AFEX Commodities Exchange CMC Meeting Report Private and

AFEX Commodities Exchange CMC Meeting Report Private and confidential 1

2017: Year to Date Summary Volume of Transaction (‘ 000 MT) Number of Transactions 27. 94 4, 605 13. 44 908 4. 51 2. 56 2. 78 2. 89 May Jun 0. 30 Jan Feb Mar Apr 359 1. 46 Jul Total Jan Disaggregation Of Traded Commodities Yellow Maize 2. 43% Ginger 5. 84% 1, 017 671 1, 032 370 248 Feb Mar Apr May Jun Jul Total Volume on E-Warehouse Receipt Soybeans 0. 11% 13, 970. 68 12, 528. 97 Paddy Rice 0. 10% 9, 214. 33 5, 023. 70 3, 179. 00 1, 281. 07 White Maize 91. 52% January February March April May June July Total Volume on E-Warehouse receipt 2

Price Trends & Opportunities for Investment 180, 000. 00 160, 000. 00 140, 000. 00 120, 000. 00 100, 000. 00 80, 000. 00 60, 000. 00 51, 000. 00 60, 000. 00 40, 000. 00 35, 000. 00 20, 000. 00 10, 000. 00 January February March April Max Price Min Price May June July Spread ü It is off importance to study the spread in the price positions as highlighted in structured trade presented by AFEX. ü The Commodity Indices presently in development by AFEX along with other sector professionals will provide robust information which will attract more investment for the sector development. 3

Nasdaq OMX Trading System ü In June 2017, AFEX Completed the deployment of the Nasdaq trading system. User Acceptance Testing is currently ongoing as well as the design of the market structure. We hope to go live in 2017 Q 4 ü We have developed trade-able securities and contracts to match the Nigerian environment and its dynamics, with the realities of the physicals markets adapted to meet the needs of the developing commodities and financial sector. 4

NASDAQ Go-live timeline Milestone 8 Milestone 1 Q 4 Aug 10 Milestone 2 Aug 14 Milestone 3 Aug 18 Milestone 5 Milestone 4 Thursday 10/08/17 September UAT: Regulators October 2017, Q 4 Monday 14/08/17 UAT: Brokers Sep 29 Aug 23 August In-house Training Milestone 7 Sep 1 Friday 25/08/17 Monday 21/08/17 Wednesday 23/08/17 Thursday 24/08/17 UAT: Off-takers Members Registration Friday 01/09/17 Monday 04/09/17 Go Live Friday 29/09/17 2017, Q 4 Progress Not Started Go Live 5

Next Steps – Commodity Indices M: 30, 000 MT G: 4, 000 Mt PR: 15, 000 MT Sokoto Paddy Rice Katsina Jigawa Zamfara Kano Maize, Kebbi Plateau Fct Oyo Lagos Bauchi Kaduna Kwara Ogun Borno Ginger Niger Nassarawa Osun Yobe Ekiti Kogi Ondo Edo Delta Gombe Maize, Paddy. Adamwara Rice, Soybean Taraba Soybean Benue Enugu Ebonyi Anambra Cross River Imo Abia Bayelsa Rivers Akwalbom ü The ability to efficiently manage a minimum annual volume of 50, 000 Mt of maize, 20, 000 Mt of Paddy rice, 20, 000 Mt of soybean and 4, 000 Mt of Ginger. SB: 15, 00 0 ü With key consultants we have begun development of the first Maize index due for launch by 4 th Qtr 2017. Indices for Soybean and paddy to be deployed from 2 nd Qtr. M: 15, 000 2018. PR: 5, 000 SB: 5, 000 6

Threat to the Structured Commodities Sector 7

Thank You Smallholder post harvest operations, Saoba, Kaduna