©VEON Ltd 2016

PRESENTATION TO THE ASIA-PACIFIC

INFORMATION SUPERHIGHWAY

Rabah GHEZALIGroup Director Public Policy

November 2017 ©VEON Ltd 2016

VEON: AN EMERGING MARKETS GLOBAL COMPANY

2

RUSSIA

UZBEKISTAN

KYRGYZSTAN

BANGLADESHPAKISTAN

KAZAKHSTAN

ARMENIA

UKRAINE

ITALY

ALGERIA

AMSTERDAM

TAJIKISTAN

GEORGIA

LAOS

235+ MLNCUSTOMERS

65%3G COVERAGE | 2G: 94% | 4G*: 20%* excl. Italy

13MARKETS, HQ IN AMSTERDAM (+DIGITAL HUB IN LONDON)

$8,9BLNREVENUES

LONDON

VEON: TELCO, TECH & DIGITAL

3

Local Global

+

VEON IN BANGLADESH

Source: ITU, 2017; World Bank, 2016 4

BANGLADESH

WORLD

Internet Usage Smartphone penetration

Unbanked Adults Customers(in millions)

18%

43,9%

30%

52%

69%

38,5%

30,4

235+

2.200

51.300

Employees

VEON 38,1% 45% 58,0%

CONNECTIVITY AND ECONOMIC GROWTH

5

Algeria

Bangladesh

Pakistan

Armenia

GeorgiaKazakhstan

Kyrgyzstan

Tajikistan

Ukraine

Uzbekistan

Russia

Italy

Laos

-1%

0%

1%

2%

3%

4%

5%

6%

7%

8%

9%

0% 10% 20% 30% 40% 50% 60%

GD

P g

row

th (

5y

aver

age)

ICT Development Index growth (2010 – 2015)

“A 10% INCREASE IN BROADBAND COULD

RAISE ECONOMIC GROWTH BY BETWEEN

0.25% - 1.4%”(ITU, 2016)

PRIVATE SECTOR INVESTMENTS KEY FOR DEVELOPMENT

Source: OECD, 2015 6

$402,9

$137,2

$32,2

$4,6

NET FLOWS OF DAC COUNTRIES (in bln USD)

Private flows at market terms

Official developmentassistance

Net grants by NGOs

Other official flows

V E O N 2 . x V E O N 3 . x

M Y V E O NM E S S A G I N G C O N T E N T & O F F E R S

VEON PERSONAL INTERNET PLATFORM AS NEW MEANS OF CONNECTIVITY

M A R K E T P L A C E

EMPHASIS ON LOCAL PARTNERS

8

Local

80%

Global

20%

EMPOWERING VERTICAL INDUSTRIES

9

mGOV

mEDUC

mAGRI

mHEALTH

mRETAIL

mTRANSP

DIGITAL FINANCE

10

Secure electronic account

Ability to transact, save, borrow, insure

Access to the global digital economy

▪ $2,1 trillion of loans to individuals and businesses could be made sustainably

▪ $110 billion could be gained by governments each year by reducing leakage in public spending and tax collection

▪ 95 million jobs could be created in emerging economies within a decade as a result of inclusive growth

Source: McKinsey, 2016

OUR DIGITAL FINANCIAL SERVICES

11

mPOS | QR

OFFLINE PAYMENTS

Utilities, Games,

Transport…

Sim 2 Any Sim Card | ATM | Post Appstore | PlayStore

USERS REMITTANCE AIR TIME

CASH OUT + CREDIT

DCB

A CARD YOU

CANNOT MISS

VEON CARD

+48mln

CONNECTIVITY & GOVERNMENT: BANGLADESHI EXAMPLE

12

Banglalink has enabled free access for its subscriber to 25000+ government sites to allow digital citizen services from various government sites.

Banglalink is committed to achieve the digital agenda and trying to bridge the gap of digital divide and access to information for mass population.

Banglalink subscribers can apply online for different government & citizen services and download different forms and publications including text books for free.

CONNECTIVITY & SMES: ALGERIAN EXAMPLE

13

Djezzy provides (subsidized) the mPOS technology + connectivity to SMEs

BADR Bank will process SMEs payments (acquiring bank)

The Ministry of Industry provides political support for the project

GIZ will provide training to SMEs on how to use ICT in their operations

VEON orchestrates the partnership and engages international stakeholders

VEON and Djezzy aim to widen electronic paymentacceptance in the SME sector in Algeria, which is currentlyvery low with 98% of transactions in cash.

The regulatory environment for MNOs to provide theseservices is very restrictive. Hence the approach to start aproject together with international stakeholders andbacking of the Ministry of Industry to showcase theimpact MNOs can have on SME innovation and economicdevelopment and force a diaolgue on restrictive policies.

CONNECTIVITY & RURAL COMMUNITIES (1/3)

14

• Krishi jigyasha 7676 in Bangladesh and Bakhabar Kisaan service in Pakistan are a one stop serviceon a Mobile Phone for all the farmers. Mobile network medium provides effortless penetration

• These platforms support the farmers in every step of the process of agriculture, from landpreparation till post harvesting and sale.

• The service provides farmers with knowledge of modern farming, makes the agriculture specialistavailable for the farmers over the helpline, pro actively provides the farmer with weather updatesand climate behavior, makes the latest machinery available and provides access to special loans forthe farmers.

CONNECTIVITY & RURAL COMMUNITIES (2/3)

We have developed the following bouquet of services for the farmers:▪SMS Service (for farmers who can read and write – for legacy phone users)▪IVR Service (for farmers who cannot read and write – for legacy phone users)▪Smartphone App (for digitally literate users)

SMS

• SMS related to Weather, Crop, diseases, fertilizers, Farming techniques … so on would be proactively sent to the farmers mobile

• Advice would be given based on the location of the farmers (Long./Latt.)

• Farmers would not have to reach us, we would reach farmers proactively, however offline information would also be available and farmers can pull the required information

IVR

• IVR/Automated OBD related to Weather, Crop, diseases, fertilizers, Farming techniques … so on would be proactively sent to the farmers mobile

• Decision would be taken based on the location of the farmers (Long./Latt.)

• Farmers would not have to reach us, we would reach farmers proactively; however offline information would also be available.

Smartphone App

• Data related to Weather, Crop, diseases, fertilizers, Farming techniques would be available over the application

• Live and offline training videos will be available over the smart phone application.

Bakhabar Kisaan Service – Smartphone App

▪ Tickers for Weather forecast▪ Tickers for Market rates▪ Agriculture News (PARC vetted)▪ Product related to Farmers availability ▪ Modern Farming Techniques▪ Discussion forums/techniques ▪ Agriculture Products & Equipment▪ Crops Yield Maximization Information▪ Livestock Information▪ Informative videos▪ Bidding on-line (D)▪ Free browsing on app▪ Details of 275k existing farmers ready to be serviced▪ Roadshows at town level for training on app▪ Photo analysis of soil and plant diseases (D)▪ Discounts offered from our vendor partners▪ MFS: Agricultural Credit Services, Crop Insurance & Live

Stock Insurance payments, Payment/Rent of Agriculture equipment & machinery

CONNECTIVITY & RURAL COMMUNITIES (2/3)

EMPOWERING DIGITAL DEVELOPMENT

17

Algeria

Eurasia

Bangladesh

Pakistan

Po

licy/Re

gulato

ry Enviro

nm

en

t

18

Connectivity

DFS/MFS eID Data

Digital Platforms

ICT empowered individuals & communities

e-c

om

me

rce

e-g

ov

e-e

du

cati

on

e-a

gri

e-h

eal

th

AN ECOSYSTEM APPROACH TO CONNECTIVITY & ICT4D

POLICY CHALLENGES

19

INVESTMENT CLIMATE REGULATIONS DIGITAL DIVIDE DATA PROTECTION

©VEON Ltd 2016

THANK YOU!

TWITTER.COM/VEONFACEBOOK.COM/VEON

RABAH GHEZALIGroup Director Public Policy

rabah.ghezali@veon.com

CLAUDE DEBUSSYLAAN 881082 MD AMSTERDAMTHE NETHERLANDSTel +31 (0)20 79 77 200Tax +31 (0)20 79 77 201