{"url_path":"/sec/bap/10-k/2026/item-11","section_key":"item-11","section_title":"Item 11 QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK","topic":"sec","document":{"doc_type":"20-F","doc_date":"2026-04-27","source_url":"https://www.sec.gov/Archives/edgar/data/1001290/0001001290-26-000008-index.html","accession_number":"0001001290-26-000008","cik":"0001001290","ticker":"BAP","issuer_name":"CREDICORP LTD","edgar_url":"https://www.sec.gov/Archives/edgar/data/1001290/0001001290-26-000008-index.html","primary_entity_key":"0001001290","primary_entity_name":"CREDICORP LTD"},"word_count":9992,"has_tables":true,"body_markdown":"ITEM 11.QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK\n\nThe following section describes the risks to which Credicorp is exposed and the management tools used to measure and control them. Due to its financial activities, including lending, borrowing, trading and investing, the Group faces risks which could incur potential losses if adverse changes occur.\n\nThe Group’s principal activity consists of receiving deposits from customers, mainly at fixed rates and for different periods, and investing these funds in high-quality assets, using financial instruments (such as derivatives) to cover potential risk factors and to take advantage of market movements on securities, bonds, currencies and interest rates. Additionally, the Group places these deposits with legal entities and individuals, considering the financial costs and expected profitability.\n\nWe also seek to raise margins by lending to commercial and retail customers through a range of financial products. These activities involve not only on-balance sheet loans and advances but also off-balance sheet facilities and other commitments, such as letters of credit and performance bonds.\n\n244\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\nGiven the Group’s activities, it has a framework for risk appetite, a cornerstone of its risk management. The risk management processes involve continuous identification, measurement, treatment, and monitoring of potential risks. The Group is exposed, principally, to credit, non-financial risks, market risk, liquidity risk, model risk and insurance technical risk.\n\n11.1Risk Management Governance\n\nIn order to carry out adequate risk management, Credicorp has established a structure of government with different levels of oversight.\n\nGovernance Structure\n\nThe highest level of hierarchy in risk governance in Credicorp Ltd. and Grupo Credito S.A. is the Board of Directors:\n\n•Credicorp’s Board of Directors is responsible for the approval of the levels of risk appetite that Credicorp Ltd. is prepared to assume. The Board of Directors also acknowledges the Group’s level of compliance with the risk appetite and level of risk exposure, as well as the relevant improvements in the risk management approaches of the Group.\n\n•Grupo Credito S.A.’s Board of Directors is responsible for the overall risk management approach and the approval of the levels of risk appetite that Grupo Credito S.A. and its subsidiaries are prepared to assume. Furthermore, it approves the guidelines and policies for comprehensive risk management. The Board also establishes an organizational culture that emphasizes the importance of risk management, oversees the internal control system and ensures compliance to the risk appetite.\n\n•The Board of Directors of each subsidiary is responsible for aligning the risk management approach established by Credicorp’s Board of Directors with the particular context. To that end, each Board establishes a framework for risk appetite, policies and guidelines.\n\nThe second level of oversight of risk governance of Credicorp Ltd. and Grupo Credito S.A. is the Risk Committee:\n\n•The Credicorp Risk Committee, representing Credicorp’s Board of Directors, proposes risk appetite levels for Credicorp Ltd. Furthermore, it considers the level of compliance to the risk appetite and level of risk exposure, as well as the relevant improvements, when assessing the Group’s comprehensive risk management.\n\n•The Grupo Credito Risk Committee, representing Grupo Credito’s Board of Directors (including risk management of Credicorp subsidiaries), defines the strategies used for the adequate management of the different types of risks and the supervision of risk appetite. In addition, the committee establishes principles, policies and guidelines.\n\n245\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\nFor more information about The Board of Directors, The Risk Committees and its functions, please refer to the following section: ITEM 6. DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES – 6.C Board Practices.\n\nThe Grupo Credito Risk Committee (including risk management of Credicorp subsidiaries) is supported by the following committees (with the exception of Model Risk functions), which report periodically on all relevant changes or issues relating to the risks being managed:\n\na)Corporate Credit Risk Committees\n\nThe Corporate Credit Risk Committees (retail and wholesale) are responsible for proposing credit risk management guidelines within the framework of governance and organization for the comprehensive management of credit risks. Furthermore, the committees propose the approval of any changes to the credit risk management functions and report important findings to the Risk Committee.\n\nb)Corporate Methodological Operational Risk Committee\n\nThe Corporate Methodological Operational Risk Committee is responsible for monitoring the operational risk indicators of each of the Group’s companies and the progress of the implementation of operational risk and business continuity methodologies. Additionally, the committee shares best practices relevant to major challenges faced by the Group’s companies.\n\nc)Corporate Structural, Negotiation and Liquidity Market Risk Committee\n\nThe Corporate Structural, Negotiation and Liquidity Market Risk Committee is responsible for analyzing and proposing objectives, guidelines, and policies for the Market and Liquidity risk management of the Group’s companies. Furthermore, the committee is responsible for monitoring indicators and appetite limits for Credicorp and each of the Group’s companies, as well as the implementation of corrective measures in case of deviations. Additionally, the Committee is responsible for the integration of a corporate model within the Group.\n\n11.2Risk Management Structure\n\nIn order to carry out appropriate risk management, Credicorp maintains a management structure according to its needs and based on the risks to which it is exposed.\n\nCredicorp Risk Management Structure\n\nChief Risk Officer (CRO)\n\nThe CRO is responsible for implementing policies, procedures, methodologies, and actions to identify, measure, monitor, mitigate, report and control the different types of risks to which the Group is exposed. The CRO also participates in the creation of the strategic plans of the business units to ensure compliance with the risk appetite metrics approved by the Board of Directors.\n\nLikewise, the CRO is responsible for the level of compliance with the risk appetite and the level of exposure assumed by Grupo Crédito S.A. and other Credicorp subsidiaries. Also, the CRO reports the relevant improvements in the comprehensive risk management of Grupo Crédito S.A. and other Credicorp subsidiaries. In addition, the CRO proposes to the Credicorp Risk Committee the risk appetite levels for Credicorp Ltd.\n\nAll issues regarding Credicorp’s corporate risk management are under the responsibility of Credicorp's CRO, who is also the CRO of Credicorp Ltd. and Grupo Crédito S.A. To ensure effective fulfillment of this responsibility, it was\n\n246\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\ndecided that those three positions should be held by the same person. Credicorp’s CRO reports to the CEO but has full independence regarding risk decisions, which are discussed in Credicorp’s Risk Committee.\n\nThe Central Risk Management units are the following:\n\na.Wholesale Banking Risk Division\n\nThis Division is responsible for proposing credit policies and criteria for evaluating and managing credit risks assumed by lending to wholesale clients. It evaluates and approves loan proposals and recommends approval to higher authorities for those that exceed its autonomy. These policies and criteria are established based on policies set by the Board of Directors and in accordance with applicable laws and regulations. In addition, it measures the evolution of the risk faced by wholesale clients, identifies possible signs of deterioration in their payment capacity, and takes actions to mitigate or resolve them.\n\nb.Retail Banking Risk Division\n\nThe Retail Banking Risk Division is responsible for managing the risk profile of the retail portfolio and promoting retail credit risk specific guidelines that are consistent with the overall guidelines and risk policies set by the Board of Directors. Additionally, this Division assists in defining the products and campaigns aligned with these policies, as well as in the design, optimization and integration of credit assessment tools and income estimation for credit management.\n\nc.Risk Management Division\n\nThe Risk Management Division is responsible for ensuring that risk management directives and policies comply with those established by the Board of Directors. In addition, it is responsible for supervising the process of risk management, coordinating with the Group’s companies involved in the process, and promoting standard risk management aligned with best practices. It also has the task of informing the Board of Directors of global exposure to risks, by type of risk, as well as the specific exposure of each of the Group’s companies.\n\nd.Non-Financial Risks Division\n\nThe Non-Financial Risks Division is responsible for defining a non-financial risks strategy aligned with the objectives and risk appetite set by the Board. This strategy seeks to strengthen the management process, generate synergies, optimize resources, and achieve better results among the units responsible for managing non-financial risks. Additionally, in order to achieve the objectives defined in the non-financial risk strategy, the Division is responsible for promoting responsible risk culture, developing talent, defining indicators and generating and following-up strategic projects and initiatives.\n\nThe Non-Financial Risks Division is composed of the following areas: Operational Risk Management, Cybersecurity; and Corporate Security and Cyber Crime Management.\n\ne.Risk Transformation Office\n\nThe Risk Transformation office aims to transform our Risk Management into a competitive advantage, enhancing our capabilities in: i) origination, ii) portfolio monitoring, iii) life cycle of credit models, and iv) talent.\n\nf.Center of Excellence of Pricing\n\nThe Group's Pricing Expertise Center’s main objective is the efficient scaling of the Pricing practice in the Group's business lines, identifying opportunities and deploying initiatives that allow the development of the Pricing practice. During 2024, the monitoring tools of the pricing management strategy were strengthened to assign an appropriate price based on the risk profile of our clients.\n\ng.Corporate Risk Management Division\n\nThe Corporate Risk Management Division’s scope covers the risk management of Credicorp’s subsidiaries (not including BCP Stand-alone) and is responsible for managing day-to-day risk under the risk appetite framework approved by our senior management; ensuring that corporate policies and guidelines are applied uniformly between the subsidiaries.\n\n247\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\nThis Division also proposes strategic initiatives for better risk management as well as criteria and methodologies to facilitate the process of risk management.\n\n11.3Risk Appetite\n\nTo manage the risks to which it is exposed, Credicorp uses different guidelines. This allows Credicorp to maintain adequate risk levels to generate value for the organization and investors.\n\nRisk Appetite\n\nThe Board of Directors annually approves the risk appetite framework defining the maximum level of risk that the organization is willing to tolerate, as it seeks to attain its strategic and financial objectives. In order to ensure consistency with the Group’s corporate risk vision, the Board of Directors, through the corporate Risk Committee, reviews and approves the risk appetite of each subsidiary while considering its business model. This risk appetite framework is based on \"core\" and \"specific\" metrics:\n\n•Core metrics: are intended to preserve the organization’s strategic pillars, defined as solvency, liquidity, profit and growth, income stability and balance sheet structure.\n\n•Specific metrics: are intended to monitor on a qualitative and quantitative basis the various risks to which every company of the Group is exposed and establish a tolerance threshold of each of those risks, so that the risk profile set by the Board of Directors is preserved and any risk concentration is anticipated on a more granular basis. These metrics are related to credit risk, market risk and cybersecurity risk.\n\nRisk appetite is measured based on the following guidelines:\n\n(1)A risk appetite statement establishes general principles and the qualitative declarations that complement the risk strategy.\n\n(2)A metric scorecard is used to define the levels of risk exposure in the different strategic pillars.\n\n(3)Risk limits allow control over the risk-taking process within the tolerance threshold established by the Board. Limits also provide accountability for the risk-taking process and define guidelines regarding the target risk profile.\n\n(4)A governance scheme seeks to guarantee compliance with the framework through different roles and responsibilities assigned to the units involved.\n\nThe risk appetite is integrated in the processes of strategic and capital guidelines, as well as in the definition of the budget exercise, facilitating the strategic decision-making process of the organization.\n\n248\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\n11.4Managed Risks\n\nCredicorp's governance and risk management seek to adequately manage the risks to which we are exposed as an organization.\n\na)Credit Risk\n\nThe Group is exposed to credit risk, which is the probability of suffering losses caused by debtors or counterparties failing to comply with payment obligations whether on or off the balance sheet.\n\nCredit risk is the most important risk affecting the Group’s business due to relevance of the Universal Banking and Microfinance LoB and its exposure to this type of risk; therefore, Management carefully manages its exposure to credit risk. Credit risk exposures arise principally from lending activities that lead to direct loans, though they also result from investment activities. There is also credit risk in off-balance sheet financial instruments, such as contingent credits (indirect loans), which expose Credicorp to risks similar to direct loans. Likewise, credit risk can also arise from derivative financial instruments as counterparty risk in those derivatives currently show positive fair values.\n\nCredit risk levels are defined based on risk exposure limits, which are frequently monitored. Risk exposure limits are established in relation to one borrower or group of borrowers, geography, and industry segments. Furthermore, the risk limits by product, industry sector and geographical area are approved by the Risk Committee.\n\na.Credit Risk Measurement\n\nAll exposures to credit risk (direct or indirect) are mitigated by the Group’s control processes and policies. Exposure to credit risk is managed through regular analysis of the ability of debtors and potential debtors to meet interest and principal repayment obligations and changes in the credit limits as appropriate.\n\nAs part of managing credit risk, provisions for impairment of its portfolio are assigned as of the date of the statement of financial position.\n\n249\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\nProvisions for loan losses\n\nIn accordance with the IFRS 9 standard, all the financial assets classified or designated as an amortized cost, debt instruments classified as investments at fair value through other comprehensive income, and indirect loans presented in off-balance accounts are subject to an impairment evaluation.\n\nMeasurement of expected credit losses\n\nMeasurement of expected credit losses is mainly based on three parameters: probability of default (PD), loss given default (LGD), and exposure at default (EAD), discounted at the reporting date using the effective interest rate. The estimates, pursuant to IFRS 9 parameters, consider not only past due information, but also all relevant credit information, including actual conditions and expected macroeconomic effects in three scenarios (base, optimistic and pessimistic).\n\nThe definitions of the three parameters are as follows:\n\n•Probability of Default (PD): This is a measurement assigned internally to customers and is designed to estimate their probability of default within a specific time horizon. This measurement is obtained through three main components: (i) the observed credit risk of the portfolio, (ii) the macroeconomic conditions of the main countries where Credicorp operates, and (iii) the individual credit risk of each loan, which is measured through scoring and rating tools. The definition of default in IFRS 9 is consistent with the one used for internal credit risk management purposes, as follows:\n\n1.In the case of retail products, clients are in default if (i) at a specific moment, they are 60 or more days past due, except for mortgages, for which we allow 120 days; or (ii) if they have operations in one of the following situations: refinanced, restructured, pre-judicial, judicial or write off.\n\n2.In wholesale banking, clients are in default if (i) they pass to Wholesale Collections; (ii) they have an internal classification of deficient with recurrence, deficient with more than 60 days past due, doubtful or loss; (iii) they have operations in refinanced, pre-judicial, judicial or write off; (iv) they have significant qualitative signs of impairment. For clients in default with significant exposure, the Risk Management Division makes a specific analysis for each one of them to determine the expected credit loss, considering the knowledge of the specific situation of the client, the collaterals and guarantees, and the available financial information.\n\n•Loss Given Default (LGD): This is a measurement that estimates the severity of the loss that would be incurred at the time of the default. It is based on the difference between the contractual cash flows owed and those that the lender would expect to receive, even after the liquidation of the guarantees (for example: deposits or the equivalent, commodity warrants, immovable properties, ships, machinery and equipment). LGD also considers all the costs incurred during the recovery process. It is important to mention that when the Group writes off a position, it adjusts the LGD to 100% to add the allowance necessary to reach the required level, in accordance with our internal policy of write-offs, in which Credicorp’s subsidiaries do not have reasonable expectations of recovering the financial asset in its entirety or a portion thereof.\n\n•Exposure at Default (EAD): This is a measurement that estimates the exposure at the time that the customer goes into default, considering changes in future exposure, for example, in the case of prepayments and/or greater utilization of unused lines.\n\nProvisions for credit losses are measured on each reporting date following a three-stage model of expected credit losses based on the degree of a financial asset’s credit impairment:\n\n(1)Stage 1: For financial assets with credit risk that has not increased significantly since their initial recognition, a reserve is recognized for losses equivalent to the credit losses expected to occur from defaults in the following 12 months.\n\n250\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\n(2)Stage 2: For financial assets that have presented a significant increase in credit risk since their initial recognition, but are not considered impaired, a reserve is recognized for losses equivalent to the credit losses expected to occur during the remaining life of the asset.\n\nThe definition of “significant increase in credit risk” used on the reporting date compared with the origination date considers the following criteria:\n\n•Whether an account has been more than 30 days in arrears.\n\n•Absolute and relative risk thresholds have been assigned by portfolio and risk level, which depend on the credit risk of the instrument on the origination date. For example, less risky PD assets have a broad threshold to move in without migrating to stage 2, in comparison to risky PD assets for which a small increase in PD can force them to migrate to stage 2.\n\n•Follow-up systems, alerts and monitoring of portfolios are integrated in the staging process, as established by the current risk policy in the Wholesale and Retail Banking segments.\n\n•Alignment criteria are applied to clients that have more than 20% of their position in stage 2. All the rest of their assets in stage 1 get automatically classified as stage 2.\n\n(3)Stage 3: For financial assets classified as defaults, with objective evidence of impairment on the reporting date, the provision reflects the expected credit losses during the residual life of the assets. Alignment criteria are also applied at this stage.\n\nThe fundamental difference in the measurement of expected credit losses between stage 1 and stage 2 is the PD horizon. The estimates for stage 1 use a 12-month time horizon, while the estimates for stage 2 calculate the expected credit loss based on the remaining life of the asset and consider the effect of the significant increase in credit risk. Finally, estimates for stage 3 are based on a “best estimate” approach, according to the collection process of each asset, and are made for the remaining life of the asset.\n\nFor certain less material portfolios, the Group extrapolates the expected credit loss ratios from portfolios with similar credit risk characteristics.\n\nIn line with the internal model governance framework, the main parameters used in the measurement of credit risk (including PD and LGD) were continuously monitored throughout 2025. The models are calibrated when performance monitoring reveals material deviations from their expected behavior, thereby ensuring an adequate and consistent estimation of credit risk.\n\nThe Group’s expected credit losses are a weighted estimate of three macroeconomic scenarios (base, optimistic and pessimistic), which are based on macroeconomic projections provided by the internal team of economic researchers and approved by senior management. These projections are made for the main countries in which Credicorp operates. In each scenario, the Group considers a wide variety of prospective information as economic inputs, including the growth of the GDP, the inflation rate and the exchange rate.\n\nThe macroeconomic scenarios consider the fact that Peru is a small and open economy, with about 60.0% of GDP growth volatility explained by external factors. These external factors include Peru’s terms of trade, growth of Peru’s main trade partners, and external interest rates. Information on each of these factors is collected to model each scenario for the next three years.\n\nThe aforementioned variables are then incorporated into economic models for the Peruvian economy along with local variables (fiscal and monetary).\n\nThrough this process, projections of GDP growth, inflation, exchange rate and other macroeconomic variables were obtained for the years 2025, 2026 and 2027. As of December 31, 2025, we expected GDP to grow around 3.3 percent in 2026, which is explained, among other reasons, by:\n\n•Highly favorable external conditions driven by record-high terms of trade and lower global interest rates.\n\n•Positive momentum associated with the maturing economic cycle.\n\n•Low inflation supporting real wage recovery.\n\n251\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\n•An acceleration in credit origination aligned with higher aggregate demand and improved financial health of economic agents.\n\n•Economic expectations remaining in optimistic territory and continuing to improve.\n\nIn addition, a usual degree of uncertainty arising from the political environment inherent to the electoral cycle is recognized.\n\nFor 2026, probabilities of 50 percent, 25 percent and 25 percent were considered for the baseline, optimistic and pessimistic scenarios, respectively.\n\nThe probabilities assigned to each scenario and projection year are validated by fan chart analysis, which uses the likelihood function to identify and analyze:\n\n•The central tendency of the projections.\n\n•The dispersion that is expected around this value.\n\n•The values that are higher or lower than the central value that are more or less probable.\n\nThe following table provides a comparison of the reported expected credit loss for Credicorp’s loan portfolio and the expected credit loss under the three scenarios:\n\nAt December 31, 2025 (in thousands of Soles)Optimistic ScenarioBase Case ScenarioPessimistic ScenarioReported ECL under\nIFRS 9\n\nTotal Loans7,960,8958,031,5488,142,1148,041,526\n\nFor further information about the IFRS 9 measurement of the expected credit loss, see Note 3(i) to the consolidated financial statements.\n\nFor historical data regarding our loan loss reserves, see “ITEM 4. INFORMATION ON THE COMPANY – 4.B Business Overview – (7) Selected Statistical Information – 7.3 Loan Portfolio – 7.3.12 Allocation of Loan Loss Reserves”.\n\nESG Risk Management\n\nCredicorp manages ESG topics by focusing on the incorporation of factors to mitigate risks, preserve value and generate value from its loan books and investment portfolios. Credicorp does this by implementing their ESG Risk Management Framework allowing them to:\n\n•Incorporate ESG risk management into their financing and investment decisions\n\n•Encourage financing and investment with a sustainable component and\n\n•Accompany their clients in the transition towards sustainability\n\nBelow are the 2025 achievements related to the scope of the ESG Risk Team from the different fronts:\n\nAppetite\n\nOur risk appetite is defined at the corporate level through policies and guidelines aligned with the governance of social, environmental, and governance exclusions, and is complemented by the specific policies of each subsidiary. During 2025, the exclusions assessment was integrated into the evaluation processes of our financing and investment portfolios, ensuring consistency with the corresponding risk‑appetite level. Additionally, at Prima, the ESG risk appetite was specifically implemented for alternative funds.\n\nIdentification, Evaluation and Treatment\n\nBCP and BCP Bolivia\n\nThe clients and sectors prioritized under the ESG Risk Credit Policy were evaluated, resulting in a controlled level of risk as of year-end 2025.\n\n252\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\nAs complementary initiatives to strengthen ESG risk management in 2025, the following actions were developed:\n\n•Scope expansion: A multisector ESG questionnaire was designed with the objective of incorporating new sectors and clients into the ESG Risk Credit Policy.\n\n•Deforestation risk: Work began on identifying the impacted portfolio to manage deforestation risk, mainly among clients in the agriculture sector.\n\n•Real estate collateral: The analysis of exposure and coverage of real estate collateral was initiated to assess their sensitivity to the materialization of physical risks related to climate change and natural events.\n\nBCP\n\n•Monitoring: A control dashboard was developed for managing ESG risk across the portfolio.\n\nMi Banco\n\nThe Environmental and Social Risk Analysis System (SARAS) was implemented within the credit admission process, using a preventive approach aimed at identifying and mitigating potential impacts before credit origination. This implementation enabled access to financing from multilateral institutions, specifically the Inter-American Development Bank (IDB) and the Japan International Cooperation Agency (JICA), amounting to USD 100MM.\n\nMi Banco Colombia\n\nSARAS was strengthened through the incorporation of geographic information systems, improving accuracy in the assessment of physical, environmental, and climate risks. Additionally, the ENCORE tool was used for analyzing nature-related risks.\n\nAt the corporate level, work was carried out on the harmonization of heat maps for the identification of climate risks (both physical and transition risks). Likewise, to strengthen ESG risk management in the investment subsidiaries (Prima, Pacífico and Credicorp Capital), sector‑specific ESG KPIs were defined, progress was made in designing a corporate collaborative engagement strategy, and ESG expectations for issuers were established. At Pacífico, the portfolio’s carbon‑footprint measurement coverage improved, and climate metrics were approved for its overseas investments.\n\nAs a result of continuous work, the investment subsidiaries were able to remain in the first quartile of PRI (Principles for Responsible Investment) signatories and received recognition from ALAS20 (an initiative in Latin America and Spain that acknowledges excellence in public disclosure on sustainability, investor relations, and responsible investment).\n\nReporting\n\nAt Pacífico, the first Responsible Investment Report and the second annual edition of the TCFD report were published as an integrated part of the Pacífico Seguros Annual Report.\n\nIn Mi Banco Colombia, the first TNFD report was published.\n\nEnvironmental Taxonomy\n\nBCP and BCP Bolivia\n\nA robust sustainable‑labeling governance framework is in place to manage the risk of greenwashing and social‑washing in financings classified as green and/or social. This framework includes a decision‑making process for the use of the sustainable label, as well as the ongoing update of the eligibility criteria within BCP’s socio‑environmental taxonomy, ensuring alignment with international standards and market best practices.\n\nb)Non-Financial Risk\n\nThe Non-Financial Risks Division manages the following types of risks:\n\nNon-Financial Risk Tribe - Operational Risk\n\nOperational risk is the possibility of the occurrence of losses arising from inadequate processes, human error, failure of IT, relations with third parties or external events. Operational risks are tied to internal or external fraud, labor relations, job security, relations with customers, business products and practices, damages to material assets, business and systems interruption, and failures in process execution, delivery, and management of processes. Operational risks exclude strategic\n\n253\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\nand reputational risks (with the exception of companies under Colombian regulations, under which reputational risk is included in operational risk). Operational risks can lead to financial losses and have legal or regulatory consequences.\n\nTo develop an efficient risk culture, the Group records operational risks and their respective process controls. The Risk Map, which is a document that lists all the risks that could affect the organization and their characteristics, permits monitoring, prioritization and proposed treatment of the risks. The Group also carries out an active cybersecurity program, which is aligned with the best international practices.\n\nMoreover, the business continuity management system enables the establishing, implementing, operating, monitoring, reviewing, maintaining, and improving of business continuity based on best practices and regulatory requirements. The Group implements recovery strategies for the resources that support important products and services, which are periodically tested to measure the effectiveness of such strategies. Information security management is carried out through a systematic process, which is documented and known by the entire organization, pursuant to best practices and regulatory requirements. The Group designs and develops the guidelines described in the policies and procedures to have strategies for the availability, confidentiality, and integrity of the information of assets of the organization. To manage operational risk, cybersecurity, fraud prevention and business continuity, corporate guidelines are used, and methodologies and best practices are shared among the Group’s companies.\n\nIn the event of the materialization of operational risks, the Group maintains a diverse portfolio with non-financial risk transfer options, mainly through its contracted insurance policies. These policies cover losses arising from fraud, civil and professional liability, cyber risks, and damage to physical assets, among other things. The coverage needs of key areas and new emerging risks are constantly being analyzed, leading to modifications to the existing policies and the incorporation of new insurances, considering the Group’s risk appetite and the expected and unexpected levels of our losses. This practice allows us to optimize the Group's insured risk profile.\n\nCybersecurity\n\nSee “ITEM 16K. CYBERSECURITY”.\n\nCorporate Security and Cyber Crime\n\nAs part of non-financial risk management, the Corporate Security, Investigations & Cybercrime Area is responsible for detecting and responding to incidents related to fraud, cybercrime, and physical security.\n\nThese activities are carried out by specialized teams in investigations, cybercrime, electronic security, disaster risk management, and strategic intelligence activities, including social conflicts. Furthermore, new capabilities have been incorporated into our infrastructure's video surveillance system, which not only ensures compliance with new standards and regulations but also facilitates the integration of cutting-edge video intelligence functions. These include smart cameras supported by algorithms, analytics, and artificial intelligence, thus optimizing risk management through the greater reach offered by current technology. Along the same lines, drone squadrons have been incorporated for disaster risk management and perimeter surveillance, especially of critical infrastructure.\n\nFinally, we contribute to the security of the Financial System through collaborative efforts developed at both the local and regional levels. At the local level, these are channeled through participation in the Peruvian Banking Association (ASBANC), while at the Latin American level, they are carried out through the Security Experts Committee of the Latin American Federation of Banks (FELABAN).\n\nc)Market and Liquidity Risk\n\nMarket Risk\n\nThe Group is exposed to market risk, which is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risks arise from open positions in interest rates, currency, commodities and equity products; all of which are exposed to general and specific market movements and changes in the level of volatility of prices such as interest rates, credit spreads, foreign exchange rates and equity prices. Due to the nature of the Group’s current activities, commodity price risk has not been approved; thus, this type of instrument is not traded.\n\n254\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\n1.Market Risk Measurements\n\nThe Group separates exposures to market risk into two groups: (i) risks arising from value fluctuation of trading portfolios recognized at fair value through profit or loss, due to movements of market rates or prices (Trading Book) and (ii) risks arising from changes in the structural positions of non-trading portfolios, due to movements of the interest rates, prices and foreign exchange ratios (Banking Book). Most of the structural portfolios are recorded at amortized cost and at fair value with changes in other comprehensive income.\n\nThe risks that trading portfolios (Trading book) face are managed through Value at Risk (VaR) historical simulation techniques, while non-trading portfolios (Banking Book) are monitored using rate sensitivity metrics, which are a part of ALM.\n\nTrading Book\n\nThe trading book is characterized by liquid positions in stocks, bonds, foreign currencies and derivatives, arising from transactions in which the Group acts as counterparty with the customers or with the market. This portfolio includes investments and derivatives classified by Management as held for trading.\n\nValue at Risk (VaR)\n\nBased on a number of assumptions about changes in market conditions, we apply VaR to our trading portfolios to estimate the market risk of our positions and our maximum losses.\n\nDaily calculation of VaR is a statistically-based estimate of the potential loss on our current portfolio caused by adverse market movements.\n\nVaR expresses the “maximum” amount the Group might lose, but only to a certain level of confidence (99%). There is therefore a specified statistical probability (1%) that actual loss could be greater than the VaR estimate.\n\nThe time period used to calculate VaR is one day. However, because the VaR model assumes a ten-day “holding period” within which positions can be closed, the one-day VaR is amplified to a ten-day time frame and calculated by multiplying the one-day VaR by the square root of 10. This adjustment is exact only if the changes in the portfolio in the following days have a normal distribution identical and independent; otherwise, the 10-day VaR is an approximation.\n\nVaR limits and assumptions are based on the risk appetite and trading strategy of each subsidiary. The assessment of past movements is based on historical one-year data and 71 market risk factors, which are comprised as follows: 21 market curves, 31 stock prices, 17 mutual funds values and 2 volatility series. The Group applies these historical changes into rates to its current positions (a method known as historical simulation). Management believes that the market risk factors incorporated into its VaR model are adequate to measure the market risk to which the Group’s trading book is exposed.\n\nThe use of this approach does not prevent losses outside of these limits in the event of more significant market movements. Losses exceeding the VaR figure should occur, on average under normal market conditions, not more than once every hundred days. VaR limits have been established to control and keep track of our risks taken. These risks arise from the size of our positions and/or the volatility of the risk factors embedded in each financial instrument. Regular reports are prepared for the Treasury and ALM Risk Committee, our risk management committees and our senior officers.\n\nVaR results are used to generate economic capital estimates by market risk, which are periodically monitored and are part of the overall risk appetite of each subsidiary. Furthermore, Credicorp has internal appetite risk limits for the trading book which are monitored and reported to the Credicorp Market Risk Committee. In VaR calculations, the foreign exchange effect is not included, and as such the calculation is measured assuming a constant exchange rate. For further information, see “ITEM 11. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT RISK MANAGEMENT – Foreign Currency Exchange Rate Risk”.\n\nCredicorp’s VaR remained stable as December 31, 2025. During this year, the VaR remained contained within the limits of the risk appetite established by the Group's Risk Management and its subsidiaries.\n\n255\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\nAs of December 31, 2023, 2024 and 2025, our VaR by risk type were as follows:\n\n202320242025\n\nin thousands of Soles\n\nInterest rate risk29,39929,13827,569\n\nPrice risk5,2919331,631\n\nVolatility risk20462286\n\nDiversification effect(5,850)(1,685)(611)\n\nConsolidated VaR by risk type (1)28,86028,84828,875\n\n(1)Amplified to the holding period, adjusted by a 10-days period of liquidation.\n\nOnly financial instruments from the trading book were considered in the VaR calculation.\n\nOn the other hand, the instruments recorded as fair values through profit or loss, which are not part of the selling business model are considered as part of the sensitivity analysis of rates and market prices in the next section (11.11). See the chart of sensitivity of earnings at risk, net economic value and price sensitivity.\n\nThe information disclosed in these charts addresses the VaR calculation for the entire consolidated Group. However, minimum, maximum and average VaR calculations are estimated only for BCP Stand-alone’s trading book. The reason for this is that, although there is a daily VaR calculation for all subsidiaries with trading book positions, the entire Group is consolidated once a month in order to calculate a VaR for reporting purposes and to monitor the economic capital limit. Therefore, since there is not a sufficient sample for the Group, minimum, maximum and average VaR are calculated only for the BCP Stand-alone subsidiary. Nonetheless, the Company believes it is relevant information considering that BCP Stand-alone’s trading risk is close to the total trading risk of the Group’s portfolio.\n\nFor the years ending on December 31, 2023, 2024 and 2025, the BCP Stand-alone’s VaR statistics were as follows:\n\n202320242025\n\nin thousands of Soles\n\nAverage daily23,15735,93834,519\n\nHighest32,43553,39752,491\n\nLowest16,46324,26718,648\n\nBacktesting\n\nBacktesting is performed on the trading book to verify the predictive power of the VaR calculations. Backtesting compares results of the positions considered for the calculation of VaR and the calculation of the VaR from the previous day. Backtesting exceptions occur when real losses exceed the estimated VaR for the previous day. In order for a backtesting analysis to be considered valid, it should be based on a minimum of 252 observations. Every month, backtesting exceptions are analyzed and reports are prepared to explain the results. These reports are presented to the Treasury and ALM Risk Committee and our Senior Officers. Backtesting is estimated only for BCP Stand-alone’s trading book, since it should be based on a minimum of 252 observations and the Group’s VaR is consolidated only once a month for reporting purposes and to monitor the Group’s economic capital limit.\n\n256\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\nVaR Backtesting – VaR (1-Day, 99% in millions of Soles) – 2025:\n\nThe backtesting analysis uses the Kupiec “proportion of failures” test to determine if the number of exceptions is statistically different from the one expected by the VaR confidence level. Since the test uses the last 252 observations and a 99% VaR confidence level, the model will indicate an underestimation of the probability of large losses from the sixth exception, unless a fitting factor is applied to the VaR to correct the model underestimation.\n\nDuring 2025, BCP Stand-alone did not record any backtesting exceptions. According to the selected test, we believe that the VaR model is statistically correct.\n\nStress test\n\nA stress test is used to calculate the maximum loss that the Group incurs in light of daily shocks to the market risk factors from March 18, 2008, until the effective date of the stress test. The maximum loss is considered the outcome for the stress test.\n\nThe methodology for the stress test assumes a certain “holding period” until positions can be closed (1 - 10 days). The time period used to calculate the losses is one day; however, the final figures are amplified to a 10-day time period, and the final calculation is determined by multiplying the one-day losses times by the square root of 10. This adjustment will be exact only if the changes in the portfolio in the following days follow a normal distribution that is identical and independent; otherwise, the worst loss of the ten-day period will be an approximation.\n\nThe results of our stress test as of December 31, 2023, 2024, 2025, by risk type, were as follows:\n\n202320242025\n\nin thousands of Soles\n\nInterest rate risk86,438215,448264,544\n\nPrice risk6,5587,49439,022\n\nVolatility risk (1)383,2162,678\n\nDiversification effect(6,569)(10,608)(41,419)\n\nConsolidated VaR by risk type86,465215,550264,825\n\n(1)Volatility risk is the potential loss that result from fluctuations in option implied volatilities\n\n257\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\nGiven the possibility of any scenario of local or international uncertainty, continuous evaluations of stress test scenarios were carried out in order to anticipate potential losses for the Group and generate action plans to mitigate losses. Additionally, we reviewed the current models and methodologies carried out to ensure that volatility was included in the market risk indicators and valuations of the instruments.\n\nBanking Book\n\nThe management of risks associated with long-term and structural positions is called ALM. Non-trading portfolios, which comprise the banking book, are exposed to different sensitivities that can deteriorate the value of the Group’s assets relative to its liabilities and hence can reduce the Group’s net worth. Management of the banking book includes management of interest rates and the analysis of the repricing GAP.\n\nInterest Rate Risk\n\nThe ALM-related interest rate risk arises from eventual changes in interest rates that may adversely affect the expected gains (risk gains) or market value of financial assets and liabilities reported on the statement of financial position (net economic value). The Group assumes the exposure to the interest rate risk that may affect their fair value as well as the cash flow risk of future assets and liabilities.\n\nThe Risk Committee sets the guidelines regarding the level of unmatched repricing of interest rates that can be tolerated, which is periodically monitored by our ALCO monthly.\n\nCorporate policies include guidelines for the management of the Group’s exposure to the interest rate risk. These guidelines are implemented considering the features of each segment of business in which the Group entities operate.\n\nIn this regard, Group companies that are exposed to the interest rate risk are those in which earnings are based on interest, such as credits, investments and technical reserves. Interest rate risk management at BCP Stand-alone, BCP Bolivia, Mibanco, ASB, Grupo Pacífico and Mibanco Colombia is carried out by performing a repricing gap analysis, sensitivity analysis of the financial margin (EAR) and sensitivity analysis of the net economic value (EVE). These calculations consider different rate shocks in stress scenarios.\n\nRepricing Gap- Analysis\n\nRepricing gap analysis identifies the term structure of interest rate mismatches within the Group’s balance and out of balance assets and liabilities. Different time bucket schemes may be used in the report. Through this analysis, Management can identify the time period in which interest rate variations may have potential impacts.\n\n258\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\nThe tables below provide information about our financial instruments that are sensitive to interest rates, including deposits, bonds and other obligations, and summarize our exposure to interest rate risks as of December 31, 2023, 2024 and 2025. It includes the Group’s financial instruments at carrying amounts, categorized into columns based on the earlier of their contractual repricing date and maturity/call date. The products are distributed according to their contractual behavior or distribution assumptions (for those without contractual maturity). In addition, some credit products prepayment assumptions are considered.\n\nAs of December 31, 2023\n\nUp to 11 to 33 to 121 to 5More than 5Non-interestTotal\n\nmonthmonthsMonthsyearsyearsbearing\n\nin thousands of Soles\n\nAssets\n\nCash, due from banks,\n\nreceivables from reverse\n\n repurchase agreements and\n\nsecurity borrowing\n13,900,784 1,707,822 3,050,481 8,674,709 273,214 7,734,585 35,341,595 \n\nInvestments1,331,553 4,489,604 9,475,564 12,827,007 18,773,061 336,078 47,232,867 \n\nLoans, net19,650,760 16,975,402 38,874,328 46,963,496 14,420,760 (186,611)136,698,135 \n\nFinancial assets designated at fair\n\nvalue through profit and loss\n- - - - - 810,932 810,932 \n\nReinsurance and insurance\n\ncontract assets\n872,046 - - - - - 872,046 \n\nOther assets143,214 7,053 31,753 - - 2,381,135 2,563,155 \n\nTotal assets35,898,357 23,179,881 51,432,126 68,465,212 33,467,035 11,076,119 223,518,730 \n\nLiabilities\n\nDeposits and obligations40,740,255 16,793,946 22,762,047 57,611,088 8,418,281 1,379,377 147,704,994 \n\nPayables from repurchase\n\nagreements, security lending, due to banks and correspondents\n5,987,961 6,344,769 3,477,433 3,238,356 3,026,066 372,523 22,447,108 \n\nFinancial Liabilities designated\n\nat fair value through profit or loss\n- - - - - 641,915 641,915 \n\nInsurance and reinsurance\n\ncontract liability\n116,515 178,525 496,768 1,862,006 6,822,694 2,841,625 12,318,133 \n\nBonds and notes issued81,635 94,831 5,711,424 7,944,189 603,511 159,195 14,594,785 \n\nOther liabilities497,682 - 2,046 - - 4,546,082 5,045,810 \n\nEquity- - - - - 33,107,065 33,107,065 \n\nTotal liabilities and equity47,424,048 23,412,071 32,449,718 70,655,639 18,870,552 43,047,782 235,859,810 \n\nOff-Balance sheet items\n\nDerivatives assets72,943 - 676,380 - - - 749,323 \n\nDerivatives liabilities630,109 401,730 54,849 1,936,331 - - 3,023,019 \n\nTotal Off-Balance Sheet items(557,166)(401,730)621,531 (1,936,331)- - (2,273,696)\n\nMarginal gap(12,082,857)(633,920)19,603,939 (4,126,758)14,596,483 (31,971,663)(14,614,776)\n\nAccumulated gap(12,082,857)(12,716,777)6,887,162 2,760,404 17,356,887 (14,614,776)- \n\n(1)Other assets and other liabilities only include financial instrument accounts.\n\n259\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\nAs of December 31, 2024\n\nUp to 11 to 33 to 121 to 5More than 5Non-interestTotal\n\nmonthmonthsMonthsyearsyearsbearing\n\nin thousands of Soles\n\nAssets\n\nCash, due from banks,\nreceivables from reverse\nrepurchase agreements and\nsecurity borrowing35,573,543 1,085,329 1,609,783 2,012,826 2,342,288 6,064,604 48,688,373 \n\nInvestments1,548,776 3,604,634 10,192,970 12,690,421 20,926,450 147,264 49,110,515 \n\nLoans, net19,023,450 17,337,262 40,333,482 46,077,476 16,239,454 (1,273,828)137,737,296 \n\nFinancial assets designated at fair value\n\nthrough profit and loss\n- - - - - 932,734 932,734 \n\nReinsurance and insurance\n\ncontract assets\n841,170 - - - - - 841,170 \n\nOther assets (1)110,454 - - - 74,073 3,675,254 3,859,781 \n\nTotal assets57,097,393 22,027,225 52,136,235 60,780,723 39,582,265 9,546,028 241,169,869 \n\nLiabilities\n\nDeposits and obligations30,965,685 20,248,915 35,585,502 47,713,442 26,875,898 452,624 161,842,066 \n\nPayables from repurchase\n\nagreements, security lending, due to banks and correspondents\n3,371,128 6,893,979 4,410,854 1,749,262 3,074,502 315,370 19,815,095 \n\nFinancial Liabilities designated\n\nat fair value through profit or loss\n- - - - - 151,485 151,485 \n\nInsurance and reinsurance\n\ncontract liability\n121,965 189,997 582,662 2,149,411 7,271,617 3,106,633 13,422,285 \n\nBonds and notes issued2,913,005 2,108,291 3,977,975 5,284,838 2,787,909 196,425 17,268,443 \n\nOther liabilities (1)442,572 - - 4 101,587 5,220,609 5,764,772 \n\nEquity- - - - - 34,977,234 34,977,234 \n\nTotal liabilities and equity37,814,355 29,441,182 44,556,993 56,896,957 40,111,513 44,420,380 253,241,380 \n\nOff-Balance sheet items\n\nDerivatives assets865,949 508,140 592,591 564,599 - - 2,531,279 \n\nDerivatives liabilities1,382,049 112,920 354,289 658,699 - - 2,507,957 \n\nTotal Off-Balance Sheet items(516,100)395,220 238,302 (94,100)- - 23,322 \n\nMarginal gap18,766,938 (7,018,737)7,817,544 3,789,666 (529,248)(34,874,352)(12,048,189)\n\nAccumulated gap18,766,938 11,748,201 19,565,745 23,355,411 22,826,163 (12,048,189)- \n\n(1) Other assets and other liabilities only include financial instrument accounts.\n\n260\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\nAs of December 31, 2025\n\nUp to 11 to 33 to 121 to 5More than 5Non-interestTotal\n\nmonthmonthsMonthsyearsyearsbearing\n\nin thousands of Soles\n\nAssets\n\nCash, due from banks, receivables from\n\nreverse repurchase agreements and security borrowing\n37,746,584 759,032 1,095,107 2,167,637 2,882,800 6,570,497 51,221,657 \n\nInvestments2,206,670 4,454,362 7,626,855 8,288,755 25,180,743 90,321 47,847,706 \n\nLoans, net21,146,870 18,801,001 44,294,644 45,817,210 13,917,135 (1,661,856)142,315,004 \n\nFinancial assets designated at fair value\n\nthrough profit and loss\n- - - - - 992,429 992,429 \n\nReinsurance and insurance\n\ncontract assets\n708,560 - - - - - 708,560 \n\nOther assets (1)544,074 133,545 1,332 - 72,840 4,708,147 5,459,938 \n\nTotal assets62,352,758 24,147,940 53,017,938 56,273,602 42,053,518 10,699,538 248,545,294 \n\nLiabilities\n\nDeposits and obligations26,910,364 22,259,382 28,940,310 52,514,477 39,448,884 328,216 170,401,633 \n\nPayables from repurchase\n\nagreements, security lending, due to banks and correspondents\n6,438,412 5,628,624 1,145,888 2,654,255 2,894,222 157,624 18,919,025 \n\nFinancial Liabilities designated\n\nat fair value through profit or loss\n- - - - - 1,055,893 1,055,893 \n\nInsurance and reinsurance\n\ncontract liability\n136,545 210,611 599,093 2,460,841 7,610,781 3,246,284 14,264,155 \n\nBonds and notes issued226,853 423,133 2,866,745 7,532,602 2,707,559 268,643 14,025,535 \n\nOther liabilities (1)1,219,594 25,236 10,043 12 129,525 4,678,502 6,062,912 \n\nEquity- - - - - 39,096,109 39,096,109 \n\nTotal liabilities and equity34,931,768 28,546,986 33,562,079 65,162,187 52,790,971 48,831,271 263,825,262 \n\nOff-Balance sheet items\n\nDerivatives assets- 353,115 823,935 - - - 1,177,050 \n\nDerivatives liabilities504,450 - 184,965 502,585 - - 1,192,000 \n\nTotal Off-Balance Sheet items(504,450)353,115 638,970 (502,585)- - (14,950)\n\nMarginal gap26,916,540 (4,045,931)20,094,829 (9,391,170)(10,737,453)(38,131,733)(15,294,918)\n\nAccumulated gap26,916,540 22,870,609 42,965,438 33,574,268 22,836,815 (15,294,918)- \n\n(1)Other assets and other liabilities only include financial instruments accounts.\n\nInvestments and derivatives classified by our management as held for trading are not considered in our repricing gap analysis because these instruments are included in the trading book. Instead of repricing gap analysis, we use VaR methodology to assess risk arising from these instruments. Other assets and other liabilities include only financial accounts.\n\nSensitivity to Changes in Interest Rates\n\nThe sensitivity analysis of a reasonable possible change in interest rates on the ALM book comprises an assessment of the sensibility of the financial margin, which seeks to measure the potential changes in interest accruals over a period of time due to the expected parallel movement of the interest rate curves, as well as the sensitivity of the net economic value, which is a long-term metric measured as the difference between the economic value of net assets and liabilities before and after a variation in interest rates.\n\nThe sensitivity of the financial margin is the effect of the assumed changes in interest rates on the net interest income before income tax for one year and is based on non-trading financial assets and financial liabilities held on December 31, 2022, 2023 and 2024, including the effect of derivative instruments. The sensitivity of net economic value is calculated by reassessing the financial assets and liabilities that comprise the banking book, including the effect of any associated hedge and derivative instruments designated as a cash flow hedge. In managing interest rate risk, no distinction\n\n261\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\nis made by accounting category of the investments comprising the banking book, including instruments classified as fair value through other comprehensive income and amortized cost investments.\n\nThe tables below summarize our exposure to interest rate changes as of December 31, 2023, 2024 and 2025:\n\nAs of December 31, 2023\n\nCurrencyInterest rates\nchanges inSensitivity ofSensitivity of\n\nbasis pointsnet profiteconomic value\n\nin thousands of Soles\n\nSoles+/-50 +/-15,052 -/+511,851 \n\nSoles+/-75 +/-22,578 -/+767,776 \n\nSoles+/-100 +/-30,104 -/+1,023,702 \n\nSoles+/-150 +/-45,156 -/+1,535,553 \n\nUS Dollar+/-50 +/-48,060 +/-119,342 \n\nUS Dollar+/-75 +/-72,090 +/-179,013 \n\nUS Dollar+/-100 +/-96,120 +/-238,684 \n\nUS Dollar+/-150 +/-144,180 +/-358,026 \n\nAs of December 31, 2024\n\nCurrencyInterest rates\nchanges inSensitivity ofSensitivity of\n\nbasis pointsnet profiteconomic value\n\nin thousands of Soles\n\nSoles+/-50 +/-30,754 -/+425,783 \n\nSoles+/-75 +/-46,132 -/+638,675 \n\nSoles+/-100 +/-61,509 -/+851,567 \n\nSoles+/-150 +/-92,263 -/+1,277,350 \n\nUS Dollar+/-50 +/-134,532 +/-191,211 \n\nUS Dollar+/-75 +/-201,798 +/-286,816 \n\nUS Dollar+/-100 +/-269,064 +/-382,421 \n\nUS Dollar+/-150 +/-403,595 +/-573,632 \n\nAs of December 31, 2025\n\nCurrencyInterest rates\nchanges inSensitivity ofSensitivity of\n\nbasis pointsnet profiteconomic value\n\nin thousands of Soles\n\nSoles+/-50 +/-51,429 -/+297,149 \n\nSoles+/-75 +/-77,143 -/+445,724 \n\nSoles+/-100 +/-102,857 -/+594,298 \n\nSoles+/-150 +/-154,286 -/+891,447 \n\nUS Dollar+/-50 +/-173,047 +/-338,248 \n\nUS Dollar+/-75 +/-259,571 +/-507,372 \n\nUS Dollar+/-100 +/-346,095 +/-676,496 \n\nUS Dollar+/-150 +/-519,142 +/-1,014,745 \n\nThe interest rate sensitivities set out in the tables above are illustrative only and are based on simplified scenarios. These figures represent the effect of the preform movements in the net interest income based on the projected yield curve scenarios and the Group’s current interest rate risk profile. This effect, however, does not incorporate actions that would be\n\n262\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\ntaken by Management to mitigate the impact of this interest rate risk. In addition, the Group proactively seeks to change the interest rate risk profile to minimize losses and optimize net revenues. The projections above also assume that interest rate of all maturities move by the same amount and, therefore, do not reflect the potential impact on net interest income of some rates changing while others remain unchanged.\n\nAs of December 31, 2023, 2024 and 2025, investments in equity securities and funds that are non-trading, recorded at fair value through other comprehensive income and at fair value through profit or loss, respectively, are not considered as comprising investment securities for interest rate sensitivity calculation purposes; however, 10%, 25% and 30% changes in market prices are conducted to these price-sensitivity securities.\n\nThe market price sensitivity tests as of December 31, 2023, 2024 and 2025 are presented below:\n\nEquity at fair value through\nother comprehensive income202320242025\n\nChanges in market prices %in thousands of Soles\n\nEquity securities+/- 1033,480 14,726 9,032 \n\nEquity securities+/- 2583,700 36,816 22,581 \n\nEquity securities+/- 30100,440 44,179 27,097 \n\nFunds at fair value through profit or loss202320242025\n\nChanges in market prices %in thousands of Soles\n\nMutual funds+/- 10108,747 62,216 70,494 \n\nMutual funds+/- 25271,867 155,539 176,234 \n\nMutual funds+/- 30326,241 186,647 211,481 \n\nRestricted mutual funds+/- 1033,416 31,820 33,616 \n\nRestricted mutual funds+/- 2583,541 79,549 84,040 \n\nRestricted mutual funds+/- 30100,249 95,459 100,848 \n\nFund of Liquid Assets Requirement (RAL)+/- 1014,541 43,250 12,539 \n\nFund of Liquid Assets Requirement (RAL)+/- 2536,354 108,126 31,348 \n\nFund of Liquid Assets Requirement (RAL)+/- 3043,624 129,751 37,618 \n\nInvestment Funds+/- 10118,071 140,196 149,817 \n\nInvestment Funds+/- 25295,178 350,489 374,542 \n\nInvestment Funds+/- 30354,214 420,587 449,451 \n\nHedge Funds+/- 1029 32 - \n\nHedge Funds+/- 2573 81 - \n\nHedge Funds+/- 3087 97 - \n\nExchange Traded Funds+/- 102,958 3,931 3,410 \n\nExchange Traded Funds+/- 257,396 9,827 8,524 \n\nExchange Traded Funds+/- 308,875 11,793 10,229 \n\nForeign Currency Exchange Rate Risk\n\nThe Group is exposed to fluctuations in foreign currency exchange rates, which impact net open monetary positions and equity positions in a different currency than the group's functional currency.\n\nThe group's monetary position is made up of the net open position of monetary assets, monetary liabilities and off-balance sheet items expressed in foreign currency for which the entity itself assumes the risk; as well as the equity position generated by the investment in the group's subsidiaries whose functional currency is different from soles. In the first case, any appreciation/depreciation of the foreign currency would affect the consolidated income statement, on the contrary, in the case of the equity position, any appreciation/depreciation of the foreign currency will be recognized in other comprehensive income.\n\n263\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\nThe Group manages foreign currency exchange risk, which affects the income statement, by monitoring and controlling currency positions exposed to movements in exchange rates. The market risk units of each subsidiary establish limits for said positions, which are approved by their own committees, and monitor and follow up the limits considering their foreign exchange trading positions, their most structural foreign exchange positions, as well as their sensitivities. Additionally, there is a monetary position limit at the Credicorp level, which is monitored and reported to the Group's Risk Committee.\n\nOn the other hand, the Group manages foreign currency exchange risk whose fluctuation is recognized in other comprehensive income, monitoring and controlling equity positions and their sensitivities, which are reported to the Group's Risk Committee.\n\nNet foreign exchange gains/losses recognized in the consolidated statement of income are disclosed in the following items:\n\n•Net gain on foreign exchange transactions\n\n•Net gain on derivatives held for trading\n\n•Net exchange difference result\n\nAs of December 31, 2025, the foreign currency in which the Group has the greatest exposure is the U.S. Dollar. The free market-exchange rate for purchase and sale transactions of each U.S. Dollar as of December 31, 2025 was S/3.363 (S/3.764 as of December 31, 2024).\n\nForeign currency transactions are made at market exchange rates of the countries where Credicorp’s Subsidiaries are established. As of December 31, 2023, 2024, and 2025, the net open monetary position with effect on results and the equity position of the group was as follows:\n\n2023U.S. DollarOther currencies\n\nin thousands of Soles\n\nTotal monetary assets77,387,709 495,553 \n\nTotal monetary liabilities(79,779,686)(102,500)\n\n(2,391,977)393,053 \n\nTotal position in currency derivatives2,622,188 (369,458)\n\nNet monetary position with effect on consolidated statement of income230,211 23,595 \n\nNet monetary position with effect on equity904,434 2,204,984 \n\nNet monetary position1,134,645 2,228,579 \n\n2024U.S. DollarOther currencies\n\nin thousands of Soles\n\nTotal monetary assets93,696,321 435,107 \n\nTotal monetary liabilities(86,859,546)(104,858)\n\n6,836,775 330,249 \n\nTotal position in currency derivatives(6,142,485)144,889 \n\nNet monetary position with effect on consolidated statement of income694,290 475,138 \n\nNet monetary position with effect on equity754,769 2,291,428 \n\nNet monetary position1,449,059 2,766,566 \n\n264\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\n2025U.S. DollarOther currencies\n\nin thousands of Soles\n\nTotal monetary assets92,302,409 403,672 \n\nTotal monetary liabilities(82,319,334)(78,107)\n\n9,983,075 325,565 \n\nTotal position in currency derivatives(9,163,066)174,608 \n\nNet monetary position with effect on consolidated statement of income820,009 500,173 \n\nNet monetary position with effect on equity1,157,602 2,355,753 \n\nNet monetary position1,977,611 2,855,926 \n\nAs of December 31, 2023, 2024 and 2025, the monetary position with effect on equity in other currencies is mainly made up of the equity of subsidiaries in Bolivianos for S/860.3 million, S/962.7 million and S/799.2 million, respectively; in Colombian Pesos for S/961.9 million, S/901.3 million and S/1,031.4 million, respectively and in Chilean Pesos for S/380.9 million, S/425.7 million and S/522.5 million, respectively.\n\nStarting in March 2025, Management has decided to use, for the conversion of its investments in companies incorporated in Bolivia, the exchange rate applied by financial institutions, as published on March 14, 2025 in Circular No.857/2025 issued by the Financial System Supervisory Authority of Bolivia (ASFI), as this determines the value at which Bolivian financial institutions can buy/sell U.S. Dollars. This update has resulted in a decrease in the Group’s consolidated statement of financial position of S/2,315.2 million in assets, S/2,193.8 million in liabilities, and S/121.5 million in equity as of December 31, 2025.\n\nThe following tables show the sensitivity analysis of the main currencies to which the Group is exposed and which affect the consolidated income statement and other comprehensive income as of December 31, 2023, 2024 and 2025.\n\nThe analysis determines the effect of a reasonably possible variation of the exchange rate against the Sol for each of the currencies independently, considering all other variables constant. A negative amount shows a potential net reduction in the consolidated income statement and other comprehensive income, while a positive amount reflects a potential increase.\n\nThe sensitivity analysis of the foreign currency position with an effect on the consolidated income, with the U.S. Dollar as the main currency of exposure. This analysis is shown as of December 31, 2023, 2024 and 2025:\n\nCurrency rate sensibilityChange in Currency Rates202320242025\n\n%in thousands of Soles\n\nDepreciation\n\nSol in relation to US Dollar5 10,962 33,061 39,048 \n\nSol in relation to US Dollar10 20,928 63,117 74,546 \n\nAppreciation\n\nSol in relation to US Dollar5 (12,116)(36,542)(43,158)\n\nSol in relation to US Dollar10 (25,579)(77,143)(91,112)\n\n265\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\nThe following is the sensitivity analysis of the foreign exchange position with effect in other comprehensive income, with the U.S. Dollar, the Bolivian Peso, the Colombian Peso and the Chilean Peso being the main currencies of exposure. This analysis is shown as of December 31, 2023, 2024 and 2025:\n\nCurrency rate sensibilityChange in Currency Rates202320242025\n\n%in thousands of Soles\n\nDepreciation\n\nSol in relation to US Dollar5 43,377 35,941 55,124 \n\nSol in relation to US Dollar10 82,812 68,615 105,237 \n\nAppreciation\n\nSol in relation to US Dollar5 (47,944)(39,725)(60,926)\n\nSol in relation to US Dollar10 (101,214)(83,863)(128,622)\n\nCurrency rate sensibilityChange in Currency Rates202320242025\n\n%in thousands of Soles\n\nDepreciation\n\nSol in relation to Boliviano5 40,969 45,842 38,056 \n\nSol in relation to Boliviano10 78,214 87,516 72,652 \n\nAppreciation\n\nSol in relation to Boliviano5 (45,282)(50,667)(42,062)\n\nSol in relation to Boliviano10 (95,595)(106,964)(88,797)\n\nCurrency rate sensibilityChange in Currency Rates202320242025\n\n%in thousands of Soles\n\nDepreciation\n\nSol in relation to Colombian Peso5 45,804 42,919 49,115 \n\nSol in relation to Colombian Peso10 87,444 81,936 93,765 \n\nAppreciation\n\nSol in relation to Colombian Peso5 (50,626)(47,437)(54,285)\n\nSol in relation to Colombian Peso10 (106,876)(100,144)(114,602)\n\nCurrency rate sensibilityChange in Currency Rates202320242025\n\n%in thousands of Soles\n\nDepreciation\n\nSol in relation to Chilean Peso5 18,136 20,272 24,882 \n\nSol in relation to Chilean Peso10 34,624 38,702 47,501 \n\nAppreciation\n\nSol in relation to Chilean Peso5 (20,046)(22,406)(27,501)\n\nSol in relation to Chilean Peso10 (42,318)(47,302)(58,057)\n\nLiquidity Risk\n\nLiquidity risk is the risk that the Group is unable to meet its short-term payment obligations associated with its financial liabilities when they are due and to replace funds when they are withdrawn. In this sense, a company that is facing a liquidity crisis would be failing to comply with the obligations to pay depositors and with commitments to lend or satisfy other operational cash needs.\n\n266\n\n[Table of Contents](#ib149d99176634ff8adf88f8fa17ce583_7)\n\nFor further information about liquidity risk management, please refer to ITEM 5. OPERATING AND FINANCIAL REVIEW AND PROSPECTS – 5.B Liquidity and Capital Resources - (3) Liquidity Risk.\n\nCrypto Risk\n\nThe Group does not maintain direct or indirect exposure to cryptoassets in its balance sheet, nor does it engage in proprietary trading, investment, custody or issuance of cryptoassets. Accordingly, the Group is not exposed to price volatility, liquidity risk, or valuation risk associated with cryptoassets.\n\nd)Model Risk\n\nModel risk is defined as the probability of loss resulting from decisions (credit, market, among others) based on the use of poorly designed and/or poorly implemented models. The main sources of this risk are deficiencies in data, errors in the model (from design to implementation) or wrongful use of the model.\n\nThe Group uses models for different purposes, such as credit admission, internal capital calculation, monitoring behavior of payment, determination of loan reserves, market risk and liquidity. Model risk management is structured around a set of processes known as the life cycle of the model. The phases of the life cycle of the model in the Group are: identification, planning, development, internal validation, approval, implementation and use, and monitoring and control.\n\nManagement of model risk is proportional to the importance of each model. To this end, a tiered approach is used to synthesize the level of importance of a model, from which the level of model management is then determined.\n\ne)Risk in Insurance Activity and Operational Risk\n\nBoth our operational risk, which measures the probability of loss of the business operations, and our insurance activity risk, which measures the real cost of claims and benefit payments and the timing thereof, are important for the Group’s risk management. How we identify, evaluate, measure, treat and control operational risk and insurance activity risk is defined and explained in the following notes to our audited consolidated financial statements: 30.5 Operational risk and 30.9 Risk of the insurance activity.\n\nThe main risk faced by the Group related to insurance contracts is that the real cost of claims and payments, or the opportunity cost of claims and payments, may differ from what was expected. The magnitude of this risk is influenced by the frequency of claims, the severity of claims, the real benefits paid and the development of long-term claims. Therefore, the Group seeks to ensure that sufficient reserves are available to cover these obligations. The Group constantly monitors the adequacy of its technical reserves by taking appropriate measures against possible adverse results. It also contracts with independent, recognized actuarial services firms to conduct periodic reviews regarding the sufficiency of reserves for the companies that make up the Insurance & Pensions LoB."}