MTN NIGERIA COMMUNICATIONS : 2023 SUSTAINABILITY REPORT

Expanding Reach,

Enhancing Impact

MTN Nigeria Communications Plc

Sustainability Report 2023

Welcome to our 2023 Sustainability Report

Inside this Report...

• Introduction

About the Report

Leadership Statement

Our 2023 ESG Performance Highlights

• Our Sustainability Context

Who We Are

Our Sustainability Journey

Our Contribution to the SDGs

Our Material Matters

Engaging with our Stakeholders

Industry Memberships

31 Strategy

Ambition 2025

How We Create Value

Our Sustainability Strategy

Our Sustainability Impact

Our Net Zero Philosophy

Approaches for Managing Sustainability-Related Risks and

Opportunities

Approaches for Managing Climate-Related Risks and Opportunities Impact of Risks and Opportunities on our Business Strategy and Decision Making

Impact of Risks and Opportunities on our Financial position, financial performance, and cash flows

Implications of Risks and Opportunities on the Resilience of Our

Business Model

48 Governance

Our Governance Structure

Our Management Approach to Governance

Board Skills and Experience

Organisational Policies

56 Risk Management

Risk Management at MTN Nigeria

Identification, Assessment and Management of

SRROs and CRROs

61 Metrics and Targets

Doing for Planet (Environmental Pillar)

Doing for People (Cultural & Social Pillars)

Doing it Right (Operational and Institutional Pillars) Doing for Growth (Economic and Financial Pillars)

108 Appendix

Sustainability Performance Dashboard

Cross Industry Metrics

GHG Accounting Methodology

IFRS Reliefs Applied

Report Content Indexes

Awards and Recognition

List of Abbreviations

Glossary

Introduction

Introduction Our Sustainability Context

Strategy

Governance

Risk Management Metrics & Targets

Appendix

Welcome to the MTN Nigeria Communications PLC's 2023 sustainability report. The report provides feedback to our stakeholders and interested parties on our material socio-economic and environmental performance for the period from 1 January to 31 December 2023. This report complements additional information disclosed in our 2023 Annual Report, which is available on our website.

Scope and Boundaries

This is our fifth consecutive stand-alone sustainability report, and it covers MTN Group's operations in Nigeria. This report does not disclose MTN Group information and is specific only to MTN Nigeria. MTN Group's sustainability report which can be found herecontains aggregated information that is reflective of all MTN Group operating companies, including MTN Nigeria. Certain positioning statements may differ from the MTN Group due to specific legal and contextual reasons pertaining to Nigeria.

Reporting Standards and Guidelines

Our disclosures are primarily guided by and in line with the requirements of International Financial Reporting Standards (IFRS) Sustainability Disclosure Standards, namely IFRS S1, IFRS S2, and the applicable Sustainability Accounting Standards Board (SASB) standards. We have applied the reliefs as provided by the IFRS standards (see Appendix). We have aligned this report to the requirements of the Global Reporting Initiative (GRI) Sustainability Reporting Standards and the Paris Climate Agreement. This report also satisfies our disclosure for the Nigerian Exchange Limited's Sustainability Disclosure Guidelines (NGX-SDGs), the Securities and Exchange C o m m i s s i o n ( S E C ) C o d e o f C o r p o r a t e Governance, and the Financial Reporting Council of Nigeria Code of Corporate Governance (NCCG). It also explains our contributions to the United Nations Sustainable Development Goals (UNSDGs) and the steps we are taking to help achieve the UNSDGs.

"This report provides feedback to our stakeholders and interested parties on our material socio-economic and environmental performance."

MTN Nigeria welcomes feedback from all stakeholders regarding the content of this report. We are interested in hearing our stakeholders' thoughts on our sustainability performance and reporting efforts and how we can improve both. Please send your comments and inquiries to MTN Nigeria: MTN Plaza, Awolowo Road, Ikoyi Lagos, or via email: [e-mail] or fill this form.

Scan to fill the

MTN Nigeria 2023

MTN Nigeria has reported in in line with the requirements of the

International Financial Reporting Standards (IFRS) Sustainability

Sustainability

Report Feedback

Form

Disclosure Standards.

MTN Nigeria Sustainability Report 2023 3

Introduction Our Sustainability Context

Strategy

Governance

Risk Management Metrics & Targets

Appendix

Adekemi Adisa

General Manager,

Sustainability and

Shared Value

To facilitate reading and comparability, please refer to the report content index on page 121.

Data Collection

The data in this report was compiled using information sourced through our ESG Data Management System implemented for the 2023 sustainability report. We deployed several methods for gathering, verifying, and validating the data. This includes the use of spreadsheets for data input, email approvals for verification and validation, and incorporation of excerpts from

other publications such as our 2023 annual report. We ensured data accuracy and consistency via various levels of verification and approvals with evidence provided by various teams to support the data/information provided . Additional data was obtained from stakeholder engagements and s u r v e y s , r e s e a r c h r e p o r t s , benchmarking, and results from periodic assessments of MTN N i g e r i a ' s s u s t a i n a b i l i t y p e r f o r m a n c e u n d e r t a k e n b y

external organisations.

Assurance

The MTN Nigeria Board has overall accountability for the 2023 Sustainability Report. Responsibility for overseeing the sustainability management and reporting process is delegated to the Social, Ethics and Sustainability Committee (SESCO). The SESCO has read this report and considered the integrity and completeness of the material aspects and information contained within it and is satisfied that the 2023 Sustainability Report is a fair representation of the material matters and provides a balanced view of our responsible business strategy and performance.

Our 2023 sustainability report has not been assured by an independent third party. Nonetheless, we are committed to transparency and accuracy in our reporting and have taken steps to ensure the reliability of the information presented . We believe that independent assurance will add credibility to our report and help our stakeholders make informed decisions. We are committed to working with assurance providers to assure our future sustainability reports once the International Auditing and Assurance Standards Board (IAASB) global sustainability assurance standards are released in 2024.

Read our additional and complementary

disclosures in our 2023 Annual Report

MTN Nigeria Sustainability Report 2023 4

Introduction Our Sustainability Context

Strategy

Governance

Risk Management Metrics & Targets

Appendix

Abubakar Mahmoud, SAN, OON

Chairman, SESCO

Karl Olutokun

Toriola

CEO, MTN Nigeria

Doing for

tomorrow, today

This simple phrase sums up our commitment to sustainability, and it resonates throughout our business operations and engagements with our partners, stake- holders, host communities and our entire ecosystem. The publication of this report

demonstrates our impact beyond financial performance. As one of Africa's largest providers of communication services, we have a responsibility to harness, support and expand the development and well-being of the economy and the people who are connected to our business. Shared value is our compass. We drive innovation through collaboration, fostering solutions that benefit all stakeholders and

contribute to a sustainable future.

2023 was undoubtedly a significant year

in the global sustainability reporting

landscape as the ISSB published its first

set of sustainability-related financial disclo- sure standards: IFRS S1 and IFRS S2. These standards, developed to provide investors with adequate and comparable information, represent a significant step towards unifying sustainability reporting practices through a common set of guidelines and metrics, ensur- ing consistency and comparability across different organisations and industries. Nigeria, in 2022 at COP27, announced its intention to be a first mover in adopting the standards. We at MTN Nigeria are proud to support this courageous and exemplary feat by being one of

the early adopter of the standards. We are represented at national and international groups created to support the adoption of this standard, including the Adoption Readiness Working Group (ARWG) established by the FRC to create a roadmap for the adoption of these standards in Nigeria, and the Transition Implementation Group (TIG) created by the ISSB to support preparers on their journey to reporting on the standards. Our participation on these fronts is a testament to our leadership and dedication to championing sustainability.

Sustainability is anchored at the highest level of our organisation, with the creation of the Social, Ethics and Sustainability Committee (SESCO) of the Board of Directors, which provides oversight on the activities of the Sustainability and Shared Value department. Our Ambition 2025 strategy is premised on our belief that we have a genuine opportunity to play a positive and meaningful role in creating

MTN Nigeria Sustainability Report 2023 5

Introduction Our Sustainability Context

Strategy

Governance

Risk Management Metrics & Targets

Appendix

continued

a sustainable and inclusive world and considers ESG as a vital enabler to achieving our goal of leading digital solutions for Africa's progress.

Our sustainability strategy revolves around four principles: eco-responsibility,sustainable societ- ies, sound governance and economic value-added. We are particular about our people and all stakeholders connected to our business. By providing excellent employment opportunities and benefits, championing collaboration with our host commu- nities, delivering excellent return on capital to our investors and fostering active engagement and compliance with our regulators, we demonstrate our value to the society and the people that make us thrive. In 2023, we spent N2.6 billion on Corporate Social Investment activities, reaching

"We consider ESGasa vital enabler to

achieving our goal
of leading digital
solutions for Africa's
progress.	"

Recognition for the ESG at the core achievements in 2023

over 90 communities.

The rapid evolution of global and national crises in 2023 was marked by a rapid rise in the cost of living, inflation, and currency fluctuations. Despite these challenges, we have upheld the values and standards that have brought us this far and maintained the quality of our service to our stake- holders. We strengthened and expanded our network infrastructure. Our 4G coverage grew by 2.4pp from 79.1% in 2022 to 81.5% in 2023, and our 5G coverage grew by 8.1pp from 3.2% in 2022 to 11.3% in 2023, increasing our percentage of the market share to 52.1% in 2023 from 50.8% in 2022. We are leading in the provision of connectivity and access to millions of Nigerians. Our efforts on financial inclusion in Nigeria have also been

successful. Through our fintech business, we serve over 14.5 million customers in all the local governments across the country.

We continued to implement and progress our emission reduction strategy, and against our 2021 baseline, we had a 10.3% reduction in Scope 1 and 2 emissions. This year, we accounted for our Scope 3 emissions for the first time in our sustainability report, with 2021 being our baseline. We, together with our value chain actors, are working together to reduce our Scope 3 emissions.

Reducing our Scope 3 emissions and increasing circularity in our business operations, present a large opportunity for us to improve our sustainability performance. Achieving net zero

requires building partnerships across industries and we are committed to this.

Our leadership and can-do spirit have earned us recognition in various circles across the globe. We are proud to be recognised as the 2023 best operating company award in the 'ESG at the Core' category at the MTN Group annual Million Dollar Challenge, as well as the Corporate Responsibility Award from the Africa America Institute, amongst many others. We are at the forefront of our indus- try, charting the course for sustainable practices and impacting several other business and economic ecosystems. We would not have it any other way. We remain steadfast in our commitment to excellence and service.

MTN Nigeria Sustainability Report 2023 6

Our 2023 ESG Performance Highlights

10.3% reduction

Project Zero progress

912

Solar-powered

Rural Telephony Sites

970,987.0 GJ

Total Energy

Consumption

92.9%

Network

Coverage

38.7%

Female

Representation

90.9%

Employee

Below Age 50

299

New Hires

4,119

Training Hours

54.8%

Spent On

Local Suppliers

N549.3 billion

Paid To Government

N2.6 billion

Corporate Social

Investments Spend

5.3 million

Active Momo Wallets

89.8%

Broadband

Penetration

1st

Net Promoter

Score

3.4 /4.0

Risk Insights ESG

GPS Sustainability Rating

84.0%

Reputation

Index

We are what we're constantly Doing

Our

Sustainability

Context

Introduction Our Sustainability Context

Strategy

Governance

Risk Management Metrics & Targets

Appendix

MTN Nigeria is a subsidiary of the MTN Group, a	Our core belief revolves around democratising
prominent player in the telecommunications	access to a modern, connected life with a strategic
landscape across Africa and the Middle East,	focus on pioneering digital solutions to propel
operating in 19 countries. With an extensive reach,	Nigeria's advancement. We provide telecommuni-
we connect over 79 million individuals within	cations solutions that are not only relevant and
Nigeria's diverse communities, facilitating local	accessible but also of the highest quality, placing
and global communications. Since our establish-	our customers firmly in control of their connectiv-
ment in 2001, our nationwide network coverage,	ity.
technological prowess, and commitment to
innovation have consistently positioned us as a	Throughout our more than two decades of opera-
leader in the industry.			tions, we have upheld a legacy of leadership in
				coverage, capacity, and innovation while
Key operational and financial highlights		conscientiously considering our environ-
	mental, social, and economic impacts.
Items (in millions)	2023	2022	The unwavering support of our cus-
tomers has been instrumental in our
Mobile subscribers	79.7	75.6
journey as we continuously strive to
Data subscribers	44.6	39.5	deliver unique service offerings and
Active MoMo wallets	5.3		2.0	solutions that add tangible value to
	their lives.
Ayoba subscribers	8.6		5.2
Service revenue	2,454,745	2,006,184	As a responsible mobile operator, we
Voice revenue	1,136,953	1,036,684	are dedicated to amplifying our posi-
Data revenue	1,069,468	764,821	tive impact and cultivating robust
partnerships with our stakeholders. As
Fintech revenue	86,426	84,396
we navigate the opportunities and
No. of employees	1854*	1684
challenges that lie ahead, we remain
*1824 permanent, 24 interns, 6 foreign nationals	committed to driving innovation,
				fostering sustainable growth, and
• Incorporated as a private limited liability company on 8		delivering value to all those we serve.
November 2000.

• Commenced operations on 8 August 2001.
• Re-registeredas a public limited company, on 18 April 2019.
• Listed by introduction on the Premium Board of the

Nigerian Exchange Limited (NGX) on 16 May 2019.

"They guide and inform our actions.

Our values define

what is important to us. "

Collaborate

with Agility

Lead

with Care

Our

Serve

with RespectValues

Act

with Inclusion

Can-Do

with Integrity

Vital

Behaviours

Complete Candour	Complete Accountability
Get It Done	Active Collaboration

MTN Nigeria Sustainability Report 2023 9