevant estimates and judgments to prepare the Bank’s separate financial statements
are the following:
▪ Determination of the fair value of investments (note 30).

▪ Accounted investments using the equity method (note 9).
▪ Provisions for loan losses (note 7).
▪ Provision for realizable assets and assets seized and recovered through legal actions (note
3.G).
▪ Provision for employee benefits (note 3.M).
▪ Useful life of property, furniture and equipment (note 3.F) and intangible assets
(note 3.I).
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Banco BBVA Perú

▪ Provision for income tax (note 23).

▪ Deferred tax (note 24).
▪ Determination of the fair value of derivative instruments (note 30).
▪ Impairment of non-monetary assets (note 3.H).
E. New accounting pronouncements
i. New accounting pronouncements issued but not yet adopted

A number of new standards, amendments and interpretations have been issued or amended by the
IASB and are effective for annual periods beginning on or after January 1, 2021.
IFRSs, amendments and interpretations Effective date

Interest Rate Benchmark Reform Annual periods beginning on or after
State 2 (Amendments to IFRS 9, IAS 39, January 1, 2021.
IFRS 7, IFRS 4, and IFRS 16).
Onerous Contracts – Cost of Fulfilling a Contract Annual periods beginning on or after

(Amendments to IAS 37) January 1, 2022.
Annual Improvements to IFRS Standards 2018-2020 Annual periods beginning on or after

January 1, 2022.
Property, Plant and Equipment Proceeds before Annual periods beginning on or after
Intended Use (Amendments to January 1, 2022.
IAS16).
Reference to the Conceptual Framework Annual periods beginning on or after
(Amendments to IFRS 3) January 1, 2022.
DRAFT
Classification of Liabilities as Current or Non-current Annual periods beginning on or after

Amendments to IFRS 17 Insurance Contracts Annual periods beginning on or after

January 1, 2023.
Sale or Contribution of Assets between an Investor Early adoption is permitted. Effective date
and its Associate or Joint Venture (Amendments to deferred indefinitely.
IFRS 10 Consolidated Financial Statements and IAS 28
Investments in Associates and Joint Ventures)
If such standards and amendments were adopted by the SBS, management has not yet assessed
their impact on the Bank's separate financial statements.
ii. Resolutions and standards issued by the CNC and the Superintendence of Securities
Market (SMV) concerning the approval and adoption of IFRSs in Peru
As of the date of the separate financial statements, the CNC through:
▪ Resolution 001-2020-EF/30, issued July 16, 2020, formalized amendments to IAS 1

Presentation of Financial Statements, and the complete set of IFRS version 2020 (IAS, IFRS,
IFRIC and SIC), which includes the Conceptual Framework in IFRS Standards, as well as the
amendments to IFRS 16 Leases (COVID-19-Related Rent Concessions). The validity of the
indicated standards is established in each one of them.
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Banco BBVA Perú

▪ Resolution 002-2020 EF/30, dated September 8, 2020, formalized the amendments to IAS 16
Property, Plant and Equipment, IFRS 3 Business Combinations, IFRS 4 Insurance Contracts,
IAS 37 Provisions, Contingent Liabilities, IFRS 1 First-time Adoption of International Financial
Reporting Standards, IFRS 9 Financial Instruments y IAS 41 Agriculture.
As indicated in note 2.A, the standards and amendments detailed in i., ii. and iii. shall only be
applicable to the Bank in the absence of applicable SBS regulations for situations not covered in the
Accounting Manual. Management has not determined the effects on the preparation of its separate
financial statements since those standards were not adopted by the SBS.
iii. Main pronouncements issued by the SBS

In 2020, SBS published, among others, the following significant pronouncements:
SBS regulations in the COVID-19 context
(a) Reschedule loans
Regulation Date Brief overview

Official Letter March 13, Official Letter 5345-2010-SBS, dated February 5, 2010, is
10997-2020-SBS 2020 effective and grants financial institutions power to modify
loan agreements, that do not consider the borrower's ability
to meet its debt obligation, so that they are considered as
refinancing. Its application will require that the debtors have
not presented defaults at the time of the state of emergency
declaration. Such Official Letter is effective 1 day after its
publication.
DRAFT
Conditions to reschedule:
Official Letter March 16, ▪ The total term of the before mentioned loans does not
11150-SBS 2020 extend for more than 6 months of the original term,
subsequently modified to 12 months.
Official Letter March 20,
11170-2020-SBS 2020 ▪ As of the date of the national state of emergency, the
debtors do not have any default.
For amendments made as of May 29, 2020, and only

during the national state of emergency, it will be
considered that borrower's loans are not longer than
30 days past due in order to comply with the requirement
to be up to date with their payments and have no
defaults.
Official Letter May 5, 2020
12679-2020-SBS ▪ For retail portfolio, such modification may be conducted
without prior notice.
Official Letter May 29, 2020 ▪ From June 1, 2020, in the case of new contractual
13805-2020-SBS amendments of revolving loans for credit cards, those
that only consider an extension or grace period for the
minimum payment are not applicable, and the entire debt
must be considered in a new schedule to be able to be
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framed in the provisions of the Official Letter 13805-
2020-SBS.
Accounting treatment of interest:
▪ The accounting treatment of interest on such loans shall

be conducted through the assumption method beginning
on the rescheduling date. Therefore, interest that have
not been charged as of rescheduling date have to be
reversed.
▪ Interest associated to retail loans shall be recorded on an

accrual basis.
▪ If such retail loans change to the accounting situation of

past due after the payment obligation according with the
new schedule is resumed, the entity shall reverse the
accrued and unpaid interest, having 6 months to carry out
such reversal proportionally.
Such reverse will be applicable only for those loans that

change their accounting treatment to past due for the
first time since the payment obligation is resumed and
may be applied for loans that pass to a past due
accounting situation until March 31, 2021.
DRAFT
▪ In accordance with Official Letter 11150-2020-SBS, the

accounting treatment of interest of wholesale debtors
with rescheduled loans shall be subject to the cash-basis
method.
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(b) Risk regulations of market, provisions and capital requirement

Official Letter March 16, ▪ It establishes that limits for liquidity coverage ratio in local
11148-2020-SBS 2020 and foreign currency will not be temporarily applied. Such
Official Letter is effective 1 day after its publication.
SBS Resolution March 26, ▪ It establishes that the deadline extension due to the
1264-2020 2020 rescheduling does not increase the risk-weight factor for
non-revolving loans and mortgage loans according with
the Regulation on Regulatory Capital Requirements for
Credit Risks.
▪ The Regulations for Additional Regulatory Capital

Requirement established the faculty of the financial
entities to use the additional regulatory capital
accumulated as of the validity period of this Resolution
for the components of the economic cycle.
Official Letter June 10, 2020 ▪ It approves that, while the national state of emergency is
14454-2020-SBS in force and up to 120 days after it is no longer effective,
May 19, 2020 preferred guarantees, that as of February 2020, were
Official Letter updated could maintain their reported value as of such
13195-2020-SBS
date.
▪ Likewise, in a preventive and responsible manner,

financial entities must establish the necessary voluntary
DRAFT
reserves that allow them to face increases in risk, when

they materialize. In case, it is considered that a release
of provisions applies, these must be reassigned as
voluntary reserves or for the constitution of other
mandatory provisions, and in no case may results of the
year or any equity account be affected by the reversal of
said provisions.
Official Letter July 31, 2020 The legal limits to the foreign currency global position (long
1882-2020 position and short position) are modified.
Official Letter October 26, The legal limits to derivatives instruments (accounting net
2628-2020-SBS 2020 position: short and long position) are modified.
Official Letter November 10, It establishes that a credit risk provision rate of 0% is
2793-2020-SBS 2020 applicable to the part of the credits that are covered by the
guarantee of the COVID-19 Guarantee Program when
borrower substitution is applied, as of the activation of the
guarantee.
SBS Resolution December 17, It establishes that the rescheduled loans of debtors with
3155-2020 2020 Standard classification are considered debtors with credit risk
higher than Standard, corresponding to the level of credit risk
With Potential Problems. The specific provisions for credit risk
With Potential Problems are applied to these credits.
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(c) Stop of the counting of days of past due

Official Letter March 20, ▪ It establishes that, only during the national state of
11170-2020-SBS 2020 emergency, a borrower may be 15 days past due as
maximum as of February 29, 2020, provided that the
borrower is up to date with their payments and has no
past due loans.
Official Letter May 19, 2020 ▪ Loans granted by financial institutions may have the same
13195-2020-SBS accounting situation provided the national state of
emergency is still effective. The counting of days in
arrears recorded as of February 29, 2020, shall be
suspended provided the national state of emergency is
May 29, 2020 still effective.
Official Letter
13805-2020-SBS Extensions were approved until May 31, July 21 and,
finally, until Augusto 31, 2020 for the suspension of days
July 2, 2020 in arrears.
Official Letter ▪ For loans with 15-60 days past due as of February 29,
15944-2020-SBS 2020, such suspension shall be effective for 1 more
month from the date in which the national state of
emergency is no longer effective.
▪ Additionally, it establishes that the Bank shall report the

lower number of days in arrears resulting from the
DRAFT
comparison between: i) the actual days is arrears at the

end of the monthly report of the loan, and ii) the
suspended days in arrears as of February 29, 2020, plus
the days from August 1, 2020, to the end of the monthly
report. If due to the calculation, the debtor improves his
classification and, therefore, reduces his requirement for
provisions, the released provisions must be reassigned to
the constitution of other mandatory provisions or, failing
that, as voluntary reserves. However, under no
circumstance, profit or loss for the year or any equity
account shall be affected due to the reversal of said
provisions.
Actual days in arrears are the number of days past due of

the oldest unpaid installment according to the current
credit schedule, which must consider the payments
made by the customer, if applicable.
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(d) Regulations associated to Government Programs

Official Letter March 23, It establishes that the repurchase agreement of credit
11214-2020 2020 portfolio represented in securities are considered sources of
financing available to be included in the contingency funding
plan. Such Official Letter is effective 1 day after its
publication.
Official Letter April 7, 2020 Accounting treatment of regulatory capital requirement and
11518-2020-SBS legal limits of the credit portfolio reporting operations
represented in securities held with the BCRP, which came
into effect the day after its publication, is approved.
Official Letter April 22, 2020 Reactiva Peru Program

11999-SBS
Dispositions over the Reactiva Peru program are established
April 27, 2020 to ensure the continuity of the payment chain before the
SBS Resolution impact of COVID-19. Such dispositions are the following:
1314-2020
▪ Accounting record as a loan and control through
memoranda accounts.
▪ Credit risk provision rate of the Standard borrower whose
rate is 0.7% for the guaranteed amount. Subsequently,
modified to a rate of 0%.
▪ Risk weighted factor corresponding to the Government
for regulatory capital requirement of 0% for the hedged
DRAFT
amount.
▪ Not subject to legal limit due to exposure to the
Government for the hedged amount.
SBS Resolution April 27, 2020 FAE for SME Program

1315-2020
The following dispositions are established:
May 19, 2020
Official Letter ▪ Accounting record as a loan and control through
13206-2020-SBS memoranda accounts.
For the portion of the exposition covered with guarantees of

FAE for SME:
▪ Credit risk provision rate of 0%.

▪ Apply a risk weighted factor of 0% to calculate the
regulatory capital requirement for credit under the
standard method.
▪ Legal limit up to 50% for the total of exposure not
guaranteed by the FAE for SME.
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SBS Resolution June 8, 2020 The following dispositions are established:
1546-2020 ▪ Approval of the amendment to the Accounting Manual
(memorandum accounts related to guarantees received).

REACTIVA PERÚ Program and the FAE for SME program,
when borrower substitution is applied, it is established the
following:
▪ That the calculation of the provisions associated with the

risk of debt distress for retail debtors shall be excluded.
▪ That it does not apply to record additional provisions for
exchange rate risk.
Official Letter July 24, 2020 Clarifications over the repurchase agreement with
17769-2020-SBS rescheduling of credit portfolio within the framework of
Official Letter 0021-2020-BCRP, in terms of accounting record
as a loan and control through memoranda accounts and
reporting through the Credit Report of Debtors.
Official Letter November 25, It establishes, among other aspects, the following dispositions
37400-2020-SBS 2020 on the Guarantee programs - COVID-19:
▪ Accounting record as a loan and control through

memoranda accounts.
DRAFT

Guarantee programs - COVID-19:
▪ Credit risk provision rate of 0%.

▪ Apply a risk-weighted factor of 0% to calculate the
standard method.
▪ Not subject to legal limit due to exposure to the
Government for the hedged covered.
3. Accounting Principles and Practices

The significant accounting principles and practices used in the preparation of the Bank’s separate
financial statements, have been applied uniformly with those of the previous period, except for the
set of exceptional and preventive measures taken by the Peruvian Government to face the
economic crisis generated due to the national state of emergency and the mandatory social isolation
due to the COVID-19 outbreak, mentioned in the note 2.E.iii.
A. Financial instruments
Recognition of financial instruments

A financial instrument is any contract that gives rise to both a financial asset in one entity and a
financial liability, or equity instrument in another.
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Financial instruments are recognized on the date when they are originated (trade date) and classified
as assets, liabilities, or equity according to the contract that gave rise to the financial instrument.
Interest, dividends, gains and losses generated by a financial instrument classified as an asset or
liability are recorded as income or expenses in the separate statement of income. Payments to
holders of financial instruments are directly recorded in equity.
Gains arising from the transfer of the loan portfolio are recognized as income; however, for financed
transfers or transfers through swaps, these gains are recognized as deferred income, which is
accrued based on the monetary income obtained from the realization of the assets received through
swaps, or in proportion to the perception of the payment made by the acquirer of the transferred
loan portfolio. Losses arising from the transfer are recognized at the moment of the transfer.
Classification of financial instruments

The Bank classifies its financial instruments on initial recognition and on an instrument-by-instrument
basis, in the following categories, according with the Accounting Manual: at fair value through profit
or loss, loans and accounts receivable, available-for-sale, held-to-maturity, at amortized cost, and
other liabilities.
The classification of financial instruments on initial recognition depends on the purpose for which the
financial instruments were acquired and their characteristics. At initial recognition, a financial
instrument is measured at fair value plus transaction costs that are directly attributable to the
acquisition or issue of the financial instrument, except for financial assets or financial liabilities
measured at fair value through profit or loss.
Derecognition of financial assets and financial liabilities

The Bank recognizes derecognition of a financial asset when: (i) the contractual rights to receive the
cash flows from the financial asset expire; or (ii) transfers the contractual rights to receive the cash
DRAFT
flows from the financial asset, or assumes a contractual obligation to pay the cash flows to a third
party in a pass through arrangement; and (iii) transfers substantially all risks and rewards of
ownership of the financial asset to other entity.
The Bank recognizes derecognition of a financial liability when its contractual obligations are
discharged or canceled or expire. An exchange between an existing borrower and lender of financial
liabilities with substantially different terms is recognized as a derecognition of the original financial
liability and the recognition of a new financial liability. Similarly, a substantial modification of the
terms of an existing financial liability is recognized as a derecognition of the original financial liability
and the recognition of a new financial liability. The difference between the carrying amount of a
financial liability derecognized and the consideration paid is recognized in the separate statement of
financial position.
Impairment of financial assets

Impairment of financial assets and the corresponding provisions for impairment are assessed and
recorded by the Bank in accordance with SBS standards. A financial asset or group of financial
assets is impaired if there is objective evidence of impairment as a result of one or more events that
occurred subsequent to the initial recognition of the asset (loss event), and if such loss event had an
impact on the expected future cash flows of the financial asset or group of financial assets that can
be estimated reliably. Any impairment loss is recognized in the separate statement of income.
Offsetting financial instruments

Financial instruments are offset when the Bank has a legally enforceable right to set them off, and
management intends either to settle them on a net basis or to realize the asset and settle the
liability simultaneously.
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B. Derivative financial instruments

Derivative financial instruments are recorded at trade date according with SBS Resolution 1737-2006
"Regulation on Trading and Accounting of Derivative Products in Financial Institutions" and
amendments.
Trading derivative financial instruments

Trading derivative financial instruments are initially recognized in the separate statement of financial
position at cost, subsequently are measured at fair value.
Forward contracts, interest rate swaps and option contracts are measured at market price. Also,
assets or liabilities are recognized in the separate statement of financial position, as applicable, and
gains and losses on measurement or settlement are recognized in profit or loss. The face value of
derivative instruments is recognized in the agreed-upon currency in memorandum accounts.
Forward operations, swaps operations and options are recorded at their estimated market price,
recognizing an asset or liability in the separate statement of financial position, and gains and losses
due to valuation or settlement are recognized in profit or loss. The face value of derivative
instruments is recorded in the agreed-upon currency in suspense accounts.
Hedging derivative financial instruments

A hedging derivative instrument is recorded as such if, on trade date, it is foreseen that changes in
fair value or cash flows will be highly effective in offsetting changes in hedge, which shall be
documented on the trade date of the derivative instrument and during the term of the hedging
relationship. A hedge is considered highly effective if changes in the fair value or cash flows of the
hedged item and hedging instrument are within a range of 80-125%, according with SBS Resolution
1737--2006 and its amendments.
DRAFT
If the SBS determines the documentation to be insufficient or identifies some weaknesses in the
methods used by the Bank, it can require the Bank to eliminate the hedge accounting and recognize
derivative instruments as trading instruments.
(i) Fair value hedges

The changes in the fair value of the hedging instrument and the hedged item are recognized in the
separate statement of profit or loss when the hedging instrument is designated as a hedge and if
the effectiveness of the hedge can be demonstrated.
The changes in the fair value of the hedged item (gain or loss from remeasuring the hedging
instrument) are recognized as 'accounts receivable' or 'accounts payable,' as appropriate, in the
separate statement of financial position.
(ii) Cash flow hedges

Cash flow hedges are measured at fair value and may affect 'equity' and 'profit or loss.' The portion
of the gain or loss on the hedging instrument that isdetermined to be an effective hedge is
recognized in other comprehensive income. The ineffective portion of the gain or loss on the
hedging instrument is recognized in profit or loss.
The Bank discontinues prospectively the hedge accounting if the hedging instrument expires or is
sold, terminated or exercised; or the hedge no longer meets the criteria for hedge accounting. Also,
the balances recorded in the separate statements of financial position and profit or loss and other
comprehensive income, as appropriate, are transferred to the separate statement of profit or loss
within the effective term of the hedged item.
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C. Investments
The Bank applies the recognition and measurement criteria to investments in instruments, in
accordance with SBS Resolution 7033-2012 "Regulation on Classification and Measurement of
Investments of Financial Institutions" and amendments, as follows:
(i) Investments at fair value through profit or loss

Equity and debt instruments are classified as investments at fair value through profit or loss if they
are acquired principally for the purpose of selling them in the near term, or they are part of a
portfolio of identified financial instruments that are managed together and for which there is
evidence of a recent pattern of
short-term profit-taking or they are designated as such since initial recognition.
At initial recognition, these investments are measured at fair value less transaction costs, which are
included as expenses in profit or loss. Subsequently, they are measured at fair value. Gains or
losses on the measurement or sale of these financial instruments are recognized in profit or loss.
Interest income is recognized using the effective interest method. Dividends are recognized in the
separate statement of profit or loss when the right to receive the payment has been established.
Investments at fair value through profit or loss that are pledged as guarantees shall be reclassified as
investments available-for-sale. At the end of these transactions, investments shall be reclassified at
their initial category, transferring the unrealized gains and losses from equity to profit or loss.
(ii) Held to maturity investments

Held-to-maturity investments are debt instruments with fixed or determinable payments and fixed
maturity, which meet the following requirements: i) the entity has the positive intention to hold
investments to maturity; ii) the entity has the ability to hold investments to maturity; and iii) they are
DRAFT
instruments other than those that, at initial recognition, the entity has designated as either at fair
value through profit or loss or available-for-sale financial assets.
Likewise, they shall have received credit ratings by at least 2 local or international credit rating
agencies and such credit ratings shall be within the parameters established by the SBS, excluding
central bank's instruments of countries whose sovereign debt receives at least the rating that
corresponds to the sovereign debt of Peru.
Investments are initially recognized at fair value plus transactions costs that are directly attributable
to the instrument’s acquisition.
The subsequent measurement of these investments is carried out at amortized cost, using the
effective interest rate method. Any impairment loss is recognized in the separate statement of
income.
(iii) Investments available-for-sale

Investments available-for-sale are all instruments that are not classified as investments measured at
fair value through profit or loss, held-to-maturity investments or investments in subsidiaries,
associates and joint ventures. Likewise, all instruments shall be included in this category as
required by the SBS.
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to the instrument’s acquisition. Subsequent measurement of these investments is carried out at fair
value; in the case of equity instruments that do not have prices quoted in active markets and whose
fair value cannot be reliably estimated, they must be measured at cost. Likewise, in the case of debt
instruments, prior to the measurement at fair value, shall be remeasured using the effective interest
method, and gains or losses from the changes in fair value shall be recognized.
Gains and losses on changes in the fair value of investments available-for-sale are recognized
directly in equity until the financial instrument is either sold or realized, which is when gains and
losses are recognized in profit or loss, except for impairment losses that are recognized in profit or
loss when they occur.
If an investment available-for-sale is impaired, the cumulative loss—i.e., difference between the

acquisition cost, net of any repayment and amortization, and the current fair value, less any
impairment previously recognized in the separate statement of profit or loss —is removed from
equity and recognized in the separate statement of profit or loss. For unquoted shares, the amount
of loss is measured as the difference between the asset's carrying amount and the present value of
estimated cash flows discounted at current market rates for similar assets.
Exchange gains or losses from equity instruments are recognized in 'unrealized gains and losses' in
equity, and those related to debt instruments are recognized in profit or loss.
Interest income from investments available-for-sale is recognized using the effective interest
method, considering the useful life of the instrument. Premiums and discounts originated on the
acquisition date are included in the calculation of effective interest rate.
Dividends are recognized in the separate statement of profit or loss when the right to receive the
DRAFT
payment has been established.
D. Investments in subsidiaries and associates

This caption comprises equity instruments acquired to have interests in and joint control or
significant influence over other subsidiaries or associates.
At initial recognition, these investments are recognized at their fair value, including transactions
costs that are directly attributable to the acquisition, and subsequently are measured at investments
using the equity method.
The Bank recognizes goodwill as of the acquisition date measured as the excess of the aggregate
of the consideration transferred over the net of the acquisition-date amounts of the identifiable
assets acquired and the liabilities assumed. The Bank includes goodwill in the carrying amount of
the investment and tests goodwill for impairment. If the fair value of the investment exceeds the
consideration transferred, the resulting gain is recognized in profit or loss.
The Bank determined that the fair value of investments is equivalent to the carrying amount of the
invested at acquisition date, since they do not have significant non-monetary assets, or they have
non-monetary assets recorded at their fair value.
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If the carrying amount exceeds the recoverable amount, the investment is described as impaired, in
accordance with IAS 36 Impairment of Assets. If the recoverable amount of an investment is less
than its carrying amount, the carrying amount of the investment shall be reduced to its recoverable
amount. That reduction is an impairment loss recocgnized in profit or loss.
E. Loans and provisions for loan losses

Direct loans are recorded when funds are disbursed in favor of customers. Indirect loans are
recorded when the documents supporting such credit facilities are issued.
Finance leases are recognized using the effective interest method, and the lease payments
receivable are recognized as loans. Finance income is recognized on an accrual basis according to
the lease terms. Initial direct costs are immediately recognized as expenses.
i. Type of loans
In accordance with SBS Resolution 11356-2008, loans are classified as: corporate loans, large-
business loans, medium-business loans, small-business loans, micro-business loans, revolving loans,
non-revolving loans, and mortgage loans. This classification considers nature of customer, purpose
of loan, business size measured per revenue, debt, among others.
ii. Accounting treatment of loans

According to the Accounting Manual, direct loans are classified as follows:
Current loans
They are loans granted in its different modalities, whose payments are up to date, in accordance
with the agreement.
Restructured loans DRAFT
They are loans or direct funding, regardless of its modalities, subject to the rescheduling of
payments approved in the restructuring process, ordinary or preventive bankruptcy, as the case
may be, in accordance with the Banking Law of the Bankruptcy System approved by Law 27809.
Refinanced loans
They are loans, in their different modalities, in which there are variations in the term and/or amount
of the original agreement that are due to difficulties of the debtor’s ability to meet its obligations.
Past due loans

They are loans that have not been settled or amortized by the borrowers on the due date. They
include loans originated by the amounts disbursed by the Bank in the event of the customer's
default, for operations whose payment has been guaranteed by the Bank and/or by letters of credits
issued and confirmed assumed by the Bank.
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The terms for a loan to change from current status to past due are presented below:
Type of loans / Product Days in arrears

Sovereign loans, to multilateral development
banks, public entities, securities intermediaries, After 15 calendar days of the expiration of any
financial entities, corporations, large companies of the agreed installments.
and medium-sized companies.
After 15 calendar days of the expiration of any
Small-business and micro-business loans
of the agreed installments.
Graduated tax
After 30 calendar days of not having paid on the
Consumer (revolving and non-revolving) loans
agreed date, only the unpaid portion will be
and mortgage loans.
considered past due; while after 90 calendar
Finance lease and real state capitalization
days of default in any of the agreed
agreement, regardless of the type of the loan.
installments, the entire debt will be considered
past due.
Overdrafts in checking accounts, regardless of As of the 31-calendar day the overdraft was
the amount and type of the loan. granted.
Lawsuit loans
They are loans for which the Bank has initiated legal collection actions. The demand for legal
collection, unless there are technical and legal reasons, begins within a period of 90 calendar days of
having recorded the loan as past due.
iii. Measurements in the COVID-19 context

As a result of COVID-19 and the national state of emergency and mandatory social isolation
DRAFT
(note 1.B), the SBS adopted a series of exception measures with accounting impact, which, in terms
of credit, are detailed below:
Rescheduled loans
Rescheduled loans are loans subject to loan modifications subsequent to an assessment, but not
considered as a refinance, provided that the loan term is not extend for more than 6 or 12 months of
the original term, depending on the type of loan, and that the borrower has made all of its payments
at the date the state of emergency was declared. The payment of principal and interest on
rescheduled loans is controlled through memorandum accounts.
The types of rescheduling are the following:
(a) Large-scale rescheduling of loans

This type of rescheduling of loans, with or without customer's approval and without a credit
risk assessment, shall meet the following requirements:
(i) The customer shall have loans that are up to 15 days past due as of February 29, 2020
or March 15, 2020.
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(ii) The deadline for requesting the rescheduling of loans is May 30, 2020 for large-
business loans and corporate loans and June 30, 2020 for retail loans and medium-
business loans.
(iii) The maximum rescheduling term is 6 months for large-business loans and corporate
loans, and 12 months for retail loans and medium-business loans.
(b) Individual rescheduling of loans

This type of rescheduling of loans is subject to a credit risk assessment and shall have the
customer's approval. It is not subject to the maximum rescheduling term of 6 and 12 months.
It may be extended. Likewise, the customer shall not have loans that are more than 30 days
past due at the rescheduling date.
(c) From July 1, 2021, the rescheduling of revolving loans for credit cards shall be applicable only
for the entire debt according to the payment schedule.
(d) A financial institution may recognize on an accrual basis interest on retail loans that are
subject to rescheduling of loans. If such retail loans are past due after the payment obligation
is effective according to the new payment schedule, the financial institution shall repay the
unearned accrued interest within a 6-month period on a pro-rata basis.
(e) Interest on rescheduled wholesale loans is recognized when earned. The individual
rescheduling of loans may use the accrual accounting.
(f) SBS Resolution 3155 -2020, dated December 17, 2020, established that, from its effective
date, borrowers classified as Standard with rescheduled loans are borrowers classified higher
than Standard—i.e., With Potential Problems. It also required the recognition of specific
provisions for loans of borrowers classified as With Potential Problems—i.e., consumer
DRAFT
loans, micro-business loans and small-business loans.
Likewise, it required the recognition of provisions for accrued interest on consumer loans,
micro-business loans and small-business loans of borrowers that not include the payment of
capital installments during the last 6 months, as if borrowers were classified as Substandard.
SBS Official Letter 02105-2021-SBS, dated January 14, 2021, accepted the Bank's request to
not recognize reserve requirements and determined that provisions for accrued interest on
rescheduled loans can be covered by voluntary reserves recognized by the Bank.
The regulatory requirements indicated above do not affect the classification of the debtor in
the Credit Report.
Accrued interest not collected as of the rescheduling date, recognized as income, that is
capitalized as a result of the rescheduling, must be repaid and recorded as deferred income,
being recorded as revenue based on the new term of the loan and as installments are settled.
Suspension of days in arrears

If there are debtors with more than 15 days past due as of February 29, 2020, financial entities shall
be able to suspend the counting of days is arrears and maintain the same financial situation until
August 31, 2020. In addition, the days in arrears suspended shall be considered for the credit
classification process and calculation of the provision for loans while they remain suspended.
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iv. Credit risk categories

The credit risk rating categories established by the SBS is the following: Standard, With Potential
Problems, Substandard, Doubtful and Loss, which are designated according to the credit history of
the borrower.
Credit risk rating of non-retail loan portfolio (corporate loans, large-business loans and medium-
business loans), mainly takes into account the debtor’s payment capacity cash flows, level of
compliance with obligations, credit rating designated by other financial institutions, financial position,
and management quality. For retail loan portfolio (small-business loans, micro-business loans,
revolving and non-revolving loans, and mortgage loans), the credit rating is based on the debtor´s
level of compliance with loan payments which is reflected in the defaults and delays, and in their
credit rating designated by other financial institutions. In addition, the Bank assesses the exposure
to exchange rate risk of the loan portfolio in foreign currency, according to the SBS Resolution 041-
2005 and amendments.
v. Provision for loan losses

The provision for loan losses is measured in accordance with the criteria established in SBS
Resolution 11356-2008 "Regulation on Borrower Risk Assessment and Credit Rating, and Reserve
Requirements."
According to current regulations, the Bank considers 2 types of provisions for loan portfolio: general
and specific. The general provision is recognized in a preventive manner for direct and indirect loans
rated as Standard and additionally for the procyclical component when the SBS orders its
application. The general provision also includes voluntary reserves.
The voluntary reserve is measured by the Bank considering the financial position of borrowers that
are part of the high-risk loan portfolio (loans past due, loans under legal collection, rescheduled
DRAFT
loans, refinanced loans and restructured loans), prior experience and other factors that, according to
management, require to recognize potential loan losses. The amount of voluntary reserves is
reported periodically to the SBS.
The specific provision is measured for direct loans and exposure to credit risk of the borrower's
indirect loans rated in a credit rating higher than Standard.
The credit risk of indirect loans is determined by multiplying the indirect loans by the different types
of Credit Conversion Factor (CCF) described as follows:
Description CCF (%)

(a) Confirmations of irrevocable letters of credit up to one year, when the issuing bank is
a tier 1 foreign financial institution. 20
Guarantees issued, import letters of credit, and letters of guarantee that support the
(b) fulfillment of payment obligations associated with credit risk events, and 50
confirmations of letters of credit not included in a), as well as bank acceptances.
(c) Letters of guarantee not included in b). 100
(d) Undisbursed loans granted and unused credit lines. 0
(e) Other indirect loans not included in the prior paragraphs. 100
Provision requirements are determined considering the borrower's credit classification, whether the
loan is secured by guarantee, and type of guarantee.
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The percentages applied to measure the provision for loan losses are the following:
Readily
liquidating Self-liquidating
Preferred preferred preferred
Credit risk ratings No guarantees guarantees guarantees guarantees
Standard
Corporate loans 0.70% 0.70% 0.70% 0.70%
Large-business loans 0.70% 0.70% 0.70% 0.70%
Medium-business loans 1.00% 1.00% 1.00% 1.00%
Small-business loans 1.00% 1.00% 1.00% 1.00%
Micro-business loans 1.00% 1.00% 1.00% 1.00%
Revolving loans 1.00% 1.00% 1.00% 1.00%
Non-revolving loans 1.00% 1.00% 1.00% 1.00%
Mortgage loans 0.70% 0.70% 0.70% 0.70%
With potential problems 5.00% 2.50% 1.25% 1.00%
Substandard 25.00% 12.50% 6.25% 1.00%
Doubtful 60.00% 30.00% 15.00% 1.00%
Loss 100.00% 60.00% 30.00% 1.00%
As of December 31, 2020 and 2019, the procyclical component was deactivated, according to
Official Letter B-2224-2014.
A provision for direct loan losses is recognized deducting the balance of the relevant asset (note 7).
A provision for indirect loan losses is recorded in 'liabilities' (note 14).
The SBS exceptionally established a zero percent provision rate for credit risk to the part of the loans
DRAFT
covered by the guarantee of the Reactiva Peru and FAE for SME program (note 1.C).
SBS Resolution 3155-2020 establishes that the rescheduled loans of debtors with Standard
classification are considered debtors with credit risk higher than Standard, corresponding to the level
of credit risk WPP. The specific provisions for credit risk WPP are applied to these credits.
F. Property, furniture and equipment

Property, furniture and equipment is recorded at historical cost, which includes disbursements
attributable to acquisition, and is presented net of accumulated depreciation and accumulated
impairment losses. Annual depreciation is recognized as expense and is determined using the
standard cost, under the straight-line method based on the estimated useful life of property,
furniture and equipment, using depreciation rates.
Years
Buildings and premises 33 & 10
Installations and improvements to rental property 10
Furniture, fixtures, and equipment 10 & 4
Vehicles 5
Disbursements incurred after a component of property, furniture and equipment has been put into
use are capitalized only when they can be measured reliably and it is probable that such
disbursements will result in future economic benefits in excess of the normal performance originally
assessed for said asset.
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Disbursements for maintenance and repairs are recognized as expenses in the period in which they
are incurred. When an item of property, furniture and equipment is sold or disposed, its cost and
accumulated depreciation are deleted, and profit or loss resulting from its sale is recognized in the
separate statement of income.
The Bank is not permitted to apply the revaluation model. It is only permitted to apply the cost
model. Likewise, the Banks are prohibited from giving as guarantee their property, furniture and
equipment, except those acquired in finance leases.
G. Realizable assets and assets seized and recovered through legal actions
Assets received as payment and repossessed by the Bank as payment of debts are recorded at
judicial or extrajudicial value or at value agreed upon in the payment. At initial recognition, recovered
assets as a result of the agreement termination, if any, are measured at the lower of the
outstanding debt value and the net realizable value. If the outstanding debt value is higher than the
value of the recovered asset, the difference is recognized as a loss, provided that its recovery is
remote.
Likewise, in accordance with Resolution 1535-2005 “Regulation on the Accounting Treatment of

Repossessed and Recovered Assets and Provisions” and amendments, the Bank records
provisions as follows:
▪ For assets received, a provision of 20% of the value on the repossession or recovery date.
▪ For fixed assets, a monthly provision, within a maximum term of 42 months, of the net value
obtained in the twelfth or eighteenth month of the asset's repossession or recovery for up to
100% of the asset's carrying amount, depending on whether an extension is granted by the
SBS. A loss allowance if the carrying amount (determined by an independent appraiser) of a
fixed asset exceeds its recoverable amount. DRAFT
▪ For assets other than fixed assets, a provision of the remaining amount, within a maximum
term of 18 or 12 months, depending on whether an extension is granted by the SBS.
An impairment loss is recognized when the net realizable value is lower than net carrying amount;
accordingly, the carrying amount shall be reduced and the loss shall be recognized in the separate
statement of income. If net realizable value exceeds the carrying amount, the higher amount shall
not be recognized.
H. Impairment of non-financial assets

When events or circumstances indicate that the carrying amount of a long-lived asset may not be
recoverable, management reviews the carrying amount of the asset. If after the impairment test,
the carrying amount exceeds its recoverable amount, an impairment loss is recognized in the
separate statement of profit or loss. The recoverable amount is measured for each asset.
I. Intangible assets
An intangible asset with a finite useful life is measured at its cost less any accumulated
amortization and accumulated impairment losses. Amortization is recognized as expense. It is
determined using the straight-line method over the asset's useful life (i.e., 1 and 5 years).
Costs associated with maintenance of software are recognized as expenses when incurred. The
development costs and software, from which future economic benefits are expected to flow to the
entity, are recognized as intangible assets.
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J. Goodwill
Goodwill resulting from the acquisition of a subsidiary or associate corresponds to the excess of the
consideration paid over the net fair value of the identifiable assets, liabilities and contingent
liabilities of the investee, on the acquisition date. At the beginning, goodwill is recognized as an
asset at cost, and, subsequently, presented at cost less any accumulated impairment loss, if any.
For impairment test, assets are grouped into the smallest group of assets that generates cash
inflows from continuing use that are largely independent of the cash inflows of other assets or
cash-generating units (CGU). Goodwill is allocated to CGUs or groups of CGUs that are expected to
benefit from the synergies of the business combination from which it arose. A CGU, to which the
acquired goodwill has been allocated, is tested for impairment on an annual basis, or more
frequently when there are indications that the CGU may have impaired. An impairment loss is
recognized for a CGU (the smallest group of CGUs to which goodwill has been allocated) if the
recoverable amount of the CGU is less than the carrying amount of the CGU. The impairment loss
is allocated to reduce the carrying amount of the assets of the unit, first, to reduce the carrying
amount of any goodwill allocated to the CGU, and then, to the other assets of the unit pro rata on
the basis of the carrying amount of each asset in the unit. Any impairment loss on goodwill is
recognized in profit or loss when it is generated. An impairment loss for goodwill is never reversed.
K. Non-current assets held for sale

A non-current held for sale asset is measured at the lower of its carrying amount and fair value less
costs to sell and is recognized in 'other assets' in the separate statement of financial position. Non-
current assets are classified as held for sale when the asset is available for immediate sale and its
sale is highly probable. For the sale to be highly probable, the appropriate level of management shall
be committed to a plan to sell the asset. In addition, the sale should be expected to qualify for
recognition as a completed sale within 1 year from the date of classification.
DRAFT
L. Borrowings and financial obligations

Outstanding instruments and liabilities are financial liabilities recorded at amortized cost using the
effective interest method. Amortized cost is calculated taking into consideration any discounts or
premiums on issuance. Costs are an integral part of the effective interest rate and are amortized
during the validity term of the liabilities. Accrued interest is recognized in the separate statement of
income.
Outstanding loans and borrowings are classifying as financial liabilities at fair value through profit or
loss when they are held for trading or when, at initial recognition, have been designated as at fair
value through profit or loss.
A financial liability classifies as held for trading if:
▪ it is acquired or incurred principally for the purpose of selling or repurchasing it in the near
term;
▪ it is part of a portfolio of identified financial instruments, which are managed together, and for
which there is evidence of a recent pattern of obtaining short-term profits; or
▪ it is a derivative that is not a financial guarantee contract nor has it been designated as a
hedging instrument, and it meets the conditions to be effective.
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A financial liability other than those held for trading may be classified as financial liability at fair value
through profit or loss if:
▪ this eliminates or significantly reduces any inconsistency in valuation or recognition;

▪ it is part of a group of financial assets, financial liabilities or both, which are managed and
evaluated according to the fair value criteria, in accordance with a documented investment or
risk management strategy of the Bank, and whose information is provided by internal way on
that basis; or
▪ it is part of an agreement containing one or more embedded derivatives, and IAS 39 allows
the entire hybrid (combined) agreement to be designated as a financial asset or a financial
liability at fair value through profit or loss.
The financial liabilities at fair value through profit or loss are recorded at fair value. Gains and losses
from changes in the fair value of these liabilities are recognized in 'profit or loss from financial
operations' in the separate statement of income.
M. Employee benefits
i. Short-term employee benefits
Vacations and other benefits

Personnel’s annual vacations, paid absences, and other employee benefits are recognized on an
accrual basis, considering their probability of disbursement. The provision for estimated liability
resulting from services rendered by employees, is recorded on the date of the consolidated
statement of financial position.
Severance payment (CTS for its Spanish acronym) DRAFT
The provision for severance payment of staff is made considering all the indemnities according to
the law in force. Payments made, that are considered definitive, are mainly deposited in the Bank
as the financial entity selected by the employees.
ii. Long-term benefits

This caption comprises post-employment benefits granted to serving or retired employees. These
benefits include jubilee or other long‑service benefits and post‑employment medical benefits. They
are recognized applying an actuarial valuation method. Estimates of future salary increases take
account of inflation, seniority, promotion and other relevant factors, such as supply and demand in
the employment market.Assumptions about medical costs shall take account of estimated future
changes in the cost of medical services, resulting from both inflation and specific changes in medical
costs. Future cash flows are discounted, considering a market interest rate that corresponds to the
issuance of bonds with a good credit rating.
Employees' profit sharing

The Bank recognizes a liability and an expense for employees' profit sharing equivalent to 5% of tax
base determined in accordance with current tax laws.
N. Share-based payment transactions

A group of the Bank's employees is subject to the Directive 2013/36/UE of the European
Parliament, setting ratios between the fixed and variable components of the remuneration payable
to employees. This Directive aims to implement international principles and standards by
introducing an express obligation for credit institutions and investment firms to establish and
maintain, for categories of employees whose professional activities have a material impact on the
risk profile of credit institutions and investment firms, remuneration policies and practices.
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▪ The 60% of the annual variable remuneration is paid the year following the year
corresponding to the remuneration, during the first quarter of the year. The 50% is paid in
cash and the remaining 50% is paid in shares of the Parent Company at the market price of
the payment date.
▪ The outstanding balance of variable remuneration is deferred over a period of 3 years, and
the 50% is paid in cash and the remaining 50% is paid in shares.
▪ Assumptions that may limit or prevent the payment of the deferred portion of the variable
remuneration.
The delivered shares will not be available for at least 1 year, except for the portion needed to be
used for paying applicable taxes.
The variable remuneration is paid within the first months of the following year. As of December 31,
2020 and 2019, the Bank's variable remuneration amounts to S/ 14 million and S/ 8 million,
respectively.
O. Provisions, contingent liabilities and contingent assets
i. Provisions
A provision is only recognized when the Bank has a present legal or constructive obligation as a
result of a past event; it is probable that an outflow of resources embodying economic benefits will
be required to settle the obligation; and a reliable estimate can be made of the amount of the
obligation. Provisions are reviewed at the end of each reporting period and adjusted to reflect the
current best estimate. Where the effect of the time value of money is material, the amount of a
provision shall be the present value of the expenses expected to be required to settle the
obligation.
DRAFT
ii. Contingent assets and contingent liabilities

Contingent assets are not recognized in the separate financial statements, but are only disclosed
when an inflow of economic resources is probable.
Contingent liabilities are not recognized in the separate financial statements, they are disclosed in
the notes to the separate financial statements, unless the possibility of an outflow of economic
resources is remote.
P. Income tax
Income tax, either current and deferred, is recognized as 'income and expense', and is included in
the separate statement of income, except if such amounts are related to items recognized in
'equity,' in which case, current or deferred income tax is also recognized in 'equity'.
According to current tax legislation, current income tax is determined by applying the tax rate for
the year and is recognized as an expense.
The deferred tax liabilities are recognized for all taxable temporary differences that arise when
comparing the carrying amount of assets and liabilities and their tax base, without considering that
the temporary differences estimated at the beginning will be reversed. The deferred tax asset is
recognized for all taxable temporary differences that arise when comparing the carrying amount of
assets and liabilities and their tax base, to the extent that it is probable that, in the future, the Bank
will have sufficient income tax against which it can apply the temporary differences that revert.
Deferred tax liability and asset are measured at the income tax rate, which is expected to be apply
to tax of the year in which this liability is settled or the asset is realized, using the income tax rate
enacted or substantially effective as of the separate statement of financial position.
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Q. Income and expense recognition

Interest income and expense and service commissions are recognized in profit or loss for the year
on an accrual basis, depending on the term of the generating transactions.
Accrued interest from past due, refinanced, restructured and under legal collection loans, as well as
loans rated as "doubtful" or "loss", which is recognized in the separate statement of income when
are collected effectively. If it is determined that the borrower's financial position has improved so
that uncertainty on payment of principal does no longer exists, interest is recorded on an accrual
basis again.
Other income and expenses are recorded in the period in which they are accrued.
R. Basic and diluted earnings per share

Basic earnings per ordinary share are calculated by dividing the net profit for the year attributable to
ordinary shareholders by the weighted-average number of outstanding ordinary shares during the
year. Since the Bank does not have dilutive financial instruments, earnings per ordinary and diluted
share are the same.
S. Repurchase agreements
The Bank applies SBS Resolution 5790-2014, which establishes that securities sold under
repurchase agreements on a specific future date, are not derecognized from the separate statement
of financial position since the Bank retains substantially all risks and rewards of ownership of the
asset.
The Bank recognizes the cash received and a liability recorded in 'accounts payable' to refund such
cash at maturity. Also, it will make the reclassification of securities subject to the transaction in
accordance with SBS regulations. Accounting records of returns will depend on the agreements
DRAFT
between the parties. The difference between the final amount and the initial amount shall be
recognized as expense against a liability within the transaction term using the effective interest
method.
Credit portfolio reporting operations guaranteed by the Government represented in securities

These operations are agreed within the framework of the Reactiva Peru Program. BCRP conducts
operations through auctions or direct operations. Market participants sell to the BCRP the securities
representative of credits guaranteed by the Government. They receive local currency (amount of the
sale) and are obliged to repurchase said securities subsequently, against the payment of local
currency (amount of the repurchase). Securities could be:
▪ Portfolio of securities representative of credits (regular form)

▪ Certificates of participation in real estate trusts (special form)
The market participant shall monthly pay interest. The operation includes a grace period of
12 months without paying interest, which are prorated over the life of the operation. The market
participant is forced to repurchase loans guaranteed by the Government guarantee program each
time there is a reduction in their value, or on the resulting date in case of early maturity. In the event
of breaches, BCRP shall maintain definitively loans with the Government guarantee program.
As of December 31, 2020 and 2019, the Bank carry out credit portfolio reporting operations
guaranteed by the Government represented in securities, loan portfolio and currencies
(notes 5, 7 and 14).
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T. Separate statements of profit or loss, other comprehensive income, and changes in

equity
Unrealized gains and losses on measurement of investments available-for-sale, changes in
assumptions related to actuarial liabilities and measurement of cash flow hedges are recognized in
the separate statement of profit or loss and other comprehensive income. Deferred tax
determination is detailed in note 3.P.
The separate statement of changes in equity includes profit or loss, other comprehensive income,
cumulative effects of changes in accounting policies or correction of errors, if any, changes in the
stockholder transactions, such as cash paid for dividends and contributed capital, and reconciliation
of the opening balances to the closing balances.
U. Cash and cash equivalents

This caption, recorded in the separate statement of cash flows, comprises cash and cash
equivalents (excluding funds pledges as guarantees), interbank funds, and cash equivalents that
correspond to short-term and highly liquid instruments easily convertible into cash and subject to an
insignificant risk of changes in the fair value, whose maturity does not exceed 90 days from the
acquisition date. According to the SBS, the Bank prepares and presents this statement by applying
the indirect method.
The Bank's overdrafts are reclassified as liabilities in the separate statement of financial position.
V. Trust fund activities

Assets from fiduciary activities in which there is a commitment to return such assets to customers
and in which the Bank acts as the holder, trustee or agent, have been excluded from the separate
financial statements. Such assets are controlled separately in the separate financial statements and
are presented in memorandum accounts. DRAFT
W. Foreign currency transactions

Foreign currency transactions are recorded, at initial recognition, using the local currency. For this
purpose, the amounts in foreign currency are translated to the functional currency by applying the
exchange rate on the transaction date, which is the date on which the conditions for their
recognition are met.
At the end of each reporting period, the following guidelines are followed:
▪ Monetary assets and liabilities are translated at exchange rate as the end of each
reporting period.
▪ Non-monetary items, not measured at fair value, are translated at the exchange rate on
the date of the transaction.
▪ Non-monetary items, measured at fair value, are translated at the exchange rate on the date
their fair value was established.
The recognition of the exchange difference is subject to the following guidelines:
▪ The exchange difference that arises when settling monetary assets and liabilities, or when
converting said items at exchange rates different from those used for their initial
recognition, which have occurred during the year or in previous periods, are recognized in
the profit or loss of the year in which they occur.
▪ When the loss or gain generated by a non-monetary item is recognized in other
comprehensive income, any exchange difference included is also recognized in other
comprehensive income.
▪ In the case of non-monetary items, the loss or gain of which is recognized in profit or loss for
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the year, any exchange difference included in that loss or gain is also recognized in income for
the year.
4. Foreign Currency Balances

The separate statement of financial position includes foreign currency balances mainly in U.S.
dollars (US$), which are recorded in soles (S/) at the exchange rate established by the SBS. As of
December 31, 2020 and 2019, the exchange rate was US$ 1 = S/ 3.621 and US$ 1 = S/ 3.314,
respectively.
Foreign currency transactions within the country and international trading transactions referred to
the concepts authorized by the BCRP are channeled through a free banking system. As of
December 31, 2020, buy and sell exchange rates used were US$ 1 = S/ 3.618 and US$ 1 = S/ 3.624,
respectively (2019: US$ 1 = S/ 3.311 and US$ 1 = S/ 3.311, respectively).
Foreign currency balances stated in thousands of U.S. dollars are as follows:
2020 2019
U.S. Other U.S. Other
In thousands of U.S. dollars Dollars currencies Total Dollars currencies Total
Assets
Cash and due from banks 3,239,581 69,646 3,309,227 3,363,177 51,194 3,414,371
Interbank funds 38,000 - 38,000 45,002 - 45,002
Investments at fair value through
profit or loss and available-for-sale 941,932 - 941,932 242,063 - 242,063
Loan portfolio, net 4,556,995 1,443 4,558,438 5,365,265 1,686 5,366,951
Other assets 247,587 1,715DRAFT 249,302 300,458 17,513 317,971
9,024,095 72,804 9,096,899 9,315,965 70,393 9,386,358
Liabilities
Obligations to the public and
deposits from financial system
entities 7,509,554 55,222 7,564,776 7,121,691 60,805 7,182,496
Interbank funds 20,000 - 20,000 - - -
Borrowings and financial
obligations 1,323,129 - 1,323,129 1,946,060 - 1,946,060
Provisions and other liabilities 193,021 10,824 203,845 111,639 18,354 129,993
9,045,704 66,046 9,111,750 9,179,390 79,159 9,258,549
Net asset (liability) position (21,609) 6,758 (14,851) 136,575 (8,766) 127,809
Derivative instruments, assets 4,301,983 267,285 4,569,268 3,934,152 286,569 4,220,721
Derivative instruments, liabilities 4,255,335 277,984 4,533,319 3,970,620 286,354 4,256,974
Net position 25,039 (3,941) 21,098 100,107 (8,551) 91,556
In 2020 and 2019, the Bank recorded net exchange gains for S/ 589 million and S/ 570 million,
respectively, in 'profit or loss from financial transactions' of the separate statement of profit or loss.
They correspond to the measurement of exchange rates and foreign currency transactions(note 20).
In 2020 and 2019, the changes in the exchange rates of the sol in relation to the U.S. dollar were
9.26% and -1,75%, respectively.
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5. Cash and Due from Banks

As of December 31, this caption comprises the following:

Cash (a) 2,360,065 2,625,449
Central Reserve Bank of Peru (a) 15,404,584 6,256,301
Banks and other local financial entities (b) 112,993 1,314,811
Banks and other foreign financial entities (b) 5,223,908 2,298,564
Clearing 28,023 45,005
BCRP funds pledges as guarantee (c) 1,505,604 2,223,584
Other funds pledges as guarantee (d) 294,346 33,173
Other cash and due from banks 360 499
24,929,883 14,797,386
(a) As of December 31, 2020, available funds in cash and deposits at the BCRP amount to
US$ 1,366 million and S/ 1,890 million (2019: US$ 2,026 million and S/ 1,707 million) to cover
the legal reserve corresponding to deposits and obligations, according to current laws. These
funds are held in the Bank's vault or deposited at the BCRP.
In 2020 and 2019, reserve funds are subject to a rate of 4% and 5% in local currency,
respectively, and a rate of 35% in foreign currency in both years, on the total liabilities
subject to reserve requirements, as required by the BCRP.
Reserve funds of legal reserves (4%) do not accrue interest. Reserve funds of additional
reserve requirements in local and foreign currency are paid at a nominal interest rate
established by the BCRP. DRAFT
As of December 31, 2020, balances at the BCRP correspond to time deposits for S/ 10,600
million (2019: overnight deposits of the BCRP for S/ 219 million). As of December 31, 2020, it
includes S/ 80 million and US$ 5 million to ensure the transfers, as required by the BCRP
since December 2020.
(b) As of December 31, 2020 and 2019, deposits at local and foreign banks correspond to
balances in soles and U.S. dollars, as well as other currencies. They have free withdrawal
option and accrue interest at market rates.
(c) As of December 31, 2020, it corresponds to guarantee funds that support repurchase
agreements in foreign currency entered into with the BCRP for US$ 400 million (2019:
US$ 671 million) and repurchase agreements for loans for S/ 40 million.
(d) As of December 31, 2020 and 2019, includes funds pledges as guarantee for operations with
derivative financial instruments amounting to S/ 288 million and S/ 27 million, respectively.
In 2020 and 2019, interest income from cash and due from banks amounts to S/ 38 million and 148
million, respectively. It is included in 'interest income' in the separate statement of income (note 17).
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6. Investments at Fair Value Through Profit or Loss and Available-for-Sale


Investments at fair value through profit or loss
BCRP certificates of deposit (a) 4,015,271 2,371,433
Peruvian treasury bonds (b) 663,785 297,690
4,679,056 2,669,123
Investments available-for-sale
U.S. treasury bills (c) 1,912,583 496,661
Peruvian treasury bonds (b) 1,903,892 1,470,316
Multilateral development banks bonds (d) 147,062 -
Corporate bonds (e) 102,955 117,312
U.S. treasury bonds 44,564 -
Shares in local entities (f) 22,313 21,336
Shares in foreign entities 1,010 1,010
6,692,036 3,913,364
11,371,092 6,582,487
(a) BCRP certificates of deposit are freely tradable securities, repossessed through BCRP public
auctions or traded in the Peruvian secondary market. As of December 31, 2019, S/ 983
million of the balance of these instruments are committed to repurchase agreement
(note 14 (a)).
As of December 31, 2020, these instruments mature on April 2021 (as of December 31,
DRAFT
2019, mature on February 2021) and annual interest in local currency fluctuates between
0.25% and 5% (between 2.04% and 2.47% in local currency as of December 31, 2019) and
0.17% and 5% in foreign currency.
(b) Peruvian Treasury Bonds include to sovereign bonds issued in local currency by the Ministry
of Economy and Finance (MEF) of Peru and represent internal public debt securities of the
Republic of Peru. As of December 31, 2019, S/ 457 million of the balance of these
instruments which were as guarantee for repurchase agreement.
As of December 31, 2020, these bonds accrue interest at annual rates ranging from 0.73%
and 5.25% (1.08% and 5.42%, as of December 31, 2019) in local currency and from 0.96%
to 1.76% in foreign currency (2.91% as of December 31, 2019). As of December 31, 2020
and 2019, such bonds in local currency mature in February 2055, in both periods, and in
foreign currency mature in December 2032 and Julio 2025, respectively.
As of December 31, 2020 and 2019, part of Peru's global bonds, in foreign currency, have a
cash flow hedge (note 8 (ii)).
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(c) As of December 31, 2020, U.S. treasury bills accrue interest at annual rates ranging from
0.03% and 0.76% (between 1.49% and 2.50% as of December 31, 2019) in foreign currency
and have current maturity in March 2021 (March 2020 as of December 31, 2019).
The balance of the exposure in U.S. Treasury Bills includes S/ 6 million of provisions for
country risk.
As of December 31, 2020 and 2019, part of U.S. Treasury Bills has a cash flow hedge.
(note 8 (ii)).
(d) It corresponds to international corporate bonds in foreign currency issued by the Asian
Development Bank (ADB) and the European Investment Bank (EIB). As of December 31,
2020, these bonds accrue interest at effective annual interest rates ranging from 0.16% to
7.28% in foreign currency and mature in June 2021.
As of December 31, 2020, the ADB bonds and part of EIB bonds are in foreign currency and
have a cash flow hedge. (note 8 (ii))
(e) As of December 31, 2020 and 2019, it corresponds to corporate bonds issued by Peruvian
entities in foreign and local currency.
As of December 31, 2020, these bonds accrue interest at effective annual interest rates
ranging from 0.65% to 1.04% (2019: from 2.16% to 2.67%) in foreign currency and 3.65% in
local currency as of December 31, 2019. As of December 31, 2020 and 2019, these bonds in
foreign currency mature in April 2023, for both years. The bonds in local currency matured in
October 2020.
DRAFT
(f) As of December 31, 2020, the Bank recorded an impairment loss for S/14 million and S/ 4
million on investments held at Lima Stock Exchange (Bolsa de Valores de Lima - BVL) and
Pagos Digitales Peruanos S.A., respectively.
As of December 31, 2020, unrealized gains on measurement of investments available-for-sale

(note 15.D) amount to S/ 113 million (2019: S/ 39 million).
As of December 31, 2020, accrued interest on loans (note 17) amounts to S/ 148 million (2019:
S/ 211 million).
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7. Loan Portfolio, Net


Direct loans
Loans 34,001,435 51% 20,552,231 37%
Mortgage loans 12,850,101 19% 12,847,424 23%
Consumer loans 6,165,726 9% 6,199,156 11%
Foreign trade 3,647,036 6% 5,535,077 10%
Finance lease 3,478,196 5% 3,986,476 7%
Project finance 1,853,442 3% 1,716,350 3%
Factoring 1,295,540 2% 1,492,391 3%
Discounts 874,658 1% 1,186,831 2%
Others 2,141,713 4% 2,247,845 4%
66,307,847 100% 55,763,781 100%
Loans past due and loans under legal collection 2,262,590 3% 1,775,347 2%
Refinanced loans 1,801,996 3% 1,246,958 2%
70,372,433 106% 58,786,086 104%
More (less):
Accrued returns on current loans 536,916 1% 359,296 1%
Deferred interest (98,348) - (62,984) -
Provisions for direct loan losses (4,364,046) (7%) (2,873,191) (5%)
66,446,955 100% 56,209,207 100%
Indirect loans 20,388,829 16,664,232
As of December 31, 2020 and 2019, the 51% of the direct loans is concentrated in 3,705 and 2,158
DRAFT
customers, respectively, amounting to S/ 36,257 million and S/ 30,273 million, respectively.
Direct loan portfolio with guarantees received from customers, which comprise mortgages,
deposits, letters of guarantees, guarantees and warrants, amounts to S/ 54,458 million as of
December 31, 2020 (S/ 40,894 million as of December 31, 2019).
As of December 31, 2020, part of the mortgage loan portfolio guarantees a loan with Fondo Mi
Vivienda S.A. for up to S/ 452 million (S/ 453 million as of December 31, 2019) (note 13(b)).
As of December 31, 2020, part of the loan portfolio belongs to the Reactiva Peru, Crecer and FAE
program (note 1.C) with balances of S/ 14,931 million, S/ 15 million and S/ 94 million, respectively.
Loans of the Reactiva Peru Program are part of the repurchase agreement of credit portfolio with
BCRP (note 14(a)). The detail of such loans is detailed as follows:
In thousands of soles 2020

Type of loans
Corporate loans 38,000
Large-business loans 3,835,084
Medium-business loans 8,636,617
Others 2,421,675
Total loans from Reactiva Peru program 14,931,376
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As of December 31, 2020, an amount of S/ 199 million of the loan portfolio comprise repurchase
agreements for loans with the BCRP (note 14(a)).
The effective interest rates of loans are the following:
2020 2019
Local Foreign Local Foreign
Loans currency currency currency currency
Loans and discounts 3.39 4.57 7.21 5.19
Mortgage loans 6.99 6.14 7.52 6.49
Consumer loans 21.68 22.64 23.57 28.07
The loan portfolio (direct loans) is segmented based on the type of customer, in accordance with
SBS Resolution 11356-2008.

Medium-business loans 19,909,336 29% 11,485,649 19%
Mortgage loans 13,560,999 19% 13,384,264 23%
Large-business loans 12,662,580 18% 9,910,587 17%
Corporate loans 11,941,981 17% 13,231,810 22%
Consumer loans 6,571,475 9% 6,441,099 11%
Small-business loans 3,414,100 5% 1,743,687 3%
Public entities 1,195,003 2% 926,515 2%
Financial institutions 608,661 1% 1,165,894 2%
Broker-dealers 322,952 - 331,300 1%
Micro-business loans 172,346 - 107,280 -
DRAFT
Multilateral development banks 13,000 - 58,001 -

70,372,433 100% 58,786,086 100%
174
Banco BBVA Perú

Separate Statement of Cash Flows
As of December 31, according to current SBS regulations, the credit risk rating of loan portfolio of the bank is as follows:
2020 2019
Direct Indirect Direct Indirect
In thousands of soles loans % loans % Total % loans % loans % Total %
Credit risk ratings
Standard 64,007,214 91 19,392,569 96 83,399,783 91 54,277,885 92 15,866,165 96 70,144,050 93
With potential problems 2,144,229 3 466,670 2 2,610,899 3 1,155,004 2 318,155 2 1,473,159 2
Substandard 1,070,113 2 416,776 2 1,486,889 2 927,115 2 392,589 2 1,319,704 2
Doubtful 857,199 1 36,260 - 893,459 1 857,778 1 38,165 - 895,943 1
Loss 2,195,330 3 76,554 - 2,271,884 3 1,505,320 3 49,158 - 1,554,478 2
70,274,085 100 20,388,829 100 90,662,914 100 58,723,102 100 16,664,232 100 75,387,334 100
Deferred interest 98,348 98,348 62,984 62,984
70,372,433 20,388,829 90,761,262 58,786,086 16,664,232 75,450,318
175
Banco BBVA Perú

As of December 31, 2020, the Bank applied debt-relief measures for S/ 80 million, which correspond
to the principal, interest and fees (2019: S/ 64 million).
As of December 31, 2020, the Bank written-off impaired loans for S/ 64 million (2019: S/ 94 million).
The movement in the provision for direct loan losses is as follows:

Balance at the beginning of the year (2,873,191) (2,601,748)
Additions debited to profit or loss (2,717,200) (1,672,145)
Recovery of provisions 987,864 918,525
Sale of loan portfolio 225,546 378,638
Write-off 64,013 93,587
Waiver 18,334 10,163
Exchange difference and other adjustments (69,412) (211)
Closing balance (4,364,046) (2,873,191)
The provision for direct loan losses, as shown in the separate statement of income, is as follows:

Provisions for loan losses (2,717,200) (1,672,145)
Income from recovery of loan portfolio 5,690 3,530
Provision for loan losses, net of reversals (1,723,646) (750,090)
Management considers that the level of provision for loans losses covers eventual losses in the
direct loan portfolio as of the date of the separate statement of financial position and has been made
in compliance with all the requirements of current regulations.
The balance of the provision for loan losses (direct loans) is as follows:

Specific (2,753,185) (1,871,191)
Specific COVID-19 (123,453) -
Generic (576,899) (622,223)
Voluntary (908,963) (377,925)
Provision for country risk (1,546) (1,852)
Closing balance (4,364,046) (2,873,191)
The Bank, according to current laws, identified customers exposed to exchange rate risk. However,
the Bank does not consider it necessary to recognize a provision.
In 2020, the Bank sold loan portfolio for S/ 226 million (S/ 378 million in 2019), S/ 46 million were
sold to Inmuebles y Recuperaciones BBVA S.A. The sale amounted to S/ 11 million (S/ 22 million in
2019) and is presented in 'profit or loss from financial operations' of the separate statement of
income.
In 2020, the Bank purchased a loan portfolio to its subsidiary BBVA Consumer Finance EDPYME for
S/ 214 million (2019: S/ 119 million). The purchase price amounted to S/ 247 million (2019: S/ 133
million).
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Banco BBVA Perú

As of December 31, 2020, rescheduled loans mainly related to the COVID-19 context (note 3.E.iii)
amounts to S/ 13,088 million and is detailed as follows:
In thousands of soles Total

Type of loans
Mortgage loans 4,676,367
Medium-business 3,960,602
Non-revolving loans 1,716,647
Large-business 1,214,955
Revolving loans 844,938
Small-business 511,646
Corporate 157,953
Micro-business 4,429
Total reschedule direct loans 13,087,537
Likewise, from the total of rescheduled loans, approximately S/ 2,872 million correspond to interest-
free rescheduling (consumer, small-business and micro-business loan), whose impact is
approximately of S/ 97 million of less finance income.
8. Trading and Hedging Derivatives

As of December 31, 2020 and 2019, the Bank holds foreign-exchange forward contracts, cross-currency
swaps, interest rate swaps and options. As of December 31, changes in the fair value of held for trading
derivative financial instruments are presented as account receivable (assets) or accounts payable
(liabilities), as appropriate:
In thousands of soles Note Underlaying Nominal Assets Liabilities

2020
Trading Derivatives
Currency forward contracts 20,640,060 153,918 205,947
Interest rate swaps 12,326,261 280,024 375,716
Currency swap 10,138,403 469,980 291,822
Options of shares, changes
and others 720,484 2,910 2,910
Provision for country risk - (8,237) -
43,825,208 898,595 876,395
Hedging derivatives 6 and 13
At fair value (i)
Interest rate swaps Bonds issue 2,896,800 102,960 -
Interest rate swaps Loans 54,315 394 -
Contractual cash flows (ii)
Currency forward contracts U.S. treasury bills 217,260 - 2,674
Currency forward contracts Multilateral development
banks bonds 111,161 - 5,466
Currency swap Peru's global bonds 108,630 - 6,196
Interest rate swaps Loans 31,037 - 297
3,419,203 103,354 14,633
47,244,412 1,001,948 891,028
177
Banco BBVA Perú


2019
Trading derivatives
Currency swap 6,287,069 302,746 224,063
Options of shares, changes
and others 1,167,909 16,053 16,053
34,731,977 567,686 490,934
Hedging derivatives 6 and 13
At fair value (i)
Interest rate swaps Bonds issue 2,651,200 - 7,986
Interest rate swaps Loans 1,242,750 - 5,888
Currency swap Loans 331,400 - 1,784
Currency swap Global bonds 25 99,420 - 4,119
Currency forward contracts Time deposits 351,313 67 -
Currency forward contracts U.S. treasury bills 198,840 4,410 -
4,922,266 4,611 19,777
39,654,243 572,297 510,711
(i) Fair value – hedging derivatives
Interest rate swaps

As of December 31, 2020, the Bank holds cross-currency swaps contract at face value for
S/ 2,951 million for loans and issuance (S/ 3,894 million as of December 31, 2019). Through IRS, the
Bank receives a fixed interest rate in U.S. dollars and pays a variable interest rate in the same
currency. In 2020, changes in fair value of IRS amounts to S/ 86 million and is recorded in 'operating
profit' of the separate statement of income (profit of S/ 120 million in 2019).
The table below shows the detail of hedged elements and their hedging instruments as of
December 31:
Face value of the hedging Face value of the hedging

instrument stated in instrument stated in
thousands of S/ thousands of S/
Hedge element Hedging instrument 2020 2019 2020 2019

Fair value hedges 2,951,115 3,893,950 103,354 (13,874)
First international issuance of Interest rate swap (IRS)
corporate bonds for The Bank receives a fixed interest 1,810,500 1,657,000 48,067 (3,459)
US$ 500 million (note 13(e)) rate and pays a variable interest rate.
First international issuance of Interest rate swap (IRS)
subordinated bonds for The Bank receives a fixed interest 1,086,300 994,200 54,894 (4,527)
US$ 300 million (note 13(e)) rate and pays a variable interest rate.
Interest rate swap (IRS)
Wells Fargo loan for US$ 15
The Bank receives a fixed interest 54,315 82,850 393 (608)
million (note 13 (a))
rate and pays a variable interest rate.
Deutsche Bank loan for
The Bank receives a fixed interest - 1,159,900 - (5,280)
US$ 350 million (note 13 (a))
rate and pays a variable interest rate.
178
Banco BBVA Perú

(ii) Cash flow - hedging derivatives
Interest rate swap

As of December 31, 2020, the Bank holds cross-currency swaps contract at face value for S/ 31
million for loans and issuance (S/ 47 million as of December 31, 2019). Through IRS, the Bank
receives a variable interest rate in U.S. dollars and pays a variable interest rate in the same
currency.
In 2020, fair value of IRS amounts to S/ 0.1 million of loss, which is recorded in 'equity net of
deferred tax’ (profit of S/ 0.1 million in 2019).
Currency swap
As of December 31, 2020, the Bank holds currency swaps for a face value amounting to
S/ 109 million for the bonds hedge accounted as investments available-for-sale (US$ 30 million of a
global bond). Through currency swap of global bonds, the Bank receives a fixed interest rate in
soles and pays a variable interest rate in U.S. dollars.
S/ 431 million for the bonds hedge accounted as investments available-for-sale and loans (US$ 30
million of a global bond and US$ 100 million off a loan). Through currency swap of global bonds, the
Bank receives a fixed interest rate in soles and pays fixed interest rate in U.S. dollars; and though
the currency swaps for loans, Bank receives fixed interest rate in U.S. dollars and fixed interest rate
in soles.
In 2020, fair value of currency swaps amounts to S/ 3.3 million of gain, which is recorded in 'equity
net of deferred tax’ (loss of S/ 3.5 million in 2019).
Currency forward
As of December 31, 2020, the Bank has currency forward contracts at face value equivalent to S/
328 million for hedging instrument at fixed tax accounted as investment available-for-sale (US$ 60
million of U.S. treasury bills, US$ 20 million of Asian Development Bank (ASD) bonds and US$ 10
million of European Investment Bank (EUI) bonds). Through currency forward of the U.S. treasury
bills, the Bank receives a future cash flow in soles and pays a future cash flow in U.S. dollars; for
ASD and EUI receives a future cash flow in soles and pays a future cash flow in U.S. dollars.
As of December 31, 2019, the Bank has currency forward contracts at face value equivalent to S/
550 million for hedging instrument at fixed tax accounted as investment available-for-sale, and at
time deposit (US$ 60 million of U.S. treasury bills and US$ 106 million-time deposit). Through
currency forward of the U.S. treasury bills, the Bank receives a future cash flow in soles and pays a
future cash flow in U.S. dollars; and through currency forward at time deposit, the Bank receives a
future cash flows in U.S. dollars and pays a future cash flows in soles.
In 2020, fair value of currency forwards amounts to S/ 2.8 million of gains recorded in 'equity, net of
deferred tax’ (loss of S/ 1 million of gains 2019).
179
Banco BBVA Perú

The following table shows the hedged items and hedging instruments.
Face value of the hedging Fair value of the hedging

instrument (in thousand instrument (in thousand
of soles) of soles)
Hedged item Hedging instruments 2020 2019 2020 2019

Cash flow hedges 468,088 1,028,316 (14,634) (1,292)
Loans of Standard Chartered Bank Interest rate swaps
for US$ 9 million (note 13 (a)) The Bank receives interest at a
variable rate and pays a fixed
rate 31,037 47,343 (297) 134
Global bonds for US$ 30 million Interest rate swaps
(note 6 (d)) The Bank receives interest at a
fixed rate and pays a fixed rate
in U.S. dollars. 108,630 99,420 (6,196) (4,119)
U.S. treasury bills for US$ 60 Interest rate swaps
million (note 6 (c)) The Bank receives cash flows
in soles and pays cash flows in
U.S. dollars. 217,260 198,840 (2,674) 4,410
Bonds of the ADB for US$ 20 Interest rate swaps
million (note 6 (e)) The Bank receives cash flows
U.S. dollars. 74,067 - (4,085) -
Bonds of the EUI for US$ 10 Interest rate swaps
million (note 6 (e)) The Bank receives cash flows
U.S. dollars. 37,094 - (1,382) -
Loans of Wells Fargo Bank for Currency swaps
US$ 100 million (note 13 (a)) The Bank receives interest at a
fixed rate in U.S. dollars and
pays a fixed rate in soles - 331,400 (1,784)
Time deposits for US$ 106 Forward contracts
million(note 12) The Bank receives cash flows
in U.S. dollars and pays cash
flows in soles - 351,313 67
9. Investments in Subsidiaries and Associates


Investments in subsidiaries (a):
Inmuebles y Recuperaciones BBVA S.A. 172,057 164,448
BBVA Consumer Finance EDPYME 104,557 97,765
BBVA Asset Management S.A. S.A.F. 40,381 38,700
Forum Distribuidora del Perú S.A. 24,506 22,518
BBVA Bolsa Sociedad Agente de Bolsa S.A. 18,655 18,507
BBVA Sociedad Titulizadora S.A. 5,212 4,716
Forum Comercializadora del Perú S.A. 2,187 3,043
367,555 349,697
Investments in associates (b):
TFP S.A.C. 4,582 4,532
Compañía Peruana de Medios de Pago S.A.C. (c) - 11,070
4,582 15,602
372,137 365,299
180
Banco BBVA Perú

(a) As of December 31, 2020 and 2019, the Bank holds 100% of the shares of its subsidiaries.
As of December 31, 2020 and 2019, the goodwill related to the acquisition of the entities
BBVA Consumer Finance EDPYME, Forum Comercializadora del Perú S.A. and Forum
Distribuidora del Perú S.A. amounts to S/ 10 million. The Bank recognized a loss allowance for
S/ 10 million and S/ 4 million, respectively.
Also, BBVA Consumer Finance EDPYME started the business combination with the Bank in
the first quarter of 2021. The dissolution of such entity begins on such period.
(b) As of December 31, 2020 and 2019, the Bank holds 24.30% and 21.03% of shares of
TFP S.A.C. and Compañía Peruana de Medios de Pagos S.A.C. (hereinafter the Company).
(c) As of December 31, 2020, the COVID-19 pandemic and the national state of emergency had
an effect on the Company's business activities and profit or loss. Therefore, the Bank
recognized losses in such associate for S/ 2 million.
The Company's profit or loss had an effect resulting from the national state of
emergency declared due to the COVID-19 pandemic. On the other hand, the Company's
financial statements include the profit or loss of its subsidiary Soluciones y Servicios
Integrados S.A.C., incorporated 3 years ago focusing on the consumer goods sector.
Therefore, new product development and brand positioning resulted in costs and expenses.
In 2020 and 2019, the Bank recognized gains on investments in subsidiaries and associates for S/ 43
million and S/ 60 million, respectively (note 20).
181
Banco BBVA Perú

10. Property, Furniture and Equipment, Net

Movement in property, furniture and equipment and accumulated depreciation for the years 2020 and 2019 was as follows:
Installations and Goods in transit

Buildings and Furniture and improvements to Work-in- and replacement
In thousands of soles Land premises equipment Vehicles rental property progress parts Total
Costs
Balance as of January 1, 2019 118,224 852,941 670,242 8,564 263,908 118,157 292 2,032,328
Additions - 8,267 55,039 - - 93,652 - 156,958
Derecognition of assets and others - (236) (11,186) (477) - - (36) (11,935)
Transfers - 109,809 17,422 - (509) (126,722) - -
As of December 31, 2019 118,224 970,781 731,517 8,087 263,399 85,087 256 2,177,351
Additions - 8,725 52,385 - 4,560 66,604 - 132,274
Derecognition of assets and others - (217) (3,214) - 24 - - (3,407)
Transfers - (79,557) - - 79,770 (213) - -
As of December 31, 2020 118,224 899,732 780,688 8,087 347,753 151,478 256 2,306,218
Depreciation
Balance as of January 1, 2019 - 527,471 398,061 6,356 160,578 - - 1,092,466
Additions - 34,600 68,199 760 5,701 - - 109,260
Impairment - - - - 854 - - 854
Derecognition of assets - (4) (12,558) (477) - - - (13,039)
Transfers - 1,493 - - (1,493) - - -
As of December 31, 2019 - 563,560 453,702 6,639 165,640 - - 1,189,541
Additions - 24,645 71,350 643 10,606 - - 107,244
Impairment - 118 - - - - - 118
Transfers - (16,582) - - 16,582 - - -
As of December 31, 2020 - 571,524 521,596 7,282 192,848 - - 1,293,250
Net costs
As of December 31, 2020 118,224 328,208 259,092 805 154,905 151,478 256 1,012,968
As of December 31, 2019 118,224 407,221 277,815 1,448 97,759 85,087 256 987,810
According to current regulations, the Bank in Peru cannot pledge as guarantee the assets that are part of their property, furniture and equipment, except for
those acquired through the issuance of lease bonds to carry out finance leases.
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Banco BBVA Perú

11. Other Assets, Net


Transactions in progress (a) 765,064 1,045,499
Intangible assets (b) 285,018 286,698
Tax credit (c) 172,714 26,352
Deferred charges (d) 133,340 150,170
Other accounts receivable 23,155 22,264
Accounts receivable from the sale of goods, services and trust
22,299 21,823
funds
Others 1,660 1,661
1,403,250 1,554,467
(a) Transactions in progress are mainly those carried out during the last days of the month and
are reclassified in the following month to their final accounts in the separate statement of
financial position, these transactions do not have an impact on the Bank's profit or loss. As of
December 31, 2020, it mainly corresponds to treasury transactions: i) acquisition and sale of
currency for S/ 480 million (S/ 873 million as of December 31, 2019), and ii) sale of securities
for S/ 231 million (S/ 136 million as of December 31, 2019).
(b) As of December 31, 2020, intangible assets are recorded net of S/ 246 million of accumulated
amortization and impairment (S/ 140 million as of December 31, 2019).
(c) As of December 31, 2020, it corresponds to sales tax credit amounting to S/ 27 million (S/ 35
million as of December 31, 2019), and income tax credit amounting to S/ 145 million (S/ 9
million as of December 31, 2019).
(d) As of December 31, 2020 and 2019, advance payment mainly includes prepaid insurance
contracts, deferred loan origination costs related to fees paid to the external sales force and
the premium paid for the acquisition of the loan portfolio.
12. Obligations to the Public and Deposits from Financial System Entities

Obligations to the public
Demand deposits 29,778,628 18,404,285
Savings deposits 24,711,799 17,239,084
Time deposits 16,247,276 18,913,066
Other obligations 74,831 103,543
70,812,534 54,659,978
Deposits from financial system entities
Time deposits 846,698 1,096,289
Demand deposits 541,344 390,081
Savings deposits 105,024 73,535
1,493,066 1,559,905
72,305,600 56,219,883
183
Banco BBVA Perú

As of December 31, 2020 and 2019, obligations to the public include deposits received as
guarantees of direct and indirect loan for S/ 963 million and S/ 776 million, respectively.
The Bank determines deposit interest rates based on the interest rates prevailing in the market. For
the main products, the annual interest rates prevailing as of December 31, 2020 and 2019 fluctuated
as follows:
2020 2019
currency currency currency currency
Checking accounts 0.00 - 0.25 0.00 - 0.125 0.00 - 0.25 0.00 - 0.125
Saving deposits 0.00 - 0.50 0.00 - 0.25 0.00 - 0.50 0.00 - 0.125
Time deposits and bank certificates 0.80 - 1.35 0.10 - 0.80 0.80 - 1.35 0.10 - 0.50
Super depósito bank account 0.80 - 1.35 0.10 - 0.80 0.80 - 1.35 0.10 - 0.50
Severance payment deposits 1.00 - 2.50 0.60 - 1.75 1.50 - 2.50 0.60 - 1.75
As of December 31, 2020, from the total deposits and obligations from individuals and non-profit
entities and legal entities, S/ 22,813 million are hedge by the Deposit Insurance Fund (S/ 17,685
million as of December 31, 2019) and are obtained from the average daily balances of the month,
according to SBS Resolution 0657-99. The maximum amount subject to hedge by person amounts
to S/ 101,522 at the end of December 2020 (S/ 100,661 as of December 31, 2019).
13. Borrowings and Financial Obligations


Borrowings and financial obligations:
Foreign financial entities (a) 1,443,573 3,109,659
MIVIVIENDA Program - MIHOGAR loan - Local financial
452,435 452,889
system entities (b)
Corporación Financiera de Desarrollo - COFIDE (c) 134,236 8,070
Accrued interest payable 7,056 25,962
Foreign financial agencies (d) - 331,400
2,037,300 3,927,980
Securities and bonds (e)
Corporate bonds 3,026,713 3,306,077
Subordinated debts 1,763,493 1,589,292
Negotiable certificates of deposit 131,903 332,359
Finance leases bonds - 358,000
4,992,931 5,662,042
7,030,231 9,590,022
Certain loans agreements include standard clauses regarding compliance with financial ratios, use of
funds and other administrative matters. As of December 31, 2020 and 2019, in management's
opinion, these clauses are fulfilled and do no impose any restrictions on the Bank's activities.
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Banco BBVA Perú

(a) As of December 31, 2020, the Bank maintain the following debt agreements with foreign
financial institutions, which accrue interest at annual LIBOR rates ranging from +0.52% to 5%
(from LIBOR rate +0.35% to 7.4% as of December 31, 2019).
2020 2019
In thousands US$ S/ US$ S/ Maturity date
May and June
Wells Fargo Bank (i) & (ii) 115,096 416,761 124,832 413,692
2022
Toronto Dominion Bank 80,000 289,680 - - March and
April 2021
Sumitomo Bank, NY 60,000 217,260 - - May 2021
Citibank NY 50,000 181,050 150,000 497,100 November 2021
Mizuho Corporate Bank 50,000 181,050 - - November 2023
ICO - Instituto de crédito 35,000 126,735 100,895 334,367 August 2022
Standard Chartered (i) & (ii) 8,571 31,037 14,286 47,343 June 2022
Deutsche Bank (iv) - - 348,328 1,154,357
Credit Suisse (v) - - 200,000 662,800
398,667 1,443,573 938,341 3,109,659
Accrued interest payable 1,696 6,141 7,470 24,756
400,363 1,449,714 945,811 3,134,415
(i) It corresponds to a loan for a nominal amount of US$ 15 million (US$ 25 million as of
December 31, 2019), agreed at annual fixed interest rate of 5%, with maturity on June
2022, which have a fair value hedge through interest rate swaps. As of December 31,
2020, such loan has generated accumulated losses for S/ 0.3 million (S/ 0.5 million
accumulated gains as of December 31, 2019). (note 8(ii)).
(ii) As of December 31, 2020 and 2019, it corresponds to loans for US$ 24 million and
US$ 39 million, respectively, which are guaranteed by cash flows from electronic
payment orders of customers (Diversified Payment Rights - DPR). Such payment
orders are sent to the Bank using SWIFT (Society for Worldwide Interbank Financial
Telecommunications Network) codes and accrue interest at LIBOR plus spread.
The Bank entered into loan agreements with specific terms, including compliance
clauses regarding financial ratios and other specific terms related to cash flows
transferred by the Bank. In management's opinion, the Bank met such terms.
(iii) It corresponds to a loan for US$ 9 million (2019: US$ 14 million) that matures in June
2022 and has a cash flow hedge through interest rate swaps (note 8 (ii)).
(iv) Loan for US$ 350 million, agreed at annual fixed interest rate of 5.5% and whose
maturity was on November 2020. This loan had an accounting hedge through an
interest rate swap, which as of December 31, 2019 generated accumulated gains for
S/ 4 million.
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Banco BBVA Perú

(v) On October 7, 2020, the Bank executed early redemption of the subordinated loan for
US$ 200 million contracted with Credit Suisse, Cayman Islands Branch in accordance
with the agreed between the parts.
As of December 31, 2020 and 2019, accounts payable for S/ 0.4 million and S/ 10 million,
respectively, correspond to deferred debt issuance costs.
(b) As of December 31, 2020, it corresponds to resources for the financing of the acquisition of
houses under the MI VIVIENDA program (MI HOGAR credit) which amounts to S/ 449 million
and US$ 1 million (S/ 448 million and US$ 1 million as of December 31, 2019). As of
December 31, 2020 and 2019, this loan accrue interest at an annual effective rate in U.S.
dollars of 7.75 % and in soles of 6.25 % on principal plus constant update value in both
periods, and have maturity on December 2040 and December 2039, respectively.
As of December 31, 2020 and 2019, debts with Fondo Mi Vivienda S.A. are guaranteed with
mortgage loans for up to S/ 452 million and S/ 453 million, respectively (note 7). These loans
have include specific agreements on how the funds should be used, the financial conditions
that the final borrower must maintain, as well as other administrative matters.
(c) As of December 31, 2020, it includes balances corresponding to FAE, which is managed by
COFIDE, that in local currency amounts to S/ 127 million, and in foreign currency amounts to
US$ 0.2 million. As of December 31, 2020, these balances accrue interest at annual rates
ranging from 4.61% to 7.51% in local currency and 5.29% and 7.36% in foreign currency,
and have maturity in April 2023.
(d) As of December 31, 2019, it corresponds to loans with Corporación Andina de Fomento
(CAF) for US$ 100 million, which accrue interest at rates ranging from 2.01% to 2.56% and
do not have specific guarantees.
186
Banco BBVA Perú

(e) As of December 31, securities and bonds are as follows:
Original
Authorized amount in
Program amount Currency place 2020 2019 Maturity date
Corporate bonds
1st issuance, single series – Fourth US$ 100 million PEN 40,000 - 40,000
program August 2020
2nd issuance, series A – Fourth program PEN 80,000 - 80,000 August 2020
2nd issuance, series A – Fifth program US$ 250 million PEN 150,000 150,000 150,000 December 2026
2nd issuance, series A – Sixth program US$ 250 million PEN 150,000 150,000 150,000 June 2021
3rd issuance, series A – Sixth program PEN 350,000 - 350,000 November 2020
1st issuance, series A – Seventh program US$ 1,000 million PEN 132,425 132,425 132,425 June 2021
1st issuance, series B – Seventh program PEN 69,435 69,435 69,435 June 2021
2nd issuance, series A – Seventh program PEN 100,000 100,000 100,000 July 2023
2nd issuance, series B – Seventh program PEN 73,465 73,465 73,293 August 2023
1st issuance, series C – Seventh program PEN 70,000 70,000 70,000 September 2021
1st issuance, series D – Seventh program PEN 120,000 120,000 120,000 July 2022
1st issuance, series E – Seventh program PEN 65,520 65,520 65,520 August 2022
1st issuance, series F – Seventh program PEN 150,000 150,000 150,000 October 2022
2nd issuance, series C – Seventh program PEN 96,550 96,550 96,550 December 2024
First program of international issuance (i) US$ 500 million US$ 500,000 1,849,318 1,658,854 August 2022
3,026,713 3,306,077
Subordinated debts
2nd issuance, series A - First Program US$ 50 million or

S/ 158.30 million US$ 20,000 72,177 66,030 May 2027
3rd issuance, series A - First Program PEN 55,000 81,672 79,959 June 2032
2nd issuance, series A - Second Program US$ 100 million PEN 50,000 72,715 71,190 November 2032
3rd issuance, series A - Second Program US$ 20,000 72,420 66,280 February 2028
4th issuance, single series - Second
Program PEN 45,000 63,155 61,831 July 2023
5th issuance, single series - Second
Program PEN 50,000 69,266 67,814 September 2023
6th issuance, series A - Second Program PEN 30,000 40,844 39,987 December 2033
1st issuance, single series - Third program US$ 55 million US$ 45,000 162,945 149,130 October 2028
First program of international issuance -

Single issuance (ii) US$ 300 million US$ 300,000 1,128,299 987,071 September 2029
1,763,493 1,589,292
Finance leases bonds
1st issuance, series A – Second program US$ 250 million PEN 158,000 - 158,000 December 2020
1st issuance, series C – Second program PEN 200,000 - 200,000 January 2020
- 358,000
4,992,931 5,662,042
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Banco BBVA Perú

(i) In August 2012, the Bank issued corporate bonds in the international market for a face value
of US$ 500 million, at an annual fixed rate of 5%, and with maturity in August 2022. The
main payment shall be carried out in full on its maturity date. Fair value of this issuance has
an accounting hedge through cross-currency swaps contracts, which accrued accumulated
losses for S/ 39 million as of December 31, 2020 (accumulated losses for S/ 2 million as of
December 31, 2019).
(ii) In September 2014, the Bank issued subordinated bonds in the international market for a
face value of US$ 300 million, at an annual fixed rate of 5.25%, and with maturity in
September 2029. The main payment shall be carried out in full on its maturity date. Fair value
of this issuance has an accounting hedge through cross-currency swaps contracts, which
accrued accumulated losses for S/ 47 million as of December 31, 2020 (accumulated gains
for S/ 2 million as of December 31, 2019).
As of December 31, 2020, corporate bonds do not have specific guarantees and accrue interest at
annual rates ranging from 3.9% and 7.5% in local currency and 5% in foreign currency (between
4.1% and 7.5% in local currency and 5% in foreign currency as of December 31, 2019).
Subordinated bonds have been issued in accordance with the Banking Law and accrue interest at a
rate ranging from constant update value plus a spread and 5.6% for local currency, and from 5.3%
and 6.5% in foreign currency, as of December 31, 2020 and 2019.
As of December 31, 2019, financing lease bonds accrue interest at annual interest rate from 4.63%
to 6.03% for local currency, that are supported by loan transactions in the form of financial leasing
that have been financed with resources obtained through such bonds.
As of December 31, 2020 and 2019, the Bank has in accounts payable a balance of S/ 7 million and
S/ 9 million, respectively, which correspond to deferred issuance expenses.
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14. Accounts Payable, Provisions and Other Liabilities


Accounts payable
Repurchase agreements (a) 15,183,940 3,545,845
Accounts payable to suppliers 361,868 276,410
Premium to deposit insurance fund, contributions and obligations
with tax collecting institutions 128,063 128,329
Dividends, interest and remunerations payable 114,026 134,086
Other accounts payable (b) 157,686 35,802
Interest payable 61,136 68,766
16,006,719 4,189,238
Other liabilities
Transactions in progress (c) 741,570 1,093,742
Deferred income and others 73,976 24,431
815,546 1,118,173
Provisions
Provision for contingent loans (d) 247,366 226,399
Provision for litigations, claims and other contingencies (e) 225,220 218,680
Labor provisions and others 413,909 311,140
886,495 756,219
17,708,760 6,063,630
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(a) As of December 31, 2020, it corresponds to the balance of liabilities for purchase agreements
in foreign currency for S/ 1,383 million, repurchase agreement of credit portfolio of the
Reactiva Peru Program for S/ 13,602 million and repurchase agreement for rescheduled credit
portfolio for S/ 199 million, with the BCRP. As of December 31, 2019, it corresponds to
S/ 2,224 million for repurchase agreements in foreign currency, S/ 373 million for repurchase
agreement of certificates of deposit, S/ 348 million for repurchase agreements for sovereign
bonds, with the BCRP and S/ 600 million for repurchase agreement with financial entities.
As of December 31, 2020, repurchase agreement of foreign currency have maturity on April
2021 (October 2020 as of December 31, 2019) and accrue interest at annual interest rate of
1.80% and 3.61% (between 3.47% and 5.01% as of December 31, 2019); repurchase
agreement of credit portfolio of the Reactiva Peru Program have maturity up to December
2023 and accrue interest at annual rate of 0.50%. Repurchase agreements of rescheduled
credit portfolio have maturity on August 2024 and accrue annual interest rate of 0.50%.
(b) As of December 31, 2020, it includes S/ 110 million for short-term sale transactions.
(c) Transactions in progress are mainly those carried out during the last days of the month and
are reclassified in the following month to their final accounts in the separate statement of
financial position. These transactions do not affect the Bank's profit or loss. As of December
31, 2020, liability transactions in progress mainly include treasury transactions for S/ 612
million (S/ 1,028 million as of December 31, 2019).
(d) Movement in the loss allowance for indirect loans is as follows:

Balance as of January 1 226,399 214,836
Provisions 84,193 93,088
Recovery and reversals (72,064) (77,889)
Exchange difference and other adjustments 8,838 (3,636)
Balance as of December 31 247,366 226,399
The provision for indirect loan losses is as follows:

Specific 111,295 95,520
Generic 121,031 118,175
Provision for country risk 15,040 12,704
(e) The Bank has several pending court claims, litigations and other processes that are related to
the activities it develops, and in the opinion of management and its legal advisors, they will
not result in additional liabilities to those registered.
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15. Equity
A. Regulatory capital and legal limits

In accordance with the Banking Law, the Bank is required to have a capital ratio of at least 10% of
risk-weighted (market and operational risks) assets and indirect loans, calculated by the Bank based
on the standard approach. Likewise, it is used to calculate certain limits and restrictions applicable to
the Bank. In management's opinion, the Bank met such limits and restrictions.
As of December 31, 2020, the Bank's regulatory capital, determined in accordance with current
regulations, amounts to S/ 10,649 million (2019: S/ 10,776 million).
As of December 31, 2020, the Bank's risk-weighted (market and operational risk) assets and indirect
loans amount to S/ 77,820 million (2019: S/ 76,706 million). As of December 31, 2020, the aggregate
capital ratio for market, operational and credit risks is 13.68% (2019: 14.05%).
SBS Resolution 8425-2011, dated July 20, 2011, approved the "Regulation on Additional Reserve
Requirements." It also established that the additional reserve requirements shall be equal to the sum
of the legal reserve requirements calculated per factor: credit risk (individual and sector), market risk,
interest rate risk and other risks. As of December 31, 2020 and 2019, the Bank's additional reserve
requirements amount to S/ 1,285 million and S/ 1,604 million, respectively.
The regulatory capital surplus is as follows:

Minimum regulatory capital requirement
For credit, market and operational risks 7,782,024 7,670,617
Additional regulatory capital 1,284,540 1,604,289
Total minimum requirement 9,066,564 9,274,906
Total regulatory capital 10,648,941 10,775,507
Regulatory capital surplus 1,582,377 1,500,601
B. Share Capital
As of December 31, 2020 and 2019, the subscribed and paid-in capital is represented by 6,529,169
and 5,885,209 ordinary shares (in thousands) with a face value of S/ 1.00 each.
The General Shareholders' Meeting, held May 11, 2020 and March 27, 2019, approved the increase
in share capital for S/ 644 million and S/ 517 million, respectively, through the capitalization of
retained earnings.
Shareholding on the Bank’s share capital as of December 31, is as follows:
2020 2019
Number of Number of
Interests stockholders Interests (%) stockholders Interests (%)
Up to 1 8,045 3.01 7,664 3.04
From 1.01 to 5 4 4.75 3 4.72
From 45.01 to 100 2 92.24 2 92.24
8,051 100.00 7,669 100.00
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C. Reserves
In accordance with the Banking Law, the Bank is required to have a legal reserve of more than 35%
of the paid-in-capital. This legal reserve shall be recognized by an annual transfer of more than 10%
of profit after tax. It shall replace the reserve referred to in the Companies Act. In accordance with
the Banking Law, the amount of this reserve may also be increased with contributions made by the
shareholders for this purpose.
General Shareholders' Meeting held May 11, 2020 and March 27, 2019, approved to record the
legal reserve for the amount equivalent to 10% of 2019 profits (161 million) and 2018 profit (S/ 148
profit), respectively.
D. Adjustments to equity
As of December 31, 2020 and 2019, unrealized profit or loss, net of deferred tax, was as detailed
below:

Investments available-for-sale 6 113,205 39,312
Cash flows hedges 8 5,953 (4,448)
Investments in subsidiaries and associates (2,518) (2,928)
Actuarial liabilities 2,508 (9,120)
119,148 22,816
E. Retained earnings
The General Stockholders' Meeting, held May 11, 2020 and March 27, 2019, approved the
capitalization of profits for S/ 644 million and S/ 517 million, respectively, and dividend distribution
for S/ 563 million y S/ 812 million, respectively. The General Stockholders' Meeting, held May 11,
2020, approved to maintain an amount of S/ 241 million in 'retained earnings'.
On October 28, 2020, the Board of Directors, in exercise of powers conferred by the General
Shareholders' Meeting held May 11, 2020, and in accordance with the provisions of the article 184
literal A), subsection 2 of the Banking Law, approved unanimously to capitalize the profits for the
year 2020 for S/ 142 million. Such commitment shall be effective in the next General Shareholder''s
Meeting.
On October 30, 2019 the Board of Directors, dated, in exercise of powers conferred by the General
Shareholders' Meeting held March 27, 2019, and in accordance with the provisions of article 184
year 2019 for S/ 408 million. January 29, 2020, Board of Directors, held on October 30, 2019,
approved to increase the capitalization of profits from S/ 408 million to S/ 569 million, debited to the
2019 profits. Both commitments were effective on General Shareholder's Meeting, held on May 11,
2020.
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Banco BBVA Perú

16. Risks and Contingent Commitments


Indirect loans:
Guarantees and letters of guarantee 18,938,716 15,567,090
Letters of credit and banker's acceptances 1,450,113 1,097,142
20,388,829 16,664,232
Unused credit lines and non-disbursed loans granted 13,724,115 13,365,508
Various responsibilities 5,794 5,302
34,118,738 30,035,042
In the normal course of its business, the Bank participates in transactions whose risk is recorded in
contingent accounts. These transactions expose the Bank to credit risk, in addition to the amounts
presented in the separate statement of financial position.
Credit risk for contingent transactions is related to the probability that a counterparty will fail to
meet its obligations in accordance with agreed terms.
The Bank applies similar credit policies when evaluating and granting direct and indirect loans. In
management's opinion, contingent transactions do not represent a relevant credit risk since it
expects that a portion of these indirect loans expire without being used. The total amount of
indirect loans does not necessarily represent future cash outflows for the Bank.
Management estimates that no significant losses will arise, for contingent transactions effective as
of December 31, 2020 and 2019.
17. Interest Income

This caption comprises the following:

Direct loan portfolio 4,033,809 4,379,389
Investments available-for-sale 91,689 111,688
Investments at fair value through profit or loss 56,088 99,591
Cash and due from banks 38,099 148,174
Hedging operations 28,297 -
Interbank funds 263 2,190
Other financial income 5,334 4,745
4,253,579 4,745,777
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Banco BBVA Perú

18. Interest Expenses


Borrowings and financial obligations (467,963) (492,383)
Obligations to the public (442,524) (688,545)
Accounts payable (87,573) (69,121)
Deposits from financial system entities (28,806) (61,767)
Other financial expenses (19,167) (15,551)
Hedging operations - (36,559)
(1,049,264) (1,372,663)
19. Income from Financial Services, Net


Income
Income from indirect loans 210,330 206,605
Income from credit card commissions 202,955 269,405
Income from commissions on transfers 175,959 167,651
Income from commissions on collection services 142,761 133,497
Income from services and maintenance of checking accounts 53,245 49,653
Income from online corporate banking services 49,896 45,930
Income from advisory services 17,948 20,682
Income from technical and legal studies 14,887 12,701
Income from cash services 6,850 15,778
Income from trust and commission of trustee 1,480 1,286
Other income for services 234,350 253,046
1,110,661 1,176,234
Expenses
Expenses from Visa and Mastercard operations (106,841) (141,368)
Deposit insurance fund premiums (91,753) (74,402)
Customer loyalty programs (57,114) (93,094)
Transfers (18,062) (11,768)
Foreign exchange spot transaction (7,891) (7,388)
Checking account maintenance expenses (4,222) (4,353)
Other expenses of services (47,970) (56,749)
(333,853) (389,122)
776,808 787,112
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Banco BBVA Perú

20. Profit or Loss from Financial Operations


Gain on exchange difference (note 4) 589,147 570,027
Gain on investments in subsidiaries and associates (note 9) 43,023 59,636
Trading derivatives 105 4,270
Others 7,324 19,319
687,338 727,163
21. Administrative Expenses


Personnel expenses and Directory (847,752) (851,684)
Expenses for services provided by third parties (783,930) (753,726)
Taxes and contributions (45,809) (44,659)
(1,677,491) (1,650,069)
22. Other Expenses and Income, Net

As of December 31, 2020 and 2019, it mainly comprises losses on sale of repossessed assets and
non-current assets held for sale, expenses on assets seized and recovered through legal actions,
losses not covered by insurance, donations granted, revenue from leases, among income and
expenses.
23. Tax Matters
Tax rates
A. The Bank is subject to the Peruvian tax regime. As of December 31, 2020 and 2019, the
corporate income tax is calculated on the basis of the net taxable profit determined by the
Bank at a rate of 29.5%, excluding the employee's profit sharing and the withholding tax rate
of 5% applicable to outbound dividend distribution.
Through Legislative Decree 1261, published December 10, 2016 and effective January 1,
2017, the corporate income rate was amended to 29.5%.
The rates applicable to the corporate income tax for the last taxable years are as follows:
Until year 2014 30.0%

For years 2015 and 2016 28.0%
For year 2017 onwards 29.5%
The aforementioned Decree also established the amendment to the income tax rate
applicable to dividend distribution and any other form of profit distribution to 5% for profits
generated and distributed from January 1, 2017.
For the years 2019 and 2018, the income tax rate for dividend distribution and any other form
of profit distribution applicable to legal persons not domiciled in Peru and natural persons is
5.0%.
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Banco BBVA Perú

The rates applicable to the income tax on dividends for the last taxable years are as follows:

For years 2015 and 2016 6.8%
It shall be presumed, without otherwise evidence, that the dividend distribution or any other
form of profit distribution corresponds to retained earnings or other items that may generate
older taxable dividends.
B. In accordance with current Peruvian tax law, non-domiciled individuals only pay taxes for their
Peruvian source income. Thus, in general terms, income obtained by non-domiciled
individuals from the services rendered in Peru shall be subject to a 30% income tax rate on
gross income, provided that no double tax treaties are applicable. On this concern, Peru has
currently entered into double tax treaties with the Andean Community, Chile, Canada, Brazil,
Portugal, Switzerland, Mexico, South Korea and Japan.
Concerning the technical support or digital services rendered by non-domiciled individuals to

domiciled individuals, regardless of the place where the service is rendered, they shall be
subject to a 15% and 30% income tax rate on gross income, respectively. Technical support
shall be subject to a 15% applicable rate, provided that Income Tax Law requirements are
met. As noted above, the retention ratio in these situations may vary or retention may not be
applicable if provisions of current double tax treaties are applied.
Income tax determination
C. The Bank computed its tax base for the years ended December 31, 2020 and 2019 and
determined current tax for S/ 494 million and S/ 653 million, respectively.
Tax expense comprises the following:

Current tax 493,565 653,176
Deferred tax
Profit or loss of deferred income tax for the year (254,388) (67,852)
Income tax (adjustment/provision recovery) (14,821) 26,922
224,356 612,246
Reconciliation of the effective tax rate to the tax rate is as follows:

Profit before tax 879,492 100.00% 2,222,146 100.00%
Income tax as per tax rate (259,450) (29.50%) (655,533) (29.50%)
Tax effects on additions and deductions
Permanent differences 20,273 2.31% 70,209 3.16%
Others (adjustments and/or reversal of provisions) 14,821 1.69% (26,922) (1.21%)
Current and deferred tax as per effective rate (224,356) (25.50%) (612,246) (27.55%)
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Banco BBVA Perú

Temporary tax on net assets
D. The Bank is subject to the temporary tax on net assets, whose tax base is composed of the
prior period adjusted net asset value less depreciations, amortizations, legal reserve
requirements and specific loss allowance. The tax rate is 0.4% for the years 2020 and 2019
and is applied to the amount of net assets exceeding S/ 1 million. It may be paid in cash or
nine consecutive monthly installments. The paid amount may be used as a credit against
income tax paid for tax periods from March to November of the taxable year in which the tax
was paid until maturity date of each down payment, and against the payment for
regularization of income tax of the relevant taxable year. In the event a remaining balance is
not applied, its refund could be requested. The Bank determined that the temporary tax on
net assets for the year 2020 amounts to S/ 281 million (2019: S/ 258 million).
Tax on financial transactions
E. Financial transaction tax for the years 2020 and 2019 was fixed at the rate of 0.005%. This tax
is applicable to debits and credits in bank accounts or movements in funds made through the
financial system, unless the account is tax-exempt.
Transfer pricing
F. In determining income tax, transfer pricing with related parties and entities domiciled in
territories with low or zero taxation shall be supported with documents and information on
the valuation techniques and the criteria used for the pricing.
Legislative Decree 1312, published December 31, 2016 and effective January 1, 2017,
established the following formal obligations to replace the former ones: (i) presentation of a
Local File (if accrued revenue of the taxpayer exceeds 2,300 tax units [UIT, for its Spanish
acronym]); (ii) presentation of a Master File (if accrued revenue of the taxpayer in a group
exceeds 20,000 tax units); and (iii) presentation of a Country-by-Country Reporting (if accrued,
consolidated revenue from the prior year of the taxpayer in a multinational group exceeds
S/ 2,700,000,000 or € 750,000,000). The presentation of the Master File and the Country-by-
Country Reporting are mandatory for transactions corresponding to the year 2017 onwards.
Legislative Decree 1312 also established that intragroup services with low added value shall
not have a margin greater than 5% of their costs. Concerning the services rendered between
related parties, taxpayers shall comply with the benefit test and provide the documents and
information under specific conditions for the deduction of costs or expenses.
Tax Authorities' Resolution 014-2018-SUNAT, published January 18, 2019, approved the
Electronic Form 3560 for presentation of the Local File, establishing the deadlines for its
presentation and the content and format that shall be included therein.
Thus, the deadline for the presentation of the Local File for the taxable year 2020 shall be
June 2021, in accordance with the maturity schedule agreed upon for May and published by
the Tax Authorities.
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Banco BBVA Perú

The content and format of the Local File are stated in the Appendixes I, II, III and IV of Tax
Authorities' Resolution 014-2018-SUNAT.
Legislative Decree 1116 established that transfer pricing regulations are not applicable to
sales tax.
Tax assessment
G. The Tax Authorities are entitled to audit and, if applicable, to correct the income tax calculated
by the Bank within the 4 years following the year of the tax return filing. The Bank's income
tax returns for the years 2018 and 2019 are open for review by the Tax Authorities. At the
reporting date, the Tax Authorities are reviewing the income tax return for the year 2013 and
will initiate the income tax audit for the yeas 2014 and 2015. The Tax Authorities completed
the income tax audit for the year 2016 in April 2019 and for the year 2013, in December 2020.
In management's opinion, such tax audits and tax returns that are open for review will not
result in significant liabilities that may have an effect the Bank's profit or loss, under IFRIC 23.
Due to the possible interpretations of the current laws by the Tax Authorities, it is not
possible to determine, to date, whether a future tax assessment will result in liabilities for the
Bank. Therefore, any major tax or surcharge that might arise from eventual tax assessments
would be applied to profit or loss when they are determined. However, it is the opinion of
management and its legal advisors that any possible additional settlement of taxes would not
be significant for the separate financial statements as of December 31, 2020 and 2019.
Tax regime applicable to sales tax (IGV)
H. Legislative Decree 1347, published January 7, 2017 and effective July 1, 2017, established
the possible reduction of 1% in the sales tax, provided that the goal of annual sales tax
collection as of May 31, 2017 is reached, net of internal refunds of 7.2% of Gross Domestic
Product. Accordingly, if the aforementioned goal is met, the sales tax rate (including the
municipal tax) shall be reduced from 18% to 17%.
However, the estimated collection goal was not met at the end of the term, so the sales tax
rate shall be held at 18%.
Major amendments to tax laws effective for periods beginning on January 1, 2020
I. New accrual accounting concept: Legislative Decree1425 introduced the definition of "legal
accrual" for income tax purposes, stating that: a) revenue from transfer of goods occurs when
i) control has been transferred (under IFRS 15); or ii) risk has been transferred to the acquirer
(Risk Theory set out in the Civil Code), whichever occurs first; and b) revenue from rendering
the service occurs when realization level of the rendered service has been established.
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Banco BBVA Perú

The new legal accrual concept is applicable to lessees when determining the tax treatment of
the expense associated with lease arrangements regulated by IFRS 16.
Also, the new concept requires the entities to reconcile the tax expense (income) and
accounting profit since such concept is different from the accrual financial concept.
This concept shall not be applicable for those entities accruing income or expenses for
income tax purposes in accordance with tax laws establishing a special (sector) accrual
system.
J. Thin capitalization: Beginning 2019 and until December 31, 2020, finance costs generated
by debts of independent and related parties are subject to the thin capitalization limit of 3:1
debt-to-equity ratio, which is calculated at the end of the prior period. From January 1, 2021,
borrowing costs shall be deductible up to 30% of the tax-EBITDA (Net Income – Loss
Compensation + Net Interest + Depreciation + Amortization) of the prior period. If there is any
balance of financial expense that cannot be absorbed as an expense in a given year by
application of the new thin capitalization rule applicable as of January 1 of 2021, it may be
offset against the net income generated in the 4 subsequent fiscal years—i.e., 4-year
carryforward—after resulting in permanent differences. There are some exemptions regarding
this 30% limit for banks, taxpayers whose income is lower than 2,500 tax units,
infrastructure, public utilities, among others.
K. Deduction of expenses or costs incurred in transactions with non-domiciled individuals:

Legislative Decree 1369 states that costs and/or expenses (including outbound interest)
incurred with non-domiciled individuals shall be paid effectively to be deducted in the period
in which they are incurred. Otherwise, their effect on the determination of net income shall
be deducted in the period they are actually paid and the relevant withholding shall be applied.
Such regulation abolished the obligation to pay the amount equivalent to the withholding on
the amount recorded as cost and/or expense.
L. Indirect loans: From January 1, 2019, under certain requirements, domiciled entities
receiving foreign inbound dividends may deduct as direct loan the income tax that taxed the
foreign dividends and the corporate income tax (indirect loan) paid by the tier 1 and tier 2 non-
domiciled entity (provided that they are in the same jurisdiction) that distributed the dividends
from abroad.
M. Measures to implement the General Anti-avoidance Rule provided in the Regulation

XVI of Tax Code: Legislative Decree 1422 sets up the procedure to implement the General
Anti-avoidance Rule, mainly stating that: (i) it is applicable only in final audit procedures in
which acts, events or situations that occurred since July 19, 2012 are reviewed; (ii) it is
applicable only if there is a favorable opinion (unappealable) from a review committee
composed of Tax Authorities' officers; and (iii) final audit procedures, in which the General
Anti-avoidance Rule is applicable, are not subject to a 1-year term to request information from
the audited parties.
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Banco BBVA Perú

As of the date of preparation of this report, the General Anti-avoidance Rule is fully effective
and is applicable to Regulation XVI of Tax Code.
Supreme Decree 145-2019-EF, dated May 6, 2019 and published on the official daily
newspaper of Peru "El Peruano", approved all the formal and substantial parameters for the
application of the General Anti-avoidance Rule provided in the Regulation XVI of Tax Code.
Consequently, the requirement to end the suspension of the application for such rule,
established by Law 30230, is deemed as complied with. Likewise, the Regulation on Tax
Assessment has been modified for such purposes.
N. Information related to ultimate beneficiaries: In line with the regulations to strengthen the
fight against tax evasion and avoidance, as well as against money laundering and terrorism
financing, from August 3, 2018, provisions introduced by Legislative Decree 1372 are
currently in force. The aforementioned Decree requires the presentation of information
related to ultimate beneficiaries to the competent authorities through a sworn statement of
the ultimate beneficiaries. Such statement shall disclose the names of the natural persons
that effectively retain ownership or control. Thus, it is mandatory to report the following:
(i) identification of the ultimate beneficiaries; (ii) chain of title with its respective supporting
documents; and (iii) identification of third parties that have such information, if applicable.
Also, it states that the information related to the identification of the ultimate beneficiaries of
legal persons and legal entities provided to the competent authorities under these regulations
neither violates professional secrecy nor is subject to restrictions on the disclosure of
information arising from secrecy requirements under contracts or any regulatory provision.
Lastly, if the informative sworn statement with the information related to the ultimate
beneficiaries is not presented, the legal representatives of the entity that failed to comply
with the presentation of such statement shall assume the joint and several liability.
On December 16, 2019, the Bank submitted the informative sworn statement on the date
established in the monthly maturity schedule.
O. Indirect transfer of shares: From January 1, 2019, an anti-avoidance measure is included to

prevent the split of transactions, which allows indirect transfer of shares of entities domiciled
in Peru.
In order to determine if a Peruvian entity has made a transfer within a 12-month period of
10% or more of capital, transfers of the analyzed entity and transfers to related parties shall
be considered, whether transfers are made through one or several (simultaneous or
successive) transactions. The relationship shall be set up in accordance with the provisions of
section b) of Article 32-A of Income Tax Law.
Likewise, regardless of compliance with the provisions of the Income Tax Law, an indirect
taxable transfer shall always be made when, over any 12-month period, the total amount of
transferred shares of the Peruvian legal person is equal to or greater than 40,000 tax units.
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Lastly, from January 1, 2019, when the transferor is a non-domiciled legal person that has a
branch office or any permanent establishment in Peru with allocated equity, the latter is
considered a jointly liable party. Thus, it is required to provide information, among others,
regarding the transferred shares or interests of the non-domiciled legal person.
P. Joint and several liability of legal representatives and directors: From September 14,
2018, through Legislative Decree 1422, when an audited individual is subject to the General
Anti-Avoidance Rule, there is joint and several liability of legal representatives due to fraud,
gross negligence or misuse of powers, unless proven otherwise. The aforementioned joint
and several liability shall be attributed to such representatives provided that they collaborated
with the design or approval or execution of acts, situations or economic relationships with an
avoidance purpose.
Such regulation also involves the members of the Board of Directors, since it is stated that
these individuals are responsible for setting the tax strategy of the entities where they are
directors. Thus, the latter are responsible for determining whether to approve the acts,
situations or economic relationships carried out within the tax planning framework, and finally
they shall not delegate such liability.
Lastly, members of the domiciled entities' Board of Directors were granted a term (until
March 29, 2019) to verify or modify the acts, situations or economic relationships carried out
within the tax planning framework and implemented from September 14, 2018 that are
effective to date. For the years 2019 and 2020 onwards, we consider the Board of Directors
is responsible for determining annually whether the Bank's activities have avoidance effects
which may be regulated by the General Anti-Avoidance Rule and, consequently, be subject to
tax regularization.
Considering the aforementioned joint and several liability attributable to legal representatives
and directors, and the absence of a definition of "tax planning", it will be crucial to review any
act, situation or economic relationship that has: (i) increased tax attributes; and/or (ii)
generated a lower payment of taxes of such periods, in order to avoid the attribution of joint
and several liability, both administratively and punitively, depending on the supervisory agent
criterion. The latter, in case the entity to be audited by the Tax Authorities is subject to the
General Anti-Avoidance Rule.
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24. Deferred Income Tax

Deferred tax has been calculated applying the liability method, and is attributed to the following items:
Profit or loss
Balance as of Equity additions Balance as of Additions to Additions Balance as
January 1, additions (recoveries) December (deductions (recoveries) to of December
In thousands of soles 2019 (recoveries) for the year 31, 2019 from) equity profit or loss 31, 2020
Assets
Generic provision for direct loan losses 289,841 - 7,314 297,155 - 163,225 460,380
Generic provision for indirect loan losses 34,339 - 7,337 41,676 - 1,650 43,326
Provision for realizable assets and assets seized
41,593 - 7,224 48,817 - (2,633) 46,184
and recovered through legal actions
Specific provision for indirect loan losses 30,592 - (1,957) 28,635 - 2,362 30,997
Other generic provisions 65,031 - (2,461) 62,570 - 39,553 102,123
Labor provisions 69,466 2,624 8,732 80,822 (4,866) 16,565 92,521
Interest of non-performing loans 278 - - 278 - - 278
Investments available-for-sale 3,468 1,723 - 5,191 - - 5,191
Cash flow hedges 2,131 - - 2,131 - - 2,131
Valuation of hedge borrowings - - 2,579 2,579 - 24,006 26,585
536,739 4,347 28,768 569,854 (4,866) 244,728 809,716
Liabilities
Valuation of hedge borrowings (37,282) - 37,282 - - - -
Cash flow hedges - (270) - (270) (4,352) - (4,622)
Intangible assets / deferred charges (104,134) - (8,836) (112,970) - 12,515 (100,455)
Investments available-for-sale - - - - (5,512) - (5,512)
Tax deduction of property, furniture and
equipment (7,843) - (844) (8,687) - 2,642 (6,045)
Balancing of assets and liabilities due to
(25,087) - 11,482 (13,605) - (5,497) (19,102)
exchange difference
(174,346) (270) 39,084 (135,532) (9,864) 9,660 (135,736)
Deferred tax, net 362,393 4,077 67,852 434,322 (14,730) 254,388 673,980
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25. Earnings per Share

The calculation of weighted average amount of shares and earnings per share as of December 31 is
as follows:
Weighted
Weighted average
average number of
Outstanding number of Effective days ordinary
In thousands of shares basic shares to year-end shares
2020
Balance as of January 1, 2020 5,885,209 5,885,209 365 5,885,209
Capitalization of 2019 profit or loss 643,960 643,960 365 643,960
Balance as of December 31, 2020 6,529,169 6,529,169 6,529,169
2019
As of December 31, 2020 and 2019, earnings per share, calculated using the weighted average
number of shares amounted to S/ 0.1003 and S/ 0.2466, respectively.
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26. Related Party Transactions

As of December 31, 2020 and 2019, the separate financial statements include related party transactions, which, under IAS 24 and SBS regulations, comprise
the Parent Company, subsidiaries, related parties, associates, other related parties, and the Bank's directors and key management. All transactions with related
parties are carry out under the available market conditions for unbound third parties.
(a) The balances of the Bank's separate statement of financial position arising from related parties as of December 31, were as follows:
2020 2019
Controlling Related Key staff and Controlling Related Key staff and
In thousands of soles party Subsidiaries parties (*) Associates directors Total party Subsidiaries parties (*) Associates directors Total
Assets
Cash and due from banks 207,721 - - - - 207,721 126,460 - - - - 126,460
Loan portfolio, net - 276,057 358,129 32,824 24,571 691,581 - 504,112 527,072 11 22,459 1,053,654
Trading derivatives 322,397 - 80,325 - - 402,722 282,154 - 793 - - 282,947
Other assets, net 195,313 26,409 33,235 4,207 - 259,164 30,227 13,013 36,154 - - 79,394
Total assets 725,431 302,466 471,689 37,031 24,571 1,561,188 438,841 517,125 564,019 11 22,459 1,542,455
Liabilities
Obligations to the public and
deposits from financial system
entities 91,266 99,189 807,398 331 94,682 1,092,866 223,118 61,234 463,313 875 152,294 900,834
Borrowings and financial
- - - - - - - - 6,000 - - 6,000
obligations
Trading derivatives 511,778 - 380 - - 512,158 246,544 - 581 - - 247,125
Provisions and other liabilities 25,981 210 15,825 35 8 42,059 44,902 767 9,626 - 8 55,303
Total liabilities 629,025 99,399 823,603 366 94,690 1,647,083 514,564 62,001 479,520 875 152,302 1,209,262
Off-balance sheet accounts

Indirect loans - 317,506 353,276 317 1,539 672,638 - 147,643 250,655 292 1,326 399,916
Derivative financial instruments 17,759,685 - 23,252 - - 17,782,937 16,245,167 - 144,097 - - 16,389,264
(*) It includes related party balances and transactions under IAS 24 and SBS regulations.
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(b) The effects of related party transactions in the Bank's separate statement of income are detailed below for the year ended December 31:
2020 2019
Controlling Related Key staff and Controlling Related Key staff and
In thousands of soles party Subsidiaries parties (*) Associates directors Total party Subsidiaries parties (*) Associates directors Total
Interest income - 9,268 1,231 - 106 10,605 - 8,785 1,673 - 99 10,557
Interest expense - (15,299) (8,471) - (62) (23,832) - (2,285) (10,281) - (231) (12,797)
- (6,031) (7,240) - 44 (13,227) - 6,500 (8,608) - (132) (2,240)
Income from financial services 1,937 35,256 1,991 - 41 39,225 - 30,830 412 - 6 31,248
Expenses from financial services - - - - - - - - - - - -
1,937 35,256 1,991 - 41 39,225 - 30,830 412 - 6 31,248
Net profit or loss from financial
(8,003) - (1,984) - 4 (9,983) (3,257) - (6,543) - - (9,800)
operations
Administrative expenses (28,048) (77) (75,436) - - (103,561) (18,217) (136) (80,155) - - (98,508)
Other income, net - (1,334) 277 - - (1,057) - (29) 288 - 11 270
(36,051) (1,411) (77,143) - 4 (114,601) (21,474) (165) (86,410) - 11 (108,038)
(i) It includes related party balances and transactions under IAS 24.
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(c) Loans to personnel and key management personnel compensation

As of December 31, 2020 and 2019, Board of Directors, executives and employees of the Bank hold
allowed loan transactions pursuant to the Banking Law, which regulates and establishes certain
limits to transactions with members of the Board of Directors, executives and employees of financial
entities in Peru. As of December 31, 2020 and 2019, direct loans granted to employees, directors,
executives and key personnel amount to S/ 496 million and S/ 472 million, respectively.
Likewise, as of December 31, 2020 and 2019, remuneration to key personnel and expenses
allowance for the board of Director amounts to S/ 11 million, for both periods.
27. Trust Fund Activities

The Bank offers structuring and management services of trust operations and trust fees and
oversees the preparation of agreements related to these operations. Assets held in trust are not
included in the financial statements. The Bank is responsible for the appropriate management of
these trusts based on the limits established by applicable laws and the respective agreement. As of
December 31, 2020, the allocated value of assets in trusts and trust fees amounts to S/ 4,689
thousand (S/ 5,001 million as of December 31, 2019).
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28. Classification of Financial Instruments

The Bank classifies its financial assets and financial liabilities into categories as described in note 3. As of December 31, financial assets and financial liabilities
are classified as follows:
2020
At fair value through profit or loss Loans and Available-for-sale

Designated at accounts At amortized Hedging
In thousands of soles Held for trading inception receivable cost (*) At fair value instruments
Assets
Cash and due from banks - - 24,929,883 - - -
Interbank funds - - 137,599 - - -
Investments
Equity instruments - - - 1,122 22,200 -
Debt instruments 4,679,056 - - - 6,668,714 -
Loan portfolio - - 66,446,955 - - -
Trading derivatives 898,595 - - - - -
Hedging derivatives - - - - - 103,354
Accounts receivable - - 45,454 - - -
Other assets - - 900,064 - - -
5,577,651 - 92,459,955 1,122 6,690,914 103,354
(*) It includes investments measured at cost.
2020
At fair value through profit or loss
Designated at Hedging
In thousands of soles Held for trading inception At amortized cost Other liabilities instruments
Liabilities
Obligations to the public - - 70,812,534 - -
Interbank funds - - 72,421 - -
Deposits from financial system entities - - 1,493,066 - -
Borrowings and financial obligations - - 7,030,231 - -
Trading derivatives 876,395 - - - -
Hedging derivatives - - - - 14,633
Accounts payable - - 16,006,719 - -
876,395 - 95,414,971 - 14,633
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2019
Designated at accounts At amortized Hedging
In thousands of soles Held for trading inception receivable cost (*) At fair value instruments
Assets
Investments
Equity instruments - - - 1,881 20,465 -
Loan portfolio - - 56,209,207 - - -
Other assets - - 1,197,329 - - -
3,236,809 - 72,398,146 1,881 3,911,483 4,611
(*) It includes investments measured at cost.
2019
Designated at Hedging
In thousands of soles Held for trading inception At amortized cost Other liabilities instruments
Liabilities
Accounts payable - - 4,189,238 - -
490,934 - 70,149,158 - 19,777
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29. Financial Risk Management

Financial risk management is fundamental on the Bank's strategy, since it guarantees its
creditworthiness and sustainable development. The Bank's risk profile has been established in
accordance with the strategy and policies of the BBVA Group, and considers a unique, independent
and global risk management model.
▪ Unique: Focused on a sole objective. Risk appetite supported in fundamental metrics, limits
for portfolios and economic sectors, and indicators for the management and monitoring of
portfolios, is determined.
▪ Independent: It is independent and complementary to the business. The process of adapting

the risk area allows to closely monitor the business and thus detect opportunities.
▪ Global: The BBVA Group has a flexible risk model that can be used for all risk, in all countries
and for all business.
For effective management with a comprehensive vision, the risk area of the Bank is structured by
type of risk: admission of retail and wholesale risks, monitoring, collections and recoveries,
structural, market and fiduciary risks, control, validation, reporting and regulation; and with the aim
of seeking synergies and greater integration of the processes that range from strategy, planning, to
the implementation of management models and tools, the Risk Solution team consolidates cross-
cutting functions that support management.
This year, due to the country's situation for he COVID-19 outbreak, risk management has been
focused on the crisis management from all fronts:
▪ Portfolio management under the guidelines defined by the SBS and the Government,
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adaptation of management and monitoring reports according to the new needs of the
situation.
▪ Permanent follow up and monitoring of the liquidity risks.
▪ From the wholesale and retail Admission, permanent review and adjustment of the
admission policies, rescheduling modalities carrying out the portfolio diagnosis, segmentation
and action plans according to the criticality identified.
▪ The follow up and management of collection has had a preventive and anticipatory approach,
which is oriented to the most vulnerable and affected sectors. Specialized teams have been
implemented to manage the collections by implementing differentiated strategies according
to the portfolio. Therefore, a good containment level of the rescheduled portfolio has been
achieved.
Under the non-financial risk management, control of the measures and decisions are taken in order
to mitigate operational risks.
Credit risk
The Bank's risk management system is based on a corporate governance scheme in which the
BBVA Group determines the policies for managing and controlling the risk of retail and wholesale
loans, which are adapted to local regulations and reality.
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The structure of the risk area for credit risk management is as follows:
▪ Portfolio Management, Data & Reporting: Manages credit risk by monitoring the defined risk
appetite, preparing metrics and reports to evaluate the policy setting throughout the business
cycle, from admission, follow-up to recovery, with the objective of monitoring the credit
quality of the portfolio and ensure sustained profitability in line with capital consumption. In
addition, it is responsible for the development and monitoring of the credit risk models that
are used in risk management by the Bank.
▪ Risk Internal Control: It is the control unit for risk activities. Specifically, and independently, it
performs the contrast and control of the regulations and the governance structure in matters
of financial risks and their application and operation in risks, as well as the contrast of the
development and execution of the management and control processes of financial risks.
Likewise, it is responsible for the validity of the risk models.
▪ Risk Solution: It manages the portfolio of projects in the Risk area. It ensures its definition,
prioritization, execution and startup.
▪ Risk Transformation: It is the team responsible for ensuring the execution and continuous
improvement of the dependent processes, complying with the defined and committed
quality and productivity standards. As part of the process organization, it must seek efficiency
and synergy between the services involved.
▪ Retail Loan: It manages the credit risk in the admission stage for natural persons and banking
business (small and medium business). For natural persons, the admission is carried out
through tools that assess the customer profile, its ability to meet its debt obligation and its
credit history in the Bank and the financial system. For banking business, the admission main
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analysis is the financial-economic information obtained from field-visits that allow

dimensioning the business and the borrower's payment capacity, through the use of specific
methodologies by economic activity, as well as tools that assess the behavioral profile of the
businesses.
For the loan origination of both people and businesses, massive evaluation is carried out
through campaigns and specific tactical actions in accordance with the growth strategy of the
Bank, as well as the management of portfolios.
▪ Wholesale Loan: It manages credit risk in the business segments of the Retail Network,
Business Banking, Institutions, Global Customers, Intermediary Financial Institutions and the
Real Estate Sector, integrating the phases of origination, admission and follow-up, in
accordance with the guidelines defined in the Wholesale Credit Risk Policy.
In 2020, management by controlling asset allocation limits, threshold concentration and

suggested sector profiles have been essential to monitor risk appetite on a permanent basis.
On the other hand, the Portfolio Management team focused their work on the diagnosis and
assessment of the crisis impacts on the different portfolios and the implementation of
measures in management policies acting in advance.
Rating, risk analyst and credit-reporting are important support tools for the decision making.
Likewise, the Authorized Financing Program and the Digital Financing Program, used in
Business and Corporate Banking segments, respectively, continued as digital platforms for
the preparation and analysis of credit proposals.
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▪ Collection, Mitigation & Workout: It groups together the functions and processes necessary
for the monitoring, non-payment containment, collection, recoveries and the divestment of
the portfolio with problems, both from retail and wholesale banking, achieving crossway
efficiencies in the processes, as well as in the external management channels (collection
agencies, calls, and law firms) and internal (network of offices).
The portfolio with problems is managed through a centralized strategy that defines the refinancing
policy, payment agreements with customers and repossessed assets, which aim to reduce the
provision expense and default levels. The previously by differentiating each of the segments and
stages of the credit life cycle.
Since 2018, the Bank has been executing the Collection Integral Plan, which is a transformation
project that involves process improvement, data management, remediable products, customer's
experience and IT platform, among the most important, which execution continues in 2020.
Considering the health crisis scenario, management focus on sensitive and vulnerable sectors, as
well as management on the highest value reprogrammed and refinanced groups, was key to
controlling deterioration during 2020.
As part of this plan, in 2020, the write-offs operation was implemented in the portfolios; the Key
Performance Indicator and Key Risk Indicator collection and recovery dashboards were
strengthened, new tenders were executed in external collection channels and legal studies, the
Level Services Agreements and the performance supervision of the providers. As part of the new
management impulses, the BEC and Retail Solution Office was launched, which allowed a scheme
closer to the portfolio with problems, and an improvement in the levels of containment.
Financing risk management in the COVID-19 context: DRAFT
▪ Anticipate Plan: 4 executives and a risk leader were selected for the exclusive attention of
255 customers who, in coordination with the branch network, were the ones that presented
the greatest warnings in 2020. The objective of the team was to carry out the diagnosis and
coordination with the admission team for readjust through rescheduling or with the Stage 3
team for timely refinancing.
▪ Solution plan: The executives of the commercial network (more than 180 executives)
carried out the plan, with a role exclusively to the recovery activity. This team is led by 13
monitoring heads whose objective is the location of the main customers, diagnosis and
redirection of operations through rescheduling or refinancing.
The retail portfolio segmentation was carried out considering the impact and materiality
matrices (Debt ranges) for the private and SME portfolio. In addition, collection management
differs whether the portfolio was rescheduled or not.
The impact level on the SME portfolio took as the main axis economic activity according to
the company's business line, which were classified as Winning, Sensitive, Critical and Very
critical, with Winning activities being those that were benefited by this COVID-19 pandemic.
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▪ Collection plan: The implant model was developed, which is a supervision model based on
the physical presence of a Bank supervisor at the provider's physical facilities in order to
maximize the performance of the collection processes and guarantee the execution of the
strategies and tactical actions and even those of human resources. Currently, due to the
situation, the physical presence was replaced with the virtual scheme; however, 100% of the
supervisor's dedication was maintained exclusively to the assigned provider.
A competition was held between the six external collection companies that manage the
Bank's retail portfolio to choose only three strategic allies for the year 2021 and, therefore,
the collection team was restructured into 6 implant supervisors to monitor the three external
companies for both portfolio segments (individuals and small and medium-sized enterprises).
In addition, two professionals from other areas were incorporated to support the
disbursements of the loans (coordination and registration), preventive management tastings,
support in the supervision of external companies while the implant model was being
developed and monitoring of the collection pilots.
Maximum exposure to credit risk


Cash and due from banks 24,929,883 14,797,386
Interbank funds 137,599 150,137
Investments at fair value through profit or loss 4,679,056 2,669,123
Investments available-for-sale 6,692,036 3,913,364
Loan portfolio, net 66,446,955 56,209,207
Trading derivatives 898,595 567,686
Hedging derivatives 103,354 4,611
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Accounts receivable 45,454 44,087

Other assets 900,064 1,197,329
104,832,996 79,552,930
Received guarantees
The requirement of guarantees may be a necessary instrument, but not sufficient for granting
credits; their acceptance is supplementary to the credit process that requires the previous
verification of the debtor's payment capacity or whether this debtor is able to generate sufficient
resources to allow the amortization of the risk assumed under the terms agreed.
The procedures for the management and valuation of guarantees received for loans granted to
customers as indicated in the Guarantees Policies, cover the guarantee acceptance policies and the
basic principles for setting, maintenance and release. All guarantees assigned are to be properly
instrumented and recorded in the corresponding register, monitoring they are currently updated and
have the corresponding insurance policies, in strict compliance with the rules laid down by the
regulatory body.
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The valuation of guarantees is governed by prudence principles, involving appraisals for mortgages,
market price for listed securities, value of interest in an investment fund, among others. These
principles establish internal milestones that may be stricter than those contained in local regulations,
and under which the value of guarantees is updated.

Mortgages 22,639,889 32% 22,288,636 38%
Guarantees and letters of guarantee received 11,925,213 17% 613,827 1%
Finance lease 3,772,204 5% 4,212,785 7%
Self liquidating guarantees 512,970 1% 373,483 1%
Vehicle, industrial, agricultural pledges and others 26,486 - 45,528 -
Rest of guarantees 15,581,259 22% 13,359,981 23%
Guaranteed loans 54,458,021 77% 40,894,240 70%
Non guaranteed loans 15,914,412 23% 17,447,867 30%
70,372,433 100% 58,342,107 100%
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Credit rating of loan portfolio

The segmentation of the loan portfolio into "Not past due or impaired", "Past due but not impaired" and "Impaired" is presented as follows:
2020 2019
Small and Small and
Wholesale micro- Consumer Mortgage Wholesale micro- Consumer Mortgage
In thousands of soles loans business loans loans loans Total % loans business loans loans loans Total %
Neither past due nor impaired
43,696,767 3,356,781 5,913,024 12,669,372 65,635,944 99 34,738,043 1,687,488 6,044,849 12,626,590 55,096,970 99
loans
Standard 42,357,370 3,327,084 5,807,279 12,499,191 63,990,924 97 34,192,848 1,654,400 5,944,143 12,449,842 54,241,233 97
With potential problems 1,339,397 29,697 105,745 170,181 1,645,020 2 545,195 33,088 100,706 176,748 855,737 2
Substandard - - - - - - - - - - - -
Doubtful - - - - - - - - - - - -
Loss - - - - - - - - - - - -
Non past-due nor impaired loans 25,892 948 1 841 27,682 - 39,038 1 15 444 39,498 -
Standard 11,908 865 1 3 DRAFT
12,777 - 11,454 1 15 3 11,473 -
With potential problems 13,984 83 - 838 14,905 - 27,584 - - 441 28,025 -
Substandard - - - - - - - - - - - -
Doubtful - - - - - - - - - - - -
Loss - - - - - - - - - - - -
Impaired loans 2,930,855 228,715 658,451 890,786 4,708,807 7 2,332,676 163,477 396,235 757,230 3,649,618 7
Standard 7,275 - - - 7,275 - 29,138 28 1 - 29,167 -
With potential problems 494,254 91 8 - 494,353 1 274,266 101 8 - 274,375 -
Substandard 729,586 32,250 96,392 230,788 1,089,016 2 587,467 22,053 84,725 242,039 936,284 2
Doubtful 306,636 54,424 251,300 262,335 874,695 1 465,145 39,198 167,027 199,352 870,722 2
Loss 1,393,104 141,950 310,751 397,663 2,243,468 3 976,660 102,097 144,474 315,839 1,539,070 3
Gross loan portfolio 46,653,514 3,586,444 6,571,476 13,560,999 70,372,433 106 37,109,757 1,850,966 6,441,099 13,384,264 58,786,086 106
Less: Provisions (2,608,517) (203,418) (861,210) (690,901) (4,364,046) (6) (1,854,552) (139,454) (377,633) (501,552) (2,873,191) (6)
Net portfolio 44,044,997 3,383,026 5,710,266 12,870,098 66,008,387 100 35,255,205 1,711,512 6,063,466 12,882,712 55,912,895 100
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Criteria used to determine if a credit is impaired is the following:
Type of debtor Impairment criteria

Retail Loans past due over 90 days.
Debtor is rated as deficient, doubtful or loss.
Wholesale Debtor is rated as deficient, doubtful or loss.
Refinanced or restructured loans.
The specific provisions related to the transactions that, as of December 31, 2020, have been
classified as 'past due but not impaired' loans and 'impaired' loans amount to S/ 2,699 million
(S/ 1,844 million as of December 31, 2019).
In 2020 and 2019, the transactions with clients that, during these periods, were classified as 'past
due but not impaired' loans and 'impaired' loans resulted in finance income of S/ 121 million and
S/ 146 million, respectively.
As of December 31, 2020 and 2019, the guarantees of past due and non-impaired loans and
impaired loans amount to S/ 2,085 million and S/ 2,255 million, respectively, of which S/ 1,963
million and S/ 2,119 million correspond to mortgages.
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The ‘past due but not impaired’ loans as of December 31, 2020 and 2019 amount to S/ 28 million and S/ 40 million, respectively. Find below a breakdown of those
credits listed per past-due date:
2020 2019
In thousands of soles 16-30 31-60 61-90 Total 16-30 31-60 61-90 Total
Days in arrears
Types of credit
Corporate loans - - - - - - - -
Large-business loans 1,244 - 24 1,268 2,447 2,558 4,392 9,397
Medium-business loans 8,728 9,849 6,047 24,624 16,184 11,008 2,449 29,641
9,972 9,849 6,071 25,892 18,631 13,566 6,841 39,038
Small-business loans - 948 - 948 - - 1 1
Micro-business loans - - - - - - - -
Consumer loans - 1 - 1 - 10 5 15
Mortgage loans - 841 DRAFT
- 841 - 444 - 444
- 1,790 - 1,790 - 454 6 460
9,972 11,639 6,071 27,682 18,631 14,020 6,847 39,498
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Risk concentration
The loan portfolio is distributed among the following economic sectors:

Mortgage and consumer loans 20,132,475 29% 19,825,362 34%
Commerce 14,327,736 21% 9,822,886 17%
Manufacturing 10,042,002 14% 8,834,447 15%
Real estate, business and leasing 5,959,733 8% 4,707,499 8%
Transport, storage and communications 5,706,033 8% 3,697,600 6%
Agriculture and livestock 2,307,799 3% 1,815,365 3%
Mining 2,007,471 3% 1,604,080 3%
Financial intermediation 1,432,764 2% 2,160,397 4%
Construction 1,416,643 2% 896,982 1%
Utilities 1,392,350 2% 1,020,719 2%
Others 5,647,427 8% 4,400,749 7%
70,372,433 100% 58,786,086 100%
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As of December 31, financial assets are distributed among the following geographic areas:
2020
At fair value through profit or loss Loans and

Designated at accounts Hedging Total
In thousands of soles Held for trading inception receivable Available-for-sale instruments Held for trading
Financial instruments
Peru 5,108,017 - 70,373,209 4,586,817 - 80,068,043
Rest of South America - - 157,325 980 - 158,305
Rest of the world 322,533 - 16,566 74,117 - 413,216
Mexico - - 2,212 - - 2,212
United States - - 19,952 1,963,500 - 1,983,452
Europe 155,338 - 10,468 72,975 103,354 342,135
5,585,888 - 70,579,732 6,698,389 103,354 82,967,363
Provisions (8,237) - (4,525,891) (6,353) - (4,540,481)
Accrued income - - 536,916 - - 536,916
Deferred - - (98,348) - - (98,348)
5,577,651 - 66,492,409 6,692,036 103,354 78,865,450
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2019
Designated at accounts Hedging
In thousands of soles Held for trading inception receivable Available-for-sale instruments Total
Peru 2,889,536 - 58,886,426 3,415,693 1,448 65,193,103
Rest of the world 348,722 - 14,502 - - 363,224
Mexico 793 - 1,996 - - 2,789
United States - - 18,485 496,661 - 515,146
Europe 5,298 - 10,557 30 3,163 19,048
3,244,349 - 58,960,101 3,913,364 4,611 66,122,425
Provisions (7,540) - (3,003,119) - - (3,010,659)
Accrued income - - 359,296 - - 359,296
Deferred - - (62,984) - - (62,984)
3,236,809 - 56,253,294 3,913,364 4,611 63,408,078
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Market risk
Market risk arises as a consequence of the activity maintained in the markets, through financial
instruments whose value may be affected by variations in market conditions, reflected in changes
in the different assets and financial risk factors. The risk can be mitigated and even eliminated
through hedging instruments (assets/liabilities or derivatives), or by undoing the open operation or
position.
The main risks factors affecting market price are: interest rate, currency and price risks.
▪ Interest rate risk It arises as a consequence of variations in the provisional structure of

market interest rates, for the different currency.
▪ Currency risk: It arises due to fluctuations in the exchange rates for the different currencies.
▪ Price risk: It arises as a consequence of changes in the market price, either for the specific
instruments’ factors, nor for factors affecting all the instruments trades in the market.
In addition, and for certain positions, it is necessary to also consider other risks: spread, base,
volatility or correlation risk.
Value at risk (VaR) is the basic variable to measure and control the Bank's market risk. This risk
measure estimates the maximum loss, with a given level of confidence, that can occur in the
market positions of a portfolio for a certain time horizon. The Bank calculates the VaR using the
historical method with a confidence level of 99% and a time horizon of one day; the data period
considered is two years.
The structure of market risk limits determines a scheme of VaR and economic capital limits for
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market risk, as well as alerts and specific ad-hoc sub-limits for types of risk, among others.
Likewise, validity tests are carried out on the risk measurement models used, which estimate the
maximum loss that can occur in the positions considered, with a certain level of probability (“back
testing”), as well as measurements of the impact of extreme movements market in the risk
positions maintained (“stress testing”). Currently, the stress analysis on historical scenarios of the
Lehman Brothers crisis (2008) is being carried out.
The detail of the VaR for risk factors was as follows:

VaR per risk factors
VaR without smoothing 7,957 6,607
VaR interest rate 8,068 6,381
VaR currency 481 1,912
Average VaR 8,411 7,215
Maximum VaR 12,387 13,669
Minimum VaR 5,803 3,799
219
Banco BBVA Perú

Structural interest rate risk

The objective of managing the banking book interest risk is to maintain the Bank's exposure to
variations in market interest rates at levels consistent with its strategy and risk profile. To this end,
the Assets and Liabilities Committee (hereinafter COAP) conducts active management of the
banking book through operations to optimize the level of risk assumed, in relation to the expected
results, and allow compliance with the maximum levels of tolerable risk.
The activity performed by the COAP is based on the interest risk measurements conducted by the
risks area. Which, acting as an independent unit, periodically quantifies the impact the variation in
interest rates has on the interest margin and the economic value of the Bank.
In addition to the sensitivity measurements to different variations in market rates, the Bank
develops probabilistic calculations that determine the “economic capital” (maximum loss in
economic value) and the “margin at risk” (maximum loss in the interest margin) due to structural
interest risk of the Bank's banking activity, excluding treasury activity, based on interest rate curve
simulation models. Stress testing is conducted periodically to complete the evaluation of the Bank's
interest risk profile.
All these risk measures are subject to subsequent analysis and monitoring, and the levels of risk
assumed and the degree of compliance with the authorized limits are transferred to the different
management and administration departments of the Bank.
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220
Banco BBVA Perú

The consumption of the structural interest risk levels of the Bank during the years 2020 and 2019 are presented as follows:
December November October September August March February January

July 2020 June 2020 May 2020 April 2020
2020 2020 2020 2020 2020 2020 2020 2020 2020
Limit consumption
Sensitivity in profit margin 7% 4.3% 4.5% 4.8% 5.1% 3.7% 3.2% 2.9% 3.5% 3.8% 3.9% 4.6% 4.6%
Alert consumption
Economic value sensitivity 1,200 452 483 480 454 535 498 572 597 565 565 625 635
Economic capital 1,200 533 569 579 589 680 626 608 620 621 667 709 729
Margin-at-risk 7% 1.9% 1.9% 2.0% 2.1% 1.8% 1.7% 1.3% 1.4% 1.3% 1.4% 1.8% 1.8%
December November October September August March February January

July 2019 June 2019 May 2019 April 2019
2019 2019 2019 2019 2019 2019 2019 2019 2019
Limit consumption
Alert consumption DRAFT
Margin-at-risk 7% 1.8% 1.9% 1.9% 1.9% 1.8% 1.8% 1.8% 1.7% 1.9% 2.0% 1.9% 2.0%
In the measurement process, the Bank has established hypotheses on the evolution and behavior of certain items, such as those relating to products without
explicit or contractual expiration. These hypotheses are based on studies that approach the relationship between the interest rates of these products and those
of the market, and that allow the disaggregation of the specific balances into trend balances, with a long-term permanence degree, and seasonal or volatile
balances, with a short-term residual maturity.
221
Banco BBVA Perú

Liquidity risk
The control, monitoring and management of liquidity risk aims, in the short term, to ensure
compliance with the Bank's payment commitments in a timely manner, without resorting to
obtaining funds under unfavorable conditions, or deteriorating the image and reputation of the Bank.
In the medium term, its objective is to ensure the suitability of the financial structure and its
evolution, in the context of the economic situation, the markets and regulatory changes.
The management of liquidity and structural financing in the Bank are based on the principle of
financial autonomy of the BBVA Group. This management approach contributes to prevent and limit
liquidity risk by reducing the Bank's vulnerability in periods of high risk.
The management and monitoring of liquidity risk is carried out comprehensively with a dual
approach: short-term and long-term. The short-term liquidity approach, with a time horizon of up to
one year, is focused on managing payments and collections from market activities, volatile
customer resources and the potential liquidity needs of the Bank as a whole. The second approach,
medium-term or financing, is focused on the financial management of the set of assets and
liabilities, focusing on the financing structure, and having a time horizon equal to or greater than the
annual one.
The integral management of liquidity is carried out by COAP, where the Financial Management Unit
of the Finance area analyzes the implications, in terms of financing and liquidity of the various Bank
projects and their compatibility with the structure of target financing and the situation of financial
markets. In this sense, the Financial Management Unit, in accordance with the approved budgets,
executes the agreed proposals by the COAP and manages liquidity risk in accordance with wide
scheme of limits, sub-limits and approved warnings on which the risk area carries out,
independently, its measurement and control work, providing the manager with support tools and
metrics for decision-making. DRAFT
The periodic measurements of the risk incurred and the monitoring of the consumption of limits are
carried out by the Structural, Markets and Fiduciary Risks Unit, which monthly reports the liquidity
risks level to the COAP; as well as more frequently to the management units . It should be noted
that during the beginning of the state of emergency due to the COVID-19 pandemic, the structural
risks unit increased the measurement frequency of the main liquidity indicators in order to carry out
a daily monitoring that allows anticipating any contingency and supporting the management areas.
Moreover, the Basel Committee on Banking Supervision (BCBS) has proposed a new liquidity
regulation scheme based on two ratios: Liquidity coverage ratio (LCR) which is effective from 2015
and net stable funding ratio (NSFR) which has been implemented since 2018. The Bank and the
BBVA Group participated in the quantitative impact study (QIS), which has included the new
regulatory challenges in its new general framework of action in the liquidity and financing area. At
local level, the SBS has also implemented the monitoring of the liquidity coverage ratio, following
the general guidelines of the BCBS, although adapting it to the Peruvian reality. The measurement
of liquidity coverage ratio has started on December 2013 and its measurement have a daily
frequency. The limit established for liquidity coverage ratio is 80% for the period from 2014 to 2017,
90% for 2018 and 100% for 2019 henceforth, which is being complied.
Since March 2020, the SBS has established the temporary inapplicability of the liquidity coverage
ratios in local and foreign currency. However, the structural risks unit has continued with the daily
measurement of the liquidity coverage ratios on a timely basis.
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Banco BBVA Perú

Repurchase agreement established by the Official Letter 022-2015-BCRP, and repurchase

agreement with BCRP of Legislative Decree 1508, which created the Government's guarantee
program, are considered sources of financing available to be included in the Bank's contingency
liquidity plan. To this effect, the SBS requires that the framework agreement be signed with
COFIDE and the portfolio that could be used for these operations be identified.
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223
Banco BBVA Perú

In accordance with SBS regulations, the maturities of assets and liabilities, including accrued interest on loans and deposits, are as follows:
Past-due
and judicial
Up to From 1-3 From 3-6 From 6-12 From1–5 More than 5 collection
In thousands of soles 1 month months months months years years loans Total
2020
Assets
Cash and due from banks 19,137,640 1,263,307 793,377 243,696 3,491,863 - - 24,929,883
Interbank funds 137,599 - - - - - - 137,599
Investments at fair value through profit or loss 4,679,056 - - - - - - 4,679,056
Investments available-for-sale 5,746,998 187,460 75,352 44,564 335,071 302,591 - 6,692,036
Loan portfolio, net 5,970,613 6,351,096 4,507,113 6,584,206 34,529,062 10,704,669 2,262,590 70,909,349
Trading derivatives 93,939 62,911 47,726 22,369 288,069 383,581 - 898,595
Hedging derivatives - - - - 103,354 - - 103,354
35,765,845 7,864,774 5,423,568 6,894,835 38,747,419 11,390,841 2,262,590 108,349,872
Liabilities DRAFT
Obligations to the public 10,503,851 8,000,059 2,186,005 3,078,306 47,044,313 - - 70,812,534

Demand deposits 4,613,896 3,378,292 - - 21,786,440 - - 29,778,628
Savings 2,172,598 1,495,035 - - 21,044,166 - - 24,711,799
Term 3,642,526 3,126,732 2,186,005 3,078,306 4,213,707 - - 16,247,276
Others 74,831 - - - - - - 74,831
Interbank funds 72,421 - - - - - - 72,421
Deposits from financial system entities 530,432 454,819 34,206 327,182 146,427 - - 1,493,066
Borrowings and financial obligations 26,675 180,431 778,489 301,105 3,604,598 2,138,933 - 7,030,231
Hedging derivatives - - 6,758 1,382 6,493 - - 14,633
Accounts payable 804,211 830,000 553,100 - 13,819,408 - - 16,006,719
Other liabilities 815,546 - - - - - - 815,546
12,861,232 9,572,343 3,628,408 3,742,564 64,869,165 2,447,833 - 97,121,545
224
Banco BBVA Perú

Past-due
and judicial
Up to From 1-3 From 3-6 From 6-12 From1–5 More than 5 collection
In thousands of soles 1 month months months months years years loans Total
2019
Assets
Cash and due from banks 7,522,139 1,527,000 1,363,901 627,710 3,756,636 - - 14,797,386
Interbank funds 150,137 - - - - - - 150,137
Investments at fair value through profit or loss 1,686,055 201,992 376,990 404,086 - - - 2,669,123
Investments available-for-sale 3,070,209 200,171 592 24,258 145,221 472,913 - 3,913,364
Loan portfolio, net 8,622,381 8,154,915 5,461,885 6,642,202 18,935,356 9,553,296 1,775,347 59,145,382
Hedging derivatives - - 4,477 - 134 - - 4,611
21,210,054 10,133,149 7,237,188 7,732,038 22,972,537 10,187,376 1,775,347 81,247,689
Liabilities DRAFT

Demand deposits 2,354,538 1,724,509 - - 14,325,238 - - 18,404,285
Savings 1,296,508 949,552 - - 14,993,024 - - 17,239,084
Term 4,723,826 3,164,942 2,143,447 4,997,749 3,883,102 - - 18,913,066
Others 103,543 - - - - - - 103,543
Interbank funds 150,015 - - - - - - 150,015
Deposits from financial system entities 395,281 464,044 215,260 398,683 86,637 - - 1,559,905
Borrowings and financial obligations 915,484 69,629 29,260 2,030,884 3,915,357 2,629,408 - 9,590,022
Hedging derivatives - - 1,783 - 13,875 4,119 - 19,777
Accounts payable 1,616,639 966,000 1,506,599 100,000 - - - 4,189,238
Other liabilities 1,118,173 - - - - - - 1,118,173
12,816,998 7,398,136 3,942,626 7,556,429 37,322,252 2,741,601 - 71,778,042
225
Banco BBVA Perú

Operational risk
The Bank articulates an operational risk management model implemented throughout the
organization, based on methodologies and procedures for the identification, assessing and
monitoring of operational risk, and supported by tools that allow qualitative and quantitative
management.
This model is based on a decentralized management of operational risk carried out by operational
risk management teams in the two lines of defense. In the first line we have the Risk Control
Assurer whose objective is to promote the adequate management of operational risk in their
respective management areas. The previous by extending the methodology of risk identification and
establishment of controls, and working for this with the owners of the processes who are those
responsible for implementing mitigation plans and execution of controls. In the second line of
defense, there is a Risk Control Specialist team who define mitigation and control frameworks in
their area of specialty (across the entire organization) and contrast with the one implemented by the
first line.
Both control teams are in constant coordination of a methodological unit and constantly report to
the corresponding Internal Control and Operational Risk Committees. From the risk area, the non-
financial risk unit is in charge of coordinating the Internal Control and Operational Risk Committees,
the implementation of corporate management tools, the training of both control teams (Risk Control
Assurer and Risk Control Specialist), coordination for updating the risk map according to the
established methodology and monitoring of mitigation plans.
In connection with qualitative management, the Support Tool for Operational Risk Management
(STORM tool) makes it possible to record the operational risks identified by associating them with a
taxonomy of processes and their quantification, as well as recording the evaluation periodical
controls associated with critical risks. In 2020, risks and controls are being updated, maintaining the
DRAFT
validity of the model.
In addition, there is a database, Integrated Operational Risk System (SIRO), which includes all
operational risk events that represent a loss for the BBVA Peru Group, is the fundamental
quantitative tool for risk management operational.
The Bank is authorized to use the alternative standard method for calculating the effective equity
requirement for operational risk, which allows it to optimize the regulatory capital requirement for
operational risk management.
As of December 31, 2020, the regulatory capital for operational risk based on the alternative
standard approach amounts to S/ 542 million (2019: S/ 502 million).
Among the relevant initiatives carried out during 2020, the strengthening of the Bank's internal
control scheme stands out through the provision of a greater structure and work methodologies,
which has allowed the implementation of the two lines of defense in the internal control through
the roles of Risk Control Assurer and Risk Control Specialist mentioned. Likewise, the bank has
been working on implementing a new tool, which will support operational risk management.
The business continuity team has conducted actions to assure the business continuity during
national state of emergency, including people management and remote working.
226
Banco BBVA Perú

30. Fair Value

Fair value is the amount for which an asset could be exchanged, or a liability settled, between
knowledgeable, willing parties in an arm's length transaction.
In cases where the listed value is not available, the fair value is estimated based on the listed value
of a financial instrument with similar characteristics, the present value of the expected cash flows
or other valuation; which can be significantly affected by the different assumptions used.
Management used its best judgment in measuring the fair value of financial instruments; however,
there are inherent weaknesses in any valuation technique. Thus, the fair value may not be an
indicative of the net realizable value or the liquidation value of such financial instruments.
Regarding the methodology and assumptions used in estimating the fair value of the Bank’s
financial instruments, the following should be considered:
The Bank shall consider the following when using valuation techniques and assumptions for
measuring the fair value:
Financial instruments whose fair value is similar to the carrying amount:

This assumption applies for those assets and liabilities with current maturity, with variable interest
rate and those whose fair value correspond to the carrying amount according to the SBS Official
Letter 43078-2014-SBS.
Financial instruments at fixed rate

The methodology of future flows projection discounted at market interest rates is used, for
instruments with similar characteristics.
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Financial instruments measured at fair value

The fair value hierarchy categorizes into 3 levels the inputs to valuation techniques used to measure
fair value:
▪ Level 1: For instruments quoted in active markets, the fair value is determined by the price
observed in those markets; and for instruments whose market price is not available but that
of its components is, the fair value will be determined based on the relevant market prices of
such components.
▪ Level 2: For instruments quoted in non-active markets, fair value is determined by using a
valuation technique or model that mostly uses market data and minimizes the use of data
provided by the Bank.
▪ Level 3: For unquoted instruments, fair value is determined using valuation techniques or
models.
The fair value of held for trading and investments available-for-sale has been determined based on
their market prices or the quotations of the underlying assets (sovereign risk rates) on the date of
the separate financial statements.
The fair value of derivative instruments is determined using valuation techniques.
227
Banco BBVA Perú

Carrying amount and fair value of financial assets and financial liabilities
Taking into account the fair value considerations and the Official Letter 43078-2014- SBS, in which
the SBS determined that the fair value corresponds to the carrying amount of loans and deposits, as
of December 31, the carrying amount and fair value of financial assets and financial liabilities are
presented as follows:
Carrying amount Fair value

In thousands of soles 2020 2019 2020 2019
Assets
Cash and due from banks 24,929,883 14,797,386 24,929,883 14,797,386
Interbank funds 137,599 150,137 137,599 150,137
Debt instruments 4,679,056 2,669,123 4,679,056 2,669,123
Equity instruments 23,322 22,346 23,322 22,346
Debt instruments 6,668,714 3,891,018 6,668,714 3,891,018
Loan portfolio 66,446,955 56,209,207 66,446,955 56,209,207
Trading derivatives 898,595 567,686 898,595 567,686
Hedging derivatives 103,354 4,611 103,354 4,611
Accounts receivable 45,454 44,087 45,454 44,087
Other assets 900,064 1,197,329 900,064 1,197,329
104,832,996 79,552,930 104,832,996 79,552,930
Liabilities
Obligations to the public 70,812,534 54,659,978 70,812,534 54,659,978
Interbank funds 72,421 150,015 72,421 150,015
Deposits from financial system entities 1,493,066
DRAFT
1,559,905 1,493,066 1,559,905
Borrowings and financial obligations 7,030,231 9,590,022 7,035,674 9,607,497
Accounts payable 16,006,719 4,189,238 16,006,719 4,189,238
96,305,999 70,659,869 96,311,442 70,677,344
228
Banco BBVA Perú

Assets and liabilities recorded at fair value based on the fair value hierarchy level are recorded as follows:
Financial instruments recorded at fair value and value hierarchy
2020 2019
In thousands of soles Fair value Level 1 Level 2 Level 3 Fair value Level 1 Level 2 Level 3
Assets
Investments at fair value through profit or
loss
Debt instruments 4,679,056 296,595 4,382,461 - 2,669,123 182,149 2,486,974 -
Equity instruments 22,201 22,201 - - 20,465 20,465 - -
Debt instruments 6,675,067 2,570,885 4,104,182 - 3,891,018 1,076,078 2,814,940 -
Trading derivatives 898,595 - 898,595 - 567,686 - 567,686 -
Hedging derivatives 103,354 - 103,354 - 4,611 - 4,611 -
12,378,273 2,889,681 9,488,592 - 7,152,903 1,278,692 5,874,211 -
DRAFT
Liabilities
Borrowings and financial obligations 3,032,280 - 3,032,280 - 3,882,575 - 3,882,575 -
3,923,308 - 3,923,308 - 4,393,286 - 4,393,286 -
229
Banco BBVA Perú

Description of the valuation techniques for instruments recorded at fair value
Level 2 Valuation techniques/ Hypothesis Main inputs used

Fixed and variable rate Fixed rate: Present value of cash flows from bonds (coupons and ▪ Fixed rate: Bonds details (coupon rate,
face value): coupons payment frequency, face value)
Yield to Maturity (YTM): Obtained from
operations traded in Datatec in such a way that
the transaction is greater than or equal to S/ 2
million (internally defined condition).
These cash flows are discounted at yield to maturity (YTM)
▪ Variable rate: closing price of Bloomberg,
Variable rate: The closing price taken is the one consigned in a Reuter or the website of the BVL.
public source of information (Price Vendors). The Bank does not
have trading portfolio of variable rate.
Derivatives (a) Forwards, cross- Calculation of the present value of each of the components of the
DRAFT
▪ Forward points
currency swaps contracts derivative (fixed / variable) considering market interest rates and ▪ Fixed vs variable price
and cross currency converting it to soles with the exchange rate of the day, if ▪ Exchange rate at closure
swaps necessary. The following are taken into account: variable flows (if ▪ Market interest rate curves
any), the projection of flows, the discount curves for each
underlying and the current market interest rates.
(b) Options For options on shares, currency and raw materials: Derivatives on shares, currency and raw
materials:
The hypothesis derived from the use of the Black-Scholes model ▪ Forward structure of the underlying
takes into account the possible adjustments to convexity. ▪ Changes in options
▪ Observable correlations between underlying
For derivatives on interest rates: Derivatives on interest rates:
The hypothesis derived from the use of the Black-Scholes ▪ Maturity structure of interest type curve
assumes a lognormal process of forward rates and model takes ▪ Underlying volatility
into account the possible adjustments to convexity.
230
Banco BBVA Perú

31. Subsequent Events

The Bank is not aware of any subsequent event occurring between the closing date and the issuing
date of these separate financial statements that may affect it significantly.
As described in note 1.B, the Peruvian government issued various COVID-19 supreme and
emergency decrees in the year 2020. Likewise, on January 13, 2021, the Peruvian government
implemented various restrictive measures to prevent the spread of COVID-19, including extending
confinement in “extreme risk” regions until the end of February 2021 and State of Emergency until
September 2, 2021. In this sense, management conducts a continuous monitoring of the Peruvian
Government measures.
On January 13, 2021, the Bank was authorized through SBS Resolution 120-2021 to the contracting
of a redeemable subordinated loan for up to US$ 200 million computable in the Level 2 Cash Equity,
in accordance with the provisions of the aforementioned resolution.
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231
6.4. Consolidated audited financial statements
232
Banco BBVA Perú and Subsidiaries
Consolidated Financial Statements
(including Independent Auditors' Report)
(TRANSLATION OF FINANCIAL STATEMENTS
ORIGINALLY ISSUED IN SPANISH)
233
(TRANSLATION OF A REPORT ORIGINALLY ISSUED IN SPANISH)
INDEPENDENT AUDITORS' REPORT

To the Shareholders and Directors of
Banco BBVA Perú
We have audited the accompanying consolidated financial statements of Banco BBVA Perú (a
subsidiary of BBVA Perú Holdings S.A.C., incorporated in Peru) and Subsidiaries, which comprise the
consolidated statement of financial position as of December 31, 2020 and 2019, and the
consolidated statements of income, income and other comprehensive income, changes in equity
and cash flows for the years then ended, as well as the corresponding notes, including the summary
of significant accounting policies.
Management's Responsibility for the Consolidated Financial Statements
Management is responsible for the preparation and fair presentation of these consolidated financial
statements in accordance with accounting standards established for financial institutions in Peru by
the Banking, Insurance and Pension Plan Agency (Superintendencia de Banca, Seguros y
Administradoras Privadas de Fondos de Pensiones – SBS) for financial institutions in Peru, and for
such internal control as management determines is necessary to enable the preparation of
consolidated financial statements that are free from material misstatement, whether due to fraud or
error.
Auditors' Responsibility
Our responsibility is to express an opinion on these consolidated financial statements based on our
audit. We conducted our audit in accordance with the International Standards on Auditing approved
for its application in Peru by the Dean's Council of the Peruvian Professional Associations of Public
Accountants. Those standards require that we comply with ethical requirements and plan and
perform the audit to obtain reasonable assurance about whether the consolidated financial
statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures
in the consolidated financial statements. The procedures selected depend on our judgment,
including the assessment of the risks of material misstatement of the consolidated financial
statements, whether due to fraud or error. In making those risk assessments, we consider internal
control relevant to the BBVA Perú Group’s preparation and fair presentation of the consolidated
financial statements in order to design audit procedures that are appropriate in the circumstances,
but not for the purpose of expressing an opinion on the effectiveness of the Banco BBVA Perú
Group's internal control. An audit also includes evaluating the appropriateness of accounting policies
used and the reasonableness of accounting estimates made by management, as well as evaluating
the overall presentation of the consolidated financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our opinion.
234
Opinion
In our opinion, the consolidated financial statements referred to above, present fairly, in all material
respects, the consolidated financial position of Banco BBVA Perú and Subsidiaries as of
December 31, 2020 and 2019, and their consolidated financial performance and their consolidated
cash flows for the years then ended, in accordance with accounting standards established by SBS
for financial entities in Peru.
Lima, Peru
February 23, 2021
Countersigned by:
_________________________________
Eduardo Alejos (Partner)
Peruvian CPA Registration 01-29180
235
Consolidated Financial Statements

Contents Page
Consolidated Statement of Financial Position 237
Consolidated Statement of Income 238
Consolidated Statement of Income and Other Comprehensive Income 239
Consolidated Statement of Changes in Equity 240
Consolidated Statement of Cash Flows 241
Notes to the Consolidated Financial Statements 242-332
236

Consolidated Statement of Financial Position
In thousands of soles Note 2020 2019 In thousands of soles Note 2020 2019
Assets Liabilities and equity
Cash and due from banks 5 24,954,267 14,816,709 Obligations to the public and deposits from
Interbank funds 137,599 150,137 financial system entities 12 72,212,597 56,159,283
Investments at fair value through profit or loss Interbank funds 72,421 150,016
and available for sale 6 11,421,340 6,639,844 Borrowings and financial obligations 13 7,053,718 9,678,796
Loan portfolio, net 7 66,593,761 56,398,279 Trading derivatives 8 876,395 490,934
Trading derivatives 8 898,595 567,686 Hedging derivatives 8 14,633 19,777
Hedging derivatives 8 103,354 4,611 Accounts payable, provisions and other liabilities 14 17,745,648 6,099,627
Realizable assets and assets seized and Total liabilities 97,975,412 72,598,433
recovered through legal actions 129,126 187,561
Associates 9 4,582 15,602 Equity 15
Property, furniture and equipment, net 10 1,013,105 988,104 Share capital 6,529,169 5,885,209
Deferred income tax 685,326 439,139 Reserves 1,831,131 1,669,835
Other assets, net 11 1,396,213 1,569,911 Adjustments to equity 119,148 22,816
Goodwill - 1,316 Retained earnings 882,408 1,602,606
Total equity 9,361,856 9,180,466
Total assets 107,337,268 81,778,899 Total equity and liabilities 107,337,268 81,778,899
Risks and contingent commitments 16 34,034,065 29,978,308 Risks and contingent commitments 16 34,034,065 29,978,308
The accompanying notes on pages 6 to 96 are an integral part of these consolidated financial statements.
237

Consolidated Statement of Income

Interest income 17 4,298,555 4,796,546
Interest expense 18 (1,054,376) (1,374,912)
Gross financial income 3,244,179 3,421,634
Provision for direct loans, net of recovery (1,751,212) (757,874)
Net financial income 1,492,967 2,663,760
Income from financial services, net 19 811,479 812,837
Financial income net of income and expenses for
2,304,446 3,476,597
financial services
Profit or loss from financial operations 20 659,712 692,868
Operating margin 2,964,158 4,169,465
Administrative expenses 21 (1,707,448) (1,680,871)
Depreciation and amortization (194,265) (167,826)
Net operating margin 1,062,445 2,320,769
Valuation of assets and provisions (154,220) (103,548)
Net operating profit or loss 908,225 2,217,221
Other expenses and income, net 22 (20,842) 22,042
Profit or loss before tax 887,383 2,239,263
Income tax 23 (239,167) (630,207)
Basic and diluted earnings per share in soles 25 0.0993 0.2464
Weighted average number of outstanding shares
25 6,529,169 6,529,169
(in thousands of shares)
238

Consolidated Statement of Income and Other Comprehensive Income

Other comprehensive income:
Unrealized gain for investments available-for-sale 79,899 34,124
Unrealized gain on cash flow hedges 14,753 916
Interests in other comprehensive income from
78 (43)
associates
Unrealized gain (loss) on actuarial liabilities 16,494 (8,894)
Income tax related to components of other
comprehensive income (14,892) 4,709
Other comprehensive income for the year, net of
96,332 30,812
income tax
Total comprehensive income for the year 744,548 1,639,868
239

Consolidated Statement of Changes in Equity
Number of
shares in Adjustments Retained
thousands Share capital Legal reserve to equity earnings (note Total
In thousands of soles (note 15.B) (note 15.B) (note 15.C) (note 15.D) 15.E) equity
Balance as of January 1, 2019 5,368,602 5,368,602 1,522,035 (7,996) 1,469,572 8,352,213
Net profit or loss - - - - 1,609,056 1,609,056
Other comprehensive income
Unrealized gain from cash flow hedges - - - 645 - 645
Unrealized loss on interests in other comprehensive income from associates - - - (43) - (43)
Unrealized loss for actuarial liabilities - - - (6,270) - (6,270)
Total comprehensive income - - - 30,812 1,609,056 1,639,868
Dividends - - - - (811,812) (811,812)
Balance as of December 31, 2019 5,885,209 5,885,209 1,669,835 22,816 1,602,606 9,180,466
Balance as of January 1, 2020 5,885,209 5,885,209 1,669,835 22,816 1,602,606 9,180,466
Net profit or loss - - - - 648,216 648,216
Other comprehensive income
Unrealized gain from cash flow hedges - - - 10,401 - 10,401
Unrealized gain on interests in other comprehensive income from associates - - - 78 - 78
Unrealized gain for actuarial liabilities - - - 11,628 - 11,628
Total comprehensive income - - - 96,332 648,216 744,548
Dividends - - - - (563,465) (563,465)
Balance as of December 31, 2020 6,529,169 6,529,169 1,831,131 119,148 882,408 9,361,856
240

Consolidated Statement of Cash Flows

Reconciliation of net profit with cash and cash equivalents
from operating activities
Adjustments 1,964,551 1,542,927
Depreciation and amortization 194,266 167,826
Impairment of property, furniture, and equipment and
intangible assets 20,113 26,300
Impairment of investments available-for-sale and goodwill 19,070 3,972
Provisions 1,866,249 834,928
Other adjustments (135,147) 509,901
Net changes in assets and liabilities 15,724,535 (907,056)
Loan portfolio (10,367,765) (5,450,916)
Investments available-for-sale 459,032 (622,846)
Accounts receivable and others 590,813 (1,287,209)
Non-subordinated financial liabilities 13,175,174 4,377,190
Accounts payable and others 11,867,281 2,076,725
Profit or loss for the period after net changes in assets,
18,337,302 2,244,927
liabilities and adjustments
Income tax paid (647,402) (636,951)
Net cash and cash equivalents from operating activities 17,689,900 1,607,976
Cash flows from investing activities
Acquisition of securities - (40)
Acquisition of intangible assets and property, furniture, and
equipment (237,007) (236,552)
Other cash inflows from investing activities 88,642 80,953
Net cash and cash equivalents used in investing activities (148,365) (155,639)
Cash flows from financing activities
Cash outflows for redemption of subordinated financial
liabilities (719,400) -
Dividends paid (562,761) (810,470)
Issuance of debt securities and bonds 308,048 577,427
Payment of debt securities and bonds (2,303,090) (655,100)
Net cash and cash equivalents used in financing activities (3,277,203) (888,143)
Net increase in cash and cash equivalents before effects
14,264,332 564,194
of exchange rate fluctuations
Effects of changes in exchange rates on cash and cash
equivalents 1,238,806 (127,102)
Net increase in cash and cash equivalents 15,503,138 437,092
Cash and cash equivalents at the beginning of the year 15,762,558 15,325,466
Cash and cash equivalents at the end of the year 31,265,696 15,762,558
Funds pledges as guarantee 1,896,323 2,256,757
Investment with maturities of less than 90 days (8,070,153) (3,052,469)
Cash and due from banks as per the consolidated
5 24,954,267 14,816,709
statement of financial position
241

Notes to the Consolidated Financial Statements
1. Reporting Entity and Business Activity
A. Reporting entity
Banco BBVA Perú (hereinafter the Bank) is a subsidiary of BBVA Perú Holding S.A.C., which holds
46.12% of its share capital as of December 31, 2020 and 2019. The Bank Bilbao Vizcaya
Argentaria S.A. (hereinafter BBVA S.A.) holds 100% of the shares of BBVA Perú Holding S.A.C.
B. Business activity
The Bank is a closely held corporation incorporated in 1951 and is authorized to operate as a banking
institution by the SBS.
The Bank's activities mainly comprise financial intermediation by commercial banks. Such activities
are governed by the SBS according to Law 26702 "General Law of the Financial and Insurance
Systems and SBS Organic Law" and its amendments (hereinafter the Banking Law). This Law
establishes the requirements, rights, obligations, guarantees, restrictions, and other operating
conditions to which every legal entity operating in the financial and insurance systems is subject.
The registered office and headquarters of the Banks are located at Av. República de Panamá
N° 3055 - San Isidro, Lima, Peru.
The Bank holds 100% of the share capital with voting rights over its subsidiaries: BBVA Bolsa
Sociedad Agente de Bolsa S.A, BBVA Asset Management S.A. SAF, BBVA Sociedad
Titulizadora S.A., Inmuebles y Recuperaciones BBVA S.A., BBVA Consumer Finance EDPYME,
Forum Comercializadora del Perú S.A. and Forum Distribuidora del Perú S.A. Even though the Bank
does not hold share capital or voting rights over Continental DPR Finance Company (DPR), due to
the characteristics of its corporate purpose and its relationship with the Bank, the accounting
standards that govern the Bank require DPR's financial statements to be included on the
DRAFT
consolidated basis with those of the Bank (all these companies including the Bank are denominated,
hereinafter, BBVA Peru Group).
National State of Emergency

On March 11, 2020, the World Health Organization (WHO) declared a pandemic due to the
coronavirus disease (COVID-19), and recommended contention and mitigation measurements
worldwide. On March 15, 2020, the Peruvian government declared, through Supreme Decree, a
national state of emergency due to the serious circumstances affecting people's life as a result of
the COVID-19 outbreak. As of reporting date, the state of emergency has been extended until
September 2, 2021, inclusive. In this context, the government enforced a series of exceptional and
preventive measurements.
The Bank did not stop its activities, even during the quarantine, to attend and support the
government's financing programs and distribute social assistance initiatives, such as bonds
(economic subsidies) for households vulnerable to poverty or extreme poverty.
Since the beginning of the pandemic, the Bank carried out a number of contingency actions, which
led to the creation of a multidisciplinary team in charge of designing and implementing the strategy
for the biosanitary crisis, whose main objective is to protect the health of employees and customers
throughout Peru.
242

For this purpose, this multidisciplinary team designed a health strategy, comprehensive
infrastructure implementation and management of the demand of the offices, based on the new
reality due to the pandemic. Likewise, teleworking for the employees of the core areas was
implemented, as well as for the employees considered vulnerable population due to preexisting
health conditions.
C. Peruvian government programs for economic reactivation

The Ministry of Economy and Finance (MEF) implemented the following economic aid programs to
debtors affected by the state of emergency:
Amount
Program / of the
Reactiva Perú Legislative It was created with the following purposes: S/ 60,000
Until Decree 1455 million
November 30, (April 6, 2020) • Respond to the liquidity needs that
2020 companies face due to the impact of
Ministerial COVID-19.
Resolution • Ensure the continuity of the chain of
134-2020-EF payments.
(April 13, 2020)
Through this program, the Government grants
guarantees to companies so that they can
access working capital loans, and can meet
short-term obligations with their workers, and
suppliers of goods and services. The
government guarantees ranges are between
80% and 98% of the loan, whose maximum
amount per customer is S/ 10 million, which is
terminated based on the volume of sales.
Additionally, the Bank obtains the resources to

grant these loans through repurchase
agreement with the Central Reserve Bank of
Peru (BCRP, for its Spanish acronym), for the
guaranteed portion.
FAE for SME Emergency Business Support Fund (FAE) for Small and S/ 4,000
Until Decree Micro Enterprise (SME). million
December 31, 029-2020
2020 (March 20, Initially, it applied for new working capital loans,
2020) rescheduling and refinancing and the maximum
amount of the loan per customer was up to S/
Ministerial 90 thousand with coverage percentages of
Resolution 30%, 50% and 70%.
124-2020-EF
(March 25, Currently, it applies for new working capital
2020) loans and the maximum amount of the loan per
customer is up to S/ 30 thousand with coverage
percentages of 95% and 98%.
243

Amount
Program / of the
FAE for Emergency It was intended for SME that carry out lodging S/ 1,500
Tourism Decree activities, interprovincial passenger land million
Until June 30, 076-2020 transport, tourist transport, travel and tourism
2021 (June 30, 2020) agencies, restaurants, leisure activities,
organization of congresses, conventions and
Ministerial events, tourist guidance, and production and
Resolution marketing of handicrafts. Currently, it applies
228-2020-EF for new working capital loans and the maximum
(August 11, amount of the loan per customer is up to S/ 750
2020) thousand with coverage percentages of 95%
and 98%.
FAE for Emergency It was intended for farmers. It is a loan S/ 2,000

Farmers Decree guaranteed to the Bank so that it in turn grants million
Until June 30, 082-2020 loans to customers for working capital. The
2021 (July 9, 2020) maximum amount of the loan per customer is
up to S/ 30 thousand with coverage
Ministerial percentages of 95% and 98%.
Resolution
226-2020-EF
(August 9,
2020)
CRECER Fund Legislative It is a program that grants guarantees to loans Not

Until year 2049 Decree for working capital, fixed assets and export specified
1399 credits to promote the productive and business
(September 7, development of SME. The maximum amount of
2018) the loan per customer is up to S/ 10 million.
Coverage percentages are up to 75% for SME,
Supreme up to 70% for Medium-business and up to 60%
Decree for exporting company.
007-2019-EF
(January 11,
2019)
Government Legislative It is intended to provide liquidity to banks, S/ 7,000

guarantee Decree financial entities and credit agencies. million
program, to the 1508-2020
credit portfolio (May 11, 2020)
of financial
institutions.
Ministerial
Until December Resolution
31, 2022 178-2020-EF
(June 24, 2020)
244

Amount
Program / of the
Repurchase BCRP Official BCRP order the possibility that financial entities Not
agreement with Letter obtain an economic fund at a rate of 0.5% specified
rescheduling of 0021--2020 through repurchase agreement. Therefore,
credit portfolio (June 7, 2020) financial entities are committed to reschedule
their customer's credit portfolio or the portfolio
adquired to other financial entities, temporally
reducing the interest rate for the duration of the
operation with the BCRP.
Guarantee Law 31050 It is intended to consumer credit portfolios, S/ 5,500

programs - (October 8, personal loans, mortgages loans, vehicles and million
COVID-19 2020) SME. The program guarantees credits
rescheduled by financial entities. Such
Until March 31, Ministerial reschedule contemplates the decrease of the
2021 Resolution interest rate.
296-2020-EF
(October 18,
2020)
D. Approval of the consolidated financial statements

The consolidated financial statements as of December 31, 2020 were approved by the Bank’s
Management and will be presented for approval to Board of Directors and General Shareholder's
Meeting within the terms established by Law. In management's opinion, the Board of Directors and
the General Shareholder's Meeting will approve the accompanying consolidated financial statements
without amendments. The General Shareholders' Meeting, held May 11, 2020, approved the
consolidated financial statements as of December 31, 2019.
2. Basis of Preparation of the Consolidated Financial Statements
A. Statement of compliance
The consolidated financial statements are prepared and presented in accordance with current
regulations and Peruvian GAAP applicable to financial institutions, which comprise the accounting
standards and practices authorized by the SBS, in use of its powers, delegated in accordance with
the provisions of the Banking Law. The aforementioned standards are contained in the Accounting
Manual for Financial Institutions (hereinafter the “Accounting Manual”) approved by SBS Resolution
895-98, dated September 1, 1998, effective as of January 1, 2001, and complementary norms and
amendments.
In the absence of such applicable SBS regulations, the International Financial Reporting Standards
(IFRS), issued by the International Accounting Standards Board (IASB), made official in Peru by the
Peruvian Accounting Board (CNC, for its Spanish acronym), are applied.
Peruvian GAAP comprise the standards and interpretations issued or adopted by the IASB, which
include IFRSs, International Accounting Standards (IAS), and interpretations issued by the
International Financial Reporting Interpretations Committee (IFRIC), or the former Standing
Interpretations Committee (SIC), adopted by the IASB and made official by the CNC for their
application in Peru.
245

B. Basis of consolidation
The consolidated financial statements include the financial statements of entities that are part of the
BBVA Peru Group, described in note 1, after eliminating significant balances and transactions among
the consolidated entities, and the gains and losses resulting from those transactions. All subsidiaries
have been consolidated since their constitution or acquisition.
Subsidiaries are all the entities over which the Bank has the power to govern its operating and
financial policies. The consolidation ends as of the date in which the Bank loses the control over
them.
As of December 31, the main balances of the BBVA Peru Group are the following:
Assets Liabilities Equity
In million of soles 2020 2019 2020 2019 2020 2019

Entity
Banco BBVA Perú 107,384 81,722 98,008 72,534 9,376 9,188
BBVA Bolsa Sociedad Agente de Bolsa S.A.(i) 34 41 15 22 19 19
BBVA Asset Management S.A. SAF (ii) 42 43 2 4 40 39
BBVA Sociedad Titulizadora S.A. (iii) 6 6 1 1 5 5
Inmuebles y Recuperaciones BBVA S.A. (iv) 176 168 4 4 172 164
Continental DPR Finance Company (v) 101 145 101 145 - -
BBVA Consumer Finance Edpyme (vi) 340 539 235 447 105 92
Forum Comercializadora S.A. (vii) 2 2 - - 2 2
Forum Comercializadora S.A. (viii) 110 183 85 160 25 23
(i) BBVA Bolsa Sociedad Agente de Bolsa S.A. (hereinafter Sociedad Agente de Bolsa) is a
subsidiary of the Bank, in which it owns 100% of the shares with voting rights representing
its share capital. Sociedad Agente de Bolsa is engaged in the intermediation of securities,
which mainly comprises the purchase and sale of securities by orders of customers (owners
of contract), as well as the provision of advisory and information services to investors.
Likewise, Sociedad Agente de Bolsa can carry out operations and services compatible with
the brokerage activity in the stock market, authorized by the Superintendence of Securities
Market (SMV, for its Spanish acronym).
(ii) BBVA Asset Management S.A. Sociedad Administradora de Fondos (hereinafter Sociedad
Administradora) is a subsidiary of the Bank, in which it owns 100% of the shares with voting
rights representing its share capital. Sociedad Administradora is engaged in management of
mutual and investment funds authorized to be operated by the SMV, as well as acquisition
and sale of securities. As of December 31, 2020, Sociedad Administradora manages
19 mutual funds of investments in securities, 2 private investment funds and 1 public
investment fund.
(iii) BBVA Sociedad Titulizadora S.A. (hereinafter Sociedad Titulizadora) is a subsidiary of the
Bank, in which it owns 100% of the shares with voting rights representing its share capital.
Sociedad Titulizadora is dedicated to the function of trustee in securitization processes, as
well as to acquire assets in order to establish trust funds that support the issuance of credit-
bearing securities. As of December 31, 2020, Sociedad Titulizadora manages the assets in
14 trust funds.
246

(iv) Inmuebles y Recuperaciones BBVA S.A. (hereinafter IRBSA) is a subsidiary of the Bank, in
which it owns 100% of the shares with voting rights representing its share capital. IRBSA is
engaged to the trade of personal and real state property for its own use or for third parties,
through the acquisition, sale, lease, import and export of such properties; as well as any other
related activity, without any limitation. Likewise, IRBSA provides management services for
the Bank's health care program.
(v) Continental DPR Finance Company is a special purpose corporation. Its objective is fully
described in note 13(d)(iii) (securitization of foreign remittances).
(vi) BBVA Consumer Finance Edpyme (hereinafter Edpyme) is a subsidiary of the Bank, in which
it owns 100% of the shares with voting rights representing its share capital. Edpyme is
engaged to granting financing to natural and legal persons that develop activities classified as
small and micro businesses.
Edpyme has a plan to integrate the vehicle business with the Bank in the first half of 2021,
and from that period on, the dissolution process of such company would begin.
(vii) Forum Comercializadora del Perú S.A. is a subsidiary of the Bank, in which it owns 100% of
the shares with voting rights representing its share capital. Forum Comercializadora del Perú
S.A. is engaged to financing motor vehicles, wholesale or retail, to take them or give them in
financial lease.
(viii) Forum Distribuidora del Perú S.A. is a subsidiary of the Bank, in which it owns 100% of the
shares with voting rights representing its share capital. Forum Distribuidora del Perú S.A. is
engaged to direct and indirect financing for motor vehicle dealerships; also to trade, acquire
and sell motor vehicles, on credit or cash, wholesale or retail, and take or give them in lease,
assignment in use or any other modality allowed by Peruvian laws.
C. Basis of measurement
The consolidated financial statements have been prepared on a historical cost basis, except for the
following:
▪ Derivative financial instruments are measured at fair value;

▪ Financial instruments at fair value through profit or loss are measured at fair value; and
▪ Available-for-sale financial assets are measured at fair value.
D. Functional and presentation currency

The Bank prepares and present its consolidated financial statements in soles (S/ or PEN), which is
the currency related to the main economic environment in which the Bank operates, such currency
influences the Bank's transactions and services it provides, among other factors. All amounts have
been rounded to the nearest thousand, unless otherwise indicated.
E. Use of judgments and estimates

In preparing these consolidated financial statements, management has made judgments, estimates
and assumptions that affect the application of the BBVA Perú Group accounting policies and the
reported amounts of assets, liabilities, income and expenses. Actual results may differ from these
estimates.
247

The accounting estimates and underlying judgments used are reviewed on an ongoing basis.
Adjustments resulting from the review of accounting estimates are recognized prospectively,
recording the effect in the consolidated statement of profit or loss, as of the year in which the
revision is made.
The most relevant estimates and judgments to prepare the consolidated financial statements are
the following:
▪ Determination of the fair value of investments (note 30).

▪ Accounted investments using the equity method (note 9).
▪ Provisions for loan losses (note 7).
▪ Provision for realizable assets and assets seized and recovered through legal actions
(note 3.G).
▪ Provision for employee benefits (note 3.M).
▪ Useful life of property, furniture and equipment and intangible assets (note 3.F and 3.I).
▪ Provision for income tax (note 23).
▪ Deferred tax (note 24).
▪ Determination of the fair value of derivative instruments (note 30).
▪ Impairment of non-financial assets (note 3.H).
▪ Goodwill (note 3.J).
F. New accounting pronouncements
i. New accounting pronouncements not yet adopted

A number of new standards, amendments and interpretations have been issued or amended by the
IASB and are effective for annual periods beginning on or after January 1, 2021.
IFRSs, amendments and interpretations Effective date

Interest Rate Benchmark Reform Annual periods beginning on or after
State 2 (Amendments to IFRS 9, IAS 39, January 1, 2021.
IFRS 7, IFRS 4, and IFRS 16).
Onerous Contracts – Cost of Fulfilling a Contract Annual periods beginning on or after
Annual Improvements to IFRS Standards 2018-2020 Annual periods beginning on or after
January 1, 2022.
Property, Plant and Equipment Proceeds before Annual periods beginning on or after
Intended Use (Amendments to IAS16). January 1, 2022.
Reference to the Conceptual Framework Annual periods beginning on or after
(Amendments to IFRS 3) January 1, 2022.
Classification of Liabilities as Current or Non-current Annual periods beginning on or after
Amendments to IFRS 17 Insurance Contracts Annual periods beginning on or after
January 1, 2023.
Sale or Contribution of Assets between an Investor Early adoption is permitted. Effective date
and its Associate or Joint Venture (Amendments to deferred indefinitely.
IFRS 10 Consolidated Financial Statements and IAS 28
Investments in Associates and Joint Ventures)
248

If such standards and amendments were adopted by the SBS, management has not yet assessed
their impact on BBVA Peru Group's consolidated financial statements.
ii. Resolutions and standards issued by the CNC and the Superintendence of Securities
Market (SMV) concerning the approval and adoption of IFRSs in Peru
As of the date of the consolidated financial statements, the CNC through:
▪ Resolution 001-2020-EF/30, issued July 16, 2020, formalized amendments to IAS 1
Presentation of Financial Statements, and the complete set of IFRS version 2020 (IAS, IFRS,
IFRIC and SIC), which includes the Conceptual Framework in IFRS Standards, as well as the
amendments to IFRS 16 Leases (COVID-19-Related Rent Concessions). The validity of the
indicated standards is established in each one of them.
▪ Resolution 002-2020 EF/30, dated September 8, 2020, formalized the amendments to IAS 16
Property, Plant and Equipment, IFRS 3 Business Combinations, IFRS 4 Insurance Contracts,
IAS 37 Provisions, Contingent Liabilities, IFRS 1 First-time Adoption of International Financial
Reporting Standards, IFRS 9 Financial Instruments y IAS 41 Agriculture.
As indicated in note 2.A, the standards and amendments detailed in i., ii. and iii. shall only be
applicable to the Bank in the absence of applicable SBS regulations for situations not covered in the
Accounting Manual. Management has not determined the effects on the preparation of its
consolidated financial statements since those standards were not adopted by the SBS.
iii. Main pronouncements issued by the SBS

In 2020, SBS published, among others, the following significant pronouncements:
SBS regulations in the COVID-19 context

a) Reschedule loans
Regulation Date Brief description

Official Letter 10997- March 13, Official Letter 5345-2010-SBS, dated February 5, 2010, is
2020-SBS 2020 effective and grants financial institutions power to modify
loan agreements, that do not consider the borrower's ability
to meet its debt obligation, so that they are considered as
refinancing. Its application will require that the debtors have
not presented defaults at the time of the state of emergency
declaration. Such Official Letter is effective 1 day after its
publication.
Official Letter March 16, Conditions to reschedule:

11150-SBS 2020
• The total term of the before mentioned loans does not
extend for more than 6 months of the original term,
Official Letter March 20, subsequently modified to 12 months.
11170-2020-SBS 2020
• As of the date of the national state of emergency, the
debtors do not have any default.
249


Official Letter May 5, For amendments made as of May 29, 2020, and only
12679-2020-SBS 2020 during the national state of emergency, it will be
considered that borrower's loans are not longer than
30 days past due in order to comply with the requirement
Official Letter May 29, to be up to date with their payments and have no defaults.
13805-2020-SBS 2020
• For retail portfolio, such modification may be conducted
without prior notice.
• From June 1, 2020, in the case of new contractual

amendments of revolving loans for credit cards, those
that only consider an extension or grace period for the
minimum payment are not applicable, and the entire debt
must be considered in a new schedule to be able to be
framed in the provisions of the Official Letter
13805-2020-SBS.
Accounting treatment of interest:
• The accounting treatment of interest on such loans shall

be conducted through the assumption method beginning
on the rescheduling date. Therefore, interest that have
not been charged as of rescheduling date have to be
reversed.
• Interest associated to retail loans shall be recorded on an
accrual basis.
• If such retail loans change to the accounting situation of
past due after the payment obligation according with the
new schedule is resumed, the entity shall reverse the
accrued and unpaid interest, having 6 months to carry out
such reversal proportionally.
Such reverse will be applicable only for those loans that
change their accounting treatment to past due for the first
time since the payment obligation is resumed and may be
applied for loans that pass to a past due accounting
situation until March 31, 2021.
• In accordance with Official Letter 11150-2020-SBS, the
accounting treatment of interest of wholesale debtors
with rescheduled loans shall be subject to the cash-basis
method.
250

b) Risk regulations of market, provisions and capital requirement

Official Letter March 16, • It establishes that limits for liquidity coverage ratio in
11148-2020-SBS 2020 local and foreign currency will not be temporarily applied.
Such Official Letter is effective 1 day after its publication.
SBS Resolution March 26, • It establishes that the deadline extension due to the
1264-2020 2020 rescheduling does not increase the risk-weight factor for
non-revolving loans and mortgage loans according with
the Regulation on Regulatory Capital Requirements for
Credit Risks.
• The Regulations for Additional Regulatory Capital

Requirement established the faculty of the financial
entities to use the additional regulatory capital
accumulated as of the validity period of this Resolution for
the components of the economic cycle.
Official Letter 14454- June 10, • It approves that, while the national state of emergency is
2020-SBS 2020 in force and up to 120 days after it is no longer effective,
preferred guarantees, that as of February 2020, were
Official Letter May 19, updated could maintain their reported value as of such
13195-2020-SBS 2020 date.
• Likewise, in a preventive and responsible manner,

financial entities must establish the necessary voluntary
reserves that allow them to face increases in risk, when
they materialize. In case, it is considered that a release of
provisions applies, these must be reassigned as voluntary
reserves or for the constitution of other mandatory
provisions, and in no case may results of the year or any
equity account be affected by the reversal of said
provisions.
Official Letter July 31, The legal limits to the foreign currency global position (long
1882-2020 2020 position and short position) are modified.
Official Letter October 26, The legal limits to derivatives instruments (accounting net
2628-2020-SBS 2020 position: short and long position) are modified.
Official Letter November It establishes that a credit risk provision rate of 0% is

2793-2020-SBS 10, 2020 applicable to the part of the credits that are covered by the
guarantee of the COVID-19 Guarantee Program when
borrower substitution is applied, as of the activation of the
guarantee.
SBS Resolution December 17, It establishes that the rescheduled loans of debtors with
3155-2020 2020 Standard classification are considered debtors with credit risk
higher than Standard, corresponding to the level of credit risk
With Potential Problems. The specific provisions for credit risk
With Potential Problems are applied to these credits.
251

c) Suspension of days in arrears

Official Letter March 20, • It establishes that, only during the national state of
11170-2020-SBS 2020 emergency, a borrower may be 15 days past due as
maximum as of February 29, 2020, provided that the
borrower is up to date with their payments and has no
past due loans.
Official Letter May 19, • Loans granted by financial institutions may have the same
13195-2020-SBS 2020 accounting situation provided the national state of
emergency is still effective. The counting of days in
arrears recorded as of February 29, 2020, shall be
suspended provided the national state of emergency is
still effective.
Official Letter May 29,
13805-2020-SBS 2020 Extensions were approved until May 31, July 21 and,
finally, until Augusto 31, 2020 for the suspension of days
in arrears.
Official Letter July 2, 2020 • For loans with 15-60 days past due as of February 29,
15944-2020-SBS 2020, such suspension shall be effective for 1 more
month from the date in which the national state of
emergency is no longer effective.
• Additionally, it establishes that the Bank shall report the

lower number of days in arrears resulting from the
comparison between: i) the actual days is arrears at the
end of the monthly report of the loan, and ii) the
suspended days in arrears as of February 29, 2020, plus
the days from August 1, 2020, to the end of the monthly
report. If due to the calculation, the debtor improves his
classification and, therefore, reduces his requirement for
provisions, the released provisions must be reassigned to
the constitution of other mandatory provisions or, failing
that, as voluntary reserves. However, under no
circumstance, profit or loss for the year or any equity
account shall be affected due to the reversal of said
provisions.
Actual days in arrears are the number of days past due of

the oldest unpaid installment according to the current
credit schedule, which must consider the payments made
by the customer, if applicable.
252

d) Regulations associated to Government Programs

Official Letter March 23, It establishes that the repurchase agreement of credit portfolio
11214-2020 2020 represented in securities are considered sources of financing
available to be included in the contingency funding plan. Such
Official Letter is effective one day after its publication.
Official Letter April 7, Accounting treatment of regulatory capital requirement and

11518-2020-SBS 2020 legal limits of the credit portfolio reporting operations
represented in securities held with the BCRP, which came
into effect the day after its publication, is approved.
Official Letter April 22, Reactiva Peru Program

11999-SBS 2020
Dispositions over the Reactiva Peru program are established
to ensure the continuity of the payment chain before the
SBS Resolution April 27, impact of COVID-19. Such dispositions are the following:
1314-2020 2020
• Accounting record as a loan and control through
memoranda accounts.
• Credit risk provision rate of the Standard borrower whose
rate is 0.7% for the guaranteed amount. Subsequently,
modified to a rate of 0%.
• Risk weighted factor corresponding to the Government for
regulatory capital requirement of 0% for the hedged
amount.
• Not subject to legal limit due to exposure to the
Government for the hedged amount.
SBS Resolution April 27, FAE for SME Program

1315-2020 2020
The following dispositions are established:
Official Letter May 19, • Accounting record as a loan and control through
13206-2020-SBS 2020 memoranda accounts.

FAE for SME:
• Credit risk provision rate of 0%.

• Apply a risk weighted factor of 0% to calculate the
standard method.
• Legal limit up to 50% for the total of exposure not
guaranteed by the FAE for SME.
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SBS Resolution June 8, The following dispositions are established:
1546-2020 2020 • Approval of the amendment to the Accounting Manual
(memorandum accounts related to guarantees received).

REACTIVA PERÚ Program and the FAE for SME program,
when borrower substitution is applied, it is established the
following:
• That the calculation of the provisions associated with the

risk of debt distress for retail debtors shall be excluded.
• That it does not apply to record additional provisions for
exchange rate risk.
Official Letter July 24, Clarifications over the repurchase agreement with
17769-2020-SBS 2020 rescheduling of credit portfolio within the framework of
Official Letter 0021-2020-BCRP, in terms of accounting record
as a loan and control through memoranda accounts and
reporting through the Credit Report of Debtors.
Official Letter November 25, It establishes, among other aspects, the following dispositions
37400-2020-SBS 2020 on the Guarantee programs - COVID-19:
• Accounting record as a loan and control through

memoranda accounts.

Guarantee programs - COVID-19:
• Credit risk provision rate of 0%.

• Apply a risk-weighted factor of 0% to calculate the
standard method.
• Not subject to legal limit due to exposure to the
Government for the hedged covered.
3. Accounting Principles and Practices

The significant accounting principles and practices used in the preparation of the BBVA Peru Group's
consolidated financial statements, have been applied uniformly with those of the previous period,
except for the set of exceptional and preventive measures taken by the Peruvian Government to
face the economic crisis generated due to the national state of emergency and the mandatory social
isolation due to the COVID-19 outbreak, mentioned in the note 2.F.iii.
A. Financial instruments
Recognition of financial instruments

A financial instrument is any contract that gives rise to both a financial asset in one entity and a
financial liability, or equity instrument in another.
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Financial instruments are recognized on the date when they are originated (trade date) and classified
as assets, liabilities, or equity according to the contract that gave rise to the financial instrument.
Interest, dividends, gains and losses generated by a financial instrument classified as an asset or
liability are recorded as income or expenses in the consolidated statement of income. Payments to
holders of financial instruments are directly recorded in equity.
Gains arising from the transfer of the loan portfolio are recognized as income; however, for financed
transfers or transfers through swaps, these gains are recognized as deferred income, which is
accrued based on the monetary income obtained from the realization of the assets received through
swaps, or in proportion to the perception of the payment made by the acquirer of the transferred
loan portfolio. Losses arising from the transfer are recognized at the moment of the transfer.
Classification financial instruments

BBVA Peru Group classifies its financial instruments on initial recognition and on an instrument-by-
instrument basis, in the following categories, according with the Accounting Manual: at fair value
through profit or loss, loans and accounts receivable, available-for-sale, held-to-maturity, at amortized
cost, and other liabilities.
The classification of financial instruments on initial recognition depends on the purpose for which the
financial instruments were acquired and their characteristics. At initial recognition, a financial
instrument is measured at fair value plus transaction costs that are directly attributable to the
acquisition or issue of the financial instrument, except for financial assets or financial liabilities
measured at fair value through profit or loss.
Derecognition of financial assets and liabilities

BBVA Peru Group recognizes derecognition of a financial asset when: (i) the contractual rights to
receive the cash flows from the financial asset expire; or (ii) transfers the contractual rights to
receive the cash flows from the financial asset, or assumes a contractual obligation to pay the cash
flows to a third party in a pass through arrangement; and (iii) transfers substantially all risks and
rewards of ownership of the financial asset to other entity.
BBVA Peru Group recognizes derecognition of a financial liability when its contractual obligations are
discharged or canceled or expire. An exchange between an existing borrower and lender of financial
liabilities with substantially different terms is recognized as a derecognition of the original financial
liability and the recognition of a new financial liability. Similarly, a substantial modification of the
terms of an existing financial liability is recognized as a derecognition of the original financial liability
and the recognition of a new financial liability. The difference between the carrying amount of a
financial liability derecognized and the consideration paid is recognized in the consolidated statement
of financial position.
Impairment of financial assets

Impairment of financial assets and the corresponding provisions for impairment are assessed and
recorded by BBVA Peru Group in accordance with SBS standards. A financial asset or group of
financial assets is impaired if there is objective evidence of impairment as a result of one or more
events that occurred subsequent to the initial recognition of the asset (loss event), and if such loss
event had an impact on the expected future cash flows of the financial asset or group of financial
assets that can be estimated reliably. Any impairment loss is recognized in the consolidated
statement of income.
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Offsetting financial instruments

Financial instruments are offset when the BBVA Peru Group has a legally enforceable right to
set them off, and management intends either to settle them on a net basis or to realize the
asset and settle the liability simultaneously.
B. Derivative financial instruments

Derivative financial instruments are recorded at trade date according with SBS Resolution 1737-
2006 "Regulation on Trading and Accounting of Derivative Products in Financial Institutions" and
amendments.
Trading derivative financial instruments

Trading derivative financial instruments are initially recognized in the consolidated statement of
financial position at cost, subsequently are measured at fair value.
Forward operations, swaps operations and options are recorded at their estimated market price,
recognizing an asset or liability in the consolidated statement of financial position, and gains and
losses due to valuation or settlement in the consolidated statement of the year. The face value of
derivative instruments is recorded in the agreed-upon currency in suspense accounts.
Hedging derivative financial instruments

A hedging derivative instrument is recorded as such if, on trade date, it is foreseen that changes in
fair value or cash flows will be highly effective in offsetting changes in hedge, which shall be
documented on the trade date of the derivative instrument and during the term of the hedging
relationship. A hedge is considered highly effective if changes in the fair value or cash flows of the
hedged item and hedging instrument are within a range of 80-125%, according with SBS Resolution
1737--2006 and its amendments.
If the SBS determines the documentation to be insufficient or identifies some weaknesses in the
methods used by the Bank, it can require the Bank to eliminate the hedge accounting and recognize
derivative instruments as trading instruments.
(i) Fair value hedge

Changes in the fair value of the hedge derivative instrument and hedge is recognized in the
consolidated statement of income, form the moment the hedge is designated and, provided it is
effective.
Changes in fair value of hedge (gain and losses due to valuation) are recorded as 'accounts
receivable' or 'accounts payable,' as appropriate, in the consolidated statement of financial position.
(ii) Cash flows hedges

In a cash flow hedge, the derivative instrument is measured at fair value and may affect 'equity' and
'income.' The portion of the adjustment to its fair value is recognized in 'equity' of the consolidated
statement of income and other comprehensive income, while the ineffective portion is recognized
in the consolidated statement of income.
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For both types of hedging, if the derivative expires, is sold, terminates or is executed, or no longer
meets the criteria for hedge accounting, the hedging relationship ends prospectively and the
balances recorded in the consolidated statement of financial position and in the consolidated
statement of income and other comprehensive income, as appropriate, are transferred to the
consolidated statement of income within the effective term of the hedged item.
C. Investments
The Bank applies the recognition and measurement criteria to investments in instruments, in
accordance with SBS Resolution 7033-2012 "Regulation on Classification and Measurement of
Investments of Financial Institutions" and amendments, as follows:
i. Investments at fair value through profit or loss

Equity and debt securities are classified as investments at fair value through profit or loss if they
have been mainly acquired for trading purposes in the near future, or are part of a portfolio of
identified financial instruments that are managed together and for which there is evidence of a
recent pattern of short-term profit-taking or have been designated in this category since their initial
recognition.
On initial recognition, these investments are measured at fair value less transaction costs, which are
included as expenses in profit or loss for the period. Subsequently, they are measured at their fair
value and the gain or loss from the recovery or sale of these financial assets is recorded in the profit
or loss of the year.
Interest income is recognized using the effective interest method. Dividends are recognized in the
consolidated statement of income when the right to receive the payment has been established.
Investments at fair value through profit or loss that are pledged as guarantees shall be reclassified as
investments available-for-sale. Once these transactions are concluded, investments shall be
reclassified at their initial category, transferring the unrealized gains and losses from equity to the
consolidated statement of income.
ii. Held to maturity investments

This caption comprises debt instruments with fixed or determinable payments and fixed maturity,
which are: they have been acquired or reclassified with the intention of keeping them until their
maturity date; companies must have the financial capacity to hold them until maturity; and are
instruments different from, at the time of initial recognition, the company has designated to be
accounted at fair value through profit or loss, or as assets available for sale.
Likewise, they shall be classified by at least two local or international credit rating agencies and the
classifications shall be within the parameters established by the SBS, being excluded from this
requirement the instruments of Central Banks of countries whose sovereign debt receives at least
the classification that corresponds to the sovereign debt of Peru.
to the instrument’s acquisition.
The subsequent measurement of these investments is carried out at amortized cost, using the
effective interest rate method. Any impairment loss is recognized in the consolidated statement of
income.
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iii. Investments available-for-sale

Investments available-for-sale are all investment instruments that are not classified as investments
at fair value through profit or loss, held-to-maturity investments, or investments in subsidiaries,
associates and joint ventures. Likewise, all instruments shall be included in this category as required
by the SBS.
to the instrument’s acquisition. Subsequent measurement of these investments is carried out at fair
value; in the case of equity instruments that do not have prices quoted in active markets and whose
fair value cannot be reliably estimated, they must be measured at cost. Likewise, in the case of debt
instruments, prior to the measurement at fair value, shall be remeasured using the effective interest
method, and gains or losses from the changes in fair value shall be recognized.
Gains and losses from the changes in fair value of investments available-for-sale are recognized
directly in equity until the instrument is either sold or realized, which is when gains and losses are
recognized in profit and loss, except for impairment losses that are recorded in profit and loss.
If an investment available-for-sale is impaired, the accumulated loss (difference between the

acquisition cost, net of any repayment and amortization, and the current fair value, less any
impairment previously recognized in the consolidated statement of income) is removed from equity
and recognized in the consolidated statement of income. Impairment of unquoted shares is the
difference between the carrying amount and the present value of future net cash flows discounted
using the prevailing market rates for a similar instrument.
Gains or losses from exchange differences related to equity instruments are recognized in equity as
'unrealized profit or loss', while those related to debt instruments are recognized in the consolidated
income for the period.
Interest income from investments available-for-sale is recognized using the effective interest
method, considering the useful life of the instrument. Premiums and discounts originated on the
acquisition date are included in the calculation of effective interest rate.
Dividends are recognized in the consolidated statement of income when the right to receive the
payment has been established.
D. Interests in associates
This caption comprises equity instruments acquired to have interests in and joint control or
significant influence over other entities.
At initial recognition, these investments are recognized at their fair value, including transactions
costs that are directly attributable to the acquisition, and subsequently are measured at investments
using the equity method.
The excess between the consideration paid and the fair value of the identifiable assets acquired, and
the liabilities assumed on the acquisition date is recognized as goodwill. This goodwill is included in
the carrying amount of the investment and is evaluated for impairment as part of the investment. In
case the fair value of investment exceeds the consideration paid, this amount is recognized as profit
in the consolidated income of the year.
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The Bank determined that the fair value of investments is equivalent to the carrying amount of the
invested at acquisition date, since they do not have significant non-monetary assets, or they have
non-monetary assets recorded at their fair value.
When management identifies that one or more investments in associates are impaired, said
impairment shall correspond to the difference between the carrying amount and the recoverable
amount of the investment, in accordance with IAS 36 Impairment of Assets. The carrying amount of
the investment shall be reduced to its recoverable amount. Impairment loss shall be recognized in
the consolidated income for the year.
E. Loans and provisions for loan losses

Direct loans are recorded when fund expenditures are made in favor of customers. Indirect loans
(contingent) are recorded when the documents supporting such credit facilities are issued.
Finance leases are recognized using the effective interest method, and the amount of the
installments receivable is recognized as a loan. Related financial income is recorded on an accrual
basis in accordance with the lease arrangement terms. Initial direct costs are immediately
recognized as expenses.
i. Types of loans
In accordance with SBS Resolution 11356-2008, loans are classified as: i) corporate loans; ii) large-
business loans; iii) medium-business loans; iv) small-business loans; v) micro-business loans; vi)
revolving loans; vii) non-revolving loans; and viii) mortgage loans. This classification considers nature
of customer, purpose of loan, business size measured per revenue, debt, among others.
ii. Accounting situation of loans

According with the Accounting Manual, direct loans present the following classification according to
their situation:
Current loans
They are loans granted in its different modalities, whose payments are up to date, in accordance
with the agreement.
Restructured loans
They are loans or direct funding, regardless of its modalities, subject to the rescheduling of
payments approved in the restructuring process, ordinary or preventive bankruptcy, as the case may
be, in accordance with the Banking Law of the Bankruptcy System approved by Law 27809.
Refinanced loans
They are loans, in their different modalities, in which there are variations in the term and/or amount
of the original agreement that are due to difficulties of the debtor’s ability to meet its obligations.
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Past due loans

They are loans that have not been settled or amortized by the borrowers on the due date. They
include loans originated by the amounts disbursed by the Bank in the event of the customer's
default, for operations whose payment has been guaranteed by the Bank and/or by letters of credits
issued and confirmed assumed by the Bank. The terms for a loan to change from current status to
past due are presented below:
Type of loans / Product Days in arrears

Sovereign loans, to multilateral development
banks, public entities, securities
After 15 calendar days of the expiration of any of
intermediaries, financial entities, corporations,
the agreed installments.
large companies and medium-sized
companies.
After 15 calendar days of the expiration of any of
Small-business and micro-business loans
the agreed installments.
Graduated tax
Consumer (revolving and non-revolving) loans After 30 calendar days of not having paid on the
and mortgage loans. agreed date, only the unpaid portion will be
Finance lease and real state capitalization considered past due; while after 90 calendar days
agreement, regardless of the type of the loan. of default in any of the agreed installments, the
entire debt will be considered past due.
Overdrafts in checking accounts, regardless of As of the 31-calendar day the overdraft was
the amount and type of the loan. granted.
Lawsuit loans
They are loans for which the Bank has initiated legal collection actions. The demand for legal
collection, unless there are technical and legal reasons, begins within a period of 90 calendar days
of having recorded the loan as past due.
iii. Measurements in the COVID-19 context

As a result of COVID-19 and the national state of emergency and mandatory social isolation
(note 1.B), the SBS adopted a series of exception measures with accounting impact, which, in
terms of credit, are detailed below:
Reschedule loans
They are those credits in which, after evaluation, their contractual conditions have been modified,
without going through a refinance, to the extent that the total term of the aforementioned loans
does not extend for more than 6 or 12 months of the original term, depending on the type of loan,
and that the debtors are up to date with their payments as of the date of the state of emergency.
The balance of equity and interests of the rescheduling are controlled in memorandum accounts.
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The types of rescheduling are:
a. Massive rescheduling
Massive rescheduling of loans, with or without the approval of the customer and without
credit risk assessment, have the following requirements:
i. The customer shall record 15 days past due as maximum as of February 29, 2020 or as
of March 15, 2020.
ii. The maximum date to request the first rescheduling is until May 30, 2020 (loans to
large companies and corporate loans) and until June 30, 2020 (retail loans to medium-
sized companies).
iii. The maximum date for rescheduling is 6 months for loans to large companies and
corporate loans, and 12 months for retail loans and medium-sized companies.
b. Individual rescheduling
In individual rescheduling, there must be a credit risk assessment and have the customer's
approval. The maximum rescheduling period of 6 and 12 months of mass rescheduling does
not apply, and it may be extended to longer periods. Likewise, the customer shall not be
more than 30 days past due to the rescheduling date.
c. For both rescheduling types, as of July 1, revolving loans for credit cards shall be rescheduled
only for the entire debt in a new payment schedule.
d. Financial entities may apply the accrual criterion for the accounting treatment of the interests
associated with the retail loans that are subject to rescheduling. If such retail loans change
the accounting treatment to default after the payment obligation according with the new
schedule is resumed, the entity shall reverse the accrued and unpaid interest, having
6 months to carry out such reverse proportionally.
e. For wholesale debtors with massive rescheduling loan, the accounting treatment of interest
shall be subject to the assumption method. For rescheduling process carried out as an
individual credit risk assessment, accrual basis may be applied.
f. SBS Resolution 3155 -2020, dated December 17, 2020, establishes that as of effective date
of this resolution, rescheduled loans of the debtors classified as Standard are considered
debtors with credit risk above normal level, therefore are classified in WPP. Specific
provisions are applied to loans in WPP level, which are applicable to consumer, micro-
business and small-business loans.
For the accrued interests of the rescheduled loans, in the current accounting treatment,
corresponding to the loan portfolio of consumer, micro-business and small-business loans, for
which the customer has not pay of at least a full installment that includes capital in the last six
months to the end of the accounting information, a provision requirement corresponding to
the Deficient risk category will be applied. SBS Official Letter 02105-2021-SBS, dated
January 14, 2021, accepts the Bank request to not record the provision requirement and
indicates that it considers it reasonable that the provisions required for accrued interest on
rescheduled loans should be considered covered by the voluntary provisions established by
the Bank.
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The regulatory requirements indicated above do not affect the classification of the debtor in
the Credit Report.
Accrued interest not collected as of the rescheduling date, recognized as income, that is
capitalized as a result of the rescheduling, must be repaid and recorded as deferred income,
being recorded as revenue based on the new term of the loan and as installments are settled.
Suspension of days in arrears

If there are debtors with more than 15 days past due as of February 29, 2020, financial entities shall
be able to suspend the counting of days is arrears and maintain the same financial situation until
August 31, 2020. In addition, the days in arrears suspended shall be considered for the credit
classification process and calculation of the provision for loans while they remain suspended.
iv. Credit risk rating categories

The credit risk rating categories established by the SBS are the following: Standard, With Potential
Problems (WPP), Substandard, Doubtful and Loss, which are designated according to the credit
history of the borrower.
Credit risk rating of non-retail loan portfolio (corporate loans, large-business loans and medium-
business loans), mainly takes into account the debtor’s payment capacity cash flows, level of
compliance with obligations, credit rating designated by other financial institutions, financial position,
and management quality. For retail loan portfolio (small-business loans, micro-business loans,
revolving and non-revolving loans, and mortgage loans), the credit rating is based on the debtor´s
level of compliance with loan payments which is reflected in the defaults and delays, and in their
credit rating designated by other financial institutions. In addition, the Bank assesses the
exposure to exchange rate risk of the loan portfolio in foreign currency, according to the SBS
Resolution 041-2005 and amendments.
v. Provision for loan losses

The provision for loan losses is measured in accordance with the criteria established in SBS
Resolution 11356-2008 "Regulation on Borrower Risk Assessment and Credit Rating, and Provision
Requirements".
According to current regulations, the Bank considers two types of provisions for loan portfolio:
general and specific provisions. The general provision is recorded in a preventive manner for direct
and indirect loans rated as "standard" and additionally for the procyclical component when the SBS
orders its application. The general provision also includes voluntary provisions.
The voluntary provision is determined by the BBVA Peru Group considering the following: the
economic situation of the debtors that make up the high-risk loan portfolio (overdue loans, in judicial
collection, rescheduled, refinanced and restructured), previous experience and other factors that, at
the management's discretion, require to current recognition of possible losses in the loan portfolio.
The amount of voluntary provisions is reported periodically to the SBS.
The specific provision is recorded for direct loans and exposure to credit risk of borrower's indirect
loans rated in a credit rating higher than "standard".
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The credit risk equivalent of indirect loans is determined by multiplying the indirect loans by the
different types of Credit Conversion Factor (CCF) described as follows:
Description CCF (%)

(a) Confirmations of irrevocable letters of credit up to one year, when the issuing bank
20
is a tier 1 foreign financial institution.
Guarantees issued, import letters of credit, and letters of guarantee that support the
(b) fulfillment of payment obligations associated with credit risk events, and 50
confirmations of letters of credit not included in a), as well as bank acceptances.
(c) Letters of guarantee not included in b). 100
(d) Undisbursed loans granted and unused credit lines. 0
(e) Other indirect loans not included in the prior paragraphs. 100
Provision requirements are determined considering the borrower's credit classification, whether the
loan is secured by guarantee, and type of guarantee.
The percentages applied to determine the provision for the loan portfolio are the following:
Readily
liquidating Self-liquidating
Preferred preferred preferred
Credit risk ratings No guarantees guarantees guarantees guarantees
Standard
Corporate loans 0.70% 0.70% 0.70% 0.70%
Large-business loans 0.70% 0.70% 0.70% 0.70%
Medium-business loans 1.00% 1.00% 1.00% 1.00%
Small-business loans 1.00% 1.00% 1.00% 1.00%
Micro-business loans 1.00% 1.00% 1.00% 1.00%
Revolving loans 1.00% 1.00% 1.00% 1.00%
Non-revolving loans 1.00% 1.00% 1.00% 1.00%
Mortgage loans 0.70% 0.70% 0.70% 0.70%
With potential problems 5.00% 2.50% 1.25% 1.00%
Substandard 25.00% 12.50% 6.25% 1.00%
Doubtful 60.00% 30.00% 15.00% 1.00%
Loss 100.00% 60.00% 30.00% 1.00%
As of December 31, 2020 and 2019, the procyclical component for the provision for loan portfolio is
deactivated, according to SBS Official Letter B-2224-2014.
A provision for direct loan losses is recorded deducting the balance of the relevant asset (note 7). A
provision for indirect loan losses is recorded in 'liabilities' (note 14).
The SBS exceptionally established a zero percent provision rate for credit risk to the part of the loans
covered by the guarantee of the Reactiva Peru and FAE for SME program (note 1.C).
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SBS Resolution 3155-2020 establishes that the rescheduled loans of debtors with Standard
classification are considered debtors with credit risk higher than Standard, corresponding to the level
of credit risk WPP. The specific provisions for credit risk WPP are applied to these credits.
F. Property, furniture and equipment

Property, furniture and equipment is recorded at historical cost, which includes disbursements
attributable to acquisition, and is presented net of accumulated depreciation and accumulated
impairment losses. Annual depreciation is recognized as expense and is determined using the
standard cost, under the straight-line method based on the estimated useful life of property,
furniture and equipment, using depreciation rates.
Years
Buildings and premises 33 & 10
Installations and improvements to rental property 10
Furniture and equipment 10 & 4
Vehicles 5
Disbursements incurred after a component of property, furniture and equipment has been put into
use are capitalized only when they can be measured reliably and it is probable that such
disbursements will result in future economic benefits in excess of the normal performance
originally assessed for said asset.
Disbursements for maintenance and repairs are recognized as expenses in the period in which they
are incurred. When an item of property, furniture and equipment is sold or disposed, its cost and
accumulated depreciation are deleted, and profit or loss resulting from its sale is recognized in the
consolidated statement of income.
The Bank is not permitted to apply the revaluation model. It is only permitted to apply the cost
model. Likewise, the Banks are prohibited from giving as guarantee their property, furniture and
equipment, except those acquired in finance leases.
G. Realizable assets and assets seized and recovered through legal actions
Assets received as payment and repossessed by the Bank as payment of debts are recorded at
judicial or extrajudicial value or at value agreed upon in the payment. At initial recognition, recovered
assets as a result of the agreement termination, if any, are measured at the lower of the
outstanding debt value and the net realizable value. If the outstanding debt value is higher than the
value of the recovered asset, the difference is recognized as a loss, provided that its recovery is
remote.
Likewise, in accordance with Resolution 1535-2005 “Regulation on the Accounting Treatment of

Repossessed and Recovered Assets and Provisions” and amendments, the Bank records
provisions as follows:
▪ For assets received, a provision for 20% of the value on the award or recovery date.
▪ For fixed assets, a monthly provision within a period of not more than 42 months for the net
value obtained during the 12th or the 18th month of award or recovery, depending on
whether an extension is granted by the SBS and until 100% of the asset's carrying amount is
completed. The net carrying amount of fixed assets is compared with the net realizable value
determined by an independent appraiser. The Bank recognizes a provision for impairment loss
if the carrying amount exceeds the net realizable value.
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▪ For assets other than fixed assets, a provision for the remaining balance within a period of not
more than 12 or 18 months, depending on whether an extension is granted by the SBS.
An impairment loss is recognized when the net realizable value is lower than net carrying amount;
accordingly, the carrying amount shall be reduced and the loss shall be recognized in the
consolidated statement of income. If net realizable value exceeds the carrying amount, the higher
amount shall not be recognized.
H. Impairment of non-financial assets

When there are events or economic changes indicate that the carrying amount of a long-lived asset
may not be recoverable, management reviews the carrying amount of the asset at consolidated
statement of financial statement. If after the impairment test, the carrying amount exceeds its
recoverable amount, an impairment loss is recognized in the consolidated statement of income. The
recoverable amount is estimated for each asset.
I. Intangible assets
Intangible assets with finite useful life are recognized at acquisition cost and are presented net of
accumulated amortization and any impairment loss. Amortization is recognized as expense. It is
determined under the straight-line method based on the estimated useful life of assets. The assets'
estimated useful life is between 1 and 5 years.
Costs associated with maintenance of software are recognized as expenses when incurred. The
development expenses and unique and identifiable software, which are likely to generate economic
benefits, are recognized as intangible assets.
J. Goodwill
Goodwill resulting from the acquisition of a subsidiary or associate corresponds to the excess of the
consideration paid over the net fair value of the identifiable assets, liabilities and contingent
liabilities of the investee, on the acquisition date. At the beginning, goodwill is recognized as an
asset at cost, and, subsequently, presented at cost less any accumulated impairment loss, if any.
For the impairment test, goodwill is assigned to each Cash Generating Unit (CGU) of the Bank that is
expected to benefit from the synergies of the combination. A CGU, to which the acquired goodwill
has been distributed, is tested for impairment on an annual basis, or more frequently when there are
indications that the unit may have deteriorated. If the recoverable amount of the CGU is less than its
carrying amount, the impairment loss is distributed first by reducing the carrying amount of any
goodwill distributed to the CGU, and then to the others assets of the CGU, prorated based on the
carrying amount of each of the assets of the unit. Any impairment loss of goodwill is recognized in
profit or loss of the period in which it is generated. An impairment loss recognized in goodwill is not
reversed in subsequent periods.
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K. Non-current assets held for sale

Non-current assets held for sale are measured at the lower of their carrying amount and fair value
less costs to sell and are recorded in 'other assets' of the consolidated financial statement. Non-
current assets are classified as held for sale when their disposal is highly probable and are promptly
available for sale. Therefore, management must be committed to sale and the sale should be
expected to qualify for recognition as a completed sale within one year from the date of
classification.
L. Borrowings and financial obligations

Outstanding instruments and liabilities are financial liabilities recorded at amortized cost using the
effective interest method. Amortized cost is calculated taking into consideration any discounts or
premiums on issuance. Costs are an integral part of the effective interest rate and are amortized
during the validity term of the liabilities. Accrued interest is recognized in the consolidated
statement of income.
Outstanding instruments and liabilities are classifying as financial liabilities at fair value through
profit or loss when are held for trading or, when at initial recognition have been to be accounted at
fair value through profit or loss.
A financial liability classifies as held for trading if:
▪ It is acquired or incurred principally for the purpose of selling or repurchasing it in the near
term;
▪ It is part of a portfolio of identified financial instruments, which are managed together, and for
which there is evidence of a recent pattern of obtaining short-term profits; or
▪ It is a derivative that is not a financial guarantee contract nor has it been designated as a
hedging instrument, and it meets the conditions to be effective.
A financial liability other than those held for trading may be classified as financial liability at fair value
through profit or loss if:
▪ This eliminates or significantly reduces any inconsistency in valuation or recognition;

▪ It is part of a group of financial assets, financial liabilities or both, which are managed and
evaluated according to the fair value criteria, in accordance with a documented investment or
risk management strategy of the bank, and whose information is provided by internal way on
that basis; or
▪ It is part of an agreement containing one or more embedded derivatives, and ias 39 allows
the entire hybrid (combined) agreement to be designated as a financial asset or a financial
liability at fair value through profit or loss.
The financial liabilities at fair value through profit or loss are recorded at fair value. Gains and losses
from changes in the fair value of these liabilities are recognized in 'profit or loss from financial
operations' of the consolidated statement of income.
266

M. Employee benefits
i. Short‑term employee benefits
Vacations and other benefits

Personnel’s annual vacations, paid absences, and other employee benefits are recognized on an
accrual basis, considering their probability of disbursement. The provision for estimated liability
resulting from services rendered by employees, is recorded on the date of the consolidated
statement of financial position.
Severance payment (CTS for its Spanish acronym)

The provision for severance payment is measured, according to current regulations, on the total
employees’ reimbursement rights, according to current regulations. Payments are deposited in the
Bank since it is the financial institution chosen by the employee.
ii. Long-term benefits

It comprises post-employment benefits granted to the Bank's active or retired employee, mainly
related to seniority awards and medical benefits. Such benefits are recorded based on an actuarial
valuation method determined independently, considering future wages levels in accordance with the
market expectations, and the average historical cost of medical expenses and other benefits
adjusted for inflation, as well as their probability of occurrence. These future cash flows are
discounted considering a market interest rate that corresponds to the issuance of bonds with high
credit rating.
Employees' profit sharing

The Bank recognizes a liability and an expense for employees' profit sharing equivalent to 5% of tax
base determined in accordance with current tax laws.
In the case of subsidiaries, according to legal regulations, it is not their responsibility to determine
the employee's profit sharing, since the number of employees is not more than 20, except in
Edpyme.
N. Share-based payments
A group of employees of the Bank is subject to the European Parliament Directive 2013/36/UE in
which limits are established on variable remuneration in relation to fixed remuneration. This system
of settlement and payment of annual variable remuneration (hereinafter the system) corresponds to
those employees who have a significant impact on the Bank's risk profile or exercise control
functions and are subject to the following rules:
▪ Regarding the total annual variable remuneration, 60% is paid the year following the one
corresponding to remuneration, during the first quarter of the year; being that 50% is paid in
cash and the other 50% in shares of the Parent Company at the market price of the
settlement day.
▪ The outstanding balance of variable remuneration is deferred to 3 years, 50% is paid in cash
and the other 50% in shares.
▪ Likewise, assumptions are established that may limit or prevent in certain cases the delivery
of deferred variable remuneration.
The delivered shares will not be available for at least one year, except for the necessary portion to be
used for the payment of applicable taxes.
267

The settlement of the variable remuneration is carried out in the first months of the following year.
As of December 31, 2020 and 2019, management's estimation of the deferred variable
remuneration mounts to S/ 14 million and S/ 8 million, respectively.
O. Provision, contingent liabilities and contingent assets
(i) Provisions
A provision is recognized when the Bank has a present legal or constructive obligation as a result of
a past event, and it is probable that an outflow of resources to settle the obligation shall be
required, and a reliable estimate can be made of the amount of the obligation. Provisions are
reviewed on an ongoing basis and adjusted to reflect the best estimates as of the date of the
consolidated statement of financial position. Where the effect of the time value of money is
material, the amount of a provision shall be the present value of the expenses expected to be
required to settle the obligation.
(ii) Contingent assets and contingent liabilities

Contingent assets are not recognized in the consolidated financial statements, but are only
disclosed when an inflow of economic resources is probable.
Contingent liabilities are not recognized in the consolidated financial statements. They are disclosed
in the notes to the consolidated financial statements, unless the possibility of an outflow of
economic resources is remote.
P. Income tax
Income tax, either current and deferred, is recognized as 'income and expense', and is included in
the consolidated statement of income, except if such amounts are related to items recognized in
'equity,' in which case, current or deferred income tax is also recognized in 'equity.'
According to current tax legislation, current income tax is determined by applying the tax rate for
the year and is recognized as an expense.
The deferred tax liabilities are recognized for all taxable temporary differences that arise when
comparing the carrying amount of assets and liabilities and their tax base, without considering that
the temporary differences estimated at the beginning will be reversed. The deferred tax asset is
recognized for all taxable temporary differences that arise when comparing the carrying amount of
assets and liabilities and their tax base, to the extent that it is probable that, in the future, the Bank
will have sufficient income tax against which it can apply the temporary differences that revert.
Deferred tax liability and asset are measured at the income tax rate, which is expected to be apply
to tax of the year in which this liability is settled or the asset is realized, using the income tax rate
enacted or substantially effective as of the consolidated statement of financial position.
Q. Income and expense recognition

Interest income and expense and service commissions are recognized in profit or loss for the year
on an accrual basis, depending on the term of the generating transactions.
268

Accrued interest from past due, refinanced, restructured and under legal collection loans, as well as
loans rated as "doubtful" or "loss", which is recognized in the consolidated statement of income
when are collected effectively. If it is determined that the borrower's financial position has improved
so that uncertainty on payment of principal does no longer exists, interest is recorded on an accrual
basis again.
Other income and expenses are recorded in the period in which they are accrued.
R. Basic and diluted earnings per share

Basic earnings per ordinary share are calculated by dividing the net profit for the year attributable to
ordinary shareholders by the weighted-average number of outstanding ordinary shares during the
year. Since the Bank does not have dilutive financial instruments, earnings per ordinary and diluted
share are the same.
S. Repurchase agreements
The Bank applies SBS Resolution 5790-2014, which establishes that securities sold under
repurchase agreements on a specific future date, are not derecognized from the consolidated
statement of financial position since the Bank retains substantially all risks and rewards of ownership
of the asset.
The Bank recognizes the cash received and a liability recorded in 'accounts payable' to refund such
cash at maturity. Also, it will make the reclassification of securities subject to the transaction in
accordance with SBS regulations. Accounting records of returns will depend on the agreements
between the parties. The difference between the final amount and the initial amount shall be
recognized as expense against a liability within the transaction term using the effective interest
method.
Credit portfolio reporting operations guaranteed by the Government represented in securities

These operations are agreed within the framework of the Reactiva Peru Program. BCRP conducts
operations through auctions or direct operations. Market participants sell to the BCRP the securities
representative of credits guaranteed by the Government. They receive local currency (amount of the
sale) and are obliged to repurchase said securities subsequently, against the payment of local
currency (amount of the repurchase). Securities could be:
• Portfolio of securities representative of credits (regular form)

• Certificates of participation in real estate trusts (special form)
The market participant shall monthly pay interest. The operation includes a grace period of
12 months without paying interest, which are prorated over the life of the operation. The market
participant is forced to repurchase loans guaranteed by the Government guarantee program each
time there is a reduction in their value, or on the resulting date in case of early maturity. In the event
of breaches, BCRP shall maintain definitively loans with the Government guarantee program.
As of December 31, 2020 and 2019, the Bank carry out credit portfolio reporting operations
guaranteed by the Government represented in securities, loan portfolio and currencies
(notes 5, 7 and 14).
269

T. Consolidated statement of income and other comprehensive income, and changes in

equity
Unrealized profit or loss of the measurement of investment available-for-sale, modifications of the
hypothesis related with actuarial liabilities and measurement of cash flow hedges is recognized in
the consolidated statement of income and other comprehensive income. Deferred tax related with
these items are detailed in the corresponding note (note 3.P).
The consolidated statement of changes in equity shows profit or loss for the period, other
comprehensive income, accumulated effects of changes in accounting policies or correction of
errors, if any, changes in the shareholder transactions, as payment of dividends and capital
contributions, and the reconciliation of the opening balances to the closing balances, by revealing
every move or change.
U. Cash and cash equivalents

This caption, recorded in the consolidated statement of cash flows, comprises cash and cash
equivalents (excluding funds pledges as guarantee), interbank funds, and cash equivalents that
correspond to short-term and highly liquid instruments easily convertible into cash and subject to an
insignificant risk of changes in the fair value, whose maturity does not exceed 90 days from the
acquisition date. According to the SBS, the Bank prepares and presents this statement by applying
the indirect method.
The Bank's overdrafts are reclassified as liabilities in the consolidated statement of financial position.
V. Trust fund activities

Assets from fiduciary activities in which there is a commitment to return those assets to customers
and in which the Bank acts as the holder, trustee or agent, have been excluded from the
consolidated financial statements. Such assets are controlled separately in the consolidated
financial statements and are presented in memorandum accounts.
W. Intermediation transactions
Intermediation transactions on behalf of third parties correspond to purchase / sale operations
carried out in the stock and over-the-counter markets under specific instructions given by
customers to Sociedad Agente de Bolsa. In this type of operation, customers transfer funds to
Sociedad Agente de Bolsa in order to settle the operations according to customer' instructions.
Such funds are recorded as assets and liabilities in the consolidated statement of financial position.
X. Foreign currency transactions

Foreign currency transactions are recorded, at initial recognition, using the local currency. For
this purpose, the amounts in foreign currency are translated to the functional currency by
applying the exchange rate on the transaction date, which is the date on which the conditions
for their recognition are met.
At the end of each reporting period, the following guidelines are followed:
▪ Monetary assets and liabilities are translated at exchange rate as the end of each
reporting period.
▪ Non-monetary items, not measured at fair value, are translated at the exchange rate on
the date of the transaction.
▪ Non-monetary items, measured at fair value, are translated at the exchange rate on the
date their fair value was established.
270

The recognition of the exchange difference is subject to the following guidelines:
▪ The exchange difference that arises when settling monetary assets and liabilities, or when
converting said items at exchange rates different from those used for their initial
recognition, which have occurred during the year or in previous periods, are recognized in
the profit or loss of the year in which they occur.
▪ When the loss or gain generated by a non-monetary item is recognized in other
comprehensive income, any exchange difference included is also recognized in other
comprehensive income.
▪ In the case of non-monetary items, the loss or gain of which is recognized in profit or
loss for the year, any exchange difference included in that loss or gain is also recognized
in income for the year.
Y. Material errors
Material errors in the preparation of the consolidated financial statements of previous years
amended the following year are recognized retrospectively restating balances at the begging of the
year in 'assets', 'liabilities' and 'equity,' as appropriate. As December 31, 2020 and 2019, no material
errors that involve the restatement of the consolidated financial statements.
4. Foreign Currency Balances

The consolidated statement of financial position includes balances of foreign currency transactions,
mainly in U.S. dollars (US$), which are recorded in soles (S/) at the exchange rate established by the
SBS. As of December 31, 2020 and 2019, buy and sell exchange rate was US$ 1 = S/ 3.621 and
US$ 1 = S/ 3.314, respectively.
Foreign currency transactions in Peru referred to the concepts authorized by the BCRP are
channeled through a free banking system. As of December 31, 2020, buy and sell exchange rates
used were US$ 1 = S/ 3.618 and US$ 1 = S/ 3.624, respectively (US$ 1 = S/ 3.311 buy and
US$ 1 = S/ 3.317 sell, as of December 31, 2019)
As of December 31, foreign currency balances stated in thousands of U.S. dollars are as follows:
2020 2019
U.S. Other U.S. Other
In thousands of U.S. dollars Dollars currencies Total Dollars currencies Total
Assets
Cash and due from banks 3,239,581 69,646 3,309,227 3,369,079 51,194 3,420,273
Interbank funds 38,000 - 38,000 45,002 - 45,002
Investments at fair value through profit or loss and
available-for-sale 941,932 - 941,932 242,063 - 242,063
Loan portfolio, net 4,556,995 1,443 4,558,438 5,436,511 1,686 5,438,197
Other assets 247,587 1,715 249,302 302,813 17,513 320,326
9,024,095 72,804 9,096,899 9,395,468 70,393 9,465,861
Liabilities
Obligations to the public and deposits from financial
system entities 7,509,554 55,222 7,564,776 7,123,878 60,805 7,184,683
Interbank funds 20,000 - 20,000 - - -
Borrowings and financial obligations 1,323,129 - 1,323,129 2,011,361 - 2,011,361
Provisions and other liabilities 193,021 10,824 203,845 112,123 18,354 130,477
9,045,704 66,046 9,111,750 9,247,362 79,159 9,326,521
Net asset (liability) position (21,609) 6,758 (14,851) 148,106 (8,766) 139,340
Derivative instruments, assets 4,301,983 267,285 4,569,268 3,934,152 286,569 4,220,721
Derivative instruments, liabilities 4,255,335 277,984 4,533,319 3,970,620 286,354 4,256,974
Net position 25,039 (3,941) 21,098 111,638 (8,551) 103,087
271

In 2020 and 2019, the Bank recorded net exchange gains for S/ 593 million and S/ 569 million,
respectively, which corresponds to the valuation of exchange rate, as well as purchase and sales
transactions in foreign currency in 'profit or loss from financial transactions' of the consolidated
statement of income (note 20).
The percentage change in the exchange rate of the Sol in relation to the US dollar was 9.26% and
-1,75% for the years 2020 and 2019, respectively.
5. Cash and Due from Banks


Central Reserve Bank of Peru (a) 15,404,584 6,256,301
Banks and other foreign financial entities (b) 5,223,908 2,313,270
Cash (a) 2,360,065 2,625,449
BCRP funds pledges as guarantee (c) 1,505,604 2,223,584
Other funds pledges as guarantee (d) 294,346 33,173
Banks and other local financial entities (b) 137,377 1,319,428
Clearing 28,023 45,005
Other cash and due from banks 360 499
24,954,267 14,816,709
(a) As of December 31, 2020, funds held in cash and deposits with BCRP include US$ 1,366
million and S/ 1,890 million (US$ 2,026 million and S/ 1,707 million as of December 31, 2019),
which are intended for hedging the reserve requirement that the Bank shall hold for deposits
and obligations according to the limits established by current regulation. These funds are held
in the Bank's vault or deposited in the BCRP.
In 2020 and 2019, reserve funds are subject to a rate of 4% and 5% in local currency,
respectively, and of 35% in foreign currency in both periods, on the total obligations subject
to reserve requirements, as required by the BCRP.
Bank reserve funds of the legal reserve requirements, which is 4%, do not accrue interest.
Reserve funds corresponding to the additional reserve requirements in local and foreign
currency are remunerated at a nominal interest rate established by the BCRP.
As of December 31, 2020, balances at BCRP correspond to time deposits for S/ 10,600
million (overnight deposits for S/ 219 million as of December 31, 2019). Likewise, as of
December 31, 2020, it is included S/ 80 million and US$ 5 million to guarantee the transfer
process according with the BCRP requirement since December 2020.
(b) As of December 31, 2020 and 2019, deposits with local and foreign banks mainly correspond
to balances in soles and U.S. dollars, as well as lower amounts in other currencies. They
have free withdrawal option and accrue interest at market rates.
(c) As of December 31, 2020, it comprises to funds pledges as guarantee that support
commitments of repurchase of currency with BCRP for US$ 400 million (US$ 671 million as
of December 31, 2019) (note 14(a)) and repurchase agreement of credit portfolio for S/ 40
million.
272

(d) As of December 31, 2020 and 2019, includes funds pledges as guarantee for operations with
derivative financial instruments amounting to S/ 288 million and S/ 27 million, respectively.
In 2020 and 2019, interest income from cash and due from banks amounts to S/ 38 million and 148
million, respectively. It is included in 'interest income' in the consolidated statement of income
(note 17).
6. Investments at Fair Value Through Profit or Loss and Available-for-Sale


Peruvian treasury bonds (b) 663,785 297,690
Investment in mutual funds (c) 43,216 26,331
4,722,272 2,695,454
U.S. treasury bills (d) 1,912,583 496,661
Peruvian treasury bonds (b) 1,903,892 1,470,316
Multilateral development banks bonds (e) 147,062 -
Corporate bonds (f) 102,955 117,312
U.S. treasury bonds 44,564 -
Shares in local entities (g) 29,345 27,818
Shares in foreign entities 1,010 1,010
6,699,068 3,944,390
11,421,340 6,639,844
(a) BCRP certificates of deposit are freely tradable securities, repossessed through BCRP public
auctions or traded in the Peruvian secondary market. As of December 31, 2019, S/ 983
million of the balance of these instruments are committed to repurchase agreement
(note 14 (a)).
As of December 31, 2020, these instruments mature on April 2021 (as of December 31,
2019, mature on February 2021) and annual interest in local currency fluctuates between
0.25% and 5% (between 2.04% and 2.47% in local currency as of December 31, 2019) and
0.17% and 5% in foreign currency.
(b) Peruvian Treasury Bonds correspond to sovereign bonds issued in local currency by the
Ministry of Economy and Finance (MEF) of Peru and represent internal public debt securities
of the Republic of Peru. As of December 31, 2019, S/ 457 million of the balance of these
instruments which were as guarantee for repurchase agreement.
and 5.25% (1.08% and 5.42%, as of December 31, 2019) in local currency and from 0.96%
to 1.76% in foreign currency (2.91% as of December 31, 2019). As of December 31, 2020
and 2019, such bonds in local currency mature in February 2055, in both periods, and in
foreign currency mature in December 2032 and Julio 2025, respectively.
273

As of December 31, 2020 and 2019, part of Peru's global bonds, in foreign currency, have a
cash flow hedge (note 8 (ii)).
(c) As of December 31, 2020 and 2019, it corresponds to the numbers of shares held by IRBSA
in the different funds managed by BBVA Asset Management S.A. SAF.
(d) As of December 31, 2020, U.S. treasury bills accrue interest at annual rates ranging from
0.03% and 0.76% (between 1.49% and 2.50% as of December 31, 2019) in foreign currency
and have current maturity in March 2021 (March 2020 as of December 31, 2019).
The balance of the exposure in U.S. Treasury Bills includes S/ 6 million of provisions for
country risk.
As of December 31, 2020 and 2019, part of U.S. Treasury Bills has a cash flow hedge.
(note 8 (ii))
(e) Multilateral development banks bonds include international corporate bonds in foreign
currency issued by Asian Development Bank (ADB) and European Investment Bank (EIB). As
of December 31, 2020, these bonds accrue interest at annual rates ranging from 0.16% and
7.28% in foreign currency and have maturity in June 2021.
As of December 31, 2020, the ADB bonds and part of EIB bonds are in foreign currency and
have a cash flow hedge. (note 8 (ii))
(f) As of December 31, 2020 and 2019, include corporate bonds issued by Peruvian entities in
foreign and local currency.
and 1.04% (between 2.16% and 2.67% as of December 31, 2019) in foreign currency and, as
of December 31, 2019, 3.65% in local currency. As of December 31, 2020 and 2019, such
bonds in foreign currency have maturity in April 2023, in both periods. Bonds in local currency
matured in October 2020.
(g) As of December 31, 2020 and 2019, mainly includes shares at the Bolsa de Valores de Lima -
BVL for S/ 29 million and S/ 27 million, respectively. As of December 31, 2020, it was
recorded an impairment of S/ 14 million and S/ 4 million over the investments held in BVL and
Pagos Digitales Peruanos S.A. (PDP), respectively.
As of December 31, 2020 and 2019, the Bank recorded net unrealized gains on measurement of
investments available-for-sale of S/ 111 million and S/ 36 million, respectively (note 15.D).
As of December 31, 2020 and 2019, accrued interest of loan portfolio managed by the Bank
amounts to S/ 148 million and S/ 211 million, respectively (note 17).
274

7. Loan Portfolio, Net


Direct loans
Loans 33,852,056 52% 20,251,280 36%
Mortgage loans 12,850,101 19% 12,847,424 23%
Consumer loans 6,489,115 10% 6,700,410 12%
Foreign trade 3,647,036 5% 5,535,077 10%
Finance lease 3,478,196 5% 3,986,476 7%
Project finance 1,853,442 3% 1,716,350 3%
Factoring 1,295,540 2% 1,492,391 3%
Discounts 874,658 1% 1,186,831 2%
Others 2,141,713 3% 2,247,844 4%
66,481,857 100% 55,964,083 100%
Loans past due and loans under legal collection 2,285,362 3% 1,793,133 2%
Refinanced loans 1,808,355 3% 1,248,536 2%
70,575,574 106% 59,005,752 104%
More (less):
Accrued returns on current loans 539,844 1% 362,568 1%
Deferred interest (102,554) - (63,032) -
Provisions for direct loan losses (4,419,103) (7%) (2,907,009) (5%)
66,593,761 100% 56,398,279 100%
Indirect loans 20,304,156 16,607,497
As of December 31, 2020 and 2019, 51% of the direct loan portfolio is concentrated in 3,795 and
2,313 customers, which amounts to S/ 36,447 million and S/ 30,648 million, respectively.
Direct loan portfolio with guarantees received from customers, which comprise mortgages,
deposits, letters of guarantees, guarantees and warrants, amounts to S/ 54,746 million as of
December 31, 2020 (S/ 41,285 million as of December 31, 2019).
As of December 31, 2020, part of the mortgage loan portfolio guarantees a loan with
MIVIVIENDA S.A. Fund – MI HOGAR Program, up to S/ 452 million (S/ 453 million as of
December 31, 2019) (note 13(b)).
As of December 31, 2020, part of the loan portfolio belongs to the Reactiva Peru, Crecer and FAE
program (note 1.C) with balances of S/ 14,931 million, S/ 15 million and S/ 94 million, respectively.
Loans of the Reactiva Peru Program are part of the repurchase agreement of credit portfolio with
BCRP (note 14(a)). The detail of such loans is detailed as follows:
In thousands of soles 2020

Types of loan
Corporate loans 38,000
Large business loans 3,835,084
Medium business loans 8,636,617
Others 2,421,675
Total of Reactiva Peru program loans 14,931,376
As of December 31, 2020, S/ 199 million of the loan portfolio comprise repurchase agreement of
credit portfolio with BCRP (note 14(a)).
275

As of December 31, 2020, the BBVA Peru Group has proceeded with the write-off of impaired loan
portfolio for S/ 72 million (S/ 96 million as of December 31, 2019).
As of December 31, 2020, the BBVA Peru Group has made waivers of credit operations for S/ 80
million, which correspond to the capital, interest and fees (S/ 66 million as of December 31, 2019).
As of December 31, effective interest rates of main assets were the following:
2020 2019
Type of transaction (%) currency currency currency currency
Loans and discounts 3.39 4.57 7.21 5.19
Mortgage loans 6.99 6.14 7.52 6.49
Consumer loans 21.68 22.64 23.57 28.07
The following are the balances as of December 31, 2020 and 2019, of the direct loan
portfolio segmented by type of customer, in accordance with the provisions of SBS
Resolution No. 11356-2008:

Medium business loans 19,959,956 28% 11,537,013 20%
Mortgage loans 13,560,999 19% 13,384,264 23%
Large business loans 12,662,580 18% 9,910,587 17%
Corporate loans 11,941,981 17% 13,231,810 22%
Consumer loans 6,921,830 10% 6,959,035 12%
Small-business loans 3,416,998 5% 1,752,997 3%
Public entities loans 1,195,003 2% 926,515 2%
Financial institutions loans 407,929 1% 806,950 1%
Securities brokerage loans 322,952 - 331,300 -
Micro-business loans 172,346 - 107,280 -
Multilateral development banks loans 13,000 - 58,001 -
70,575,574 100% 59,005,752 100%
276

As of December 31, according to current SBS regulations, the credit risk rating of loan portfolio of the BBVA Peru Group is as follows:
2020 2019
In thousands of soles Direct % Indirect % Total % Direct % Indirect % Total %

Credit risk ratings
Standard 64,142,505 91 19,307,896 96 83,450,401 91 54,440,658 92 15,809,430 95 70,250,088 93
With potential problems 2,154,440 3 466,670 2 2,621,110 3 1,170,438 2 318,155 1 1,488,593 2
Substandard 1,084,194 2 416,776 2 1,500,970 2 938,551 2 392,589 4 1,331,140 2
Doubtful 881,024 1 36,260 - 917,284 1 874,345 1 38,165 - 912,510 1
Loss 2,210,857 3 76,554 - 2,287,411 3 1,518,728 3 49,158 - 1,567,886 2
70,473,020 100 20,304,156 100 90,777,176 100 58,942,720 100 16,607,497 100 75,550,217 100
Deferred interest 102,554 102,554 63,032 63,032
70,575,574 20,304,156 90,879,730 59,005,752 16,607,497 75,613,249
277

The movement in the provision for direct loan losses is as follows:

Balance at the beginning of the year (2,907,009) (2,630,194)
Additions debited to profit or loss (2,749,072) (1,685,206)
Sale of loan portfolio 225,546 378,969
Write-off 71,506 96,166
Waiver 18,334 10,177
Exchange difference, waivers and other adjustments (70,267) (392)
Closing balance (4,419,103) (2,907,009)
The provision for direct loan losses, as shown in the consolidated statement of income, is as
follows:

Provisions for loan losses (2,749,072) (1,685,206)
Income from recovery of loan portfolio 6,001 3,861
Provision for loan losses, net of recoveries (1,751,212) (757,874)
Management considers that the level of provision for loans losses covers eventual losses in the
direct loan portfolio as of the date of the consolidated statement of financial position and has been
made in compliance with all the requirements of current regulations.
The balance of the provision for loan losses (direct and indirect loans) is as follows:

Specific (2,788,296) (1,897,940)
Specific COVID-19 (128,446) -
Generic (585,172) (629,292)
Voluntary (915,643) (377,925)
Provision for country risk (1,546) (1,852)
Closing balance (4,419,103) (2,907,009)
BBVA Peru Group, according with current law, has identified customers exposed to exchange rate
risk, and considers that the level of such risk is appropriate; therefore, it has not determined an
additional provision for this concept.
In 2020, BBVA Peru Group sold loan portfolio for S/ 226 million (S/ 332 million in 2019). The sale
amounted to S/ 11 million (S/ 21 million in 2019) and presented in 'profit or loss from financial
transactions' of the consolidated statement of income.
278

As of December 31, 2020, reschedule loans mainly related to the COVID-19 context (note 3.E.iii)
amounts to S/ 13,210 million and is detailed as follows:
In thousands of soles Total

Types of loans
Mortgage loans 4,676,367
Medium-business 3,966,509
Non-revolving loans 1,831,799
Large-business 1,214,955
Revolving loans 844,938
Small-business 512,861
Corporate 157,953
Micro-business 4,429
Total reschedule direct loans 13,209,811
Likewise, from the total of rescheduled loans, approximately S/ 2,872 million correspond to interest-
free rescheduling from April to June 2020 (consumer, small-business and micro-business loan),
whose impact is approximately of S/ 97 million of less finance income.
8. Trading and Hedging Derivatives

As of December 31, 2020 and 2019, BBVA Peru Group trough the Bank holds foreign-exchange forward
contracts, cross-currency swaps and interest rate swaps and options. As of December 31, changes in
the fair value of held for trading derivative financial instruments are presented as account receivable
(assets) or accounts payable (liabilities), as appropriate:

2020
Trading derivatives
Currency swap 10,138,403 469,980 291,822
Options of shares, changes and others 720,484 2,910 2,910
43,825,208 898,595 876,395
Hedging derivatives 6 & 13
At fair value (i)
Interest rate swaps Bonds issue 2,896,800 102,960 -
Currency forward contracts U.S. treasury bills 217,260 - 2,674
Currency forward contracts Multilateral
development banks
bonds 111,161 - 5,466
Currency swap Peru's global bonds 108,630 - 6,196
Interest rate swaps Loans 31,037 - 297
3,419,203 103,354 14,633
47,244,411 1,001,949 891,028
279


2019
Trading derivatives
Currency swap 6,287,069 302,746 224,063
Options of shares, changes and others 1,167,909 16,053 16,053
34,731,977 567,686 490,934
Hedging derivatives 6 & 13
At fair value (i)
Interest rate swaps Bonds issue 2,651,200 - 7,986
Interest rate swaps Loans 1,242,750 - 5,888
Currency swap Loans 331,400 - 1,784
Currency swap Global bonds 25 99,420 - 4,119
Currency forward contracts Time deposits 351,313 67 -
Currency forward contracts U.S. treasury bills 198,840 4,410 -
4,922,266 4,611 19,777
39,654,243 572,297 510,711
(i) Fair value – hedging derivatives
Interest rate swap

S/ 2,951 million for loans and issuance (S/ 3,894 million as of December 31, 2019). Through
IRS, the Bank receives a fixed interest rate in U.S. dollars and pays a variable interest rate in
the same currency. In 2020, changes in fair value of IRS amounts to S/ 86 million and is
recorded in 'operating profit' of the consolidated statement of income (profit of S/ 120 million
in 2019).
The table below shows the detail of hedged elements and their hedging derivatives as of
December 31:

Fair value hedge 2,951,115 3,893,950 103,354 (13,874)
First international issuance Interest rate swap (IRS)
of corporate bonds for The Bank receives a fixed interest
US$ 500 million (note 13(e)) rate and pays a variable interest rate. 1,810,500 1,657,000 48,067 (3,459)
First international issuance Interest rate swap (IRS)
of subordinated bonds for The Bank receives a fixed interest
US$ 300 million (note 13(e)) rate and pays a variable interest rate. 1,086,300 994,200 54,894 (4,527)
Wells Fargo loan for US$ 15
The Bank receives a fixed interest
million (note 13 (a))
rate and pays a variable interest rate. 54,315 82,850 393 (608)
Deutsche Bank loan for
US$ 350 million (note 13 (a))
rate and pays a variable interest rate. - 1,159,900 - (5,280)
280

(ii) Cash flow - hedging derivatives
Interest rate swap

S/ 31 million for loans and issuance (S/ 47 million as of December 31, 2019). Through IRS,
the Bank receives a variable interest rate in U.S. dollars and pays a variable interest rate in
the same currency.
In 2020, fair value of IRS amounts to S/ 0.1 million of loss, which is recorded in 'equity net of
deferred tax’ (profit of S/ 0.1 million in 2019).
Currency swap
S/ 109 million for the bonds hedge accounted as investments available-for-sale (US$ 30
million of a global bond). Through currency swap of global bonds, the Bank receives a fixed
interest rate in soles and pays a variable interest rate in U.S. dollars.
S/ 431 million for the bonds hedge accounted as investments available-for-sale and loans
(US$ 30 million of a global bond and US$ 100 million off a loan).
Through currency swap of global bonds, the Bank receives a fixed interest rate in soles and
pays fixed interest rate in U.S. dollars; and though the currency swaps for loans, Bank
receives fixed interest rate in U.S. dollars and fixed interest rate in soles.
In 2020, fair value of currency swaps amounts to S/ 3.3 million of gain, which is recorded in
'equity net of deferred tax’ (loss of S/ 3.5 million in 2019).
Currency forward
As of December 31, 2020, the Bank has currency forward contracts at face value equivalent
to S/ 328 million for hedging instrument at fixed tax accounted as investment available-for-
sale (US$ 60 million of U.S. treasury bills, US$ 20 million of Asian Development Bank (ASD)
bonds and US$ 10 million of European Investment Bank (EUI) bonds). Through currency
forward of the U.S. treasury bills, the Bank receives a future cash flow in soles and pays a
future cash flow in U.S. dollars; for ASD and EUI receives a future cash flow in soles and
pays a future cash flow in U.S. dollars.
As of December 31, 2019, the Bank has currency forward contracts at face value equivalent
to S/ 550 million for hedging instrument at fixed tax accounted as investment available-for-
sale, and at time deposit (US$ 60 million of U.S. treasury bills and US$ 106 million-time
deposit). Through currency forward of the U.S. treasury bills, the Bank receives a future cash
flow in soles and pays a future cash flow in U.S. dollars; and through currency forward at
time deposit, the Bank receives a future cash flows in U.S. dollars and pays a future cash
flows in soles.
In 2020, fair value of currency forwards amounts to S/ 2.8 million of gains recorded in 'equity,
net of deferred tax’ (loss of S/ 1 million of gains 2019).
281

The table below shows the detail of hedged elements and their hedge instruments as of
December 31:


Cash flows hedges 468,088 1,028,316 (14,634) (1,292)
Standard Chartered loan
The Bank receives a floating
for US$ 9 million
interest rate and pays a fixed
(note 13 (a))
interest rate. 31,037 47,343 (297) 134
Global bonds for
The Bank receives a fixed
US$ 30 million
interest rate and pays a fixed
(note 6 (d))
interest rate in U.S. dollars. 108,630 99,420 (6,196) (4,119)
U.S. treasury bills for
The Bank receives a future cash
US$ 60 million
flow in soles and pays a future
(note 6 (c))
cash flow in U.S. dollars. 217,260 198,840 (2,674) 4,410
ADB bond for US$ 20 The Bank receives a future cash
million (note 6 (e)) flow in soles and pays a future
cash flow in U.S. dollars. 74,067 - (4,085) -
EUI bond for US$ 10 The Bank receives a future cash
million (note 6 (e)) flow in soles and pays a future
cash flow in U.S. dollars. 37,094 - (1,382) -
Cross currency swaps
Wells Fargo loan for
US$ 100 million
rate in U.S. dollars and pays a
(note 13 (a))
fixed interest rate in soles. - 331,400 - (1,784)
Currency forward
Time deposit for
The Bank receives a future cash
US$ 106 million
flow in U.S. dollars and pays a
(note 12)
future cash flow in soles. - 351,313 - 67
9. Associates

TFP S.A.C. (a) 4,582 4,532
Compañía Peruana de Medios de Pagos S.A.C. (b) - 11,070
4,582 15,602
(a) As of December 31, 2020 and 2019, BBVA Peru Group, through the Bank, maintains share of
24.30% in the share capital of TFP S.A.C.
(b) As of December 31, 2020 and 2019, BBVA Peru Group, through the Bank, maintains share of
21.03% in the share capital. As of December 31, 2020, the current situation and the decree of
the national state of emergency had an impact on the operations and profit or loss of
Compañía Peruana de Medios de Pagos S.A.C. (hereinafter the Company), hence the BBVA
Peru Group through the Bank recognized loss in such subsidiary for S/ 2 million.
282

The Company's profit and loss were impacted by the national state of emergency due to
COVID-19. On the other hand, the Company's financial statements include the profit or loss
of its subsidiary Soluciones y Servicios Integrados SAC, which was created three years ago
focusing on the mass sector; therefore, costs and expenses related to generation have been
incurred for the new products and brand positioning.
As of December 31, 2020, the Bank has recognized net losses for interests in associates for S/ 0.7
million (S/ 10 million net gains as of December 31, 2019) (note 20).
283

10. Property, Furniture and Equipment, Net

Movement in property, furniture and equipment and accumulated depreciation for the years 2020 and 2019 was as follows:
Installations and Goods in transit

Buildings and Furniture and improvements to Work-in- and replacement
In thousands of soles Land premises equipment Vehicles rental property progress parts Total
Costs
Balance as of January 1, 2019 118,224 852,940 671,059 8,565 263,908 118,157 291 2,033,144
Additions - 8,267 55,102 - 1 93,690 - 157,060
Disposals and sales - - (8) - - - - (8)
Derecognition of assets and others - (236) (11,222) (477) - - (36) (11,971)
Transfers - 109,809 17,422 - (509) (126,722) - -
As of December 31, 2019 118,224 970,780 732,353 8,088 263,400 85,125 255 2,178,225
Additions - 8,725 52,390 - 4,560 66,606 - 132,281
Derecognition of assets and others - (217) (3,214) - 24 (39) - (3,446)
Transfers - (79,557) - - 79,770 (213) - -
As of December 31, 2020 118,224 899,731 781,525 8,088 347,754 151,479 255 2,307,056
Depreciation
Balance as of January 1, 2019 - 527,471 398,568 6,356 160,573 - - 1,092,968
Additions - 34,600 68,285 760 5,701 - - 109,346
Impairment - - - - 854 - - 854
Derecognition of assets - (4) (12,558) (477) - - - (13,039)
Transfers - 1,493 - - (1,493) - - -
As of December 31, 2019 - 563,560 454,287 6,639 165,635 - - 1,190,121
Additions - 24,645 71,475 643 10,606 - - 107,369
Impairment - 118 - - - - - 118
Transfers - (16,582) - - 16,582 - - -
As of December 31, 2020 - 571,525 522,301 7,282 192,843 - - 1,293,951
Net cost
As of December 31, 2020 118,224 328,206 259,224 806 154,911 151,479 255 1,013,105
As of December 31, 2019 118,224 407,220 278,066 1,449 97,765 85,125 255 988,104
According to current regulations, the Bank in Peru cannot pledge as guarantee the assets that are part of their property, furniture and equipment, except for
those acquired through the issuance of lease bonds to carry out finance leases.
284

11. Other Assets, Net


Other assets
Transactions in progress (a) 765,274 1,045,503
Intangible assets (b) 285,337 287,362
Deferred charges (c) 122,256 162,033
Tax credit (d) 176,754 30,699
Other accounts receivable 37,511 34,816
Accounts receivable from the sale of goods, services and trust
funds 7,103 7,117
Others 1,978 2,381
1,396,213 1,569,911
(a) Transactions in progress are mainly those carried out during the last days of the month and
are reclassified in the following month to their final accounts in the consolidated statement of
financial position. These transactions do not have an impact on the BBVA Peru Group's profit
or loss. As of December 31, 2020, it mainly corresponds to treasury transactions:
i) acquisition and sale of currency for S/ 480 million (S/ 873 million as of December 31, 2019),
and ii) sale of securities for S/ 231 million (S/ 136 million as of December 31, 2019).
(b) As of December 31, 2020, intangible assets are recorded net of S/ 246 million of accumulated
amortization and impairment (S/ 140 million as of December 31, 2019).
(c) As of December 31, advance payment mainly includes prepaid insurance contracts and
deferred loan origination costs related to fees paid to the external sales force.
(d) As of December 31, 2020, it corresponds to sales tax credit amounting to S/ 27 million
(S/ 35 million as of December 31, 2019), and income tax credit amounting to S/ 149 million
(S/ 5 million as of December 31, 2019).
Goodwill
As of December 31, 2020 and 2019, the BBVA Peru Group through the Bank has evaluated the
recoverable amount of CGU it holds, and has recognized loss allowance for S/ 10 million and S/ 4
million of goodwill, which corresponds to the higher value paid over the carrying amount of Edpyme,
Forum Comercializadora del Perú S.A. and Forum Distribuidora del Perú S.A.
285

12. Obligations to the Public and Deposits from Financial System Entities

Demand deposits 29,778,628 18,404,285
Savings deposits 24,711,799 17,239,084
Time deposits 16,247,276 18,913,066
Other obligations 74,831 103,543
70,812,534 54,659,978
Deposits from financial system entities
Time deposits 815,785 1,094,989
Demand deposits 512,338 353,260
Savings deposits 71,940 51,056
1,400,063 1,499,305
72,212,597 56,159,283
As of December 31, 2020 and 2019, obligations to the public include deposits received as
guarantees of direct and indirect loan for S/ 963 million and S/ 776 million, respectively.
The Bank determines deposit interest rates based on the interest rates prevailing in the market. For
the main products, the annual interest rates prevailing as of December 31, 2020 and 2019 fluctuated
as follows:
2020 2019
% currency currency currency currency
Checking accounts 0.00 – 0.25 0.00 – 0.125 0.00 – 0.25 0.00 – 0.125
Saving deposits 0.00 – 0.50 0.00 – 0.25 0.00 – 0.50 0.00 – 0.125
Time deposits and bank certificates 0.80 – 1.35 0.10 – 0.80 0.80 – 1.35 0.10 – 0.50
Super depósito bank account 0.80 – 1.35 0.10 – 0.80 0.80 – 1.35 0.10 – 0.50
Severance payment deposits 1.00 – 2.50 0.60 – 1.75 1.50 – 2.50 0.60 – 1.75
As of December 31, 2020, from the total deposits and obligations from individuals and non-profit
entities and legal entities, S/ 22,813 million are hedge by the Deposit Insurance Fund (S/ 17,685
million as of December 31, 2019) and are obtained from the average daily balances of the month
according with SBS Resolution 0657-99. The maximum amount subject to hedge by person amounts
to S/ 101,522 at the end of December 2020 (S/ 100,661 as of December 31, 2019).
286

13. Borrowings and Financial Obligations


Borrowings and financial obligations
Foreign financial entities (a) 1,357,873 2,980,024
MIVIVIENDA Program - MIHOGAR loan - Local financial
system entities (b) 475,677 539,802
Corporación Financiera de Desarrollo - COFIDE (c) 134,236 8,070
Foreign financial agencies (d) - 331,400
1,974,911 3,886,820
Securities and bonds (e)
Corporate bonds 3,026,713 3,306,077
Subordinated bonds 1,763,493 1,589,292
Notes (debt instruments) 85,700 129,635
Finance leases bonds - 358,000
5,078,807 5,791,976
7,053,718 9,678,796
Certain loans agreements include standard clauses regarding compliance with financial ratios, use of
funds and other administrative matters. As of December 31, 2020 and 2019, in management's
opinion, these clauses are being met, in all material respects, and do not represent any restriction to
the BBVA Peru Group's activities.
(a) As of December 31, 2020, the BBVA Peru Group maintain the following debt agreements
with foreign financial institutions, which accrue interest at annual LIBOR rates ranging from
+0.52% to 5% (from LIBOR rate +0.35% to 7.4% as of December 31, 2019).
2020 2019
In thousands of US$ S/ US$ S/ Maturity date
Wells Fargo Bank (i) 100,000 362,100 100,000 331,400 May 2022
Toronto Dominion Bank 80,000 289,680 - - March and April 2021
Sumitomo Bank, NY 60,000 217,260 - - May 2021
Citibank NY 50,000 181,049 150,000 497,100 November 2021
Mizuho Corporate Bank 50,000 181,049 - - November 2023
ICO - Instituto de crédito 35,000 126,735 100,895 334,367 August 2022
Deutsche Bank (ii) - - 348,328 1,154,357 November 2020
Credit Suisse (iii) - - 200,000 662,800 October 2040
375,000 1,357,873 899,223 2,980,024
Accrued interest payable 1,647 5,965 7,380 24,457
376,647 1,363,838 906,603 3,004,481
(i) It corresponds to a loan for a nominal amount of US$ 15 million (US$ 25 million as of
December 31, 2019), agreed at annual fixed interest rate of 5%, with maturity on
June 2022, which have a fair value hedge through interest rate swaps. As of
December 31, 2020, such loan has generated accumulated losses for S/ 0.3 million
(S/ 0.5 million accumulated gains as of December 31, 2019). (note 8(i)).
287

(ii) Loan for US$ 350 million, agreed at annual fixed interest rate of 5.5% and whose
maturity was on November 2020. This loan had an accounting hedge through an
interest rate swap, which as of December 31, 2019 generated accumulated gains for
S/ 4 million.
(iii) On October 7, 2020, the Bank executed early redemption of the subordinated loan for
US$ 200 million contracted with Credit Suisse, Cayman Islands Branch in accordance
with the agreed between the parts.
(b) As of December 31, 2020, it corresponds to resources for the financing of the acquisition of
houses under the MI VIVIENDA program (MI HOGAR credit) which amounts to S/ 449 million
and US$ 1 million (S/ 448 million and US$ 1 million as of December 31, 2019). As of
December 31, 2020 and 2019, this loan accrue interest at an annual effective rate in U.S.
dollars of 7.75 % and in soles of 6.25 % on principal plus constant update value in both
periods, and have maturity on December 2040 and December 2039, respectively.
As of December 31, 2020 and 2019, debts with MIVIVIENDA fund are guaranteed with
mortgage loan portfolio up to S/ 452 million and S/ 453 million, respectively (note 7). These
loans include specific agreements on how the funds should be used, the financial conditions
that the final borrower must maintain, as well as other administrative matters.
(c) As of December 31, 2020, it includes balances corresponding to FAE, which is managed by
COFIDE, that in local currency amounts to S/ 127 million, and in foreign currency amounts to
US$ 0.2 million. As of December 31, 2020, these balances accrue interest at annual rates
ranging from 4.61% and 7.51% in local currency, and 5.29% and 7.36% in foreign currency,
and have maturity in April 2023.
(d) As of December 31, 2019, it corresponds to debts with CAF for US$ 100 million, which
accrue interest at rates ranging from 2.01% to 2.56%, respectively, and do not have specific
guarantees.
288

(e) As of December 31, securities and bonds are as follows:
Original
Authorized amount
Program amount Currency in place 2020 2019 Maturity date
Corporate bonds
1st issuance, single series - Fourth Program US$ 100 million PEN 40,000 - 40,000 August 2020
2nd issuance, series A - Fourth Program PEN 80,000 - 80,000 August 2020
2nd issuance, series A - Fifth Program US$ 250 million PEN 150,000 150,000 150,000 December 2026
2nd issuance, series A - Sixth Program PEN 150,000 150,000 150,000 June 2021
3rd issuance, series A - Sixth Program PEN 350,000 - 350,000 November 2020
1st issuance, series A - Seventh Program US$ 1,000 million PEN 132,425 132,425 132,425 June 2021
1st issuance, series B - Seventh Program PEN 69,435 69,435 69,435 June 2021
2nd issuance, series A - Seventh Program PEN 100,000 100,000 100,000 July 2023
2nd issuance, series B - Seventh Program PEN 73,465 73,465 73,293 August 2023
1st issuance, series C - Seventh Program PEN 70,000 70,000 70,000 September 2021
1st issuance, series D - Seventh Program PEN 120,000 120,000 120,000 July 2022
1st issuance, series E - Seventh Program PEN 65,520 65,520 65,520 August 2022
1st issuance, series F - Seventh Program PEN 150,000 150,000 150,000 October 2022
2nd issuance, series C - Seventh Program PEN 96,550 96,550 96,550 December 2024
First Program of international Issuance (i) US$ 500 million USD 500,000 1,849,318 1,658,854 August 2022
3,026,713 3,306,077
Subordinated bonds
US$ 50 million or
2nd issuance, series A - First Program USD 20,000 72,177 66,030 May 2027
S/ 158.30 million
3rd issuance, series A - First Program PEN 55,000 81,672 79,959 June 2032
2nd issuance, series A - Second Program US$ 100 million PEN 50,000 72,715 71,190 November 2032
3rd issuance, series A - Second Program USD 20,000 72,420 66,280 February 2028
4th issuance, single series - Second Program PEN 45,000 63,155 61,831 July 2023
5th issuance, single series - Second Program PEN 50,000 69,266 67,814 September 2023
6th issuance, series A - Second Program PEN 30,000 40,844 39,987 December 2033
1st issuance, single series - Third Program US$ 55 million USD 45,000 162,945 149,130 October 2028
First Program of international Issuance -

US$ 300 million USD 300,000 1,128,299 987,071 September 2029
Single issuance (ii)
1,763,493 1,589,292
Finance leases bonds
1st issuance, series A - Second Program US$ 250 million PEN 158,000 - 158,000 December 2020
1st issuance, series C - Second Program PEN 200,000 - 200,000 January 2020
- 358,000
Notes (iii)
2nd issuance of notes - Series 2012-C and
US$ 235 million USD 235,000 85,700 129,635 June 2022
2012-D
85,700 129,635
5,078,807 5,791,976
289

In August 2012, the Bank issued corporate bonds in the international market for a face value of
US$ 500 million, at an annual fixed rate of 5%, and with maturity in August 2022. The main
payment shall be carried out in full on its maturity date. Fair value of this issuance has an accounting
hedge through cross-currency swaps contracts, which accrued accumulated losses for S/ 39 million
as of December 31, 2020 (accumulated losses for S/ 2 million as of December 31, 2019).
(i) In September 2014, the Bank issued subordinated bonds in the international market for a
face value of US$ 300 million, at an annual fixed rate of 5.25%, and with maturity in
September 2029. The main payment shall be carried out in full on its maturity date. Fair value
of this issuance has an accounting hedge through cross-currency swaps contracts, which
accrued accumulated losses for S/ 47 million as of December 31, 2020 (accumulated gains
for S/ 2 million as of December 31, 2019).
(ii) Notes issued on June 2012, which balance as of December 31, 2020 amounts to
US$ 24 million (US$ 39 million as of December 31, 2019), contains financing for US$ 9
million (US$ 14 million as of December 31, 2019), with maturity in June 2022, and have
accounting hedge through cross-currency swaps contracts (note 8(ii)). Likewise, it
corresponds to a loan for US$ 15 million (US$ 25 million as of December 31, 2019), agreed at
annual fixed interest rate of 5%, with maturity on June 2022, which have accounting hedge
through cross-currency swaps contracts. As of December 31, 2020, such loan has generated
accumulated losses for S/ 0.3 million (accumulated gains for S/ 0.5 million as of
December 31, 2019).
These financings are guaranteed by the present and future flows generated by the electronic
payment orders of customers (Diversified payments rights - DPR's). Likewise, it has
compliance terms related to the Bank's financial ratios, and other specific terms related to
transferred cash flows, which the management consider fulfilling as of December 31, 2020
and 2019.
As of December 31, 2020, corporate bonds do not have specific guarantees and accrue interest at
annual rates ranging from 3.9% and 7.5% in local currency and 5% in foreign currency (between
4.1% and 7.5% in local currency and 5% in foreign currency as of December 31, 2019).
Subordinated bonds have been issued in accordance with the Banking Law and accrue interest at a
rate ranging from constant update value plus a spread and 5.6% for local currency, and from 5.3%
and 6.5% in foreign currency, as of December 31, 2020 and 2019.
As of December 31, 2019, financing lease bonds accrue interest at annual interest rate from 4.63%
to 6.03% for local currency, that are supported by loan transactions in the form of financial leasing
that have been financed with resources obtained through such bonds.
As of December 31, 2020 and 2019, BBVA Peru Group have in accounts payable a balance of S/ 7
million and S/ 10 million, respectively, which corresponds to deferred issuance expenses.
290

14. Accounts Payable, Provisions and Other Liabilities


Accounts payable
Repurchase agreements (a) 15,183,940 3,545,845
Accounts payable to suppliers 361,868 276,410
Other accounts payable and sales tax (b) 186,878 63,530
Premium to deposit insurance fund, contributions and obligations
with tax collecting institutions 128,063 128,329
Dividends, interest and remunerations payable 114,026 134,086
Interest payable 61,136 68,766
16,035,911 4,216,966
Other liabilities
Transactions in progress (c) 746,284 1,097,046
Deferred income and others 74,524 24,990
820,808 1,122,036
Provisions
Labor provisions and others 416,682 315,770
Provision for contingent loans (d) 247,027 226,175
Provision for litigations, claims and other contingencies 225,220 218,680
888,929 760,625
17,745,648 6,099,627
(a) As of December 31, 2020, it corresponds to the balance of liabilities for purchase agreements
of foreign currency for S/ 1,383 million, repurchase agreement of credit portfolio of the
Reactiva Peru Program for S/ 13,602 million and repurchase agreement of rescheduled credit
portfolio for S/ 199 million, with BCRP. As of December 31, 2019, it corresponds to S/ 2,224
million for repurchase agreement of foreign currency, S/ 373 million for repurchase
agreement of certificates of deposit, S/ 348 million for repurchase agreement of sovereign
bonds, with BCRP and S/ 600 million for repurchase agreement with financial entities.
As of December 31, 2020, repurchase agreement of foreign currency have maturity on

April 2021 (October 2020 as of December 31, 2019) and accrue interest at annual interest rate
of 1.80% and 3.61% (between 3.47% and 5.01% as of December 31, 2019); repurchase
agreement of credit portfolio of the Reactiva Peru Program have maturity up to December
2023 and accrue interest at annual rate of 0.50%. Repurchase agreement of rescheduled
credit portfolio have maturity on August 2024 and accrue annual interest rate of 0.50%.
(b) As of December 31, 2020, it includes S/ 110 million for short-term sale transactions.
(c) Transactions in progress are mainly those carried out during the last days of the month and
are reclassified in the following month to their final accounts in the consolidated statement of
financial position. These transactions do not affect the BBVA Peru Group's profit or loss. As of
December 31, 2020, liability transactions in progress mainly include treasury transactions for
S/ 612 million (S/ 1,028 million as of December 31, 2019).
291

(d) Movement in the loss allowance for direct (or indirect) loans is as follows:

Balance as of January 1 226,175 214,604
Provisions 84,193 93,089
Recovery and reversals (72,179) (77,882)
Exchange difference and other adjustments 8838 (3,636)
The balance of the provision for loan losses (indirect loans) is as follows:

Specific 111,295 95,520
Generic 120,692 117,951
Provision for country risk 15,040 12,704
(e) BBVA Peru Group has several pending court claims, litigation and other processes that are
related to the activities it develops, and in the opinion of Management and its legal advisors,
they will not result in additional liabilities to those registered.
15. Equity
A. Regulatory capital and legal limits

In accordance with the Banking Law, regulatory capital amount could not be less than 10% of the
assets and indirect loans weighted per credit risk, market and operational risk, which are calculated
by the Bank and by EDPYME using the standard method for calculating the effective equity
requirement for credit risk and market. In the case of operational risk, the Bank uses the alternative
standard method, while EDPYME uses the basic indicator method.
On an individual basis, as of December 31, 2020, the effective equity of the Bank and EDPYME,
determined according to current legal regulations, is S/ 10,649 million and S/ 87 million, respectively
(S/ 10,776 million and S/ 85 million as of December 31, 2019). This figure is used to calculate certain
limits and restrictions applicable to all banking entities in Peru, which management considers having
fully complied with.
As of December 31, 2020, assets and indirect loans weighted per credit, market and operational risk
of the Bank and EDPYME, determined according to current legal regulations, is S/ 77,820 million and
S/ 476 million, respectively (S/ 76,706 million and S/ 613 million as of December 31, 2019).
As of December 31, 2020, aggregate capital ratio for market, operational and credit risks of the Bank
and Edpyme is 13.68% and 18.25%, respectively (14.05% and 13.82% as of December 31, 2019).
As of December 31, 2020, the Additional Regulatory Capital Requirement of the Bank and EDPYME
is S/ 1,285 million and S/ 8 million, respectively (S/ 1,604 million and S/ 9 million as of December 31,
2019).
292

B. Share Capital
As of December 31, 2020, the authorized, subscribed, and paid-in capital is represented by
6,529,169 thousand ordinary shares with a face value of S/ 1 each (5,885,209 thousand ordinary
shares as of December 31, 2019).
The General Shareholders' Meeting, held May 11, 2020 and March 27, 2019, approved the increase
in share capital for S/ 644 million and S/ 517 million, respectively, through the capitalization of
retained earnings.
Shareholding on the Bank’s share capital as of December 31, is as follows:
2020 2019
N° of N° of
Interests shareholders Interests % shareholders Interests %
Up to 1 8,045 3.01 7,664 3.04
From 1.01 to 5 4 4.75 3 4.72
From 45.01 to 100 2 92.24 2 92.24
8,051 100.00 7,669 100.00
C. Reserves
In accordance with the Banking Law, the Bank is required to have a legal reserve of more than 35%
of the paid-in-capital. This legal reserve shall be recognized by an annual transfer of more than 10%
of profit after tax. It shall replace the reserve referred to in the Companies Act. In accordance with
the Banking Law, the amount of this reserve may also be increased with contributions made by the
shareholders for this purpose.
General Shareholders' Meeting held May 11, 2020 and March 27, 2019, approved to record the
legal reserve for the amount equivalent to 10% of 2019 profits (161 million) and 2018 profit (S/ 148
profit), respectively.
D. Adjustments to equity
As of December 31, 2020 and 2019, unrealized profit or loss, net of deferred tax, was as detailed
below:

Investments available-for-sale 6 110,556 36,331
Cash flows hedges 8 5,953 (4,448)
Other comprehensive income from associates 131 53
Actuarial liabilities 2,508 (9,120)
119,148 22,816
E. Retained earnings
The General Shareholders' Meeting, held May 11, 2020 and March 27, 2019, approved the
capitalization of retained earnings for S/ 644 million and S/ 517 million, respectively. Likewise, in
such meetings, it was approved the dividend distribution of S/ 563 million and S/ 812 million,
respectively. Additionally, General Shareholders' Meeting, held May 11, 2020, approved to allocate
S/ 241 million in 'retained earnings'.
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Shareholders' Meeting held May 11, 2020, and in accordance with the provisions of article 184,
year 2020 for S/ 142 million. Such commitment shall be effective in the next General Shareholder's
Meeting.
Shareholders' Meeting held March 27, 2019, and in accordance with the provisions of article 184,
year 2019 for S/ 408 million. On January 29, 2020, Board of Directors, held on October 30, 2019,
approved to increase the capitalization of profit from S/ 408 million to S/ 569 million, debited to the
2019 profits. Both commitments were effective on General Shareholder's Meeting, held on
May 11, 2020.
16. Risks and Contingent Commitments


Indirect loans:
Guarantees and letters of guarantee 18,854,043 15,510,355
Letters of credit and banker's acceptances 1,450,113 1,097,142
20,304,156 16,607,497
Unused credit lines and non-disbursed loans granted 13,724,115 13,365,509
Various responsibilities 5,794 5,302
34,034,065 29,978,308
In the normal course of its business, BBVA Peru Group participates in transactions whose risk is
recorded in contingent accounts. These transactions expose the BBVA Peru Group to credit risk, in
addition to the amounts presented in the consolidated statement of financial position.
Credit risk for contingent transactions is related to the probability that a counterparty will fail to
meet its obligations in accordance with agreed terms.
BBVA Peru Group applies similar credit policies when evaluating and granting direct and indirect
loans. In management's opinion, contingent transactions do not represent a relevant credit risk
since it expects that a portion of these indirect loans expire without being used. The total amount
of indirect loans does not necessarily represent future cash outflows for BBVA Peru Group.
Management estimates that no significant losses will arise, for contingent transactions effective as
of December 31, 2020 and 2019.
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17. Interest Income


Direct loan portfolio 4,078,586 4,429,896
Cash and due from banks 38,118 148,193
Hedging operations 28,297 -
Interbank funds 263 2,190
Other financial income 5,334 4,777
4,298,555 4,796,546
18. Interest Expenses


Borrowings and financial obligations (474,005) (496,913)
Obligations to the public (442,523) (688,545)
Accounts payable (87,573) (69,122)
Deposits from financial system entities (27,866) (59,485)
Other financial expenses (19,178) (15,551)
Hedging operations - (36,559)
(1,054,376) (1,374,912)
19. Income from Financial Services, Net


Income
Income from indirect loans 210,330 206,605
Income from credit card commissions 202,955 269,405
Income from commissions on transfers 175,959 167,651
Income from commissions on collection services 142,761 133,497
Income from services and maintenance of checking accounts 53,245 49,653
Income from online corporate banking services 49,896 45,930
Income from advisory services 17,948 20,682
Income from technical and legal studies 14,887 12,701
Income from cash services 6,850 15,778
Income from trust and commission of trustee 1,480 1,286
Other income for services 281,356 296,209
1,157,667 1,219,397
Expenses
Expenses from Visa and Mastercard operations (106,841) (141,368)
Deposit insurance fund premiums (91,753) (74,402)
Customer loyalty programs (57,114) (93,093)
Transfers (18,062) (11,768)
Foreign exchange spot transaction (7,891) (7,388)
Checking account maintenance expenses (4,222) (4,353)
Other expenses of services (60,305) (74,188)
(346,188) (406,560)
811,479 812,837
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20. Profit or Loss from Financial Operations


Gain on exchange difference (note 4) 592,586 568,956
Trading derivatives 105 4,270
Loss (gain) on securities (760) 10,382
Others 18,909 33,739
659,712 692,868
21. Administrative Expenses


Personnel expenses and Directory (862,851) (866,146)
Expenses for services provided by third parties (794,818) (764,917)
Taxes and contributions (49,779) (49,808)
(1,707,448) (1,680,871)
22. Other Expenses and Income, Net

As of December 31, 2020 and 2019, it mainly comprises gain on sale of assets seized and recovered
through legal actions (loss in 2019), loss on sale of non-current assets held for sale, expenses on
assets seized and recovered through legal actions, loss not covered by insurance, donations granted,
revenue from leases, among other income and expenses.
23. Tax Matters
Tax rates
A. BBVA Peru Group is subject to the Peruvian tax regime. As of December 31, 2020 and 2019,
corporate income tax is calculated based on the net taxable income determined by the Bank
at a rate of 29.5%. Employees' profit sharing and retention ratio of 5% applicable to outbound
dividend distribution is not considered therein.
Through Legislative Decree 1261, published December 10, 2016 and effective January 1,
2017, the corporate income rate was amended to 29.5%.
The rates applicable to the corporate income tax for the last taxable years are as follows:

For years 2015 and 2016 28.0%
The aforementioned Decree also established the amendment to the income tax rate
applicable to outbound dividend distribution and any other form of profit distribution to 5% for
profits generated and distributed from January 1, 2017.
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For the years 2019 and 2018, the income tax rate for dividend distribution and any other form
of profit distribution applicable to legal persons not domiciled in Peru and natural persons is
5.0%. Thus, the rates applicable to income tax on dividends for the last taxable years are as
follows:

For years 2015 and 2016 6.8%
It will be presumed, without proven otherwise, that the dividend distribution or any other
form of profit distribution that is made corresponds to retained earnings or other concepts
likely to generate older taxed dividends.
B. In accordance with current Peruvian tax law, non-domiciled individuals only pay taxes for their
Peruvian source income. Thus, in general terms, revenues obtained by non-domiciled
individuals from the services rendered in Peru shall be subject to a 30% income tax on gross
income, provided that no current and entered into double tax treaties are applicable. On this
concern, Peru has currently entered double tax treaties with the Andean Community, Chile,
Canada, Brazil, Portugal, Switzerland, Mexico, South Korea and Japan.
Concerning the technical assistance or digital services rendered by non-domiciled individuals

to domiciled individuals, regardless of the place where the service is rendered, they shall be
subject to a 15%- and 30%-income tax rate on gross income, respectively. Technical support
shall be subject to a 15% applicable rate, provided that Income Tax Law requirements are
met. As noted above, the retention ratio in these situations may vary or retention may not be
applicable if provisions of current double tax treaties are applied.
Income tax determination
C. The BBVA Peru Group computed its tax base for the years ended December 31, 2020 and
2019 and determined consolidated current tax for S/ 239 million and S/ 630 million,
respectively.
Tax expense per company comprises the following:

Entities
Banco BBVA Perú 224,356 612,246
BBVA Bolsa Sociedad Agente de Bolsa S.A. 1,317 1,355
BBVA Asset Management S.A. SAF 6,976 6,716
BBVA Sociedad Titulizadora S.A. 647 386
Inmuebles y Recuperaciones BBVA S.A. 2,766 1,297
BBVA Consumer Finance Edpyme 1,713 5,674
Forum Comercializadora del Perú S.A. - -
Forum Distribuidora del Perú S.A. 1,392 2,533
239,167 630,207
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Tax expense comprises the following:

Current tax 514,636 672,261
Deferred tax
Profit or loss of deferred income tax for the year (260,525) (68,985)
Income tax (adjustment/provision recovery) (14,944) 26,931
239,167 630,207
Temporary tax on net assets
D. The BBVA Peru Group is subject to the temporary tax on net assets, whose tax base is
composed of the prior period adjusted net asset value less depreciations, amortizations, legal
reserve requirements and specific provisions for credit risk. The tax rate is 0.4% for the years
2020 and 2019 and is applied to the amount of net assets exceeding S/ 1 million. It may be
paid in cash or nine consecutive monthly installments. The paid amount may be used as a
credit against income tax paid for tax periods from March to November of the taxable year in
which the tax was paid until maturity date of each down payment, and against the payment
for regularization of income tax of the relevant taxable year. In the event a remaining balance
is not applied, its refund may be requested. Temporary tax on net assets for the year 2020
amounts to S/ 281 million thousand (S/ 258 million in 2019).
Tax on financial transactions
E. Financial transaction tax for the years 2020 and 2019 was fixed at the rate of 0.005%. This tax
is applicable to debits and credits in bank accounts or movements in funds made through the
financial system, unless the account is tax-exempt.
Transfer pricing
F. In determining income tax, transfer pricing with related parties and entities domiciled in
territories with low or zero taxation shall be supported with documents and information on
the valuation techniques and the criteria used for the pricing.
Legislative Decree 1312, published December 31, 2016 and effective January 1, 2017,
established the following formal obligations to replace the former ones: (i) presentation of a
Local File (if accrued revenue of the taxpayer exceeds 2,300 tax units [UIT, for its Spanish
acronym]); (ii) presentation of a Master File (if accrued revenue of the taxpayer in a group
exceeds 20,000 tax units); and (iii) presentation of a Country-by-Country Reporting (if accrued,
consolidated revenue from the prior year of the taxpayer in a multinational group exceeds
PEN 2,700 million or EUR 750 million). The presentation of the Master File and the Country-
by-Country Reporting is mandatory for transactions from 2017 onwards.
Legislative Decree N° 1312 also established that intragroup services with low added value
shall not have a margin greater than 5% of their costs. Concerning the services rendered
between related parties, taxpayers shall comply with the benefit test and provide the
documents and information under specific conditions for the deduction of costs or expenses.
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Tax Authorities' Resolution N° 014-2018-SUNAT, published January 18, 2019, approved the
Electronic Form 3560 for the presentation of the Local File, establishing the deadlines for its
presentation and the content and format that shall be included therein.
Thus, the deadline for the presentation of the Local File for the taxable year 2020 shall be
June 2021, in accordance with the maturity schedule agreed upon for May published by the
Tax Authorities.
The content and format of the Local File are stated in the Appendixes I, II, III and IV of Tax
Authorities' Resolution N° 014-2018-SUNAT.
Legislative Decree N° 1116 established that transfer pricing regulations are not applicable to
sales tax.
Tax assessment
G. The Tax Authorities are entitled to audit and, if applicable, to correct the income tax calculated
by the BBVA Peru Group within the 4 years following the year of the income tax return.
BBVA Peru Group's income tax returns that are open for review by the Tax Authorities are as
follows:
Tax returns
Entities subject to audit
BBVA Bolsa Sociedad Agente de Bolsa S.A. 2015-2019
BBVA Asset Management Continental S.A. S.A.F. 2015-2019
BBVA Sociedad Titulizadora S.A. 2015-2019
Inmuebles y Recuperaciones BBVA S.A. 2015-2019
BBVA Consumer Finance Edpyme 2015-2019
Forum Comercializadora del Perú S.A. 2015-2019
Forum Distribuidora del Perú S.A. 2015-2019
The BBVA Peru Group's income tax returns for the years 2019 through 2018 and the one that
shall be filed for 2020 are open for review by the Tax Authorities. As of the date of this report,
the Tax Authorities are assessing the income tax for the period 2013 and will begin the
income tax audit for the periods 2014 and 2015. The 2016 income tax review finished in
April 2019 and 2013 income tax review finished in December 2020.
The BBVA Peru Group's income tax returns for the years 2018 through 2017 and the one that
shall be filed for 2029 are open for review by the Tax Authorities. As of the date of this report,
the Tax Authorities are assessing the income tax return for the period 2013 and will begin the
income tax return audit for the periods 2014 and 2015. Income tax return review for the
period 2016, ongoing as of December 31, 2018, was finished in April 2019.
In management's opinion, these tax proceedings and periods pending assessment will not
generate significant liabilities that may impact the profit or loss of the companies from the
BBVA Peru Group, in accordance with the IFRIC 23.
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Due to the possible interpretations of the current laws by the Tax Authorities, it is not
possible to determine, to date, whether a future tax assessment will result in liabilities for the
BBVA Peru Group. Therefore, any major tax or surcharge that might arise from eventual tax
assessments would be applied to profit or loss when they are recognized. However, it is the
opinion of management and its legal advisors that any possible additional settlement of taxes
would not be significant for the consolidated financial statements as of December 31, 2020
and 2019.
Tax regime applicable to sales tax (IGV)
H. Legislative Decree 1347, published January 7, 2017 and effective July 1, 2017, established
the possible reduction of 1% in the sales tax, provided that the goal of annual sales tax
collection as of May 31, 2017 is reached, net of internal refunds of 7.2% of Gross Domestic
Product. Accordingly, if the aforementioned goal is met, the sales tax rate (including the
municipal tax) shall be reduced from 18% to 17%.
However, the estimated collection goal was not met at the end of the term, so the sales tax
rate shall be held at 18%.
Major amendments to tax laws effective for periods beginning on January 1, 2020
I. New accrual accounting concept: Legislative Decree1425 introduced the definition of "legal
accrual" for income tax purposes, stating that: a) revenue from transfer of goods occurs when
i) control has been transferred (under IFRS 15); or ii) risk has been transferred to the acquirer
(Risk Theory set out in the Civil Code), whichever occurs first; and b) revenue from rendering
the service occurs when realization level of the rendered service has been established.
The new legal accrual concept is applicable to lessees when determining the tax treatment of
the expense associated with lease arrangements regulated by IFRS 16.
This concept shall not be applicable for those entities accruing income or expenses for
income tax purposes in accordance with tax laws establishing a special (sector) accrual
system.
J. Thin capitalization: Beginning 2019 and until December 31, 2020, finance costs generated
by debts of independent and related parties are subject to the thin capitalization limit of 3:1
debt-to-equity ratio, which is calculated at the end of the prior period From January 1, 2021,
borrowing costs shall be deductible up to 30% of the tax-EBITDA (Net Income – Loss
Compensation + Net Interest + Depreciation + Amortization) of the prior period. If there is any
balance of financial expense that cannot be absorbed as an expense in a given year by
application of the new thin capitalization rule applicable as of January 1 of 2021, it may be
offset against the net income generated in the 4 subsequent fiscal years —i.e., 4-year
carryforward—after which it will mature generating permanent differences. There are some
exemptions regarding this 30% limit for banks, taxpayers whose income is lower than
2,500 tax units, infrastructure, public utilities, among others.
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K. Deduction of expenses or costs incurred in transactions with non-domiciled individuals:

Legislative Decree 1369 states that costs and/or expenses (including outbound interest)
incurred with non-domiciled individuals shall be paid effectively to be deducted in the period
they were incurred until before maturity date of the annual income tax return. Otherwise,
their effect on the determination of net income shall be deducted in the period they are
actually paid, and the relevant withholding shall be applied.
Such regulation abolished the obligation to pay the amount equivalent to the withholding on
the amount recorded as cost and/or expense.
L. Indirect loans: From 2020, under certain requirements, domiciled entities receiving foreign
inbound dividends may deduct as direct loan the income tax that taxed the foreign dividends
and the corporate income tax (indirect loan) paid by the tier 1 and tier 2 non-domiciled entity
(provided that they are in the same jurisdiction) that distributed the dividends from abroad.
M. Measures to implement the General Anti-avoidance Rule provided in the

Regulation XVI of Tax Code: Legislative Decree 1422 sets up the procedure to implement
the General Anti-avoidance Rule, mainly stating that: (i) it is applicable only in final audit
procedures in which acts, events or situations that occurred since July 19, 2012 are reviewed;
(ii) it is applicable only if there is a favorable opinion (unappealable) from a review committee
composed of Tax Authorities' officers; and (iii) final audit procedures, in which the General
Anti-avoidance Rule is applicable, are not subject to a 1-year term to request information from
the audited parties.
As of the date of preparation of this report, the General Anti-avoidance Rule is fully effective
and is applicable to Regulation XVI of Tax Code.
Supreme Decree 145-2019-EF dated May 6, 2019 and published on the official daily
newspaper of Peru "El Peruano", approved all the formal and substantial parameters for the
application of the General Anti-avoidance Rule provided in the Regulation XVI of Tax Code.
Consequently, the requirement to end the suspension of the application for such rule,
established by Law 30230, is deemed as complied with. Likewise, the Regulation on Tax
Assessment has been modified for such purposes.
N. Information related to ultimate beneficiaries: In line with the regulations to strengthen the
fight against tax evasion and avoidance, as well as against money laundering and terrorism
financing, from August 3, 2018, provisions introduced by Legislative Decree 1372 are
currently in force. The aforementioned Decree requires the presentation of information
related to ultimate beneficiaries to the competent authorities through a sworn statement of
the ultimate beneficiaries. Such statement shall disclose the names of the natural persons
that effectively retain ownership or control. Thus, it is mandatory to report the following:
(i) identification of the ultimate beneficiaries; (ii) chain of title with its respective supporting
documents; and (iii) identification of third parties that have said information, if applicable. Also,
it states that the information related to the identification of the ultimate beneficiaries of legal
persons and legal entities provided to the competent authorities under these regulations
neither violates professional secrecy nor is subject to restrictions on the disclosure of
information arising from secrecy requirements under contracts or any regulatory provision.
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Lastly, if the informative sworn statement with the information related to the ultimate
beneficiaries is not presented, the legal representatives of the entity that failed to comply
with the presentation of such statement shall assume the joint and several liability.
On December 16, 2019, the Bank submitted the informative sworn statement on the date
established in the monthly maturity schedule.
O. Indirect transfer of shares: From January 1, 2019, an anti-avoidance measure is included to

prevent the split of transactions, which allows indirect transfer of shares of entities domiciled
in Peru.
In order to determine if a Peruvian entity has made a transfer within a 12-month period of
10% or more of capital, transfers of the analyzed entity and transfers to related parties shall
be considered, whether transfers are made through one or several (simultaneous or
successive) transactions. The relationship shall be set up in accordance with the provisions of
section b) of Article 32-A of Income Tax Law.
Likewise, regardless of compliance with the provisions of the Income Tax Law, an indirect
taxable transfer shall always be made when, over any 12-month period, the total amount of
transferred shares of the Peruvian legal person is equal to or greater than 40,000 tax units.
Lastly, from January 1, 2019, when the transferor is a non-domiciled legal person that has a
branch office or any permanent establishment in Peru with allocated equity, the latter is
considered a jointly liable party. Thus, it is required to provide information, among others,
regarding the transferred shares or interests of the non-domiciled legal person.
P. Joint and several liability of legal representatives and directors: From September 14,
2018, through Legislative Decree 1422, when an audited individual is subject to the General
Anti-Avoidance Rule, there is joint and several liability of legal representatives due to fraud,
gross negligence or misuse of powers, unless proven otherwise. The aforementioned joint
and several liability shall be attributed to such representatives provided that they collaborated
with the design or approval or execution of acts, situations or economic relationships with an
avoidance purpose.
Such regulation also involves the members of the Board of Directors, since it is stated that
these individuals are responsible for setting the tax strategy of the companies where they are
directors. Thus, they are responsible for determining whether to approve the acts, situations
or economic relationships carried out within the tax planning framework and finally, they shall
not delegate such liability.
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Lastly, members of the domiciled entities' Board of Directors were granted a term (until
March 29, 2019) to verify or modify the acts, situations or economic relationships carried out
within the tax planning framework and implemented from September 14, 2018 that are
effective to date. For the years 2019 and 2020 onwards, we consider the Board of Directors
is responsible for determining annually whether the BBVA Peru Group's activities have
avoidance effects which may be regulated by the General Anti-Avoidance Rule and,
consequently, be subject to tax regularization.
Considering the aforementioned joint and several liability attributable to legal representatives
and directors, and the absence of a definition of "tax planning," it will be crucial to review
any act, situation or economic relationship that has: (i) increased tax attributes; and/or
(ii) generated a lower payment of taxes of such periods, in order to avoid the attribution of
joint and several liability, both administratively and punitively, depending on the supervisory
agent criterion. The latter, in case the entity to be audited by the Tax Authorities is subject to
the General Anti-Avoidance Rule.
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24. Deferred Income Tax

Deferred tax has been calculated applying the liability method, and is attributed to the following items:
Profit or loss
Equity additions Additions to Additions
Balance as of additions (recoveries) for Balance as of (deductions (recoveries) to Balance as of
In thousands of soles 01.01.2019 (recoveries) the year 12.31.2019 from) equity profit or loss Others 12.31.2020
Assets
Generic provision for direct loan losses 293,316 - 4,852 298,168 - 163,791 - 461,959
Generic provision for indirect loan losses 34,347 - 7,111 41,458 - 1,650 - 43,108
Provision for realizable assets and assets
seized and recovered through legal actions 43,084 - 8,813 51,897 - (3,447) 554 49,004
Specific provision for indirect loan losses 33,430 - (2,412) 31,018 - 2,362 - 33,380
Other generic provisions 63,404 - (1,991) 61,413 - 45,723 107,136
Labor provisions 69,872 2,624 14,341 86,837 (4,866) 16,654 - 98,625
Tax loss - - 13 13 - (13) - -
Interest of non-performing loans 278 - - 278 - - - 278
Investments available-for-sale 4,107 2,355 - 6,462 (162) - - 6,300
Cash flows hedges 2,131 (270) - 1,861 - - - 1,861
equipment - - - - - 2,642 - 2,642
Valuation of hedge borrowings - - 1,101 1,101 - 24,006 - 25,107
Total assets 543,969 4,709 31,828 580,506 (5,028) 253,368 554 829,400
Liabilities
Valuation of hedge borrowings (37,282) - 37,282 - - - - -
Cash flows hedges - - - - (4,352) - - (4,352)
Intangible assets / deferred charges (108,313) - (10,644) (118,957) - 12,611 - (106,346)
Valuation of derivative financial instruments (7,843) - - (7,843) (5,512) - - (13,355)
equipment - - (921) (921) - - - (921)
Balancing of assets and liabilities due to
exchange difference (25,087) - 11,441 (13,646) - (5,454) - (19,100)
Total liabilities (178,525) - 37,158 (141,367) (9,864) 7,157 - (144,074)
Deferred tax asset, net 365,444 4,709 68,986 439,139 (14,892) 260,525 554 685,326
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25. Earnings per Share

The calculation of weighted average amount of shares and earnings per share as of December 31 is
as follows:
Weighted Weighted
average average number
Outstanding number of Effective days of
In thousands of shares basic shares to year-end ordinary shares
2020
2019
As of December 31, 2020 and 2019, earnings per share calculated on the base of the weighted
average number of shares amounted to S/ 0.0993 and S/ 0.2464, respectively.
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26. Related Party Transactions

As of December 31, 2020 and 2019, the consolidated financial statements include related party transactions, which, under IAS 24 and SBS regulations,
comprise the Parent Company, related parties, associates, other related parties, and the Bank's directors and key management. All transactions with related
parties are carry out under the available market conditions for unbound third parties.
(a) The balances of the BBVA Peru Group's consolidated statement of financial position arising from related parties as of December 31, were as follows:
2020 2019
Related Key staff Key staff
Controlling parties and Controlling Related and
In thousands of soles party (*) Associates directors Total party parties (*) Associates directors Total
Assets
Cash and due from banks 207,721 - - - 207,721 126,460 - - - 126,460
Loan portfolio, net - 353,554 32,824 29,146 415,524 - 520,561 11 28,970 549,542
Trading derivatives 322,397 80,325 - - 402,722 282,154 793 - - 282,947
Other assets, net 195,313 33,235 4,207 - 232,755 30,227 36,154 - - 66,381
Total assets 725,431 467,114 37,031 29,146 1,258,722 438,841 557,508 11 28,970 1,025,330
Liabilities
Obligations to the public and deposits from financial
system entities 91,266 803,885 331 98,195 993,677 223,118 458,269 875 157,338 839,600
Borrowings and financial obligations - - - - - - 6,000 - - 6,000
Trading derivatives 511,778 380 - - 512,158 246,544 581 - - 247,125
Provisions and other liabilities 25,981 15,808 35 25 41,849 44,902 9,613 - 21 54,536
Total liabilities 629,025 820,073 366 98,220 1,547,684 514,564 474,463 875 157,359 1,147,261
Off-balance sheet accounts

Indirect loans - 353,276 317 1,539 355,132 - 250,655 292 1,326 252,273
Derivative financial instruments 17,759,685 23,252 - - 17,782,937 16,245,167 144,097 - - 16,389,264
(i) Related parties include balances and transactions with other related parties in accordance with IAS 24 and SBS regulations.
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(b) The effects of related party transactions in the BBVA Peru Group's consolidated statement of financial position are detailed below for the year ended
December 31:
2020 2019
Related
Controlling parties Key staff and Controlling Related Key staff and
In thousands of soles party (*) Associates directors Total party parties (*) Associates directors Total
Interest income - 1,215 - 122 1,337 - 1,640 - 132 1,772
Interest expense - (8,467) - (66) (8,533) - (10,275) - (237) (10,512)
- (7,252) - 56 (7,196) - (8,635) - (105) (8,740)
Income from financial services 1,937 1,991 - 41 3,969 - 413 - 5 418
Expenses from financial services - - - - - - - - - -
1,937 1,991 - 41 3,969 - 413 - 5 418
Net profit or loss from financial operations (8,003) (1,984) - 4 (9,983) (3,257) (6,543) - - (9,800)
Administrative expenses (28,048) (75,436) - - (103,484) (18,217) (80,155) - - (98,372)
Other income and expenses, net - 277 - - 277 - 288 - 11 299
(36,051) (77,143) - 4 (113,190) (21,474) (86,410) - 11 (107,873)
(*) Related parties include balances and transactions with other related parties in accordance with IAS 24 and SBS regulations.
307

(c) Loans to personnel and key management personnel compensation.
As of December 31, 2020 and 2019, Board of Directors, executives and employees of BBVA Peru
Group hold allowed loan transactions pursuant to the Banking Law, which regulates and establishes
certain limits to transactions with members of the Board of Directors, executives and employees of
financial entities in Peru. As of December 31, 2020 and 2019, direct loans granted to employees,
directors, executives and key personnel amount to S/ 496 million and S/ 472 million, respectively.
Likewise, as of December 31, 2020 and 2019, remuneration to key personnel and expenses
allowance for the board of Director amounts to S/ 11 million, for both periods.
27. Trust Fund Activities

The Bank offers structuring and management services of trust operations and trust fees and
oversees the preparation of agreements related to these operations. Assets held in trust are not
included in the consolidated financial statements. The Bank is responsible for the appropriate
management of these trusts based on the limits established by applicable laws and the respective
agreement. As of December 31, 2020, the allocated value of assets in trusts and trust fees amounts
to S/ 15,199 thousand (S/ 12,591 million as of December 31, 2019).
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28. Classification of Financial Instruments

BBVA Peru Group classifies its financial assets and financial liabilities into categories as described in note 3. As of December 31, financial assets and financial
liabilities are classified as follows:
At fair value through profit or loss Available-for-sale

Loans and
Designated at accounts
In thousands of soles Held for trading inception receivable At amortized cost At fair value Hedging instruments
Assets
Investments 4,722,272 - - 1,122 6,697,946 -
Equity instruments 43,216 - - 1,122 29,232 -
Loan portfolio, net - - 66,593,761 - - -
Other assets - - 889,508 - - -
5,620,867 - 92,619,749 1,122 6,697,946 103,354

Designated at At amortized Other Hedging
In thousands of soles Held for trading inception cost liabilities instruments
Liabilities
Accounts payable - - 16,006,719 25,057 -
876,395 - 95,345,455 25,057 14,633
309

2019
Designated at accounts Hedging
In thousands of soles Held for trading inception receivable At amortized cost At fair value instruments
Assets
Investments
Equity instruments 26,331 - - 1,881 26,947 -
Loan portfolio, net - - 56,398,279 - - -
Other assets - - 1,209,497 - - -
3,263,140 - 72,616,555 1,881 3,942,509 4,611
2019
Designated at At amortized Other Hedging
In thousands of soles Held for trading inception cost liabilities instruments
Liabilities
Accounts payable - - 4,189,238 24,582 -
490,934 - 70,177,333 24,582 19,777
310

29. Financial Risk Management

Financial risk management is fundamental on the Bank's strategy, since it guarantees its
creditworthiness and sustainable development. The Bank's risk profile has been established in
accordance with the strategy and policies of the BBVA Group, and considers a unique, independent
and global risk management model.
▪ Unique: Focused on a sole objective. Risk appetite supported in fundamental metrics, limits
for portfolios and economic sectors, and indicators for the management and monitoring of
portfolios, is determined.
▪ Independent: It is independent and complementary to the business. The process of adapting

the risk area allows to closely monitor the business and thus detect opportunities.
▪ Global: BBVA Peru Group has a flexible risk model that can be used for all risk, in all countries
and for all business.
For effective management with a comprehensive vision, the risk area of the BBVA Peru Group is
structured by type of risk: admission of retail and wholesale risks, monitoring, collections and
recoveries, structural, market and fiduciary risks, control, validation, reporting and regulation; and
with the aim of seeking synergies and greater integration of the processes that range from strategy,
planning, to the implementation of management models and tools, the Risk Solution team
consolidates cross-cutting functions that support management.
This year, due to the country's situation for the COVID-19 outbreak, risk management has been
focused on the crisis management from all fronts:
▪ Portfolio management under the guidelines defined by the SBS and the Government,
adaptation of management and monitoring reports according to the new needs of the
situation.
▪ Permanent follow up and monitoring of the liquidity risks.
▪ From the wholesale and retail Admission, permanent review and adjustment of the
admission policies, rescheduling modalities carrying out the portfolio diagnosis, segmentation
and action plans according to the criticality identified.
▪ The follow up and management of collection has had a preventive and anticipatory approach,
which is oriented to the most vulnerable and affected sectors. Specialized teams have been
implemented to manage the collections by implementing differentiated strategies according
to the portfolio. Therefore, a good containment level of the rescheduled portfolio has been
achieved.
Under the non-financial risk management, control of the measures and decisions are taken in order
to mitigate operational risks.
Credit risk
The Bank's risk management system is based on a corporate governance scheme in which the
BBVA Peru Group determines the policies for managing and controlling the risk of retail and
wholesale loans, which are adapted to local regulations and reality.
311

The structure of the risk area for credit risk management is as follows:
▪ Portfolio Management, Data & Reporting: Manages credit risk by monitoring the defined risk
appetite, preparing metrics and reports to evaluate the policy setting throughout the business
cycle, from admission, follow-up to recovery, with the objective of monitoring the credit
quality of the portfolio and ensure sustained profitability in line with capital consumption. In
addition, it is responsible for the development and monitoring of the credit risk models that
are used in risk management by the BBVA Peru Group.
▪ Risk Internal Control: It is the control unit for risk activities. Specifically, and independently, it
performs the contrast and control of the regulations and the governance structure in matters
of financial risks and their application and operation in risks, as well as the contrast of the
development and execution of the management and control processes of financial risks.
Likewise, it is responsible for the validity of the risk models.
▪ Risk Solution: It manages the portfolio of projects in the Risk area. It ensures its definition,
prioritization, execution and startup.
▪ Risk Transformation: It is the team responsible for ensuring the execution and continuous
improvement of the dependent processes, complying with the defined and committed
quality and productivity standards. As part of the process organization, it must seek efficiency
and synergy between the services involved.
▪ Retail Loan: It manages the credit risk in the admission stage for natural persons and banking
business (small and medium business). For natural persons, the admission is carried out
through tools that assess the customer profile, its ability to meet its debt obligation and its
credit history in the Bank and the financial system. For banking business, the admission main
analysis is the financial-economic information obtained from field-visits that allow
dimensioning the business and the debtor's payment capacity, through the use of specific
methodologies by economic activity, as well as tools that assess the behavioral profile of the
businesses.
For the loan origination of both people and businesses, massive evaluation is carried out
through campaigns and specific tactical actions in accordance with the growth strategy of the
BBVA Peru Group, as well as the management of portfolios.
▪ Wholesale Loan: It manages credit risk in the business segments of the Retail Network,
Business Banking, Institutions, Global Customers, Intermediary Financial Institutions and the
Real Estate Sector, integrating the phases of origination, admission and follow-up, in
accordance with the guidelines defined in the Wholesale Credit Risk Policy.
In 2020, management by controlling asset allocation limits, threshold concentration and

suggested sector profiles have been essential to monitor risk appetite on a permanent basis.
On the other hand, the Portfolio Management team focused their work on the diagnosis and
assessment of the crisis impacts on the different portfolios and the implementation of
measures in management policies acting in advance.
Rating, risk analyst and credit-reporting are important support tools for the decision making.
Likewise, the Authorized Financing Program and the Digital Financing Program, used in
Business and Corporate Banking segments, respectively, continued as digital platforms for
the preparation and analysis of credit proposals.
312

▪ Collection, Mitigation & Workout: It groups together the functions and processes necessary
for the monitoring, non-payment containment, collection, recoveries and the divestment of
the portfolio with problems, both from retail and wholesale banking, achieving crossway
efficiencies in the processes, as well as in the external management channels (collection
agencies, calls, and law firms) and internal (network of offices).
The portfolio with problems is managed through a centralized strategy that defines the refinancing
policy, payment agreements with customers and repossessed assets, which aim to reduce the
provision expense and default levels. The previously by differentiating each of the segments and
stages of the credit life cycle.
Since 2018, the Bank has been executing the Collection Integral Plan, which is a transformation
project that involves process improvement, data management, remediable products, customer's
experience and IT platform, among the most important, which execution continues in 2020.
Considering the health crisis scenario, management focus on sensitive and vulnerable sectors, as
well as management on the highest value reprogrammed and refinanced groups, was key to
controlling deterioration during 2020.
As part of this plan, in 2020, the write-offs operation was implemented in the portfolios; the Key
Performance Indicator and Key Risk Indicator collection and recovery dashboards were
strengthened, new tenders were executed in external collection channels and legal studies, the
Level Services Agreements and the performance supervision of the providers. As part of the new
management impulses, the BEC and Retail Solution Office was launched, which allowed a scheme
closer to the portfolio with problems, and an improvement in the levels of containment.
Financing risk management in the COVID-19 context:
▪ Anticipate Plan: 4 executives and a risk leader were selected for the exclusive attention of
255 customers who, in coordination with the branch network, were the ones that presented
the greatest warnings in 2020. The objective of the team was to carry out the diagnosis and
coordination with the admission team for readjust through rescheduling or with the Stage 3
team for timely refinancing.
▪ Solution plan: The executives of the commercial network (more than 180 executives)
carried out the plan, with a role exclusively to the recovery activity. This team is led by 13
monitoring heads whose objective is the location of the main customers, diagnosis and
redirection of operations through rescheduling or refinancing.
The retail portfolio segmentation was carried out considering the impact and materiality
matrices (Debt ranges) for the private and SME portfolio. In addition, collection management
differs whether the portfolio was rescheduled or not.
The impact level on the SME portfolio took as the main axis economic activity according to
the company's business line, which were classified as Winning, Sensitive, Critical and Very
critical, with Winning activities being those that were benefited by this COVID juncture.
313

▪ Collection plan: The implant model was developed, which is a supervision model based on
the physical presence of a Bank supervisor at the provider's physical facilities in order to
maximize the performance of the collection processes and guarantee the execution of the
strategies and tactical actions and even those of human resources. Currently, due to the
situation, the physical presence was replaced with the virtual scheme; however, 100% of the
supervisor's dedication was maintained exclusively to the assigned provider.
A competition was held between the six external collection companies that manage the Bank's
retail portfolio to choose only three strategic allies for the year 2021 and, therefore, the collection
team was restructured into 6 implant supervisors to monitor the three external companies for both
portfolio segments (Individuals and SMEs). In addition, two professionals from other areas were
incorporated to support the disbursements of the Refinances (coordination and registration),
preventive management tastings, support in the supervision of external companies while the
implant model was being developed and monitoring of the collection pilots.
Maximum exposure to credit risk


Cash and due from banks 24,954,267 14,816,709
Interbank funds 137,599 150,137
Investments at fair value through profit or loss 4,722,272 2,695,454
Investments available-for-sale 6,699,068 3,944,390
Loan portfolio, net 66,593,761 56,398,279
Trading derivatives 898,595 567,686
Hedging derivatives 103,354 4,611
Accounts receivable 44,613 41,933
Other assets 889,508 1,209,497
105,043,037 79,828,696
Received guarantees
The requirement of guarantees may be a necessary instrument, but not sufficient for granting
credits; their acceptance is supplementary to the credit process that requires the previous
verification of the debtor's payment capacity or whether this debtor is able to generate sufficient
resources to allow the amortization of the risk assumed under the terms agreed.
The procedures for the management and valuation of guarantees received for loans granted to
customers as indicated in the Guarantees Policies, cover the guarantee acceptance policies and the
basic principles for setting, maintenance and release. All guarantees assigned are to be properly
instrumented and recorded in the corresponding register, monitoring they are currently updated and
have the corresponding insurance policies, in strict compliance with the rules laid down by the
regulatory body.
314

The valuation of guarantees is governed by prudence principles, involving appraisals for mortgages,
market price for listed securities, value of interest in an investment fund, among others. These
principles establish internal milestones that may be stricter than those contained in local
regulations, and under which the value of guarantees is updated.
In thousands of soles 2020 % 2019 %

Mortgages 22,639,889 32 22,288,636 38
Guarantees and letters of guarantee received 11,925,213 17 613,827 1
Finance lease 3,772,204 5 4,212,785 7
Self liquidating guarantees 512,970 1 373,483 1
Vehicle, industrial, agricultural pledges and others 39,805 - 62,206 -
Rest of guarantees 15,855,613 23 13,734,788 23
Guaranteed loans 54,745,694 78 41,285,725 70
Non guaranteed loans 15,829,880 22 17,720,027 30
Total 70,575,574 100 59,005,752 100
315

Credit quality of the loan portfolio

The segmentation of the loan portfolio into "Not past due or impaired", "Past due but not impaired" and "Impaired" is presented as follows:
As of December 31, 2020 As of December 31, 2019

Small and Small and
Wholesale micro- Consumer Mortgage Wholesale micro- Consumer Mortgage
In thousands of soles loans business loans loans loans Total loans business loans loans loans Total
Neither past due nor impaired loans 43,541,037 3,358,907 6,212,063 12,669,372 65,781,379 100 34,787,681 1,695,694 6,164,737 12,626,590 55,274,702 99
Standard 42,201,346 3,329,026 6,096,584 12,499,191 64,126,147 97 34,242,297 1,662,230 6,049,531 12,449,842 54,403,900 97
With potential problems 1,339,691 29,881 115,479 170,181 1,655,232 3 545,384 33,464 115,206 176,748 870,802 2
Substandard - - - - - - - - - - - -
Doubtful - - - - - - - - - - - -
Loss - - - - - - - - - - - -
Non past-due nor impaired loans 25,892 948 67 841 27,748 - 39,561 1 15 444 40,021 -
Standard 11,908 865 67 3 12,843 - 11,608 1 15 3 11,627 -
With potential problems 13,984 83 - 838 14,905 - 27,953 - - 441 28,394 -
Substandard - - - - - - - - - - - -
Doubtful - - - - - - - - - - - -
Loss - - - - - - - - - - - -
Impaired loans 2,936,472 229,489 709,700 890,786 4,766,447 7 2,333,877 164,583 435,339 757,230 3,691,029 7
Standard 7,275 - - - 7,275 - 29,138 28 1 - 29,167 -
With potential problems 494,254 91 8 - 494,353 1 274,266 101 8 - 274,375 -
Substandard 730,439 32,456 109,414 230,788 1,103,097 2 587,792 22,196 95,693 242,039 947,720 2
Doubtful 311,224 54,866 270,095 262,335 898,520 1 465,771 39,416 182,749 199,352 887,288 2
Loss 1,393,280 142,076 330,183 397,663 2,263,202 3 976,910 102,842 156,888 315,839 1,552,479 3
Gross loan portfolio 46,503,401 3,589,344 6,921,830 13,560,999 70,575,574 107 37,161,119 1,860,278 6,600,091 13,384,264 59,005,752 106
Less: Provisions (2,615,468) (203,778) (908,956) (690,901) (4,419,103) (7) (1,857,527) (140,362) (407,568) (501,552) (2,907,009) (6)
Net portfolio 43,887,933 3,385,566 6,012,874 12,870,098 66,156,471 100 35,303,592 1,719,916 6,192,523 12,882,712 56,098,743 100
316

Criteria used to determine if a credit is impaired is the following:
Type of debtor Impairment criteria

Retail Loans past due over 90 days.
Debtor is rated as deficient, doubtful or loss.
Wholesome Debtor is rated as deficient, doubtful or loss.
Refinanced or restructured loans.
The specific provisions related to the transactions that, as of December 31, 2020, have been
classified as 'past due but not impaired' loans and 'impaired' loans amount to S/ 2,699 million
(S/ 1,844 million as of December 31, 2019).
In 2020 and 2019, the transactions with clients that, during these periods, were classified as 'past
due but not impaired' loans and 'impaired' loans resulted in finance income of S/ 121 million and
S/ 146 million, respectively.
As of December 31, 2020 and 2019, the guarantees of past due and non-impaired loans and
impaired loans amount to S/ 2,085 million and S/ 2,255 million, respectively, of which S/ 1,963
million and S/ 2,119 million correspond to mortgages.
The ‘past due but not impaired’ loans as of December 31, 2020 and 2019 amount to S/ 28 million
and S/ 40 million, respectively. Find below a breakdown of those credits listed per past-due date:
2020 2019
In thousands of soles 16- 30 31- 60 61 - 90 Total 16- 30 31- 60 61 - 90 Total
Days in arrears
Types of credit
Large-business loans 1,244 - 24 1,268 2,447 2,558 4,392 9,397
Medium-business loans 8,728 9,849 6,047 24,624 16,359 11,356 2,449 30,164
9,972 9,849 6,071 25,892 18,806 13,914 6,841 39,561
Small-business loans - 948 - 948 - - 1 1
Consumer loans - 1 66 67 - 10 5 15
Mortgage loans - 841 - 841 - 444 - 444
- 1,790 66 1,856 - 454 6 460
Total 9,972 11,639 6,137 27,748 18,806 14,368 6,847 40,021
Risk concentrations
The loan portfolio is distributed in the following economic sectors:

Mortgage and consumer loans 20,482,829 30% 20,343,298 35%
Commerce 14,370,278 20% 9,866,544 17%
Manufacturing 10,042,657 14% 8,836,261 15%
Real estate, business and leasing 5,962,891 8% 4,713,457 8%
Transport, storage and communications 5,707,309 8% 3,700,744 6%
Agriculture and livestock 2,308,038 3% 1,815,548 3%
Mining 2,007,550 3% 1,604,248 3%
Construction 1,417,140 2% 898,794 2%
Power, gas and water 1,392,419 2% 1,020,874 2%
Financial intermediation 1,232,140 2% 1,801,589 3%
Others 5,652,323 8% 4,404,395 6%
70,575,574 100% 59,005,752 100%
317

As of December 31, financial assets are distributed among the following geographic areas:
2020
Held for Designated at accounts Available for Hedging
In thousands of soles trading inception receivable sale instruments Total
Peru 5,151,233 - 70,575,511 4,593,849 - 80,320,593
Rest of the world 322,533 - 16,566 74,117 - 413,216
Mexico - - 2,212 - - 2,212
United States - - 19,952 1,963,500 - 1,983,452
Europe 155,338 - 10,468 72,975 103,354 342,135
5,629,104 - 70,782,034 6,705,421 103,354 83,219,913
Provisions (8,237) - (4,580,948) (6,353) - (4,595,538)
Accrued returns on current loans (note 7) - - 539,844 - - 539,844
DRAFT
Deferred interest - - (102,554) - - (102,554)

5,620,867 - 66,638,376 6,699,068 103,354 79,061,665
318

2019
Held for Designated at accounts Available Hedging
In thousands of soles trading inception receivable for sale instruments Total
Peru 2,915,867 - 59,103,937 3,446,719 1,448 65,467,971
Rest of the world 348,722 - 14,502 - - 363,224
Mexico 793 - 1,996 - - 2,789
United States - - 18,485 496,661 - 515,146
Europe 5,298 - 10,557 30 3,163 19,048
3,270,680 - 59,177,612 3,944,390 4,611 66,397,293
Provisions (7,540) - (3,036,937) - - (3,044,477)
Accrued returns on current loans (note 7) - - 362,568 - - 362,568
Deferred interest - - (63,032) - - (63,032)
3,263,140 - 56,440,211 3,944,390 4,611 63,652,352
319

Market risk
Market risk arises as a consequence of the activity maintained in the markets, through financial
instruments whose value may be affected by variations in market conditions, reflected in changes in
the different assets and financial risk factors. The risk can be mitigated and even eliminated through
hedging (assets/liabilities or derivatives), or by undoing the open operation or position.
The main risks factors affecting market price are: interest rate, currency and price risks.
▪ Interest rate risk It arises as a consequence of variations in the provisional structure of market
interest rates, for the different currency.
▪ Currency risk: It arises due to fluctuations in the exchange rates for the different currencies.
▪ Price risk: It arises as a consequence of changes in the market price, either for the specific
instruments’ factors, nor for factors affecting all the instruments trades in the market.
In addition, and for certain positions, it is necessary to also consider other risks: spread, base,
volatility or correlation risk.
Value at risk (VaR) is the basic variable to measure and control the Bank's market risk. This risk
measure estimates the maximum loss, with a given level of confidence, that can occur in the market
positions of a portfolio for a certain time horizon. The Bank calculates the VaR using the historical
method with a confidence level of 99% and a time horizon of one day; the data period considered is
two years.
The structure of market risk limits determines a scheme of VaR and economic capital limits for
market risk, as well as alerts and specific ad-hoc sub-limits for types of risk, among others.
Likewise, validity tests are carried out on the risk measurement models used, which estimate the
maximum loss that can occur in the positions considered, with a certain level of probability (“back
testing”), as well as measurements of the impact of extreme movements market in the risk
positions maintained (“stress testing”). Currently, the stress analysis on historical scenarios of the
Lehman Brothers crisis (2008) is being carried out.
The detail of the VaR for risk factors was as follows:

VaR per risk factors
VaR without smoothing 7,957 6,607
VaR interest rate 8,068 6,381
VaR currency 481 1,912
Average VaR 8,411 7,215
Maximum VaR 12,387 13,669
Minimum VaR 5,803 3,799
320

Structural interest rate risk

The objective of managing the banking book interest risk is to maintain the Bank's exposure to
variations in market interest rates at levels consistent with its strategy and risk profile. To this end,
the Assets and Liabilities Committee (hereinafter COAP) conducts active management of the
banking book through operations to optimize the level of risk assumed, in relation to the expected
results, and allow compliance with the maximum levels of tolerable risk.
The activity performed by the COAP is based on the interest risk measurements conducted by the
risks area. Which, acting as an independent unit, periodically quantifies the impact the variation in
interest rates has on the interest margin and the economic value of the BBVA Peru Group.
In addition to the sensitivity measurements to different variations in market rates, the BBVA Peru
Group develops probabilistic calculations that determine the “economic capital” (maximum loss in
economic value) and the “margin at risk” (maximum loss in the interest margin) due to structural
interest risk of the Bank's banking activity, excluding treasury activity, based on interest rate curve
simulation models. Stress testing is conducted periodically to complete the evaluation of the Bank's
interest risk profile.
All these risk measures are subject to subsequent analysis and monitoring, and the levels of risk
assumed and the degree of compliance with the authorized limits are transferred to the different
management and administration departments of the BBVA Peru Group.
321

The consumption of the structural interest risk levels of the BBVA Peru Group during the years 2020 and 2019 are presented as follows:
December November October September August July June May April March February January
2020 2020 2020 2020 2020 2020 2020 2020 2020 2020 2020 2020 2020
Limit consumption
Alert consumption
Margin at risk 7% 1.9% 1.9% 2.0% 2.1% 1.8% 1.7% 1.3% 1.4% 1.3% 1.4% 1.8% 1.8%
December November October September August July June May April March February January
2019 2019 2019 2019 2019 2019 2019 2019 2019 2019 2019 2019 2019
Limit consumption
Alert consumption
Margin at risk 7% 1.8% 1.9% 1.9% 1.9% 1.8% 1.8% 1.8% 1.7% 1.9% 2.0% 1.9% 2.0%
In the measurement process, the BBVA Peru Group has established hypotheses on the evolution and behavior of certain items, such as those relating to
products without explicit or contractual expiration. These hypotheses are based on studies that approach the relationship between the interest rates of these
products and those of the market, and that allow the disaggregation of the specific balances into trend balances, with a long-term permanence degree, and
seasonal or volatile balances, with a short-term residual maturity.
322

Liquidity risk
The control, monitoring and management of liquidity risk aims, in the short term, to ensure
compliance with the Bank's payment commitments in a timely manner, without resorting to
obtaining funds under unfavorable conditions, or deteriorating the image and reputation of the
BBVA Peru Group. In the medium term, its objective is to ensure the suitability of the financial
structure and its evolution, in the context of the economic situation, the markets and regulatory
changes.
The management of liquidity and structural financing in the Bank are based on the principle of
financial autonomy of the BBVA Peru Group. This management approach contributes to prevent and
limit liquidity risk by reducing the Bank's vulnerability in periods of high risk.
The management and monitoring of liquidity risk is carried out comprehensively with a dual
approach: short-term and long-term. The short-term liquidity approach, with a time horizon of up to
one year, is focused on managing payments and collections from market activities, volatile
customer resources and the potential liquidity needs of the Bank as a whole. The second approach,
medium-term or financing, is focused on the financial management of the set of assets and
liabilities, focusing on the financing structure, and having a time horizon equal to or greater than the
annual one.
The integral management of liquidity is carried out by COAP, where the Financial Management Unit
of the Finance area analyzes the implications, in terms of financing and liquidity of the various Bank
projects and their compatibility with the structure of target financing and the situation of financial
markets. In this sense, the Financial Management Unit, in accordance with the approved budgets,
executes the agreed proposals by the COAP and manages liquidity risk in accordance with wide
scheme of limits, sub-limits and approved warnings on which the risk area carries out,
independently, its measurement and control work, providing the manager with support tools and
metrics for decision-making.
The periodic measurements of the risk incurred and the monitoring of the consumption of limits are
carried out by the Structural, Markets and Fiduciary Risks Unit, which monthly reports the liquidity
risks level to the COAP; as well as more frequently to the management units. It should be noted
that during the beginning of the state of emergency due to the COVID19 pandemic, the structural
risks unit increased the measurement frequency of the main liquidity indicators in order to carry out
a daily monitoring that allows anticipating any contingency and supporting the management areas.
Moreover, the Basel Committee on Banking Supervision (BCBS) has proposed a new liquidity
regulation scheme based on two ratios: Liquidity coverage ratio (LCR) which is effective from 2015
and net stable funding ratio (NSFR) which has been implemented since 2018. The Bank and the
BBVA Peru Group participated in the quantitative impact study (QIS), which has included the new
regulatory challenges in its new general framework of action in the liquidity and financing area. At
local level, the SBS has also implemented the monitoring of the liquidity coverage ratio, following
the general guidelines of the BCBS, although adapting it to the Peruvian reality. The measurement
of liquidity coverage ratio has started on December 2013 and its measurement have a daily
frequency. The limit established for liquidity coverage ratio is 80% for the period from 2014 to 2017,
90% for 2018 and 100% for 2019 henceforth, which is being complied.
Since March 2020, the SBS has established the temporary inapplicability of the liquidity coverage
ratios in local and foreign currency. However, the structural risks unit has continued with the daily
measurement of the liquidity coverage ratios on a timely basis.
323

Repurchase agreement established by the Official Letter 022-2015-BCRP, and repurchase

agreement with BCRP of Legislative Decree 1508, which created the Government guarantee
program, are considered sources of financing available to be included in the Bank's contingency
liquidity plan. To this effect, the SBS requires that the framework agreement be signed with COFIDE
and the portfolio that could be used for these operations be identified.
324

The distribution by terms of assets and liabilities as of December 31, 2020 and 2019, is presented as follows, which, in the case of the loan and deposit
portfolio, includes their respective accrued returns:
Past-due
and judicial Non-
Up to From 1-3 From 3-6 From 6-12 From1–5 More than collection contractual
In thousands of soles 1 month months months months years 5 years loans maturity Total
2020
Assets
Cash and due from banks 19,162,024 1,263,307 793,377 243,696 3,491,863 - - - 24,954,267
Interbank funds 137,599 - - - - - - - 137,599
Investments at fair value through profit or loss 4,679,056 - - - - - - 43,216 4,722,272
Investments available-for-sale 5,746,998 187,460 75,352 51,596 335,071 302,591 - - 6,699,068
Loan portfolio, net 5,970,613 6,351,096 4,507,113 6,584,206 30,190,702 10,704,669 2,285,362 - 66,593,761
Trading derivatives 93,939 62,911 47,726 22,369 288,069 383,581 - - 898,595
Hedging derivatives - - - - 103,354 - - - 103,354
35,790,229 7,864,774 5,423,568
DRAFT
6,901,867 34,409,059 11,390,841 2,285,362 43,216 104,108,916
Liabilities
Obligations to the public 10,503,851 8,000,059 2,186,005 3,078,306 47,044,313 - - - 70,812,534
Demand deposits 4,613,896 3,378,292 - - 21,786,440 - - - 29,778,628
Savings 2,172,598 1,495,035 - - 21,044,166 - - - 24,711,799
Term 3,642,526 3,126,732 2,186,005 3,078,306 4,213,707 - - - 16,247,276
Others 74,831 - - - - - - - 74,831
Interbank funds 72,421 - - - - - - - 72,421
Deposits from financial system entities 530,432 454,819 34,206 234,179 146,427 - - - 1,400,063
Borrowings and financial obligations 26,675 180,431 778,489 324,592 3,604,598 2,138,933 - - 7,053,718
Hedging derivatives - - 6,758 1,382 6,493 - - - 14,633
Accounts payable 829,267 830,000 553,100 - 13,819,408 - - - 16,031,775
Other liabilities 820,808 - - - - - - - 820,808
12,891,550 9,572,343 3,628,408 3,673,048 64,869,165 2,447,833 - - 97,082,347
325

Past-due
and judicial Non-
Up to From 1-3 From 3-6 From 6-12 From 1–5 More than collection contractual
In thousands of soles 1 month months months months years 5 years loans maturity Total
2019
Assets
Cash and due from banks 7,541,462 1,527,000 1,363,901 627,710 3,756,636 - - - 14,816,709
Interbank funds 150,137 - - - - - - - 150,137
Investments at fair value through profit or loss 1,686,055 201,992 376,990 404,086 - - - 26,331 2,695,454
Investments available-for-sale 3,070,209 200,171 592 55,284 145,221 472,913 - - 3,944,390
Loan portfolio, net 8,622,381 8,154,915 5,461,885 6,642,202 16,188,253 9,553,296 1,775,347 - 56,398,279
Hedging derivatives - - 4,477 - 134 - - - 4,611
21,229,377 10,133,149 7,237,188 7,763,064 20,225,434 10,187,376 1,775,347 26,331 78,577,266
Liabilities
Demand deposits 2,354,538 1,724,509 - - 14,325,238 - - - 18,404,285
Savings 1,296,508 949,552 - - 14,993,024 - - - 17,239,084
Term 4,723,826 3,164,942 2,143,447 4,997,749 3,883,102 - - - 18,913,066
Others 103,543 - - - - - - - 103,543
Interbank funds 150,016 - - - - - - - 150,016
Deposits from financial system entities 395,280 464,044 215,260 338,084 86,637 - - - 1,499,305
Borrowings and financial obligations 915,484 69,629 29,260 2,119,658 3,915,357 2,629,408 - - 9,678,796
Hedging derivatives - - 1,783 - 13,875 4,119 - - 19,777
Accounts payable 1,641,221 966,000 1,506,599 100,000 - - - - 4,213,820
Other liabilities 1,122,036 - - - - - - - 1,122,036
12,845,443 7,398,136 3,942,626 7,584,604 37,322,252 2,741,601 - - 71,834,662
326

Operational Risk
The BBVA Peru Group articulates an operational risk management model implemented throughout
the organization, based on methodologies and procedures for the identification, assessing and
monitoring of operational risk, and supported by tools that allow qualitative and quantitative
management.
This model is based on a decentralized management of operational risk carried out by operational
risk management teams in the two lines of defense. In the first line we have the Risk Control
Assurer whose objective is to promote the adequate management of operational risk in their
respective management areas. The previous by extending the methodology of risk identification and
establishment of controls and working for this with the owners of the processes who are those
responsible for implementing mitigation plans and execution of controls. In the second line of
defense, there is a Risk Control Specialist team who define mitigation and control frameworks in
their area of specialty (across the entire organization) and contrast with the one implemented by the
first line.
Both control teams are in constant coordination of a methodological unit and constantly report to
the corresponding Internal Control and Operational Risk Committees. From the risk area, the non-
financial risk unit is in charge of coordinating the Internal Control and Operational Risk Committees,
the implementation of corporate management tools, the training of both control teams (Risk Control
Assurer and Risk Control Specialist), coordination for updating the risk map according to the
established methodology and monitoring of mitigation plans.
In connection with qualitative management, the Support Tool for Operational Risk Management
(STORM tool) makes it possible to record the operational risks identified by associating them with a
taxonomy of processes and their quantification, as well as recording the evaluation periodical
controls associated with critical risks. In 2020, risks and controls are being updated, maintaining the
DRAFT
validity of the model.
In addition, there is a database, Integrated Operational Risk System (SIRO), which includes all
operational risk events that represent a loss for the BBVA Peru Group, is the fundamental
quantitative tool for risk management operational.
The Bank is authorized to use the alternative standard method for calculating the effective equity
requirement for operational risk, which allows it to optimize the regulatory capital requirement for
operational risk management.
The effective equity requirement for operational risk based on the alternative standard method as of
December 31, 2020 amounts to S/ 542 million (S/ 502 million as of December 31, 2019) and for
EDPYME based on the basic indicator method as of December 31, 2020 amounts to S/ 7 million
(S/ 6 million as of December 31, 2019).
Among the relevant initiatives carried out during 2020, the strengthening of the Bank's internal
control scheme stands out through the provision of a greater structure and work methodologies,
which has allowed the implementation of the two lines of defense in the internal control through
the roles of Risk Control Assurer and Risk Control Specialist mentioned. Likewise, the bank has
been working on implementing a new tool, which will support operational risk management.
The business continuity team has conducted actions to assure the business continuity during
national state of emergency, including people management and remote working.
327

30. Fair Value

Fair value is the amount for which an asset could be exchanged, or a liability settled, between
knowledgeable, willing parties in an arm’s length transaction.
In cases where the listed value is not available, the fair value is estimated based on the listed value
of a financial instrument with similar characteristics, the present value of the expected cash flows
or other valuation techniques; which can be significantly affected by the different assumptions
used.
Despite the fact that Management uses its best criteria in estimating the fair value of its financial
instruments, there are inherent weaknesses in any valuation technique. As a consequence, the fair
value may not be a rough estimate of the net realizable value or the liquidation value.
Regarding the methodology and assumptions used in estimating the fair value of the BBVA Peru
Group's financial instruments, the following should be considered:
Financial instruments whose fair value is similar to the carrying amount:

This assumption applies for those assets and liabilities with current maturity, with variable interest
rate and those whose fair value correspond to the carrying amount according to the SBS Official
Letter 43078-2014-SBS.
Financial instruments at fixed rate

The methodology of future flows projection discounted at market interest rates is used, for
instruments with similar characteristics.
Financial instruments measured at fair value

The fair value hierarchy categorizes into 3 levels the inputs to valuation techniques used to measure
fair value:
▪ Level 1: For instruments quoted in active markets, the fair value is determined by the price
observed in those markets; and for instruments whose market price is not available but that
of its components is, the fair value will be determined based on the relevant market prices of
such components.
▪ Level 2: For instruments quoted in non-active markets, fair value is determined by using a
valuation technique or model that mostly uses market data and minimizes the use of data
provided by the Bank.
▪ Level 3: For unquoted instruments, fair value is determined using valuation techniques or
models.
The fair value of held for trading and investments available-for-sale has been determined based on
their market prices or the quotations of the underlying assets (sovereign risk rates) on the date of
the consolidated financial statements.
The fair value of derivative financial instruments is determined using valuation techniques.
328

Carrying amount and fair value of financial assets and financial liabilities
Taking into account the fair value considerations and the Official Letter 43078-2014- SBS, in which
the SBS determined that the fair value corresponds to the carrying amount of loans and deposits, as
of December 31, 2020 and 2019, the carrying amount and fair value of financial assets and financial
liabilities are presented as follows:
Carrying amount Fair value
In thousands of soles 2020 2019 2020 2019

Assets
Cash and due from banks 24,954,267 14,816,709 24,954,267 14,816,709
Interbank funds 137,599 150,137 137,599 150,137
Investments at fair value through profit or loss and
investments available-for-sale 11,421,340 6,639,844 11,421,340 6,639,844
Loan portfolio, net 66,593,761 56,398,279 66,593,761 56,398,279
Accounts receivable 44,614 41,933 44,614 41,933
Other assets 889,508 1,209,497 889,508 1,209,497
105,043,038 79,828,696 105,043,038 79,828,696
Liabilities
Obligations to the public and deposits from financial system
entities 72,212,597 56,159,283 72,212,597 56,159,283
Interbank funds 72,421 150,016 72,421 150,016
Borrowings and financial obligations 7,053,718 9,678,796 7,035,674 9,696,271
Accounts payable 16,031,775 4,213,820 16,031,775 4,213,820
96,261,539 70,712,626 96,243,495 70,730,101
329

Assets and liabilities recorded at fair value based on the hierarchy level are recorded as follows:
Financial instruments recorded at fair value and value hierarchy
2020 2019
In thousands of soles Fair value Level 1 Level 2 Level 3 Fair value Level 1 Level 2 Level 3
Assets
Debt instruments 4,679,056 296,595 4,382,461 - 2,669,123 182,149 2,486,974 -
Debt instruments 6,675,067 2,570,885 4,104,182 - 3,915,562 1,076,078 2,839,484 -
12,428,521 2,939,929 9,488,592 - 7,210,260 1,311,505 5,898,755 -
Liabilities
Borrowings and financial obligations 3,032,280 - 3,032,280 - 3,882,575 - 3,882,575 -
3,923,308 - 3,923,308 - 4,393,286 - 4,393,286 -
330

Description of the valuation techniques for instruments recorded at fair value
bIVW
Level 2 Valuation techniques/ Hypothesis Main inputs used
Fixed and variable rate Fixed rate: Present value of cash flows from bonds (coupons and face value): ▪ Fixed rate: Bonds details (coupon rate, coupons
payment frequency, face value)
Yield to Maturity (YTM): Obtained from operations
These cash flows are discounted at yield to maturity (YTM) traded in Datatec in such a way that the transaction
Variable rate: The closing price taken is the one consigned in a public source of is greater than or equal to S/ 2 million (internally
information (Price Vendors). The Bank does not have trading portfolio of variable rate. defined condition).
▪ Variable rate: closing price of Bloomberg, Reuter or
the website of the BVL.
Derivatives (a) Forwards, Calculation of the present value of each of the components of the derivative (fixed / ▪ Forward points
cross-currency variable) considering market interest rates and converting it to soles with the exchange ▪ Fixed vs variable price
swaps rate of the day, if necessary. The following are taken into account: variable flows (if any), ▪ Exchange rate at closure
contracts and the projection of flows, the discount curves for each underlying and the current market ▪ Market interest rate curves
cross currency interest rates.
swaps
(b) Options For options on shares, currency and raw materials Derivatives on shares, currency and raw materials
The hypothesis derived from the use of the Black-Scholes model takes into account the ▪ Forward structure of the underlying
possible adjustments to convexity. ▪ Changes in options
▪ Observable correlations between underlying
For derivatives on interest rates: Derivatives on interest rates:
The hypothesis derived from the use of the Black-Scholes assumes a lognormal process ▪ Maturity structure of interest type curve
of forward rates and model takes into account the possible adjustments to convexity. ▪ Significant inputs used por main inputs
331

31. Subsequent Events

The Bank is not aware of any subsequent event occurring between the closing date and the issuing
date of these consolidated financial statements that may affect it significantly.
As described in note 1.B, the Peruvian government issued various COVID-19 supreme and
emergency decrees in the year 2020. Likewise, on January 13, 2021, the Peruvian government
implemented various restrictive measures to prevent the spread of COVID-19, including extending
confinement in “extreme risk” regions until the end of February 2021 and the State of Emergency
until September 2, 2021. In this sense, management conducts a continuous monitoring of the
Peruvian Government measures.
On January 13, 2021, the Bank was authorized through SBS Resolution 00120-2021 to the
contracting of a redeemable subordinated loan for up to US$ 200 million computable in the Level 2
Cash Equity, in accordance with the provisions of the aforementioned resolution.
332
6.5. Additional information
6.5.1. General data
Business name Banco BBVA Perú

RUC 20100130204
Direction Av. República de Panamá 3055, San Isidro, Lima
Telephone 209-1000
Constitution and corporate purpose

GRI 102-5
Banco BBVA Peru, whose abbreviated name is BBVA, was incorporated by public deed of
August 20, 1951, granted by the notary of Dr. Ricardo Ortiz de Zevallos, and began
operations on October 9 of the same year.
The new corporate name adopted was approved at the mandatory annual shareholders’
meeting held on March 27, 2019, for which purpose a partial modification of its bylaws
was made, the same that is registered in entry No. B00025 of Item No. 11014915 of the
Registry of Legal Persons of Lima.
The Bank is registered in entry 1, page 109, of volume 118 of Companies of the Lima
Mercantile Registry, and its continuation in file No. 117639 and heading No. 11014915 of
the Lima Registry of Legal Persons. Its duration is indefinite and its corporate purpose is
to engage in all banking activities permitted by law.
Its main office is located in the city of Lima, district of San Isidro, to which there are 320
agencies nationwide.
List of legal persons that make up the economic group
Banco BBVA Peru is part of the economic group of BBVA (Banco Bilbao Vizcaya
Argentaria). At the close of the fiscal year 2020, the bank has the following subsidiaries
and investees:
Company Inscription RPVM Activity
Banco BBVA Perú – BBVA 02-921015 Bank

BBVA Bolsa Sociedad Agente de Bolsa S. A. – BBVA SAB 03-970067 Stock broker company
BBVA Asset Management S. A. Mutual fund management company
Sociedad Administradora de Fondos – BBVA SAF 04-972020
BBVA Sociedad Titulizadora S. A. – BBVA Titulizadora T-00004-RPJ Securitization company
Inmuebles y Recuperaciones BBVA S. A. – IRBSA — Real estate company and general services
Comercializadora Corporativa S. A. C. – COMCORP SAC — Financial products trading company
BBVA Consumer Finance Edpyme — Edpyme
Forum Comercializadora del Perú S. A. — Vehicle and insurance marketing company
Forum Distribuidora del Perú S. A. A. — Vehicle and insurance marketing company
It is important to note that BBVA Peru Holding SAC and Holding Continental SA, whose
shares are not registered in the Public Registry of the Stock Market (RPMV), are the
majority shareholders of Banco BBVA Peru.
Subscribed and paid capital as of 12/31/2020
The subscribed and paid capital of Banco BBVA Peru is S/ 6,529,169,237.00 represented
in the same number of common capital shares with voting rights, with a nominal value of
S/ 1.00 (one sol and 00/100) each.
333
Modifications during 2020
On May 11, 2020, the company's annual mandatory shareholders’ meeting approved the
capitalization of profits, in the amount of S/ 643,959,860.00.
The representative shares of the capital stock are dematerialized and represented by
book entries in the name of each holder. During 2020, there have been no changes in
Peruvian regulations that affect the capital stock of Banco BBVA Peru.
To date, the Breca Group maintains the entire shareholding in Holding Continental SA, as
well as the ownership of 46.12% of the shares representing the Bank’s capital stock.
Similarly, BBVA Peru Holding SAC, a company fully controlled by the BBVA Group, holds
46.12% of the shares representing Banco BBVA Peru's capital stock.
Incorporation of subsidiaries
Main shareholders as of December 31, 2020
Participation
Shareholders Country Shares percentage Range
BBVA Perú Holding S. A. C. Peru 3,011,352,000 46.12% More than 10%

Holding Continental S. A. Peru 3,011,352,000 46.12% More than 10%
Others Peru 105,070,876 1.61% Between 1% and 5%
Others Several 401,394,361 6.15% Less than 1%
Total 6,529,169,237 100.00%
Holding of shares
Number of Participation
Holding of shares shareholders percentage
More than 10% 2 92.24%

Between 5% and 10% — 0.00%
Between 1% and 5% 1 1.61%
Less than 1% 8,048 6.15%
Total 8,051 100.00%
6.5.2. Description of operations and development

Banco BBVA Peru is a private law entity, authorized to operate by the SBS, following Law
No. 26702, General Law of the Financial System and the Insurance System and Organic
Law of the Superintendency of Banking and Insurance, which establishes the framework
of regulation and supervision to which companies operating in the financial and insurance
system are subject.
CIUU 6519
Term of duration Undefined
Evolution of operations
The Bank was created in 1951, under the corporate name of Banco Continental. In 1970
he joined the associated bank (nationalized). During the second quarter of 1995, its
privatization was implemented, the winning consortium in the auction being the Spanish
group Banco Bilbao Vizcaya (BBVA) and the Brescia Group, of Peruvian origin, through
Holding Continental SA In July of In 1998, the State transferred the rest of its shares,
equivalent to 19.12%, under the Public Offering of Securities mechanism.
334
At the shareholders' meeting held on March 31, 2011, it was agreed to modify Article 1 of
the bylaws to change the name of the Bank to BBVA Banco Continental, and it may also
be identified with the abbreviated name BBVA Continental. Subsequently, at the
shareholders' meeting held on March 27, 2019, its corporate name was changed to Banco
BBVA Peru, in response to the deployment of a global corporate project aimed at
changing the image of the companies that are members of the BBVA Group.
Currently, the Bank’s main shareholders are BBVA Peru Holding SAC and Holding
Continental SA, companies each holding 46.12% of the Bank's shares.
Company personnel as of December 31, 2020
Personnel BBVA BBVA and subsidiaries
Executives 92 94
Officials and specialists 4,365 4,311
Administratives 1,509 1,605
Total 5,966 6,010
Variation 2019-2020 (%) –3.46% –3.47%
Variation 2018-2019 (%) 2.86% 2.89%
6.5.3. Judicial, administrative or

arbitration proceedings
Banco BBVA Peru and subsidiaries participate in legal processes of various kinds. In the
opinion of management, none of these affect or would affect the normal development of
its activities and businesses.
6.5.4. Management
Brief profile of the board members
GRI 102-23
Alex Fort Brescia, Columbia University. Bachelor of Economics from Williams College. He
has been a director of Banco BBVA Peru since May 1995 and assumed the position of
chairman of the board of directors in June 2013. He has 25 years of experience in banking.
Chairman of the board of Rímac Seguros. Vice President of Minsur, Compañía Minera
Raura, of the real estate companies of Grupo Breca and the Peruvian Chemical Products
Corporation. Director of TASA, Melón, Intursa and Cumbres Andinas. Marcobre’s
controlling shareholder.
Pedro Brescia Moreyra, first vice president of the board of directors. Bachelor of
Economics with a specialization in Business Administration from Boston University. He
has held the position of director of Banco BBVA Peru since May 1995. He has 25 years of
experience in banking. Co-president of Breca. Chairman of the board of the Peruvian
Chemical Products Corporation, the real estate companies of Breca and Intursa. Vice
Chairman of the board of Rímac and Banco BBVA Perú. Board member of Minsur, TASA,
Melón, Raura and Cumbres Andinas. Marcobre’s controlling shareholder.
Ignacio Javier Lacasta Casado, second vice president. Master in Finance, Banking and
Insurance from the Institute of European Finance, University of Wales, United Kingdom.
Degree in Economics and Business Administration from the University of Deusto, Spain.
He has held the position since January 2013. He has been Director of Emissions and
Asset Management, Director of Retail Banking, Country Manager of BBVA Chile and
Director of Business for Mexico and South America in the BBVA Group.
Fernando Eguiluz Lozano, Managing Director. International Executive Master in

Business Administration from the Adolfo Ibáñez University (Miami/Chile) Deusto
Business School, Spain. Master in Business Administration from the Pan-American
Institute of Senior Business Management. Industrial and Systems Engineer from the
Instituto Tecnológico y de Estudios Superiores de Monterrey, Mexico. He has held the
position since July 2019. He began his career in the BBVA Group as Deputy Director of
335
Corporate Banking, Director of Capital Markets and Structured Operations, Businesses
Collection, Business Banking, Business Development, among other management
positions at BBVA Bancomer SA.
Fortunato Brescia Moreyra, director. Bachelor of Engineering from the Colorado School
of Mines. He has held the position of director of Banco BBVA Peru since June 2013.
Member of the board of directors of Breca. Chairman of the board of Minsur, Raura and
Cumbres Andinas. Vice President of the board of TASA. Member of the board of directors
of the real estate companies of Breca, Rímac, Melón, Intursa and Corporación Peruana de
Productos Químicos. Marcobre’s controlling shareholder.
Mario Brescia Moreyra, director. Business Administrator from Ricardo Palma University.
He has held the position of director of Banco BBVA Peru since March 1997. Member of the
board of directors of Breca. Chairman of the board of TASA. Vice President of Intursa y
Melón. Member of the board of directors of Rímac Seguros, of the real estate companies
of Breca, Minsur, Raura, Corporación Peruana de Productos Químicos and Cumbres
Andinas. Marcobre's controlling shareholder.
Jose Ignacio Merino Martin, director. Graduate in Business Sciences, UPV-EHU. He has
held the position of director of Banco BBVA Peru since April 2016. He was director of
Risks of the South America Business area at BBVA. He was also director of Retail Banking
Risks in Spain and director of Credit Risk Monitoring at BBVA, director of Internal Audit of
International Retail Banking and Director of Internal Audit at BBVA Bancomer – Mexico,
among others. Also, he is a member of the board of directors of BBVA Previsión AFP
(pensions) in Bolivia.
Javier Marín Estévez, director. Law degree from the University of Deusto, Bilbao. He held
the position from April 2016 to May 2020. He was CEO of BBVA Switzerland and CEO of
AFP (pensions) Horizonte of the BBVA Group. He was also Deputy General Director of
BBVA Banco Continental (today Banco BBVA Peru).
Rafael Varela Martínez, director. Degree in Economics and Business Administration from
the University of Deusto and an International MBA from IE Business School. He has held
the position since May 2020. He has been CFO of the BBVA Group in Chile, CEO of BBVA
Puerto Rico, CFO of the Spain and Portugal area, Director of the Institutional Banking
Business. Also, he was BBVA Country Manager in France, BBVA America Wholesale
Banking Business Development Director, BBVA Financial Management Director, BBVA
Strategic Planning Manager and BBVA Capital Markets Manager.
José Carlos López Álvarez, director. Studies in Economic Sciences at the University of
Barcelona. He has held the position since June 2018. He has been a member of the
Spanish Chamber of Commerce in Argentina and a counselor of the Miguel de
Cervantes Spanish School in Brazil. He has been corporate director of the BBVA Group,
director of BBVA Real Estate (Spain), deputy director to the president at BBVA Francés,
Argentina, and vice president of Risks and financial director at BBVA Brazil, among
other positions.
Independent directors
José Manuel Rodríguez-Novás Sánchez-Diezma, director. Master's Degree in

Agricultural Industry Engineering from the Higher Department of Agricultural Engineers
and MBA from IESE, University of Navarra. He has held the position since May 2020. Until
2014, he held management positions for the BBVA Group as director of Global Client
Coverage, CIB Latin-America and Corporate Clients Latin-America at BBVA USA; Director
of Corporate Development, Corporate Finance and CFO for BBVA Spain. He has been a
member of the board of directors of the USA-Spain Chamber of Commerce, among
others.
Ismael Alberto Benavides Ferreyros, director. Master in Finance and Agricultural

Engineer from the University of California, Berkeley. He has held the position since March
2018. He has been general manager of Banco Internacional del Perú – Interbank, director
of the Inter-American Finance Bank - BanBif and president of the Association of Banks of
Peru – ASBANC. Also, he has been Minister of Economy and Finance, Agriculture and
336
Fisheries, director of the BCRP and general manager of Corporación Financiera de
Desarrollo - Cofide, among other senior positions.
Brief profile of the managers who are members of the Managing Committee
Fernando Eguiluz Lozano, General manager. Industrial and Systems Engineer. He was
appointed general manager in July 2019.
Javier Balbín Buckley, Manager of the Corporate & Investment Banking area. Economist.
He held the position from July 2013 to February 2020.
Frank Erick Babarczy Rodríguez, Manager of the Corporate & Investment Banking area.
Lawyer, MBA. He has held the position since March 2020.
Gustavo Delgado-Aparicio Labarthe, Manager of the Corporate and Business Banking

area. Economist. He has held the position since July 2013.
Gonzalo Camargo Cárdenas, Manager of the Client Solutions area. Economist. He held
the position from July 2013 to February 2020.
Luis Morales Espinosa, Manager of the Client Solutions area. Industrial Engineer. He has
held the position since March 2020.
Marco Antonio Galdo Marin, Manager of the Retail Banking area. Economist. He has held
the position since January 2019.
Ignacio Fernández Palomero Morales, Manager of the Finance area. Economist. He has
held the position since March 2017.
Ruth Anabelí González Velapatiño, Manager of Legal Services. A lawyer. Master in Law.
He has held the position since July 2019.
Sandra Bianco Roa, manager of the Talent and Culture area. Economist. He has held the
position since August 2018.
Guadalupe Pérez Suárez, Manager of the Engineering area. Degree in Systems and
Informatics. He has held the position since May 2014.
Vicente Puig Payá, Manager of the Risk area. Degree in Law. He was appointed Risk
Manager in September 2019.
Enrique Medina García, Manager of the Transformation and Data area. Certificate in
human resources. He has held the position since December 2019.
Walter Borra Núñez, auditor general. Master in Financial Engineering. Certificate in

Human Resources. He has held the position since January 2010. He participates in the
Management Committee as a guest.
Degree of bonding
GRI 102-23
The directors Pedro Brescia Moreyra, Mario Brescia Moreyra and Fortunato Brescia
Moreyra have collateral blood relationship in the second degree.
The director Alex Fort Brescia has a collateral blood relationship in the fourth degree with
the directors Pedro Brescia Moreyra, Fortunato Brescia Moreyra and Mario Brescia
Moreyra.
On the other hand, the directors Alex Fort Brescia, Pedro Brescia Moreyra, Mario
Brescia Moreyra and Fortunato Brescia Moreyra are, at the same time, directors of
Holding Continental SA, a shareholder that owns 46.12% of the shares of Banco BBVA
Peru.
337
Committees
GRI 102-24
The board of directors constituted a delegated committee called the Appointments,
Remuneration and Talent Management Committee. Its main function is to ensure that the
design and implementation of the Bank's remuneration system are aligned with its
business strategy, its risk appetite, its policies and its financial soundness. This
committee is made up of the general managing director and three directors.
For its part, the Audit Committee is made up of three directors and its main function is to
oversee the proper functioning of the internal control system and to keep the board
informed of compliance with internal policies and procedures.
The Compliance Committee also made up of three directors, is in charge of supervising

the implementation of compliance policies, approving, modifying and ensuring
compliance with anti-corruption policies, as well as the annual evaluation of the
effectiveness of risk management. compliance.
The Comprehensive Risk Committee, made up of the managing director, two directors
and the deputy general manager of the Risk area, is the body in charge of determining the
decisions that affect the significant risks to which the company is exposed.
Finally, the Corporate Governance Committee has been set up, made up of four directors
and in charge of supervising corporate governance policies and practices, as well as
proposing improvements to them.
6.5.5. Financial information and financial statements

Details related to the analysis and discussion of management about the results of
operations and the economic-financial situation, as well as the financial statements, are
shown and discussed in the sections: Management report and audited financial
statements 2020.
Changes in those responsible for preparing and reviewing financial information
During 2020 there have been no changes in the areas responsible for developing and
preparing the financial information of Banco BBVA Peru.
6.5.6. Information related to the stock market

Behavior and operations of the company's securities
During the fiscal year 2020, 68,946,504 shares were traded on the Lima Stock Exchange
for an amount of S/ 165,157,513.27 in 3,110 operations. Statistics of the price and
movement of purchase and sale during the said year are attached.
The registration date of the right to cash dividends of S/ 0.09574253 per share was
06.04.2020. The registration date with the right to the shares released for
10.94200425% was 10.29.2020.
338
Evolution of common shares – Equities
Number Negotiated Number Quotes (Soles)

of amount of
ISIN Code Mnemonic Year-month operations (S/) assets Opening Closing Maximum Minimum Average
PEP116001004 BBVAC1 2020-01 182 19,546,849 4,992,303 3.39 3.85 3.90 3.68 3.80
PEP116001004 BBVAC1 2020-02 202 24,638,444 6,018,471 3.40 3.88 3.95 3.70 3.79
PEP116001004 BBVAC1 2020-03 286 12,158,011 18,138,013 3.30 3.99 4.04 3.86 3.93
PEP116001004 BBVAC1 2020-04 187 5,263,654 4,065,824 2.35 3.82 4.13 3.80 3.91
PEP116001004 BBVAC1 2020-05 257 17,199,098 21,196,454 2.39 3.64 3.90 3.60 3.72
PEP116001004 BBVAC1 2020-06 225 36,636,723 6,989,669 2.67 3.74 3.80 3.64 3.70
PEP116001004 BBVAC1 2020-07 275 10,360,459 25,681,368 2.68 3.33 3.75 3.31 3.46
PEP116001004 BBVAC1 2020-08 219 5,618,496 3,212,699 2.47 3.25 3.35 3.21 3.25
PEP116001004 BBVAC1 2020-09 219 4,562,312 5,322,134 2.38 3.24 3.38 3.23 3.28
PEP116001004 BBVAC1 2020-10 231 16,665,596 5,238,810 2.42 3.50 3.52 3.20 3.26
PEP116001004 BBVAC1 2020-11 421 6,133,620 44,577,470 2.05 3.36 3.50 3.30 3.41
PEP116001004 BBVAC1 2020-12 406 3,580,203 19,724,298 2.30 3.43 3.55 3.35 3.40
3,110 162,363,465 165,157,513
Direct and indirect shareholding in other companies

as of 12/31/2020
Institution Participation
BBVA SAB 100%

BBVA SAF 100%
BBVA Titulizadora 100%
BBVA Consumer Finance EDPYME 100%
Forum Comercializadora del Perú S. A. 100%
Forum Distribuidora del Perú S. A. 100%
Inmuebles y Recuperaciones BBVA S. A. 100%
339
Values in circulation registered in the Public Registry of the Stock Market
a) Certificates of deposits
Third program of deposit certificates
Characteristic First issuance Third issuance
Serie A TO
Class Nominatives Nominatives
Authorized amount PEN 425,000,000 PEN 425,000,000
Amount placed PEN 50,520,000 PEN 150,000,000
Representation Account entry Account entry
Term 360 days 360 days
Date of issuance 22-Apr-16 18-Oct-19
Redemption date 17-Apr-17 12-Oct-20
Interest rate 5.78512% annual nominal 3,3258% annual nominal
Auction type Dutch by rate Dutch by rate
Loan price 94.5313% 96.78125%
Interest payment Zero coupon Zero coupon
Amortization To the expiration To the expiration

Amount demanded PEN 82,490,000 PEN 256,650,000
Demand / Offer 1.63x 1.71x
Outstanding balance as of 12/31/2020 Expired Expired
Quotes
Continuous market
Mnemonic Year-month Currency Opening Closing Maximum Minimum Average

% % % % price %
BBVA3CD3A 2019-11 PEN 97.0066 97.0066 97.0066 97.0066 97.0066
340
b) Corporate bonds
Fourth program of deposit certificates
Characteristic First issuance Second issuance Third issuance
Serie Once A A
Class Nominatives Nominatives Nominatives
Authorized amount PEN 40,000,000 PEN 80,000,000 PEN 100,000,000
Amount placed PEN 40,000,000 PEN 80,000,000 PEN 100,000,000
Representation Account entry Account entry Account entry
Term 10 years - No Call Option 10 years - No Call Option 7 years - No Call Option
Date of issuance 13-Aug-10 25-Aug-10 18-Aug-11
Redemption date 13-Aug-20 25-Aug-20 18-Aug-18
Interest rate 7.1875% 7.21875% 7.1250%
Auction type Dutch by rate Dutch by rate Dutch by rate
Loan price 100% 100% 100%
Interest payment Semi-Annual Coupon Semi-Annual Coupon Semi-Annual Coupon
1 13-Feb-11 25-Feb-11 18-Feb-12
2 13-Aug-11 25-Aug-11 18-Aug-12
3 13-Feb-12 25-Feb-12 18-Feb-13
4 13-Aug-12 25-Aug-12 18-Aug-13
5 13-Feb-13 25-Feb-13 18-Feb-14
6 13-Aug-13 25-Aug-13 18-Aug-14
7 13-Feb-14 25-Feb-14 18-Feb-15
8 13-Aug-14 25-Aug-14 18-Aug-15
9 13-Feb-15 25-Feb-15 18-Feb-16
10 13-Aug-15 25-Aug-15 18-Aug-16
11 13-Feb-16 25-Feb-16 18-Feb-17
12 13-Aug-16 25-Aug-16 18-Aug-17
13 13-Feb-17 25-Feb-17 18-Feb-18
14 13-Aug-17 25-Aug-17 18-Aug-18
15 13-Feb-18 25-Feb-18
16 13-Aug-18 25-Aug-18
17 13-Feb-19 25-Feb-19
18 13-Aug-19 25-Aug-19
19 13-Feb-20 25-Feb-20
20 13-Aug-20 25-aug-20
Amortization To the expiration To the expiration To the expiration
Amount demanded PEN 115,895,000 PEN 96,150,000 PEN 202,695,000
Demand / Offer 2.90x 1.20x 2.03x
Outstanding balance
as of 12/31/2020 Expired Expired Expired
341
Quotes
Continuous market

% % % % price %
BBVA4BC2A 2019-05 PEN 103.5000 103.5000 103.5000 103.5000 103.5000

BBVA4BC1U 2019-07 PEN 103.2639 103.2639 103.2639 103.2639 103.2639
BBVA4BC2A 2019-12 PEN 102.8367 102.8367 102.8367 102.8367 102.8367
Money market

% % % % price %
BBVA4BC1U 2019-02 PEN 103.7367 103.7367 103.7367 103.7367 103.7368

BBVA4BC2A 2019-03 PEN 103.6303 103.6303 103.6303 103.6303 103.6303
BBVA4BC1U 2019-07 PEN 103.4559 103.4559 103.4559 103.4559 103.4559
BBVA4BC2A 2019-07 PEN 103.0363 104.1500 104.1500 103.0363 103.6106
BBVA4BC1U 2019-08 PEN 103.1161 103.1161 103.1161 103.1161 103.1161
BBVA4BC1U 2019-09 PEN 102.9947 102.9947 102.9947 102.9947 102.9948
BBVA4BC2A 2019-09 PEN 102.6955 102.6955 102.6955 102.6955 102.6956
BBVA4BC2A 2019-10 PEN 103.0171 103.0171 103.0171 103.0171 103.0171
BBVA4BC2A 2019-11 PEN 103.0186 103.0186 103.0186 103.0186 103.0186
BBVA4BC1U 2019-12 PEN 102.4525 102.4525 102.4525 102.4525 102.4525
342
Fifth corporate bond program
Characteristic First Issuance Second Issuance Fifth Issuance Sixth Issuance
Serie A A Once A
Class Nominative Nominative Nominative Nominative
Authorized amount PEN 50,000,000 PEN 100,000,000 PEN 200,000,000 USD 60,000,000
expandable to expandable to
PEN 150,000,000 USD 80,000,000
Amount placed PEN 50,000,000 PEN 150,000,000 PEN 200,000,000 USD 54,000,000
Representation Account entry Account entry Account entry Account entry
Term 5 years - No Call Option 15 years - No Call Option 7 years - No Call Option 4 years - No Call Option
Date of issuance 19-Dec-11 19-Dec-11 19-Apr-12 05-Jul-12
Redemption date 19-Dec-16 19-Dec-26 19-Apr-19 05-Jul-16
Interest rate 6.0000% 7.46875% 5.81250% 4.68750%
Sovereign spread 124 bps 132 bps 70 bps 282 bps
Auction type Dutch by rate Dutch by rate Dutch by rate Dutch by rate
Placement price 100% 100% 100% 100%
Interest payment Semi-Annual Coupon Semi-Annual Coupon Semi-Annual Coupon Semi-Annual Coupon
1 19-Jun-12 19-Jun-12 19-Oct-12 05-Jan-13
2 19-Dec-12 19-Dec-12 19-Apr-13 05-Jul-13
3 19-Jun-13 19-Jun-13 19-Oct-13 05-Jan-14
4 19-Dec-13 19-Dec-13 19-Apr-14 05-Jul-14
5 19-Jun-14 19-Jun-14 19-Oct-14 05-Jan-15
6 19-Dec-14 19-Dec-14 19-Apr-15 05-Jul-15
7 19-Jun-15 19-Jun-15 19-Oct-15 05-Jan-16
8 19-Dec-15 19-Dec-15 19-Apr-16 05-Jul-16
9 19-Jun-16 19-Jun-16 19-Oct-16
10 19-Dec-16 19-Dec-16 19-Apr-17
11 19-Jun-17 19-Oct-17
12 19-Dec-17 19-Apr-18
13 19-Jun-18 19-Oct-18
14 19-Dec-18 19-Apr-19
15 19-Jun-19
16 19-Dec-19
17 19-Jun-20
18 19-Dec-20
19 19-Jun-21
20 19-Dec-21
21 19-Jun-22
22 19-Dec-22
23 19-Jun-23
24 19-Dec-23
25 19-Jun-24
26 19-Dec-24
27 19-Jun-25
28 19-Dec-25
29 19-Jun-26
30 19-Dec-26
Amortization To the expiration To the expiration To the expiration To the expiration
Amount demanded PEN 141,570,000 PEN 249,410,000 PEN 427,895,000 USD 103,670,000
Demand / Offer 2.83x 1.66x 2.14x 1.92x
Balance outstanding
as of 31.12.2020 Expired PEN 150,000,000 Expired Expired
343
Quotes
Continuous market

% % % % price %
BBVA5BC2A 2019-01 PEN 104.7183 104.7183 104.7183 104.7183 104.7183
Money market

% % % % price %
BBVA5BC2A 2019-01 PEN 107.5419 107.5419 107.5419 107.5419 107.5419

BBVA5BC5U 2019-01 PEN 100.4203 100.4203 100.4203 100.4203 100.4203
BBVA5BC2A 2019-02 PEN 108.0907 106.8309 108.0907 106.8309 106.8434
BBVA5BC5U 2019-02 PEN 100.1576 100.1576 100.1576 100.1576 100.1576
BBVA5BC2A 2019-03 PEN 110.0451 110.0451 110.0451 110.0451 110.0451
344
Sixth corporate bond program
Characteristic First Issuance First Issuance Second Issuance Third Issuance
Serie A B A A
Authorized amount PEN 400,000,000 PEN 400,000,000 PEN 600,000,000 PEN 430,000,000
Amount placed PEN 150,000,000 PEN 100,000,000 PEN 150,000,000 PEN 350,000,000
Date of issuance 15-Apr-16 22-Apr-16 30-Jun-16 08-Nov-17
Redemption date 15-Apr-19 22-Apr-19 30-Jun-21 08-Nov-20
Interest rate 6.1875% 6.18750% 6.28125% 4.78125%
Sovereign spread 104 bps 110 bps 95 bps 97 bps
1 15-Oct-16 22-Oct-16 30-Dec-16 08-May-18
2 15-Apr-17 22-Apr-17 30-Jun-17 08-Nov-18
3 15-Oct-17 22-Oct-17 30-Dec-17 08-May-19
4 15-Apr-18 22-Apr-18 30-Jun-18 08-Nov-19
5 15-Oct-18 22-Oct-18 30-Dec-18 08-May-20
6 15-Apr-19 22-Apr-19 30-Jun-19 08-Nov-20
7 30-Dec-19
8 30-Jun-20
9 30-Dec-20
10 30-Jun-21
Amount demanded PEN 230,625,000 PEN 164,750,000 PEN 287,195,000 PEN 595,910,000
Balance outstanding
as of 31.12.2020 Expired Expired PEN 150,000,000 Expired
Quotes
Continuous market

% % % % price %
BBVA6BC3A 2019-03 PEN 100.2300 100.2300 100.2300 100.2300 100.2300

BBVA6BC3A 2019-04 PEN 100.3608 100.3608 100.3608 100.3608 100.3608
BBVA6BC3A 2019-05 PEN 100.6226 100.6226 100.6226 100.6226 100.6226
Money market

% % % % price %
BBVA6BC3A 2019-01 PEN 99.7699 99.8401 99.8401 99.7570 99.7975

BBVA6BC3A 2019-02 PEN 99.5000 100.0037 100.0037 99.5000 99.9707
BBVA6BC3A 2019-06 PEN 100.8050 100.8050 100.8050 100.8050 100.8050
BBVA6BC3A 2019-07 PEN 101.6599 101.3015 101.6599 101.3015 101.5106
BBVA6BC3A 2019-08 PEN 101.0627 101.0627 101.0627 101.0627 101.0627
BBVA6BC3A 2019-10 PEN 100.8150 100.8150 100.8150 100.8150 100.8150
BBVA6BC3A 2019-11 PEN 100.6200 100.6200 100.6200 100.6200 100.6200
345
Seventh corporate bond program
Characteristic First Issuance First Issuance Second Issuance Second Issuance First Issuance First Issuance First Issuance First Issuance Second Issuance
Serie A B A B C D E F C
Class Nominative Nominative Nominative Nominative Nominative Nominative Nominative Nominative Nominative
Authorized amount USD 1,000,000,000,000 USD 1,000,000,000,000 USD 1,000,000,000,000 USD 1,000,000,000,000 USD 1,000,000,000,000 USD 1,000,000,000,000 USD 1,000,000,000,000 USD 1,000,000,000,000 USD 1,000,000,000,000
Amount placed PEN 132,425,000 PEN 69,435,000 PEN 100,000,000 PEN 73,465,000 PEN 70,000,000 PEN 120,000,000 PEN 65,520,000 PEN 150,000,000 PEN 96,550,000
Representation Account entry Account entry Account entry Account entry Account entry Account entry Account entry Account entry Account entry
Term 3 years - No Call Option 3 years - No Call Option 5 years - No Call Option 5 years - No Call Option 3 years - No Call Option 3 years - No Call Option 3 years - No Call Option 3 years - No Call Option 5 years - No Call Option
Date of issuance 01-Jun-18 13-Jun-18 11-Jul-18 15-Aug-18 21-sep-18 04-jul-19 06-aug-19 18-oct-19 06-dec-19
Redemption date 01-Jun-21 13-Jun-21 11-Jul-23 15-Aug-23 21-sep-21 04-jul-22 06-aug-22 18-oct-22 06-dec-24
Interest rate 4.4375% 4.50000% 5.53125% 5.62500% 4.78125% 4.31250% 4.09375% 3.90625% 4.43750%
Sovereign spread 114 bps 120 bps 117 bps 120 bps 156 bps 120 bps 142 bps 139 bps 124 bps
Auction type Dutch by rate Dutch by rate Dutch by rate Dutch by rate Dutch by rate Dutch by rate Dutch by rate Dutch by rate Dutch by rate
Placement price 100% 100% 100% 100% 100% 100% 100% 100% 100%
Interest payment Semi-Annual Coupon Semi-Annual Coupon Semi-Annual Coupon Semi-Annual Coupon Semi-Annual Coupon Semi-Annual Coupon Semi-Annual Coupon Semi-Annual Coupon Semi-Annual Coupon
1 01-Dec-18 13-Dec-18 11-Jan-19 15-Feb-19 21-mar-19 04-jan-20 06-feb-20 18-apr-20 06-jun-20
2 01-Jun-19 13-Jun-19 11-Jul-19 15-Aug-19 21-sep-19 04-jul-20 06-aug-20 18-oct-20 06-dec-20
7 11-Jan-22 15-Feb-22 06-jun-23
8 11-Jul-22 15-Aug-22 06-dec-23
9 11-Jan-23 15-Feb-23 06-jun-24
10 11-Jul-23 15-Aug-23 06-dec-24
Amortization To the expiration To the expiration To the expiration To the expiration To the expiration To the expiration To the expiration To the expiration To the expiration
Amount demanded PEN 212,320,000 PEN 130,080,000 PEN 205,275,000 PEN 181,750,000 PEN 115,525,000 PEN 162,200,000 PEN 139,380,000 PEN 183,100,000 PEN 154,550,000
Demand / Offer 1.60x 1.87x 2.05x 2.47x 1.65x 1.35x 2.13x 1.22x 1.60x
Balance outstanding
as of 12/31/2020 PEN 132,425,000 PEN 69,435,000 PEN 100,000,000 PEN 73,465,000 PEN 70,000,000 PEN 120,000,000 PEN 65,520,000 PEN 150,000,000 PEN 96,550,000
346 347
Quotes
Continuous market

% % % % price %
BBVA7BC2A 2019-01 PEN 98.8469 98.8469 98.8469 98.8469 98.8469
Money market

% % % % price %
BBVA7BC2A 2019-01 PEN 99.1508 99.4592 99.7294 98.3908 99.4773

BBVA7BC2A 2019-02 PEN 99.9172 98.4149 99.9172 98.4149 99.6341
BBVA7BC2B 2019-02 PEN 99.7071 99.9012 99.9012 99.7071 99.8751
BBVA7BC2B 2019-03 PEN 101.8205 101.8205 101.8205 101.8205 101.8205
BBVA7BC2A 2019-04 PEN 100.0000 101.9741 101.9741 100.0000 101.7419
BBVA7BC2B 2019-04 PEN 101.2216 102.0072 102.5199 101.2092 101.7193
BBVA7BC1A 2019-06 PEN 96.6856 96.6856 96.6856 96.6856 96.6856
BBVA7BC2B 2019-06 PEN 103.4234 103.4234 103.4234 103.4234 103.4234
BBVA7BC2A 2019-07 PEN 103.6768 103.6768 103.6768 103.6768 103.6768
BBVA7BC2A 2019-08 PEN 104.4595 104.4595 104.4595 104.4595 104.4595
BBVA7BC1A 2019-09 PEN 101.0356 101.0356 101.0356 101.0356 101.0356
BBVA7BC1C 2019-09 PEN 101.8313 101.8313 101.8313 101.8313 101.8313
BBVA7BC2A 2019-09 PEN 105.1335 105.8077 105.8077 105.1335 105.4032
BBVA7BC2A 2019-10 PEN 109.0193 109.0193 109.0193 109.0193 109.0193
BBVA7BC2A 2019-11 PEN 106.5060 103.5458 106.5060 103.5458 104.4170
BBVA7BC2B 2019-11 PEN 106.7340 106.7340 106.7340 106.7340 106.7340
BBVA7BC2A 2019-12 PEN 106.4529 105.6310 106.6881 105.6310 105.8710
348
144A/RegS corporate bonds
Serie Once Once Once

Class Nominative Nominative Nominative
Authorized amount USD 500,000,000 USD 300,000,000 USD 500,000,000
Amount placed USD 500,000,000 USD 300,000,000 USD 500,000,000
Term 10 years - Call Option 3.5 years - Call Option 5 years - Call Option
Date of issuance 29-Aug-12 29-Jan-13 08-Apr-13
Redemption date 26-Aug-22 29-Jul-16 08-Apr-18
Interest rate 5.0000% 2.2500% 3.3760%
Spread over UST 332.5 bps 195.0 bps 265.0 bps
Placement price 100% 100% 99%
Interest payment Semi-Annual Coupon Semi-Annual Coupon Semi-Annual Coupon
1 26-Feb-13 29-Jul-13 08-Oct-13
2 26-Aug-13 29-Jan-14 08-Apr-14
3 26-Feb-14 29-Jul-14 08-Oct-14
4 26-Aug-14 29-Jan-15 08-Apr-15
5 26-Feb-15 29-Jul-15 08-Oct-15
6 26-Aug-15 29-Jan-16 08-Apr-16
7 26-Feb-16 29-Jul-16 08-Oct-16
8 26-Aug-16 08-Apr-17
9 26-Feb-17 08-Oct-17
10 26-Aug-17 08-Apr-18
11 26-Feb-18
12 26-Aug-18
13 26-Feb-19
14 26-Aug-19
15 26-Feb-20
16 26-Aug-20
17 26-Feb-21
18 26-Aug-21
19 26-Feb-22
20 26-Aug-22
Amount demanded USD 7,370,960,000 USD 2,039,820,000 USD 2,947,027,000
Local amount demanded USD 671,500,000 USD 259,750,000 USD 124,000,000
Balance outstanding
as of 12.31.2019 USD 500,000,000 Expired Expired
349
Quotes
First issuance
Money market

% % % % price %
USP16260AA28 2019-01 USD 101.3020 103.3260 103.3260 100.8800 102.2202

USP16260AA28 2019-02 USD 102.9020 103.6110 104.2840 102.9020 103.6186
USP16260AA28 2019-03 USD 103.8030 105.6660 105.6660 103.8030 104.4938
USP16260AA28 2019-04 USD 105.6520 106.2000 106.2570 105.6520 105.9452
USP16260AA28 2019-05 USD 105.9030 106.3440 106.3440 105.6880 106.0260
USP16260AA28 2019-06 USD 106.2570 107.8280 107.8280 105.7640 106.6687
USP16260AA28 2019-07 USD 107.5790 108.0280 108.6330 107.4040 108.0422
USP16260AA28 2019-08 USD 108.1270 109.3260 109.3260 107.7700 108.3242
USP16260AA28 2019-09 USD 108.7500 108.6230 108.8370 108.0000 108.4119
USP16260AA28 2019-10 USD 108.8360 108.7400 108.8600 108.3600 108.6302
USP16260AA28 2019-11 USD 108.3080 108.4680 108.6840 107.8770 108.3496
USP16260AA28 2019-12 USD 108.5310 108.5080 108.8090 107.8610 108.3449
350
c) Subordinated bonds
First subordinated bond program
Serie A A A
Class Nominative Nominative Nominative
Authorized amount PEN 40,000,000 USD 20,000,000 PEN 55,000,000
Amount placed PEN 40,000,000 USD 20,000,000 PEN 55,000,000
Term 15years - Call Option Year 10 20 years - Call Option Year 15 25 years - No Call Option
Date of issuance 07-May-07 14-May-07 18-Jun-07
Redemption date (Call) 07-May-17 14-May-22 —
Redemption date 07-May-22 14-May-27 18-Jun-32
Interest rate 5.85% na set at the beginning 6.00% na set at the beginning VAC + 3.46875%
Auction type Dutch by price Dutch by price Dutch by rate
Placement price 99.250% 99.375% 100.000%
Interest payment Semi-Annual Coupon Semi-Annual Couponl Semi-Annual Coupon
1 07-Nov-07 14-Nov-07 18-Dec-07
2 07-May-08 14-May-08 18-Jun-08
3 07-Nov-08 14-Nov-08 18-Dec-08
4 07-May-09 14-May-09 18-Jun-09
5 07-Nov-09 14-Nov-09 18-Dec-09
6 07-May-10 14-May-10 18-Jun-10
7 07-Nov-10 14-Nov-10 18-Dec-10
8 07-May-11 14-May-11 18-Jun-11
9 07-Nov-11 14-Nov-11 18-Dec-11
10 07-May-12 14-May-12 18-Jun-12
11 07-Nov-12 14-Nov-12 18-Dec-12
12 07-May-13 14-May-13 18-Jun-13
13 07-Nov-13 14-Nov-13 18-Dec-13
14 07-May-14 14-May-14 18-Jun-14
15 07-Nov-14 14-Nov-14 18-Dec-14
16 07-May-15 14-May-15 18-Jun-15
17 07-Nov-15 14-Nov-15 18-Dec-15
18 07-May-16 14-May-16 18-Jun-16
19 07-Nov-16 14-Nov-16 18-Dec-16
20 07-May-17 14-May-17 18-Jun-17
21 14-Nov-17 18-Dec-17
22 14-May-18 18-Jun-18
23 14-Nov-18 18-Dec-18
24 14-May-19 18-Jun-19
25 14-Nov-19 18-Dec-19
26 14-May-20 18-Jun-20
27 14-Nov-20 18-Dec-20
28 14-May-21 18-Jun-21
29 14-Nov-21 18-Dec-21
30 14-May-22 18-Jun-22
31 14-Nov-22 18-Dec-22
32 14-May-23 18-Jun-23
33 14-Nov-23 18-Dec-23
34 14-May-24 18-Jun-24
35 14-Nov-24 18-Dec-24
36 14-May-25 18-Jun-25
37 14-Nov-25 18-Dec-25
38 14-May-26 18-Jun-26
39 14-Nov-26 18-Dec-26
40 14-May-27 18-Jun-27
41 18-Dec-27
42 18-Jun-28
>
351
>
43 18-Dec-28
44 18-Jun-29
45 18-Dec-29
46 18-Jun-30
47 18-Dec-30
48 18-Jun-31
49 18-Dec-31
50 18-Jun-32
Amount demanded PEN 79,500,000 USD 40,000,000 PEN 126,500,000
Balance outstanding
as of 12/31/2020 Expired USD 20,000,000 PEN 55,000,000
Quotes
Money market

% % % % price %
BBVA1BS2A 2019-01 USD 110.2352 110.2352 110.2352 110.2352 110.2352

BBVA1BS2A 2019-02 USD 111.2945 112.0075 112.0075 111.2945 111.6431
BBVA1BS2A 2019-03 USD 110.5479 106.0924 110.5479 106.0924 106.3046
BBVA1BS2A 2019-04 USD 111.9222 111.9222 111.9222 111.9222 111.9220
BBVA1BS2A 2019-05 USD 106.1251 106.1251 106.1251 106.1251 106.1251
BBVA1BS2A 2019-07 USD 113.9414 107.0034 113.9414 107.0026 107.4847
BBVA1BS2A 2019-08 USD 107.1370 107.1370 107.1370 107.1370 107.1370
BBVA1BS2A 2019-09 USD 107.4747 103.4415 107.4747 103.4415 104.8893
BBVA1BS2A 2019-10 USD 103.2142 103.1666 103.2142 103.1666 103.1676
BBVA1BS2A 2019-11 USD 103.4083 106.3717 106.3717 103.4083 106.3398
BBVA1BS2A 2019-12 USD 106.0110 106.0110 106.0110 106.0110 106.0110
352
Second subordinated bond program
Characteristic First issuance Second issuance Third issuance Fourth issuance Fifth issuance Sixth issuance
Serie A A A Once Once A

Class Nominative Nominative Nominative Nominative Nominative Nominative
Authorized amount USD 20,000,000 PEN 50,000,000 USD 20,000,000 PEN 45,000,000 PEN 50,000,000 PEN 30,000,000
Amount placed USD 20,000,000 PEN 50,000,000 USD 20,000,000 PEN 45,000,000 PEN 50,000,000 PEN 30,000,000
Representation Book Book Book Book Book Book
entry entry entry entry entry entry
Term 10 years - Call 25 years - No Call 20 years - No Call 15 years - No Call 15 years - No Call 25 years - No Call
option Year 5 Option Option Option Option Option
Date of issuance 24-Sep-07 19-Nov-07 28-Feb-08 08-Jul-08 09-Sep-08 15-Dec-08
Redemption
date (Call) 24-Sep-12
Redemption
date 24-Sep-17 19-Nov-32 28-Feb-28 08-Jul-23 09-Sep-23 15-Dec-33
Interest rate Variable L6M + VAC + 3.5625% 6.468750% VAC + 3.0625% VAC + 3.09375% VAC + 4.1875%
1.15625%
Auction type Dutch by Margin Dutch by Margin Dutch by Margin Dutch by Margin Dutch by Margin Dutch by Margin
Placement
price 100.000% 100.000% 100.000% 100.000% 100.000% 100.000%
Interest payment Semi-Annual Semi-Annual Semi-Annual Semi-Annual Semi-Annual Semi-Annual
Coupon Coupon Coupon Coupon Coupon Coupon
1 24-Mar-08 19-May-08 28-Aug-08 08-Jan-09 09-Mar-09 15-Jun-09
2 24-Sep-08 19-Nov-08 28-Feb-09 08-Jul-09 09-Sep-09 15-Dec-09
21 19-May-18 28-Aug-18 08-Jan-19 09-Mar-19 15-Jun-19
22 19-Nov-18 28-Feb-19 08-Jul-19 09-Sep-19 15-Dec-19
31 19-May-23 28-Aug-23 15-Jun-24
32 19-Nov-23 28-Feb-24 15-Dec-24
33 19-May-24 28-Aug-24 15-Jun-25
34 19-Nov-24 28-Feb-25 15-Dec-25
35 19-May-25 28-Aug-25 15-Jun-26
36 19-Nov-25 28-Feb-26 15-Dec-26
37 19-May-26 28-Aug-26 15-Jun-27
>
353
Characteristic First issuance Second issuance Third issuance Fourth issuance Fifth issuance Sixth issuance
>
38 19-Nov-26 28-Feb-27 15-Dec-27
39 19-May-27 28-Aug-27 15-Jun-28
40 19-Nov-27 28-Feb-28 15-Dec-28
41 19-May-28 15-Jun-29
42 19-Nov-28 15-Dec-29
43 19-May-29 15-Jun-30
44 19-Nov-29 15-Dec-30
45 19-May-30 15-Jun-31
46 19-Nov-30 15-Dec-31
47 19-May-31 15-Jun-32
48 19-Nov-31 15-Dec-32
49 19-May-32 15-Jun-33
50 19-Nov-32 15-Dec-33
Amortization To the expiration To the expiration To the expiration To the expiration To the expiration To the expiration
Amount
Demanded USD 40,093,000 PEN 168,000,000 USD 37,300,000 PEN 140,000,000 PEN 120,500,000 PEN 61,500,000
Demand / Offer 2.00x 3.36x 1.87x 3.11x 2.41x 2.05x
Balance
outstanding as of
12/31/2020 Defeated PEN 50,000,000 USD 20,000,000 PEN 45,000,000 PEN 50,000,000 PEN 30,000,000
Quotes
Money market

% % % % price %
BBVA2BS3A 2019-02 USD 109.7319 109.7319 109.7319 109.7319 109.7319

BBVA2BS3A 2019-03 USD 110.7775 111.8879 111.8879 110.7775 111.3327
BBVA2BS3A 2019-04 USD 113.4021 112.6303 113.4021 112.6303 112.8698
BBVA2BS3A 2019-06 USD 114.7187 114.7187 114.7187 114.7187 114.7187
BBVA2BS3A 2019-08 USD 112.9698 112.9698 112.9698 112.9698 112.9698
BBVA2BS3A 2019-09 USD 113.6101 113.5955 113.6101 113.5955 113.6015
BBVA2BS3A 2019-11 USD 114.1173 114.1173 114.1173 114.1173 114.1173
354
Third subordinated bond program
Characteristic First issuance
Serie Once
Class Nominative
Authorized amount USD 55,000,000
Amount placed USD 45,000,000
Representation Account entry
Term 15 years
Date of issuance 02-Oct-13
Redemption date (Call) 02-Oct-23
Redemption date 02-Oct-28
Interest rate 6.531%
Auction type Dutch by Fee
Placement price 100.000%
Interest payment Semi-Annual Coupon
1 02-Apr-14
2 02-Oct-14
3 02-Abr-15
4 02-Oct-15
5 02-Apr-16
6 02-Oct-16
7 02-Apr-17
8 02-Oct-17
9 02-Apr-18
10 02-Oct-18
11 02-Apr-19
12 02-Oct-19
13 02-Apr-20
14 02-Oct-20
15 02-Apr-21
16 02-Oct-21
17 02-Apr-22
18 02-Oct-22
19 02-Apr-23
20 02-Oct-23
21 02-Apr-24
22 02-Oct-24
23 02-Apr-25
24 02-Oct-25
25 02-Apr-26
26 02-Oct-26
27 02-Apr-27
28 02-Oct-27
29 02-Apr-28
30 02-Oct-28
Amortization To the expiration
Amount Demanded USD 67,000,000
Demand / Offer 1.489x
Balance outstanding as of 12/31/2020 USD 45,000,000
355
Quotes
Money market

% % % % price %
BBVA3BS1U 2019-02 USD 105.2173 105.2173 105.2173 105.2173 105.2173

BBVA3BS1U 2019-10 USD 108.4270 108.4270 108.4270 108.4270 108.4270
BBVA3BS1U 2019-12 USD 103.0000 103.0000 103.0000 103.0000 103.0000
356
Subordinated bonds 144A/RegS
Characteristic First issuance
Serie Once
Class Nominative
Authorized amount USD 300,000,000
Amount placed USD 300,000,000
Representation Account entry
Term 15 years - Call option 10 years
Date of issuance 22-Sep-14
Redemption date 22-Sep-29
Interest rate 5.3390%
Spread over UST 275.0 bps
Placement price 99.32%
Interest payment Semi-Annual Coupon
1 22-Mar-15
2 22-Sep-15
3 22-Mar-16
4 22-Sep-16
5 22-Mar-17
6 22-Sep-17
7 22-Mar-18
8 22-Sep-18
9 22-Mar-19
10 22-Sep-19
11 22-Mar-20
12 22-Sep-20
13 22-Mar-21
14 22-Sep-21
15 22-Mar-22
16 22-Sep-22
17 22-Mar-23
18 22-Sep-23
19 22-Mar-24
20 22-Sep-24
Amortization To the expiration
Amount demanded USD 2,371,015,000
Demand / Offer 7.9x
Balance outstanding as of 12.31.2019 USD 300,000,000
357
Quotes
First issuance
Money market

% % % % price %
USP16236AG98 2019-01 USD 101.8300 103.4700 103.5870 101.7990 102.6093

USP16236AG98 2019-02 USD 103.1390 104.1760 104.4290 103.1390 103.8730
USP16236AG98 2019-03 USD 104.1110 105.2460 105.2460 104.1110 104.6315
USP16236AG98 2019-04 USD 105.2130 105.2300 105.6360 105.2070 105.4380
USP16236AG98 2019-05 USD 105.3440 105.3190 105.5950 104.8980 105.3827
USP16236AG98 2019-06 USD 105.2720 106.1180 106.3500 105.2720 105.7959
USP16236AG98 2019-07 USD 106.1050 105.9350 106.2470 105.8390 106.0728
USP16236AG98 2019-08 USD 106.0400 106.3930 106.3930 105.9590 106.2390
USP16236AG98 2019-09 USD 106.5670 106.6300 106.6300 106.3010 106.4407
USP16236AG98 2019-10 USD 106.3620 106.5990 106.8940 106.3620 106.6390
USP16236AG98 2019-11 USD 106.6080 106.0490 106.6280 105.7480 106.2707
USP16236AG98 2019-12 USD 106.0640 106.1070 106.2260 105.4500 106.0269
358
d) Finance lease bonds
Second finance lease bond program
Characteristic First issuance First issuance First issuance Second issuance
Serie A B C A
Authorized amount PEN 200,000,000 PEN 250,000,000 PEN 200,000,000 PEN 195,000,000
Amount placed PEN 200,000,000 PEN 205,100,000 PEN 200,000,000 PEN 158,000,000
Date of issuance 16-May-14 27-Oct-16 13-Jan-17 05-Dec-17
Redemption date 16-May-17 27-Oct-19 13-Jan-20 05-Dec-20
Interest rate 5.40625% 5.46875% 6.03125% 4.62500%
1 16-Nov-14 27-Apr-17 13-Jul-17 05-Jun-18
2 16-May-15 27-Oct-17 13-Jan-18 05-Dec-18
3 16-Nov-15 27-Apr-18 13-Jul-18 05-Jun-19
4 16-May-16 27-Oct-18 13-Jan-19 05-Dec-19
5 16-Nov-16 27-Apr-19 13-Jul-19 05-Jun-20
6 16-May-17 27-Oct-19 13-Jan-20 05-Dec-20
Amount demanded PEN 325,000,000 PEN 284,250,000 PEN 284,250,000 PEN 347,691,000
Balance outstanding
as of 12/31/2020 Expired Expired Expired Expired
Quotes
Continuous market

% % % % price %
BBVA2BA1B 2019-01 PEN 100.6411 100.6411 100.6411 100.6411 100.6411

BBVA2BA1C 2019-03 PEN 101.4069 101.4069 101.4069 101.4069 101.4069
BBVA2BA2A 2019-03 PEN 100.0591 100.0591 100.0591 100.0591 100.0591
BBVA2BA2A 2019-04 PEN 100.2351 100.2351 100.2351 100.2351 100.2351
BBVA2BA2A 2019-06 PEN 100.5798 100.5798 100.5798 100.5798 100.5798
BBVA2BA2A 2019-09 PEN 100.8916 100.8916 100.8916 100.8916 100.8916
BBVA2BA1C 2019-12 PEN 100.1349 100.1349 100.1349 100.1349 100.1349
Mercado de dinero

% % % % price %
BBVA2BA1C 2019-06 PEN 101.1105 101.1105 101.1105 101.1105 101.1105

BBVA2BA2A 2019-07 PEN 100.6580 100.6580 100.6580 100.6580 100.6580
BBVA2BA2A 2019-08 PEN 100.8096 100.8096 100.8096 100.8096 100.8096
359
6.5.7. Report on compliance with the code of good
corporate governance for Peruvian companies (10150)
Denomination Banco BBVA Perú

Exercise 2020
Web page www.bbva.pe
Name or company name of the reviewing company1
Methodology
Companies that have securities registered in the Public Registry of the Stock Market must
disseminate to the public their good corporate governance practices, for which they report their
adherence to the principles contained in the Code of Good Corporate Governance for Peruvian
Companies2.
The information to be submitted covers the fiscal year ended on December 31 of the calendar year
prior to the one it was sent, so any mention of “the fiscal year” should be understood as referring to
the period indicated above. It is sent as an annex to the company’s annual report under the
electronic formats that the Superintendency of the Securities Market (SMV) establishes to facilitate
the submission of the information in this report through the MVnet system.
Section A includes a letter of presentation of the company, which highlights the main advances in
corporate governance made in the year.
Section B reveals the degree of compliance with the principles that make up the code. For this
purpose, the report is structured following the five pillars that comprise it:
I. Shareholders’ rights.
II. General meeting of shareholders.
III. Board of Directors and Senior Management3.
IV. Risk and compliance.
V. Information transparency.
Each principle is evaluated on the basis of the following parameters:
a) Evaluation “comply or explain”: the level of compliance that the company has reached is
marked with a cross (x), taking into consideration the following criteria:
Yes: The principle is fully fulfilled.

No: The principle is not fulfilled.
Explanation: in this field, the company, if it has marked the option “No”, must explain the reasons
why it did not adopt the principle or the actions developed that allow it to consider progress
towards its compliance or its partial adoption, depending on corresponds.
Likewise, if deemed necessary, if the option “Yes” has been marked, the Company may provide
information on compliance with the principle.
b) Supporting information: information is provided that allows knowing in greater detail how
society has implemented the principle.
1
Solo es aplicable en el caso de que la información contenida en el presente informe haya sido revisada por alguna empresa
especializada (por ejemplo: sociedad de auditoría o empresa de consultoría).
2
El Código de Buen Gobierno Corporativo para las Sociedades Peruanas (2013) puede ser consultado en la sección Orientación –
Gobierno Corporativo del Portal del Mercado de Valores: www.smv.gob.pe
3
El vocablo “alta gerencia” comprende al gerente general y demás gerentes.
360
Section C sets out the company's documents that regulate the policies, procedures or other relevant
aspects that are related to the principles of evaluation.
Section D includes additional information not developed in the previous sections or other relevant
information, which the company freely decides to include so that investors and the various
stakeholders can have a greater scope of good practices. corporate governance implemented by it.
361
Section A
Presentation letter4
Banco BBVA Peru has a corporate governance system based on the best quality standards that, over
the years, has been strengthened due to the incorporation of the best market practices, but, above
all, by having collected the experience of interaction at different points of contact with its
stakeholders. This relationship allows it to have solid pillars of corporate governance in all areas,
which has been essential to actively face the challenges and impact that the covid-19 pandemic
represents.
As a result of this joint creation process, based on listening to and attending to the requirements and
needs of the different stakeholders around the Bank, the desire for the application of new
technologies was gathered in the fundamental pillars of its performance.
The technology of Banco BBVA Peru has been its best ally in this complex global context caused by
the pandemic. The Bank has been betting on it over time, which has encouraged relationships with
stakeholders, including customers, its reason for being, not only has remained unchanged and with
the same fluidity as always, but that the improvements implemented in its digital channels, such as
the products and services offered through its app, allowed an easy adaptation to non-face-to-face
operations. This technology is an undertaking that the Bank makes available to everyone and that
leads not only to financial inclusion but also to compliance with biosafety measures in these times of
health crisis.
On the other hand, not only was the normal functioning of the Bank’s corporate governance bodies
maintained but, in light of the events, they were improved in quality by collecting the benefits
provided by the use of new technologies in the ways of working, printing your processes faster and
better results.
An example of this was the virtual 2020 mandatory annual shareholders meeting, implemented
based on the temporary regulations issued for this purpose and using technological mechanisms
that guaranteed the non-face-to-face participation of shareholders, the issuance of the vote and,
above all, the expression of opinions on the different points of the agenda discussed. Experience has
shown that this modality will not be transitory but has come to stay. Banco BBVA Peru understands
that the digitization of its processes will be key in the immediate future, which is why it has been
adapting and strengthening the governance principles that govern the participation of its
shareholders in the highest corporate body for the use of technology.
On the other hand, it should be noted that the operation of the board of directors, the committees
delegated by the board, the management committee and the internal committees maintained their
customary rhythm of work thanks to technology, without suffering any alteration as a result of the
health crisis.
Finally, as a corollary of the Bank’s corporate governance system, it should be noted that, during the
fiscal year 2020, Banco BBVA Peru maintained its inclusion in the corporate governance index of the
Lima Stock Exchange, in recognition of the application of the best good governance practices.
Likewise, it was ranked first in the ranking of the best companies in “La Voz del Mercado”, in the
Finance category, a survey implemented by the Lima Stock Exchange in coordination with the
auditing firm Ernst & Young (EY) that takes into account Consideration of the opinion of the agents
that interact with the main companies that operate in the capital markets of Peru and abroad.
May this cover letter serve to highlight the commitment of Banco BBVA Peru to permanently apply
the best standards of good corporate governance.
Lima, February 24, 2021.
4
The main actions implemented during the year are described in terms of good corporate governance practices that the company
considers relevant to highlight in line with the five pillars that make up the Code of Good Corporate Governance for Peruvian
Companies (2013): shareholders’ rights, General Meeting, The board of directors and senior management, Risk and compliance, and
information transparency.
362
Section B
Evaluation of compliance with the principles of the code of good
corporate governance for Peruvian companies
PILLAR I: Shareholders' rights
Principle 1: Treatment Parity
Question I.1 Yes No Explanation
Does society recognize in its actions a treatment Both the statute and the
equal to shareholders of the same class and regulations of the AGM grant
that maintain the same conditions(*)? X equal treatment to
shareholders.
(*) “Same conditions” are understood to be those particularities that distinguish the shareholders or make them have a common
characteristic in their relationship with the company (institutional investors, non-controlling investors, etc.). It should be considered
that this in no way implies that the use of privileged information is favored.
Does society promote only existence of classes The statute only contemplates
of shares with voting rights? X the existence of shares with
voting rights.
a. On the capital of the company, specify:
Capital subscribed at the Capital paid at the Total number of shares Number of shares with
end of the year end of the year representing capital voting rights
S/ 6,529,169,237.00 S/ 6,529,169,237.00 6,529,169,237 6,529,169,237
b. If the company has more than one class of shares, specify:
Does not apply.
If the company has investment shares, does the Does not apply. The company
company promote a policy of redemption or does not have investment
voluntary exchange of investment shares for shares.
ordinary shares?
363
Principle 2: Shareholder participation
a. Does the company establish in its corporate The statute and the
documents the form of representation of the regulations of the AGM
shares and the person responsible for establish the form of
registering the shares? X representation of the shares.
The responsibilities related to
the registration of ownership
of the shares are established
in the internal regulations of
the company.
b. Is the share registration permanently The company has up-to-date

updated? X the register of shareholders in
annotation account before
Cavali, as well as in its internal
application.
Indicate the periodicity with which the share registration is updated, after having become aware of
any changes.
Periodicity
Within forty-eight hours

Weekly
Others / Detail (in days) One day after the settlement date issued by
Cavali.
Principle 3: No dilution in the participation in the capital stock
a. Does the company have a policy that the The company contemplates in
proposals of the board of directors referring to its board regulations that when
corporate operations that may affect the right this collegiate body proposes a
of non-dilution of shareholders (ie mergers, corporate operation that could
spin-offs, capital increases, among others), are affect the right of non-dilution
previously explained by said body in a detailed of shareholders, it must have a
report with the independent opinion of an detailed report, prepared by
external advisor of recognized professional this body and at the same time
solvency appointed by the board of directors? X with the independent opinion of
an external advisor of
recognized professional
solvency.
The AGM regulations

b. Does the company have the policy of making determine that the
said reports available to shareholders? X relationship between the
company and its shareholders
is based on the principle of
transparency. In this sense,
there is an obligation to
determine the appropriate
means to ensure the
communication of all
information that is important
to shareholders and investors
correctly and truthfully,
disseminating the facts that
may significantly influence the
stock market price.
364
If the company has, during the year, corporate operations under the scope of literal a) of question I.5,
and if the company has independent directors (*), specify whether in all cases:
Does not apply.
(*) Independent Directors are those who, according to the Guidelines for the Qualification of Independent Directors, approved by the
SMV, qualify as such.
Principle 4: Information and communication to shareholders
Does the company determine those responsible The company provides an

or means for shareholders to receive and assistance service to holders
require timely, reliable and truthful information? X through its Shareholder
Service Office, whose email is:
shareholders.pe@bbva.com
The AGM regulations
regulate the relationships
between the entity and its
shareholders, and how they
have access to information
about it.
Additionally, relevant
information in this regard is
made available to
shareholders on its website.
a. Indicate the means through which shareholders receive and/or request information from the
company.
Media They receive information They request information
Email X X
Via telephone — —
Corporate website X —
Post mail — X
Informative meetings — —
Other details SMV website: Shareholder Service Office.
b. Does the company have a maximum period of time to respond to requests for information
submitted by shareholders? If your answer is affirmative, specify this period:
Maximum term (days) 10 working days
Does the company have mechanisms for In its AGM regulations, the
shareholders to express their opinion on its company establishes the
development? X mechanism that allows
shareholders to propose and
introduce agenda items to be
discussed at shareholders'
meetings.
If your answer is affirmative, detail the mechanisms established by the company for shareholders to
express their opinion on its development.
The details of these mechanisms are contained in the regulations of the AGM.
365
Principle 5: Participation in dividends of the Company
Is compliance with the dividend policy subject to The Bank's dividend policy is
defined periodicity evaluations? X always subject to verification of
the legal requirements
indicated in the banking
regulation and is permanently
evaluated.
However, there is no written
internal document or
procedure in this regard.
Is the dividend policy made known to The dividend policy is

shareholders, among other means, through your published both on the Bank's
corporate website? X website and on the SMV
website.
a. Indicate the dividend policy of the company applicable to the year.
Approval date 03/31/2011

Dividend Policy At the Mandatory Annual Shareholders
(criteria for profit distribution) 'Meeting held on March 31, 2011, the policy of
paying dividends in cash was proposed and
approved, and the General Shareholders'
Meeting may agree to pay dividends in shares.
The distribution of dividends made in cash will
be made in a single annual payment within a
maximum period of thirty days after the
General Shareholders' Meeting that approves
said distribution. Dividends to be distributed in
cash each year will not be less than 10% of
freely available profits. However, the distribution
of dividends will be adopted taking into account
the provisions of articles 65 and following of
Law 26702, General Law of the Financial
System and the Insurance System and Organic
Law of the Superintendency of Banking and
Insurance.
In this sense, the profits for the year,
determined after having made all the provisions
provided by law and the Superintendency of
Banking and Insurance, will be applied
according to the order of priority contained in
article 66 of the aforementioned law 26702.
b. Indicate the dividends in cash and in shares distributed by the company in the fiscal year and in
the previous fiscal year.
Dividends per share

Reported exercise Fiscal year prior to reporting
Per-share Cash In shares Cash In shares
Class 0.09574253 0.1094200425 0.15121485 0.09622763

Class — — — —
Investment Action — — — —
366
Principle 6: Change or take control
Does the company have policies or agreements The statutes of the company
not to adopt anti-absorption mechanisms? X and its policies do not
establish control absorption
mechanisms (such as poison
pills or any other type of
mechanism aimed at
restricting a change of control
in the company).
Indicate if your company has established any of the following measures:
Yes No
Requirement of a minimum number of shares to be a Director X

Minimum number of years as a director to be appointed as chairman of the board X
Indemnification agreements for executives/officers as a result of changes after
a takeover bid. X
Others of a similar nature / Detail Does not
apply
Principle 7: Arbitration for dispute resolution
Does the company's bylaws include an The statute establishes that

arbitration agreement that recognizes that any any question or disagreement
dispute between shareholders, or between between any shareholder and
shareholders and the board of directors, is the company and its board of
submitted to arbitration by law; as well as the directors, whether during the
challenge of AGM and board agreements by the social period or the liquidation,
shareholders of the company? X regarding the intelligence and
application of the same or the
social operations, will be
submitted to the arbitration of
the right of an Arbitral Tribunal
composed of three arbitrators.
Does said clause make it easier for an The company considers that
independent third party to resolve disputes, the third party is the Arbitral
except in the case of express legal reserve Tribunal, the appropriate
before the ordinary courts? X instance for the resolution of
conflicts, except in the case of
the express legal reserve
before the ordinary courts.
In the event that AGM and board agreements have been challenged by shareholders or others
involving the company, during the fiscal year, specify their number.
Does not apply.
367
PILLAR II: General meeting of shareholders
Principle 8: Role and competence
Question II.1 Yes No Explanation
Is the approval of the board's remuneration Both the statute and the
policy an exclusive and non-delegable function regulations of the AGM
of the AGM? X indicate that among its
functions are to set the
number of board members
and their remuneration.
Indicate if the following functions are exclusive to the AGM. If your answer is negative, specify the
body that exercises them.
Yes No Organ
Arrange special investigations and audits X The AGM and the board
Agree on the modification of the statute X
Agree to increase the share capital X However, based on the
provisions of SBS Resolution
No. 4595-2009, the board of
directors may be delegated
the power to adopt future
earnings capitalization
commitments.
Agree on the distribution of interim dividends X However, due to what is stated
in the General Law of the
Financial System, profits
cannot be distributed with a
charge to net profits for an
annual fiscal year as long as
the AGM does not approve the
final balance sheet and the
respective profit distribution.
Appoint external auditors X The AGM and the board.
Principle 9: Regulations for the General Shareholders' Meeting
Does the company have an AGM Regulation, The company has a regulation
which is binding and non-compliance entails of the AGM, approved by the
liability? X General Shareholders'
Meeting dated March 31,
2014.
If you have an AGM Regulation, specify if it establishes the procedures for:
Yes No
Meetings of the meeting X

Incorporate agenda items by shareholders X
Provide additional information to shareholders for meetings X
The development of the boards X
Appointment of board members X
Other relevant / Detail Right to request certified copies of minutes,
regulation of conflicts of interest, among others.
368
Principle 10: Call mechanisms
Also to the call mechanisms established by law, The mechanisms are

does the company have call mechanisms that provided for in the statutes
allow contact with shareholders, particularly and regulations of the AGM.
with those who do not have participation in the In the same way, the
control or management of the company? X summons notices are
published on the company's
website and are also
communicated as important
events to the SMV.
a. Complete the following information for each of the Meetings held during the year:
Participation (%) of the

Universal total shares with voting
Board Type meeting rights
Nº of Attendant
Shareholderses
Nº who exer-
right to vote
Quorum %
exercise(*)
cised their
Through
General
Special
powers
Direct
Call notice Board
Yes
No
date Meeting Date location
97.08%
97.06%
0.02%
100%
13.04.2020 11.05.2020 Lima X X 26
(*) Direct exercise includes voting by any means or modality that does not imply representation.
b. What means, also to that contemplated in article 43 of the General Law of Companies and the
provisions of the Regulations on Relevant Facts and Reserved Information, did the company use to
disseminate the calls to meetings during the year?
Email — Post mail —

Via telephone — Social media —
Corporate website Yes Others / Detail —
Does the company make available to The bylaws provide that from
shareholders all the information related to the the date of publication of the
points contained in the AGM's agenda and the call, documents, motions and
proposals of the resolutions that it is projects related to the General
considering adopting (motions)? X Shareholders' Meeting are
available to shareholders at
the main office of Banco BBVA
Peru in Lima.
The regulations of the AGM
contemplate the mechanisms
for shareholders to obtain
information regarding the
points contained in the agenda
of the General Shareholders'
Meeting.
369
In the call notices made by the company during the financial year:
Yes No
Was the place where the information regarding the agenda items to be discussed
at the meetings was located? X
Were “other topics”, “miscellaneous items” or similar items included as agenda items? X
Principle 11: Proposals for agenda
¿Do the regulations of the AGM include The AGM regulations provide
mechanisms that allow shareholders to exercise for the inclusion of agenda
the right to formulate proposals for agenda items by shareholders.
items to be discussed at the AGM and the
procedures for accepting or denying such
proposals? X
a. Indicate the number of requests submitted by shareholders during the fiscal year to include
agenda items to be discussed at the AGM, and how they were resolved:
Number of requests
Received Accepted Denied
0 0 0
b. In the event that requests to include agenda items to be discussed at the AGM have been denied
during the fiscal year, indicate whether the company communicated the support for the denial to the
requesting shareholders.
Does not apply.
Principle 12: Procedures for voting
Does the company have mechanisms in place Due to the health

that allow shareholders to vote remotely by emergency generated by the
secure, electronic or postal means that Covi-19 virus outbreak, the
guarantee that the person casting the vote is society implemented, in an
effectively the shareholder? X extraordinary way, the
Webex tool, which allows
online connection from
various points, allowing
interaction between all
participants.
a. If applicable, indicate the mechanisms or means that the company has for remote voting.
Voting by electronic means X Voting by postal means
b. If remote voting was used during the exercise, specify the following information:
During the 2020 financial year, due to the health emergency generated by the Covid-19 virus
outbreak, extraordinarily, shareholders were offered the possibility of participating in the mandatory
annual shareholders meeting through the Webex tool, which allowed the smooth joint development.
370
Does the company have corporate documents The regulations of the AGM
that clearly specify that shareholders can vote establish that any shareholder
separately on matters that are substantially can vote separately on any
independent, so that they can exercise their substantially independent
voting preferences separately? X matter, so that they can
exercise their voting
preferences separately.
Indicate whether the company has corporate documents that clearly specify that shareholders can
vote separately for:
Yes No
The appointment or ratification of the directors by individual vote by each of them. X

The modification of the statute, for each article or group of articles that are
substantially independent. X
Others / Detail
Does the company allow those who act on The AGM regulations allow
behalf of several shareholders to cast those who act on behalf of
differentiated votes for each shareholder, so several shareholders to cast
that they comply with the instructions of each differentiated votes,
represented? X complying with the
instructions given by each
represented.
Principle 13: Voting
Does the bylaws of the company allow its The statute allows
shareholders to delegate their vote in favor of shareholders to delegate their
any person? X representation to one or more
people.
If your answer is negative, indicate if your statute restricts the right of representation in favor of any
of the following people:
Does not apply.
371
a. Does the company have procedures that The regulations of the AGM
detail the conditions, the means and the establish the procedures that
formalities to be fulfilled in situations of must be followed in situations
delegation of vote? X of delegation of the vote.
b. Does the company make available to The regulations of the AGM

shareholders a model letter of representation contain an annex in which a
that includes the data of the representatives, the model letter of delegation of
issues for which the shareholder delegates their the vote is made available to
vote and, if applicable, the direction of their vote shareholders, a model that is
for each of the the proposals? X also available on the Bank's
website
Indicate the requirements and formalities required for a shareholder to be represented at a meeting:
Formality (indicate if the company requires a Letter of delegation of the vote (regulation of the
simple letter, notarial letter, public deed or AGM)
others).
Anticipation (number of days prior to the The powers of attorney must be registered at
meeting with which the power of attorney must least 24 hours before (AGM regulation).
be presented).
Cost (indicate if there is a payment that the Free of charge
company requires for these purposes and how
much it amounts to).
a. Does the company have the policy of The company considers that
establishing limitations on the percentage of the people who make up the
delegation of votes in favor of the members of management and the board of
the board of directors or senior management? X directors are suitable and
professional.
b. In cases of delegation of votes in favor of The company has prepared a

members of the Board of Directors or Senior model power of attorney
Management, does the company have a policy where shareholders are
that the shareholders who thus delegate their allowed to clearly express the
votes leave their meaning clearly established? meaning of their votes.
That the shareholder delegates his vote, and if
applicable, the meaning of his vote for each of
the proposals? X
372
Principle 14: Follow-up of AGM agreements
a. Does the company monitor the resolutions The Corporate Governance

adopted by the AGM? X Committee monitors the
resolutions adopted at each
AGM.
b. Does the company issue periodic reports to The company annually

the Board of Directors and are they made evaluates the follow-up of the
available to shareholders? X resolutions of the
shareholders' meeting in its
sessions of the Corporate
Governance Committee. The
directory is then reported.
If this is the case, indicate the area and/or person in charge of monitoring the agreements adopted
by the AGM. In the event that a person is in charge, additionally include their position and area in
which they work.
Responsible area Corporate Governance Committee and Secretary of the Board of Directors
Person in charge
Names and surnames Position Area
Ruth Anabelí González Deputy General Manager Juridical Services

Velapatiño
PILLAR III: The board of directors and Senior Management
Principle 15: Formation of the Board of Directors
Question III.1 Yes No Explanation
Principle 15.I: Is the board of directors made up Following the unique

of people with different specialties and provisions applicable to
competencies, with prestige, ethics, economic financial entities, the
independence, sufficient availability and other company's board of directors
relevant qualities for society so that there is a complies with the
plurality of approaches and opinions? X aforementioned principle. This
is included in the regulations
of the board of directors and
the regulations of the
Appointments, Remuneration
and Talent Management
Committee.
373
a. Indicate the following information corresponding to the members of the company's board of
directors during the fiscal year.
Date Part. Shareholding(****)

Nºof Participation
Name and surname Vocational training(*) Start(**) End(***) shares %
Directors (not including

independents)
Alex Fort Brescia Master in Administration of 05/19/1995 Does not Does not
Companies. Participate in the apply apply
Holding Boards
Continental and BBVA Peru
Foundation.
Pedro Brescia Moreyra Business administrator. 05/19/1995 Does not Does not
Participates on the boards of apply apply
BBVA Peru Foundation.
Ignacio Javier Lacasta Economist. Participate in the 01/24/2013 Does not Does not
Casado directory of Fundación BBVA apply apply
Peru. He participated on the
board of Holding Continental.
Mario Brescia Moreyra Administrator. Participate in 03/27/2013 Does not Does not
the Holding Boards apply apply
Foundation.
Fortunato Brescia Moreyra Engineer. Participate in the 06/26/2013 Does not Does not
Holding Boards apply apply
Foundation.
Fernando Eguiluz Lozano Industrial and Systems 07/01/2019 Does not Does not
Engineer. MBA. Participate in apply apply
the BBVA boards
Consumer Finance Edpyme,
Forum Comercializadora del
Peru SA, Forum Distribuidora
del Peru SA and Foundation
BBVA Peru.
José Ignacio Merino Martín Bachelor of Science 03/31/2016 Does not Does not
Business. He participates in apply apply
the board of directors of
Rafael Varela Martínez Degree in Economics and 05/11/2020 Does not Does not
Business Administration. apply apply
Participate in the directory of
José Carlos López Álvarez Degree in Economics. 06/27/2018 Does not Does not
Participate in the directory of apply apply
Javier Marín Estévez Degree in Law. 03/31/2016 05/11/2020 Does not Does not
Participate in the directory of apply apply
374
Date Part. Shareholding(****)
Nº of Participation
Name and surname Vocational training(*) Start(**) End(***) shares %
Independent Directors
Ismael Alberto Benavides Agricultural engineer. 03/28/2018 Does not Does not
Ferreyros Participate in the directory of apply apply
José Manuel Rodríguez- Master of Engineering in 05/11/2020 Does not Does not
Novás Sánchez-Diezma Agricultural Industry. apply apply
Participate in the directory of
(*) Also, detail if the director participates simultaneously in other directories, specifying the number and if they are part of the
economic group of the reporting company. For this purpose, the definition of economic group contained in the Regulation of Indirect
Ownership, Relationship and Economic Groups must be considered.
(**) Corresponds to the first appointment in the reporting company.
(***) Complete only if he had ceased to hold the position of director during the year.
(****) Mandatorily applicable only to directors with a stake in the capital stock equal to or greater than 5% of the shares of the
reporting company.
% of total shares held by Directors Does not apply
Indicate the number of Directors of the company who are in each of the following age ranges:
Less than 35 Between 35 to 55 Between 55 to 65 Over 65
— 2 9 1
Note: All Directors who held the position during fiscal year 2019 are considered
b. Indicate if there are specific requirements to be appointed Chairman of the Board, also to those
required to be appointed Director.
Yes No X
If your answer is affirmative, indicate those requirements.
Does not apply
c. Does the chairman of the board have a casting vote?
Yes No X
Does the company avoid the appointment of The unique provisions

alternate or alternate Directors, especially for applicable to financial entities
quorum reasons? X allow the appointment of
alternate and alternate
directors.
If you have alternate or alternate directors, specify the following:
Names and surnames of the alternate or alternate Director Start(*) End(**)
Jaime Aráoz Medanic substitute) 2013 —

Miguel Ángel Salmón Jacobs (alternate) 2013 —
Fernando José Alegre Basurco (substitute) 2017 09.09.2020
Gustavo Alberto Mazzolini Casas (alternate) 2017 —
Antonio Alonso Granada 2020 —
Rafael Varela Martínez (substitute) 2018 2020 (assumed as owner)
(*) Corresponds to the first appointment as an alternate or alternate director in the reporting company.
(**) Complete only if he/she had left the position of alternate or alternate Director during the fiscal year.
375
Principle 16: Functions of the Board
The function of the Directory is: Functions contained in the

a. Approve and direct the company's corporate statute and the regulations of
strategy. X the board of directors.
b. Establish objectives, goals and action plans Functions contained in the

including annual budgets and business plans. statute and the regulations of
X the board of directors.
c. Control and supervise the management and Functions contained in the

take charge of the government and X statute and the regulations of
administration of the company. the board of directors.
d. Supervise good corporate governance Functions contained in the

practices and establish the policies and statute and the regulations of
measures necessary for their best application. X the board of directors.
a. Detail what other relevant powers are vested in the Company’s Board of Directors.
Constitute special committees, made up of some of its members.
b. Does the Board delegate any of its functions?
Yes X No
Indicate, if applicable, what are the main functions of the Board of Directors that have been
delegated, and the body that exercises them by delegation:
Body / Area to which functions have

Features been delegated
Appointment of general manager, deputy Appointments, Remuneration and Talent

general managers and auditor. Management Committee
Monitor the proper functioning of the internal Audit Committee
control system and keep the Board informed
about compliance with internal policies and
procedures.
Supervision of compliance with the company's Corporate Governance Committee
Good Corporate Governance practices and
inform the board of directors about it.
Supervision of the risks faced by the company Risk Committee
to have an appropriate environment for the
development of its activities and inform the
board of directors about it.
Supervision of compliance policies and evaluate Compliance Committee
the effectiveness of compliance risk
management, and report to the Board about
them.
376
Principle 17: Duties and Rights of the members of the Board of Directors
The members of the Board of Directors have the The regulations of the board of
right to: directors establish the power
a. Request the support or input of experts from of the directors to request the
the Board. X advice of experts outside the
company in those matters
whose complexity warrants it.
b. Participate in induction programs on their The regulations of the board of

powers and responsibilities and to be informed directors establish that
in a timely manner about the organizational directors have access to
structure of the company. X manuals and other corporate
documents where they are
informed about their duties
and powers.
c. Receive a remuneration for the work It is foreseen in the regulations

implemented, which combines recognition of of the directory.
professional experience and dedication to
society with the criterion of rationality. X
a. If specialized advisers have been hired during the fiscal year, indicate whether the list of
specialized advisers to the Board of Directors who have provided services during the fiscal year for
the decision-making of the company was made known to the shareholders.
Yes No Does not apply X

If this is the case, specify if any of the specialized advisers had any relationship with a member of the
Board of Directors and/or Senior Management(*).

(*) For the purposes of linking, the linking criteria contained in the Indirect Property, Linkage and Economic Groups Regulations will be
applied.
b. If this is the case, indicate whether the society conducted induction programs for new members
who have joined the society.

c. Indicate the percentage that represents the total amount of remuneration and annual bonuses of
Directors, with respect to gross income, according to the financial statements of the company.
Remuneration (%) Income Gross Bonuses (%) Income Gross
Directors (not including

independents) 0.006% Delivery of shares —
Independent Directors 0.002% Option delivery —
Money delivery —
Others (detail)
377
Principle 18: Board Regulations
Does the company have binding Regulations for The company has mandatory
the Board of Directors and does it entail liability? X board regulations and
non-compliance generates
liability.
Indicate if the Board Regulations contain:
Yes No
Policies and procedures for its operation X

Organizational structure of the Board X
Functions and responsibilities of the Chairman of the Board X
Procedures for the identification, evaluation and nomination of candidates for
members of the Board, which are proposed to the AGM X
Procedures for cases of vacancy, dismissal and succession of Directors X
Others / Detail Rules of conduct, conflicts of interest, coverage
of responsibilities.
Principle 19: Independent Directors
Is at least one third of the Board of Directors The company forms its board
made up of Independent Directors? X of directors taking into
consideration their conditions
and professional prestige, as
well as the accumulated
experience in the sector in
which the company carries out
its activities.
378
Additionally, to those established in the “Guidelines for the Qualification of Independent Directors”,
the company has established the following criteria to qualify its Directors as independent:
Yes No
Not being a Director or employee of a company of the same business group, unless three (3)
or five (5) years, respectively, have elapsed since the termination of that relationship. X
Not be an employee of a shareholder with a stake equal to or greater than five
percent (5%) in the company. X
Not have more than eight (8) continuous years as an Independent Director of the company. X
Not having, or having had in the last three (3) years, a commercial or contractual
business relationship, direct or indirect, and of a significant nature(*), with the
company or any other company in the same group. X
Not being a spouse, or having a kinship relationship in the first or second degree of
consanguinity, or in the first degree of affinity, with shareholders, members of the
Board of Directors or the Senior Management of the company. X
Not being a director or member of the Senior Management of another company in
which a Director or member of the Senior Management of the company is part of
the Board of Directors. X
Not having been in the last eight (8) years a member of Senior Management or an employee
either in the company, in companies of the same group or in the company’s shareholders. X
Not having been, during the last three (3) years, a partner or employee of the External
Auditor or the Auditor of any company in the same group. X
Others / Detail The company considers independent directors to be those appointed based on
their conditions and professional prestige, who are not part of the entity’s executive
staff and who are not related to the main shareholders of the entity. They will also
be so if, having had ties with the company, economic group or its main
shareholders, they have concluded their relationship for a period equal to or greater
than the 3 years before their appointment.
It should be noted that the company applies the rules on independent directors
issued by the Superintendency of Banking, Insurance and AFP (pensions), as it is a
company regulated by it.
(*) The business relationship will be presumed significant when either party has issued invoices or payments for a value greater than
1% of their annual income.
a. Does the Board of Directors declare that the The Appointments,

candidate it proposes is independent based on Remuneration and Talent
the inquiries made and the candidate's Management Committee of
statement? X the company’s board of
directors must declare that the
candidate is independently
based on the inquiries made
and the candidate’s
statement.
b. Do the candidates for Independent Directors The independent directors
declare their status as independent before the declare their status as
company, its shareholders and executives? X independent at the time of
assume the position and after
each year of stay in
the same.
Indicate whether at least once a year the Board of Directors verifies that the Independent Directors
maintain compliance with the requirements and conditions to be qualified as such:
Yes X No
379
Principle 20: Operation of the Board of Directors
Does the board of directors have a work plan The work plan is presented
that contributes to the efficiency of its annually to the board of
functions? X directors and is approved in
the first session in which the
board of directors is appointed
by the AGM.
Pregunta III.10 Yes No Explanation
Does the company provide its directors with the Following the provisions of the
necessary channels and procedures so that they statute, a videoconferencing
can effectively participate in board meetings, system has been implemented
even in a remote manner? X that allows simultaneous and
real-time communication
between all directors.
a. Indicate the following in relation to the Board meetings held during the year:
Number of sessions implemented 14

Number of sessions in which the call has been waived(*) 0
Number of sessions in which the Chairman of the Board did not attend 0
Number of sessions in which one or more Directors were represented by alternate
Directors 2
Number of regular Directors who were represented on at least one occasion 2
(*) In this field, the number of sessions that have been implemented under the provisions of the last paragraph of article 167 of the
LGS must be reported.
b. Indicate the percentage of Directors' attendance at Board meetings during the fiscal year.
% of
Name attendance
Alex Fort Brescia 100%

Pedro Brescia Moreyra 92.86%
Ignacio Lacasta Casado 92.86%
Mario Brescia Moreyra 100%
Fortunato Brescia Moreyra 100%
Fernando Eguiluz Lozano 100%
José Ignacio Merino Martín 100%
Rafael Varela Martínez(*) 100%
José Carlos López Álvarez 100%
José Manuel Rodríguez-Novás Sánchez-Diezma 100%
Ismael Alberto Benavides Ferreyros 100%
Javier Marín Estévez(*) 100%
(*) Regarding the period in which they held the position.
c. Indicate how far in advance of the board meeting all the information regarding the matters to be
discussed in a session is available to the directors.
Less than More than

3 days 3-5 days 5 days
Non-confidential information X
Confidential information X
380
a. Does the Board of Directors evaluate, at least

once a year, objectively, its performance as a
collegiate body and that of its members? X
b. Is the self-evaluation methodology alternated The board of directors may
with the evaluation implemented by external resort to external advisers for
consultants? X its evaluation, should it so
decide.
a. Indicate whether performance evaluations of the Board of Directors have been implemented
during the year.
Yes No
As a collegiate body X
To its members X
If the answer to the previous question in any of the fields is affirmative, indicate the following
information for each evaluation:
Self appraisal External evaluation

Entity in
Evaluation Date Diffusion(*) Date charge Diffusion(*)
Bank’s Corporate Governance Statutes 01.29.2020 No Does not Does not Does not
apply apply apply
(*) Indicate Yes or No, if the evaluation was made known to the shareholders.
Principle 21: Special Committees
a. Does the company’s board of directors form The regulation of the board of
special committees that focus on the analysis of directors contemplates the
those aspects that are most relevant to the constitution of special
company's performance? X committees.
b. Does the board of directors approve the The regulation of the board of
regulations that govern each of the special directors contemplates the
committees that it constitutes? X constitution of special
committees.
c. Are special committees chaired by Only the audit committee is

independent directors? X chaired by an independent
director. The company
considers that the special
committees should be chaired
by directors who are experts in
the issues addressed by each
committee, who have full
knowledge of the company
and who have had professional
contact with it.
d. Do special committees have a budget X The society considers that

assigned? these committees do not
demand the specific allocation
of a particular budget.
381
Does the company have an Appointments and The company has an

Remuneration Committee that is in charge of appointments and
nominating the candidates for Board members remuneration committee,
who are proposed to the AGM by the Board of whose functions are detailed in
Directors, as well as approving the remuneration their respective regulations.
and incentives system for senior management? X
Does the company have an Audit Committee The company has an Audit
that supervises the effectiveness and suitability Committee whose functions
of the company's internal and external control are detailed in its respective
system, the work of the audit company or the regulations.
independent auditor, as well as compliance with
the standards of legal and professional
independence? X
a. Specify whether the company also has the following Special Committees:
Yes No
Risk Committee X
Corporate Governance Committee X
382
b. If the company has Special Committees, indicate the following information regarding each
committee:
Audit Committee
I. Creation date
March 23, 2000
II. Features
a) Monitor that accounting and financial reporting processes are appropriate.
b) Monitor the proper functioning of internal control.
c) Monitor and keep the board informed on compliance with internal policies and procedures, and the detection of control and internal
administration weaknesses.
d) Follow up on audit recommendations.
e) Evaluate that the performance of the internal audit unit and the external audit corresponds to the needs of the company.
f) Coordinate with the internal audit unit and external auditors, the effectiveness and efficiency aspects of the internal control
system.
g) Approve the audit statute.
h) Approve the audit risk assessment, the annual internal audit plan.
i) Define the criteria for the selection and hiring of the internal auditor and his main employees, and evaluate their performance.
j) Evaluate the activities implemented by the internal and external auditors.
III. Committee members

Names and surnames Start date End date Position within the Committee
José Manuel Rodríguez-Novás
Sánchez-Diezma 05/27/2020 To the date President
Alex Fort Brescia 06/26/2013 To the date Member
José Ignacio Merino Martín 04/28/2016 To the date Member
IV. Percentage of independent directors concerning the total committee

33%
V. Number of sessions held during the year

3 times per year.
VI. It has delegated powers following article 174 of the General Law of Companies
[X] Yes […] No
The committee or its president participates in the AGM

[…] Yes [ X ] No
383
Appointments and Remuneration Committee
I. Creation date
February 18, 2004
II. Features
a) Approve and monitor the design of the Bank’s remuneration system.
b) Evaluate conflicts of interest in the remuneration system.
c) Evaluate the goals and indicators considered in the remuneration system.
d) Appreciate the rating and propose the people who will make up the Bank's board of directors
e) Propose to the board the remuneration of the board of directors,
f) Appoint the general manager, first-level managers, the internal auditor, the compliance officer for the prevention of money
laundering and terrorist financing, the regulatory compliance officer, the market conduct officer, and the Bank's general
accountant.
g) Know the conditions of the loans and other benefits granted to the Bank's employees and, especially, the management committee, as
well as order the changes to the policies of the matter that are considered convenient.
h) Inform the Bank’s board of directors on the main topics discussed at its meetings.

Ignacio Lacasta Casado 04/28/2016 To the date President
Alex Fort Brescia 06/26/2013 To the date Member
Fernando Eguiluz Lozano 07/16/2019 To the date Member
Pedro Brescia Moreyra 09/25/2008 To the date Member
IV. % Independent Directors with respect to the total of the Committee

0%

6 times per year.
[X ] Yes […] No

[…] Yes [ X ] No
384
Corporate Governance Committee
I. Creation date
December 15, 2011
II. Features
a) Ensure that shareholders and the market, in general, have complete, accurate and timely access to the information that must be
disclosed as an issuer.
b) Approve and supervise the application of the best good corporate governance practices.
c) Supervise that the holding of shareholders' meetings is implemented following the law.
d) Monitor the implementation of the resolutions adopted at the Bank’s shareholders’ meeting.
e) Prepare an annual activity report.
f) Evaluate the degree of compliance with the regulations of the shareholder’ meeting.
g) Ensure that the committee’s regulations are available to shareholders.
h) The other functions following the nature of the objective of the committee that is assigned by the board of directors or entrusted by
the shareholders' meeting.

Alex Fort Brescia 04/28/2016 To the date President
Mario Brescia Moreyra 06/26/2014 To the date Member
Rafael Varela Martínez 05/27/2020 To the date Member
Javier Marín Estévez 04/28/2016 05/11/2020 Member

0%

2 times per year.
[ X ] Yes [ … ] No

[…] Yes [ X ] No
385
Compliance Committee
I. Creation date
September 25, 2008
II. Features
a) Approve the policies, codes, manuals, procedures and methodologies defined to guarantee the due observance of regulatory
requirements.
b) Take knowledge of the reports in the matters that are within its competence.
c) Approve the annual activity programs.
d) Be aware of and take the necessary corrective measures in the event of failures in the application of compliance functions.
e) Approve the training plans in the scope of the compliance function.
f) Provide the necessary resources and infrastructure for the proper performance of compliance functions and responsibilities.
g) Approve, modify and ensure compliance with anti-corruption policies to prevent and significantly reduce the risk of committing
crimes of corruption of officials.

Alex Fort Brescia 06/26/2013 To the date President
Fortunato Brescia Moreyra 04/28/2016 To the date Member

0%

2 times per year.
[ X ] Yes [ … ] No

[…] Yes [ X ] No
386
Risk Committee
I. Creation date
July 17, 2008
II. Features
a) Approve policies for comprehensive risk management
b) Check that the provision of means, systems and resources is adequate for risk management.
c) Analyze the proposed risk appetite framework
d) Decide the actions for the implementation of the corrective measures required in case there are deviations concerning the appetite
levels and risk limits and the degrees of exposure assumed.
e) Evaluate the capital adequacy and liquidity required by the Bank.
f) Approve reports on risks associated with new products
g) Following the delegation made by the Bank's board of directors, take cognizance of all other reports that must be presented to the
Bank's board of directors.
h) Inform the Bank’s board of directors, in its next session, on the main topics discussed and the resolutions adopted for their control
and monitoring.
III. Committee members(*)

Names and surnames Start date(**) End date(***) Position within the Committee
José Ignacio Merino Martín April 2018 To the date President
Fernando Eguiluz Lozano July 2019 To the date Member
Alex Fort Brescia April 2018 To the date Member
Vicente Puig Payá(****) September 2019 To the date Member

0%

Once a month.
[ X ]Yes […] No

[…] Yes [ X ] No
(*) Information will be provided regarding the people who make up or were part of the Committee during the reporting period.
(**) Corresponds to the first appointment as a member of the Committee in the reporting company.
(***) Complete only in case they had ceased to be part of the Committee during the fiscal year.
387
Principle 22: Code of Ethics and conflicts of interest
Does the company adopt measures to prevent, The company has a conflict of
detect, manage and reveal conflicts of interest interest policy, a code of
that may arise? X ethics, and a code of conduct,
that regulates the topics
covered in this principle.
Indicate, if applicable, which is the area and/or person responsible for monitoring and controlling
possible conflicts of interest. If a person is in charge, additionally include their position and area in
which they work.
Responsible area Compliance
Person in charge
Edwin Calderón Fuentes Chief Compliance Officer Compliance
a. Does the company have a Code of Ethics(*) It has a code of ethics and
whose compliance is required of its Directors, conduct that applies to the
managers, officers and other employees(**) of directors and officers of the
the company, which includes ethical criteria and company, following the
professional responsibility, including the provisions of this principle.
handling of potential cases of conflicts of
interest? X
b. Does the Board of Directors or General Policies and training programs
Management approve training programs for are approved following
compliance with the Code of Ethics? X corporate guidelines.
(*) The Code of Ethics may be part of the Internal Standards of Conduct.
(**) The term employees reaches all people who maintain some type of employment relationship with society, regardless of the labor
regime or modality.
If the company has a Code of Ethics, indicate the following:
a. It is available to:
Yes No
Shareholders X
Other people to whom it applies X
From the general public X
b. Indicate which is the area and/or person responsible for monitoring and complying with the Code
of Ethics. In case a person is in charge, additionally include their position, the area in which they
work, and to whom they report.
Responsible area Compliance
Person in charge
Edwin Calderón Fuentes Chief Compliance Officer Compliance
388
c. Is there a record of cases of non-compliance with said Code?
Yes X No
d. Indicate the number of breaches of the provisions established in said Code, detected or reported
during the year.
Number of defaults 118
a. Does the company have mechanisms that The company has procedures
allow complaints to be made regarding any for dealing with complaints
illegal or unethical behavior, guaranteeing the about illegal or unethical
confidentiality of the complainant? X behavior, which are known to
its employees and guarantee
the confidentiality of the
complainant.
b. Are complaints made directly to the Audit Additionally, they are

Committee when they are related to accounting evaluated by the fraud
aspects or when General Management or prevention and corporate
Financial Management are involved? X integrity management
committee.
a. Is the Board of Directors responsible for The regulations of the board of

monitoring and controlling possible conflicts of directors regulate the cases of
interest that may arise in the Board of Directors? X conflict of interest.
b. In case the company is not a financial Does not apply.

institution, has it established as a policy that the
members of the Board of Directors are
prohibited from receiving loans from the
company or from any company in its economic
group, unless they have the prior authorization
of the Board of Directors?
c. In case the company is not a financial Does not apply.

institution, has it established as a policy that the
members of Senior Management are prohibited
from receiving loans from the company or from
any company in its economic group, unless they
have prior authorization from the Board of
Directors?
a. Indicate the following information on the members of senior management who have the status of
shareholders in a percentage equal to or greater than 5% of the company.
Does not apply.
389
b. Indicate if any of the members of the board of directors or senior management of the company is a
spouse, a relative in the first or second degree of consanguinity, or a relative in the first degree of
affinity of:
Link with:
Senior Names and surnames of the
Names and Share- Manage- shareholder / Director / Type of Additional
surnames holder(*) Director ment Manager bonding(**) Information(***)
Pedro Brescia Mario Brescia Moreyra 2nd grade

Moreyra X Fortunato Brescia Moreyra 2nd grade
Alex Fort Brescia 4th grade
Mario Brescia Pedro Brescia Moreyra 2nd grade
Moreyra X Fortunato Brescia Moreyra 2nd grade
Fortunato Brescia Pedro Brescia Moreyra 2nd grade
Moreyra X Mario Brescia Moreyra 2nd grade
Alex Fort Brescia X Pedro Brescia Moreyra 4th grade
Mario Brescia Moreyra 4th grade
Fortunato Brescia Moreyra 4th grade
(*) Shareholders with a stake equal to or greater than 5% of the capital stock.
(**) For the purposes of linking, the linking criteria contained in the Indirect Property, Linkage and Economic Groups Regulations will be
applied.
(***) In the case there is a relationship with a shareholder, include their shareholding. In the case the relationship is with a member of the
management team, include their position.
c. If any member of the Board of Directors holds or has held during the fiscal year that is the subject
of this report, a managerial position in the company, indicate the following information:
Managerial position held Date in managerial position

Names and surnames or held Start(*) Finished(**)
Fernando Eguiluz Lozano General manager July 2019 To the date
(*) Corresponds to the first appointment in the company reporting in the managerial position.
(**) Complete only if he had ceased to exercise the managerial position during the year.
d. If any member of the board of directors or senior management of the company has maintained
during the financial year, a commercial or contractual relationship with the company, which has been
important due to its amount or subject matter, indicate the following information.
Does not apply.
390
Principle 23: Operations with related parties
a. Does the board of directors have policies and The company, being a
procedures for the assessment, approval and company of the financial
disclosure of certain transactions between the system, is subject to
company and related parties, as well as to know restrictions and controls to
the commercial or personal relationships, direct carry out operations with
or indirect, that the Directors maintain among related parties. In the same
themselves, with the company, with your way, the board of directors
suppliers or customers, and other authorizes commercial
stakeholders? X operations with related parties.
b. In the case of operations of special relevance Society, in its capacity as a

or complexity, is the intervention of independent company in the financial
external advisers contemplated for their system, tends to resort to
assessment? X external advisers who express
their opinion on complex or
important operations.
a. If you comply with literal a) of question III.19, indicate the area (s) of the company in charge of the
treatment of operations with related parties in the following aspects:
Aspects Responsible Area
Assessment Risks
Approval Directory
Revelation Does not apply
b. Indicate the procedures to approve transactions between related parties:
Being a company of the financial system, the operations between related parties are regulated by
SBS Resolution No. 472-2006 and SBS Resolution No. 5780-2015.
Likewise, the internal standard “SC.05.P.005 - Financing for related parties and the BBVA del Peru
group” is in place, which includes the scope of the aforementioned standards.
c. List those operations implemented between the company and its related parties during the year
that have been important due to their amount or subject matter.
Does not apply.
d. Specify whether the company sets limits to carry out operations with related parties:
Yes X No
391
Principle 24: Functions of Senior Management
Question III.20 / Compliance Yes No Explanation
a. Does the company have a clear policy of The organization and functions
delimitation of functions between the manual of the company
administration or government exercised by the establishes the functions
Board of Directors, the ordinary management in assigned to the board of
charge of senior management and the directors, senior management
leadership of the general manager? X and the general manager.
b. Are the appointments of the company's The possibility of expressly

general manager and president of the Board of including this specification in
Directors assigned to different people? X the directory regulations will
be evaluated.
c. Does senior management have sufficient Senior management has

autonomy to carry out the assigned functions, sufficient autonomy to carry
within the framework of policies and guidelines out their duties.
defined by the board of directors, and under its
control? X
d. Is the general management responsible for This function is within the
complying with and enforcing the policy of powers of the general
disclosure of information to the board of manager.
directors and its directors? X
e. Does the Board of Directors annually evaluate According to the statute, it is
the performance of the General Management the inherent function of the
based on well-defined standards? X board of directors to evaluate
the function of the general
manager.
f. Does the remuneration of senior management The company has a policy that
have a fixed and a variable component, which defines the remuneration of
take into account the results of the company, senior management and
based on a prudent and responsible assumption considers such attributes.
of risks, and the fulfillment of the goals outlined
in the respective plans? X
a. Indicate the following information regarding the remuneration received by the General Manager
and management team (including bonuses).
Remuneration(*)
Position Fixed Variable
General management 0.04% 0.02%

Management plan 0.20% 0.09%
(*) Indicate the percentage that represents the total amount of the annual remuneration of the members of Senior Management, with
respect to the level of gross income, according to the financial statements of the society.
b. If the company pays bonuses or compensation other than those determined by legal mandate, to
the Senior Management, indicate the way (s) in which they are paid.
Does not apply.
c. If there is a variable component in the remuneration, specify which are the main aspects taken into
account for its determination.
To determine the variable component of remuneration, the results of the company and the individual
performance of the members of Senior Management are taken into consideration.
392
d. Indicate whether the Board of Directors evaluated the performance of the General Management
during the fiscal year.
Yes X No
PILLAR IV: Risk and Compliance
Principle 25: Risk management system environment
Question IV.1 Yes No Explanation
a. Does the board of directors approve a The company, being a

comprehensive risk management policy company in the financial
following its size and complexity, promoting a system, has a comprehensive
culture of risk management within the company, risk management policy,
from the board of directors and senior designed following current
management to the employees themselves? X legal provisions.
b. Does the comprehensive risk management The company has a

policy reach all the companies that are part of comprehensive risk
the group and allow a global vision of critical management policy, which
risks? X applies to the companies in its
group.
Does the company have a risk management delegation policy that establishes the risk limits that can
be managed by each level of the company?
Yes X No
a. Does the general management manage the General management

risks to which the company is exposed and manages risks based on the
report them to the board of directors? X information it receives from
the risk committee and risk
management.
b. Is the general management responsible for There is a risk committee.

the risk management system, if there is no Risk
Committee or Risk Management? X
Does the company have a Risk Manager?
Yes X No
If your answer is yes, please provide the following information:
Date of exercise of the position

Names and surnames Start(*) Finished(**) Reporting area / body
Vicente Puig Payá 09/01/2019 — General management

directory
(*) Corresponds to the first appointment in the reporting company.

(**) Complete only in case he had ceased to exercise the position during the exercise.
The company has an internal and external The company, being a

control system, whose effectiveness and company of the financial
suitability are supervised by the board of X system, complies with the
directors. provisions of this principle.
393
Principle 26: Internal audit
a. The internal auditor performs audit tasks The company, being a

exclusively, has autonomy, experience and company of the financial
specialization in the matters under his system, complies with the
evaluation, and with independence for the provisions of this principle.
monitoring and evaluation of the effectiveness
of the risk management system? X
b. Are the functions of the internal auditor The company, being a
permanently evaluating that all the financial company of the financial
information generated or registered by the system, complies with the
company is valid and reliable, as well as verifying provisions of this principle.
the effectiveness of regulatory compliance? X
c. Does the internal auditor report directly to the The company, being a
Audit Committee on their plans, budget, company of the financial
activities, progress, results obtained and actions system, complies with the
taken? X provisions of this principle.
a. Indicate whether the company has an independent area in charge of internal auditing.
Yes X No
If the answer to the previous question is affirmative, within the organic structure of the company,
indicate, hierarchically, who the audit depends on.
It depends on: Company Directory
b. Indicate whether the company has a Corporate Internal Auditor.
Yes X No
Indicate what are the main responsibilities of the person in charge of internal audit and if he/she
performs other functions outside the internal audit.
The auditor general is in charge of managing the Audit area, the purpose of which is to objectively
and independently supervise the operation of the organization's internal control model, verifying its
sufficiency and effectiveness. To do this, it reports to the Audit Committee, made up of directors who
have received a delegation from the board of directors. Given the nature of his function, the auditor
general cannot exercise any other executive function in the Bank.
Does the appointment and removal of the internal The Audit Committee appoints
auditor correspond to the Board of Directors at the internal auditor and then
the proposal of the Audit Committee? X reports to the board of directors.
Principle 27: External auditors
Does the AGM, at the proposal of the board of The audit committee appoints
directors, designate the auditing company or the internal auditor and then
the independent auditor, who are clearly reports to the board of
independent from the company? X directors.
a. Does the company have a policy for the appointment of the External Auditor?
Yes X No
394
If the previous question is affirmative, describe the procedure for hiring the audit firm in charge of
issuing an opinion on the annual financial statements (including the identification of the body of the
company in charge of choosing the audit firm).
The regulations of the Audit Committee define the criteria for hiring and evaluating external auditors,
including the competence and independence to perform as such, taking into account the
transparency and openness of the relationship and the scope of the audit.
b. If the auditing company has performed other services other than the audit of accounts itself,
indicate whether said contracting was reported to the AGM, including the percentage of turnover that
said services represent over the total billing of the auditing company to the company.
Yes No X
c. Do the persons or entities linked to the auditing company provide services to the company, other
than those of the audit of accounts itself?
Yes No X
If the answer to the previous question is affirmative, indicate the following information regarding the
additional services provided by persons or entities related to the audit firm in the reported year.
No aplica.
d. Indicar si la sociedad de auditoría ha utilizado equipos diferentes, en caso de que haya prestado
servicios adicionales a la auditoría de cuentas.
Yes No X
a. Does the company maintain a policy to renew The company maintains a

its independent auditor or its audit firm? X policy to define the guidelines
for hiring or renewing audit
firms.
The company maintains a

b. If said policy establishes longer terms for the policy to define the guidelines
renewal of the audit firm, does the audit firm's for hiring or renewing audit
work team rotate at most every five (5) years? X firms.
395
Indicate the following information on the audit companies that have provided services to the
company in the last five (5) years.
% of audit
firm
Company name of the audit company Service(*) Period Remuneration(**) revenue
Gris y Asociados S. C. R. L. (Deloitte) Annual Audit EE. FF. 2016-2017 S/ 2,341,000

Deloitte & Touche S. R. L. (Deloitte) Corporate social 2016-2017 S/ 170,000
responsibility
Gris y Asociados S. C. R. L. (Deloitte) Other services 2016-2020 S/ 590,000
Price Waterhouse Coopers S. R. L. (PWC) Consulting 2016-2020 S/ 303,000
Ernst & Young Consulting 2016-2020 S/ 6,315,000
KPMG Asesores S. C. R. L. Other services 2019-2020 S/ 79,000
Caipo y Asociados S. C. R. L. (KPMG) Annual Audit EE. FF. 2017-2020 S/ 7,116,000
Caipo y Asociados S. C. R. L. (KPMG) Corporate social 2017-2020 S/ 166,000
responsibility
Caipo y Asociados S.C.R.L. (KPMG) Other services 2017-2020 S/ 452,000
(*) Include all types of services, such as reports on financial information, accounting expert opinions, operational audits, systems
audits, tax audits or other services.
(**) Of the total amount paid to the auditing company for all concepts, indicate the percentage that corresponds to remuneration for
financial auditing services.
In the case of economic groups, is the external There are no offshore

auditor the same for the entire group, including subsidiaries
offshore subsidiaries? X
Indicate whether the auditing company hired to issue an opinion on the financial statements of the
company corresponding to the fiscal year that is the subject of this report, also issued an opinion on
the financial statements for the same fiscal year for other companies in its economic group.
Yes X No
If your previous answer is yes, please indicate the following:
Name or Company Name of the company (s) of the economic group
Banco BBVA Peru – BBVA

BBVA Bolsa Sociedad Agencia de Bolsa SA – BBVA SAB
BBVA Asset Management SA SAF – BBVA SAF
BBVA Sociedad Titulizadora SA – BBVA Titulizadora
Inmuebles y Recuperaciones BBVA SA
Comercializadora Corporativa SAC
BBVA Consumer Finance Edpyme
Forum Comercializadora del Peru SA
Forum Distribuidora del Peru SA
BBVA Peru Foundation
396
PILLAR V: Information Transparency
Principle 28: Information policy
Question V.1 Yes No Explanation
The company has an information policy for

shareholders, investors, other stakeholders and
the market in general, with which it defines in a
formal, orderly and comprehensive manner the
guidelines, standards and criteria that will be
applied in the management, compilation,
elaboration, classification, organization and/or
distribution of the information that society
generates or receives? X
a. If this is the case, indicate whether according to its information policy the company disseminates
the following:
Yes No
Objectives of the society X

List of members of the Board of Directors and Senior Management X
Shareholding structure X
Description of the economic group to which it belongs X
Financial statements and annual report X
Others / Detail
b. Does the company have a corporate website?
Yes X No
The corporate website includes:

Yes No
A special section on corporate governance or relations with shareholders and

investors that includes Corporate Governance Report X
Important facts X
Financial information X
Statute X
Regulations of the AGM and information on Meetings (attendance, minutes, others) X
Board composition and its regulations X
Code of ethics X
Risk policy X
Corporate Social Responsibility (community, environment, others) X
Others / Detail
Does the company have an investor relations The Finance area assumes
office? X such responsibility.
If you have an investor relations office, indicate who is the responsible person.
Head of the Investor Relations Office Stefany Campos Gutarra – Principal Manager
Budget Modeling & Planning
397
If you do not have an investor relations office, indicate the unit (department/area) or person in
charge of receiving and processing requests for information from the company's shareholders and
the general public. If you are a person, additionally include your position and area in which you
work.
Responsible area Finance
Person in charge
María Esther Díaz Castro Specialist physical saves Centralized Operations –

squares and shareholders Securities
Principle 29: Financial Statements and Annual Report
If there are qualifications in the report by the external auditor, have these qualifications been
explained and/or justified to the shareholders?

Principle 30: Information on shareholder structure and agreements
between shareholders
Does the company disclose the ownership There are no different classes
structure, considering the different classes of of shares.
shares and, if applicable, the joint participation
of a certain economic group? X
Indicate the composition of the shareholding structure of the company at the end of the year.
Holding shares with voting Number of holders

rights (at year-end) % of participation
Less than 1% 8,048 6.15%

Between 1% and 5% 1 1.61%
Between 5% and 10% 0 0
Greater than 10% 2 92.24%
Total 8,051 100%
Percentage of shares in portfolio over share capital:
Does not apply.
Does the company report on the agreements or The company is an SAA.

pacts between shareholders? X
a. Does the company have existing agreements between shareholders?
Yes X No Does not apply
b. If any pact or agreement has been made between the shareholders that has been informed to the
company during the year, indicate what matters each of these dealt with.
Does not apply.
398
Principle 31: Corporate governance report
Does the company disclose the standards The board of directors

adopted in corporate governance in an annual approves the annual report of
report, the content of which is the responsibility the Corporate Governance
of the Board of Directors, following a report from Committee.
the Audit Committee, the Corporate Governance
Committee, or an external consultant, if
applicable? X
a. The company has mechanisms for internal and external dissemination of corporate governance
practices.
Yes X No
If the previous answer is affirmative, specify the mechanisms used.
Bank website.
399
Section C
Company document content
Indicate in which of the following Company document (s) the following issues are regulated:
Not regulated
Procedure(*)
Handbook
Beginning
Does not
Rules of
Statute
Denomination
Others
apply
of the
document(**)
1. Policy for the redemption or

exchange of shares without
voting rights 1 X
2. Method of registration of
share ownership rights and
person responsible for
registration 2 X
3. Procedures for the

selection of an external
advisor to issue an
independent opinion on the
proposals of the Board of
Directors of corporate
operations that may affect
the right of non-dilution of
shareholders 3 X
4. Procedure for receiving and

responding to requests for
information and opinion
from shareholders 4 X
5. Dividend Policy 5 X
6. Policies or agreements not

to adopt anti-absorption
mechanisms 6 X
7. Arbitration agreement 7 X
8. Policy for the selection of the

Directors of the company 8 X
9. Policy to evaluate the

remuneration of the
Directors of the company 8 X
>
400
Not regulated
Procedure(*)
Handbook
Beginning
Does not
Rules of
Statute
Denomination
Others
apply
of the
document(**)
10. Mechanisms to make

available to shareholders
information related to
points contained in the
AGM’s agenda and
proposed resolutions 10 X
11. Additional means to those

established by Law, used by
the company to convene
Meetings 10 X
12. Additional mechanisms

for shareholders to
formulate proposals for
agenda items to be
discussed at the AGM 11 X
13. Procedures for accepting or

denying shareholders'
proposals to include agenda
items to be discussed at the
AGM 11 X
14. Mechanisms that allow

remote participation of
shareholders 12 X
15. Procedures for the issuance

of the differentiated vote by
the shareholders 12 X
16. Procedures to be followed in

situations of delegation of
vote 13 X
17. Requirements and

formalities for a shareholder
to be represented at a
Meeting 13 X
18. Procedures for the

delegation of votes in favor
of the members of the
board of directors or senior
management 13 X
>
401
Not regulated
Procedure(*)
Handbook
Beginning
Does not
Rules of
Statute
Denomination
Others
apply
of the
document(**)
19. Procedure for monitoring

the agreements of the AGM 14 X
20. The minimum and maximum

number of directors that
make up the company's
board of directors 15 X X
21. The duties, rights and

functions of the Directors of
the company 17 X
22. Types of bonuses that the

board receives for
meeting goals in the
company 17 X
23. Policy for hiring

advisory services for
directors 17 X
24. Induction policy for new

directors 17 X
25. The special requirements to

be an Independent Director
of the company 19 X
26. Criteria for evaluating the

performance of the Board
and its members 20 X
27. Policy for determining,

monitoring and controlling
possible conflicts of
interest 22 X
28. Policy that defines the

procedure for the
assessment, approval and
disclosure of transactions
with related parties 23 X
>
402
Not regulated
Procedure(*)
Handbook
Beginning
Does not
Rules of
Statute
Denomination
Others
apply
of the
document(**)
29. Responsibilities and

functions of the chairman of
the board, executive
president, general manager,
and other officials with senior
management positions 24 X
30. Criteria for evaluating the

performance of senior
management 24 X
31. Policy for setting and

evaluating the remuneration
of senior management 24 X
32. Comprehensive risk

management policy 25 X
33. Responsibilities of the

person in charge of Internal
Audit 26 X
34. Policy for the appointment

of the External Auditor,
duration of the contract and
criteria for renewal 27 X
35. Policy on disclosure and

communication of
information to investors 28 X
(*) Includes AGM regulations, Board Regulations or others issued by the company.
(**) Indicate the name of the document, except in the case of the Statute of the company.
403
Section D
Other information of interest4
Throughout 2020, the Bank, through its different business and staff units, maintained an
agile relationship with its different stakeholders. The health emergency generated by
covid-19 motivated BBVA to adapt its various activities to virtual formats to maintain a
constant link.
Various activities were developed with the employees aimed at providing support and
tools for working from home, as well as support from the areas of management and
Safety and Health at Work.
Regarding the relationship with customers, this was marked by the development of a
series of webinars aimed at the Business Banking and CIB segments, in which they were
given a political analysis, as well as the economic outlook prepared by BBVA Research.
The Private and Prime Banks maintained frequent contact with their clients, carrying out
virtual activities spreading various topics, mainly on financial and economic markets, both
locally and internationally, for the benefit of those who make up their segment. For this,
BBVA exhibitors and external guests participated.
In December, also virtually, BBVA held the first SME Opportunity Creators Summit, which
included a series of advisory, training, and education activities to help entrepreneurs
answer their questions about how to ensure the operability and continuity of their
ventures in times of pandemic.
Likewise, community service programs continued to be implemented throughout the year

through the BBVA Foundation, many of which were adjusted to digital formats to serve a
greater number of the population.
The different chapters that accompany this report give a detailed account of the various
actions that the Bank carries out to reach its various stakeholders.
4
Information of interest not dealt with in the previous sections is included, which helps the investor and the various stakeholders to
have a greater scope on other good corporate governance practices implemented by the company, as well as on practices related to
social responsibility. corporate, the relationship with institutional investors, etc. Likewise, the company may indicate whether it has
voluntarily adhered to other codes of ethical principles or good practices, international, sectoral or of another scope, indicating the
code and the date of adherence.
404
6.5.8. Corporate Sustainability Report (10180)
Denomination Banco BBVA Perú

Exercise 2020
Web page www.bbva.pe
Name or Company Name of the Reviewing Company1 KPMG
RPJ
I. Environment and Climate Change
Environmental Policy:
Question 1 Yes No Explanation
Does the company have an environmental policy BBVA's General Sustainability

or a management system that includes Policy includes the Group's
environmental commitments? X commitment to the
responsible management of
natural resources, the main
expression of this
commitment is the Global Eco-
efficiency Plan (GEP) with
specific goals by indicator and
country that is renewed every
4 years.
a. If the answer to question 1 is affirmative, indicate the name of the document in which the policy or
management system adopted by the company is evidenced, date of approval and the year from
which it has been applied:
Year from which it has

Document name Approval date been applied
BBVA Group General Sustainability Policy 28/10/2020 2020
1
It is only applicable in the event that the information contained in this report has been reviewed by a specialized company (for
example: auditing company or consulting company).
405
b. If the answer to question 1 is yes, specify:
Yes No Explanation
Has said environmental policy or management The General Sustainability

system been approved by the Board of Policy is a global policy,
Directors? X therefore it is approved by the
Board of Directors at the
Holding level before being
adopted by BBVA Peru.
Does said environmental policy or management The General Sustainability

system contemplate risk management, Policy mentions the
identification and measurement of the management of the impact of
environmental impacts of its operations related climate change, which is
to climate change(*)? X established in the strategic plan
approved by the Board in 2019
and has climate change and
inclusive and sustainable social
development as priorities.
Does the company have an annual report in The BBVA Peru Board of
which the results of its environmental policy are Directors evaluates the results
evaluated and which has been made known to of environmental
the Board of Directors? X management during the
review of the Integrated
Annual Report.
(*) Society is expected to consider, in the management related to climate change, the “physical” aspects (floods, landslides, droughts,
desertification, etc.) and/or the “transition” aspects to a new low economy in carbon (use of new technologies, decarbonization of
investment portfolios, etc.).
(*) Society is expected to consider, in the BBVA has not been the subject
management related to climate change, the of investigations, complaints
“physical” aspects (floods, landslides, droughts, from the community or
desertification, etc.) and/or the “transition” controversies for the violation
aspects to a new low economy in carbon (use of of environmental regulations.
new technologies, decarbonization of
investment portfolios, etc.)(*) X
(*) It is expected that the company considers at this point those investigations, community complaints, public controversies or
corrective measures, precautionary measures, fines or other sanctions, that are linked to impacts of a material nature. In accordance
with the definition of the Global Reporting Initiative, materials are understood to be those aspects that reflect significant economic,
environmental and social impacts of the organization or substantially influence the assessments and decisions of stakeholders.
a. If the answer to question 2 is affirmative, indicate the type of investigation, community complaint,
public controversy, corrective measure, precautionary measure, fine or other sanction, that involves
the violation of environmental regulations to which there is the company has been subject to during
the fiscal year; as well as its status or situation at the end of the year:
Investigation, community complaint, public controversy

corrective measure, injunction, fine or other sanction Status or situation
b. Specify if the company maintains any investigation, community complaint, public controversy,
corrective measure, precautionary measure, fine or other sanction, that involves a breach of
environmental regulations initiated in previous years; as well as the status or situation of the same at
the end of the year:
Investigation, community complaint, public controversy

corrective measure, injunction, fine or other sanction Status or situation
406
Greenhouse Gas Emissions (GHG):
Does the company measure its GHG BBVA measures its GHG
emissions(*)? X emissions and has reduction
commitments through the
Global Eco-efficiency Plan
(GEP). Scope 1 (Emissions
derived from the
consumption of fuels (LPG,
Diesel) and the Bank's
vehicles in Tons of CO2),
Scope 2 (Emissions derived
from the consumption of
electricity in Tons of CO2) and
Scope 3 (Emissions derived
from rented vehicles) are
measured. and business trips
of Bank professionals in Tons
of CO2).
(*) Greenhouse Gases (GHG): Gases in the atmosphere, of natural or human origin that trap the sun's energy in the atmosphere,
causing it to heat up (Law No. 30754, Framework Law on Climate Change, or regulation that replaces or modifies it).
a. If the answer to question 3 is yes, specify:
Document name Required information
If the company has a certification, report or report from a third The Peruvian Ministry of the Environment has recognized BBVA
party that evidences the measurement of total GHG emissions(*), as a pioneer and leader in the use of the Peru Carbon Footprint
indicate the name of the same, date of issue and if it is in force at tool, which allows identifying public and private organizations
the end of the year. that have managed to manage their greenhouse gas emissions.
In this way, the financial institution reaffirms its sustainable
commitment and care for the environment.
If the company has an internally developed platform, tool or BBVA has a corporate platform called “Sustainability Data
standard for measuring total GHG emissions(*), indicate its name, Upload” in which information related to environmental indicators,
its implementation date and, if applicable, its latest update. including GHG, is recorded monthly. BBVA Peru has used the
standardized global platform since 2017.
(*) The total GHG emissions generated by a company are called the corporate carbon footprint.
b. If the answer to question 3 is affirmative, indicate the following information corresponding to the
last three (3) exercises:
Total GHG Emissions (TM CO2e)

Year Scope 1(*) Scope 2(**) Scope 3(***)
2020 92.73 5,321.68 336.23

2019 88.27 7,703.16 1,666.82
2018 83.46 9,610.21 2,179.31
(*) Scope 1: GHG emissions that are directly generated by the company. For example, emissions from combustion in boilers, furnaces,
vehicles, etc.
(**) Scope 2: GHG emissions generated indirectly by the use of energy by the company.
(***) Scope 3: All other GHG emissions generated indirectly by the company. For example: air travel, land travel, paper consumption,
transfer of employees, etc.
407
Question 4 Sí No Explicación
Does the society have objectives or targets to Within the framework of the
reduce GHG emissions? X Global Eco-Efficiency Plan
(GEP) to reduce its
environmental footprint, the
BBVA Group has adopted
since 2008 various initiatives
that include efficient energy
consumption, such as the
implementation of renewable
energies, the use of new
technologies for saving energy,
environmental and energy
audits in buildings and
rationalization of resources to
make infrastructure more
efficient, among other
measures that help reduce
GHG emissions.
a. If the answer to question 4 is affirmative, indicate the name of the document that supports the
objectives or targets for reducing GHG emissions by society, date of approval of the targets or
targets and the year from which it has been applied:

Global Eco-efficiency Plan (GEP) 2016-2020 15/12/2016 2016
Yes No Explanation
Have said reduction objectives or targets been The Global Eco-Efficiency Plan
approved by the Board of Directors? X (GEP), which indicates the
reduction goals for each
environmental indicator, is
approved by the Holding.
408
Water:
Does the company measure its water Within the framework of the
consumption (in m3) in all its activities? X Global Eco-Efficiency Plan
(GEP) to reduce its
environmental footprint, an
objective has been established
in the Environmental
Management System that
includes the measurement and
reduction of water
consumption per occupant,
among other measures, within
a new concept for “green
office”. Likewise, as part of the
transformation of the corporate
building of the central
headquarters, energy-saving
taps and low-consumption
sanitary appliances have been
fitted out.
If the answer to question 5 is affirmative, indicate the following information corresponding to the last
three (3) exercises:
Year Total Water Consumption(m3)
2020 192,829.26
2019 176,933.00
2018 175,286.00
Does society measure its water footprint(*)? X BBVA does not consider the
measurement of the water
footprint relevant in its
processes because the
impacts of the bank's
operations are not significant
as it is a financial services
company.
(*) Water footprint: indicator that defines the total volume of water used and impacts caused by the production of goods and services.
It considers the direct and indirect water consumption in the entire production process, including its different stages in the supply
chain ("Standard that Promotes the Voluntary Measurement and Reduction of the Water Footprint and Shared Value in Watersheds" -
Chief Resolution No. 023-2020-ANA, or regulation that replaces or modifies it).
If the answer to question 6 is yes, specify:
Measurement of water footprint Required information
If the company has a certification, report or report from a third

party that evidences the measurement of its water footprint,
indicate the name of the same, date of issue and if it is in force at
the end of the year.
If the company has an internally developed platform, tool or
standard for measuring its water footprint, indicate its name, its
implementation date and, if applicable, its latest update.
409
Does society have objectives or goals to reduce Within the framework of the
its water consumption? X Global Eco-Efficiency Plan
(GEP) to reduce its
technologies for saving
energy, environmental and
energy audits in buildings and
GHG emissions.
a. If the answer to question 7 is affirmative, indicate the name of the document in which
the society's water consumption reduction objectives or goals are evidenced, the date of
approval and the year from which it has been applied:

Yes No Explanation
Does the company control the quality of its BBVA does not have a direct
effluents(*)? X discharge of wastewater into
the environment because it is
a company that provides
financial services.
(*) Effluent: Direct discharge of wastewater into the environment, whose concentration of polluting substances must contemplate the
Maximum Permissible Limits (MPL) regulated by Peruvian legislation. Wastewater is considered to be those whose characteristics
have been modified by anthropogenic activities, require prior treatment and can be discharged into a natural body of water or reused.
(Glossary of Terms for Peruvian Environmental Management, General Directorate of Environmental Management Policies, Standards
and Instruments, 2012, Ministry of the Environment - MINAM).
If the answer to question 8 is affirmative, indicate the name of the document that
evidences the control of effluents:
Document name
410
Energy:
Does society measure its energy consumption Within the framework of the
(in kWh)? X Global Eco-Efficiency Plan
(GEP) to reduce its
that include measuring
electricity consumption (kWh)
per occupant, as well as
reducing it.
If the answer to question 9 is affirmative, indicate the following information corresponding

to the last three (3) exercises:
Year Total Energy Consumption (kWh)
2020 34,662,202
2019 34,389,123
2018 36,120,669
Does society have goals or targets to reduce its Within the framework of the
energy consumption? X Global Eco-Efficiency Plan
(GEP) to reduce its
GHG emissions.
the reduction objectives adopted by the company are evidenced, date of approval and the
year from which it has been applied:

411
Yes No Explanation
Solid waste:
Does society measure the solid waste it Within the framework of the
generates (in tons)? X Global Eco-Efficiency Plan
(GEP) to reduce its
that include the measurement,
establishment of controls and
the collection of waste
resulting from inputs such as
paper, electrical appliances
and other remnants
throughout the BBVA Group's
sphere of influence. It should
be noted that since 2019 the
information broken down by
type of waste has been
collected, that is why there is
no data for 2018.
If the answer to question 11 is affirmative, indicate the following information

corresponding to the last three exercises:
Non-hazardous solid waste Total solid waste

Year Hazardous solid waste (TM)(*) (TM)(**) (TM)
2020 1 1,103 1,104

2019 2 1,032 1,034
2018
(*) Hazardous solid wastes: Hazardous solid waste is considered to be those contemplated in Annex III of the Regulation of Legislative
Decree No. 1278, Legislative Decree that approves the Law of Integral Management of Solid Waste, approved by Supreme Decree No.
014-2017-MINAM, or regulation that replace or modify it.
(**) Non-hazardous solid waste: Non-hazardous solid waste is considered to be those contemplated in Annex V of the Regulation of
Legislative Decree No. 1278, Legislative Decree that approves the Law of Integral Management of Solid Waste, approved by Supreme
Decree No. 014-2017-MINAM, or regulation that replace or modify it.
412
Does society have objectives or goals to manage Within the framework of the
(reduce, recycle or reuse) its solid waste? X Global Eco-Efficiency Plan
(GEP) to reduce its
GHG emissions.
the solid waste management objectives adopted by the company are evidenced, date of
approval and year from which it has been applied.

Global Eco-Efficiency Plan (GEP) 2016-2020 15/12/2016 2016
Yes No Explanation
Have these reduction targets been approved by The Global Eco-Efficiency Plan
the Board of Directors? X (GEP), which indicates the
413
II. Social
Stakeholders:
Has the company identified the risks and From the risk management
opportunities in relation to its stakeholders framework, we have a Risk
(such as, for example, employees, suppliers, Policy. Likewise, there are
shareholders, investors, authorities, customers, listening and dialogue tools
the community, among others)? X that the different Bank units
use to generate
communication with their
stakeholders, which guarantees
adequate and timely attention
to their queries and needs from
reliable and close sources of
information. which in turn
improves responsiveness.
a. If the answer to question 13 is yes, please indicate:
Yes No Explanation
Do you have an action plan to manage risks and Each area of BBVA that
opportunities in relation to your stakeholders? X manages relations with the
different stakeholders has
established guidelines and
action plans to identify risks
and opportunities.
Does the company have a report evaluating the At Board meetings, the areas
results of its action plan and has this been that manage relations with the
known to the Board of Directors? X different stakeholders present
reports independently.
Do you publicly report your action plan and Our 2020 Integrated Annual
progress in relation to your stakeholders? X Report details the specific
commitments with the
following stakeholders:
customers, employees,
shareholders and investors,
society and suppliers.
b. If the answer to question 13 is affirmative, indicate the name of the document that
evidences the company's action plan in relation to its stakeholders:
Document name
Annual Report 2020 - Integrated Report (where are the different commitments for each stakeholder)
414
During the year, has the company had any BBVA has had no
controversy or material conflict (*), with any of controversies or material
its stakeholders, including the social conflicts conflicts with any of its
contained in the Social Conflict Report of the stakeholders.
Ombudsman's Office (**) and the Willaqniki
Report on social conflicts issued by the
Presidency of the Council of Ministers(***)? X
(*) According to the definition of the Global Reporting Initiative, materials are understood to be those aspects that reflect significant
economic, environmental and social impacts of the organization or substantially influence the assessments and decisions of
stakeholders.
(**) A “social conflict” should be understood as “a complex process in which sectors of society, the State and companies perceive that
their objectives, interests, values or needs are contradictory and that contradiction can lead to violence. " Source: Office for the
Prevention of Social Conflicts and Governance of the Office of the Ombudsman of Peru. Report of Social Conflicts N ° 186 (August-
2019), Lima, 2019, p. 3.
(***) “Social conflict” is defined as the “dynamic process in which two or more social actors perceive that their interests are generally
opposed by the exercise of a fundamental right or by access to goods and services, adopting actions that may constitute a risk or a
threat to governance and/or public order. As a social process, it can escalate to scenarios of violence between the parties involved,
meriting the articulated intervention of the State, civil society and the productive sectors. Social conflicts are dealt with when the
demands that generate them are within the Government's policies and its guidelines. " Source: Secretariat for Social Management and
Dialogue of the Presidency of the Council of Ministers. ABC of the Secretariat for Social Management and Dialogue. Lima, 2018, p.3.
If the answer to question 14 is affirmative, indicate the controversy or material conflict

with any of your stakeholders; the status or situation of the same and the year of
beginning of said controversy or conflict:
Controversy or conflict Status or situation Start year
Does the company include environmental, social BBVA carries out a

and corporate governance (ESG) aspects in its homologation process for
criteria for purchasing and/or selecting recurring suppliers with higher
suppliers of goods and/or services? X purchase volumes. Said
homologation consists of
assessing their financial, legal,
employment and reputational
situation, knowing their basic
technical capabilities and
validating that they share the
same values as the Group in
terms of social responsibility.
The process also makes it
possible to find out if the
supplier complies with its legal
responsibilities (labor or
environmental regulations,
among others) and to
promote its civic
responsibilities.
If the answer to question 15 is affirmative, indicate the name of the document that
evidences the inclusion of ESG aspects in the criteria for purchasing and/or selecting
suppliers of goods and/or services:
Document name
Homologation to suppliers
415
Labor rights:
Question 16 Sí No Explicación
Does the company have a labor policy? X The Bank has a Code of
Conduct, this code is a basic
standard of commitment for
any natural or legal person
that performs actions on
behalf of BBVA. It also sets out
the principles and values that
regulate the actions of all
employees. Also, it has the
BBVA Commitment on Human
Rights, which seeks strict
compliance with the
applicable legislation in its
activities and operations, a
commitment that includes the
promotion and respect of
human rights. Likewise, it has
the Internal Labor Regulation
that establishes the
obligations and rights for both
parties (collaborators and
company).
a. If the answer to question 16 is yes, specify:
Yes No Explanation
Has said labor policy been approved by the X The Code of Conduct and
Board of Directors? BBVA’s Commitment to
Human Rights come from the
Holding to be adopted by
each country. On the other
hand, the Internal Work
Regulations (RIT) have been
approved by the Management
Committee, made up of the
General Managers of the area,
in 2012 (before that BBVA
had a previous version of the
RIT).
Does the company have a report evaluating the A report on compliance with
results of its labor policy and has this been the Code of Conduct is
known to the Board of Directors? X presented to the Management
Committee, made up of the
area General Managers.
416
b. If the answer to question 16 is affirmative, indicate if said labor policy includes and/or
promotes, as appropriate, the following topics; as well as specify the name of the
document that evidences its adoption, date of approval and the year from which it has
been applied:
Year from
Approval which it has
Yes No Document name date been applied
a. Equality and non- X •Internal Work Regulations 3/08/2012 2012

discrimination. (approval date corresponds to
MINTRA approval) - Code of
Ethics
b. The diversity. X •Internal Work Regulations 3/08/2012 2012

(approval date corresponds to
Ethics
c. Prevention of sexual X •Internal Work Regulations 3/08/2012 2012

harassment(*). (approval date corresponds to
Ethics
d. Prevention of harassment X •Internal Work Regulations 3/08/2012 2012

and sexual harassment (approval date corresponds to
crimes(**). MINTRA approval) - Code of
Ethics
and. Freedom of affiliation and X •Internal Work Regulations 3/08/2012 2012

collective bargaining. (approval date corresponds to
Ethics
f. Eradication of forced labor. X •Code of conduct 24/09/2015 2015
g. Eradication of child labor. X •Code of conduct 24/09/2015 2015
(*) Take into consideration the scope of Law No. 27942.

(**) Take into consideration the scope of articles 151-A and 176-B of the Penal Code, respectively.
c. Indicate the number of men and women within the organization and the percentage
they represent of the total number of collaborators.
Percentage of total
Employees Number employees
Women 3,166 53
Men 2,808 47
Total 5,974 100.00
During the fiscal year, has the company been BBVA has not been the subject
the object of an investigation or has any of investigations nor has it
corrective measure, precautionary measure, fine been imposed corrective,
or other sanction been imposed related to non- precautionary measures, fines
compliance with labor regulations, health and or sanctions related to non-
safety, forced labor or child labor? X compliance with labor, health
and safety regulations, forced
labor or child labor.
417
a. If the answer to question 17 is affirmative, indicate the type of investigation,
corrective measure, precautionary measure, fine or other sanction, to which the
company has been subjected during the year related to non-compliance with labor
regulations, health and security, forced labor or child labor; as well as its status or
situation at the end of the year:
Investigation, corrective measure,

precautionary measure, fine or other sanction Status or situation
b. Specify whether the company maintains current investigations, corrective measures,

precautionary measures, fines or other sanctions from previous years related to non-
compliance with labor regulations, health and safety, forced labor or child labor; as well as
its status or situation at the end of the year:
Investigation, corrective measure,

precautionary measure, fine or other sanction Status or situation
Does the company carry out an annual The annual evaluation is

evaluation of its compliance or observance of carried out as an opportunity
the regulations regarding Health and Safety at for improvement under our
Work? X Occupational Health and
Safety program.
Does the company keep a record of In the last 3 years, there have
occupational accidents? X been no fatal accidents. It
should be noted that since
2020 the information has
been disaggregated, including
minor and disabling accidents,
so that such information is not
available for the years 2019
and 2018. Likewise, we do not
have such disaggregated
information from our
contractors, only the detail of
fatal accidents.
418
If the answer to question 19 is affirmative, indicate the following information
corresponding to occupational accidents(*) of direct(**) and contracted(***) employees of
the company in the last three (3) years:
Indicator Year (Year-1) (Year-2)
Exercise 2020 2019 2018

Number of Direct Employees 6,178
Total hours worked by all direct employees during the year 1,181,800
Number of Minor Accidents (Direct Employees) 1
Number of Disabling Accidents (Direct Employees) 2
Number of Fatal Accidents (Direct Employees) 0 0 0
Indicator Year Year-1) (Year-2)
Exercise 2020 2019 2018

Number of Employees hired
Total hours worked by all employees hired during the year
Number of Minor Accidents (Hired Employees) 0
Number of Disabling Accidents (Hired Employees) 0
Number of Fatal Accidents (Hired Employees) 0 0 0
(*) Mild accident: Event whose injury, the result of a medical evaluation, which generates a short rest in the injured person with
maximum return the day after their usual work. Disabling Accident: Event whose injury, as a result of the medical evaluation, gives rise
to rest, justified absence from work and treatment. Mortal accident: Event whose injuries cause the death of the worker. Source:
Glossary of Terms of the Regulation of Law No. 29783 - Health and Safety Law at Work, Supreme Decree No. 005-2012-TR or
regulation that replaces or modifies it.
(**) Direct employees are considered to be all those who are directly linked to the company through any contractual modality.
(***) Hired employees are considered to be all those who carry out outsourced activities.
Does society measure its work climate? X BBVA measures the

commitment levels of its
employees through the Gallup
Q12 survey. These questions
seek to measure employee
engagement and explain the
productive motivations of
employees at work. The Q12 or
12 elements of commitment
are separated into categories
such as: basic needs,
individual, teamwork and
growth. Additionally, questions
have been added regarding
the experience of our values,
diversity and work-life
balance.
419
a. If the answer to question 20 is yes, indicate:
Yes No Explanation
Does the company have objectives or goals to At a global level, we have the
improve its work environment? X goal of achieving a score
equal to or greater than 4.60
out of 5 by 2024 in all the
countries where BBVA is
located. And keeping that
objective in mind, at the local
level, we have the goal of
reaching a score of 4.30 at
the country level during this
year 2021. In this way, we can
grow 0.1 points annually.
b. In case you have indicated having objectives or goals to improve your work
environment, indicate the name of the document in which these objectives are evidenced,
date of approval and the year from which it has been applied:

Engagement plan at BBVA 2020-2024 (Gallup) 2/09/2020 2020
Does the company have a talent management Talent Map: Tool that decants
policy for its employees? X from the evaluation of the
performance of the last 2
years and the assessment of
skills. It allows offering a
differentiated value offer,
recognizing the collaborator
with the best performance.
Compensation administration
policy: It sets levels and
degrees that those people with
a certain performance must
occupy in the Salary Band and
the Target Bonus.
a. If the answer to question 21 is affirmative, indicate the name of the document that
supports the talent management policy for your collaborators:
Document name
Compensation administration policy
420
Yes No Explanation
Has said talent management policy been The initiative of the salary
approved by the Board of Directors? X bands was presented in the
December 2020 committee.
The Talent Map is the
corporate talent model of the
Holding, it is approved by
Holding, it is not optional for
Peru.
Does the society have procedures to identify In 2020, the Responsible

and punish sexual harassment and hostility at Attitude Program (PARE) was
work? (*) X relaunched to reinforce the
desired actions within the
framework of the Code of
Conduct, which includes the
section on “Conduct with
colleagues” regarding work
environment issues and sexual
harassment.
(*) Take into consideration the scope given by Law No. 27942 to sexual harassment and Supreme Decree No. 003-97-TR to workplace
hostility or regulation that replaces or modifies it.
If the answer to question 22 is affirmative, indicate the name of the company document
that supports the procedures to prevent sexual harassment and hostility at work:
Document name
Code of Conduct
421
Human rights:
Does the company have an internal and external One of the purposes of the
management policy or system that includes a Code of Conduct of BBVA and
channel for complaints/reports to deal with the BBVA Group companies in
impacts on human rights? X Peru is to reinforce the
obligation of its members not
to tolerate behavior that
deviates from the policies and
guidelines indicated in it and
to prevent any action in the
development of functions of
the members of the Group
outside of the law, or that are
morally questionable. The
Whistleblower Channel is a
means by which any
stakeholder can report any
non-compliance that he or she
observes or is transmitted to
him by other collaborators,
clients or suppliers, which
includes, but is not limited to,
illegal or unethical conduct. To
do this, you must comply with
the following procedure:
• Discuss the case with your
immediate superior or your
Talent & Culture Manager.
• Notify the case through the
local Whistleblower Channel.
Does the company register and respond, within The Whistleblower Channel
a specified period, the results of the has specific deadlines for
investigations derived from the monitoring the investigations
complaints/reports referred to in the preceding derived from it.
question? X
422
a. If the answer to question 23 is affirmative, indicate the name of the document
evidencing the policy or the internal and external management system adopted by the
company, the date of issue and the year since it has been implemented:
Document name Date of issue Implementation year
Code of conduct 24/09/2015 2015
b. If the answer to question 23 is yes, indicate:
Yes No Explanation
Does the company have a report evaluating the BBVA adheres to the
results of its internal and external policy or Principles of the Global
management system to remedy impacts on Compact and each year
human rights? X prepares and disseminates
the United Nations
Communication on
Progress Report (COP), for
more information you can
review the Annual Report
2020 - Integrated Report
Does the company have a training plan on Within the framework of the
human rights issues that covers the entire X Code of Conduct, which
organization? includes a chapter on
"Commitment to respect
Human Rights", during 2020
the Responsible Attitude
Program (PARE) was
relaunched to reinforce the
desired actions within the
framework of the Code of
conduct. Likewise, the BBVA
Code of Conduct course was
included in the regulatory
course pack to reinforce its
validity and application
through didactic cases.
423
III. Additional information
Does the company have an Although, indeed, BBVA does not have
international certification on Corporate an international certification on
Sustainability? X corporate sustainability, we do comply
with the main international standards
on corporate social responsibility
(CSR), as well as with other initiatives
that the Responsible Business
Committee considers appropriate and
convenient, which is reflected in the
following commitments:
•Principles of Responsible Banking,
promoted by the Financial Initiative of
the United Nations Environment
Program (UNEP FI) (Since 2019).
•Sustainable Development Goals
(https://www.undp.org/content/undp/
es/home/sustainable-development-
goals.html). (Since 2018).
•United Nations Global Compact
(www.globalcompact.org). (Since
2014).
•Finance Initiative of the United
Nations Environment Program, UNEP-
FI (www.unepfi. org). (Since 1999).
•Principles of Ecuador (www.equator-
principles.com).
•United Nations Declaration of Human
Rights (www.un.org).
•Labor regulations of the International
Labor Organization (www.ilo.org).
•Carbon Disclosure Project
(www.cdproject.net). (Since 2004).
(www.unpri.org). (Since 2004).
•Task Force on Climate-related
Financial Disclosures (TCFD).
https://www.fsb-tcfd.org/). (Since
2017).
(Since 2008).
If the answer to question 24 is affirmative, indicate the certification that the company has
and indicate the web link where this can be validated.
International certification Link
424
Does the company have a Corporate BBVA presents its 2020

Sustainability Report different from this report? Integrated Annual Report for
X the first time, after reporting
the information related to
sustainability through the
Responsible Banking Report
since 2005, aligned with the
Communication on Progress
(COP) of Commitment 2025.
Non-financial information is
verified by an independent
third party.
If the answer to question 25 is affirmative, indicate its name and the web link through
which the latest available report can be accessed:
Report Name Link
Annual Report 2020 - Integrated Report https://bbva.pe/personas/nuestro-

banco/investor-relations/memoria-
financiera.html
425
6.5.9. Report on shareholder structure
by type of investor (10190)
Denomination: Banco BBVA Perú

Exercise: 2020
Methodology
The information to be presented refers to those shares or securities representing the

Company's participation that have been part of the S & P/BVL Peru Select Index,
following the information published on the Lima Stock Exchange website at the end of the
fiscal year. reported. The Company must indicate for each share or security
representative of this, which belongs to the referred index, the composition of the
shareholding structure by type of shareholder.
Shareholder structure by type of investor Action: [ISIN PEP116001004 Mnemonic CONTINC1]
Holdings by type of shareholders of the share or representative value of participation that Number of % of par-
make up the S&P Peru Selective Index (at the end of the fiscal year) holders ticipation(3)
1 Board members and senior management of the company, including relatives(1) 1 0.00%
2 Employees of the company, not included in numeral 1 78 0.04%
3 Natural persons, not included in numeral 1 and 2 7,913 2.78%
4 Pension funds are administered by the Pension Fund Administrators under the supervision of the
Superintendency of Banking, Insurance and AFP (pensions). 12 4.75%
5 Pension fund administered by the Social Security Normalization Office (ONP) 0 0.00%
6 Entities of the Peruvian State, with the exception of the assumption included in numeral 5 3 0.01%
7 Banks, finance companies, municipal savings banks, edpymes, rural banks and savings and
credit cooperatives under the supervision of the Superintendency of Banking, Insurance and
AFP (pensions) 0 0.00%
8 Insurance companies under the supervision of the Superintendency of Banking, Insurance and
AFP (pensions). 3 0.08%
9 Brokerage agents, under the supervision of the SMV 3 0.02%
10 Investment funds, mutual funds and trust assets under the scope of the Securities Market Law
and the Law of Investment Funds and bank trusts under the scope of the General Law of the
Financial System 15 0.04%
11 Autonomous patrimonies and bank trusts abroad, to the extent that they can be identified 0 0.00%
12 Foreign depositaries listed as shareholders within the framework of ADR or ADS programs 0 0.00%
13 Foreign depositaries listed as holders of shares not included in number 12 0 0.00%
14 Foreign custodians listed as shareholders 0 0.00%
15 Entities not included in previous numerals(2) 23 92.29%
16 Shares belonging to the S & P/BVL Peru Select Index or representative value of these shares,
in the company's portfolio 0 0.00%
Total 8,051 100.00%
Holdings by holders of the share or the representative value of participation that make up Number of % of par-
the S & P/BVL Peru Select Index, according to their residence (at the end of the year) holders ticipation(3)
Domiciled 7,983 99.81%

Not domiciled 68 0.19%
Total 8,051 100.00%
(1) Term “Relatives” according to the Indirect Property, Relationship and Economic Groups Regulations.
(2) Term “Entities” according to the Indirect Ownership, Relationship and Economic Groups Regulations.
(3) Two decimal places.
426
6.6. Branch and agent network
Offices in Lima
By territorial managements
Offices Commercial Special Total
Main Office 1 — 1
G.T. Lima Centro 25 1 26
G.T. Lima Residencial 19 1 20
G.T. Surco – La Molina 25 3 28
G.T. Lince 23 1 24
G.T. Callao – San Miguel 25 4 29
G.T. Miraflores 24 — 24
CAFAE — 6 6
Total 142 16 158
Offices in provinces
By territorial managements
Offices Commercial Special Total
G.T. Norte 30 1 31
G.T. Centro 23 3 26
G.T. Oriente 22 — 22
G.T. Sur 25 1 26
G.T. Norte Chico 29 4 33
G.T. Sur Chico 25 — 25
Total 154 9 163
Total offices in Lima 142 16 158

Total offices in the province 154 9 163
Total 296 25 321
Offices for Business and Corporate Banking, Corporate & Investment

Banking, Institutional Banking and Patrimonial Banking
Offices Lima Provinces Total
Business Banking 12 8 20
Premium Banking 3 — 3
Institutional Banking 1 — 1
Corporate Banking 1 — 1
Total 17 8 25
427
Express Agents Network
Nº Express
Departament Agents
Lima Lima 2,652

Total Lima 2,652
Province Amazonas 24
Áncash 86
Apurímac 21
Arequipa 293
Ayacucho 29
Cajamarca 123
Callao 302
Cusco 145
Huancavelica 4
Huánuco 44
Ica 90
Junín 126
La Libertad 244
Lambayeque 209
Loreto 51
Madre de Dios 5
Moquegua 21
Pasco 27
Piura 171
Puno 45
San Martín 104
Tacna 32
Tumbes 33
Ucayali 62
Total province 2,291
Total Express Agents 4,943
Agents Express Plus Network
Nº Express
Departament Plus Agents
Lima(*) Lima 7
Total Lima 7
Province Áncash 1
Arequipa 2
Cajamarca 1
Huánuco 2
Ica 2
La Libertad 3
Lambayeque 2
Loreto 1
Madre de Dios 1
Piura 2
Puno 1
San Martín 1
Tacna 1
Tumbes 1
Ucayali 2
Total province 23
Total Express Plus Agents 30
428
7. Criteria and
standards of
non-financial
information
GRI 102-43, 102-46, 102-48, 102-49, 102-50, 102-51, 102-52, 102-54, 102-56
This report has been prepared to give an account of BBVA’s actions in its commitment to
sustainable development during the 2020 financial year. For the first time, BBVA
presents financial and non-financial information in a single document, called Annual
Report 2020-Integrated Report (AR-IR).
The development of this version, like that of 2019, follows the internationally recognized
standards based on the Sustainability Reporting Standards model of the Global
Reporting Initiative (GRI Standards), in its exhaustive option, while incorporating the
criteria of the AA1000 standard. of the Institute Social and Ethical Accountability.
The data provided refers, in a relevant and concise manner, to the financial and non-
financial framework regarding BBVA’s strategy, corporate governance and performance,
on an annual basis and ending on December 31, 2020. For this report, They include
comparative data for the years 2017, 2018 and 2019. If, in any event, any modification
occurs in the historical data due to subsequent changes in the indicators, the respective
indication is attached.
For the development of the AR-IR 2020, the materiality analysis has been considered, to
identify the relevant matters for the Bank and, consequently, for its different
stakeholders, which are dealt with in the different chapters of this report.
It should be noted that the AR-IR 2020 complies with the guidelines of the United
Nations Global Compact, including the actions of BBVA that contribute to achieving the
United Nations Sustainable Development Goals as part of its sustainability and
corporate responsibility policy.
Principles to ensure the quality of information

GRI 102-43
The principles of the AR-IR 2020 respond to the guidelines of the Sustainability Reporting
Standards (GRI Standards), both in the definition of the content and in the quality of the
information. The principles mentioned are:
Stakeholder participation: BBVA details its stakeholders and explains how they have
responded to its reasonable expectations and interests.
Sustainability context: The AR-IR 2020 highlights the organization’s practices in the
broader context of sustainability with the information available.
Materiality: The AR-IR 2020 takes into account the specific aspects that reflect the
significant economic, environmental and social effects of the organization or that
substantially influence the evaluations and decisions of the stakeholders.
429
Completeness: The AR-IR 2020 considers the material and coverage aspects that
explain the economic, environmental and social impact of the Bank's actions.
Balance: BBVA supports this principle by including both positive and negative aspects
based on its performance in the AR-IR 2020, to promote an objective and well-
founded evaluation of its general performance.
Comparability: BBVA consistently presents the information compared to the last four
years; in this way, stakeholders can determine the evolution of performance in recent
years.
Precision: The AR-IR 2020 presents accurate and detailed information that allows
stakeholder analysis regarding the organization’s performance.
Punctuality: The Bank complies with a regular calendar for the presentation of its
reports, so that its stakeholders have the information on time and allow them to make
well-founded decisions.
Clarity: The information is presented in such a way that the stakeholders it is

addressed to can access and understand it properly.
Reliability: The information has been compiled, recorded, compiled, analyzed and
presented in such a way that it can be subject to evaluation by an external auditor. The
financial information –separately audited financial statements and consolidated
audited financial statements– as well as the non-financial information –detailed in the
GRI Content Index– of the AR-IR 2020 has been verified by the company KPMG, which
reviewed said information according to the scope included in the report. The
recommendations made manifest in these review processes are the subject of an
action plan that ensures their implementation.
430
8. GRI content index
GRI 102-55
General basic disclosures GRI Standards
Page number / Chapter /

Indicator Direct answer Reason for omission External assurance
GRI 102 General disclosures 2016
Organizational profile
102-1 Name of the organization Page 10 – About BBVA ✓
102-2 Activities, brands, products, and Page 10 – About BBVA ✓
services Page 24 – Strategy and management
model
Page 88 – Products with high social
impact
102-3 Location of headquarters Page 10 – About BBVA ✓
102-4 Location of operations Page 10 – About BBVA (Impact data) ✓
102-5 Ownership and legal form Page 10 – About BBVA ✓
Page 333 – Constitution and corporate
purpose
102-6 Markets served Page 10 – About BBVA (Impact data) ✓
Page 15 – Environment
Page 101 – Business and activities
102-7 Scale of the organization Page 10 – About BBVA (Impact data) ✓
Page 11 – Key indicators of
Responsible Business
Page 12 – BBVA’s relevant data
102-8 Information about employees and Page 11 – Key indicators of ✓
other workers Responsible Business
102-9 Supply chain Page 66 – Responsible Purchasing ✓
(Supply Chain)
Page 67 – Number of suppliers and
invoiced volume
102-10 Significant changes to the organization Page 66 – Responsible Purchasing ✓
and its supply chain (Supply chain)
Page 67 – Policies and standards for
relations with suppliers
Page 68 – Homologation process
Page 69 – Impact management
102-11 Precautionary Principle or approach Page 62 – Internal control model ✓
Page 72 – Management of social,
environmental, and reputational risks
102-12 External initiatives Page 21 – Commitments signed ✓
Page 72 – Management of social and
environmental risks (Ecuador principles)
102-13 Membership of associations Page 22 – Engagement with initiatives ✓
Page 52 – Gobernance systems and
ethical behavior
Strategy
102-14 Statement from senior decision-maker Page 6 – Letter from the President ✓
Page 7 – Letter from the CEO
102-15 Key impacts, risks, and opportunities Page 6 – Letter from the President ✓
Page 26 – Materiality analysis
>
431
Ethics and integrity
102-16 Values, principles, standards, and Page 25 – BBVA’s values ✓
norms of behavior Page 27 – Responsible Banking Model
Page 58 – Advice on ethical and legal
behavior
Page 61 – Standards of Conduct
102-17 Mechanisms for advice and concerns Page 58 – Advice on ethical and legal ✓
about ethics behavior
Page 61 – Standards of Conduct
Page 62 – Whistleblower channel
Governance
102-18 Governance structure Page 54 – Board composition ✓
Page 56 – Board delegate
committees
102-19 Delegating authority Page 27 – Responsible Banking Model ✓
Page 28 – Group sustainability
target
102-20 Executive-level responsibility for Page 28 – Group sustainability ✓
economic, environmental, and social target
topics Page 52 – Governance systems and
ethical behavior
Page 53 – The Bank’s corporate
governance regime
102-21 Consulting stakeholders on economic, Page 26 – Materiality analysis ✓
environmental, and social topics Page 30 – Listening and dialogue
tools
102-22 Composition of the highest Page 54 – Board composition ✓
governance body and its committees
102-23 Chair of the highest governance body Page 54 – Board composition ✓
Page 335 – Brief profile of the board
members
Page 337 – Degree of bonding
102-24 Nominating and selecting the highest Page 52 – Corporate governance ✓
governance body regime
Page 338 – Committees
102-25 Conflicts of interest Page 56 – Compliance system ✓
behavior
102-26 Role of the highest governance body in Page 53 – The Bank’s corporate ✓
setting purpose, values, and strategy governance regime
behavior
Page 376 – Principle 16: Board
functions
Page 376 – Functions of Special
Committees
102-27 Collective knowledge of the highest Page 58 – Advice on ethical and legal ✓
governance body behavior
102-28 Evaluating of the highest governance Page 380 – Principle 20: Board ✓
body’s performance operability
102-29 Identifying and managing economic, Page 52 – Corporate governance ✓
environmental, and social impacts Page 53 – The Bank’s corporate
governance regime
>
432
102-30 Effectiveness of risk management Page 53 – The Bank’s corporate ✓

processes governance regime
Page 63 – Corporate Assurance
Page 72 – Management of social and
environmental risks
102-31 Review of economic, environmental, Page 73 – Social and environmental ✓
and social topics risk assessment
102-32 Highest governance body’s role in Page 2 – Declaration of ✓
sustainability reporting responsibility
Page 27 – Responsible Banking
Model
102-33 Communicating critical concerns Page 30 – Listening and dialogue ✓
tools
Page 61 – Whistleblower channel
102-34 Nature and total number of critical Page 61 – Whistleblower channel ✓
concerns Page 73 – Social and environmental
risk assessment
Page 376 – Principle 16: Functions of
the Board of Directors
102-35 Remuneration policies Page 49 – Compensation and ✓
remuneration
102-36 Process for determining remuneration Page 49 – Compensation and ✓
remuneration
102-37 Stakeholder’s involvement in Page 49 – Compensation and ✓
remuneration remuneration
102-38 Annual total compensation ratio Information not
available
102-39 Percentage increase in total annual Information not
compensation ratio available
Stakeholder engagement
102-40 List of stakeholder groups Page 29 – Stakeholders ✓
Page 31 – Listening and dialogue
tools
102-41 Collective bargaining agreements Page 50 – Working conditions ✓
102-42 Identifying and selecting stakeholders Page 26 – Materiality analysis ✓
Page 29 – Stakeholders
tools
102-43 Approach to stakeholder participation Page 26 – Materiality analysis ✓
tools
Page 429 – Criteria and standards of
non-financial information
Page 429 – Principles to ensure the
quality of information
102-44 Key topics and concerns raised Page 26 – Materiality analysis ✓
Reporting practice
102-45 Entities included in the consolidated Page 246 – Basis of consolidation ✓
financial statements
102-46 Defining report content and topic Page 26 – Materiality analysis ✓
Boundaries Page 429 – Criteria and standards of
102-47 List of material topics Page 26 – Materiality analysis ✓
102-48 Restatements of information Page 429 – Criteria and standards of ✓
102-49 Changes in reporting Page 429 – Criteria and standards of ✓
>
433
102-50 Reporting period Page 429 – Criteria and standards of ✓

102-51 Date of most recent report Page 429 – Criteria and standards of ✓
102-52 Reporting cycle Page 429 – Criteria and standards of ✓
102-53 Contact point for questions regarding Page 443 – Back cover ✓
the report
102-54 Claims of reporting in accordance with Page 429 – Criteria and standards of ✓
the GRI Standards non-financial information
102-55 GRI content index Page 431 – GRI content index ✓
102-56 External assurance Page 441 – Independent review report ✓

of non-financial information
GRI 103 Management approach 2016
103-1 Explanation of the material topic and Page 23 – Strategy and business ✓
its Boundary model
Page 26 – Materiality analysis
Page 27 – Responsible banking
model
103-2 The management approach and its Page 27 – Responsible banking ✓
components model
Page 35 – Management of complaints
and claims
Page 74 – Eco-efficiency
Page 77 – Environmental management
Page 88 – Products with high social
impact
Page 93 – Contribution to society
103-3 Evaluation of the management Page 62 – Internal control model ✓
approach Page 74 – Eco-efficiency
Economic dimension

GRI 201 Economic performance 2016
201-1 Direct economic value generated and Page 11 – Key indicators of responsible ✓
distributed business
201-2 Financial implications and other risks Page 21 – Engagement with ✓
and opportunities due to climate international initiatives
change Page 74 – Eco-efficiency
201-3 Defined benefit plan obligations and Page 50 – Social prevention system
other retirement plans ✓
201-4 Financial assistance received from the BBVA has not received public aid Not applicable
government aimed at the financial sector that is
intended to promote the development
of the banking activity
>
434
Economic dimension

GRI 202 Market presence 2016
202-1 Ratios of standard entry level wage by Page 49 – Compensation and ✓

gender compared to local minimum remuneration
wage
202-2 Proportion of senior management Page 49 – Diversity and work-life ✓
hired from the local community balance
GRI 203 Indirect economic impacts 2016
203-1 Infrastructure investments and Page 93 – Investment in social ✓

services supported programs
Page 99 – Knowledge, science, and
culture
203-2 Significant indirect economic impacts Page 93 – Investment in social ✓
programs
GRI 204 Procurement practices 2016
204-1 Proportion of spending on local Page 66 – Responsible purchasing ✓

suppliers
GRI 205 Anti-corruption 2016
205-1 Operations assessed for risks related Page 62 – Internal control model ✓
to corruption
205-2 Communication and training on Page 56 – Compliance system ✓
anti-corruption policies and
procedures
205-3 Confirmed incidents of corruption and Page 62 – Compliance system ✓
actions taken
GRI 206 Anticompetitive behavior 2016
206-1 Legal actions for anti-competitive BBVA has not identified any Not applicable
behavior, anti-trust, and monopoly Significant lawsuit in which a final
practices judgment has been issued against this
concept
Fiscal dimension

GRI 207 Tax 2019
207-1 Approach to tax Page 65 – Fiscal transparency ✓

207-2 Tax governance, control, and risk Page 65 – Fiscal transparency ✓
management
207-3 Stakeholder engagement and Page 65 – Fiscal transparency ✓
management of concerns related to
tax
207-4 Country-by-country reporting Page 10 – About BBVA ✓
>
435
Environmental dimension

GRI 301 Materials 2016
301-1 Materials used by weight or volume Page 77 – Sustainable Finance – ✓

301-2 Recycled input materials used Given the group’s activities, it is Not applicable
considered that this indicator is not
material
301-3 Reclaimed products and packaging Given the group’s activities, it is Not applicable
materials considered that this indicator is not
material
GRI 302 Energy 2016
302-1 Energy consumption within the Page 77 – Sustainable Finance – ✓

organization Eco-efficiency
302-2 Energy consumption outside the Given the group’s activities, it is Not applicable
organization considered that this indicator is not
material
302-3 Energy intensity Page 74 – Sustainable Finance – ✓
Eco-efficiency
302-4 Reduction of energy consumption Page 74 – Sustainable Finance – ✓
Eco-efficiency
302-5 Reductions in energy requirements of Given the group’s activities, it is Not applicable
products and services considered that this indicator is not
material.
GRI 303 Water 2016
303-1 Water withdrawal by source Page 77 – Sustainable Finance – ✓

303-2 Water sources significantly affected by Given the group’s activities, it is Not applicable
withdrawal of water considered that this indicator is not
material
303-3 Water recycled and reused Given the group’s activities, it is Not applicable
material
GRI 304 Biodiversity 2016
304-1 Operational sites owned, leased, BBVA has its headquarters on urban Not applicable
managed in, or adjacent to, protected land, so it does not have a significant
areas and areas of high biodiversity impact on protected natural areas
value outside protected areas and/or on biodiversity
304-2 Significant impacts of activities, BBVA has its headquarters on urban Not applicable
products, and services on biodiversity land, so it does not have a significant
impact on protected natural areas
and/or on biodiversity
304-3 Habitats protected or restored BBVA has its headquarters on urban Not applicable
land, so it does not have a significant
impact on protected natural areas
304-4 IUCN Red List species and national BBVA has its headquarters on urban Not applicable
conservation list species with habitats land, so it does not have a significant
in areas affected by operations impact on protected natural areas
>
436
GRI 305 Emissions 2016
305-1 Direct (Scope 1) GHG emissions Page 77 – Sustainable Finance – ✓

305-2 Energy indirect (Scope 2) GHG Page 77 – Sustainable Finance – ✓
emissions Environmental management
305-3 Other indirect (Scope 3) GHG Page 77 – Sustainable Finance – ✓

emissions Environmental management
305-4 GHG emissions intensity Page 74 – Sustainable Finance – ✓
Eco-efficiency
305-5 Reduction of GHG emissions Page 74 – Sustainable Finance – ✓
Eco-efficiency
305-6 Emissions of ozone-depleting Given the group’s activities, it is Not applicable
substances (ODS) considered that this indicator is not
material
305-7 Nitrogen oxides (NOX), sulfur oxides Given the group’s activities, it is Not applicable
(SOX), and other significant air considered that this indicator is not
emissions material
GRI 306 Effluents and waste 2016
306-1 Water discharge by quality and Given the group’s activities, it is Not applicable
destination considered that this indicator is not
material
306-2 Waste by type and disposal method Page 77 – Sustainable Finance – ✓
306-3 Significant spills Given the group’s activities, it is Not applicable
material
306-4 Transport of hazardous waste Given the group’s activities, it is Not applicable
material
306-5 Water bodies affected by water Given the group’s activities, it is Not applicable
discharges and/or runof considered that this indicator is not
material
GRI 307 Environmental compliance 2016
307-1 Non-compliance with environmental Page 61 – Standards of conduct ✓

laws and regulations
GRI 308 Supplier environmental assessment 2016
308-1 New suppliers that were screened BBVA has not examined suppliers Information not
using environmental criteria based on environmental criteria given available
that the perceived impact for the bank
is not significant
308-2 Negative environmental impacts in the BBVA has not examined suppliers Information not
supply chain and actions taken based on environmental criteria given available
that the perceived impact for the bank
is not significant
>
437
Social dimension

GRI 401 Employment 2016
401-1 New employee hires and employee Page 37 – Responsible practices – ✓

turnover The team
Page 47 – Diversity and work-life
balance
401-2 Benefits provided to full-time Page 50 – Working conditions ✓
employees that are not provided
to temporary or part-time employees
401-3 Parental leave Page 51 – Working conditions ✓
GRI 402 Labor/management relations 2016
402-1 Minimum notice periods regarding BBVA indicated that there is no Not applicable
operational changes established minimum notice period.
Organizational changes are analyzed
on a case-by-case basis, so that the
negative impacts that they may have
on employees can be avoided or
mitigated, always being carried out in
accordance with what is specified in
local regulations
GRI 403 Occupational health and safety 2016
403-1 Workers representation in formal joint Page 52 – Occupational health and ✓

management–worker health and safety
safety committees
403-2 Types of injury and rates of injury, Page 52 – Occupational health and ✓
occupational diseases, lost days, and safety
absenteeism, and number of work-
related fatalities
403-3 Workers with high incidence or high Given the nature of BBVA’s activity, no Not applicable
risk of diseases related to their high risks of serious occupational
occupation diseases have been identified
403-4 Health and safety topics covered in Information was reported not available Information not
formal agreements with trade unions available
GRI 404 Training and education 2016
404-1 Average hours of training per year per Page 47 – Selection, training and ✓
employee development
404-2 Programs for upgrading employee Page 42 – Selection, training and ✓
skills and transition assistance development
programs
404-3 Percentage of employees receiving Page 47 – Selection, training and ✓
regular performance and career development
development reviews
GRI 405 Diversity and equal opportuniy 2016
405-1 Diversity of governance bodies and Page 48 – Diversity and work-life ✓

employees balance
405-2 Ratio of basic salary and remuneration Page 50 – Diversity and work-life ✓
of women to men balance
>
438
GRI 406 Non-discrimination 2016
406-1 Incidents of discrimination and Page 36 – Management of complaints ✓

corrective actions taken and claims
Page 61 – Standards of conducts
GRI 407 Freedom of association and collective bargaining 2016
407-1 Operations and suppliers in which the BBVA has not identified centers or Not applicable
right to freedom of association and suppliers likely to have significant
collective bargaining may be at risk risks in relation to freedom of
association and collective bargaining
GRI 408 Child labor 2016
408-1 Operations and suppliers at significant BBVA has not identified centers or Not applicable
risk for incidents of child labor suppliers likely to have significant
risks in relation to child
exploitation
GRI 409 Forced or compulsory labor 2016
409-1 Operations and suppliers at significant BBVA has not identified centers or Not applicable
risk for incidents of forced suppliers likely to have significant
or compulsory labor risks in relation to episodes of forced
labor
GRI 410 Security Practices 2016
410-1 Security personnel trained in human BBVA indicated that the security Not applicable
rights policies or procedures personnel belong to external
companies. Although these
companies undertake to adhere to
BBVA’s standards on human rights,
there is no specific commitment on
training in the matter
GRI 411 Rights of indigenous peoples 2016
411-1 Incidents of violations involving rights Given the nature of BBVA’s activity, no Not applicable
of indigenous peoples cases of violations of the rights of
indigenous peoples have been
identified
GRI 412 Human Rights Assessment 2016
412-1 Operations that have been subject to BBVA has not identified significant Not applicable
human rights reviews or impact human rights impacts in its work
assessments centers
412-2 Employee training on human rights Page 59 – Anti-corruption policy ✓
policies or procedure Page 61 – Standards of conduct
412-3 Significant investment agreements Page 68 – Supplier management ✓

and contracts that include human Page 72 – Management of social and
rights clauses or that underwent environmental risks
human rights screening
GRI 413 Local communities 2016
413-1 Operations with local community Page 93 – Community investment ✓

engagement, impact assessments, and Page 52– Volunteering and social
development programs engagement
413-2 Operations with significant actual and BBVA has not detected significant Not applicable
potential negative impacts on local negative impacts on local communities
communities caused by the operations of its work
center
>
439
GRI 414 Social evaluation of suppliers 2016
414-1 New suppliers that were screened BBVA has not examined suppliers Information not
using social criteria based on criteria related to human available
rights since the risk perceived by the
bank is not significant
414-2 Negative social impacts in the supply BBVA has not examined suppliers Information not
chain and actions taken based on social criteria since the available
impact perceived by the bank is not
significant
GRI 415 Public policy 2016
415-1 Political contributions BBVA’s corporate policy in the Not applicable

different countries does not allow
contributions of this type
GRI 416 Customer health and safety 2016
416-1 Assessment of the health and safety Page 32 – Customer relationship ✓

impacts of product and service categories Page 36 – Customer protection
416-2 Incidents of non-compliance Page 35 – Management of complaints ✓
concerning the health and safety and claims
impacts of products and services Page 36 – Client protection
Page 62 – Standards of conduct
GRI 417 Marketing and labeling 2016
417-1 Requirements for product and service Page 33 – TCR Communication ✓

information and labeling Page 61 – Market conduct
417-2 Incidents of non-compliance Page 62 – Standards of conduct ✓
concerning product and service
information and labeling
417-3 Incidents of non-compliance Page 52 – Corporate governance ✓
concerning marketing Page 35 – Management of complaints
communications and claims
GRI 418 Customer privacy 2016
418-1 Substantiated complaints concerning Page 36 – Customer protection ✓

breaches of customer privacy and
losses of customer data
GRI 419 Socioeconomic compliance 2016
419-1 Non-compliance with laws and Page 62 – Legal compliance ✓

regulations in the social and economic
area
✓ Content reviewed according to the scope described and using the procedures
indicated in the Independent Review Report of the non-financial information of the
Annual Report 2020 – Integrated Report.
440
9. Independent review report of
KPMG en Perú Teléfono 51 (1) 611 3000

Torre KPMG. Av. Javier Prado Este 444 San Internet www.kpmg.com/pe
Isidro. Lima 27, Perú
Independent Review Report for the Management of Banco BBVA Peru
To the Management of Banco BBVA Peru
We have been engaged by Banco BBVA Peru to perform an independent review of the non-financial information contained
in the Annual Report 2020 - Integrated Report for the year ended December 31, 2020 (hereinafter the Report). The
information reviewed is limited to the content described in the GRI Content Index identified in the "General GRI Standards"
box, with the symbol "" in the "External Verification" field.
Management Responsibilities
BBVA's Management is responsible for the preparation and presentation of the Report in accordance with the Global
Reporting Initiative (GRI) Social Responsibility Reporting Guidelines in its Global Sustainability Standards Board version, in
its exhaustive option, and the Financial Services Sector Supplement, as detailed in the GRI Content Index of the Report.
Management is also responsible for the information and assertions contained therein; for determining BBVA's objectives
regarding the selection and presentation of information on sustainable development performance, including the
identification of stakeholders and material issues; and for establishing and maintaining the performance management and
control systems from which the information is obtained.
These responsibilities include establishing such controls as management deems necessary to enable the preparation of
indicators with a limited level of assurance to be free from material misstatement due to fraud or error.
Our responsibility
Our responsibility is to perform a limited review and, based on the work performed, to issue this report, which relates
exclusively to the information for the year 2020. We conducted our work in accordance with ISAE 3000, Assurance
Engagements other than Audits or Reviews of Historical Financial Information.
This standard requires that we plan and perform our work so as to obtain limited assurance about whether the report is
free from material misstatement.
KPMG applies ISQC1 (International Standard on Quality Control 1) and in accordance with ISQC1 maintains a
comprehensive system of quality control that includes documented policies and procedures relating to compliance with
ethical requirements, professional standards, and applicable legal and regulatory requirements.
We have complied with the independence and other ethical requirements of the Code of Ethics for Professional
Accountants issued by the International Ethics Standards Board for Accountants, which is based on the fundamental
principles of integrity, objectivity, professional competence and diligence, confidentiality and professional behavior.
Limited review procedures
Our limited review work has been carried out through interviews with the Head of Institutional Relations and the persons
in charge of preparing the information included in the Report, and the application of analytical and other procedures
aimed at gathering evidence, such as:
— Verification of the processes in place at Banco BBVA Peru to determine which are the material aspects, as well as the
participation of stakeholders in them.
— Verification, through interviews with the Head of Institutional Relations and other relevant employees, both at group
level and at the level of the selected business units, of the existence of a sustainability and Corporate Responsibility
strategy and policies to address material issues, and their implementation.
— The evaluation of the consistency of the description of the application of the policies and strategy in terms of
sustainability, governance, ethics and integrity of Banco BBVA Peru.
— The review of the consistency of the information that responds to the General Standard Disclosures with the internal
systems or documentation.
— The analysis of the compilation and internal control processes of the quantitative data reflected in the Report, in
terms of the reliability of the information, using analytical procedures and review tests based on sampling, including
the information related to Banco BBVA Peru established in the Global Reporting Initiative (GRI) in its Sustainability
441
Reporting Standards version of the Global Reporting Initiative (GRI Standards), in accordance with the exhaustive
option.
— Reading the information included in the Report to determine whether it is in line with our general knowledge and
experience regarding the sustainability performance of Banco BBVA Peru.
— The contrast of the financial information reflected in the Report with that included in the annual accounts of Banco
BBVA Peru, audited by independent third parties.
Any information other than that described above and included in the GRI Index has not been reviewed as part of our work.
The procedures performed in a limited assurance engagement vary in nature and time spent, being less extensive than
those of a reasonable assurance engagement.
Consequently, the level of assurance obtained in a limited assurance engagement is lower than that of a reasonable
assurance engagement. This report should in no way be construed as an audit report.
Conclusions
Our conclusion is based on, and subject to, the matters indicated in this Independent Review Report. We consider that the
evidence we have obtained provides a sufficient and appropriate basis for our conclusions.
Based on the procedures performed and the evidence obtained, as described above, nothing has come to our attention
that causes us to believe that the GRI indicators in the Report have not been prepared, in all material respects, in
accordance with the Global Reporting Initiative (GRI) Social Responsibility Reporting Guidelines and are not fairly
presented, including the reliability of the data and the absence of material misstatements and omissions.
In a separate document, we will provide BBVA management with an internal report containing all of our findings and/or
areas for improvement.
Purpose of our report
In accordance with the terms and conditions of our engagement letter, this Independent Review Report has been prepared
for Banco BBVA Peru in connection with the 2020 Annual Report - Integrated Report and therefore has no other purpose
and may not be used in any other context.
Lima, Peru
March 18, 2021
Endorsed by:
____________________________
Marcelo de Angelo (Partner)
442
For any type of opinion, doubt or
suggestion about the information in
this report, please contact:
Brand and Communication Unit

Av. República de Panamá 3055,
San Isidro, Lima-Perú
mercedes.castro@bbva.com
Telephone: +511 209 1923
GRI 102-53
www.bbva.pe

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Creating Opportunities

Lima, March 24th, 2021

People responsible for its preparation

Ignacio Fernández Palomero

Carlos Loo Pun

Raúl Roca Kohler

7. Criteria and standards of non-financial information 429

53%/47% 7,734 73,714

1,245 11,483 1,891

137,000 55,595 735,615

In summary, I am pleased to highlight that, despite the complexity of 2020, we are in a

Alex Fort Brescia

Fernando Eguiluz Lozano

Pedro Brescia Moreyra Ignacio Lacasta Casado

Guadalupe Pérez Vicente Puig Payá Walter Borra

4.1. Impact data

(*) The data corresponds to BBVA payroll.

GRI 102-7 2020 2019 2018 2017 Var. Var. %

Profitability and efficiency indices

Total Commercial Network

2020 2019 2018 2017 Var.

Loan portfolio 66,447 56,209 51,866 49,892 18.2%

Source: Superintendency of the Securities Market

Economic Value Added (EVA): Detail by stakeholders In millions of soles

Value indicator Dec-20 Dec-19 Dec-18

Shareholders Dividends 563 812 763

1 Does not include employee participation.

2 Dividends, participations, and remunerations payable. Source: Notes to the FS - SMV

Source: Superintendency of the Securities Market - SMV

Economic value generated and distributed In millions of soles

Dec-20 Dec-19 Dec-18

Economic value generated (EVG)

Distributed Economic Value (DEV)

Retained economic value (REV = EVG - DEV)

1 Dividends, participations, and remunerations payable. Source: Notes to the FS - SMV

Calculated following the GRI SPI model. www.spfinance.com

Source: Superintendency of the Securities Market - SMV

New protocols for admission and credit Other facilities

Biosafety plan Team recognition and reinforcement

•Decrease of capacity in offices. Assuring •Full-time occupational physicians, psychologists,

•Special transportation for employees.

Commercial Bank Business Banking Remote staff Critical staff

Donations Social programs

•Continuity with cultural programs in new formats

Source: Central Reserve Bank of Peru (BCRP)

2.5 2.1 2.3

Source: Central Reserve Bank of Peru (BCRP)

Current account of the balance of payments and

Source: Central Reserve Bank of Peru (BCRP)

Consumer Price Index of Metropolitan Lima

Source: Central Reserve Bank of Peru (BCRP)

Source: Central Reserve Bank of Peru (BCRP)

Financial system credits Balance valued in millions of

2015 2016 2017 2018 2019 2020

Source: Superintendency of Banking, Insurance, and AFP

Financial system deposits Balance valued in billions of

2015 2016 2017 2018 2019 2020

Source: Superintendency of Banking, Insurance, and AFP

Delinquency Cost effectiveness

BBVA Perú 3.02% 3.22% 18.78% 7.04%