EX-99.1 2 ea177477ex99-1_bankofchile.htm CONSOLIDATED FINANCIAL STATEMENTS WITH NOTES AS OF MARCH 31, 2023

Exhibit 99.1

BANCO DE CHILE AND SUBSIDIARIES

(Free translation of Consolidated Financial Statements originally issued in Spanish)

INDEX

I. | Interim Consolidated Statements of Financial Position
II. | Interim Consolidated Statements of Income
III. | Interim Consolidated Statements of Other Comprehensive Income
IV. | Interim Consolidated Statements of Changes in Equity
V. | Interim Consolidated Statements of Cash Flows
VI. | Notes to the Interim Consolidated Financial Statements

MCh$ | = | Millions of Chilean pesos
ThUS$ | = | Thousands of U.S. dollars
UF or CLF | = | Unidad de Fomento
|  | (The UF is an inflation-indexed, Chilean peso denominated monetary unit set daily in advance on the basis of the previous month’s inflation rate).
Ch$ or CLP | = | Chilean pesos
US$ or USD | = | U.S. dollar
JPY | = | Japanese yen
EUR | = | Euro
HKD | = | Hong Kong dollar
CHF | = | Swiss Franc
PEN | = | Peruvian sol
AUD | = | Australian dollar
NOK | = | Norwegian krone
IFRS | = | International Financial Reporting Standards
IAS | = | International Accounting Standards
RAN | = | Actualized Standards Compilation of the Chilean Commission for Financial Market (“CMF”)
IFRIC | = | International Financial Reporting Interpretations Committee
SIC | = | Standards Interpretation Committee

BANCO DE CHILE AND SUBSIDIARIES

INDEX

| Page
Interim Consolidated Statements of Financial Position | 1
Interim Consolidated Statements of Income | 4
Interim Consolidated Statements of Other Comprehensive Income | 5
Interim Consolidated Statements of Change Equity | 6
Interim Consolidated Statements of Cash Flows | 7
1. | Company information: | 9
2. | Main Accounting Criteria Used: | 10
3. | New Accounting Pronouncements Issued and Adopted, or Issued that have not yet been Adopted: | 48
4. | Accounting Changes: | 52
5. | Relevant Events: | 52
6. | Business Segments: | 54
7. | Cash and Cash Equivalents: | 57
8. | Financial Assets Held for Trading at Fair Value through Profit or Loss: | 58
9. | Non-trading Financial Assets mandatorily measured at Fair Value through Profit or Loss: | 60
10. | Financial Assets and Liabilities designated as at Fair Value through Profit or Loss: | 60
11. | Financial Assets at Fair Value through Other Comprehensive Income: | 61
12. | Derivative Financial Instruments for hedging purposes: | 64
13. | Financial assets at amortized cost: | 69
14. | Investments in other companies: | 95
15. | Intangible Assets: | 98
16. | Property and equipment: | 100
17. | Right-of-use assets and Lease liabilities: | 102
18. | Taxes: | 105
19. | Other Assets: | 110
20. | Non-current assets and disposal groups held for sale and Liabilities included in disposal groups for sale: | 111
21. | Financial liabilities held for trading at fair value through profit or loss: | 112
22. | Financial liabilities at amortized cost: | 113
23. | Financial instruments of regulatory capital issued: | 118
24. | Provisions for contingencies: | 122
25. | Provision for dividends, interests and reappraisal of financial instruments of regulatory capital issued: | 127
26. | Special provisions for credit risk: | 128
27. | Other Liabilities: | 129
28. | Equity: | 130
29. | Contingencies and Commitments: | 135
30. | Interest Revenue and Expenses: | 140
31. | UF indexation revenue and expenses: | 142
32. | Income and Expeses from commissions: | 144
33. | Net Financial income (expense): | 145
34. | Income attributable to investments in other companies: | 146
35. | Result from non-current assets and disposal groups held for sale not admissible as discontinued operations: | 147
36. | Other operating Income and Expenses: | 148
37. | Expenses from salaries and employee benefits: | 149
38. | Administrative expenses: | 150
39. | Depreciation and Amortization: | 151
40. | Impairment of non-financial assets: | 151
41. | Credit loss expense: | 152
42. | Income from discontinued operations: | 154
43. | Related Party Disclosures: | 154
44. | Fair Value of Financial Assets and Liabilities: | 161
45. | Maturity according to their remaining Terms of Financial Assets and Liabilities: | 173
46. | Financial and Non-Financial Assets and Liabilities by Currency: | 177
47. | Risk Management and Report: | 178
48. | Information on Regulatory Capital and Capital Adequacy Ratios: | 219
49. | Subsequent Events: | 222

i

BANCO DE CHILE AND SUBSIDIARIES

INTERIM CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

For the periods ended March 31, 2023 and December 31, 2022

(Free translation of Interim Consolidated Financial Statements originally issued in Spanish)

|  |  |  | March |  |  | December |
|  |  |  | 2023 |  |  | 2022 |
|  | Notes |  | MCh$ |  |  | MCh$ |
ASSETS |  |  |  |  |  |  |  |
Cash and due from banks |  | 7 |  |  | 2,712,774 |  |  |  | 2,764,884 |
Transactions in the course of collection |  | 7 |  |  | 644,311 |  |  |  | 772,196 |
Financial assets held for trading at fair value through profit or loss: |  |  |  |  |  |  |  |  |  |
Derivative financial instruments |  | 8 |  |  | 2,807,678 |  |  |  | 2,960,029 |
Debt financial instruments |  | 8 |  |  | 2,641,507 |  |  |  | 3,433,745 |
Others |  | 8 |  |  | 4,302 |  |  |  | 257,325 |
Non-trading financial assets mandatorily measured at fair value through profit or loss |  | 9 |  |  | — |  |  |  | — |
Financial assets at fair value through profit or loss |  | 10 |  |  | — |  |  |  | — |
Financial assets at fair value through other comprehensive income: |  |  |  |  |  |  |  |  |  |
Debt financial instruments |  | 11 |  |  | 5,070,987 |  |  |  | 3,967,392 |
Others |  | 11 |  |  | — |  |  |  | — |
Derivative financial instruments for hedging purposes |  | 12 |  |  | 3,911 |  |  |  | 27,077 |
Financial assets at amortized cost: |  |  |  |  |  |  |  |  |  |
Rights by resale agreements and securities lending |  | 13 |  |  | 45,895 |  |  |  | 54,061 |
Debt financial instruments |  | 13 |  |  | 904,643 |  |  |  | 902,355 |
Loans and advances to Banks |  | 13 |  |  | 1,596,106 |  |  |  | 2,174,115 |
Loans to customers - Commercial loans |  | 13 |  |  | 19,927,387 |  |  |  | 19,871,510 |
Loans to customers - Residential mortgage loans |  | 13 |  |  | 11,554,612 |  |  |  | 11,386,851 |
Loans to customers - Consumer loans |  | 13 |  |  | 4,758,519 |  |  |  | 4,658,051 |
Investments in other companies |  | 14 |  |  | 64,314 |  |  |  | 62,211 |
Intangible assets |  | 15 |  |  | 110,158 |  |  |  | 106,620 |
Property and equipment |  | 16 |  |  | 208,646 |  |  |  | 210,124 |
Right-of-use assets |  | 17 |  |  | 97,941 |  |  |  | 94,921 |
Current tax assets |  | 18 |  |  | 248,155 |  |  |  | 187,401 |
Deferred tax assets |  | 18 |  |  | 531,476 |  |  |  | 539,509 |
Other assets |  | 19 |  |  | 1,002,500 |  |  |  | 814,117 |
Non-current assets and disposal groups held for sale |  | 20 |  |  | 11,549 |  |  |  | 10,868 |
TOTAL ASSETS |  |  |  |  | 54,947,371 |  |  |  | 55,255,362 |

The accompanying notes 1 to 49 are an integral part of these interim consolidated financial statements

1

BANCO DE CHILE AND SUBSIDIARIES

INTERIM CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

For the periods ended March 31, 2023 and December 31, 2022

(Free translation of Interim Consolidated Financial Statements originally issued in Spanish)

|  |  |  | March |  |  | December |
|  |  |  | 2023 |  |  | 2022 |
|  | Notes |  | MCh$ |  |  | MCh$ |
LIABILITIES |  |  |  |  |  |  |  |
Transactions in the course of payment |  | 7 |  |  | 551,880 |  |  |  | 681,792 |
Financial liabilities held for trading at fair value through profit or loss: |  |  |  |  |  |  |  |  |  |
Derivative financial instruments |  | 21 |  |  | 2,939,711 |  |  |  | 3,101,482 |
Others |  | 21 |  |  | 2,689 |  |  |  | 6,271 |
Financial liabilities designated as at fair value through profit or loss |  | 10 |  |  | — |  |  |  | — |
Derivative Financial Instruments for hedging purposes |  | 12 |  |  | 301,515 |  |  |  | 223,016 |
Financial liabilities at amortized cost: |  |  |  |  |  |  |  |  |  |
Current accounts and other demand deposits |  | 22 |  |  | 13,150,631 |  |  |  | 13,383,232 |
Saving accounts and time deposits |  | 22 |  |  | 14,722,088 |  |  |  | 14,157,141 |
Obligations by repurchase agreements and securities lending |  | 22 |  |  | 107,189 |  |  |  | 216,264 |
Borrowings from financial institutions |  | 22 |  |  | 5,520,842 |  |  |  | 5,397,676 |
Debt financial instruments issued |  | 22 |  |  | 9,336,715 |  |  |  | 9,267,947 |
Other financial obligations |  | 22 |  |  | 259,909 |  |  |  | 344,030 |
Lease liabilities |  | 17 |  |  | 92,193 |  |  |  | 89,369 |
Financial instruments of regulatory capital issued |  | 23 |  |  | 1,029,546 |  |  |  | 1,010,905 |
Provisions for contingencies |  | 24 |  |  | 134,128 |  |  |  | 176,026 |
Provision for dividends, interests and reappraisal of financial instruments of regulatory capital issued |  | 25 |  |  | 130,002 |  |  |  | 520,158 |
Special provisions for credit risk |  | 26 |  |  | 765,564 |  |  |  | 765,766 |
Currents tax liabilities |  | 18 |  |  | 1,012 |  |  |  | 932 |
Deferred tax liabilities |  | 18 |  |  | 78 |  |  |  | — |
Other liabilities |  | 27 |  |  | 1,198,888 |  |  |  | 1,055,028 |
Liabilities included in disposal groups held for sale |  | 20 |  |  | — |  |  |  | — |
TOTAL LIABILITIES |  |  |  |  | 50,244,580 |  |  |  | 50,397,035 |
EQUITY |  |  |  |  |  |  |  |  |  |
Capital |  | 28 |  |  | 2,420,538 |  |  |  | 2,420,538 |
Reserves |  | 28 |  |  | 709,742 |  |  |  | 709,742 |
Accumulated other comprehensive income |  |  |  |  |  |  |  |  |  |
Elements that are not reclassified in profit and loss |  | 28 |  |  | 2,490 |  |  |  | 2,520 |
Elements that can be reclassified in profit and loss |  | 28 |  |  | (17,006 | ) |  |  | (72,322 | )
Retained earnings from previous period |  | 28 |  |  | 1,451,076 |  |  |  | 908,572 |
Income for the period |  | 28 |  |  | 265,951 |  |  |  | 1,409,433 |
Less: Provision for dividends, interests and reappraisal of financial instruments of regulatory capital issued |  | 28 |  |  | (130,002 | ) |  |  | (520,158 | )
Shareholders of the Bank |  | 28 |  |  | 4,702,789 |  |  |  | 4,858,325 |
Non-controlling interests |  | 28 |  |  | 2 |  |  |  | 2 |
TOTAL EQUITY |  |  |  |  | 4,702,791 |  |  |  | 4,858,327 |
TOTAL LIABILITIES AND EQUITY |  |  |  |  | 54,947,371 |  |  |  | 55,255,362 |

The accompanying notes 1 to 49 are an integral part of these interim consolidated financial statements

2

BANCO DE CHILE AND SUBSIDIARIES

INTERIM CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

For the periods ended March 31, 2023 and December 31, 2022

(Free translation of Interim Consolidated Financial Statements originally issued in Spanish)

|  |  |  | March |  |  | March |
|  |  |  | 2023 |  |  | 2022 |
|  | Notes |  | MCh$ |  |  | MCh$ |
Interest revenue |  | 30 |  |  | 773,145 |  |  |  | 449,518 |
Interest expense |  | 30 |  |  | (405,228 | ) |  |  | (143,303 | )
Net interest income |  |  |  |  | 367,917 |  |  |  | 306,215 |
UF indexation revenue |  | 31 |  |  | 227,418 |  |  |  | 386,218 |
UF indexation expenses |  | 31 |  |  | (141,287 | ) |  |  | (199,064 | )
Net income from UF indexation |  |  |  |  | 86,131 |  |  |  | 187,154 |
Income from commissions |  | 32 |  |  | 170,927 |  |  |  | 160,709 |
Expenses from commissions |  | 32 |  |  | (34,022 | ) |  |  | (30,469 | )
Net income from commissions |  |  |  |  | 136,905 |  |  |  | 130,240 |
Financial income (expense) for: |  |  |  |  |  |  |  |  |  |
Financial assets and liabilities held for trading |  | 33 |  |  | 133,785 |  |  |  | 27,371 |
Non-trading financial assets mandatorily measured at fair value through profit or loss |  | 33 |  |  | — |  |  |  | — |
Financial assets and liabilities designated as at fair value through profit or loss |  | 33 |  |  | — |  |  |  | — |
Result from derecognition of financial assets and liabilities at amortized cost and financial assets at fair value through other comprehensive income |  | 33 |  |  | (117 | ) |  |  | 508 |
Exchange, indexation and accounting hedging of foreign currency |  | 33 |  |  | (30,696 | ) |  |  | 28,100 |
Reclassification of financial assets for changes in the business model |  | 33 |  |  | — |  |  |  | — |
Other financial result |  | 33 |  |  | — |  |  |  | — |
Net Financial income (expense) |  | 33 |  |  | 102,972 |  |  |  | 55,979 |
Income attributable to investments in other companies |  | 34 |  |  | 1,978 |  |  |  | 1,534 |
Result from non-current assets and disposal groups held for sale not admissible as discontinued operations |  | 35 |  |  | (1,401 | ) |  |  | 977 |
Other operating income |  | 36 |  |  | 8,664 |  |  |  | 3,086 |
TOTAL OPERATING INCOME |  |  |  |  | 703,166 |  |  |  | 685,185 |
Expenses from salaries and employee benefits |  | 37 |  |  | (134,018 | ) |  |  | (122,067 | )
Administrative expenses |  | 38 |  |  | (100,412 | ) |  |  | (86,834 | )
Depreciation and amortization |  | 39 |  |  | (22,759 | ) |  |  | (19,925 | )
Impairment of non-financial assets |  | 40 |  |  | 29 |  |  |  | 98 |
Other operating expenses |  | 36 |  |  | (6,947 | ) |  |  | (5,679 | )
TOTAL OPERATING EXPENSES |  |  |  |  | (264,107 | ) |  |  | (234,407 | )
OPERATING RESULT BEFORE CREDIT LOSSES |  |  |  |  | 439,059 |  |  |  | 450,778 |

The accompanying notes 1 to 49 are an integral part of these interim consolidated financial statements

3

BANCO DE CHILE AND SUBSIDIARIES

INTERIM CONSOLIDATED STATEMENTS OF INCOME

for the period between January 1, and March, 31

(Free translation of Interim Consolidated Financial Statements originally issued in Spanish)

|  |  |  | March |  |  | March |
|  |  |  | 2023 |  |  | 2022 |
|  | Notes |  | MCh$ |  |  | MCh$ |
Credit loss expense for: |  |  |  |  |  |  |  |
Provisions for credit risk of loans and advances to banks and loans to customers |  | 41 |  |  | (117,842 | ) |  |  | (43,055 | )
Special provisions for credit risk |  | 41 |  |  | (694 | ) |  |  | (69,784 | )
Recovery of written-off credits |  | 41 |  |  | 12,013 |  |  |  | 13,641 |
Impairments for credit risk from other financial assets at amortized cost and financial assets at fair value through other comprehensive income |  | 41 |  |  | 1,015 |  |  |  | (206 | )
Credit loss expense |  | 41 |  |  | (105,508 | ) |  |  | (99,404 | )
NET OPERATING INCOME |  |  |  |  | 333,551 |  |  |  | 351,374 |
Income from continuing operations before tax |  |  |  |  |  |  |  |  |  |
Income tax |  | 18 |  |  | (67,600 | ) |  |  | (59,647 | )
Income from continuing operations after tax |  |  |  |  | 265,951 |  |  |  | 291,727 |
Income from discontinued operations before tax |  |  |  |  |  |  |  |  |  |
Discontinued operations income tax |  | 18 |  |  | — |  |  |  | — |
Income from discontinued operations after tax |  | 42 |  |  | — |  |  |  | — |
NET INCOME FOR THE PERIOD |  | 28 |  |  | 265,951 |  |  |  | 291,727 |
Attributable to: |  |  |  |  |  |  |  |  |  |
Shareholders of the Bank |  | 28 |  |  | 265,951 |  |  |  | 291,727 |
Non-controlling interests |  |  |  |  | — |  |  |  | — |
Earnings per share: |  |  |  |  | $ |  |  |  | $ |
Basic earnings |  | 28 |  |  | 2.63 |  |  |  | 2.89 |
Diluted earnings |  | 28 |  |  | 2.63 |  |  |  | 2.89 |

The accompanying notes 1 to 49 are an integral part of these interim consolidated financial statements

4

BANCO DE CHILE AND SUBSIDIARIES

INTERIM CONSOLIDATED STATEMENTS OF OTHER COMPREHENSIVE INCOME

for the period between January 1, and March, 31

(Free translation of Interim Consolidated Financial Statements originally issued in Spanish)

|  |  |  | March |  |  | March |
|  |  |  | 2023 |  |  | 2022 |
|  | Notes |  | MCh$ |  |  | MCh$ |
NET INCOME FOR THE PERIOD |  | 28 |  |  | 265,951 |  |  |  | 291,727 |
ITEMS NOT TO BE RECLASSIFIED TO PROFIT OR LOSS |  |  |  |  |  |  |  |  |  |
Re-measurement of the liability (asset) for net defined benefits and actuarial results for other employee benefit plans |  | 28 |  |  | (115 | ) |  |  | (8 | )
Fair value changes of equity instruments designated as at fair value through other comprehensive income |  | 28 |  |  | 74 |  |  |  | 74 |
Fair value changes of financial liabilities designated as at fair value through profit or loss attributable to changes in the credit risk of the financial liability |  | 28 |  |  | — |  |  |  | — |
Others |  | 28 |  |  | — |  |  |  | — |
OTHER COMPREHENSIVE INCOME THAT WILL NOT BE RECLASSIFIED TO PROFIT OR LOSS BEFORE TAX |  |  |  |  | (41 | ) |  |  | 66 |
Income tax on other comprehensive income that will not be reclassified to profit or loss |  | 18 |  |  | 11 |  |  |  | (18 | )
TOTAL OTHER COMPREHENSIVE INCOME THAT WILL NOT BE RECLASSIFIED TO INCOME AFTER TAXES |  | 28 |  |  | (30 | ) |  |  | 48 |
ELEMENTS THAT CAN BE RECLASSIFIED TO PROFIT OR LOSS |  |  |  |  |  |  |  |  |  |
Fair value changes of financial assets at fair value through other comprehensive income |  | 28 |  |  | 16,791 |  |  |  | (5,436 | )
Cash flow hedges |  | 28 |  |  | 56,304 |  |  |  | (64,626 | )
Participation in other comprehensive income of entities registered under the equity method |  | 28 |  |  | (4 | ) |  |  | (6 | )
OTHER COMPREHENSIVE INCOME THAT WILL BE RECLASSIFIED TO INCOME BEFORE TAXES |  |  |  |  | 73,091 |  |  |  | (70,068 | )
Income tax on other comprehensive income that can be reclassified in profit or loss |  | 28 |  |  | (17,775 | ) |  |  | 16,967 |
TOTAL OTHER COMPREHENSIVE INCOME THAT WILL BE RECLASSIFIED TO PROFIT OR LOSS AFTER TAX |  | 28 |  |  | 55,316 |  |  |  | (53,101 | )
TOTAL OTHER COMPREHENSIVE INCOME FOR THE PERIOD |  | 28 |  |  | 55,286 |  |  |  | (53,053 | )
CONSOLIDATED COMPREHENSIVE INCOME FOR THE PERIOD |  |  |  |  | 321,237 |  |  |  | 238,674 |
Attributable to: |  |  |  |  |  |  |  |  |  |
Shareholders of the Bank |  |  |  |  | 321,237 |  |  |  | 238,674 |
Non-controlling interests |  |  |  |  | — |  |  |  | — |

The accompanying notes 1 to 49 are an integral part of these interim consolidated financial statements

5

BANCO DE CHILE AND SUBSIDIARIES

INTERIM CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

for the period between January 1, and March, 31

(Free translation of Interim Consolidated Financial Statements originally issued in Spanish)

|  |  |  | Attributable to shareholders of the Bank |  |  |  |  |  |  |
|  |  |  | Capital |  |  | Reserves |  |  | Accumulated other comprehensive income |  |  | Retained earnings from previous years and income (loss) for the period |  |  | Total |  |  | Non- controlling interests |  |  | Total Equity |
|  | Note |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Opening balances as of January 1, 2022 |  |  |  |  | 2,420,538 |  |  |  | 710,472 |  |  |  | 38,739 |  |  |  | 1,123,772 |  |  |  | 4,293,521 |  |  |  | 1 |  |  |  | 4,293,522 |
Dividends distributed and paid |  | 28 |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (539,827 | ) |  |  | (539,827 | ) |  |  | — |  |  |  | (539,827 | )
Earnings reserves from previous year |  |  |  |  | — |  |  |  | (730 | ) |  |  | — |  |  |  | 730 |  |  |  | — |  |  |  | — |  |  |  | — |
Application of provision for payment of common stock dividends |  |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 323,897 |  |  |  | 323,897 |  |  |  | — |  |  |  | 323,897 |
Provision for payment of common stock dividends |  |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (116,359 | ) |  |  | (116,359 | ) |  |  | — |  |  |  | (116,359 | )
Subtotal: transactions with owners during the period |  |  |  |  | — |  |  |  | (730 | ) |  |  | — |  |  |  | (331,559 | ) |  |  | (332,289 | ) |  |  | — |  |  |  | (332,289 | )
Income for the period 2022 |  | 28 |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 291,727 |  |  |  | 291,727 |  |  |  | — |  |  |  | 291,727 |
Other comprehensive income for the period |  | 28 |  |  | — |  |  |  | — |  |  |  | (53,053 | ) |  |  | — |  |  |  | (53,053 | ) |  |  | — |  |  |  | (53,053 | )
Subtotal: Comprehensive income for the period |  |  |  |  | — |  |  |  | — |  |  |  | (53,053 | ) |  |  | 291,727 |  |  |  | 238,674 |  |  |  | — |  |  |  | 238,674 |
Balances as of March 31, 2022 |  |  |  |  | 2,420,538 |  |  |  | 709,742 |  |  |  | (14,314 | ) |  |  | 1,083,940 |  |  |  | 4,199,906 |  |  |  | 1 |  |  |  | 4,199,907 |
Dividends distributed and paid |  |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (1 | ) |  |  | (1 | )
Provision for payment of common stock dividends |  |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (403,799 | ) |  |  | (403,799 | ) |  |  | — |  |  |  | (403,799 | )
Subtotal: transactions with owners during the period |  |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (403,799 | ) |  |  | (403,799 | ) |  |  | (1 | ) |  |  | (403,800 | )
Income for the period 2022 |  |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,117,706 |  |  |  | 1,117,706 |  |  |  | 2 |  |  |  | 1,117,708 |
Other comprehensive income for the period |  |  |  |  | — |  |  |  | — |  |  |  | (55,488 | ) |  |  | — |  |  |  | (55,488 | ) |  |  | — |  |  |  | (55,488 | )
Subtotal: Comprehensive income for the period |  |  |  |  | — |  |  |  | — |  |  |  | (55,488 | ) |  |  | 1,117,706 |  |  |  | 1,062,218 |  |  |  | 2 |  |  |  | 1,062,220 |
Balances as of December 31, 2022 |  |  |  |  | 2,420,538 |  |  |  | 709,742 |  |  |  | (69,802 | ) |  |  | 1,797,847 |  |  |  | 4,858,325 |  |  |  | 2 |  |  |  | 4,858,327 |
Dividends distributed and paid |  | 28 |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (866,929 | ) |  |  | (866,929 | ) |  |  | — |  |  |  | (866,929 | )
Application of provision for payment of common stock dividends |  | 28 |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 520,158 |  |  |  | 520,158 |  |  |  | — |  |  |  | 520,158 |
Provision for payment of common stock dividends |  | 28 |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (130,002 | ) |  |  | (130,002 | ) |  |  | — |  |  |  | (130,002 | )
Subtotal: transactions with owners during the period |  |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (476,773 | ) |  |  | (476,773 | ) |  |  | — |  |  |  | (476,773 | )
Income for the period 2023 |  | 28 |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 265,951 |  |  |  | 265,951 |  |  |  | — |  |  |  | 265,951 |
Other comprehensive income for the period |  | 28 |  |  | — |  |  |  | — |  |  |  | 55,286 |  |  |  | — |  |  |  | 55,286 |  |  |  | — |  |  |  | 55,286 |
Subtotal: Comprehensive income for the period |  |  |  |  | — |  |  |  | — |  |  |  | 55,286 |  |  |  | 265,951 |  |  |  | 321,237 |  |  |  | — |  |  |  | 321,237 |
Balances as of March 31, 2023 |  |  |  |  | 2,420,538 |  |  |  | 709,742 |  |  |  | (14,516 | ) |  |  | 1,587,025 |  |  |  | 4,702,789 |  |  |  | 2 |  |  |  | 4,702,791 |

The accompanying notes 1 to 49 are an integral part of these interim consolidated financial statements

6

BANCO DE CHILE AND SUBSIDIARIES

INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS

for the period between January 1, and March, 31

(Free translation of Interim Consolidated Financial Statements originally issued in Spanish)

|  |  |  | March |  |  | March |
|  |  |  | 2023 |  |  | 2022 |
|  | Notes |  | MCh$ |  |  | MCh$ |
CASH FLOWS FROM OPERATING ACTIVITIES: |  |  |  |  |  |  |  |
Profit for the period before taxes |  |  |  |  | 333,551 |  |  |  | 351,374 |
Income tax |  | 18 |  |  | (67,600 | ) |  |  | (59,647 | )
Profit for the period after taxes |  |  |  |  | 265,951 |  |  |  | 291,727 |
Charges (credits) to income (loss) that do not represent cash flows |  |  |  |  |  |  |  |  |  |
Depreciation and amortization |  | 39 |  |  | 22,759 |  |  |  | 19,925 |
Impairment of non-financial assets |  | 40 |  |  | (29 | ) |  |  | (98 | )
Provisions for credit losses |  |  |  |  | 117,520 |  |  |  | 43,808 |
Provisions for contingencies |  | 26 |  |  | 1 |  |  |  | (763 | )
Additional provisions |  | 41 |  |  | — |  |  |  | 70,000 |
Fair value of debt financial instruments held for trading at fair value through in profit or loss |  |  |  |  | (995 | ) |  |  | (4,140 | )
Change in deferred tax assets and liabilities |  | 18 |  |  | 5,549 |  |  |  | (11,256 | )
Net (income) loss from investments in companies with significant influence |  | 14 |  |  | (1,978 | ) |  |  | (1,522 | )
Net (income) loss on sale of assets received in payments |  |  |  |  | (360 | ) |  |  | (921 | )
Net (income) loss on sale of sale of fixed assets |  | 35 |  |  | 187 |  |  |  | (21 | )
Write-offs of assets received in payment |  | 35 |  |  | 1,808 |  |  |  | 736 |
Other charges (credits) that do not represent cash flows |  |  |  |  | (29 | ) |  |  | 600,430 |
Net change in exchange rates, interest, readjustments and commissions accrued on assets and liabilities |  |  |  |  | (59,925 | ) |  |  | 11,851 |
Changes due to (increase) decrease in assets and liabilities affecting the operating flow: |  |  |  |  |  |  |  |  |  |
Net ( increase ) decrease in accounts receivable from banks |  |  |  |  | 577,551 |  |  |  | (1,461,944 | )
Net ( increase ) decrease in loans and accounts receivables from customers |  |  |  |  | (335,258 | ) |  |  | 258,504 |
Net ( increase ) decrease of debt financial instruments held for trading at fair value through profit or loss |  |  |  |  | (325,115 | ) |  |  | 107,496 |
Net ( increase ) decrease in other assets and liabilities |  |  |  |  | (13,646 | ) |  |  | (543,346 | )
Increase ( decrease ) in deposits and other demand obligations |  |  |  |  | (230,791 | ) |  |  | (1,754,648 | )
Increase ( decrease ) in repurchase agreements and securities loans |  |  |  |  | (109,154 | ) |  |  | (78,235 | )
Increase ( decrease ) in deposits and other time deposits |  |  |  |  | 608,542 |  |  |  | 979,781 |
Sale of assets received in lieu of payment |  |  |  |  | 2,543 |  |  |  | 3,374 |
Increase ( decrease ) in obligations with foreign banks |  |  |  |  | 116,307 |  |  |  | (204,235 | )
Increase ( decrease ) in other financial obligations |  |  |  |  | (84,096 | ) |  |  | (48,404 | )
Increase ( decrease ) in obligations with the Central Bank of Chile |  |  |  |  | — |  |  |  | (14 | )
Net increase ( decrease ) of debt financial instruments at fair value through other comprehensive income |  |  |  |  | (1,030,542 | ) |  |  | 360,810 |
Net (increase) decrease of financial instruments at amortized cost |  |  |  |  | 3,179 |  |  |  | 3,174 |
Total net cash flows provided by (used in) operating activities |  |  |  |  | (470,021 | ) |  |  | (1,357,931 | )
TOTAL NET CASH FLOWS PROVIDED BY (USED IN) OPERATING ACTIVITIES: |  |  |  |  |  |  |  |  |  |
Leasedhold improvements |  | 17 |  |  | (314 | ) |  |  | (352 | )
Fixed assets purchase |  | 16 |  |  | (6,263 | ) |  |  | (3,066 | )
Fixed assets sale |  |  |  |  | 40 |  |  |  | 21 |
Acquisition of intangibles |  | 15 |  |  | (10,193 | ) |  |  | (6,140 | )
Acquisition of investments in companies |  |  |  |  | — |  |  |  | — |
Dividend received of investments in companies |  |  |  |  | — |  |  |  | 12 |
Total net cash flows from (used in) investing activities |  |  |  |  | (16,730 | ) |  |  | (9,525 | )
CASH FLOW FROM FINANCING ACTIVITIES: |  |  |  |  |  |  |  |  |  |
Attributable to the interest of the owners: |  |  |  |  |  |  |  |  |  |
Redemption and payment of interest of letters of credit |  |  |  |  | (399 | ) |  |  | (709 | )
Redemption and payment of interest on current bonds |  |  |  |  | (183,963 | ) |  |  | (360,525 | )
Redemption and payment of interest on subordinated bonds |  |  |  |  | (2,872 | ) |  |  | (7,534 | )
Current bonds issuance |  | 22 |  |  | 242,190 |  |  |  | 247,298 |
Subordinated bonds issuance |  |  |  |  | — |  |  |  | — |
Payment of common stock dividends |  | 28 |  |  | (866,929 | ) |  |  | (539,827 | )
Principal and interest payments for obligations under lease contracts |  | 17 |  |  | (8,842 | ) |  |  | (7,709 | )
Attributable to non-controlling interest: |  |  |  |  |  |  |  |  |  |
Dividend payment and/or withdrawals of paid-in capital in respect of the subsidiaries corresponding to the non-controlling interest |  |  |  |  | — |  |  |  | — |
Total net cash flows from (used in) financing activities |  |  |  |  | (820,815 | ) |  |  | (669,006 | )
VARIATION IN CASH AND CASH EQUIVALENTS DURING THE PERIOD |  |  |  |  | (1,307,566 | ) |  |  | (2,036,462 | )
Exchange variations effect |  |  |  |  | (120,153 | ) |  |  | (215,951 | )
Opening balance of cash and cash equivalent |  | 7 |  |  | 6,105,389 |  |  |  | 7,288,827 |
Final balance of cash and cash equivalent |  | 7 |  |  | 4,677,670 |  |  |  | 5,036,414 |

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
Interest operating cash flow: |  | MCh$ |  |  | MCh$ |
Interest and readjustments received |  |  | 826,139 |  |  |  | 512,335 |
Interest and readjustments paid |  |  | (552,169 | ) |  |  | (223,066 | )

The accompanying notes 1 to 49 are an integral part of these interim consolidated financial statements

7

BANCO DE CHILE AND SUBSIDIARIES

INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS

for the period between January 1, and March, 31

(Free translation of Interim Consolidated Financial Statements originally issued in Spanish)

Reconciliation of liabilities arising from financing activities:

|  |  |  |  | Changes other than Cash |  |  |  |
|  | 12.31.2022 |  |  | Net Cash Flow |  |  | Acquisition / (Disposals) |  |  | Foreign currency |  |  | UF Movement |  |  | 03.31.2023 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Letters of credit |  |  | 2,377 |  |  |  | (399 | ) |  |  | — |  |  |  | — |  |  |  | 26 |  |  |  | 2,004 |
Bonds |  |  | 10,276,475 |  |  |  | 55,355 |  |  |  | — |  |  |  | (139,285 | ) |  |  | 171,712 |  |  |  | 10,364,257 |
Dividends paid |  |  | — |  |  |  | (866,929 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (866,929 | )
Lease agreements |  |  | 89,369 |  |  |  | (8,842 | ) |  |  | 10,222 |  |  |  | — |  |  |  | 1,444 |  |  |  | 92,193 |
Dividend payment and/or withdrawals of paid-in capital in respect of the subsidiaries corresponding to the non-controlling interest |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Total liabilities from financing activities |  |  | 10,368,221 |  |  |  | (820,815 | ) |  |  | 10,222 |  |  |  | (139,285 | ) |  |  | 173,182 |  |  |  | 9,591,525 |

The accompanying notes 1 to 49 are an integral part of these interim consolidated financial statements

8

BANCO DE CHILE AND SUBSIDIARIES

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS

As of March 31, 2023 and 2022 and December 31, 2022

(Free translation of Interim Consolidated Financial Statements originally issued in Spanish)

| 1. | Company information:

Banco de Chile is authorized to operate as a commercial bank since September 17, 1996, being, in conformity with the stipulations of article 25 of Law No. 19,396, the legal continuation of Banco de Chile resulting from the merger of the Banco Nacional de Chile, Banco Agrícola and Banco de Valparaiso, which was constituted by public deed dated October 28, 1893, granted before the Notary Public of Santiago, Mr. Eduardo Reyes Lavalle, authorized by Supreme Decree of November 28, 1893.

The Bank is a Corporation organized under the laws of the Republic of Chile, regulated by the Chilean Commission for the Financial Market (“CMF”). Since 2001, it is subject to the supervision of the Securities and Exchange Commission of the United States of America (“SEC”), in consideration of the fact that the Bank is registered on the New York Stock Exchange (“NYSE”), through a program of American Depositary Receipt (“ADR”).

Banco de Chile offers a broad range of banking services to its customers, ranging from individuals to large corporations. Additionally, the Bank offers international as well as treasury banking services, in addition to those offered by subsidiaries that include securities brokerage, mutual fund and investment management, insurance brokerage and financial advisory services.

Banco de Chile’s legal address is Ahumada 251, Santiago, Chile and its website is www.bancochile.cl.

9

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used:

| (a) | Legal Dispositions:

Decree Law No. 3,538 of 1980, according to the text replaced by the first article of Law No. 21,000 that “Creates the Commission for the Financial Market”, provides in numeral 6 of its article 5 that the Commission for the Market Financial (CMF) may “set the standards for the preparation and presentation of reports, balance sheets, statements of situation and other financial statements of the audited entities and determine the principles under which they must keep their accounting”.

According to the current legal framework, banks must use the accounting principles provided by the CMF and in everything that is not dealt with by it or in contravention of its instructions, they must adhere to the generally accepted accounting principles, which correspond to the technical standards issued by the College of Accountants of Chile AG, coinciding with the International Financial Reporting Standards (“IFRS”) agreed by the International Accounting Standards Board (“IASB”). If there are discrepancies between these accounting principles of general acceptance and the accounting criteria issued by the CMF, the latter shall prevail.

The notes to the Consolidated Financial Statements contain additional information to that presented in the Consolidated Statement of Financial Position, in the Consolidated Statement of Income, Consolidated Statement of Other Comprehensive Income, Consolidated Statement of Changes in Equity and Consolidated Statement of Cash Flows. They provide narrative descriptions or disaggregation of such statements in a clear, relevant, reliable and comparable way.

| (b) | Basis of Consolidation:

The Interim Financial Statements of Banco de Chile as of March 31, 2023 and 2022 have been consolidated with its Chilean subsidiaries and foreign subsidiary, using the global integration method (line-by-line). They include preparation of individual financial statements of the Bank and companies that participate in the consolidation and it include adjustments and reclassifications necessary to homologue accounting policies and valuation criteria applied by the Bank. The Interim Consolidated Financial Statements have been prepared using the same accounting policies for similar transactions and other events, in equivalent circumstances.

Significant intercompany transactions and balances (assets and liabilities, equity, income, expenses and cash flows) originated in operations performed between the Bank and its subsidiaries and between subsidiaries have been eliminated in the consolidation process. The non-controlling interest corresponding to the participation percentage of third parties in subsidiaries, which the Bank does not own directly or indirectly, has been recognized and is shown separately in the consolidated shareholders’ equity of Banco de Chile.

10

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (b) | Basis of Consolidation: (continued)

| (i) | Controlled companies (Subsidiaries)

Consolidated Financial Statements as of March 31, 2023 and 2022 incorporate Financial Statements of the Bank and the controlled companies (subsidiaries) in accordance with IFRS 10 “Consolidated Financial Statements”.

The entities controlled by the Bank and which form parts of the consolidation are detailed as follows:

|  |  |  |  |  |  |  | Interest Owned |
|  |  |  |  |  |  |  | Directa |  |  | Indirect |  |  | Total |
|  |  |  |  |  | Functional |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |
Rut |  | Entity |  | Country |  | Currency |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  |  |  |  |  |  |  | % |  |  | % |  |  | % |  |  | % |  |  | % |  |  | % |
96,767,630-6 |  | Banchile Administradora General de Fondos S.A. |  | Chile |  | Ch$ |  |  | 99.98 |  |  |  | 99.98 |  |  |  | 0.02 |  |  |  | 0.02 |  |  |  | 100.00 |  |  |  | 100.00 |
96,543,250-7 |  | Banchile Asesoría Financiera S.A. |  | Chile |  | Ch$ |  |  | 99.96 |  |  |  | 99.96 |  |  |  | — |  |  |  | — |  |  |  | 99.96 |  |  |  | 99.96 |
77,191,070-K |  | Banchile Corredores de Seguros Ltda. |  | Chile |  | Ch$ |  |  | 99.83 |  |  |  | 99.83 |  |  |  | 0.17 |  |  |  | 0.17 |  |  |  | 100.00 |  |  |  | 100.00 |
96,571,220-8 |  | Banchile Corredores de Bolsa S.A. |  | Chile |  | Ch$ |  |  | 99.70 |  |  |  | 99.70 |  |  |  | 0.30 |  |  |  | 0.30 |  |  |  | 100.00 |  |  |  | 100.00 |
96,645,790-2 |  | Socofin S.A. |  | Chile |  | Ch$ |  |  | 99.00 |  |  |  | 99.00 |  |  |  | 1.00 |  |  |  | 1.00 |  |  |  | 100.00 |  |  |  | 100.00 |

| (ii) | Investments in associates and joint venture

Associates

An associate is an entity over which the Bank has significant influence on its operating and financial management policy decisions, without having control over the associate.

Investments in associates where exists significant influence, are accounted for using the equity method.

Joint Ventures

Joint Ventures are joint arrangements whereby the parties that have joint control of the arrangement have rights to the net assets of the arrangement. Joint control exists only when decisions about the relevant activities require the unanimous consent of the parties sharing control.

Investments defined as a “Joint Venture” will be registered according to the equity method.

Investments in other companies that, for their characteristics, are defined as “Joint Ventures” are as follows:

| ● | Artikos Chile S.A.

| ● | Servipag Ltda.

11

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (b) | Basis of Consolidation: (continued)

| (iii) | Minority investments in other companies

On initial recognition, the Bank and subsidiaries may make an irrevocable election to present in other comprehensive income subsequent changes in the fair value of an investment in an equity instrument that is not held for trading and is not contingent consideration recognized by an acquirer in a business combination to which IFRS 3 applies.

| (iv) | Fund administration

The Bank and its subsidiaries manage and administer assets held in mutual funds and other investment products on behalf of investors, perceiving a paid according to the service provided and according to market conditions. Managed resources are owned by third parties and, therefore, not included in the Consolidated Statements of Financial Position.

According to established in IFRS 10, for consolidation purposes is necessary to assess the role of the Bank and its subsidiaries with respect to the funds they manage, must determine whether that role is Agent or Principal.

The Bank and its subsidiaries manage on behalf and for the benefit of investors, acting in that relationship only as Agent. Under this category, and as provided in the aforementioned regulation, it does not control such funds when exercise its authority to make decisions. Therefore, as of March 31, 2023 and 2022 act as agent, and therefore do not consolidate any fund, no funds are part of the consolidation.

| (c) | Non-controlling interest:

Non-controlling interest represents the share of losses, income and net assets of which, directly or indirectly, the Bank does not own. It is presented separately from the equity of the owners of the Bank in the Consolidated Statements of Income and the Consolidated Statements of Financial Position.

12

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (d) | Use of Estimates and Judgment:

Preparing Consolidated Financial Statements requires Management to make judgments, estimations and assumptions that affect the application of accounting policies and the valuation of assets, liabilities, income and expenses presented. Real results could differ from these estimated amounts. The estimates made refer to:

| 1. | Impairment of debt instruments (Notes No. 10 and No. 41)

| 2. | Provision for credit risk (Notes No. 13, No. 26 and No. 41);

| 3. | Useful life of intangible assets, property and equipment and leased assets and lease liabilities (Notes No. 15, No. 16 and No. 17);

| 4. | Income taxes and deferred taxes (Note No. 18);

| 5. | Provisions (Note No. 24);

| 6. | Contingencies and Commitments (Note No. 29);

| 7. | Fair value of financial assets and liabilities (Note No. 44).

Estimates and relevant assumptions are regularly reviewed by the management according to quantify certain assets, liabilities, gains, loss and commitments. Estimates reviewed are registered in income in the year that the estimate is reviewed.

During the period ended March 31, 2022 there have been no significant changes in the estimates made.

| (e) | Financial Assets and Liabilities:

The classification, measurement and presentation of financial assets and liabilities has been carried out based on the standards issued by the CMF in the Compendium of Accounting Standards, considering the criteria described below:

Financial Assets:

Classification of financial assets:

On initial recognition, a financial asset is classified within the following categories: Financial assets held for trading at fair value through profit or loss; Financial assets not held for trading mandatorily valued at fair value through profit or loss; Financial assets designated as at fair value through profit or loss; Financial assets at fair value through other comprehensive income and Financial assets at amortized cost.

The criteria for classifying financial assets, which incorporates the standards defined in IFRS 9, depends on the business model with which the entity manages the assets and the contractual characteristics of the cash flows, commonly known as “Solely Payments of Principal and Interest” (SPPI) criterion.

The valuation of these assets should reflect how the Bank manages groups of financial assets and does not depend on the intent for an individual instrument.

13

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

A financial asset should be valued at amortized cost if both of the following conditions are met:

| − | The financial asset is held within a business model whose objective is to hold financial assets in order to collect contractual cash flows and

| − | The contractual terms of the financial asset give rise to cash flows that are solely payments of principal and interest.

A debt financial instrument must be valued at fair value with changes in “Other comprehensive income” if the following two conditions are met:

| − | The financial asset is held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets and

| − | The contractual terms of the financial asset give rise to cash flows that are solely payments of principal and interest on the principal amount outstanding.

A debt financial instrument will be classified at fair value through profit or loss whenever, due to the business model or the characteristics of its contractual cash flows, it is not appropriate to classify it in any of the other categories described.

In general, equity financial instruments are valued at fair value through profit or loss. However, the Bank may make an irrevocable election at initial recognition to present subsequent changes in fair value in “Other Comprehensive Income”.

Financial assets will only be reclassified when the Bank decides to change the business model. In this case, all the financial assets of said business model will be reclassified. The change in the objective of the business model must be prior to the date of reclassification.

Valuation of financial assets:

Initial recognition:

Financial assets are initially recognized at fair value plus, in the case of a financial asset that is not carried at fair value through profit or loss, the transaction costs that are directly attributable to its purchase or issuance, using the Effective Interest Rate method (EIT). The calculation of the EIT includes all fees and other items paid or received that are part of the EIT. Transaction costs include incremental costs that are directly attributable to the acquisition or issuance of a financial asset.

Post measurement:

All variations in the value of financial assets due to the accrual of interest and items assimilated to interest are recorded in “Interest income” or “Interest expense” of the Consolidated Income Statement for the year in which the accrual occurred, except for trading derivatives that are not part of accounting hedges.

The changes in the valuations that occur after the initial registration for reasons other than those mentioned in the previous paragraph, are treated as described below, based on the categories in which the financial assets are classified.

14

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

Financial assets held for trading at fair value through profit or loss, Financial assets not held for trading mandatorily valued at fair value through profit or loss and Financial assets designated as at fair value through profit or loss:

In “Financial assets held for trading at fair value through profit or loss” will record financial assets whose business model aims to generate profits through purchases and sales or to generate results in the short term.

The financial assets recorded under “Financial assets not held for trading mandatorily valued at fair value through profit or loss” are assigned to a business model whose objective is achieved by obtaining contractual cash flows and/or selling financial assets but where the cash flows contracts have not met the conditions of the SPPI test.

In “Financial assets designated as at fair value through profit or loss” financial assets will be classified only when such designation eliminates or significantly reduces the inconsistency in the valuation or in the recognition that would arise from valuing or recognizing the assets on a different basis.

The assets recorded in these items of the Consolidated Statement of Financial Position are valued after their acquisition at their fair value and changes in their value are recorded, at their net amount, under “Financial assets and liabilities held for trading”, “Financial assets and liabilities financial assets not held for trading mandatorily valued at fair value through profit or loss” and “Financial assets and liabilities designated as at fair value through profit or loss” of the Consolidated Income Statement. Variations originated from exchange differences are recorded under “Foreign currency changes, UF indexation and accounting hedge” in the Consolidated Income Statement.

Financial assets at fair value through other comprehensive income

Debt financial instruments:

The assets recorded in this item of the Consolidated Statement of Financial Position are valued at their fair value, interest income and UF indexation of these instruments, as well as exchange differences and impairment arising, are recorded in the Consolidated Statement of Income, while subsequent variations in their valuation are temporarily recorded (for its amount net of taxes) in “Changes in the fair value of financial assets at fair value through other comprehensive income” of the Consolidated Statements of Other Comprehensive Income.

The amounts recorded in “Changes in the fair value of financial assets at fair value through other comprehensive income” continue to form part of the Bank’s consolidated equity until the asset is derecognized in the consolidated balance. In the case of selling these assets, the result is recognized in “Financial result for derecognizing financial assets and liabilities at amortized cost and financial assets at fair value with changes in others comprehensive income” of the Consolidated Income Statement.

Net losses due to impairment of financial assets at fair value through other comprehensive income produced in the year are recorded in “Impairment due to credit risk of other financial assets at amortized cost and financial assets at fair value through other comprehensive income” of the Consolidated Income Statement.

15

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

Equity financial instruments:

At the time of initial recognition of investments in equity instruments, the Bank may make the irrevocable decision to present subsequent changes in fair value in other comprehensive income. Subsequent variations in this valuation will be recognized in “Changes in the fair value of equity instruments designated as at fair value through other comprehensive income”. The dividends received from these investments are recorded in “Income from investments in companies” of the Consolidated Income Statement. These instruments are not subject to the impairment model of IFRS 9.

Financial assets at amortized cost:

The assets recorded in this item of the Consolidated Statement of Financial Position are valued after their acquisition at their “amortized cost”, in accordance with the “effective interest rate” method.

The financial assets that are included in this item, for presentation purposes, in the Statement of Financial Position are subdivided according to the following:

| - | Investment under resale agreements and securities loans

| - | Debt financial instruments

| - | Due from banks

| - | Loans and accounts receivable from customers (Commercial, Mortgage and Consumer)

Losses due to impairment of assets at amortized cost generated in each year are recorded in “Provisions for credit risk and loans and accounts receivable from customers” and “Impairment due to credit risk of other financial assets at amortized cost and financial assets at fair value through other comprehensive income” of the Consolidated Income Statement.

Investment under resale agreements, obligations under repurchase agreements and securities loans:

Resale agreement operations are carried out as a form of investment. Under these agreements, financial instruments are purchased, which are included as assets in “Investment under resale agreements and securities loans”, which are valued according to the interest rate of the agreement through the amortized cost method. In accordance with current regulations, the Bank does not record as its own portfolio those papers purchased under resale agreements.

Repurchase agreement operations are also carried out as a form of financing, which are included as liabilities in “Obligations for repurchase agreements and securities loans”. In this regard, the investments that are sold subject to a repurchase obligation and that serve as collateral for the loan correspond to debt financial instruments. The obligation to repurchase the investment is classified in liabilities as “Obligations under repurchase agreements and securities loans” and is valued according to the interest rate of the agreement.

16

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

Debt financial instruments:

Debt financial instruments at amortized cost are recorded at their cost value plus accrued interest and UF indexation, less provisions for impairment constituted when their recorded amount is greater than the estimated amount of recovery.

Interest and UF indexation of debt financial instrument at amortized cost are included in “Interest income” and “UF indexation income”.

The investment instruments that are subject to accounting hedges are adjusted according to the accounting hedge rules as described in Note No. 2 letter (k).

Loans and Advances to Banks:

This item shows the balances of operations with local and abroad banks, including the Central Bank of Chile and foreign Central Banks. See detail in Note No. 13 (c) Financial Assets at Amortized Cost.

Loans and accounts receivable from customers:

Loans to customers include originated and purchased non-derivative financial assets with fixed or determinable payments that are not quoted in an active market and which the Bank does not intend to sell immediately or in the short term.

| (i) | Valuation method

Loans and accounts receivable from customers are initially measured at cost plus incremental transaction costs and income, and subsequently measured at amortized cost, using the effective interest rate method, less any impairment loss, except when the Bank defined some loans as hedged items, measured at fair value through profit or loss as described in letter (k) of this note.

| (ii) | Lease contracts

Accounts receivable for leasing contracts, included under the caption “Loans to customers” correspond to periodic rent installments of contracts which meet the definition to be classified as financial leases and are presented at their nominal value net of unearned interest as of each year-end.

| (iii) | Factoring transactions

They are valued for the amounts disbursed by the Bank in exchange for invoices or other commercial instruments representative of credit, with or without responsibility of the grantor, received in discount. Price differences between the amounts disbursed and the nominal value of the credits are recorded in the result as interest income, through the effective interest method, during the financing period.

In those cases, where the transfer of these instruments it was made without responsibility of the grantor, it is the Bank who assumes the insolvency risks of those required to pay.

17

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

| (iv) | Impairment of loans

The impaired loans include the following assets, according to Chapter B-1 of Accounting Standards Compendium of the CMF:

| (a) | In case of debtors subject to individual assessment, includes credits from “Non-complying loans” those that must be classified in categories B3 and B4 of “Substandard loans”.

| (b) | Debtors subject to assessment group evaluation, the impaired portfolio includes all credits of the “Non-complying loans”.

| (v) | Credit risk allowance

The Bank permanently evaluates the entire portfolio of loans and contingent loans, with the aim of establishing the necessary and sufficient provisions in a timely manner to cover the expected losses associated with the characteristics of the debtors and their credits, based on the payment and subsequent recovery.

Allowances are required to cover the risk of loan losses have been established in accordance with the instructions issued by the CMF. The loans are presented net of those allowances and, in the case of contingent loans are shown in liabilities under the item “Special provisions for credit risk”.

In accordance with what is stipulated by the CMF, models or methods are used based on an individual and group analysis of debtors, to establish allowance for loan losses. Said models, as well as modifications to their design and application, are approved by the Bank’s Board of Directors.

(v.i) Allowance for individual evaluations:

An individual analysis of debtors is applied to companies that are of such significance with respect to size, complexity or level of exposure to the bank, that they must be analyzed in detail.

Likewise, the analysis of borrowers focuses on its credit quality related to the capacity and willingness to meet their credit obligations, through sufficient and reliable information, and should also be analyzed in terms of guarantees, terms, interest rates, currency and revaluation, etc.

For purposes of establish the allowances, the banks must assess the credit quality, then classify to one of three categories of loans portfolio: Normal, Substandard and Non-Complying Loans, it must classify the debtors and their operations related to loans and contingent loans in the categories that apply.

18

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

v.i.1 Normal Loans and Substandard Loans:

Normal loans: includes those debtors whose payment capacity allows them to meet their obligations and commitments, and according to the evaluation of their economic-financial situation no change in this condition are displayed. Loans classified in categories A1 through A6.

Substandard loans: includes all borrowers with insufficient payment capacity or significant deterioration of payment capacity that may be reasonably expected not to comply with all principal and interest payments obligations set forth in the credit agreement, showing a low flexibility to meet its financial obligations in the short term.

They are also part of the Substandard Portfolio those debtors who have shown arrears of more than 30 days in the recent past. The classifications assigned to this portfolio are categories B1 to B4 of the rating scale.

As a result of individual analysis of the debtors, the Bank must classify them in the following categories, assigning, subsequently, the percentage of probability of default and loss given default resulting in the following percentage of expected loss:

Type of portfolio |  | Category of the debtors |  | Probability of default (%) PD |  |  | Loss given default (%) LGD |  |  | Expected loss (%) EL |
|  | A1 |  |  | 0.04 |  |  |  | 90.0 |  |  |  | 0.03600 |
|  | A2 |  |  | 0.10 |  |  |  | 82.5 |  |  |  | 0.08250 |
Normal Loans |  | A3 |  |  | 0.25 |  |  |  | 87.5 |  |  |  | 0.21875 |
|  | A4 |  |  | 2.00 |  |  |  | 87.5 |  |  |  | 1.75000 |
|  | A5 |  |  | 4.75 |  |  |  | 90.0 |  |  |  | 4.27500 |
|  | A6 |  |  | 10.00 |  |  |  | 90.0 |  |  |  | 9.00000 |
|  | B1 |  |  | 15.00 |  |  |  | 92.5 |  |  |  | 13.87500 |
Substandard Loans |  | B2 |  |  | 22.00 |  |  |  | 92.5 |  |  |  | 20.35000 |
|  | B3 |  |  | 33.00 |  |  |  | 97.5 |  |  |  | 32.17500 |
|  | B4 |  |  | 45.00 |  |  |  | 97.5 |  |  |  | 43.87500 |

Allowances for Normal and Substandard Loans:

To determine the amount of allowances to be constitute for normal and substandard portfolio, previously should be estimated the exposure to subject to the allowances, which will be applied to respective expected loss (expressed in decimals), which consist of probability of default (PD) and loss given default (LGD) established for the category in which the debtor and/or guarantor belong, as appropriate.

The exposure affects to allowances applicable to loans plus contingent loans minus the amounts to be recovered by way of the foreclosure of financial or real guarantees of the operations. Loans mean the book value of credit of the respective debtor, while for contingent loans, the value resulting from to apply the indicated in No. 3 of Chapter B-3 of Banking Accounting Standards Compendium.

19

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

In the case of real guarantees, the Bank must demonstrate that the value assigned to this deduction reasonably reflects the value that it would obtain in the sale of the assets or capital instruments. Also, in qualified cases, the direct debtor’s credit risk may be substituted for the credit quality of the guarantor. In no case may the guaranteed securities be discounted from the amount of the exposure, since this procedure is only applicable when it comes to financial or real guarantees.

For calculation purposes, the following must be considered:

Provision debtor = (ESA-GE) x (PDdebtor /100) x (LGDdebtor /100) + GE x (PDguarantor /100) x (LGDguarantor /100)

Where:

| ESA | = Exposure subject to allowances, (Loans + Contingent Loans) – Financial Guarantees

| GE | = Guaranteed exposure

However, the Bank must maintain a minimum provision level of 0.50% over normal portfolio and contingent loans.

v.i.2 Non-complying Loans:

The non-complying portfolio includes the debtors and their credits for which their recovery is considered remote, as they show an impaired or no payment capacity. This category comprises all debtors who have stopped paying their creditors or with visible evidence that they will stop doing so, as well as those for which a forced restructuring of their debts is necessary, reducing the obligation or postponing the payment of the principal or interest and, in addition, any debtor that has 90 days overdue or more in the payment of interest or principal of any credit. This portfolio is composed of the debtors belonging to categories C1 to C6 of the rating scale and all credits, including 100% of the amount of contingent loans, held by those same debtors.

For purposes to establish the allowances on the non-complying loans, the Bank disposes the use of percentage of allowances to be applied on the amount of exposure, which corresponds to the amount of loans and contingent loans that maintain the same debtor. To apply that percentage, must be estimated an expected loss rate, less the amount of the exposure the recoveries by way of foreclosure of financial or real guarantees that to support the operation and, if there are available specific background, also must be deducting present value of recoveries obtainable exerting collection actions, net of expenses associated with them. This loss percentage must be categorized in one of the six levels defined by the range of expected actual losses by the Bank for all transactions of the same debtor.

20

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

These categories, their range of loss as estimated by the Bank and the percentages of allowance that must be applied on the amount of exposures, are listed in the following table:

Type of portfolio |  | Scale of risk |  | Expected Loss Range |  | Allowance (%) |
|  | C1 |  | Up to 3% |  |  | 2 |
|  | C2 |  | More than 3% up to 20% |  |  | 10 |
Non-complying loans |  | C3 |  | More than 20% up to 30% |  |  | 25 |
|  | C4 |  | More than 30 % up to 50% |  |  | 40 |
|  | C5 |  | More than 50% up to 80% |  |  | 65 |
|  | C6 |  | More than 80% |  |  | 90 |

For calculation purposes, the following must be considered:

| Expected Loss Rate | = (E−R)/E
| Allowance | = E × (AP/100)

Where:

| E | = Exposure Amount

| R | = Recoverable Amount

| AP | = Allowance Percentage (according to the category in which the Expected Loss Rate should be assigned).

All credits of the debtor must be kept in the Default Portfolio until there is a normalization of their ability or payment behavior, without prejudice to punishment of each particular credit that meets the condition indicated in Title II of Chapter B-2 of the Compendium of Accounting Standards. To remove a debtor from the Default Portfolio, once the circumstances that lead to classification in this portfolio according to these regulations have been overcome, at least the following copulative conditions must be met:

| - | No obligation of the debtor with the bank with more than 30 calendar days overdue.

| - | No new refinances granted to pay its obligations.

| - | At least one of the payments includes amortization of capital.

| - | If the debtor has a credit with partial payment periods less than six months, has already made two payments.

| - | If the debtor must pay monthly fees for one or more credits, has paid four consecutive dues.

| - | The debtor does not have direct debts unpaid in the CMF recast information, except in the case of insignificant amounts.

21

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

(v.ii) Allowances for group evaluations

Group evaluations are relevant for residential mortgage and consumer loan exposures, in addition to commercial exposures related to student loans and exposures with debtors that simultaneously meet the following conditions:

| (i) | The Bank has an aggregate exposure to the same counterparty of less than 20,000 UF. The aggregate exposure should require gross provisions or other mitigations. In addition, for its computation, mortgage loans must be excluded. In the case of off-balance sheet items, the gross amount is calculated by applying the credit conversion factors, defined in chapter B-3 of the CNCB. To determine the aggregate exposure, the bank must consider the definition of corporate group established in Title II of Chapter 12-16 of the Actualized Standards Compilation.

Banks must carry out a complete and permanent monitoring of all operations with entities belonging to business groups. Considering the costs that may result the conformation of groups for all debtors, the bank must at least keep control and form groups, if applicable, for all debtors who maintain a current exposure greater than a minimum amount established by the banking institution which may not be greater than 1% of its effective equity at the time the definition of the group portfolio is made.

| (ii) | Each aggregate exposure to the same counterparty does not exceed 0.2% of the total commercial group portfolio. To avoid circular computation, the criterion will be checked only once.

For the remaining commercial credit exposures, the individual analysis model of the debtors must be applied.

The determination of the type of analysis (group or individual) must be carried out at the global consolidated level, once a year, or after significant adjustments in the Bank’s portfolio, such as mergers, acquisitions, purchases or significant portfolio sales.

To determine the allowances, the group evaluations require the formation of groups of loans with similar characteristics in terms of type of debtors and conditions agreed, to establish technically based estimates by prudential criteria and following both the payment behavior of the group that concerned as recoveries of defaulted loans and consequently provide the necessary provisions to cover the risk of the portfolio.

Banks may use two alternative methods for determining provisions for retail loans that are evaluated as a group.

Under first method, it will be used the experience to explain the payment behavior of each homogeneous group of debtors and recoveries through collateral and of collection process, when it corresponds, with objective of to estimate directly a percentage of expected losses that will be apply to the amount of the loans of respective group.

Under second method, the banks will segment to debtors in homogeneous groups, according described above, associating to each group a determined probability of default and a percentage of recovery based in a historic analysis. The amount of provisions to register it will be obtained multiplied the total loans of respective group by the percentages of estimated default and of loss given the default.

22

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

In both methods, estimated loss must be related with type of portfolio and terms of operations.

The Bank to determine its provisions has opted for using second method.

In the case of consumer loans, collaterals are not considered for the purpose of estimating the expected loss.

The Bank must discriminate between provisions on the normal portfolio and on the portfolio in default, and those that protect the risks of contingent credits associated with those portfolios.

(v.ii.1) Standard method of provisions for group portfolio

The standard methodologies presented below establish the variables and parameters that determine the provision factor for each type of portfolio that the CMF has defined as representative, according to the common characteristics shared by the operations that comprise them.

| - | Residential mortgage portfolio

The provision factor applicable, represented by expected loss over the mortgage loans, it will depend to the past due of each credit and the relation, at the end of month, between outstanding capital and the value of the mortgage guarantees (CMG), according the following table:

Provision factor applicable according to delinquency and CMG
|  |  |  | Past due days at the end-month |  |  | Non-Complying |
CMG section |  | Concept |  | 0 |  |  | 1-29 |  |  | 30-59 |  |  | 60-89 |  |  | Portfolio |
|  | PD (%) |  |  | 1.0916 |  |  |  | 21.3407 |  |  |  | 46.0536 |  |  |  | 75.1614 |  |  |  | 100.0000 |
CMG ≤ 40% |  | LGD (%) |  |  | 0.0225 |  |  |  | 0.0441 |  |  |  | 0.0482 |  |  |  | 0.0482 |  |  |  | 0.0537 |
|  | EAD (%) |  |  | 0.0002 |  |  |  | 0.0094 |  |  |  | 0.0222 |  |  |  | 0.0362 |  |  |  | 0.0537 |
|  | PD (%) |  |  | 1.9158 |  |  |  | 27.4332 |  |  |  | 52.0824 |  |  |  | 78.9511 |  |  |  | 100.0000 |
40% < CMG≤ 80% |  | LGD (%) |  |  | 2.1955 |  |  |  | 2.8233 |  |  |  | 2.9192 |  |  |  | 2.9192 |  |  |  | 3.0413 |
|  | EAD (%) |  |  | 0.0421 |  |  |  | 0.7745 |  |  |  | 1.5204 |  |  |  | 2.3047 |  |  |  | 3.0413 |
|  | PD (%) |  |  | 2.5150 |  |  |  | 27.9300 |  |  |  | 52.5800 |  |  |  | 79.6952 |  |  |  | 100.0000 |
80% < CMG≤ 90% |  | LGD (%) |  |  | 21.5527 |  |  |  | 21.6600 |  |  |  | 21.9200 |  |  |  | 22.1331 |  |  |  | 22.2310 |
|  | EAD (%) |  |  | 0.5421 |  |  |  | 6.0496 |  |  |  | 11.5255 |  |  |  | 17.6390 |  |  |  | 22.2310 |
|  | PD (%) |  |  | 2.7400 |  |  |  | 28.4300 |  |  |  | 53.0800 |  |  |  | 80.3677 |  |  |  | 100.0000 |
CMG > 90% |  | LGD (%) |  |  | 27.2000 |  |  |  | 29.0300 |  |  |  | 29.5900 |  |  |  | 30.1558 |  |  |  | 30.2436 |
|  | EAD (%) |  |  | 0.7453 |  |  |  | 8.2532 |  |  |  | 15.7064 |  |  |  | 24.2355 |  |  |  | 30.2436 |

Where:

| PD | : Probability of default

| LGD | : Loss given default

| EAD | : Exposure at default

| CMG | : Outstanding loan capital /Mortgage Guarantee value

23

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

| - | Commercial portfolio

To determine the allowances of the commercial portfolio, the Bank must consider the standard methods presented below, as applicable to commercial leasing operations or other types of commercial loans. Then, the applicable provision factor will be assigned considering the parameters defined for each method.

(a) Commercial Leasing Operations

The provision factor must be applied to the current value of commercial leasing operations (including the purchase option) and will depend on the default of each operation, the type of leased asset and the relationship between the current value of each operation and the leased asset value (PVB) at each month-end, as indicated in the following tables:

Probability of default (PD) applicable according to default and type of asset (%)
|  | Type of asset |
Days of default of the operation at the month-end |  | Real estate |  |  | Non-real estate |
0 |  |  | 0.79 |  |  |  | 1.61 |
1-29 |  |  | 7.94 |  |  |  | 12.02 |
30-59 |  |  | 28.76 |  |  |  | 40.88 |
60-89 |  |  | 58.76 |  |  |  | 69.38 |
Portfolio in default |  |  | 100.00 |  |  |  | 100.00 |

Loss given the default (LGD) applicable according to PVB section and type of asset (%)
PVB = Current value of the operation / Value of the leased asset
PVB section |  | Real estate |  |  | Non-real estate |
PVB ≤ 40% |  |  | 0.05 |  |  |  | 18.2 |
40% < PVB ≤ 50% |  |  | 0.05 |  |  |  | 57.00 |
50% < PVB ≤ 80% |  |  | 5.10 |  |  |  | 68.40 |
80% < PVB ≤ 90% |  |  | 23.20 |  |  |  | 75.10 |
PVB > 90% |  |  | 36.20 |  |  |  | 78.90 |

The determination of the PVB relationship will be made considering the appraisal value expressed in UF for real estate and in Chilean pesos for non-real estate, recorded at the time of the respective loan granting, taking into account possible situations that may be causing temporary increases in the assets prices at that time.

24

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

b) Generic commercial placements and factoring

In the case of factoring operations and other commercial placements, other than those indicated above, the provision factor, applicable to the amount of the placement and the exposure of the contingent loan risk (as indicated in paragraph 3 of Chapter B-3 of the CNCB), will depend on the default of each operation and the relationship that exists at the end of each month, between the obligations that the debtor has with the bank and the value of the collateral that protect them (PTVG), as indicated in the following tables:

Probability of default (PD) applicable according to default and PTVG section (%)
|  | With collateral |  |  | Without |
Days of default at the month-end |  | PTVG≤100% |  |  | PTVG>100% |  |  | collateral |
0 |  |  | 1.86 |  |  |  | 2.68 |  |  |  | 4.91 |
1-29 |  |  | 11.60 |  |  |  | 13.45 |  |  |  | 22.93 |
30-59 |  |  | 25.33 |  |  |  | 26.92 |  |  |  | 45.30 |
60-89 |  |  | 41.31 |  |  |  | 41.31 |  |  |  | 61.63 |
Portfolio in default |  |  | 100.00 |  |  |  | 100.00 |  |  |  | 100.00 |

Loss given the default (LGD) applicable according to PTVG section (%)
Collateral (with / without) |  | PTVG section |  | Generic commercial operations or factoring without the responsibility of the transferor |  |  | Factoring with the responsibility of the transferor |
With collateral |  | PTVG ≤ 60% |  |  | 5.0 |  |  |  | 3,2 |
|  | 60% < PTVG≤ 75% |  |  | 20.3 |  |  |  | 12,8 |
|  | 75% < PTVG ≤ 90% |  |  | 32.2 |  |  |  | 20,3 |
|  | 90% < PTVG |  |  | 43.0 |  |  |  | 27,1 |
Without collateral |  |  |  |  | 56,9 |  |  |  | 35.9 |

The collaterals used for the purposes of calculating the PTVG relationship of this method may be specific or general, including those that are simultaneously specific and general. Collateral can only be considered if, according to the respective coverage clauses, it was constituted in the first degree of preference in favor of the Bank and only guarantees the debtor’s credits with respect to which it is imputed (not shared with other debtors).

The invoices assigned in the factoring operations will not be considered for purposes of calculating the PTVG. The excess of collateral associated with mortgage loans referred to in numeral 3.1.1 Residential mortgage portfolio in Chapter B-1 of CNCB may be considered, computed as the difference between 80% of the property’ commercial value, according to with the conditions set out in that framework, and the mortgage loan that guarantees.

25

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

For the calculation of the PTVG ratio, the following considerations must be taken into account:

| i. | Transactions with specific collaterals: when the debtor granted specific collateral for generic commercial loans and factoring, the PTVG ratio is calculated independently for each covered transaction, such as the division between the amount of the loans and the contingent loans exposure and the collateral’s value of the covered product.

| ii. | Transactions with general collaterals: when the debtor granted general or general and specific collaterals, the Bank calculates the respective PTVG, jointly for all generic commercial loans and factoring and not contemplated in the preceding paragraph i), as the quotient between the sum of the amounts of the loans and exposures of contingent loans and the general, or general and specific collateral that, according to the scope of the remaining coverage clauses, safeguard the loans considered in the numerator aforementioned coverage ratio.

The amounts of the guarantees used in the PTVG ratio of numerals i) and ii), different from those associated with excess guarantees from mortgage loans to which the residential mortgage portfolio refers, must be determined according to:

| - | The last valuation of the collateral, be it appraisal or fair value, according to the type of real guarantee in question. For the determination of fair value, the criteria indicated in Chapter 7-12 (Fair Value of Financial Instruments) of the Actualized Standards Compilation should be considered.

| - | Possible situations that could be causing temporary increases in the values of the collaterals.

| - | Limitations on the amount of coverage established in their respective clauses.

(v.ii.2) Portfolio in default.

The portfolio in default includes all placements and 100% of the amount of the contingent loans, of the debtors that the closing of a month presents a delay equal to or greater than 90 days in the payment of the interest of the capital of any credit. It will also include debtors who are granted a credit to leave an operation that has more than 60 days of delay in their payment, as well as those debtors who were subject to forced restructuring or partial forgiveness of a debt.

They may exclude from the portfolio in default: a) mortgage loans for housing, which delinquent less than 90 days, unless the debtor has another loan of the same type with greater delinquency; and, b) credits for financing higher studies of Law No. 20,027, which do not yet present the non-compliance conditions indicated in Circular No. 3,454 of December 10, 2008.

26

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

All credits of the debtor must be kept in the Default Portfolio until there is a normalization of their ability or payment behavior, without prejudice to punishment of each particular credit that meets the condition indicated in Title II of Chapter B-2 of the Compendium of Accounting Standards. To remove a debtor from the Default Portfolio, once the circumstances that lead to classification in this portfolio according to the present rules have been overcome, at least the following copulative conditions must be met:

| - | No obligation of the debtor with the bank with more than 30 calendar days overdue.

| - | No new refinances granted to pay its obligations.

| - | At least one of the payments includes amortization of capital. This condition does not apply in the case of debtors who only have credits for financing higher education in accordance with Law No. 20,027.

| - | If the debtor has a credit with partial payment periods less than six months, has already made two payments.

| - | If the debtor must pay monthly fees for one or more credits, has paid four consecutive dues.

| - | The debtor does not appear with unpaid debts direct according to the information recast by CMF, except for insignificant amounts.

(v.iii) Provisions related to financing with FOGAPE COVID-19 guarantee.

On July 17, 2020, the CMF requested to determine specific provisions of the credits guaranteed by the FOGAPE COVID-19 guarantee, for which the expected losses were determined estimating the risk of each operation, without considering the substitution of credit quality of the guarantee, according to the corresponding individual or group analysis method, in accordance with the provisions of Chapter B-1 of the CNCB. This procedure must be carried out in an aggregate manner, grouping all those operations to which the same deductible percentage is applicable.

The deductible is applied by the Fund Administrator, which must be borne by each financial institution and does not depend on each particular operation, but is determined based on the total of the balances guaranteed by the Fund, for each group of companies that have the same coverage, according to their net sales size.

(v.iv) Provisions related to financing with FOGAPE Reactivation guarantee.

To determine the provisions of the amounts guaranteed by the FOGAPE Reactivation, the Bank considers the substitution of the credit quality of the debtors for that of the FOGAPE, for all the types of financing indicated, up to the amount covered by the aforementioned guarantee. Naturally, the option to consider the risk attributable to FOGAPE may be made while said guarantee remains in force, without considering the capitalized interest, in accordance with the provisions of article 17 of the Fund Regulations.

27

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

Likewise, for the computation of the provisions of the amount not covered by the guarantee, corresponding to the debtors, the treatment must be differentiated according to the level of default of the refinanced credit and the grace period, which must consider the cumulative consecutive months grace period between the refinanced loan and other prior measures.

For this purpose, the following situations should be considered:

| - | Refinancing with less than 60 days past due and less than 180 days of grace.

When the Bank grants the refinancing and is the current creditor, depending on the methodology used in accounting for provisions (standard or internal method) for the group portfolio, the computation of default and the expected loss parameters remain constant at the time to carry out the refinancing, as long as no payment is due.

In the case of debtors evaluated on an individual basis, their risk category is maintained at the time of rescheduling, which does not prevent them from being reclassified to the category that corresponds to them, in the event of a worsening of their payment capacity.

| - | Refinancing with greater than 60 days and less than 89 days past due or grace periods greater than 180 days and less than 360 days.

The provisions established in the previous point apply, and at least one of the following conditions must also be met:

| i. | In its credit granting policies, the Bank considers at least the following aspects:

| a. | A robust procedure for the categorization of viable debtors, which considers at least the sector and its solvency and liquidity situation.

| b. | Efficient mechanisms for monitoring the debtor’s situation, with formally defined internal governance.

| ii. | Interest is charged in the months of grace, in accordance with the guidelines established in article 15 letter a) of the Regulation, or there is a demand for payment in another credit with the bank. In the latter case, if noncompliance is observed, the carry forward rules contained in numerals 2.2 and 3.2 of Chapter B-1 of the CNCB must be considered, depending on whether it is a credit subject to individual or group evaluation, respectively.

| - | Refinancing with grace periods greater than 360 days.

The Bank must apply the provisions established in Chapter B-1 of the CNCB, considering the operation as a forced renegotiation and, therefore, apply the provisions that correspond to the portfolio in default.

28

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

(vi) Charge-offs

As a general rule, the charge-offs are produced when the contractual rights on cash flows end. In case of loans, even if the above does not happen, it will proceed to charge-offs the respective asset balances.

The charge-off refers to derecognition of the assets in the Consolidated Statement of Financial Position, related to the respective transaction and, therefore, the part that could not be past-due if a loan is payable in installments, or a lease.

(vi.i) Charge-offs of loans to customers

The charge-off must be to make using credit risk provisions constituted, whatever the cause for which the charge-off was produced.

Write-offs for loans to customers and accounts receivable, other than from leasing operations, should be made in the following circumstances, whichever occurs first:

| a) | The Bank, based on all available information, concludes that will not obtain any cash flow of the credit recorded as an asset.

| b) | When the debt without executive title expires 90 days after it was recorded in asset.

| c) | At the time the term set by the statute of limitations runs out and as result legal actions are precluded in order to request payment through executive trial or upon rejection or abandonment of title execution issued by judicial and non-recourse resolution.

| d) | When past-due term of a transaction reaches the charge-off term disposed below:

Type of Loan |  |  | Term |
Consumer loans - secured and unsecured |  |  | 6 months |
Other transactions - unsecured |  |  | 24 months |
Commercial loans - secured |  |  | 36 months |
Residential mortgage loans |  |  | 48 months |

The term represents the time elapsed since the date on which payment of all or part of the obligation in default became due.

29

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

(vi.ii) Charge-offs of lease operations

Assets for leasing operations must be charge-offs against the following circumstances, whichever occurs first:

| a) | The Bank concludes that there is no possibility of the rent recoveries and the value of the property cannot be considered for purposes of recovery of the contract, either because the lessee has not the asset, for the property’s conditions, for expenses that involve its recovery, transfer and maintenance, due to technological obsolescence or absence of a history of your location and current situation.

| b) | When it complies the prescription term of actions to demand the payment through executory or upon rejection or abandonment of executory by court.

| c) | When a contract has been in default reach the period of time indicated below:

Type of Loan |  |  | Term |
Consumer leases |  |  | 6 months |
Other non-real estate lease transactions |  |  | 12 months |
Real estate leases (commercial or residential) |  |  | 36 months |

The term represents the time elapsed since the date on which payment of all or part of the obligation in default became due.

(vi.iii) Written-off loans recoveries

Cash recoveries on charge-off loans including loans that were reacquired from the Central Bank of Chile are recorded directly in income in the Consolidated Statement of Income, as a reduction of the “Recoveries of written-off loans” item.

In the event of recoveries of assets, the income will be recognized in the results for the amount by which they are incorporated into the asset. The same criterion will be followed if the leased assets were recovered after the charge-off for a leasing operation, when such assets are incorporated into the asset.

Any renegotiation of a credit already written off does not give rise to income, as long as the operation remains to have an impaired quality; the actual payments received must be treated as recoveries of credits written off, as indicated above.

Therefore, renegotiated credit can be recorded as an asset only if it has not deteriorated quality; also recognizing revenue from activation must be recorded like recovery of loans.

The same criteria should apply in the case that was give credit to pay a charge-off loan.

30

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

Impairment due to credit risk of Financial assets at amortized cost and Financial assets at fair value through other comprehensive income (FVOCI):

In accordance with the established in Chapter A-2 of the CNCB of the CMF, the impairment model of IFRS 9 will not be applied to loans in the category “Financial assets at amortized cost” (“Due from banks” and “Loans and accounts receivable from customers”), nor on “Contingent loans”, since the criteria for these instruments are defined in Chapters B-1 to B-3 of the CNCB.

For the rest of the financial assets measured at Amortized Cost or FVOCI, the model on which impairment losses must be calculated corresponds to one of Expected Credit Loss (ECL) as established in IFRS 9.

Debt financial instruments whose subsequent valuation is at amortized cost or at FVOCI will be subject to impairment due to credit risk. On the contrary, those instruments at fair value through profit or loss do not require this measurement.

The measurement of impairment is carried out in accordance with a general impairment model that is based on the existence of 3 possible phases of the financial asset, the existence or not of a significant increase in credit risk and the condition of impairment. The 3 phases determine the amount of impairment that will be recognized as an expected credit loss, as well as the interest income that will be recorded at each reporting date. Each phase is listed below:

1. Phase 1:

| a. | Incorporates financial assets whose credit risk has not increased significantly since initial recognition.

| b. | Expected credit losses are recognized to 12-month.

| c. | Interest is recognized based on the gross amount on the balance sheet.

2. Phase 2:

| a. | Incorporates financial assets whose credit risk has increased significantly since initial recognition.

| b. | Expected credit losses are recognized throughout the life of the financial asset.

| c. | Interest is recognized based on the gross amount on the balance sheet.

3. Phase 3:

| a. | Incorporates impaired financial assets.

| b. | Expected credit losses are recognized throughout the life of the financial asset.

| c. | Interest is recognized based on the net amount (gross amount on the balance sheet less allowance for credit risk).

31

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

Impairment of debt financial instruments measured at fair value through other comprehensive income

The Bank applies the value impairment requirements for the recognition and measurement of a value correction for losses to financial assets that are measured at fair value through other comprehensive income in accordance with IFRS 9. This value adjustment for losses is recognized in Other Comprehensive Income (OCI) and does not reduce the carrying amount of the financial asset in the Consolidated Statement of Financial Position. The accumulated loss recognized in OCI is recycled in results when derecognizing the financial assets.

Financial liabilities:

Classification of financial liabilities:

Financial liabilities are classified in the following categories:

| - | Financial liabilities at amortized cost;

| - | Financial liabilities held for trading at fair value through profit or loss: Financial instruments are recorded in this item when the Bank’s objective is to generate profits through purchases and sales with these instruments. This item includes financial derivative trading contracts that are liabilities, which will be measured subsequently at fair value.

| - | Financial liabilities designated as at fair value through profit or loss: The Bank has the option to irrevocably designate, at the time of initial recognition, a financial liability as measured at fair value through profit or loss if the application of this criterion eliminates or significantly reduces inconsistencies in the measurement or recognition, or if it is a group of financial liabilities, or a group of financial assets and liabilities, that is managed, and its performance evaluated, based on fair value in line with a risk management or investment strategy.

Valuation of financial liabilities:

Initial valuation:

Financial liabilities are initially recorded at fair value, less transaction costs that are directly attributable to the issuance of the instruments.

Variations in the value of financial liabilities due to the accrual of interest, UF indexation and similar concepts are recorded under the headings “Interest expenses” and “UF indexation expenses” of the Consolidated Income Statement for the period in which the accrual occurred (see Note No. 30 and No. 31).

32

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

Subsequent valuation:

The changes in the valuations that will occur after the initial registration due to reasons other than those mentioned in the previous paragraph, are treated as described below, based on the categories in which the financial liabilities are classified

Financial liabilities at amortized cost:

The liabilities recorded in this item are valued after their acquisition at their amortized cost, which is determined in accordance with the effective interest rate method (EIR).

Financial liabilities held for trading and Financial liabilities designated as at fair value through profit or loss:

The liabilities recorded in these items are valued after their initial recognition at fair value and changes are recorded, at their net amount, under the items “Financial assets and liabilities for trading” and “Designated financial assets and liabilities at fair value through profit or loss” of the Consolidated Income Statement.

Derecognition of financial assets and liabilities:

The Bank and its subsidiaries derecognize a financial asset from its Statement of Financial Position, when the contractual rights to the cash flows of the financial asset have expired or when the contractual rights to receive the cash flows of the financial asset are transferred during a transaction in which all ownership risks and rewards of the financial asset are transferred. Any portion of transferred financial assets that is created or retained by the Bank is recognized as a separate asset or liability.

When the Bank transfers a financial asset, it assesses to what extent it has retained the risks and rewards of ownership. In this case:

| (a) | If substantially all risks and rewards of ownership of the financial asset have been transferred, it is derecognized, and any rights or obligations created or retained upon transfer are recognized separately as assets or liabilities.

| (b) | If substantially all risks and rewards of ownership of the financial asset have been retained, the Bank continues to recognize it.

33

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (e) | Financial Assets and Liabilities: (continued)

| (c) | If substantially all risks and rewards of ownership of the financial asset are neither transferred nor retained, the Bank will determine if it has retained control of the financial asset. In this case:

| (i) | If the Bank has not retained control, the financial asset will be derecognized, and any rights or obligations created or retained upon transfer will be recognized separately as assets or liabilities.

| (ii) | If the Bank has retained control, it will continue to recognize the financial asset in the Consolidated Financial Statement by an amount equal to its exposure to changes in value that can experience and recognize a financial liability associated to the transferred financial asset.

The Bank derecognizes a financial liability (or a portion thereof) from its Consolidated Statement of Financial Position if, and only if, it has extinguished or, in other words, when the obligation specified in the corresponding contract has been paid or settled or has expired.

Compensation:

Financial assets and liabilities are subject to compensation, so that their net amount is presented in the Consolidated Statement of Financial Position, when and only when the Bank has the right, legally enforceable, to offset the recognized amounts and intends to settle the net amount, or to realize the asset and settle the liability simultaneously.

Income and expenses are presented net only when permitted by accounting standards, or in the case of gains and losses arising from a group of similar transactions such as the Bank’s trading and foreign exchange activity.

| (f) | Functional currency:

The items included in the Financial Statements of Banco de Chile and its subsidiaries are valued using the currency of the primary economic environment in which it operates (functional currency). The functional and presentation currency of the Consolidated Financial Statements of Banco de Chile is the Chilean peso, which is the currency of the primary economic environment in which the Bank operates, and also obeys the currency that influences the cost and income structure.

34

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (g) | Transactions in foreign currency:

Transactions in currencies other than the functional currency are considered to be in foreign currency and are initially recorded at the exchange rate of the functional currency on the transaction date. Monetary assets and liabilities denominated in foreign currencies are converted using the exchange rate of the functional currency as of the date of the Consolidated Statement of Financial Position. All differences are recorded as a debit or credit to income.

As of March 31, 2023 and 2022, the Bank and its subsidiaries applied the exchange rate of accounting representation according to the standards issued by the CMF, for which the assets in dollars are shown at their equivalent value in Chilean pesos calculated using the following market exchange rate Ch$794.42 US$1 (Ch$784.30 US$1 as of March 31, 2022)

The amount of Ch$30,696 million corresponding to a net financial loss from exchange, indexation and accounting hedging of foreign currency (net income of Ch$28,100 million as of March 31, 2022) shown in the Consolidated Statements of Income, includes the result from exchange operations, indexation and accounting hedges of foreign currency, including the conversion of assets and liabilities in foreign currency or indexed to the exchange rate.

| (h) | Operating Segments:

The Bank discloses information by segment in accordance with IFRS 8. The Bank’s operating segments are determined based on its different business units, considering the following:

| (i) | That it conducts business activities from which income is obtained and expenses are incurred (including income and expenses relating to transactions with other components of the same entity).

| (ii) | That its operating results are reviewed regularly by the entity’s highest decision-making authority for operating decisions, to decide about resource allocation for the segment and evaluate its performance; and

| (iii) | For which separate financial information available.

| (i) | Statement of cash flows:

The Consolidated Statement of Cash Flows shows the changes in cash and cash equivalents derived from operating activities, investment and financing activities during the year. The indirect method has been used in the preparation of this statement of cash flows.

35

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (i) | Statement of cash flows: (continued)

For the preparation of Consolidated Financial Statements of Cash Flow, it is considered the following concepts:

| (i) | Cash and cash equivalents: corresponds to the item “Cash and deposits in banks”, plus (minus) the net balance corresponding to operations with liquidation in progress that are shown in the Consolidated Statement of Financial Position, plus other cash equivalents such as investments in short-term debt financial instruments that meet the criteria to be considered “cash equivalents”, for which they must have an original maturity of 90 days or less from the date of acquisition, be highly liquid, easily convertible into amounts known amounts of cash as of the date of the initial investment, and that the financial instruments are exposed to an insignificant risk of changes in value.

| (ii) | Operating activities: corresponds to normal activities of the Bank, as well as other activities that cannot classify like investing or financing activities.

| (iii) | Investing activities: correspond to the acquisition, sale or disposition other forms, of long-term assets and other investments not included in cash and cash equivalents.

| (iv) | Financing activities: corresponds to the activities that produce changes in the amount and composition of the equity and the liabilities that are not included in the operating or investing activities.

| (j) | Financial derivative contracts:

A “Financial Derivative” is a financial instrument whose value changes in response to changes in an observable market variable (such as an interest rate, exchange rate, the price of a financial instrument or a market index, including credit ratings), whose initial investment is very small in relation to other financial instruments with a similar response to changes in market conditions and which is generally settled at a future date.

The Bank maintains contracts of Derivative financial instruments, for cover the exposition of risk of foreign currency and interest rate. These contracts are recorded in the Consolidated Statement of Financial Position at their cost (included transactions costs) and subsequently measured at fair value. Derivative instruments are reported as an asset when their fair value is positive and as a liability when negative under the item “Derivative Instruments”.

Changes in fair value of derivative contracts held for trading purpose are included under “Financial Assets and Liabilities held for Trading”, on the Consolidated Statement of Income.

In addition, the Bank includes in the valorization of derivatives the “Credit valuation adjustment” (CVA), to reflect the counterparty risk in the determination of fair value and the Bank’s own credit risk, known as “Debit valuation adjustment” (DVA).

Certain embedded derivatives in other financial instruments are treated as separate derivatives when their risk and characteristics are not closely related to those of the main contract and if the contract in its entirety is not recorded at its fair value with its unrealized gains and losses included in income.

36

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (k) | Financial derivative contracts for accounting hedges:

The Bank has chosen to continue applying the hedge accounting requirements of IAS 39 when adopting IFRS 9.

At the moment of subscription of a derivative contract must be designated by the Bank as a derivative instrument for trading or hedging purposes.

If a derivative instrument is classified as a hedging instrument, it can be:

| (1) | A hedge of the fair value of existing assets or liabilities or firm commitments, or;

| (2) | A hedge of cash flows related to existing assets or liabilities or forecasted transactions.

A hedge relationship for accounting hedges purposes must comply with all of the following conditions:

| (a) | at its inception, the hedge relationship has been formally documented;

| (b) | it is expected that the hedge will be highly effective;

| (c) | the effectiveness of the hedge can be measured in a reasonable manner; and

| (d) | the hedge is highly effective with respect to the hedged risk on an ongoing basis and throughout the entire hedge relationship.

The Bank presents and measures individual hedges (where there is a specific identification of hedged item and hedged instruments) by classification, according to the following criteria:

Fair value hedges: Changes in the fair value of a derivative hedging instrument, designated as a fair value hedge, are recognized in income under the lines “Net interest income” and “Net indexation income” and/or “Foreign currency changes, UF indexation and accounting hedge”, depending on the type of risk covered. The hedged item is also presented at fair value in relation to the risk being hedged; gains or losses attributable to the hedged risk are recognized in income under the lines “Net interest income” and “Net income from UF indexation” and adjust the book value of the item subject to the hedge.

Cash flow hedge: Changes in the fair value of financial instruments derivative designated like “cash flow hedge” are recognized in “Cash flow accounting hedge” included in the Consolidated Other Comprehensive Income, to the extent that hedge is effective and hedge is reclassified to income in the item “Net interest income” and “Net income from UF indexation” and/or “Foreign currency changes, UF indexation and accounting hedge”, when hedged item affects the income of the Bank produced for the “interest rate risk” or “foreign exchange risk”, respectively. If the hedge is not effective, the changes in the fair value are recognized directly in the results of the year under the caption “Other financial result”.

37

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (k) | Financial derivative contracts for accounting hedges: (continued)

If the hedged instruments do not comply with criteria of cash flow accounting hedges, it expires or is sold, it suspends or executed, this hedge must be discontinued prospectively. Accumulated gains or losses recognized previously in the equity are maintained there until projected transactions occur, in that moment will be registered in Consolidated Statement of Income (in the item “Net interest income” and “Net income from UF indexation” and/or “Foreign currency changes, UF indexation and accounting hedge”, depend of the hedge), lesser than it foresees that the transaction will not execute, in this case it will be registered immediately in Consolidated Statement of Income (in the item “Net interest income” and “Net income from UF indexation” and/or “Foreign currency changes, UF indexation and accounting hedge”, depend of the hedge).

| (l) | Intangible Assets:

Intangible assets are initially recognized at their acquisition cost, and are subsequently measured at their cost less any accumulated amortization or less any accumulated impairment losses.

Software or computer programs purchased by the Bank and its subsidiaries are accounted for at cost less accumulated amortization and impairment losses.

The subsequent expense in software assets is capitalized only when it increases the future economic benefit for the specific asset. All other expenses are recorded as an expense as incurred.

Amortization is recorded in income using the straight-line amortization method based on the estimated useful life of the software, from the date on which it is available for use. The estimated useful life of software is a maximum of 6 years.

| (m) | Property and equipment:

Property and equipment includes the amount of land, real estate, furniture, computer equipment and other installations owned by the consolidated entities and which are for own use. These assets are stated at historical cost less depreciation and accumulated impairment. This cost includes expenses than have been directly attributed to the asset’s acquisition.

Depreciation is recognized in the Consolidated Statements of Income on a straight-line basis over the estimated useful lives of each part of an item of property and equipment.

The estimated average useful lives for the periods 2023 and 2022 are as follows:

- Buildings |  |  | 50 years |
- Installations |  |  | 10 years |
- Equipment |  |  | 5 years |
- Supplies and accessories |  |  | 5 years |

Maintenance expenses relating to those assets held for own uses are recorded as expenses in the year in which they are incurred.

38

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (n) | Deferred taxes and income taxes:

The income tax provision of the Bank and its subsidiaries has been determined in conformity with current legal regulations.

The Bank and its subsidiaries recognize, when appropriate, deferred tax assets and liabilities for future estimates of tax effects attributable to temporary differences between the book and tax values of assets and liabilities. Deferred tax assets and liabilities are measured based on the tax rate expected to be applied, in accordance with current tax law, in the year that deferred tax assets are realized or liabilities are settled. The effects of future changes in tax legislation or tax rates are recognized in deferred taxes starting on the date of publication of the law approving such changes.

Deferred tax assets are recognized only when it is likely that future tax profits will be sufficient to recover deductions for temporary differences. According to instructions from the CMF, deferred taxes are presented in the Consolidated Statement of Financial Position according with IAS 12 “Income Tax”.

| (o) | Provisions, contingent assets and liabilities:

Provisions are liabilities involving uncertainty about their amount or maturity. They are recorded in the Consolidated Statement of Financial Position when the following requirements are jointly met:

| (i) | a present obligation has arisen from a past event;

| (ii) | as of the date of the Financial Statements it is probable that the Bank or its subsidiaries have to disburse resources to settle the obligation; and

| (iii) | the amount of these resources can be reliably measured.

A contingent asset or liability is any right or obligation arising from past events whose existence will be confirmed by one or more uncertain future events which are not within the control of the Bank.

Contingent credits are understood as operations or commitments in which the Bank assumes a credit risk by committing itself to third parties, in the event of a future event, to make a payment or disbursement that must be recovered from its clients.

39

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (o) | Provisions, contingent assets and liabilities: (continued)

The following are classified as contingent credits in off-balance sheet information:

| i. | Undrawn credit lines: Considers the unused amounts of lines of credit that allow customers to make use of credit without prior decisions by the bank.

| ii. | Undrawn credit lines with immediate termination: Considers those undrawn credit lines, defined in the previous numeral, that the bank can unconditionally cancel at any time and without prior notice, or for which its automatic cancellation is contemplated in case of deterioration of the debtor’s solvency, as permitted by the current legal framework and the contractual conditions established between the parties.

| iii. | Contingent credits linked to the CAE: Correspond to credit commitments granted in accordance with Law No. 20,027 (“CAE”).

| iv. | Letters of credit for goods circulation operations: Considers the commitments that arise, both to the issuing bank and to the confirming bank, from self-settled commercial letters of credit with a maturity period of less than 1 year, arising from merchandise circulation operations (for example, confirmed foreign or documentary letters of credit). Includes documentary letters of credit issued by the Bank, which have not yet been negotiated.

| v. | Debt purchase commitments in local currency abroad: Note issuance facility (NIF) and revolving underwriting facility (RUF) are considered).

| vi. | Transactions related to contingent events: Guarantee bonds with promissory notes referred to in Chapter 8-11 of the Actualized Standards Compilation are considered.

| vii. | Warranty by endorsement and sureties: Includes warranty by endorsement, sureties and standby letters of credit referred to in Chapter 8-10 of the Actualized Standards Compilation. In addition, it includes the payment guarantees of buyers in factoring operations, as indicated in Chapter 8-38 of that Compilation.

| viii. | Other credit commitments: It includes the unplaced amounts of committed credits, which must be disbursed on an agreed future date or processed when the contractually foreseen events occur with the client, as occurs in the case of irrevocable credit lines linked to the progress status of projects (in which for provisions purposes, both the gross exposure referred to in No. 3 and future increases in the amount of guarantees associated with committed disbursements must be considered).

40

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (o) | Provisions, contingent assets and liabilities: (continued)

Exposure to credit risk on contingent loans:

To calculate provisions for contingent credits, the amount of exposure to be considered will be equivalent to the percentage of the amounts of the contingent credits indicated below:

Type of contingent credit |  | Credit Conversion Factor |
Undrawn credit lines with immediate termination |  |  | 10 | %
Contingent credits linked to the CAE |  |  | 15 | %
Letters of credit for goods circulation operations |  |  | 20 | %
Other undrawn credit lines |  |  | 40 | %
Debt purchase commitments in local currency abroad |  |  | 50 | %
Transactions related to contingent events |  |  | 50 | %
Warranty by endorsement and sureties |  |  | 100 | %
Other credit commitments |  |  | 100 | %
Other contingent loans |  |  | 100 | %

Notwithstanding, when dealing with transactions performed with customers with overdue loans as indicated in Chapter B-1 of the Compendium of Accounting Standards of the CMF, that exposure shall be equivalent to 100% of its contingent loans.

| (p) | Provisions for minimum dividends:

According with the Accounting Standards Compendium of the CMF, the Bank records within liabilities the portion of net income for the year that should be distributed to comply with the Corporations Law or its dividend policy. For these purposes, the Bank establishes a provision in a complementary equity account within retained earnings.

For purposes of calculating the provision of minimum dividends, the distributable net income is considered, which is defined as that which results from reducing or adding to the net income for the year, the correction of the value of the paid-in capital and reserves, due to the effects of the variation of the Consumer Price Index.

| (q) | Employee benefits:

Employee benefits are all forms of consideration granted by an entity in exchange for services provided by employees or severance pay.

Short-term employee benefits are employee benefits (other than termination benefits) that are expected to be settled in full before twelve months after the end of the annual reporting period in which the employees have rendered the related services.

| (i) | Staff vacations

The annual costs of vacations and staff benefits are recognized on an accrual basis.

41

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (q) | Employee benefits: (continued)

| (ii) | Other short-term benefits

The entity contemplates for its employees an annual incentive plan for meeting objectives and individual contribution to the company’s results, which are eventually delivered, consisting of a certain number or portion of monthly salaries and are provisioned based on the estimated amount to be distributed.

Other long-term employee benefits are all employee benefits other than short-term employee benefits, post-employment benefits, and termination benefits.

| (iii) | Employee benefits for termination of employment contract

The Bank has agreed with part of the staff the payment of compensation to those who have completed 30 or 35 years of permanence, in the event that they retired from the Institution. The proportional part accrued by those employees who will have access to exercise the right to this benefit and who at the end of the year have not yet acquired it has been incorporated into this obligation.

The obligations of this benefit plan are valued according to the projected credit unit method, including as variables the staff turnover rate, the expected salary growth and the probability of using this benefit, discounted at the current rate for long-term operations (5.4% as of March 31, 2023 and 5.5% as of December 31, 2022).

The discount rate used corresponds to the rate of 10-year Bonds in pesos of the Central Bank of Chile (BCP).

Gains and losses arising from changes in actuarial variables are recognized in Other Comprehensive Income. There are no other additional costs that should be recognized by the Bank.

| (r) | Earnings per share:

The basic earnings per share is determined by dividing the net income attributed to the Bank’s owners in a period and the weighted average number of shares outstanding during that period.

Diluted earnings per share are determined similarly to basic earnings, but the weighted average number of outstanding shares is adjusted to take into account the potential dilutive effect of the options on shares, warrants and convertible debt. At the end of the periods ended March 31, 2023 and 2022 there are no concepts to adjust.

42

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (s) | Interest revenue and expense and UF indexation:

Interest income and expenses and UF indexation are recognized in the Consolidated Statement of Income using the effective interest rate method. The effective interest rate is the rate which exactly discounts estimated future cash payments or receipts through the expected life of the financial instrument (or a shorter period) where appropriate, to the carrying amount of the financial asset or financial liability. To calculate the effective interest rate, the Bank determines cash flows by taking into account all contractual conditions of the financial instrument, excluding future credit losses.

The effective interest rate calculation includes all fees and other amounts paid or received that form part of the effective interest rate. Transaction costs include incremental costs that are directly attributable to the purchase or issuance of a financial asset or liability.

In the case of the impaired portfolio and current loans with a high risk of irrecoverability of loans and accounts receivable from customers, the Bank has applied a conservative position of discontinuing the accrual of interest and UF indexation on an accrual basis in the Consolidated Statement of Income, when the credit or one of its installments has been 90 days default in its payment.

| (t) | Commission income and expenses:

Revenue and expenses from fees are recognized in the Consolidated Income Statement using the criteria established in IFRS 15 “Revenue from contracts with customers”.

Under IFRS 15, revenues are recognized considering the terms of the contract with customers. Revenue is recognized when or as the performance obligation is satisfied by transferring the goods or services committed to the customer.

Under IFRS 15, revenues are recognized using different criteria depending on their nature. The most significant are:

| − | Those that correspond to a singular act, when the act that originates them takes place.

| − | Those that originate in transactions or services that are extended over time, during the life of such transactions or services.

| − | Commissions on loan commitments and other fees related to credit operations are deferred (together with the incremental costs directly related to the placement) and recognized as an adjustment to the effective interest rate of the placement. In the case of loan commitments, when there is no certainty of the date of effective placement, the commissions are recognized in the period of the commitment that originates it on a linear basis.

43

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (t) | Commission income and expenses: (continued)

The fees registered by the Bank correspond mainly to:

| − | Commissions for credit prepayment: These commissions are accrued at the time the credits are prepaid.

| − | Commissions for lines of credit and overdrafts: These commissions are accrued in the period related to the granting of lines of credit and overdrafts in checking accounts.

| − | Commissions for warranty by endorsement and letters of credit: These commissions are accrued in the period related to the granting by the bank of payment guarantees for real or contingent obligations of third parties.

| − | Commissions for card services: Correspond to commissions accrued for the period, related to the use of credit cards, debit cards and other.

| − | Commissions for account management: Includes commissions for the maintenance of current accounts and other deposit accounts.

| − | Commissions for collections and payments: Includes commissions generated by the collection and payment services provided by the Bank.

| − | Commissions for intermediation and management of securities: correspond to income from brokerage service, placements, administration and custody of securities.

| − | Remuneration for administration of mutual funds, investment funds or others: corresponds to the commissions from the General Fund Administrator for the administration of third-party funds.

| − | Remuneration for brokerage and insurance consulting services: Income from brokerage and insurance advice by the Bank or its subsidiaries is included.

| − | Commissions for factoring operations services: Commissions for factoring operations services performed by the Bank are included.

| − | Commissions for services of financial leasing operations: Commissions for services of financial leasing operations carried out by the Bank as lessor are included.

| − | Commissions for financial consulting services: commissions for financial advisory services performed by the Bank and its subsidiary are included.

| − | Other commissions earned: includes income generated from foreign currency exchange, issuance bank guarantees, issuance of bank check, use of distribution channels, agreement on the use of a brand and placement of financial products and cash transfers, and recognition of payments associated with commercial alliances, among others.

Commission expenses include:

| − | Commissions for card operations: commissions paid for credit and debit card operations are included.

| − | Commissions for licensing the use of card brands

| − | Expenses for obligations of loyalty and merits programs for card customers.

| − | Commissions for operations with securities: commissions for deposit and custody of securities and brokerage of securities are included.

| − | Other commissions for services received: Commissions are included for guarantees and endorsements of Bank obligations, for foreign trade operations, for correspondent banks in the country and abroad, for ATMs and electronic fund transfer services.

| − | Commissions for compensation of large value payments: corresponds to commissions paid to entities such as ComBanc, CCLV Contraparte Central, etc.

44

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (u) | Impairment of non-financial assets:

The carrying amounts of the non-financial assets of the Bank and its subsidiaries, are reviewed throughout the year and especially at each reporting date, to determine if any indication of impairment exists. If such indication exists, the recoverable amount of the asset is then estimated.

| (v) | Financial and operating leases:

| (i) | The Bank acting as lessor

Assets leased to customers under agreements which transfer substantially all the risks and rewards of ownership, with or without ultimate legal title, are classified as finance leases. When assets held are subject to a finance lease, the leased assets are derecognized and a receivable is recognized which is equal to the present value of the minimum lease payments, discounted at the interest rate implicit in the lease. Initial direct costs incurred in negotiating, and arranging a finance lease are incorporated into the receivable through the discount rate applied to the lease. Finance lease income is recognized over the lease term based on a pattern reflecting a constant periodic rate of return on the net investment in the finance lease.

Assets leased to customers under agreements, which do not transfer substantially all the risks, and rewards of ownership are classified as operating leases.

The leased investment properties, under the operating lease modality, are included in the Consolidated Statement of Financial Position as “Other assets” and depreciation is determined on the book value of these assets, applying a proportion of the value in a systematic way on the economic use of the estimated useful life. Lease income is recognized on a straight-line basis over the lease term.

| (ii) | The Bank acting as lessee

A contract is, or contains a lease, if one party has the right to control the use of an identified asset for a period of time in exchange for a regular payment.

On the start date of a lease, a right-to-use assets leased is determined at cost, which includes the amount of the initial measurement of the lease liability plus other disbursements made.

The amount of the lease liability is measured at the present value of future lease payments that have not been paid on that date, which are discounted using the Bank’s incremental financing interest rate.

The right-of-use asset is measured using the cost model, less accumulated depreciation and accumulated losses due to impairment of value, depreciation of the right-of-use asset, is recognized in the Consolidated Statements of Income based on the linear depreciation method from the start date and until the end of the lease term.

45

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (v) | Financial and operating leases: (continued)

The monthly variation of the UF for the contracts established in said monetary unit should be treated as a new measurement, therefore the UF readjustment modifies the value of the lease liability, and in parallel, the amount of the right-of-use asset must be adjusted by this effect.

After the start date, the lease liability is measured by lowering the carrying amount to reflect the lease payments made and the modifications to the lease.

According to IFRS 16 “Leases” the Bank does not apply this rule to contracts whose duration is 12 months or less and those that contain an underlying asset of low value. In these cases, payments are recognized as a lease expense.

| (w) | Additional provisions:

In accordance to the CMF regulations, the banks have recorded additional allowances for its individually evaluated loan portfolio, taking into consideration the expected impairment of this portfolio. The calculation of this allowance is performed based on the Bank’s historical experience and considering possible future adverse macroeconomic conditions or circumstances that could affect a specific sector.

The provisions made in order to forestall the risk of macroeconomic fluctuations should anticipate situations reversal of expansionary economic cycles in the future, could translate into a worsening in the conditions of the economic environment and thus, function as a countercyclical mechanism accumulation of additional provisions when the scenario is favorable and release or assignment to specific provisions when environmental conditions deteriorate.

According to the above, additional provisions must always correspond to general provisions on commercial, consumer or mortgage loans, or segments identified, and in no case may be used to offset weaknesses of the models used by the Bank.

As of March 31, 2023, the balance of additional provisions amounts to Ch$700,252 million (Ch$700,252 million in December 2022), which are presented in the caption “Special Provisions for Credit Risk” of liabilities in the Consolidated Statement of Financial Position.

| (x) | Fair value measurement:

“Fair value” is understood as the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between participants in a principal (or more advantageous) market at the measurement date under current market conditions, independent whether that price is directly observable or estimated using another valuation technique. The most objective and usual reference of fair value is the price that would be paid in an active, transparent and deep market (“quoted price” or “market price”).

When available, the Bank estimates the fair value of an instrument using quoted prices in an active market for that instrument. A market is considered active if quoted prices are readily and regularly available and represent actual and regularly occurring market transactions on an arm’s length basis.

46

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 2. | Main Accounting Criteria Used, continued:

| (x) | Fair value measurement: (continued)

If a market for a financial instrument is not active, the Bank establishes fair value using a valuation technique. These valuation techniques include the use of recent market transactions between knowledgeable, willing parties in an arm’s length transaction, if available, as well as references to the fair value of other instruments that are substantially the same, discounted cash flows and options pricing models.

The chosen valuation technique makes maximum use of information obtained in the market, using the least possible amount of data estimated by the Bank, incorporates all the factors that market participants would consider to establish the price, and will be consistent with generally accepted economic methodologies for calculating the price of financial instruments. The variables used by the valuation technique reasonably represent market expectations and reflect the return-risk factors inherent to the financial instrument. Periodically, the Bank calibrates the valuation techniques and tests it for validity using prices from observable current market transaction in the same instrument or based on available observable market information.

The best evidence of the fair value of a financial instrument at initial recognition is the transaction price (i.e. the fair value of the consideration given or received) unless the fair value of that instrument is evidenced by comparison with other observable current market transactions in the same instrument (i.e. without modification or repackaging) or based on a valuation technique whose variables include only data from observable markets. However, when transaction price provides the best evidence of fair value at initial recognition, the financial instrument is initially measured at the transaction price and any difference between this price and the value initially obtained from a valuation model is subsequently recognized in incomes.

On the other hand, it should be noted that the Bank has financial assets and liabilities offset each other’s market risks, based on which average market prices are used as a basis for determining their fair value.

Then, the fair value estimates obtained from models are adjusted for any other factors, such as liquidity risk or model uncertainties; to the extent that the Bank believes that a third-party market participant would take them into account in pricing a transaction.

The Bank’s fair value disclosures are included in Note No. 44.

47

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 3. | New Accounting Pronouncements Issued and Adopted, or Issued that have not yet been Adopted:

Standards approved and/or modified by the International Accounting Standards Board (IASB) and by the Commission for the Financial Market (CMF):

Standards and interpretations that have been adopted in these Consolidated Financial Statements.

As of the date of issuance of these Consolidated Financial Statements, the new accounting pronouncements issued by both the IASB and the CMF, which have been adopted by the Bank and its subsidiaries, are detailed below:

Accounting standards issued by IASB.

IAS 1 Presentation of Financial Statements and IFRS Practice Statement No. 2 Accounting Policy Disclosures.

In February 2021, the IASB published amendments to IAS 1 to require companies to disclose material information in order to improve the disclosures of their accounting policies and provide useful information to investors and other users of financial statements.

To help entities apply the amendments to IAS 1, the Board also amended IFRS Practice Statement No. 2 to illustrate how an entity can judge whether accounting policy information is material to its financial statements.

The amendments to IAS 1 will be effective for Financial Statement presentation periods beginning on or after January 1, 2023. Early application is allowed. If an entity applies those amendments to prior periods, it must disclose that fact.

To implement these amendments, some non-material modifications were made to Note No. 2 Main Accounting Criteria Used in the Consolidated Interim Financial Statements.

IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors. Definition of Accounting Estimate.

In February 2021, the IASB incorporated changes to the definition of accounting estimates contained in IAS 8, the amendments are intended to help entities distinguish changes in accounting estimates from changes in accounting policies.

The amendments to IAS 8 will be effective for Financial Statement presentation periods beginning on or after January 1, 2023. Early application is allowed.

The application of this amendment did not generate any impacts on the current Consolidated Interim Financial Statements of Banco de Chile and its subsidiaries.

48

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 3. | New Accounting Pronouncements Issued and Adopted, or Issued that have not yet been Adopted, continued:

IAS 12 Income Tax. Deferred taxes related to assets and liabilities arising from a single transaction.

In May 2021, the IASB published amendments to IAS 12, to specify how companies should account for deferred taxes on transactions such as leases and decommissioning obligations.

IAS 12 Income Tax specifies how a company accounts for income tax, including deferred tax, which represents tax to be paid or recovered in the future. In certain circumstances, companies are exempt from recognizing deferred taxes when they first recognize assets or liabilities. Prior to the amendment, there was some uncertainty as to whether the exemption applied to transactions such as leases and decommissioning obligations, transactions for which companies recognize both an asset and a liability.

The amendments clarify that the exemption does not apply and that companies are required to recognize deferred taxes on such transactions. The purpose of the amendments is to reduce the differences in reporting deferred tax on leases and decommissioning obligations.

The amendments are effective for the presentation periods of the Financial Statements beginning on January 1, 2023, and early application is allowed.

The implementation of this amendment had no impact for Bank of Chile and its affiliates.

Accounting standards issued by CMF

Circular No. 2,323. Modifies Chapter B-1 “Provisions for credit risk” of the CNCB.

On October 21, 2022, the CMF published this circular that modifies Chapter B-6 “Provisions for country risk” and B-7 “Special provisions for credits abroad” of the Compendium of Accounting Standards, the objective of this modification is to include to operations denominated in Chilean pesos within the computation of provisions for country risk and special for loans abroad.

The Bank implemented this change without generating material impacts.

Circular No. 2,331. Information to be reported on credits with the guarantee of FOGAPE Chile Apoya.

On February 7, 2023, the CMF issued Circular No. 2.331 containing details of the information that banks and cooperatives must send to the CMF through new regulatory files, in order to adequately monitor the evolution of loans guaranteed by the Chile Apoya program of the Small and Medium-Sized Enterprises Guarantee Fund (FOGAPE).

The Bank implemented this Circular, fulfilling the sending of the new regulatory files.

49

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 3. | New Accounting Pronouncements Issued and Adopted, or Issued that have not yet been Adopted, continued:

Other Regulations.

Law 21,420 modifies art. 2 No. 2 of DL 825 of 1974, on Sales and Services Tax (VAT).

On January 1, 2023, the legal modifications incorporated into the basic service taxable event defined in art. 2 No. 2 of DL No. 825 Law on Sales and Services Tax came into effect. Said legal modification implied a higher expense or cost, since some services contracted by the institution from January 1, 2023, went from not being subject to being taxed with VAT.

The implementation of this new standard did not have a material impact on the Bank and its subsidiaries.

New Standards and interpretations that have been issued but their application date is not yet in force:

The following is a summary of new standards, interpretations and improvements to the International Financial Reporting Standards issued by the International Accounting Standards Board (IASB) and the CMF that are not yet effective as of March 31, 2023, as follows:

Accounting standards issued by IASB.

IAS 28 Investments in Associates and Joint Venture and IFRS 10 Consolidated Financial Statements.

In September 2014, the IASB published this modification, which clarifies the scope of the profits and losses recognized in a transaction, that involves an associate or joint venture, and that this depends on whether the asset sold or contribution constitutes a business. Therefore, the IASB concluded that all gains or losses must be recognized against loss of control of a business.

Likewise, the gains or losses that result from the sale or contribution of a subsidiary that does not constitute a business (definition of IFRS 3) to an associate or joint venture must be recognized only to the extent of unrelated interests in the associate or joint venture.

During December 2015, the IASB agreed to set the effective date of this modification in the future, allowing its immediate application.

Banco de Chile and its subsidiaries will have no impact on the Interim Consolidated Financial Statements as a result of the application of this amendment.

50

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 3. | New Accounting Pronouncements Issued and Adopted, or Issued that have not yet been Adopted, continued:

IFRS 16 Leases. Recognition of the lease liability in a sale with leaseback.

In September 2022, the IASB published an amendment to IFRS 16 related to the recognition of the lease liability in a sale with leaseback.

The amendment specifies the requirements that a seller-lessee must use to measure the lease liability that arises on sale and leaseback so that the seller-lessee does not recognize any gain or loss related to the right of use that it retains.

The modifications are effective for the periods of presentation of the Financial Statements that begin on or after January 1, 2024, and early application is allowed.

The implementation of this amendment will have no impact for Banco de Chile and its subsidiaries.

Accounting Standards issued by the CMF.

General Regulation (NCG by its Spanish initials) No. 484. Commissions in credit operations Law 18,010 and adjustments to current contracts.

On August 5, 2022, the CMF issued this NCG 484, which establishes the criteria and conditions that must be met by the collections made to the debtor in a credit operation to be considered commission and not interest. In addition, by virtue of the established definitions and in order to maintain regulatory coherence, other regulatory bodies were modified.

The instructions established in this General Regulation are effective as of August 1, 2023.

The Bank estimates that the impact of adopting this new standard will not be material.

Circular No. 2,330. Chapter 21-14 of the RAN: Evaluation of the Adequacy of Banks’ Liquidity Position.

On January 16, 2023 the CMF published the regulation that defines the guidelines for the evaluation of the sufficiency of the liquidity position of banks.

The regulation aims to present the criteria and guidelines that will be taken into consideration for the assessment of the sufficiency of liquidity of banks, together with the possibility of the CMF to determine additional requirements of liquid assets resulting from the supervisory review process.

The regulations will come into effect from April 2023, the date when banks must submit their first simplified Liquidity Self-Assessment Report (LSAR).

51

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 4. | Accounting Changes:

During the period ended March 31, 2023, there have been no material or relative importance changes in accounting that affect the presentation of these Consolidated Interim Financial Statements.

| 5. | Relevant Events:

| a) | On January 26, 2023, the Board of Directors of Banco de Chile agreed to convene an Ordinary Shareholders’ Meeting for March 23, 2023 in order to propose, among other matters, the following distribution of profits for the year ended on December 31, 2022:

| i. | Deduct and withhold from the net income of the year, an amount equivalent to the effect of inflation of the paid capital and reserves according to the variation of the Consumer Price Index that occurred between November 2021 and November 2022, amounting to Ch$542,504,045,836 which will be added to retained earnings from previous periods.

| ii. | Distribute in the form of dividend the remaining profit, corresponding to a dividend of Ch$8.58200773490 to each of the 101,017,081,114 shares of the Bank.

Consequently, it will be proposed a distribution as dividend of 61.5% of the profits for the year ending December 31, 2022.

| b) | On March 3, 2023, Banco de Chile informed the Financial Markets Commission that Mr. Alfredo Ergas Segal had ceased to hold office as Director of the Bank due to a supervening cause of incapacity arising from circumstances beyond his control. This was due to the fact that, within the framework of the corresponding periodic update at the Board meeting on December 22, 2022, a company in which Mr. Ergas is a Director was included as one of the Bank’s main clients, thus constituting the situation outlined in numeral 5 of subsection 3 of article 50 bis of Law 18,046 on corporations.

The aforementioned factual circumstances and the corresponding communication to the Superintendence of Pensions previously made by Mr. Ergas regarding the same matter, were reported by the Bank to the Commission for the Financial Market on December 30th.

In turn, by Resolution No. E-250 of March 3, 2021, the Superintendence of Pensiones established the disability of Mr. Ergas, based on the verification of the cause of supervening disability referred to above.

By virtue of the foregoing, the Independent Alternate Director Mr. Paul Fürst Gwinner assumed the role of Independent Regular Director, replacing Mr. Ergas in accordance with the procedure set forth in the Bank’s Bylaws.

52

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 5. | Relevant Events, continued:

| c) | On March 23, 2023, at the Bank’s Ordinary Shareholders’ Meeting, our shareholders proceeded to the complete renewal of the Board of Directors, due to the end of the legal and statutory three-year term with respect to the Board of Directors that has ceased in its functions.

After the corresponding voting at the aforesaid meeting, the following persons were appointed as the Bank’s Directors for a new three-year term:

| Directors: | Raúl Anaya Elizalde |
|  | Hernán Büchi Buc |
|  | Andrés Ergas Heymann |
|  | Jaime Estévez Valencia | (Independent)
|  | Julio Santiago Figueroa |
|  | Pablo Granifo Lavín |
|  | Ana Holuigue Barros | (Independent)
|  | Andrónico Luksic Craig |
|  | Jean Paul Luksic Fontbona |
|  | Sinéad O’Connor |
|  | Francisco Pérez Mackenna |
| First Alternate Director: | Paul Fürst Gwinner | (Independent)
| Second Alternate Director: | Sandra Marta Guazzotti |

Moreover, in its Ordinary Session No. BCH 2,986 of the same date, the Board of Directors of the Bank agreed to the following officer appointments and designations:

| Chairman: | Pablo Granifo Lavín |
| Vice Chairman: | Andrónico Luksic Craig |
| Vice Chairman: | Julio Santiago Figueroa |

| d) | During the year 2023 Banco de Chile has reported as essential fact the following placements in the local market of senior, dematerialized and bearer bonds issued by Banco de Chile and registered in the Securities Registry of the Financial Market Commission

Date |  | Registration number in the Securities Registry |  | Serie |  | Amount |  |  | Currency |  | Maturity date |  | Average rate |
January 6, 2023 |  | 11/2022 |  | GI |  |  | 4,000,000 |  |  | CLF |  | 09/01/2035 |  |  | 2.61 | %
March 16, 2023 |  | 11/2016 |  | DG |  |  | 9,750,000,000 |  |  | CLP |  | 05/01/2027 |  |  | 6.55 | %
March 23, 2023 |  | 11/2016 |  | DG |  |  | 11,250,000,000 |  |  | CLP |  | 05/01/2027 |  |  | 6.55 | %

53

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 6. | Business Segments:

For management purposes, the Bank is organized into four segments, which are defined based on the types of products and services offered, and the type of client in which focuses as described below:

| Retail: | This segment focuses on individuals and small and medium-sized companies (SMEs) with annual sales up to UF 70,000, where the product offering focuses primarily on consumer loans, commercial loans, checking accounts, credit cards, credit lines and Residential mortgage loans.

| Wholesale: | This segment focused on corporate clients and large companies, whose annual revenue exceed UF 70,000, where the product offering focuses primarily on commercial loans, checking accounts and liquidity management services, debt instruments, foreign trade, derivative contracts and leases.

| Treasury: | This segment includes the associated revenues to the management of the investment portfolio and the business of financial transactions and currency trading.

Transactions with customers carried out by the Treasury are reflected in the respective aforementioned segments. These products are highly transaction-focused and include foreign exchange transactions, derivatives and financial instruments in general, among others.

| Subsidiaries: | Corresponds to the businesses generated by the companies controlled by the Bank, which carry out activities complementary to the bank business. The companies that comprise this segment are:

| - | Banchile Administradora General de Fondos S.A.
| - | Banchile Asesoría Financiera S.A.
| - | Banchile Corredores de Seguros Ltda.
| - | Banchile Corredores de Bolsa S.A.
| - | Banchile Securitizadora S.A. en Liquidación (*)
| - | Socofin S.A.
| (*) | Company dissolved in July 2022.

54

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 6. | Business Segments, continued:

The financial information used to measure the performance of the Bank’s business segments is not comparable with similar information from other financial institutions because each institution relies on its own definitions. The accounting policies applied to the segments is the same as those described in the summary of accounting principles. The Bank obtains the majority of the results from: interest, indexation and commissions and financial operations and changes, discounting provisions for credit risk and operating expenses. Management is mainly based on these concepts to evaluate the performance of the segments and make decisions about the goals and allocations of resources of each unit. Although the results of the segments reconcile with those of the Bank at the total level, this is not necessarily the case in terms of the different concepts, given that management is measured and controlled individually and not on a consolidated basis, applying the following criteria:

| ● | The net interest margin of loans and deposits is obtained aggregating the net financial margins of each individual operation of credit and uptake made by the bank. For these purposes, the volume of each operation and its contribution margin are considered, which in turn corresponds to the difference between the effective rate of the customer and the internal transfer price established according to the term and currency of each operation. Additionally, the net margin includes the result of interest and indexation from the accounting hedges.

| ● | Provisions for credit risk are determined at the customer and counterparty level based on the characteristics of each of their operations. In the case of additional provisions, these are assigned to the different business segments based on the credit risk weighted assets that each segment has.

| ● | The capital and its financial impacts on outcome have been assigned to each segment based on the risk-weighted assets.

| ● | Operational expenses are reflected at the level of the different functional areas of the Bank. The allocation of expenses from functional areas to business segments is done using different allocation criteria, at the level of the different concepts and expense items.

Taxes are managed at a corporate level and are not allocated to business segments.

For the periods ended March 31, 2023 and 2022 there was no income from transactions with a customer or counterparty that accounted for 10% or more of the Bank’s total revenues.

55

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 6. | Business Segments, continued:

The following table presents the income by segment for the periods ended between January 1, and March 31, 2023 and 2022 for each of the segments defined above:

|  | Retail |  |  | Wholesale |  |  | Treasury |  |  | Subsidiaries |  |  | Subtotal |  |  | Consolidation adjustment |  |  | Total |
|  | March |  |  | March |  |  | March |  |  | March |  |  | March |  |  | March |  |  | March |  |  | March |  |  | March |  |  | March |  |  | March |  |  | March |  |  | March |  |  | March |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Net interest revenue (expense) and UF indexation |  |  | 325,476 |  |  |  | 330,387 |  |  |  | 194,132 |  |  |  | 172,878 |  |  |  | (61,032 | ) |  |  | (8,542 | ) |  |  | (4,557 | ) |  |  | (1,356 | ) |  |  | 454,019 |  |  |  | 493,367 |  |  |  | 29 |  |  |  | 2 |  |  |  | 454,048 |  |  |  | 493,369 |
Net commissions revenue (expense) |  |  | 86,668 |  |  |  | 78,288 |  |  |  | 17,259 |  |  |  | 17,080 |  |  |  | (630 | ) |  |  | (572 | ) |  |  | 41,348 |  |  |  | 38,969 |  |  |  | 144,645 |  |  |  | 133,765 |  |  |  | (7,740 | ) |  |  | (3,525 | ) |  |  | 136,905 |  |  |  | 130,240 |
Profit (loss) of financial operations |  |  | 92 |  |  |  | 138 |  |  |  | 5,997 |  |  |  | 5,311 |  |  |  | 116,767 |  |  |  | 18,758 |  |  |  | 10,841 |  |  |  | 3,674 |  |  |  | 133,697 |  |  |  | 27,881 |  |  |  | (29 | ) |  |  | (2 | ) |  |  | 133,668 |  |  |  | 27,879 |
Foreign currency changes, indexation and accounting hedge |  |  | (498 | ) |  |  | (1,567 | ) |  |  | 8,480 |  |  |  | 7,769 |  |  |  | (45,106 | ) |  |  | 15,338 |  |  |  | 6,428 |  |  |  | 6,560 |  |  |  | (30,696 | ) |  |  | 28,100 |  |  |  | — |  |  |  | — |  |  |  | (30,696 | ) |  |  | 28,100 |
Other income |  |  | 6,808 |  |  |  | 2,717 |  |  |  | 1,160 |  |  |  | 1,997 |  |  |  | — |  |  |  | — |  |  |  | 1,029 |  |  |  | 825 |  |  |  | 8,997 |  |  |  | 5,539 |  |  |  | (1,734 | ) |  |  | (1,476 | ) |  |  | 7,263 |  |  |  | 4,063 |
Income attributable to investments in other companies |  |  | 1,322 |  |  |  | 1,174 |  |  |  | 556 |  |  |  | 308 |  |  |  | 70 |  |  |  | 30 |  |  |  | 30 |  |  |  | 22 |  |  |  | 1,978 |  |  |  | 1,534 |  |  |  | — |  |  |  | — |  |  |  | 1,978 |  |  |  | 1,534 |
Total operating revenue |  |  | 419,868 |  |  |  | 411,137 |  |  |  | 227,584 |  |  |  | 205,343 |  |  |  | 10,069 |  |  |  | 25,012 |  |  |  | 55,119 |  |  |  | 48,694 |  |  |  | 712,640 |  |  |  | 690,186 |  |  |  | (9,474 | ) |  |  | (5,001 | ) |  |  | 703,166 |  |  |  | 685,185 |
Expenses from salaries and employee benefits |  |  | (87,166 | ) |  |  | (80,322 | ) |  |  | (26,485 | ) |  |  | (22,110 | ) |  |  | (699 | ) |  |  | (602 | ) |  |  | (19,674 | ) |  |  | (19,037 | ) |  |  | (134,024 | ) |  |  | (122,071 | ) |  |  | 6 |  |  |  | 4 |  |  |  | (134,018 | ) |  |  | (122,067 | )
Administrative expenses |  |  | (80,233 | ) |  |  | (65,432 | ) |  |  | (19,284 | ) |  |  | (17,352 | ) |  |  | (527 | ) |  |  | (367 | ) |  |  | (9,559 | ) |  |  | (8,395 | ) |  |  | (109,603 | ) |  |  | (91,546 | ) |  |  | 9,191 |  |  |  | 4,712 |  |  |  | (100,412 | ) |  |  | (86,834 | )
Depreciation and amortization |  |  | (19,055 | ) |  |  | (16,320 | ) |  |  | (2,094 | ) |  |  | (2,131 | ) |  |  | (108 | ) |  |  | (103 | ) |  |  | (1,502 | ) |  |  | (1,371 | ) |  |  | (22,759 | ) |  |  | (19,925 | ) |  |  | — |  |  |  | — |  |  |  | (22,759 | ) |  |  | (19,925 | )
Impairment of non-financial assets |  |  | (1 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 30 |  |  |  | 98 |  |  |  | 29 |  |  |  | 98 |  |  |  | — |  |  |  | — |  |  |  | 29 |  |  |  | 98 |
Other operating expenses |  |  | (4,929 | ) |  |  | (3,403 | ) |  |  | (1,966 | ) |  |  | (2,273 | ) |  |  | — |  |  |  | — |  |  |  | (329 | ) |  |  | (288 | ) |  |  | (7,224 | ) |  |  | (5,964 | ) |  |  | 277 |  |  |  | 285 |  |  |  | (6,947 | ) |  |  | (5,679 | )
Total operating expenses |  |  | (191,384 | ) |  |  | (165,477 | ) |  |  | (49,829 | ) |  |  | (43,866 | ) |  |  | (1,334 | ) |  |  | (1,072 | ) |  |  | (31,034 | ) |  |  | (28,993 | ) |  |  | (273,581 | ) |  |  | (239,408 | ) |  |  | 9,474 |  |  |  | 5,001 |  |  |  | (264,107 | ) |  |  | (234,407 | )
Expenses for credit losses (*) |  |  | (100,255 | ) |  |  | (60,181 | ) |  |  | (6,268 | ) |  |  | (39,017 | ) |  |  | 1,015 |  |  |  | (206 | ) |  |  | — |  |  |  | — |  |  |  | (105,508 | ) |  |  | (99,404 | ) |  |  | — |  |  |  | — |  |  |  | (105,508 | ) |  |  | (99,404 | )
Income from operations |  |  | 128,229 |  |  |  | 185,479 |  |  |  | 171,487 |  |  |  | 122,460 |  |  |  | 9,750 |  |  |  | 23,734 |  |  |  | 24,085 |  |  |  | 19,701 |  |  |  | 333,551 |  |  |  | 351,374 |  |  |  | — |  |  |  | — |  |  |  | 333,551 |  |  |  | 351,374 |
Income taxes |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (67,600 | ) |  |  | (59,647 | )
Income after income taxes |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 265,951 |  |  |  | 291,727 |

| (*) | As of March 31, 2022, the retail and wholesale segments include additional provisions assigned based on their risk-weighted assets for Ch$36,117 million and Ch$33,883 million, respectively.

The following table presents assets and liabilities of the periods ended March 31, 2023 and December 31, 2022 by each segment defined above:

|  | Retail |  |  | Wholesale |  |  | Treasury |  |  | Subsidiaries |  |  | Subtotal |  |  | Consolidation adjustment |  |  | Total |
|  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Current and deferred taxes |  |  | 21,897,037 |  |  |  | 22,025,372 |  |  |  | 13,512,364 |  |  |  | 13,576,675 |  |  |  | 18,088,240 |  |  |  | 18,602,123 |  |  |  | 892,922 |  |  |  | 561,621 |  |  |  | 54,390,563 |  |  |  | 54,765,791 |  |  |  | (222,823 | ) |  |  | (237,339 | ) |  |  | 54,167,740 |  |  |  | 54,528,452 |
Total assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 779,631 |  |  |  | 726,910 |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 54,947,371 |  |  |  | 55,255,362 |
Liabilities |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Current and deferred taxes |  |  | 18,297,529 |  |  |  | 17,572,012 |  |  |  | 9,741,490 |  |  |  | 10,151,503 |  |  |  | 21,703,628 |  |  |  | 22,182,398 |  |  |  | 723,666 |  |  |  | 727,529 |  |  |  | 50,466,313 |  |  |  | 50,633,442 |  |  |  | (222,823 | ) |  |  | (237,339 | ) |  |  | 50,243,490 |  |  |  | 50,396,103 |
Total liabilities |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 1,090 |  |  |  | 932 |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 50,244,580 |  |  |  | 50,397,035 |

56

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 7. | Cash and Cash Equivalents:

The detail of the balances included under cash and cash equivalents as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Cash and due from banks: |  |  |  |  |  |
Cash |  |  | 875,259 |  |  |  | 947,669 |
Deposit in Chilean Central Bank (*) |  |  | 390,502 |  |  |  | 384,230 |
Deposit in abroad Central Bank |  |  | — |  |  |  | — |
Deposits in domestic banks |  |  | 69,590 |  |  |  | 116,541 |
Deposits in abroad banks |  |  | 1,377,423 |  |  |  | 1,316,444 |
Subtotal – Cash and due from banks |  |  | 2,712,774 |  |  |  | 2,764,884 |
Net transactions in the course of settlement (**) |  |  | 92,431 |  |  |  | 90,404 |
Others cash equivalents (***) |  |  | 1,872,465 |  |  |  | 3,250,101 |
Total cash and cash equivalents |  |  | 4,677,670 |  |  |  | 6,105,389 |

The detail of the balances included under net ongoing clearance operations is as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Assets |  |  |  |  |  |
Documents drawn on other banks (clearing) |  |  | 99,376 |  |  |  | 94,675 |
Funds receivable |  |  | 544,935 |  |  |  | 677,521 |
Subtotal - assets |  |  | 644,311 |  |  |  | 772,196 |
Liabilities |  |  |  |  |  |  |  |
Funds payable |  |  | (551,880 | ) |  |  | (681,792 | )
Subtotal - liabilities |  |  | (551,880 | ) |  |  | (681,792 | )
Net transactions in the course of settlement |  |  | 92,431 |  |  |  | 90,404 |

| (*) | The level of funds in cash and in the Central Bank of Chile responds to regulations on reserve requirements that the bank must maintain on average in monthly periods.

| (**) | Ongoing clearance operations correspond to transactions in which only the settlement remains that will increase or decrease the funds in the Central Bank of Chile or in foreign banks, normally within 12 or 24 business hours.

| (***) | Refers to financial instruments that meet the criteria to be considered as “cash equivalents” as defined by IAS 7, i.e., to qualify as “cash equivalents” investments in debt financial instruments must be: short-term with an original maturity of 90 days or less from the date of acquisition, highly liquid, readily convertible to known amounts of cash from the date of initial investment, and that the financial instruments are exposed to an insignificant risk of changes in their value.

57

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 8. | Financial Assets Held for Trading at Fair Value through Profit or Loss:

The item detail is as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Financial derivative contracts |  |  | 2,807,678 |  |  |  | 2,960,029 |
Debt Financial Instruments |  |  | 2,641,507 |  |  |  | 3,433,745 |
Other financial instruments |  |  | 4,302 |  |  |  | 257,325 |
Total |  |  | 5,453,487 |  |  |  | 6,651,099 |

| (a) | The Bank as of March 31, 2023 and December 31, 2022, maintains the following asset portfolio of derivative instruments:

|  | Notional amount of contract with final expiration date in |  |  |  |  |  |  |  |  |  |
|  | Demand |  |  | Up to 1 month |  |  | Over 1 month and up to 3 months |  |  | Over 3 months and up to 12 months |  |  | Over 1 year and up to 3 years |  |  | Over 3 year and up to 5 years |  |  | Over 5 years |  |  | Total |  |  | Fair Value Assets |
|  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Currency forward |  |  | — |  |  |  | — |  |  |  | 4,661,579 |  |  |  | 3,709,915 |  |  |  | 2,482,708 |  |  |  | 2,877,266 |  |  |  | 3,173,417 |  |  |  | 3,331,247 |  |  |  | 340,376 |  |  |  | 523,024 |  |  |  | 28,996 |  |  |  | 45,610 |  |  |  | — |  |  |  | — |  |  |  | 10,687,076 |  |  |  | 10,487,062 |  |  |  | 631,576 |  |  |  | 565,373 |
Interest rate swap |  |  | — |  |  |  | — |  |  |  | 700,555 |  |  |  | 1,469,421 |  |  |  | 2,886,198 |  |  |  | 1,372,813 |  |  |  | 4,790,239 |  |  |  | 5,305,882 |  |  |  | 6,086,277 |  |  |  | 5,531,197 |  |  |  | 3,662,995 |  |  |  | 3,897,824 |  |  |  | 4,661,197 |  |  |  | 4,824,660 |  |  |  | 22,787,461 |  |  |  | 22,401,797 |  |  |  | 1,124,210 |  |  |  | 1,324,541 |
Interest rate and cross currency swap |  |  | — |  |  |  | — |  |  |  | 227,688 |  |  |  | 400,358 |  |  |  | 265,370 |  |  |  | 443,952 |  |  |  | 1,287,387 |  |  |  | 1,245,809 |  |  |  | 2,854,688 |  |  |  | 2,695,878 |  |  |  | 1,010,303 |  |  |  | 1,154,754 |  |  |  | 2,290,976 |  |  |  | 2,331,640 |  |  |  | 7,936,412 |  |  |  | 8,272,391 |  |  |  | 1,046,087 |  |  |  | 1,065,036 |
Call currency options |  |  | — |  |  |  | — |  |  |  | 19,887 |  |  |  | 15,504 |  |  |  | 32,245 |  |  |  | 44,966 |  |  |  | 14,276 |  |  |  | 32,090 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 66,408 |  |  |  | 92,560 |  |  |  | 980 |  |  |  | 2,321 |
Put currency options |  |  | — |  |  |  | — |  |  |  | 6,796 |  |  |  | 8,806 |  |  |  | 17,817 |  |  |  | 16,598 |  |  |  | 38,097 |  |  |  | 22,449 |  |  |  | 18,657 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 81,367 |  |  |  | 47,853 |  |  |  | 4,825 |  |  |  | 2,758 |
Total |  |  | — |  |  |  | — |  |  |  | 5,616,505 |  |  |  | 5,604,004 |  |  |  | 5,684,338 |  |  |  | 4,755,595 |  |  |  | 9,303,416 |  |  |  | 9,937,477 |  |  |  | 9,299,998 |  |  |  | 8,750,099 |  |  |  | 4,702,294 |  |  |  | 5,098,188 |  |  |  | 6,952,173 |  |  |  | 7,156,300 |  |  |  | 41,558,724 |  |  |  | 41,301,663 |  |  |  | 2,807,678 |  |  |  | 2,960,029 |

58

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 8. | Financial Assets Held for Trading at Fair Value through Profit or Loss, continued:

| b) | The detail of the Debt Financial Instruments is the following:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Instruments issued by the Chilean Government and Central Bank of Chile |  |  |  |  |  |
Debt financial instruments from the Central Bank of Chile |  |  | 2,169,210 |  |  |  | 3,014,768 |
Bonds and Promissory notes from the General Treasury of the Republic |  |  | 225,511 |  |  |  | 44,524 |
Other fiscal debt financial instruments |  |  | — |  |  |  | — |
Other Instruments Issued in Chile |  |  |  |  |  |  |  |
Debt financial instruments from other domestic banks |  |  | 246,786 |  |  |  | 374,453 |
Bonds and trade effects from domestic companies |  |  | — |  |  |  | — |
Other debt financial instruments issued in the country |  |  | — |  |  |  | — |
Instruments Issued Abroad |  |  |  |  |  |  |  |
Financial instruments from foreign governments or Central Banks |  |  | — |  |  |  | — |
Financial debt instruments from foreign goverments and fiscal entities |  |  | — |  |  |  | — |
Debt financial instruments from other foreign banks |  |  | — |  |  |  | — |
Bonds and trade effects from foreign companies |  |  | — |  |  |  | — |
Total |  |  | 2,641,507 |  |  |  | 3,433,745 |

Under instruments of the State and Central Bank of Chile are classified instruments sold under repurchase agreements to clients and financial institutions, by amount of Ch$21,681 million as of March 31, 2023 (no balance at December 2022). The repurchase agreements have an average maturity of 3 days at the end of March 2023 (no balance at December 2022).

Instruments sold under repurchase agreements to clients and financial institutions include other debt financial instruments issued in the country, by an amount of Ch$78,535 million as of March 31, 2023 (Ch$208,330 million in December 2022). The repurchase agreements have an average maturity of 8 days at the end of the 2023 period (7 days in December 2022).

Additionally, the Bank has investments in own-issued letters of credit for an amount equivalent to Ch$2,517 million as of March 31, 2023 (Ch$2,790 million in December 2022), which are presented as a reduction of the liability item “Debt Financial Instruments Issued”.

59

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 8. | Financial Assets Held for Trading at Fair Value through Profit or Loss, continued:

| c) | The detail of other financial instruments is as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Mutual fund investments |  |  |  |  |  |
Funds managed by related companies |  |  | 5 |  |  |  | 250,337 |
Funds managed by third-party |  |  | — |  |  |  | — |
Equity instruments |  |  |  |  |  |  |  |
Domestic equity instruments |  |  | 1,768 |  |  |  | 2,357 |
Foreign equity instruments |  |  | — |  |  |  | 3,261 |
Loans originated and acquired by the entity |  |  |  |  |  |  |  |
Loans and advances to banks |  |  | — |  |  |  | — |
Commercial loans |  |  | — |  |  |  | — |
Residential mortgage loans |  |  | — |  |  |  | — |
Consumer loans |  |  | — |  |  |  | — |
Others |  |  | 2,529 |  |  |  | 1,370 |
Total |  |  | 4,302 |  |  |  | 257,325 |

| 9. | Non-trading Financial Assets mandatorily measured at Fair Value through Profit or Loss:

As of March 31, 2023 and December 31, 2022, the Bank does not hold any non-trading financial assets mandatorily measured at fair value through profit or loss.

| 10. | Financial Assets and Liabilities designated as at Fair Value through Profit or Loss:

As of March 31, 2023 and December 31, 2022, the Bank does not hold financial assets and liabilities designated as at fair value through profit or loss.

60

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 11. | Financial Assets at Fair Value through Other Comprehensive Income:

The item detail is as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Debt Financial Instruments |  |  | 5,070,987 |  |  |  | 3,967,392 |
Other financial instruments |  |  | — |  |  |  | — |
Total |  |  | 5,070,987 |  |  |  | 3,967,392 |

| (a) | As of March 31, 2023 and December 31, 2022, the detail of debt financial instruments is as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Instruments issued by the Chilean Government and Central Bank of Chile |  |  |  |  |  |
Debt financial instruments from the Central Bank of Chile |  |  | — |  |  |  | — |
Bonds and Promissory notes from the General Treasury of the Republic |  |  | 3,294,002 |  |  |  | 2,254,578 |
Other fiscal debt financial instruments |  |  | 3,221 |  |  |  | 4,279 |
Other Instruments Issued in Chile |  |  |  |  |  |  |  |
Debt financial instruments from other domestic banks |  |  | 1,561,810 |  |  |  | 1,494,914 |
Bonds and trade effects from domestic companies |  |  | 48,575 |  |  |  | 45,994 |
Other debt financial instruments issued in the country |  |  | — |  |  |  | — |
Instruments Issued Abroad |  |  |  |  |  |  |  |
Financial instruments from foreign Central Banks |  |  | — |  |  |  | — |
Financial instruments from foreign governments and fiscal entities |  |  | 78,480 |  |  |  | 42,017 |
Debt financial instruments from other foreing banks |  |  | 84,899 |  |  |  | 125,610 |
Bonds and trade effects from foreign companies |  |  | — |  |  |  | — |
Other debt financial instruments issued abroad |  |  | — |  |  |  | — |
Total |  |  | 5,070,987 |  |  |  | 3,967,392 |

61

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 11. | Financial Assets at Fair Value through Other Comprehensive Income, continued:

Instruments of the Government and the Central Bank of Chile include instruments sold under repurchase agreements to clients and financial institutions for an amount of Ch$3,480 million in March 2023 (Ch$7,369 million in December 2022). The repurchase agreements have an average maturity of 6 days in March 2023 (4 days in December 2022). As part of the FCIC program, instruments delivered as collateral are included for an approximate amount of Ch$707,198 million as of March 31, 2023 (Ch$693,206 million in December 2022).

Under the same item, instruments that guarantee margins for cleared derivatives transactions are classified through Comder Contraparte Central S.A. for an amount of Ch$38,394 million as of March 31, 2023 (Ch$39,508 million as of December 31, 2022).

Under Instruments of Other National Institutions are classified instruments delivered as collateral as part of FCIC program for an approximate amount of Ch$740,812 million as of March 31, 2023 (Ch$219,425 million as of December 31, 2022).

As of March 31, 2023 the accumulated credit impairment for debt instruments at fair value through other comprehensive income was Ch$7,874 million (Ch$9,496 million as of December 31, 2022).

| a.1) | The credit rating of the issuers of debt instruments as of March 31, 2023 and December 31, 2022 is as follows:

|  | March 2023 |  |  |  |  |  | December 2022 |  |  |  |
|  | Phase 1 |  |  | Phase 2 |  |  | Phase 3 |  |  | Total |  |  | Phase 1 |  |  | Phase 2 |  |  | Phase 3 |  |  | Total |
|  | Individual |  |  | Individual |  |  | Individual |  |  | Individual |  |  | Individual |  |  | Individual |  |  | Individual |  |  | Individual |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Debt instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Investment grade |  |  | 5,040,244 |  |  |  | 30,743 |  |  |  | — |  |  |  | 5,070,987 |  |  |  | 3,967,392 |  |  |  | — |  |  |  | — |  |  |  | 3,967,392 |
No investment grade |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
No rating |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Total |  |  | 5,040,244 |  |  |  | 30,743 |  |  |  | — |  |  |  | 5,070,987 |  |  |  | 3,967,392 |  |  |  | — |  |  |  | — |  |  |  | 3,967,392 |

62

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 11. | Financial Assets at Fair Value through Other Comprehensive Income, continued:

| a.2) | The analysis of changes in fair value and expected losses of debt instruments measured at fair value is as follows:

|  | Phase 1 Individual |  |  | Phase 2 Individual |  |  | Phase 3 Individual |  |  | Total |
|  | Fair value |  |  | Impairment |  |  | Fair value |  |  | Impairment |  |  | Fair value |  |  | Impairment |  |  | Fair value |  |  | Impairment |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Balance as of January 1, 2022 |  |  | 3,054,795 |  |  |  | 4,085 |  |  |  | 14 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,054,809 |  |  |  | 4,085 |
Net change in balance |  |  | 864,521 |  |  |  | 5,411 |  |  |  | (14 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 864,507 |  |  |  | 5,411 |
Change in fair value |  |  | 48,076 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 48,076 |  |  |  | — |
Transfer to Phase 1 |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer to Phase 2 |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer to Phase 3 |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Impact due to transfer between phases |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Net impact due to impairment |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Balance as of December 31, 2022 |  |  | 3,967,392 |  |  |  | 9,496 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,967,392 |  |  |  | 9,496 |
Balance as of January 1, 2023 |  |  | 3,967,392 |  |  |  | 9,496 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,967,392 |  |  |  | 9,496 |
Net change in balance |  |  | 1,086,185 |  |  |  | (3,543 | ) |  |  | 619 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,086,804 |  |  |  | (3,543 | )
Change in fair value |  |  | 16,635 |  |  |  | — |  |  |  | 156 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 16,791 |  |  |  | — |
Transfer to Phase 1 |  |  |  |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer to Phase 2 |  |  | (29,968 | ) |  |  | — |  |  |  | 29,968 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer to Phase 3 |  |  |  |  |  |  | — |  |  |  | — |  |  |  | 1,921 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,921 |
Impact due to transfer between phases |  |  |  |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Net impact due to impairment |  |  |  |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Balance as of March 31, 2023 |  |  | 5,040,244 |  |  |  | 5,953 |  |  |  | 30,743 |  |  |  | 1,921 |  |  |  | — |  |  |  | — |  |  |  | 5,070,987 |  |  |  | 7,874 |

| (b) | Realized and unrealized gains and losses:

As of March 31, 2023, the portfolio of debt financial instruments includes an accumulated unrealized gain of Ch$17,059 millones (Ch$268 million in December 2022), recorded as an equity valuation adjustment.

Gross realized gains and losses on the sale of debt financial instruments, as of March 31, 2023 and 2022 are reported under “Net Financial income (expense)” (See Note No. 33). The changes in realized gains and losses at the end of both periods are the following:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Unrealized (losses) gains |  |  | 16,674 |  |  |  | (4,928 | )
Realized losses (gains) reclassified to income |  |  | 117 |  |  |  | (508 | )
Subtotal |  |  | 16,791 |  |  |  | (5,436 | )
Income tax on other comprehensive income |  |  | (2,573 | ) |  |  | (482 | )
Net effect in equity |  |  | 14,218 |  |  |  | (5,918 | )

63

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 12. | Derivative Financial Instruments for hedging purposes:

| (a.1) | As of March 31, 2023 and December 31, 2022, the Bank has the following asset portfolio of financial derivative instruments for accounting hedging purposes:

|  | Notional amount of contract with final expiration date in |  |  |  |
|  | Demand |  |  | Up to 1 month |  |  | Over 1 month and up to 3 months |  |  | Over 3 months and up to 12 months |  |  | Over 1 year and up to 3 years |  |  | Over 3 year and up to 5 years |  |  | Over 5 years |  |  | Total |  |  | Fair value Assets |
|  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Derivatives held for fair value hedges |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Currency forward |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Interest rate swap |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Interest rate swap and cross currency swap |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Call currency options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Put currency options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Cash flow hedge derivatives |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Currency forward |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Interest rate swap |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Interest rate swap and cross currency swap |  |  | — |  |  |  | — |  |  |  | 66,545 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 167,199 |  |  |  | — |  |  |  | 135,025 |  |  |  | — |  |  |  | 122,127 |  |  |  | — |  |  |  | 111,547 |  |  |  | 66,545 |  |  |  | 535,898 |  |  |  | 3,911 |  |  |  | 27,077 |
Call currency options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Put currency options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | — |  |  |  | 66,545 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 167,199 |  |  |  | — |  |  |  | 135,025 |  |  |  | — |  |  |  | 122,127 |  |  |  | — |  |  |  | 111,547 |  |  |  | 66,545 |  |  |  | 535,898 |  |  |  | 3,911 |  |  |  | 27,077 |
Total |  |  | — |  |  |  | — |  |  |  | 66,545 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 167,199 |  |  |  | — |  |  |  | 135,025 |  |  |  | — |  |  |  | 122,127 |  |  |  | — |  |  |  | 111,547 |  |  |  | 66,545 |  |  |  | 535,898 |  |  |  | 3,911 |  |  |  | 27,077 |

64

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 12. | Derivative Financial Instruments for hedging purposes, continued:

| (a.2) | As of March 31, 2023 and December 31, 2022, the Bank has the following debt portfolio of financial derivative instruments for accounting hedging purposes:

|  | Notional amount of contract with final expiration date in |  |  |  |
|  | Demand |  |  | Up to 1 month |  |  | Over 1 month and up to 3 months |  |  | Over 3 months and up to 12 months |  |  | Over 1 year and up to 3 years |  |  | Over 3 year and up to 5 years |  |  | Over 5 years |  |  | Total |  |  | Fair value Liabilities |
|  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Derivatives held for fair value hedges |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Currency forward |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Interest rate swap |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Interest rate swap and cross currency swap |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Call currency options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Put currency options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Cash flow hedge derivatives |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Currency forward |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Interest rate swap |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Interest rate swap and cross currency swap |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 167,294 |  |  |  | 63,587 |  |  |  | 261,656 |  |  |  | 123,214 |  |  |  | 254,617 |  |  |  | 129,166 |  |  |  | 1,280,139 |  |  |  | 1,151,878 |  |  |  | 1,963,706 |  |  |  | 1,467,845 |  |  |  | 301,515 |  |  |  | 223,016 |
Call currency options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Put currency options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 167,294 |  |  |  | 63,587 |  |  |  | 261,656 |  |  |  | 123,214 |  |  |  | 254,617 |  |  |  | 129,166 |  |  |  | 1,280,139 |  |  |  | 1,151,878 |  |  |  | 1,963,706 |  |  |  | 1,467,845 |  |  |  | 301,515 |  |  |  | 223,016 |
Total |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 167,294 |  |  |  | 63,587 |  |  |  | 261,656 |  |  |  | 123,214 |  |  |  | 254,617 |  |  |  | 129,166 |  |  |  | 1,280,139 |  |  |  | 1,151,878 |  |  |  | 1,963,706 |  |  |  | 1,467,845 |  |  |  | 301,515 |  |  |  | 223,016 |

65

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 12. | Derivative Financial Instruments for hedging purposes, continued:

| (b) | Fair value Hedges:

As of March 31, 2023 and December 31, 2022, no fair value hedges are held.

| (c) | Cash flow Hedges:

| (c.1) | The Bank uses cross currency swaps to hedge the risk from variability of cash flows attributable to changes in the interest rates and foreign exchange of foreign banks obligations and bonds issued abroad in US Dollars, Hong Kong dollars, Swiss Franc, Japanese Yens, Peruvian Sol, Australian Dollars, Euros and Norwegian kroner. The cash flows of the cross currency swaps equal the cash flows of the hedged items, which modify uncertain cash flows to known cash flows derived from a fixed interest rate.

Additionally, these cross currency swap contracts used to hedge the risk from variability of the Unidad de Fomento (“CLF”) in assets flows denominated in CLF until a nominal amount equal to the portion notional of the hedging instrument CLF, whose readjustment impact the item “Interest Revenue” of the Income Financial Statements.

66

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 12. | Derivative Financial Instruments for hedging purposes, continued:

| (c) | Cash flow Hedges, continued:

| (c.2) | Below are the cash flows from bonds issued abroad objects of this hedge and the cash flows of the asset part of the derivative instrument:

|  | Demand |  |  | Up to 1 month |  |  | Over 1 month and up to 3 months |  |  | Over 3 months and up to 12 months |  |  | Over 1 year and up to 3 years |  |  | Over 3 years and up to 5 years |  |  | Over 5 years |  |  | Total |
|  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Hedge element |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Outflows: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Corporate Bond EUR |  |  | — |  |  |  | — |  |  |  | (780 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (673 | ) |  |  | (1,533 | ) |  |  | (43,440 | ) |  |  | (45,839 | ) |  |  | (1,560 | ) |  |  | (1,646 | ) |  |  | (49,607 | ) |  |  | (52,347 | ) |  |  | (96,060 | ) |  |  | (101,365 | )
Corporate Bond HKD |  |  | — |  |  |  | — |  |  |  | (73,129 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (12,426 | ) |  |  | (92,127 | ) |  |  | (86,365 | ) |  |  | (92,999 | ) |  |  | (150,130 | ) |  |  | (161,662 | ) |  |  | (147,305 | ) |  |  | (158,619 | ) |  |  | (469,355 | ) |  |  | (505,407 | )
Corporate Bond PEN |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (3,172 | ) |  |  | (6,008 | ) |  |  | (3,172 | ) |  |  | (9,843 | ) |  |  | (12,689 | ) |  |  | (11,184 | ) |  |  | (12,689 | ) |  |  | (154,434 | ) |  |  | (163,094 | ) |  |  | (181,469 | ) |  |  | (194,816 | )
Corporate Bond CHF |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (378 | ) |  |  | — |  |  |  | — |  |  |  | (101,127 | ) |  |  | (106,877 | ) |  |  | (131,313 | ) |  |  | (139,270 | ) |  |  | (113,262 | ) |  |  | (120,501 | ) |  |  | — |  |  |  | — |  |  |  | (345,702 | ) |  |  | (367,026 | )
Corporate Bond USD |  |  | — |  |  |  | — |  |  |  | (845 | ) |  |  | — |  |  |  | (5,938 | ) |  |  | — |  |  |  | (6,784 | ) |  |  | (14,520 | ) |  |  | (27,134 | ) |  |  | (29,039 | ) |  |  | (27,134 | ) |  |  | (22,684 | ) |  |  | (486,128 | ) |  |  | (526,617 | ) |  |  | (553,963 | ) |  |  | (592,860 | )
Obligation USD |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (168 | ) |  |  | — |  |  |  | (55,780 | ) |  |  | (59,876 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (55,948 | ) |  |  | (59,876 | )
Corporate Bond JPY |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (753 | ) |  |  | (113 | ) |  |  | (963 | ) |  |  | (1,740 | ) |  |  | (3,432 | ) |  |  | (3,705 | ) |  |  | (3,432 | ) |  |  | (3,705 | ) |  |  | (193,657 | ) |  |  | (209,193 | ) |  |  | (202,237 | ) |  |  | (218,456 | )
Corporate Bond AUD |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (96 | ) |  |  | (1,138 | ) |  |  | (5,067 | ) |  |  | (4,487 | ) |  |  | (9,894 | ) |  |  | (11,254 | ) |  |  | (9,814 | ) |  |  | (11,252 | ) |  |  | (222,191 | ) |  |  | (242,281 | ) |  |  | (247,062 | ) |  |  | (270,412 | )
Corporate Bond NOK |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (2,073 | ) |  |  | (2,366 | ) |  |  | (4,147 | ) |  |  | (4,732 | ) |  |  | (4,147 | ) |  |  | (4,732 | ) |  |  | (61,013 | ) |  |  | (69,621 | ) |  |  | (71,380 | ) |  |  | (81,451 | )
Hedge instrument |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Inflows: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cross Currency Swap EUR |  |  | — |  |  |  | — |  |  |  | 780 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 673 |  |  |  | 1,533 |  |  |  | 43,440 |  |  |  | 45,839 |  |  |  | 1,560 |  |  |  | 1,646 |  |  |  | 49,607 |  |  |  | 52,347 |  |  |  | 96,060 |  |  |  | 101,365 |
Cross Currency Swap HKD |  |  | — |  |  |  | — |  |  |  | 73,129 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 12,426 |  |  |  | 92,127 |  |  |  | 86,365 |  |  |  | 92,999 |  |  |  | 150,130 |  |  |  | 161,662 |  |  |  | 147,305 |  |  |  | 158,619 |  |  |  | 469,355 |  |  |  | 505,407 |
Cross Currency Swap PEN |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,172 |  |  |  | 6,008 |  |  |  | 3,172 |  |  |  | 9,843 |  |  |  | 12,689 |  |  |  | 11,184 |  |  |  | 12,689 |  |  |  | 154,434 |  |  |  | 163,094 |  |  |  | 181,469 |  |  |  | 194,816 |
Cross Currency Swap CHF |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 378 |  |  |  | — |  |  |  | — |  |  |  | 101,127 |  |  |  | 106,877 |  |  |  | 131,313 |  |  |  | 139,270 |  |  |  | 113,262 |  |  |  | 120,501 |  |  |  | — |  |  |  | — |  |  |  | 345,702 |  |  |  | 367,026 |
Cross Currency Swap USD |  |  | — |  |  |  | — |  |  |  | 845 |  |  |  | — |  |  |  | 5,938 |  |  |  | — |  |  |  | 6,784 |  |  |  | 14,520 |  |  |  | 27,134 |  |  |  | 29,039 |  |  |  | 27,134 |  |  |  | 22,684 |  |  |  | 486,128 |  |  |  | 526,617 |  |  |  | 553,963 |  |  |  | 592,860 |
Cross Currency Swap USD |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 168 |  |  |  | — |  |  |  | 55,780 |  |  |  | 59,876 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 55,948 |  |  |  | 59,876 |
Cross Currency Swap JPY |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 753 |  |  |  | 113 |  |  |  | 963 |  |  |  | 1,740 |  |  |  | 3,432 |  |  |  | 3,705 |  |  |  | 3,432 |  |  |  | 3,705 |  |  |  | 193,657 |  |  |  | 209,193 |  |  |  | 202,237 |  |  |  | 218,456 |
Cross Currency Swap AUD |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 96 |  |  |  | 1,138 |  |  |  | 5,067 |  |  |  | 4,487 |  |  |  | 9,894 |  |  |  | 11,254 |  |  |  | 9,814 |  |  |  | 11,252 |  |  |  | 222,191 |  |  |  | 242,281 |  |  |  | 247,062 |  |  |  | 270,412 |
Cross Currency Swap NOK |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,073 |  |  |  | 2,366 |  |  |  | 4,147 |  |  |  | 4,732 |  |  |  | 4,147 |  |  |  | 4,732 |  |  |  | 61,013 |  |  |  | 69,621 |  |  |  | 71,380 |  |  |  | 81,451 |
Net cash flows |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |

67

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 12. | Derivative Financial Instruments for hedging purposes, continued:

| (c) | Cash flow Hedges, continued:

| (c.2) | Below are the cash flows from underlying assets and the cash flows of the liability part of the derivative instrument:

|  | Demand |  |  | Up to 1 month |  |  | Over 1 month and up to 3 months |  |  | Over 3 months and up to 12 months |  |  | Over 1 year and up to 3 years |  |  | Over 3 years and up to 5 years |  |  | Over 5 years |  |  | Total |
|  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Hedge element |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Inflows: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cash flows in CLF |  |  | — |  |  |  | — |  |  |  | 69,631 |  |  |  | 1,437 |  |  |  | 10,794 |  |  |  | 1,742 |  |  |  | 194,443 |  |  |  | 268,092 |  |  |  | 331,808 |  |  |  | 327,478 |  |  |  | 312,258 |  |  |  | 309,408 |  |  |  | 1,405,404 |  |  |  | 1,389,012 |  |  |  | 2,324,338 |  |  |  | 2,297,169 |
Hedge instrument |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Outflows: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cross Currency Swap HKD |  |  | — |  |  |  | — |  |  |  | (68,769 | ) |  |  | (193 | ) |  |  | — |  |  |  | — |  |  |  | (8,984 | ) |  |  | (76,545 | ) |  |  | (93,096 | ) |  |  | (91,880 | ) |  |  | (137,752 | ) |  |  | (135,953 | ) |  |  | (114,778 | ) |  |  | (113,472 | ) |  |  | (423,379 | ) |  |  | (418,043 | )
Cross Currency Swap PEN |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (745 | ) |  |  | (1,567 | ) |  |  | (789 | ) |  |  | (3,103 | ) |  |  | (3,058 | ) |  |  | (3,115 | ) |  |  | (3,070 | ) |  |  | (116,792 | ) |  |  | (116,033 | ) |  |  | (124,577 | ) |  |  | (123,695 | )
Cross Currency Swap JPY |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (2,003 | ) |  |  | (387 | ) |  |  | (2,805 | ) |  |  | (4,358 | ) |  |  | (9,628 | ) |  |  | (9,503 | ) |  |  | (9,615 | ) |  |  | (9,490 | ) |  |  | (284,488 | ) |  |  | (281,160 | ) |  |  | (308,539 | ) |  |  | (304,898 | )
Cross Currency Swap USD |  |  | — |  |  |  | — |  |  |  | (401 | ) |  |  | — |  |  |  | (5,146 | ) |  |  | — |  |  |  | (70,062 | ) |  |  | (74,623 | ) |  |  | (21,301 | ) |  |  | (21,023 | ) |  |  | (21,330 | ) |  |  | (21,052 | ) |  |  | (533,027 | ) |  |  | (526,067 | ) |  |  | (651,267 | ) |  |  | (642,765 | )
Cross Currency Swap CHF |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (1,244 | ) |  |  | (2,398 | ) |  |  | — |  |  |  | (107,800 | ) |  |  | (107,515 | ) |  |  | (145,053 | ) |  |  | (143,166 | ) |  |  | (133,382 | ) |  |  | (132,878 | ) |  |  | — |  |  |  | — |  |  |  | (388,633 | ) |  |  | (384,803 | )
Cross Currency Swap EUR |  |  | — |  |  |  | — |  |  |  | (461 | ) |  |  | — |  |  |  | (702 | ) |  |  | — |  |  |  | (1,165 | ) |  |  | (2,298 | ) |  |  | (54,414 | ) |  |  | (53,703 | ) |  |  | (1,848 | ) |  |  | (1,824 | ) |  |  | (53,759 | ) |  |  | (53,057 | ) |  |  | (112,349 | ) |  |  | (110,882 | )
Cross Currency Swap AUD |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (166 | ) |  |  | (610 | ) |  |  | (1,675 | ) |  |  | (1,211 | ) |  |  | (3,684 | ) |  |  | (3,636 | ) |  |  | (3,689 | ) |  |  | (3,634 | ) |  |  | (223,818 | ) |  |  | (221,509 | ) |  |  | (233,032 | ) |  |  | (230,600 | )
Cross Currency Swap NOK |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (379 | ) |  |  | — |  |  |  | (385 | ) |  |  | (753 | ) |  |  | (1,529 | ) |  |  | (1,509 | ) |  |  | (1,527 | ) |  |  | (1,507 | ) |  |  | (78,742 | ) |  |  | (77,714 | ) |  |  | (82,562 | ) |  |  | (81,483 | )
Forward UF |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Net cash flows |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |

68

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 12. | Derivative Financial Instruments for hedging purposes, continued:

| (c) | Cash flow Hedges, continued:

With respect to UF assets hedged; these are revalued monthly according to the variation of the UF, which is equivalent to monthly reinvest the assets until maturity of the relationship hedging.

| (c.3) | The unrealized results generated during the period 2023 by those derivative contracts that conform the hedging instruments in this cash flow hedging strategy, have been recorded with credit to equity amounting to Ch$56,304 million (charge to equity of Ch$64,626 million in March 2022). The net effect of taxes credit to equity amounts to Ch$41,101 million (charge to equity of Ch$47,177 million during the period March 2022).

The accumulated balance for this concept as of March 31, 2023 corresponds to a charge in equity amounted to Ch$47,478 million (charge to equity of Ch$103,782 million as of March 2022).

| (c.4) | The effect of the cash flow hedging derivatives that offset the result of the hedged instruments corresponds to a charge to income of Ch$156,319 million during the period 2023 (charge to results for Ch$168,632 million during the period March 2022).

| (c.5) | As of March 31, 2023 and 2022, it not exist inefficiency in cash flow hedge, because both, hedge item and hedge instruments, are mirrors of each other, it means that all variation of value attributable to rate and revaluation components are netted totally.

| (c.6) | As of March 31, 2023 and 2022, the Bank does not have hedges of net investments in foreign business.

| 13. | Financial assets at amortized cost:

The item detail is as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  |  | MCh$ |  |  |  | MCh$ |
Rights by resale agreements and securities lending |  |  | 45,895 |  |  |  | 54,061 |
Debt financial instruments |  |  | 904,643 |  |  |  | 902,355 |
Loans and advances to Banks |  |  | 1,596,106 |  |  |  | 2,174,115 |
Loans to customers: |  |  |  |  |  |  |  |
Commercial loans |  |  | 20,336,510 |  |  |  | 20,285,710 |
Residential mortgage loans |  |  | 11,584,487 |  |  |  | 11,416,154 |
Consumer loans |  |  | 5,112,818 |  |  |  | 4,992,940 |
Provisions established for credit risk: |  |  |  |  |  |  |  |
Commercial loans provisions |  |  | (409,123 | ) |  |  | (414,200 | )
Mortgage loans provisions |  |  | (29,875 | ) |  |  | (29,303 | )
Consumer loans provisions |  |  | (354,299 | ) |  |  | (334,889 | )
Total |  |  | 38,787,162 |  |  |  | 39,046,943 |

69

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (a) | Rights arising from resale agreements:

The Bank provides financing to its customers through resale agreements and securities lending, in which the financial instrument serves as collateral. As of March 31, 2023 and December 31, 2022, the detail is as follows:

|  | Demand |  |  | Up to 1 month |  |  | Over 1 month and up to 3 months |  |  | Over 3 months and up to 12 months |  |  | Over 1 year and up to 3 years |  |  | Over 3 years and up to 5 years |  |  | Over 5 years |  |  | Total |
|  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Instruments issued by the Chilean Governments and Central Bank of Chile |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Central Bank bonds |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Central Bank promissory notes |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other instruments issued by the Chilean Government and Central Bank of Chile |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other Financial Instruments issued in Chile |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Deposit promissory notes from domestic banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Mortgage bonds from domestic banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Bonds from domestic banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Deposits in domestic banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Bonds from other Chilean companies |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other instruments issued in Chile |  |  | — |  |  |  | — |  |  |  | 29,137 |  |  |  | 35,549 |  |  |  | 15,864 |  |  |  | 14,324 |  |  |  | 894 |  |  |  | 4,188 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 45,895 |  |  |  | 54,061 |
Subtotal |  |  | — |  |  |  | — |  |  |  | 29,137 |  |  |  | 35,549 |  |  |  | 15,864 |  |  |  | 14,324 |  |  |  | 894 |  |  |  | 4,188 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 45,895 |  |  |  | 54,061 |
Financial Instruments issued by foreign institutions |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Instruments from foreign governments or Central Bank |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other instruments from foreign |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Total |  |  | — |  |  |  | — |  |  |  | 29,137 |  |  |  | 35,549 |  |  |  | 15,864 |  |  |  | 14,324 |  |  |  | 894 |  |  |  | 4,188 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 45,895 |  |  |  | 54,061 |

Purchased Instruments:

The Bank and its subsidiaries have received financial instruments that they can sell or give as collateral in case the owner of these instruments enters into default or in bankruptcy. As of March 31, 2023, the fair value of the instruments received amounts to Ch$44,944 million (Ch$53,173 million in December 2022).

70

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (b) | Debt financial instruments:

At the end of each period, the balances presented under this item are as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Instruments issued by the Chilean Government and Central Bank of Chile |  |  |  |  |  |
Debt financial instruments from the Central Bank of Chile |  |  | — |  |  |  | — |
Bonds and promissory notes from the General Treasury of the Republic |  |  | 904,643 |  |  |  | 902,355 |
Other fiscal debt financial instruments |  |  | — |  |  |  | — |
Other Finacial Instruments issued in Chile |  |  |  |  |  |  |  |
Debt financial instruments from other domestic banks |  |  | — |  |  |  | — |
Bonds and trade effects from domestic companies |  |  | — |  |  |  | — |
Other debt financial instruments issued in the country |  |  | — |  |  |  | — |
Financial Instruments issued Abroad |  |  |  |  |  |  |  |
Debt financial instruments from foreign Central Banks |  |  | — |  |  |  | — |
Debt financial instruments from foreign governments and fiscal entities |  |  | — |  |  |  | — |
Debt financial instruments from other foreing banks |  |  | — |  |  |  | — |
Bonds and trade effects from foreign companies |  |  | — |  |  |  | — |
Other debt financial instruments issued abroad |  |  | — |  |  |  | — |
Accumulated Impairment Value of Financial Assets at Amortized Cost Debt Financial Instruments |  |  |  |  |  |  |  |
Financial assets with no significant increase in credit risk since initial recognition (phase 1) |  |  | — |  |  |  | — |
Financial assets with a significant increase in credit risk since initial recognition, but without credit impairment (phase 2) |  |  | — |  |  |  | — |
Financial assets with credit impairment (phase 3) |  |  | — |  |  |  | — |
Total |  |  | 904,643 |  |  |  | 902,355 |

Under Instruments of the Government and the Central Bank of Chile, instruments are classified pledged as collateral as part of the FCIC program are included for an approximate amount of Ch$651,775 million as of March 31, 2023 (Ch$560,434 million as of December 31, 2022).

71

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (c) | Loans and advances to Banks: At the end of each period, the balances presented under this item are as follows:

|  | Assets before allowances |  |  | Allowances established |  |  |  |
|  | Normal Portfolio |  |  | Substandard Portfolio |  |  | Non- Complying Portfolio |  |  |  |  |  | Normal Portfolio |  |  | Substandard Portfolio |  |  | Non- Complying Portfolio |  |  |  |  |  | Net |
|  | Individual |  |  | Individual |  |  | Individual |  |  |  |  |  | Individual |  |  | Individual |  |  | Individual |  |  |  |  |  | Financial |
As of March 31, 2023 |  | Evaluation |  |  | Evaluation |  |  | Evaluation |  |  | Total |  |  | Evaluation |  |  | Evaluation |  |  | Evaluation |  |  | Total |  |  | Asset |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Domestic Banks |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interbank loans of liquidity |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Interbank loans commercial |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Current accounts overdrafts |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Chilean exports foreign trade loans |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Chilean imports foreign trade loans |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Credits with third countries |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Non-transferable deposits in domestic banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other debts with domestic banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Foreign Banks |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interbank loans of liquidity |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Interbank loans commercial |  |  | 170,936 |  |  |  | — |  |  |  | — |  |  |  | 170,936 |  |  |  | (374 | ) |  |  | — |  |  |  | — |  |  |  | (374 | ) |  |  | 170,562 |
Current accounts overdrafts |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Chilean exports foreign trade loans |  |  | 125,416 |  |  |  | — |  |  |  | — |  |  |  | 125,416 |  |  |  | (269 | ) |  |  | — |  |  |  | — |  |  |  | (269 | ) |  |  | 125,147 |
Chilean imports foreign trade loans |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Credits with third countries |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Current account deposits with foreign banks for derivatives transactions |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other non-transferable deposits with foreign banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other debts with foreign banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal Domestic Bank and Foreign |  |  | 296,352 |  |  |  | — |  |  |  | — |  |  |  | 296,352 |  |  |  | (643 | ) |  |  | — |  |  |  | — |  |  |  | (643 | ) |  |  | 295,709 |
Central Bank of Chile |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Current account deposits for derivative transactions with a counterparty |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other deposits not available |  |  | 1,300,397 |  |  |  | — |  |  |  | — |  |  |  | 1,300,397 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,300,397 |
Other receivables |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Foreign Central Banks |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Current account deposits for derivatives transactions |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other deposits not available |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other receivables |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal Central Bank of Chile and Foreign Central Banks |  |  | 1,300,397 |  |  |  | — |  |  |  | — |  |  |  | 1,300,397 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,300,397 |
Total |  |  | 1,596,749 |  |  |  | — |  |  |  | — |  |  |  | 1,596,749 |  |  |  | (643 | ) |  |  | — |  |  |  | — |  |  |  | (643 | ) |  |  | 1,596,106 |

72

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (c) | Loans and advances to Banks, continued:

|  | Assets before allowances |  |  | Allowances established |  |  |  |
|  | Normal Portfolio |  |  | Substandard Portfolio |  |  | Non- Complying Portfolio |  |  |  |  |  | Normal Portfolio |  |  | Substandard Portfolio |  |  | Non- Complying Portfolio |  |  |  |  |  | Net |
|  | Individual |  |  | Individual |  |  | Individual |  |  |  |  |  | Individual |  |  | Individual |  |  | Individual |  |  |  |  |  | Financial |
As of December 31, 2022 |  | Evaluation |  |  | Evaluation |  |  | Evaluation |  |  | Total |  |  | Evaluation |  |  | Evaluation |  |  | Evaluation |  |  | Total |  |  | Asset |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Domestic Banks |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interbank loans of liquidity |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Interbank loans commercial |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Current accounts overdrafts |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Chilean exports foreign trade loans |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Chilean imports foreign trade loans |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Credits with third countries |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Non-transferable deposits in domestic banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other debts with foreign banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Foreign Banks |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interbank loans of liquidity |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Interbank loans commercial |  |  | 186,660 |  |  |  | — |  |  |  | — |  |  |  | 186,660 |  |  |  | (408 | ) |  |  | — |  |  |  | — |  |  |  | (408 | ) |  |  | 186,252 |
Current accounts overdrafts |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Chilean exports foreign trade loans |  |  | 186,553 |  |  |  | — |  |  |  | — |  |  |  | 186,553 |  |  |  | (269 | ) |  |  | — |  |  |  | — |  |  |  | (269 | ) |  |  | 186,284 |
Chilean imports foreign trade loans |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Credits with third countries |  |  | 479 |  |  |  | — |  |  |  | — |  |  |  | 479 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 479 |
Current account deposits with foreign banks for derivatives transactions |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other non-transferable deposits with foreign banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other debts with foreign banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal Domestic Bank and Foreign |  |  | 373,692 |  |  |  | — |  |  |  | — |  |  |  | 373,692 |  |  |  | (677 | ) |  |  | — |  |  |  | — |  |  |  | (677 | ) |  |  | 373,015 |
Central Bank of Chile |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Current account deposits for derivative transactions with a counterparty |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other deposits not available |  |  | 1,801,100 |  |  |  | — |  |  |  | — |  |  |  | 1,801,100 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,801,100 |
Other receivables |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Foreign Central Banks |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Current account deposits for derivatives transactions |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other deposits not available |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other receivables |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal Central Bank of Chile and Foreign Central Banks |  |  | 1,801,100 |  |  |  | — |  |  |  | — |  |  |  | 1,801,100 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,801,100 |
Total |  |  | 2,174,792 |  |  |  | — |  |  |  | — |  |  |  | 2,174,792 |  |  |  | (677 | ) |  |  | — |  |  |  | — |  |  |  | (677 | ) |  |  | 2,174,115 |

73

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (d) | Loans to Customers: At the end of each period, the balances presented under this item are as follows:

|  | Assets before allowances |  |  | Allowances established |  |  |  |
Loans to Customers As of |  | Normal Portfolio Evaluation |  |  | Substandard Portfolio Evaluation |  |  | Non-Complying Portfoio Evaluation |  |  |  |  |  | Normal Portfolio Evaluation |  |  | Substandard Portfolio Evaluation |  |  | Non-Complying Portfolio Evaluation |  |  | Sub |  |  | Deductible Warranties Fogape |  |  |  |  |  | Net Financial |
March 31, 2023 |  | Individual |  |  | Group |  |  | Individual |  |  | Individual |  |  | Group |  |  | Total |  |  | Individual |  |  | Group |  |  | Individual |  |  | Individual |  |  | Group |  |  | Total |  |  | Covid-19 |  |  | Total |  |  | Asset |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Commercial loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial loans |  |  | 11,191,703 |  |  |  | 3,928,850 |  |  |  | 213,707 |  |  |  | 167,207 |  |  |  | 286,797 |  |  |  | 15,788,264 |  |  |  | (96,567 | ) |  |  | (30,499 | ) |  |  | (17,034 | ) |  |  | (58,467 | ) |  |  | (86,028 | ) |  |  | (288,595 | ) |  |  | (25,552 | ) |  |  | (314,147 | ) |  |  | 15,474,117 |
Chilean exports foreign trade loans |  |  | 1,129,773 |  |  |  | 4,146 |  |  |  | 5,308 |  |  |  | 5,470 |  |  |  | 351 |  |  |  | 1,145,048 |  |  |  | (21,380 | ) |  |  | (108 | ) |  |  | (288 | ) |  |  | (2,523 | ) |  |  | (152 | ) |  |  | (24,451 | ) |  |  | — |  |  |  | (24,451 | ) |  |  | 1,120,597 |
Accrediting foreign trade loans negotiated in terms of Chilean imports |  |  | 2,554 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,554 |  |  |  | (114 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (114 | ) |  |  | — |  |  |  | (114 | ) |  |  | 2,440 |
Chilean imports foreign trade loans |  |  | 609,335 |  |  |  | 35,064 |  |  |  | 9,163 |  |  |  | 3,687 |  |  |  | 1,673 |  |  |  | 658,922 |  |  |  | (17,391 | ) |  |  | (1,086 | ) |  |  | (965 | ) |  |  | (2,247 | ) |  |  | (819 | ) |  |  | (22,508 | ) |  |  | — |  |  |  | (22,508 | ) |  |  | 636,414 |
Current account debtors |  |  | 91,569 |  |  |  | 89,376 |  |  |  | 5,703 |  |  |  | 2,837 |  |  |  | 1,287 |  |  |  | 190,772 |  |  |  | (2,420 | ) |  |  | (2,150 | ) |  |  | (828 | ) |  |  | (808 | ) |  |  | (625 | ) |  |  | (6,831 | ) |  |  | — |  |  |  | (6,831 | ) |  |  | 183,941 |
Credit card debtors |  |  | 20,923 |  |  |  | 66,137 |  |  |  | 1,054 |  |  |  | 689 |  |  |  | 6,057 |  |  |  | 94,860 |  |  |  | (843 | ) |  |  | (1,947 | ) |  |  | (163 | ) |  |  | (405 | ) |  |  | (3,290 | ) |  |  | (6,648 | ) |  |  | — |  |  |  | (6,648 | ) |  |  | 88,212 |
Factoring transactions |  |  | 558,475 |  |  |  | 31,922 |  |  |  | 5,552 |  |  |  | 448 |  |  |  | 223 |  |  |  | 596,620 |  |  |  | (9,220 | ) |  |  | (669 | ) |  |  | (352 | ) |  |  | (356 | ) |  |  | (80 | ) |  |  | (10,677 | ) |  |  | — |  |  |  | (10,677 | ) |  |  | 585,943 |
Commercial lease transactions (1) |  |  | 1,413,715 |  |  |  | 287,164 |  |  |  | 31,228 |  |  |  | 32,813 |  |  |  | 11,147 |  |  |  | 1,776,067 |  |  |  | (2,653 | ) |  |  | (3,672 | ) |  |  | (112 | ) |  |  | (5,125 | ) |  |  | (1,388 | ) |  |  | (12,950 | ) |  |  | (719 | ) |  |  | (13,669 | ) |  |  | 1,762,398 |
Student loans |  |  | — |  |  |  | 55,787 |  |  |  | — |  |  |  | — |  |  |  | 3,249 |  |  |  | 59,036 |  |  |  | — |  |  |  | (2,519 | ) |  |  | — |  |  |  | — |  |  |  | (2,262 | ) |  |  | (4,781 | ) |  |  | — |  |  |  | (4,781 | ) |  |  | 54,255 |
Other loans and accounts receivable |  |  | 6,727 |  |  |  | 10,547 |  |  |  | 303 |  |  |  | 5,632 |  |  |  | 1,158 |  |  |  | 24,367 |  |  |  | (210 | ) |  |  | (29 | ) |  |  | (56 | ) |  |  | (4,578 | ) |  |  | (424 | ) |  |  | (5,297 | ) |  |  | — |  |  |  | (5,297 | ) |  |  | 19,070 |
Subtotal |  |  | 15,024,774 |  |  |  | 4,508,993 |  |  |  | 272,018 |  |  |  | 218,783 |  |  |  | 311,942 |  |  |  | 20,336,510 |  |  |  | (150,798 | ) |  |  | (42,679 | ) |  |  | (19,798 | ) |  |  | (74,509 | ) |  |  | (95,068 | ) |  |  | (382,852 | ) |  |  | (26,271 | ) |  |  | (409,123 | ) |  |  | 19,927,387 |
Residential mortgage loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Letters of credit |  |  | — |  |  |  | 3,340 |  |  |  | — |  |  |  | — |  |  |  | 157 |  |  |  | 3,497 |  |  |  | — |  |  |  | (3 | ) |  |  | — |  |  |  | — |  |  |  | (8 | ) |  |  | (11 | ) |  |  | — |  |  |  | (11 | ) |  |  | 3,486 |
Endorsable mortgage loans |  |  | — |  |  |  | 13,395 |  |  |  | — |  |  |  | — |  |  |  | 342 |  |  |  | 13,737 |  |  |  | — |  |  |  | (13 | ) |  |  | — |  |  |  | — |  |  |  | (28 | ) |  |  | (41 | ) |  |  | — |  |  |  | (41 | ) |  |  | 13,696 |
Loans with mutual funds financed by mortgage bonds |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other residential lending |  |  | — |  |  |  | 11,196,340 |  |  |  | — |  |  |  | — |  |  |  | 204,222 |  |  |  | 11,400,562 |  |  |  | — |  |  |  | (14,208 | ) |  |  | — |  |  |  | — |  |  |  | (13,906 | ) |  |  | (28,114 | ) |  |  | — |  |  |  | (28,114 | ) |  |  | 11,372,448 |
Residential lease transactions (1) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other loans and accounts receivable |  |  | — |  |  |  | 160,058 |  |  |  | — |  |  |  | — |  |  |  | 6,633 |  |  |  | 166,691 |  |  |  | — |  |  |  | (626 | ) |  |  | — |  |  |  | — |  |  |  | (1,083 | ) |  |  | (1,709 | ) |  |  | — |  |  |  | (1,709 | ) |  |  | 164,982 |
Subtotal |  |  | — |  |  |  | 11,373,133 |  |  |  | — |  |  |  | — |  |  |  | 211,354 |  |  |  | 11,584,487 |  |  |  | — |  |  |  | (14,850 | ) |  |  | — |  |  |  | — |  |  |  | (15,025 | ) |  |  | (29,875 | ) |  |  | — |  |  |  | (29,875 | ) |  |  | 11,554,612 |
Consumer loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Consumer loans in installments |  |  | — |  |  |  | 2,940,847 |  |  |  | — |  |  |  | — |  |  |  | 196,140 |  |  |  | 3,136,987 |  |  |  | — |  |  |  | (155,071 | ) |  |  | — |  |  |  | — |  |  |  | (115,837 | ) |  |  | (270,908 | ) |  |  | — |  |  |  | (270,908 | ) |  |  | 2,866,079 |
Current account debtors |  |  | — |  |  |  | 258,333 |  |  |  | — |  |  |  | — |  |  |  | 2,829 |  |  |  | 261,162 |  |  |  | — |  |  |  | (10,954 | ) |  |  | — |  |  |  | — |  |  |  | (1,421 | ) |  |  | (12,375 | ) |  |  | — |  |  |  | (12,375 | ) |  |  | 248,787 |
Credit card debtors |  |  | — |  |  |  | 1,679,500 |  |  |  | — |  |  |  | — |  |  |  | 33,789 |  |  |  | 1,713,289 |  |  |  | — |  |  |  | (49,384 | ) |  |  | — |  |  |  | — |  |  |  | (20,754 | ) |  |  | (70,138 | ) |  |  | — |  |  |  | (70,138 | ) |  |  | 1,643,151 |
Consumer lease transactions (1) |  |  | — |  |  |  | 466 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 466 |  |  |  | — |  |  |  | (4 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (4 | ) |  |  | — |  |  |  | (4 | ) |  |  | 462 |
Other loans and accounts receivable |  |  | — |  |  |  | 7 |  |  |  | — |  |  |  | — |  |  |  | 907 |  |  |  | 914 |  |  |  | — |  |  |  | (2 | ) |  |  | — |  |  |  | — |  |  |  | (872 | ) |  |  | (874 | ) |  |  | — |  |  |  | (874 | ) |  |  | 40 |
Subtotal |  |  | — |  |  |  | 4,879,153 |  |  |  | — |  |  |  | — |  |  |  | 233,665 |  |  |  | 5,112,818 |  |  |  | — |  |  |  | (215,415 | ) |  |  | — |  |  |  | — |  |  |  | (138,884 | ) |  |  | (354,299 | ) |  |  | — |  |  |  | (354,299 | ) |  |  | 4,758,519 |
Total |  |  | 15,024,774 |  |  |  | 20,761,279 |  |  |  | 272,018 |  |  |  | 218,783 |  |  |  | 756,961 |  |  |  | 37,033,815 |  |  |  | (150,798 | ) |  |  | (272,944 | ) |  |  | (19,798 | ) |  |  | (74,509 | ) |  |  | (248,977 | ) |  |  | (767,026 | ) |  |  | (26,271 | ) |  |  | (793,297 | ) |  |  | 36,240,518 |

(1) | In this item, the Bank finances its clients the acquisition of movable and immovable property through financial lease agreements. As of March 31, 2023 Ch$912,021 million correspond to finance leases on immovable property and Ch$864,512 million correspond to finance leases on movable property.

74

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (d) | Loans to Customers, continued:

|  | Assets before allowances |  |  | Allowances established |  |  |  |
|  | Normal Portfolio |  |  | Substandard |  |  | Non-Complying |  |  |  |  |  |  |  |  | Substandard |  |  | Non-Complying |  |  |  |  |  | Deductible |  |  |  |  |  |  |
Loans to Customers As of |  | Evaluation |  |  | Portfolio Evaluation |  |  | Portfolio Evaluation |  |  |  |  |  | Normal Portfolio Evaluation |  |  | Portfolio Evaluation |  |  | Portfolio Evaluation |  |  | Sub |  |  | Warranties Fogape |  |  |  |  |  | Net Financial |
December 31, 2022 |  | Individual |  |  | Group |  |  | Individual |  |  | Individual |  |  | Group |  |  | Total |  |  | Individual |  |  | Group |  |  | Individual |  |  | Individual |  |  | Group |  |  | Total |  |  | Covid-19 |  |  | Total |  |  | Asset |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Commercial loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial loans |  |  | 11,267,836 |  |  |  | 3,946,954 |  |  |  | 227,161 |  |  |  | 162,190 |  |  |  | 267,428 |  |  |  | 15,871,569 |  |  |  | (97,717 | ) |  |  | (29,691 | ) |  |  | (18,459 | ) |  |  | (59,989 | ) |  |  | (82,000 | ) |  |  | (287,856 | ) |  |  | (31,986 | ) |  |  | (319,842 | ) |  |  | 15,551,727 |
Chilean exports foreign trade loans |  |  | 941,478 |  |  |  | 3,857 |  |  |  | 4,565 |  |  |  | 5,980 |  |  |  | 533 |  |  |  | 956,413 |  |  |  | (19,033 | ) |  |  | (114 | ) |  |  | (256 | ) |  |  | (2,779 | ) |  |  | (255 | ) |  |  | (22,437 | ) |  |  | — |  |  |  | (22,437 | ) |  |  | 933,976 |
Accrediting foreign trade loans negotiated in terms of Chilean imports |  |  | 2,715 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,715 |  |  |  | (121 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (121 | ) |  |  | — |  |  |  | (121 | ) |  |  | 2,594 |
Chilean imports foreign trade loans |  |  | 638,964 |  |  |  | 43,915 |  |  |  | 9,726 |  |  |  | 3,967 |  |  |  | 1,843 |  |  |  | 698,415 |  |  |  | (19,478 | ) |  |  | (1,193 | ) |  |  | (709 | ) |  |  | (2,564 | ) |  |  | (868 | ) |  |  | (24,812 | ) |  |  | — |  |  |  | (24,812 | ) |  |  | 673,603 |
Current account debtors |  |  | 78,854 |  |  |  | 87,728 |  |  |  | 5,260 |  |  |  | 2,673 |  |  |  | 1,144 |  |  |  | 175,659 |  |  |  | (2,093 | ) |  |  | (2,083 | ) |  |  | (679 | ) |  |  | (669 | ) |  |  | (544 | ) |  |  | (6,068 | ) |  |  | — |  |  |  | (6,068 | ) |  |  | 169,591 |
Credit card debtors |  |  | 18,235 |  |  |  | 61,911 |  |  |  | 875 |  |  |  | 649 |  |  |  | 5,153 |  |  |  | 86,823 |  |  |  | (726 | ) |  |  | (1,852 | ) |  |  | (136 | ) |  |  | (373 | ) |  |  | (2,795 | ) |  |  | (5,882 | ) |  |  | — |  |  |  | (5,882 | ) |  |  | 80,941 |
Factoring transactions |  |  | 589,682 |  |  |  | 34,074 |  |  |  | 4,255 |  |  |  | 454 |  |  |  | 53 |  |  |  | 628,518 |  |  |  | (10,523 | ) |  |  | (828 | ) |  |  | (333 | ) |  |  | (351 | ) |  |  | (19 | ) |  |  | (12,054 | ) |  |  | — |  |  |  | (12,054 | ) |  |  | 616,464 |
Commercial lease transactions (1) |  |  | 1,415,018 |  |  |  | 290,772 |  |  |  | 35,050 |  |  |  | 31,392 |  |  |  | 9,162 |  |  |  | 1,781,394 |  |  |  | (2,560 | ) |  |  | (3,784 | ) |  |  | (146 | ) |  |  | (4,259 | ) |  |  | (1,228 | ) |  |  | (11,977 | ) |  |  | (757 | ) |  |  | (12,734 | ) |  |  | 1,768,660 |
Student loans |  |  | — |  |  |  | 56,542 |  |  |  | — |  |  |  | — |  |  |  | 3,052 |  |  |  | 59,594 |  |  |  | — |  |  |  | (2,451 | ) |  |  | — |  |  |  | — |  |  |  | (2,105 | ) |  |  | (4,556 | ) |  |  | — |  |  |  | (4,556 | ) |  |  | 55,038 |
Other loans and accounts receivable |  |  | 6,551 |  |  |  | 9,088 |  |  |  | 324 |  |  |  | 7,357 |  |  |  | 1,290 |  |  |  | 24,610 |  |  |  | (216 | ) |  |  | (25 | ) |  |  | (79 | ) |  |  | (4,951 | ) |  |  | (423 | ) |  |  | (5,694 | ) |  |  | — |  |  |  | (5,694 | ) |  |  | 18,916 |
Subtotal |  |  | 14,959,333 |  |  |  | 4,534,841 |  |  |  | 287,216 |  |  |  | 214,662 |  |  |  | 289,658 |  |  |  | 20,285,710 |  |  |  | (152,467 | ) |  |  | (42,021 | ) |  |  | (20,797 | ) |  |  | (75,935 | ) |  |  | (90,237 | ) |  |  | (381,457 | ) |  |  | (32,743 | ) |  |  | (414,200 | ) |  |  | 19,871,510 |
Residential mortgage loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Letters of credit |  |  | — |  |  |  | 3,717 |  |  |  | — |  |  |  | — |  |  |  | 175 |  |  |  | 3,892 |  |  |  | — |  |  |  | (4 | ) |  |  | — |  |  |  | — |  |  |  | (9 | ) |  |  | (13 | ) |  |  | — |  |  |  | (13 | ) |  |  | 3,879 |
Endorsable mortgage loans |  |  | — |  |  |  | 14,251 |  |  |  | — |  |  |  | — |  |  |  | 349 |  |  |  | 14,600 |  |  |  | — |  |  |  | (16 | ) |  |  | — |  |  |  | — |  |  |  | (28 | ) |  |  | (44 | ) |  |  | — |  |  |  | (44 | ) |  |  | 14,556 |
Loans with mutual funds financed by mortgage bonds |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other residential lending |  |  | — |  |  |  | 11,044,318 |  |  |  | — |  |  |  | — |  |  |  | 189,029 |  |  |  | 11,233,347 |  |  |  | — |  |  |  | (14,495 | ) |  |  | — |  |  |  | — |  |  |  | (13,112 | ) |  |  | (27,607 | ) |  |  | — |  |  |  | (27,607 | ) |  |  | 11,205,740 |
Residential lease transactions (1) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other loans and accounts receivable |  |  | — |  |  |  | 158,133 |  |  |  | — |  |  |  | — |  |  |  | 6,182 |  |  |  | 164,315 |  |  |  | — |  |  |  | (639 | ) |  |  | — |  |  |  | — |  |  |  | (1,000 | ) |  |  | (1,639 | ) |  |  | — |  |  |  | (1,639 | ) |  |  | 162,676 |
Subtotal |  |  | — |  |  |  | 11,220,419 |  |  |  | — |  |  |  | — |  |  |  | 195,735 |  |  |  | 11,416,154 |  |  |  | — |  |  |  | (15,154 | ) |  |  | — |  |  |  | — |  |  |  | (14,149 | ) |  |  | (29,303 | ) |  |  | — |  |  |  | (29,303 | ) |  |  | 11,386,851 |
Consumer loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Consumer loans in installments |  |  | — |  |  |  | 2,925,947 |  |  |  | — |  |  |  | — |  |  |  | 188,507 |  |  |  | 3,114,454 |  |  |  | — |  |  |  | (147,154 | ) |  |  | — |  |  |  | — |  |  |  | (114,176 | ) |  |  | (261,330 | ) |  |  | — |  |  |  | (261,330 | ) |  |  | 2,853,124 |
Current account debtors |  |  | — |  |  |  | 250,308 |  |  |  | — |  |  |  | — |  |  |  | 3,101 |  |  |  | 253,409 |  |  |  | — |  |  |  | (9,661 | ) |  |  | — |  |  |  | — |  |  |  | (1,522 | ) |  |  | (11,183 | ) |  |  | — |  |  |  | (11,183 | ) |  |  | 242,226 |
Credit card debtors |  |  | — |  |  |  | 1,593,759 |  |  |  | — |  |  |  | — |  |  |  | 29,776 |  |  |  | 1,623,535 |  |  |  | — |  |  |  | (43,204 | ) |  |  | — |  |  |  | — |  |  |  | (18,184 | ) |  |  | (61,388 | ) |  |  | — |  |  |  | (61,388 | ) |  |  | 1,562,147 |
Consumer lease transactions (1) |  |  | — |  |  |  | 503 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 503 |  |  |  | — |  |  |  | (6 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (6 | ) |  |  | — |  |  |  | (6 | ) |  |  | 497 |
Other loans and accounts receivable |  |  | — |  |  |  | 47 |  |  |  | — |  |  |  | — |  |  |  | 992 |  |  |  | 1,039 |  |  |  | — |  |  |  | (18 | ) |  |  | — |  |  |  | — |  |  |  | (964 | ) |  |  | (982 | ) |  |  | — |  |  |  | (982 | ) |  |  | 57 |
Subtotal |  |  | — |  |  |  | 4,770,564 |  |  |  | — |  |  |  | — |  |  |  | 222,376 |  |  |  | 4,992,940 |  |  |  | — |  |  |  | (200,043 | ) |  |  | — |  |  |  | — |  |  |  | (134,846 | ) |  |  | (334,889 | ) |  |  | — |  |  |  | (334,889 | ) |  |  | 4,658,051 |
Total |  |  | 14,959,333 |  |  |  | 20,525,824 |  |  |  | 287,216 |  |  |  | 214,662 |  |  |  | 707,769 |  |  |  | 36,694,804 |  |  |  | (152,467 | ) |  |  | (257,218 | ) |  |  | (20,797 | ) |  |  | (75,935 | ) |  |  | (239,232 | ) |  |  | (745,649 | ) |  |  | (32,743 | ) |  |  | (778,392 | ) |  |  | 35,916,412 |

(1) | In this item, the Bank finances its clients the acquisition of movable and immovable property through financial lease agreements. As of December 31, 2022 Ch$910,141 million correspond to finance leases on immovable property and Ch$871,756 million correspond to finance leases on movable property.

75

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (e) | Contingent loan: At the close of each reporting period, the contingent credit risk exposure is as follows;

|  | Outstanding exposure before provisions |  |  | Provisions established |  |  | Net exposure |
|  | Normal Portfolio |  |  | Substandard Portfolio |  |  | Non-Complying Portfolio |  |  |  |  |  | Normal Portfolio |  |  | Substandard Portfolio |  |  | Non-Complying Portfolio |  |  |  |  |  | for credit risk of |
|  | Evaluation |  |  | Evaluation |  |  | Evaluation |  |  |  |  |  | Evaluation |  |  | Evaluation |  |  | Evaluation |  |  |  |  |  | contingent |
As of March 31, 2023 |  | Individual |  |  | Group |  |  | Individual |  |  | Individual |  |  | Group |  |  | Total |  |  | Individual |  |  | Group |  |  | Individual |  |  | Individual |  |  | Group |  |  | Total |  |  | loans |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Warranty by endorsement and sureties |  |  | 285,288 |  |  |  | 540 |  |  |  | 6,879 |  |  |  | — |  |  |  | — |  |  |  | 292,707 |  |  |  | (2,681 | ) |  |  | (8 | ) |  |  | (2,767 | ) |  |  | — |  |  |  | — |  |  |  | (5,456 | ) |  |  | 287,251 |
Letters of credit for goods circulation operations |  |  | 439,176 |  |  |  | 667 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 439,843 |  |  |  | (729 | ) |  |  | (3 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (732 | ) |  |  | 439,111 |
Commitments to purchase local currency debt abroad |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Contingent event transactions |  |  | 2,337,008 |  |  |  | 51,170 |  |  |  | 84,849 |  |  |  | 16,118 |  |  |  | 74 |  |  |  | 2,489,219 |  |  |  | (25,833 | ) |  |  | (525 | ) |  |  | (7,803 | ) |  |  | (3,801 | ) |  |  | (22 | ) |  |  | (37,984 | ) |  |  | 2,451,235 |
Undrawn credit lines with immediate termination |  |  | 1,236,798 |  |  |  | 8,025,732 |  |  |  | 4,687 |  |  |  | 864 |  |  |  | 10,794 |  |  |  | 9,278,875 |  |  |  | (2,010 | ) |  |  | (4,243 | ) |  |  | (55 | ) |  |  | (454 | ) |  |  | (5,463 | ) |  |  | (12,225 | ) |  |  | 9,266,650 |
Undrawn credit lines |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Credits for Higher Education Law No. 20,027 (CAE) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other irrevocable loan commitments |  |  | 66,834 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 66,834 |  |  |  | (85 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (85 | ) |  |  | 66,749 |
Other contingent loans |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Total |  |  | 4,365,104 |  |  |  | 8,078,109 |  |  |  | 96,415 |  |  |  | 16,982 |  |  |  | 10,868 |  |  |  | 12,567,478 |  |  |  | (31,338 | ) |  |  | (4,779 | ) |  |  | (10,625 | ) |  |  | (4,255 | ) |  |  | (5,485 | ) |  |  | (56,482 | ) |  |  | 12,510,996 |

|  | Outstanding exposure before provisions |  |  | Provisions established |  |  | Net exposure |
|  | Normal Portfolio |  |  | Substandard Portfolio |  |  | Non-Complying Portfolio |  |  |  |  |  | Normal Portfolio |  |  | Substandard Portfolio |  |  | Non-Complying Portfolio |  |  |  |  |  | for credit risk of |
|  | Evaluation |  |  | Evaluation |  |  | Evaluation |  |  |  |  |  | Evaluation |  |  | Evaluation |  |  | Evaluation |  |  |  |  |  | contingent |
As of December 31, 2022 |  | Individual |  |  | Group |  |  | Individual |  |  | Individual |  |  | Group |  |  | Total |  |  | Individual |  |  | Group |  |  | Individual |  |  | Individual |  |  | Group |  |  | Total |  |  | loans |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Warranty by endorsement and sureties |  |  | 340,789 |  |  |  | 575 |  |  |  | 7,362 |  |  |  | 48 |  |  |  | — |  |  |  | 348,774 |  |  |  | (2,939 | ) |  |  | (8 | ) |  |  | (2,970 | ) |  |  | (19 | ) |  |  | — |  |  |  | (5,936 | ) |  |  | 342,838 |
Letters of credit for goods circulation operations |  |  | 423,810 |  |  |  | 385 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 424,195 |  |  |  | (875 | ) |  |  | (2 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (877 | ) |  |  | 423,318 |
Commitments to purchase local currency debt abroad |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Contingent event transactions |  |  | 2,541,711 |  |  |  | 52,124 |  |  |  | 86,748 |  |  |  | 16,872 |  |  |  | 153 |  |  |  | 2,697,608 |  |  |  | (25,758 | ) |  |  | (533 | ) |  |  | (7,888 | ) |  |  | (3,528 | ) |  |  | (73 | ) |  |  | (37,780 | ) |  |  | 2,659,828 |
Undrawn credit lines with immediate termination |  |  | 1,251,041 |  |  |  | 8,078,996 |  |  |  | 4,948 |  |  |  | 789 |  |  |  | 12,089 |  |  |  | 9,347,863 |  |  |  | (2,061 | ) |  |  | (4,115 | ) |  |  | (67 | ) |  |  | (471 | ) |  |  | (5,986 | ) |  |  | (12,700 | ) |  |  | 9,335,163 |
Undrawn credit lines |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Credits for Higher Education Law No. 20,027 (CAE) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other irrevocable loan commitments |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other contingent loans |  |  | 72,355 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 72,355 |  |  |  | (84 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (84 | ) |  |  | 72,271 |
Total |  |  | 4,629,706 |  |  |  | 8,132,080 |  |  |  | 99,058 |  |  |  | 17,709 |  |  |  | 12,242 |  |  |  | 12,890,795 |  |  |  | (31,717 | ) |  |  | (4,658 | ) |  |  | (10,925 | ) |  |  | (4,018 | ) |  |  | (6,059 | ) |  |  | (57,377 | ) |  |  | 12,833,418 |

76

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (f) | Provisions:

Summary of changes in due from banks provisions constituted by credit risk portfolio in the period:

|  | Changes in provisions constituted by portfolio in the period |
|  | Individual Evaluation |  |  |  |
|  | Normal Portfolio |  |  | Substandard Portfolio |  |  | Non-Complying Portfolio |  |  | Total |
|  | MCh $ |  |  | MCh $ |  |  | MCh $ |  |  | MCh$ |
Loans and advances to Banks |  |  |  |  |  |  |  |  |  |  |  |
Balance as of January 1, 2023 |  |  | 677 |  |  |  | — |  |  |  | — |  |  |  | 677 |
Allowances established/ released: |  |  |  |  |  |  | — |  |  |  | — |  |  |  |  |
Change in measurement without portfolio reclassification during the period: |  |  | 3 |  |  |  | — |  |  |  | — |  |  |  | 3 |
Change in measurement without portfolio reclassification from the beginning to the end of the period (portfolio from (-) until (+)): |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Transfer from Normal individual to Substandard |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer from Normal individual to Non-Complying individual |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer from Substandard to Non-Complying individual |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer from Substandard to Normal individual |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer from Non-Complying individual to Substandard |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer from Non-Complying individual to Normal individual |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
New assets originated |  |  | 385 |  |  |  | — |  |  |  | — |  |  |  | 385 |
New credits for conversion of contingent to loan |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
New assets purchased |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Sales or transfers of credits |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Payment of credit |  |  | (384 | ) |  |  | — |  |  |  | — |  |  |  | (384 | )
Provisions for write-offs |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Recovery of written-off loans |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Foreign exchange adjustments |  |  | (38 | ) |  |  | — |  |  |  | — |  |  |  | (38 | )
Other changes in allowances |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Balance as of March 31, 2023 |  |  | 643 |  |  |  | — |  |  |  | — |  |  |  | 643 |

77

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (f) | Provisions, continued:

|  | Changes in provisions constituted by portfolio in the year |
|  | Individual Evaluation |  |  |  |
|  | Normal Portfolio |  |  | Substandard Portfolio |  |  | Non-Complying Portfolio |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Loans and advances to Banks |  |  |  |  |  |  |  |  |  |  |  |
Balance as of January 1, 2022 |  |  | 519 |  |  |  | — |  |  |  | — |  |  |  | 519 |
Allowances established/ released: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Change in measurement without portfolio reclassification during the period: |  |  | (51 | ) |  |  | — |  |  |  | — |  |  |  | (51 | )
Change in measurement without portfolio reclassification from the beginning to the end of the period (portfolio from (-) until (+)): |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Transfer from Normal individual to Substandard |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer from Normal individual to Non-Complying individual |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer from Substandard to Non-Complying individual |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer from Substandard to Normal individual |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer from Non-Complying individual to Substandard |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer from Non-Complying individual to Normal individual |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
New assets originated |  |  | 1,793 |  |  |  | — |  |  |  | — |  |  |  | 1,793 |
New credits for conversion of contingent to loan |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
New assets purchased |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Sales or transfers of credits |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Payment of credit |  |  | (1,550 | ) |  |  | — |  |  |  | — |  |  |  | (1,550 | )
Provisions for write-offs |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Recovery of written-off loans |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Foreign exchange adjustments |  |  | (34 | ) |  |  | — |  |  |  | — |  |  |  | (34 | )
Other changes in allowances |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Balance as of December 31, 2022 |  |  | 677 |  |  |  | — |  |  |  | — |  |  |  | 677 |

78

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (f) | Provisions, continued:

Summary of changes in commercial loan provisions constituted by credit risk portfolio in the period;

|  | Changes in provisions constituted by portfolio in the period |
|  | Normal Portfolio Evaluation |  |  | Substandard |  |  | Substandard Portfolio Evaluation |  |  | Sub total |  |  | Deductible Warranties |  |  |  |
|  | Group |  |  | Individual |  |  | Portfolio |  |  | Group |  |  | Individual |  |  | Group |  |  | Individual |  |  | FOGAPE Covid-19 |  |  | Total |
|  | MCh$ |  |  | MCh $ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Commercial loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Balance as of January 1, 2023 |  |  | 42,021 |  |  |  | 152,467 |  |  |  | 20,797 |  |  |  | 90,237 |  |  |  | 75,935 |  |  |  | 132,258 |  |  |  | 249,199 |  |  |  | 32,743 |  |  |  | 414,200 |
Provisions established/ released: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Change in measurement without portfolio reclassification during the period: |  |  | 1,655 |  |  |  | (1,333 | ) |  |  | 332 |  |  |  | 64 |  |  |  | 132 |  |  |  | 1,719 |  |  |  | (869 | ) |  |  | — |  |  |  | 850 |
Change in measurement without portfolio reclassification from the beginning to the end of the period (portfolio from (-) until (+)): |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Transfer from Normal individual to Substandard |  |  | — |  |  |  | (614 | ) |  |  | 997 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 383 |  |  |  | — |  |  |  | 383 |
Transfer from Normal individual to Non-Complying individual |  |  | — |  |  |  | (36 | ) |  |  | — |  |  |  | — |  |  |  | 487 |  |  |  | — |  |  |  | 451 |  |  |  | — |  |  |  | 451 |
Transfer from Substandard to Non-Complying individual |  |  | — |  |  |  | — |  |  |  | (1,208 | ) |  |  | — |  |  |  | 4,105 |  |  |  | — |  |  |  | 2,897 |  |  |  | — |  |  |  | 2,897 |
Transfer from Substandard to Normal individual |  |  | — |  |  |  | 40 |  |  |  | (75 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (35 | ) |  |  | — |  |  |  | (35 | )
Transfer from Non-Complying individual to Substandard |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer from Non-Complying individual to Normal individual |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (14 | ) |  |  | — |  |  |  | (14 | ) |  |  | — |  |  |  | (14 | )
Transfer from Normal group to Non-Complying group |  |  | (4,042 | ) |  |  | — |  |  |  | — |  |  |  | 10,122 |  |  |  | — |  |  |  | 6,080 |  |  |  | — |  |  |  | — |  |  |  | 6,080 |
Transfer from Non-Complying group to Normal group |  |  | 147 |  |  |  | — |  |  |  | — |  |  |  | (1,823 | ) |  |  | — |  |  |  | (1,676 | ) |  |  | — |  |  |  | — |  |  |  | (1,676 | )
Transfer from Individual (normal, substandard, non-complying) to Group (normal, non-complying) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer from Group (normal, non-complying) to Individual (normal, substandard, non-complying) |  |  | (133 | ) |  |  | 313 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (133 | ) |  |  | 313 |  |  |  | — |  |  |  | 180 |
New assets originated |  |  | 5,944 |  |  |  | 51,002 |  |  |  | 2,112 |  |  |  | 4,100 |  |  |  | 3,325 |  |  |  | 10,044 |  |  |  | 56,439 |  |  |  | — |  |  |  | 66,483 |
New credits for conversion of contingent to loan |  |  | 2,082 |  |  |  | 3,240 |  |  |  | 299 |  |  |  | 177 |  |  |  | 229 |  |  |  | 2,259 |  |  |  | 3,768 |  |  |  | — |  |  |  | 6,027 |
New assets purchased |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Sales or transfers of credits |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Payment of credit |  |  | (4,891 | ) |  |  | (50,487 | ) |  |  | (3,380 | ) |  |  | (1,343 | ) |  |  | (2,935 | ) |  |  | (6,234 | ) |  |  | (56,802 | ) |  |  | (6,472 | ) |  |  | (69,508 | )
Provisions for write-offs |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (6,350 | ) |  |  | (5,546 | ) |  |  | (6,350 | ) |  |  | (5,546 | ) |  |  | — |  |  |  | (11,896 | )
Recovery of written-off loans |  |  | 4 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 4 |  |  |  | — |  |  |  | — |  |  |  | 4 |
Changes to models and assumptions |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Foreign exchange adjustments |  |  | (108 | ) |  |  | (3,794 | ) |  |  | (76 | ) |  |  | (116 | ) |  |  | (1,209 | ) |  |  | (224 | ) |  |  | (5,079 | ) |  |  | — |  |  |  | (5,303 | )
Other changes in allowances |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Balance as of March 31, 2023 |  |  | 42,679 |  |  |  | 150,798 |  |  |  | 19,798 |  |  |  | 95,068 |  |  |  | 74,509 |  |  |  | 137,747 |  |  |  | 245,105 |  |  |  | 26,271 |  |  |  | 409,123 |

79

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (f) | Provisions, continued:

|  | Changes in provisions constituted by portfolio in the year |
|  | Normal Portfolio Evaluation |  |  | Substandard |  |  | Substandard Portfolio Evaluation |  |  | Sub total |  |  | Deductible Warranties |  |  |  |
|  | Group |  |  | Individual |  |  | Portfolio |  |  | Group |  |  | Individual |  |  | Group |  |  | Individual |  |  | FOGAPE Covid-19 |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Commercial loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Balance as of January 1, 2022 |  | 52,512 |  |  | 148,704 |  |  | 6,121 |  |  | 87,340 |  |  | 73,677 |  |  | 139,852 |  |  | 228,502 |  |  | 48,534 |  |  | 416,888 |
Provisions established/ released: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Change in measurement without portfolio reclassification during the period: |  |  | (2,777 | ) |  |  | (25,395 | ) |  |  | (4,103 | ) |  |  | 15,801 |  |  |  | 23,725 |  |  |  | 13,024 |  |  |  | (5,773 | ) |  |  | — |  |  |  | 7,251 |
Change in measurement without portfolio reclassification from the beginning to the end of the period (portfolio from (-) until (+)): |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Transfer from Normal individual to Substandard |  |  | — |  |  |  | (4,203 | ) |  |  | 21,075 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 16,872 |  |  |  | — |  |  |  | 16,872 |
Transfer from Normal individual to Non-Complying individual |  |  | — |  |  |  | (1,015 | ) |  |  | — |  |  |  | — |  |  |  | 9,568 |  |  |  | — |  |  |  | 8,553 |  |  |  | — |  |  |  | 8,553 |
Transfer from Substandard to Non-Complying individual |  |  | — |  |  |  | — |  |  |  | (2,833 | ) |  |  | — |  |  |  | 14,814 |  |  |  | — |  |  |  | 11,981 |  |  |  | — |  |  |  | 11,981 |
Transfer from Substandard to Normal individual |  |  | — |  |  |  | 944 |  |  |  | (894 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 50 |  |  |  | — |  |  |  | 50 |
Transfer from Non-Complying individual to Substandard |  |  | — |  |  |  | — |  |  |  | 35 |  |  |  | — |  |  |  | (246 | ) |  |  | — |  |  |  | (211 | ) |  |  | — |  |  |  | (211 | )
Transfer from Non-Complying individual to Normal individual |  |  | — |  |  |  | 1 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1 |  |  |  | — |  |  |  | 1 |
Transfer from Normal group to Non-Complying group |  |  | (15,304 | ) |  |  | — |  |  |  | — |  |  |  | 35,153 |  |  |  | — |  |  |  | 19,849 |  |  |  | — |  |  |  | — |  |  |  | 19,849 |
Transfer from Non-Complying group to Normal group |  |  | 1,539 |  |  |  | — |  |  |  | — |  |  |  | (10,220 | ) |  |  | — |  |  |  | (8,681 | ) |  |  | — |  |  |  | — |  |  |  | (8,681 | )
Transfer from Individual (normal, substandard, non-complying) to Group (normal, non-complying) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer from Group (normal, non-complying) to Individual (normal, substandard, non-complying) |  |  | (2,275 | ) |  |  | 2,829 |  |  |  | 415 |  |  |  | (226 | ) |  |  | 168 |  |  |  | (2,501 | ) |  |  | 3,412 |  |  |  | — |  |  |  | 911 |
New assets originated |  |  | 26,590 |  |  |  | 201,650 |  |  |  | 8,222 |  |  |  | 13,377 |  |  |  | 22,174 |  |  |  | 39,967 |  |  |  | 232,046 |  |  |  | — |  |  |  | 272,013 |
New credits for conversion of contingent to loan |  |  | 359 |  |  |  | 502 |  |  |  | 133 |  |  |  | 32 |  |  |  | 31 |  |  |  | 391 |  |  |  | 666 |  |  |  | — |  |  |  | 1,057 |
New assets purchased |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Sales or transfers of credits |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (1,630 | ) |  |  | — |  |  |  | (1,630 | ) |  |  | — |  |  |  | (1,630 | )
Payment of credit |  |  | (18,835 | ) |  |  | (171,428 | ) |  |  | (7,238 | ) |  |  | (24,910 | ) |  |  | (48,902 | ) |  |  | (43,745 | ) |  |  | (227,568 | ) |  |  | — |  |  |  | (271,313 | )
Provisions for write-offs |  |  | (5 | ) |  |  | — |  |  |  | — |  |  |  | (26,006 | ) |  |  | (18,010 | ) |  |  | (26,011 | ) |  |  | (18,010 | ) |  |  | — |  |  |  | (44,021 | )
Recovery of written-off loans |  |  | 224 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 224 |  |  |  | — |  |  |  | — |  |  |  | 224 |
Changes to models and assumptions |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Foreign exchange adjustments |  |  | (7 | ) |  |  | (122 | ) |  |  | (136 | ) |  |  | (104 | ) |  |  | 566 |  |  |  | (111 | ) |  |  | 308 |  |  |  | — |  |  |  | 197 |
Other changes in allowances |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (15,791 | ) |  |  | (15,791 | )
Balance as of December 31, 2022 |  |  | 42,021 |  |  |  | 152,467 |  |  |  | 20,797 |  |  |  | 90,237 |  |  |  | 75,935 |  |  |  | 132,258 |  |  |  | 249,199 |  |  |  | 32,743 |  |  |  | 414,200 |

80

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (f) | Provisions, continued:

Summary of changes in residential mortgage loan provisions constituted by credit risk portfolio in the period;

|  | Changes in provisions constituted by portfolio in the period |
|  | Group Evaluation |  |  |  |
|  | Normal Portfolio |  |  | Non-Complying Portfolio |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Residential mortgage loans |  |  |  |  |  |  |  |  |
Balance as of January 1, 2023 |  |  | 15,154 |  |  |  | 14,149 |  |  |  | 29,303 |
Allowances established/ released: |  |  |  |  |  |  |  |  |  |  |  |
Change in measurement without portfolio reclassification during the period: |  |  | 527 |  |  |  | 339 |  |  |  | 866 |
Change in measurement without portfolio reclassification from the beginning to the end of the period (portfolio from (-) until (+)): |  |  |  |  |  |  |  |  |  |  |  |
Transfer from Normal group to Non-Complying group |  |  | (978 | ) |  |  | 2,036 |  |  |  | 1,058 |
Transfer from Non-Complying group to Normal group |  |  | 65 |  |  |  | (411 | ) |  |  | (346 | )
New assets originated |  |  | 445 |  |  |  | — |  |  |  | 445 |
New assets purchased |  |  | — |  |  |  | — |  |  |  | — |
Sales or transfers of credits |  |  | — |  |  |  | — |  |  |  | — |
Payment of credit |  |  | (363 | ) |  |  | (746 | ) |  |  | (1,109 | )
Provisions for write-offs |  |  | — |  |  |  | (342 | ) |  |  | (342 | )
Recovery of written-off loans |  |  | — |  |  |  | — |  |  |  | — |
Changes to models and assumptions |  |  | — |  |  |  | — |  |  |  | — |
Foreign exchange adjustments |  |  | — |  |  |  | — |  |  |  | — |
Other changes in allowances |  |  | — |  |  |  | — |  |  |  | — |
Balance as of March 31, 2023 |  |  | 14,850 |  |  |  | 15,025 |  |  |  | 29,875 |

81

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (f) | Provisions, continued:

|  | Changes in provisions constituted by portfolio in the year |
|  | Group Evaluation |  |  |  |
|  | Normal Portfolio |  |  | Non-Complying Portfolio |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Residential mortgage loans |  |  |  |  |  |  |  |  |
Balance as of January 1, 2022 |  |  | 9,512 |  |  |  | 21,219 |  |  |  | 30,731 |
Allowances established/ released: |  |  |  |  |  |  |  |  |  |  |  |
Change in measurement without portfolio reclassification during the period: |  |  | 6,228 |  |  |  | 1,559 |  |  |  | 7,787 |
Change in measurement without portfolio reclassification from the beginning to the end of the period (portfolio from (-) until (+)): |  |  |  |  |  |  |  |  |  |  |  |
Transfer from Normal group to Non-Complying group |  |  | (2,537 | ) |  |  | 6,435 |  |  |  | 3,898 |
Transfer from Non-Complying group to Normal group |  |  | 1,773 |  |  |  | (10,431 | ) |  |  | (8,658 | )
New assets originated |  |  | 1,334 |  |  |  | 280 |  |  |  | 1,614 |
New assets purchased |  |  | — |  |  |  | — |  |  |  | — |
Sales or transfers of credits |  |  | — |  |  |  | — |  |  |  | — |
Payment of credit |  |  | (1,156 | ) |  |  | (3,241 | ) |  |  | (4,397 | )
Provisions for write-offs |  |  | — |  |  |  | (1,672 | ) |  |  | (1,672 | )
Recovery of written-off loans |  |  | — |  |  |  | — |  |  |  | — |
Changes to models and assumptions |  |  | — |  |  |  | — |  |  |  | — |
Foreign exchange adjustments |  |  | — |  |  |  | — |  |  |  | — |
Other changes in allowances |  |  | — |  |  |  | — |  |  |  | — |
Balance as of December 31, 2022 |  |  | 15,154 |  |  |  | 14,149 |  |  |  | 29,303 |

82

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (f) | Provisions, continued:

Summary of changes in consumer loan provisions constituted by credit risk portfolio in the period;

|  | Changes in provisions constituted by portfolio in the period |
|  | Group Evaluation |  |  |  |
|  | Normal Portfolio |  |  | Non-Complying Portfolio |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Consumer loans |  |  |  |  |  |  |  |  |
Balance as of January 1, 2023 |  |  | 200,043 |  |  |  | 134,846 |  |  |  | 334,889 |
Allowances established/ released: |  |  |  |  |  |  |  |  |  |  |  |
Change in measurement without portfolio reclassification during the period: |  |  | 1,601 |  |  |  | 128 |  |  |  | 1,729 |
Change in measurement without portfolio reclassification from the beginning to the end of the period (portfolio from (-) until (+)): |  |  |  |  |  |  |  |  |  |  |  |
Transfer from Normal group to Non-Complying group |  |  | (33,358 | ) |  |  | 42,645 |  |  |  | 9,287 |
Transfer from Non-Complying group to Normal group |  |  | 1,832 |  |  |  | (5,831 | ) |  |  | (3,999 | )
New assets originated |  |  | 33,009 |  |  |  | 17,001 |  |  |  | 50,010 |
New credits for conversion of contingent to loan |  |  | 21,832 |  |  |  | 1,212 |  |  |  | 23,044 |
New assets purchased |  |  | — |  |  |  | — |  |  |  | — |
Sales or transfers of credits |  |  | — |  |  |  | — |  |  |  | — |
Payment of credit |  |  | (9,910 | ) |  |  | (5,208 | ) |  |  | (15,118 | )
Provisions for write-offs |  |  | — |  |  |  | (45,865 | ) |  |  | (45,865 | )
Recovery of written-off loans |  |  | 382 |  |  |  | — |  |  |  | 382 |
Changes to models and assumptions |  |  | — |  |  |  | — |  |  |  | — |
Foreign exchange adjustments |  |  | (16 | ) |  |  | (44 | ) |  |  | (60 | )
Other changes in allowances |  |  | — |  |  |  | — |  |  |  | — |
Balance as of March 31, 2023 |  |  | 215,415 |  |  |  | 138,884 |  |  |  | 354,299 |

83

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (f) | Provisions, continued:

|  | Changes in provisions constituted by portfolio in the year |
|  | Group Evaluation |  |  |  |
|  | Normal Portfolio |  |  | Non-Complying Portfolio |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Consumer loans |  |  |  |  |  |  |  |  |
Balance as of January 1, 2022 |  |  | 142,634 |  |  |  | 127,996 |  |  |  | 270,630 |
Allowances established/ released: |  |  |  |  |  |  |  |  |  |  |  |
Change in measurement without portfolio reclassification during the period: |  |  | 83,308 |  |  |  | 109,783 |  |  |  | 193,091 |
Change in measurement without portfolio reclassification from the beginning to the end of the period (portfolio from (-) until (+)): |  |  |  |  |  |  |  |  |  |  |  |
Transfer from Normal group to Non-Complying group |  |  | (84,107 | ) |  |  | 116,954 |  |  |  | 32,847 |
Transfer from Non-Complying group to Normal group |  |  | 7,923 |  |  |  | (36,693 | ) |  |  | (28,770 | )
New assets originated |  |  | 99,205 |  |  |  | 45,329 |  |  |  | 144,534 |
New credits for conversion of contingent to loan |  |  | 3,699 |  |  |  | 528 |  |  |  | 4,227 |
New assets purchased |  |  | — |  |  |  | — |  |  |  | — |
Sales or transfers of credits |  |  | — |  |  |  | — |  |  |  | — |
Payment of credit |  |  | (58,447 | ) |  |  | (121,642 | ) |  |  | (180,089 | )
Provisions for write-offs |  |  | (7 | ) |  |  | (107,605 | ) |  |  | (107,612 | )
Recovery of written-off loans |  |  | 6,048 |  |  |  | — |  |  |  | 6,048 |
Changes to models and assumptions |  |  | — |  |  |  | — |  |  |  | — |
Foreign exchange adjustments |  |  | (213 | ) |  |  | 196 |  |  |  | (17 | )
Other changes in allowances |  |  | — |  |  |  | — |  |  |  | — |
Balance as of December 31, 2022 |  |  | 200,043 |  |  |  | 134,846 |  |  |  | 334,889 |

84

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (f) | Provisions, continued:

Summary of changes in contingent credit risk provisions constituted by credit risk portfolio in the period;

|  | Changes in provisions constituted by portfolio in the period |
|  | Normal Portfolio Evaluation |  |  | Substandard |  |  | Non-Complying Portfolio Evaluation |  |  | Subtotal |  |  |  |
|  | Group |  |  | Individual |  |  | Portfolio |  |  | Group |  |  | Individual |  |  | Group |  |  | Individual |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Contingent loan exposure |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Balance as of January 1, 2023 |  |  | 4,658 |  |  |  | 31,717 |  |  |  | 10,925 |  |  |  | 6,059 |  |  |  | 4,018 |  |  |  | 10,717 |  |  |  | 46,660 |  |  |  | 57,377 |
Provisions established/ released: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Change in measurement without portfolio reclassification during the period: |  |  | 11 |  |  |  | (282 | ) |  |  | (41 | ) |  |  | (138 | ) |  |  | (18 | ) |  |  | (127 | ) |  |  | (341 | ) |  |  | (468 | )
Change in measurement without portfolio reclassification from the beginning to the end of the period (portfolio from (-) until (+)): |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Transfer from Normal individual to Substandard |  |  | — |  |  |  | (59 | ) |  |  | 102 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 43 |  |  |  | 43 |
Transfer from Normal individual to Non-Complying individual |  |  | — |  |  |  | (3 | ) |  |  | — |  |  |  | — |  |  |  | 33 |  |  |  | — |  |  |  | 30 |  |  |  | 30 |
Transfer from Substandard to Non-Complying individual |  |  | — |  |  |  | — |  |  |  | (83 | ) |  |  | — |  |  |  | 297 |  |  |  | — |  |  |  | 214 |  |  |  | 214 |
Transfer from Substandard to Normal individual |  |  | — |  |  |  | 7 |  |  |  | (25 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (18 | ) |  |  | (18 | )
Transfer from Non-Complying individual to Substandard |  |  | — |  |  |  | — |  |  |  | 1 |  |  |  | — |  |  |  | (63 | ) |  |  | — |  |  |  | (62 | ) |  |  | (62 | )
Transfer from Non-Complying individual to Normal individual |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer from Normal group to Non-Complying group |  |  | (25 | ) |  |  | — |  |  |  | — |  |  |  | 456 |  |  |  | — |  |  |  | 431 |  |  |  | — |  |  |  | 431 |
Transfer from Non-Complying group to Normal group |  |  | 11 |  |  |  | — |  |  |  | — |  |  |  | (624 | ) |  |  | — |  |  |  | (613 | ) |  |  | — |  |  |  | (613 | )
Transfer from Individual (normal, substandard, non-complying) to Group (normal, non-complying ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer from Group (normal, non-complying) to Individual (normal, substandard, non-complying) |  |  | (5 | ) |  |  | 7 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (5 | ) |  |  | 7 |  |  |  | 2 |
New contingent loan granted |  |  | 512 |  |  |  | 7,305 |  |  |  | 6,204 |  |  |  | 249 |  |  |  | 514 |  |  |  | 761 |  |  |  | 14,023 |  |  |  | 14,784 |
Contingent credits for conversion |  |  | (16 | ) |  |  | (23 | ) |  |  | (46 | ) |  |  | (34 | ) |  |  | (14 | ) |  |  | (50 | ) |  |  | (83 | ) |  |  | (133 | )
Changes to models and assumptions |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Foreign exchange adjustments |  |  | (1 | ) |  |  | (408 | ) |  |  | (212 | ) |  |  | (273 | ) |  |  | (2 | ) |  |  | (274 | ) |  |  | (622 | ) |  |  | (896 | )
Other changes in provisions |  |  | (366 | ) |  |  | (6,923 | ) |  |  | (6,200 | ) |  |  | (210 | ) |  |  | (510 | ) |  |  | (576 | ) |  |  | (13,633 | ) |  |  | (14,209 | )
Balance as of March 31, 2023 |  |  | 4,779 |  |  |  | 31,338 |  |  |  | 10,625 |  |  |  | 5,485 |  |  |  | 4,255 |  |  |  | 10,264 |  |  |  | 46,218 |  |  |  | 56,482 |

85

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (f) | Provisions, continued:

|  | Changes in provisions constituted by portfolio in the year |
|  | Normal Portfolio Evaluation |  |  | Substandard |  |  | Non-Complying Portfolio Evaluation |  |  | Subtotal |  |  |  |
|  | Group |  |  | Individual |  |  | Portfolio |  |  | Group |  |  | Individual |  |  | Group |  |  | Individual |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Contingent loan exposure |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Balance as of January 1, 2022 |  |  | 4,371 |  |  | 34,785 |  |  | 4,297 |  |  | 9,253 |  |  | 1,280 |  |  | 13,624 |  |  | 40,362 |  |  | 53,986 |
Provisions established/ released: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Change in measurement without portfolio reclassification during the period: |  |  | 6,226 |  |  | 1,555 |  |  | (784 | ) |  | (2 | ) |  | (11 | ) |  | 6,224 |  |  | 760 |  |  | 6,984 |
Change in measurement without portfolio reclassification from the beginning to the end of the period (portfolio from (-) until (+)): |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Transfer from Normal individual to Substandard |  |  | — |  |  |  | (2,226 | ) |  |  | 7,201 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 4,975 |  |  |  | 4,975 |
Transfer from Normal individual to Non-Complying individual |  |  | — |  |  |  | (97 | ) |  |  | — |  |  |  | — |  |  |  | 1,419 |  |  |  | — |  |  |  | 1,322 |  |  |  | 1,322 |
Transfer from Substandard to Non-Complying individual |  |  | — |  |  |  | — |  |  |  | (497 | ) |  |  | — |  |  |  | 5,920 |  |  |  | — |  |  |  | 5,423 |  |  |  | 5,423 |
Transfer from Substandard to Normal individual |  |  | — |  |  |  | 45 |  |  |  | (59 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (14 | ) |  |  | (14 | )
Transfer from Non-Complying individual to Substandard |  |  | — |  |  |  | — |  |  |  | 1 |  |  |  | — |  |  |  | (17 | ) |  |  | — |  |  |  | (16 | ) |  |  | (16 | )
Transfer from Non-Complying individual to Normal individual |  |  | — |  |  |  | 1 |  |  |  | — |  |  |  | — |  |  |  | (37 | ) |  |  | — |  |  |  | (36 | ) |  |  | (36 | )
Transfer from Normal group to Non-Complying group |  |  | (136 | ) |  |  | — |  |  |  | — |  |  |  | 1,790 |  |  |  | — |  |  |  | 1,654 |  |  |  | — |  |  |  | 1,654 |
Transfer from Non-Complying group to Normal group |  |  | 79 |  |  |  | — |  |  |  | — |  |  |  | (5,697 | ) |  |  | — |  |  |  | (5,618 | ) |  |  | — |  |  |  | (5,618 | )
Transfer from Individual (normal, substandard, non-complying) to Group (normal, non-complying ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Transfer from Group (normal, non-complying) to Individual (normal, substandard, non-complying) |  |  | (91 | ) |  |  | 130 |  |  |  | 81 |  |  |  | (6 | ) |  |  | 2 |  |  |  | (97 | ) |  |  | 213 |  |  |  | 116 |
New contingent loan granted |  |  | 2,275 |  |  |  | 33,913 |  |  |  | 8,770 |  |  |  | 1,460 |  |  |  | 158 |  |  |  | 3,735 |  |  |  | 42,841 |  |  |  | 46,576 |
Contingent credits for conversion |  |  | (1,172 | ) |  |  | (386 | ) |  |  | (57 | ) |  |  | (12 | ) |  |  | (11 | ) |  |  | (1,184 | ) |  |  | (454 | ) |  |  | (1,638 | )
Changes to models and assumptions |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Foreign exchange adjustments |  |  | 4 |  |  |  | (274 | ) |  |  | (11 | ) |  |  | 33 |  |  |  | (2 | ) |  |  | 37 |  |  |  | (287 | ) |  |  | (250 | )
Other changes in provisions |  |  | (6,898 | ) |  |  | (35,729 | ) |  |  | (8,017 | ) |  |  | (760 | ) |  |  | (4,683 | ) |  |  | (7,658 | ) |  |  | (48,429 | ) |  |  | (56,087 | )
Balance as of December 31, 2022 |  |  | 4,658 |  |  |  | 31,717 |  |  |  | 10,925 |  |  |  | 6,059 |  |  |  | 4,018 |  |  |  | 10,717 |  |  |  | 46,660 |  |  |  | 57,377 |

86

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (f) | Provisions, continued:

In addition to these provisions for credit risk, country risk provisions are maintained to cover foreign operations and additional provisions agreed by the Board of Directors, which are presented in liabilities under the item Special provisions for credit risk (See Note No. 26).

Other disclosures:

As of March 31, 2023, under the Commercial Loans item, operations are maintained that guarantee obligations maintained with the Central Bank of Chile as part of the Loan Increase Conditional Credit Facility (FCIC by its Spanish initials) program for an approximate amount of Ch$3,179,403 million (Ch$3,297,016 million in December 2022).

87

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| g) | Industry sector:

At the closing of each reporting period, the composition of economic activity for loans, contingent loans exposure and provisions constituted are as follows:

|  | Credit and Contingent loans Exposure |  |  | Allowances Established |
|  | Domestic loans |  |  | Foreign loans |  |  | Total |  |  | Total |  |  | Domestic loans |  |  | Foreign loans |  |  | Total |  |  | Total |
|  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Loans and advances to Banks |  |  | 1,300,397 |  |  |  | 1,801,100 |  |  |  | 296,352 |  |  |  | 373,692 |  |  |  | 1,596,749 |  |  |  | 2,174,792 |  |  |  | — |  |  |  | — |  |  |  | (643 | ) |  |  | (677 | ) |  |  | (643 | ) |  |  | (677 | )
Commercial loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Agriculture and livestock |  |  | 788,602 |  |  |  | 797,020 |  |  |  | — |  |  |  | — |  |  |  | 788,602 |  |  |  | 797,020 |  |  |  | (14,660 | ) |  |  | (15,876 | ) |  |  | — |  |  |  | — |  |  |  | (14,660 | ) |  |  | (15,876 | )
Fruit |  |  | 627,787 |  |  |  | 663,000 |  |  |  | — |  |  |  | — |  |  |  | 627,787 |  |  |  | 663,000 |  |  |  | (10,563 | ) |  |  | (13,980 | ) |  |  | — |  |  |  | — |  |  |  | (10,563 | ) |  |  | (13,980 | )
Forestry |  |  | 105,852 |  |  |  | 102,427 |  |  |  | — |  |  |  | — |  |  |  | 105,852 |  |  |  | 102,427 |  |  |  | (2,740 | ) |  |  | (2,515 | ) |  |  | — |  |  |  | — |  |  |  | (2,740 | ) |  |  | (2,515 | )
Fishing |  |  | 29,263 |  |  |  | 30,492 |  |  |  | — |  |  |  | — |  |  |  | 29,263 |  |  |  | 30,492 |  |  |  | (2,790 | ) |  |  | (2,966 | ) |  |  | — |  |  |  | — |  |  |  | (2,790 | ) |  |  | (2,966 | )
Mining |  |  | 323,405 |  |  |  | 314,851 |  |  |  | — |  |  |  | — |  |  |  | 323,405 |  |  |  | 314,851 |  |  |  | (2,352 | ) |  |  | (2,124 | ) |  |  | — |  |  |  | — |  |  |  | (2,352 | ) |  |  | (2,124 | )
Oil and natural gas |  |  | 819 |  |  |  | 1,011 |  |  |  | — |  |  |  | — |  |  |  | 819 |  |  |  | 1,011 |  |  |  | (15 | ) |  |  | (19 | ) |  |  | — |  |  |  | — |  |  |  | (15 | ) |  |  | (19 | )
Product manufacturing industries; |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Foods, beverages and tobacco |  |  | 615,077 |  |  |  | 594,583 |  |  |  | — |  |  |  | — |  |  |  | 615,077 |  |  |  | 594,583 |  |  |  | (19,421 | ) |  |  | (16,315 | ) |  |  | — |  |  |  | — |  |  |  | (19,421 | ) |  |  | (16,315 | )
Textiles, leather goods and footwear |  |  | 30,894 |  |  |  | 33,130 |  |  |  | — |  |  |  | — |  |  |  | 30,894 |  |  |  | 33,130 |  |  |  | (911 | ) |  |  | (839 | ) |  |  | — |  |  |  | — |  |  |  | (911 | ) |  |  | (839 | )
Woods and furnitures |  |  | 107,013 |  |  |  | 105,502 |  |  |  | — |  |  |  | — |  |  |  | 107,013 |  |  |  | 105,502 |  |  |  | (2,730 | ) |  |  | (2,532 | ) |  |  | — |  |  |  | — |  |  |  | (2,730 | ) |  |  | (2,532 | )
Cellulose, Paper and printing |  |  | 19,545 |  |  |  | 20,849 |  |  |  | — |  |  |  | — |  |  |  | 19,545 |  |  |  | 20,849 |  |  |  | (828 | ) |  |  | (962 | ) |  |  | — |  |  |  | — |  |  |  | (828 | ) |  |  | (962 | )
Chemicals and petroleum products |  |  | 320,661 |  |  |  | 365,185 |  |  |  | — |  |  |  | — |  |  |  | 320,661 |  |  |  | 365,185 |  |  |  | (5,698 | ) |  |  | (6,568 | ) |  |  | — |  |  |  | — |  |  |  | (5,698 | ) |  |  | (6,568 | )
Metal, non-metal, machine or others |  |  | 572,500 |  |  |  | 574,024 |  |  |  | — |  |  |  | — |  |  |  | 572,500 |  |  |  | 574,024 |  |  |  | (10,711 | ) |  |  | (11,097 | ) |  |  | — |  |  |  | — |  |  |  | (10,711 | ) |  |  | (11,097 | )
Electricity, gas and water |  |  | 535,973 |  |  |  | 463,529 |  |  |  | — |  |  |  | — |  |  |  | 535,973 |  |  |  | 463,529 |  |  |  | (4,417 | ) |  |  | (4,880 | ) |  |  | — |  |  |  | — |  |  |  | (4,417 | ) |  |  | (4,880 | )
Residential construction |  |  | 264,175 |  |  |  | 270,049 |  |  |  | — |  |  |  | — |  |  |  | 264,175 |  |  |  | 270,049 |  |  |  | (11,117 | ) |  |  | (11,518 | ) |  |  | — |  |  |  | — |  |  |  | (11,117 | ) |  |  | (11,518 | )
Non-residential construction (office, civil engineering) |  |  | 351,141 |  |  |  | 355,453 |  |  |  | — |  |  |  | — |  |  |  | 351,141 |  |  |  | 355,453 |  |  |  | (9,952 | ) |  |  | (9,938 | ) |  |  | — |  |  |  | — |  |  |  | (9,952 | ) |  |  | (9,938 | )
Wholesale |  |  | 1,971,408 |  |  |  | 2,034,520 |  |  |  | — |  |  |  | — |  |  |  | 1,971,408 |  |  |  | 2,034,520 |  |  |  | (56,340 | ) |  |  | (58,705 | ) |  |  | — |  |  |  | — |  |  |  | (56,340 | ) |  |  | (58,705 | )
Retail, restaurants and hotels |  |  | 1,023,945 |  |  |  | 1,039,471 |  |  |  | 5,856 |  |  |  | 6,752 |  |  |  | 1,029,801 |  |  |  | 1,046,223 |  |  |  | (46,169 | ) |  |  | (47,644 | ) |  |  | (469 | ) |  |  | (547 | ) |  |  | (46,638 | ) |  |  | (48,191 | )
Transport and storage |  |  | 1,121,380 |  |  |  | 1,208,622 |  |  |  | — |  |  |  | — |  |  |  | 1,121,380 |  |  |  | 1,208,622 |  |  |  | (22,051 | ) |  |  | (22,654 | ) |  |  | — |  |  |  | — |  |  |  | (22,051 | ) |  |  | (22,654 | )
Communications |  |  | 229,476 |  |  |  | 232,694 |  |  |  | — |  |  |  | — |  |  |  | 229,476 |  |  |  | 232,694 |  |  |  | (3,321 | ) |  |  | (3,439 | ) |  |  | — |  |  |  | — |  |  |  | (3,321 | ) |  |  | (3,439 | )
Financial services |  |  | 2,901,673 |  |  |  | 2,990,382 |  |  |  | — |  |  |  | — |  |  |  | 2,901,673 |  |  |  | 2,990,382 |  |  |  | (28,816 | ) |  |  | (30,132 | ) |  |  | — |  |  |  | — |  |  |  | (28,816 | ) |  |  | (30,132 | )
Business services |  |  | 2,043,998 |  |  |  | 1,998,911 |  |  |  | — |  |  |  | — |  |  |  | 2,043,998 |  |  |  | 1,998,911 |  |  |  | (57,246 | ) |  |  | (58,868 | ) |  |  | — |  |  |  | — |  |  |  | (57,246 | ) |  |  | (58,868 | )
Real estate services |  |  | 3,432,904 |  |  |  | 3,338,119 |  |  |  | 3,195 |  |  |  | 22,792 |  |  |  | 3,436,099 |  |  |  | 3,360,911 |  |  |  | (28,330 | ) |  |  | (26,399 | ) |  |  | (137 | ) |  |  | (974 | ) |  |  | (28,467 | ) |  |  | (27,373 | )
Student loans |  |  | 59,036 |  |  |  | 59,594 |  |  |  | — |  |  |  | — |  |  |  | 59,036 |  |  |  | 59,594 |  |  |  | (4,782 | ) |  |  | (4,555 | ) |  |  | — |  |  |  | — |  |  |  | (4,782 | ) |  |  | (4,555 | )
Government administration, defence and police force |  |  | 26,010 |  |  |  | 26,136 |  |  |  | — |  |  |  | — |  |  |  | 26,010 |  |  |  | 26,136 |  |  |  | (453 | ) |  |  | (453 | ) |  |  | — |  |  |  | — |  |  |  | (453 | ) |  |  | (453 | )
Social services and other community services |  |  | 859,440 |  |  |  | 832,236 |  |  |  | — |  |  |  | — |  |  |  | 859,440 |  |  |  | 832,236 |  |  |  | (16,039 | ) |  |  | (16,608 | ) |  |  | — |  |  |  | — |  |  |  | (16,039 | ) |  |  | (16,608 | )
Personal services |  |  | 1,965,482 |  |  |  | 1,804,376 |  |  |  | — |  |  |  | — |  |  |  | 1,965,482 |  |  |  | 1,804,376 |  |  |  | (46,065 | ) |  |  | (41,093 | ) |  |  | — |  |  |  | — |  |  |  | (46,065 | ) |  |  | (41,093 | )
Subtotal |  |  | 20,327,459 |  |  |  | 20,256,166 |  |  |  | 9,051 |  |  |  | 29,544 |  |  |  | 20,336,510 |  |  |  | 20,285,710 |  |  |  | (408,517 | ) |  |  | (412,679 | ) |  |  | (606 | ) |  |  | (1,521 | ) |  |  | (409,123 | ) |  |  | (414,200 | )
Residential mortgage loans |  |  | 11,584,487 |  |  |  | 11,416,154 |  |  |  | — |  |  |  | — |  |  |  | 11,584,487 |  |  |  | 11,416,154 |  |  |  | (29,875 | ) |  |  | (29,303 | ) |  |  | — |  |  |  | — |  |  |  | (29,875 | ) |  |  | (29,303 | )
Consumer loans |  |  | 5,112,818 |  |  |  | 4,992,940 |  |  |  | — |  |  |  | — |  |  |  | 5,112,818 |  |  |  | 4,992,940 |  |  |  | (354,299 | ) |  |  | (334,889 | ) |  |  | — |  |  |  | — |  |  |  | (354,299 | ) |  |  | (334,889 | )
Contingent loan exposure |  |  | 12,567,478 |  |  |  | 12,890,795 |  |  |  | — |  |  |  | — |  |  |  | 12,567,478 |  |  |  | 12,890,795 |  |  |  | (56,482 | ) |  |  | (57,377 | ) |  |  | — |  |  |  | — |  |  |  | (56,482 | ) |  |  | (57,377 | )

88

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (h) | Residential mortgage loans and its provisions established by insolvent tranche of the loan on the value of the mortgage guarantee (PVG) and days of default respectively:

As of March 31, 2023

|  |  |  |  | Allowances established of |
|  | Residential mortgage loans (MCh$) |  |  | Residential mortgage loans (MCh$) |
Loan Tranche / |  | Days in default at the end of the year |  |  | Days in default at the end of the year |
Guarantee Value (%) |  | 0 |  |  | 1 to 29 |  |  | 30 to 59 |  |  | 60 to 89 |  |  | > = 90 |  |  | Total |  |  | 0 |  |  | 1 to 29 |  |  | 30 to 59 |  |  | 60 to 89 |  |  | > = 90 |  |  | Total |
PVG <=40% |  |  | 1,549,652 |  |  |  | 19,465 |  |  |  | 8,730 |  |  |  | 3,167 |  |  |  | 11,372 |  |  |  | 1,592,386 |  |  |  | (1,151 | ) |  |  | (263 | ) |  |  | (250 | ) |  |  | (105 | ) |  |  | (617 | ) |  |  | (2,386 | )
40% < PVG <= 80% |  |  | 8,656,119 |  |  |  | 152,434 |  |  |  | 68,152 |  |  |  | 31,009 |  |  |  | 80,319 |  |  |  | 8,988,033 |  |  |  | (9,469 | ) |  |  | (2,564 | ) |  |  | (2,162 | ) |  |  | (1,189 | ) |  |  | (4,787 | ) |  |  | (20,171 | )
80% < PVG <= 90% |  |  | 583,727 |  |  |  | 9,853 |  |  |  | 5,659 |  |  |  | 3,211 |  |  |  | 5,399 |  |  |  | 607,849 |  |  |  | (2,053 | ) |  |  | (415 | ) |  |  | (437 | ) |  |  | (356 | ) |  |  | (897 | ) |  |  | (4,158 | )
PVG > 90% |  |  | 390,224 |  |  |  | 1,250 |  |  |  | 708 |  |  |  | 345 |  |  |  | 3,692 |  |  |  | 396,219 |  |  |  | (2,155 | ) |  |  | (68 | ) |  |  | (38 | ) |  |  | (30 | ) |  |  | (869 | ) |  |  | (3,160 | )
Total |  |  | 11,179,722 |  |  |  | 183,002 |  |  |  | 83,249 |  |  |  | 37,732 |  |  |  | 100,782 |  |  |  | 11,584,487 |  |  |  | (14,828 | ) |  |  | (3,310 | ) |  |  | (2,887 | ) |  |  | (1,680 | ) |  |  | (7,170 | ) |  |  | (29,875 | )

As of December 31, 2022

|  | Residential mortgage loans (MCh$) |  |  | Allowances established of Residential mortgage loans (MCh$) |
Loan Tranche / |  | Days in default at the end of the year |  |  | Days in default at the end of the year |
Guarantee Value (%) |  | 0 |  |  | 1 to 29 |  |  | 30 to 59 |  |  | 60 to 89 |  |  | > = 90 |  |  | Total |  |  | 0 |  |  | 1 to 29 |  |  | 30 to 59 |  |  | 60 to 89 |  |  | > = 90 |  |  | Total |
PVG <=40% |  |  | 1,502,626 |  |  |  | 17,899 |  |  |  | 7,901 |  |  |  | 3,159 |  |  |  | 9,253 |  |  |  | 1,540,838 |  |  |  | (1,187 | ) |  |  | (246 | ) |  |  | (224 | ) |  |  | (119 | ) |  |  | (506 | ) |  |  | (2,282 | )
40% < PVG <= 80% |  |  | 8,562,729 |  |  |  | 143,340 |  |  |  | 54,539 |  |  |  | 24,873 |  |  |  | 71,357 |  |  |  | 8,856,838 |  |  |  | (9,857 | ) |  |  | (2,689 | ) |  |  | (1,815 | ) |  |  | (1,028 | ) |  |  | (4,271 | ) |  |  | (19,660 | )
80% < PVG <= 90% |  |  | 634,977 |  |  |  | 10,144 |  |  |  | 5,605 |  |  |  | 2,493 |  |  |  | 4,185 |  |  |  | 657,404 |  |  |  | (2,291 | ) |  |  | (429 | ) |  |  | (423 | ) |  |  | (302 | ) |  |  | (788 | ) |  |  | (4,233 | )
PVG > 90% |  |  | 354,689 |  |  |  | 1,711 |  |  |  | 545 |  |  |  | 152 |  |  |  | 3,977 |  |  |  | 361,074 |  |  |  | (2,053 | ) |  |  | (108 | ) |  |  | (35 | ) |  |  | (30 | ) |  |  | (902 | ) |  |  | (3,128 | )
Total |  |  | 11,055,021 |  |  |  | 173,094 |  |  |  | 68,590 |  |  |  | 30,677 |  |  |  | 88,772 |  |  |  | 11,416,154 |  |  |  | (15,388 | ) |  |  | (3,472 | ) |  |  | (2,497 | ) |  |  | (1,479 | ) |  |  | (6,467 | ) |  |  | (29,303 | )

89

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (i) | Loans and advances to Banks and Commercial loans and their allowances established by classification category:

Below is the concentration of loans and advances to banks and commercial loans and their provisions constituted by classification category:

|  | Individual |  |  | Group |  |  |  |  |  | Provisions of deductible |
As of |  | Normal Portfolio |  |  | Substandard Portfolio |  |  | Non-Complying Portfolio |  |  |  |  |  | Portfolio |  |  | Portfolio |  |  |  |  |  |  |  |  | warranties |
March 31, 2023 |  | A1 |  |  | A2 |  |  | A3 |  |  | A4 |  |  | A5 |  |  | A6 |  |  | Subtotal |  |  | B1 |  |  | B2 |  |  | B3 |  |  | B4 |  |  | Subtotal |  |  | C1 |  |  | C2 |  |  | C3 |  |  | C4 |  |  | C5 |  |  | C6 |  |  | Subtotal |  |  | Total |  |  | Normal |  |  | Non-Complying |  |  | Total |  |  | Total |  |  | Fogape Covid 19 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Loans and advances to Banks |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interbank loans for liquidity |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Interbank commercial loans |  |  | — |  |  |  | — |  |  |  | 170,936 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 170,936 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 170,936 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 170,936 |  |  |  | — |
Current accounts overdrafts |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Chilean exports foreign trade loans |  |  | 3,604 |  |  |  | 109,249 |  |  |  | 2,783 |  |  |  | 9,780 |  |  |  | — |  |  |  | — |  |  |  | 125,416 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 125,416 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 125,416 |  |  |  | — |
Chilean imports foreign trade loans |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Foreign trade loans between third countries |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Non-transferable deposits in banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other debts with banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | 3,604 |  |  |  | 109,249 |  |  |  | 173,719 |  |  |  | 9,780 |  |  |  | — |  |  |  | — |  |  |  | 296,352 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 296,352 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 296,352 |  |  |  | — |
Allowances established |  |  | 2 |  |  |  | 90 |  |  |  | 380 |  |  |  | 171 |  |  |  | — |  |  |  | — |  |  |  | 643 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 643 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 643 |  |  |  | — |
% Allowances established |  |  | 0.06 | % |  |  | 0.08 | % |  |  | 0.22 | % |  |  | 1.75 | % |  |  | — |  |  |  | — |  |  |  | 0.22 | % |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 0.22 | % |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 0.22 | % |  |  | — |
Commercial loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial loans |  |  | — |  |  |  | 1,207,036 |  |  |  | 2,015,744 |  |  |  | 2,459,111 |  |  |  | 3,564,396 |  |  |  | 1,945,416 |  |  |  | 11,191,703 |  |  |  | 118,924 |  |  |  | 39,803 |  |  |  | 47,667 |  |  |  | 7,313 |  |  |  | 213,707 |  |  |  | 47,215 |  |  |  | 20,641 |  |  |  | 24,984 |  |  |  | 28,966 |  |  |  | 12,939 |  |  |  | 32,462 |  |  |  | 167,207 |  |  |  | 11,572,617 |  |  |  | 3,928,850 |  |  |  | 286,797 |  |  |  | 4,215,647 |  |  |  | 15,788,264 |  |  |  | 25,552 |
Chilean exports foreign trade loans |  |  | — |  |  |  | 297,663 |  |  |  | 263,894 |  |  |  | 134,845 |  |  |  | 278,123 |  |  |  | 155,248 |  |  |  | 1,129,773 |  |  |  | 4,699 |  |  |  | — |  |  |  | 609 |  |  |  | — |  |  |  | 5,308 |  |  |  | 455 |  |  |  | 9 |  |  |  | 2,016 |  |  |  | 1,215 |  |  |  | 294 |  |  |  | 1,481 |  |  |  | 5,470 |  |  |  | 1,140,551 |  |  |  | 4,146 |  |  |  | 351 |  |  |  | 4,497 |  |  |  | 1,145,048 |  |  |  | — |
Accrediting foreign trade loans negotiated in terms of Chilean imports |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,459 |  |  |  | 95 |  |  |  | 2,554 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,554 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,554 |  |  |  | — |
Chilean imports foreign trade loans |  |  | — |  |  |  | 91,427 |  |  |  | 75,672 |  |  |  | 175,228 |  |  |  | 128,202 |  |  |  | 138,806 |  |  |  | 609,335 |  |  |  | 9,058 |  |  |  | 105 |  |  |  | — |  |  |  | — |  |  |  | 9,163 |  |  |  | 581 |  |  |  | 411 |  |  |  |  |  |  |  | 120 |  |  |  | 687 |  |  |  | 1,888 |  |  |  | 3,687 |  |  |  | 622,185 |  |  |  | 35,064 |  |  |  | 1,673 |  |  |  | 36,737 |  |  |  | 658,922 |  |  |  | — |
Current account debtors |  |  | — |  |  |  | 14 |  |  |  | 26,253 |  |  |  | 20,767 |  |  |  | 19,009 |  |  |  | 25,526 |  |  |  | 91,569 |  |  |  | 2,431 |  |  |  | 2,876 |  |  |  | 236 |  |  |  | 160 |  |  |  | 5,703 |  |  |  | 286 |  |  |  | 1,570 |  |  |  | 141 |  |  |  | 212 |  |  |  | 158 |  |  |  | 470 |  |  |  | 2,837 |  |  |  | 100,109 |  |  |  | 89,376 |  |  |  | 1,287 |  |  |  | 90,663 |  |  |  | 190,772 |  |  |  | — |
Credit card debtors |  |  | 6 |  |  |  | 433 |  |  |  | 1,759 |  |  |  | 3,346 |  |  |  | 7,875 |  |  |  | 7,504 |  |  |  | 20,923 |  |  |  | 661 |  |  |  | 303 |  |  |  | 33 |  |  |  | 57 |  |  |  | 1,054 |  |  |  | 110 |  |  |  | 8 |  |  |  | 42 |  |  |  | 78 |  |  |  | 180 |  |  |  | 271 |  |  |  | 689 |  |  |  | 22,666 |  |  |  | 66,137 |  |  |  | 6,057 |  |  |  | 72,194 |  |  |  | 94,860 |  |  |  | — |
Factoring transactions |  |  | 5,711 |  |  |  | 126,727 |  |  |  | 137,847 |  |  |  | 89,877 |  |  |  | 85,547 |  |  |  | 112,766 |  |  |  | 558,475 |  |  |  | 5,551 |  |  |  | — |  |  |  | — |  |  |  | 1 |  |  |  | 5,552 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 185 |  |  |  | 263 |  |  |  | 448 |  |  |  | 564,475 |  |  |  | 31,922 |  |  |  | 223 |  |  |  | 32,145 |  |  |  | 596,620 |  |  |  | — |
Commercial lease transactions |  |  | — |  |  |  | 58,798 |  |  |  | 49,750 |  |  |  | 367,170 |  |  |  | 443,448 |  |  |  | 494,549 |  |  |  | 1,413,715 |  |  |  | 19,341 |  |  |  | 6,170 |  |  |  | 5,605 |  |  |  | 112 |  |  |  | 31,228 |  |  |  | 1,374 |  |  |  | 25,046 |  |  |  | 1,614 |  |  |  | 3,843 |  |  |  | 762 |  |  |  | 174 |  |  |  | 32,813 |  |  |  | 1,477,756 |  |  |  | 287,164 |  |  |  | 11,147 |  |  |  | 298,311 |  |  |  | 1,776,067 |  |  |  | 719 |
Student loans |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 55,787 |  |  |  | 3,249 |  |  |  | 59,036 |  |  |  | 59,036 |  |  |  | — |
Other loans and accounts receivable |  |  | — |  |  |  | 418 |  |  |  | 1,539 |  |  |  | 1,120 |  |  |  | 2,084 |  |  |  | 1,566 |  |  |  | 6,727 |  |  |  | 81 |  |  |  | 200 |  |  |  | 4 |  |  |  | 18 |  |  |  | 303 |  |  |  | 195 |  |  |  | 66 |  |  |  | 114 |  |  |  | 44 |  |  |  | 681 |  |  |  | 4,532 |  |  |  | 5,632 |  |  |  | 12,662 |  |  |  | 10,547 |  |  |  | 1,158 |  |  |  | 11,705 |  |  |  | 24,367 |  |  |  | — |
Subtotal |  |  | 5,717 |  |  |  | 1,782,516 |  |  |  | 2,572,458 |  |  |  | 3,251,464 |  |  |  | 4,531,143 |  |  |  | 2,881,476 |  |  |  | 15,024,774 |  |  |  | 160,746 |  |  |  | 49,457 |  |  |  | 54,154 |  |  |  | 7,661 |  |  |  | 272,018 |  |  |  | 50,216 |  |  |  | 47,751 |  |  |  | 28,911 |  |  |  | 34,478 |  |  |  | 15,886 |  |  |  | 41,541 |  |  |  | 218,783 |  |  |  | 15,515,575 |  |  |  | 4,508,993 |  |  |  | 311,942 |  |  |  | 4,820,935 |  |  |  | 20,336,510 |  |  |  | — |
Allowances established |  |  | 2 |  |  |  | 1,222 |  |  |  | 4,192 |  |  |  | 28,217 |  |  |  | 45,657 |  |  |  | 71,508 |  |  |  | 150,798 |  |  |  | 3,741 |  |  |  | 2,724 |  |  |  | 11,563 |  |  |  | 1,770 |  |  |  | 19,798 |  |  |  | 1,004 |  |  |  | 4,775 |  |  |  | 7,228 |  |  |  | 13,792 |  |  |  | 10,326 |  |  |  | 37,384 |  |  |  | 74,509 |  |  |  | 245,105 |  |  |  | 42,679 |  |  |  | 95,068 |  |  |  | 137,747 |  |  |  | 382,852 |  |  |  | 26,271 |
% Allowances established |  |  | 0.03 | % |  |  | 0.07 | % |  |  | 0.16 | % |  |  | 0.87 | % |  |  | 1.01 | % |  |  | 2.48 | % |  |  | 1.00 | % |  |  | 2.33 | % |  |  | 5.51 | % |  |  | 21.35 | % |  |  | 23.10 | % |  |  | 7.28 | % |  |  | 2.00 | % |  |  | 10.00 | % |  |  | 25.00 | % |  |  | 40.00 | % |  |  | 65.00 | % |  |  | 89.99 | % |  |  | 34.06 | % |  |  | 1.58 | % |  |  | 0.95 | % |  |  | 30.48 | % |  |  | 2.86 | % |  |  | 1.88 | % |  |  |  |

90

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (i) | Loans and advances to Banks and Commercial loans and their allowances established by classification category, continued:

|  | Individual |  |  | Group |  |  |  |  |  | Provisions of deductible |
As of |  | Normal Portfolio |  |  | Substandard Portfolio |  |  | Non-Complying Portfolio |  |  |  |  |  | Portfolio |  |  | Portfolio |  |  |  |  |  |  |  |  | warranties |
December 31, 2022 |  | A1 |  |  | A2 |  |  | A3 |  |  | A4 |  |  | A5 |  |  | A6 |  |  | Subtotal |  |  | B1 |  |  | B2 |  |  | B3 |  |  | B4 |  |  | Subtotal |  |  | C1 |  |  | C2 |  |  | C3 |  |  | C4 |  |  | C5 |  |  | C6 |  |  | Subtotal |  |  | Total |  |  | Normal |  |  | Non- Complying |  |  | Total |  |  | Total |  |  | Fogape Covid 19 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Loans and advances to Banks |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interbank loans for liquidity |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Interbank commercial loans |  |  | — |  |  |  | — |  |  |  | 186,660 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 186,660 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 186,660 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 186,660 |  |  |  | — |
Current accounts overdrafts |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Chilean exports foreign trade loans |  |  | 78 |  |  |  | 149,694 |  |  |  | 32,530 |  |  |  | 4,251 |  |  |  | — |  |  |  | — |  |  |  | 186,553 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 186,553 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 186,553 |  |  |  | — |
Chilean imports foreign trade loans |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Foreign trade loans between third countries |  |  | — |  |  |  | 479 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 479 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 479 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 479 |  |  |  | — |
Non-transferable deposits in banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other debts with banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | 78 |  |  |  | 150,173 |  |  |  | 219,190 |  |  |  | 4,251 |  |  |  | — |  |  |  | — |  |  |  | 373,692 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 373,692 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 373,692 |  |  |  | — |
Allowances established |  |  | — |  |  |  | 124 |  |  |  | 479 |  |  |  | 74 |  |  |  | — |  |  |  | — |  |  |  | 677 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 677 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 677 |  |  |  | — |
% Allowances established |  |  | — |  |  |  | 0.08 | % |  |  | 0.22 | % |  |  | 1.74 | % |  |  | — |  |  |  | — |  |  |  | 0.18 | % |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 0.18 | % |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 0.18 | % |  |  | — |
Commercial loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial loans |  |  | — |  |  |  | 1,326,655 |  |  |  | 2,066,763 |  |  |  | 2,372,591 |  |  |  | 3,522,434 |  |  |  | 1,979,393 |  |  |  | 11,267,836 |  |  |  | 125,517 |  |  |  | 43,693 |  |  |  | 46,476 |  |  |  | 11,475 |  |  |  | 227,161 |  |  |  | 40,585 |  |  |  | 21,608 |  |  |  | 24,175 |  |  |  | 28,604 |  |  |  | 11,857 |  |  |  | 35,361 |  |  |  | 162,190 |  |  |  | 11,657,187 |  |  |  | 3,946,954 |  |  |  | 267,428 |  |  |  | 4,214,382 |  |  |  | 15,871,569 |  |  |  | 31,986 |
Chilean exports foreign trade loans |  |  | — |  |  |  | 297,323 |  |  |  | 142,624 |  |  |  | 123,281 |  |  |  | 224,505 |  |  |  | 153,745 |  |  |  | 941,478 |  |  |  | 3,915 |  |  |  | — |  |  |  | 650 |  |  |  | — |  |  |  | 4,565 |  |  |  | 448 |  |  |  | 9 |  |  |  | 2,263 |  |  |  | 1,286 |  |  |  | 351 |  |  |  | 1,623 |  |  |  | 5,980 |  |  |  | 952,023 |  |  |  | 3,857 |  |  |  | 533 |  |  |  | 4,390 |  |  |  | 956,413 |  |  |  | — |
Accrediting foreign trade loans negotiated in terms of Chilean imports |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,621 |  |  |  | 94 |  |  |  | 2,715 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,715 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,715 |  |  |  | — |
Chilean imports foreign trade loans |  |  | — |  |  |  | 95,894 |  |  |  | 88,440 |  |  |  | 159,031 |  |  |  | 150,348 |  |  |  | 145,251 |  |  |  | 638,964 |  |  |  | 9,602 |  |  |  | 124 |  |  |  | — |  |  |  | — |  |  |  | 9,726 |  |  |  | 621 |  |  |  | 435 |  |  |  |  |  |  |  | 128 |  |  |  | 188 |  |  |  | 2,595 |  |  |  | 3,967 |  |  |  | 652,657 |  |  |  | 43,915 |  |  |  | 1,843 |  |  |  | 45,758 |  |  |  | 698,415 |  |  |  | — |
Current account debtors |  |  | — |  |  |  | 89 |  |  |  | 17,733 |  |  |  | 29,339 |  |  |  | 13,264 |  |  |  | 18,429 |  |  |  | 78,854 |  |  |  | 2,396 |  |  |  | 2,439 |  |  |  | 269 |  |  |  | 156 |  |  |  | 5,260 |  |  |  | 316 |  |  |  | 1,595 |  |  |  | 114 |  |  |  | 163 |  |  |  | 105 |  |  |  | 380 |  |  |  | 2,673 |  |  |  | 86,787 |  |  |  | 87,728 |  |  |  | 1,144 |  |  |  | 88,872 |  |  |  | 175,659 |  |  |  | — |
Credit card debtors |  |  | 26 |  |  |  | 314 |  |  |  | 1,677 |  |  |  | 2,778 |  |  |  | 6,456 |  |  |  | 6,984 |  |  |  | 18,235 |  |  |  | 509 |  |  |  | 288 |  |  |  | 24 |  |  |  | 54 |  |  |  | 875 |  |  |  | 101 |  |  |  | 15 |  |  |  | 59 |  |  |  | 69 |  |  |  | 148 |  |  |  | 257 |  |  |  | 649 |  |  |  | 19,759 |  |  |  | 61,911 |  |  |  | 5,153 |  |  |  | 67,064 |  |  |  | 86,823 |  |  |  | — |
Factoring transactions |  |  | 9,352 |  |  |  | 129,798 |  |  |  | 117,954 |  |  |  | 124,105 |  |  |  | 88,514 |  |  |  | 119,959 |  |  |  | 589,682 |  |  |  | 4,249 |  |  |  | 6 |  |  |  | — |  |  |  | — |  |  |  | 4,255 |  |  |  | — |  |  |  | 7 |  |  |  | — |  |  |  | 11 |  |  |  | 185 |  |  |  | 251 |  |  |  | 454 |  |  |  | 594,391 |  |  |  | 34,074 |  |  |  | 53 |  |  |  | 34,127 |  |  |  | 628,518 |  |  |  | — |
Commercial lease transactions |  |  | — |  |  |  | 60,749 |  |  |  | 49,668 |  |  |  | 362,068 |  |  |  | 442,247 |  |  |  | 500,286 |  |  |  | 1,415,018 |  |  |  | 19,754 |  |  |  | 5,305 |  |  |  | 9,602 |  |  |  | 389 |  |  |  | 35,050 |  |  |  | 1,249 |  |  |  | 25,830 |  |  |  | 1,485 |  |  |  | 2,298 |  |  |  | 468 |  |  |  | 62 |  |  |  | 31,392 |  |  |  | 1,481,460 |  |  |  | 290,772 |  |  |  | 9,162 |  |  |  | 299,934 |  |  |  | 1,781,394 |  |  |  | 757 |
Student loans |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 56,542 |  |  |  | 3,052 |  |  |  | 59,594 |  |  |  | 59,594 |  |  |  | — |
Other loans and accounts receivable |  |  | — |  |  |  | 377 |  |  |  | 1,265 |  |  |  | 1,161 |  |  |  | 2,053 |  |  |  | 1,695 |  |  |  | 6,551 |  |  |  | 73 |  |  |  | 149 |  |  |  | 6 |  |  |  | 96 |  |  |  | 324 |  |  |  | 179 |  |  |  | 80 |  |  |  | 84 |  |  |  | 2,475 |  |  |  | 629 |  |  |  | 3,910 |  |  |  | 7,357 |  |  |  | 14,232 |  |  |  | 9,088 |  |  |  | 1,290 |  |  |  | 10,378 |  |  |  | 24,610 |  |  |  | — |
Subtotal |  |  | 9,378 |  |  |  | 1,911,199 |  |  |  | 2,486,124 |  |  |  | 3,174,354 |  |  |  | 4,452,442 |  |  |  | 2,925,836 |  |  |  | 14,959,333 |  |  |  | 166,015 |  |  |  | 52,004 |  |  |  | 57,027 |  |  |  | 12,170 |  |  |  | 287,216 |  |  |  | 43,499 |  |  |  | 49,579 |  |  |  | 28,180 |  |  |  | 35,034 |  |  |  | 13,931 |  |  |  | 44,439 |  |  |  | 214,662 |  |  |  | 15,461,211 |  |  |  | 4,534,841 |  |  |  | 289,658 |  |  |  | 4,824,499 |  |  |  | 20,285,710 |  |  |  | — |
Allowances established |  |  | 3 |  |  |  | 1,391 |  |  |  | 4,031 |  |  |  | 28,379 |  |  |  | 44,647 |  |  |  | 74,016 |  |  |  | 152,467 |  |  |  | 3,758 |  |  |  | 4,222 |  |  |  | 10,828 |  |  |  | 1,989 |  |  |  | 20,797 |  |  |  | 870 |  |  |  | 4,958 |  |  |  | 7,045 |  |  |  | 14,014 |  |  |  | 9,055 |  |  |  | 39,993 |  |  |  | 75,935 |  |  |  | 249,199 |  |  |  | 42,021 |  |  |  | 90,237 |  |  |  | 132,258 |  |  |  | 381,457 |  |  |  | 32,743 |
% Allowances established |  |  | 0.03 | % |  |  | 0.07 | % |  |  | 0.16 | % |  |  | 0.89 | % |  |  | 1.00 | % |  |  | 2.53 | % |  |  | 1.02 | % |  |  | 2.26 | % |  |  | 8.12 | % |  |  | 18.99 | % |  |  | 16.34 | % |  |  | 7.24 | % |  |  | 2.00 | % |  |  | 10.00 | % |  |  | 25.00 | % |  |  | 40.00 | % |  |  | 65.00 | % |  |  | 90.00 | % |  |  | 35.37 | % |  |  | 1.61 | % |  |  | 0.93 | % |  |  | 31.15 | % |  |  | 2.74 | % |  |  | 1.88 | % |  |  |  |

91

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (j) | Loans and their provisions for loan losses by tranches of days past-due:

The concentration of credit risk by days past due is as follows;

|  | Financial assets before allowances |  |  | Allowances established |  |  |  |  |  |  |  |  |  |
|  | Normal Portfolio |  |  | Substandard Portfolio |  |  | Non-Complying Portfolio |  |  |  |  |  | Normal Portfolio |  |  | Substandard Portfolio |  |  | Non-Complying Portfolio |  |  |  |  |  | Deductible Warranties |  |  |  |  |  | Net |
|  | Evaluation |  |  | Evaluation |  |  | Evaluation |  |  |  |  |  | Evaluation |  |  | Evaluation |  |  | Evaluation |  |  | Sub |  |  | FOGAPE |  |  |  |  |  | Financial |
As of March 31, 2023 |  | Individual |  |  | Group |  |  | Individual |  |  | Individual |  |  | Group |  |  | Total |  |  | Individual |  |  | Group |  |  | Individual |  |  | Individual |  |  | Group |  |  | Total |  |  | Covid-19 |  |  | Total |  |  | Assets |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Loans and advances to Banks |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
0 days |  |  | 269,946 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 269,946 |  |  |  | (622 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (622 | ) |  |  | — |  |  |  | (622 | ) |  |  |  |
1 to 29 days |  |  | 26,406 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 26,406 |  |  |  | (21 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (21 | ) |  |  | — |  |  |  | (21 | ) |  |  |  |
30 to 59 days |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  |  |
60 to 89 days |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  |  |
> = 90 days |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  |  |
Subtotal |  |  | 296,352 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 296,352 |  |  |  | (643 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (643 | ) |  |  | — |  |  |  | (643 | ) |  |  | 295,709 |
Commercial loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
0 days |  |  | 14,798,231 |  |  |  | 4,351,435 |  |  |  | 226,612 |  |  |  | 87,431 |  |  |  | 79,324 |  |  |  | 19,543,033 |  |  |  | (147,863 | ) |  |  | (34,713 | ) |  |  | (17,804 | ) |  |  | (21,706 | ) |  |  | (18,758 | ) |  |  | (240,844 | ) |  |  | (25,326 | ) |  |  | (266,170 | ) |  |  |  |
1 to 29 days |  |  | 210,531 |  |  |  | 110,372 |  |  |  | 24,204 |  |  |  | 27,136 |  |  |  | 22,568 |  |  |  | 394,811 |  |  |  | (2,695 | ) |  |  | (4,122 | ) |  |  | (519 | ) |  |  | (4,124 | ) |  |  | (6,097 | ) |  |  | (17,557 | ) |  |  | (439 | ) |  |  | (17,996 | ) |  |  |  |
30 to 59 days |  |  | 15,985 |  |  |  | 35,349 |  |  |  | 15,408 |  |  |  | 8,531 |  |  |  | 24,160 |  |  |  | 99,433 |  |  |  | (239 | ) |  |  | (2,628 | ) |  |  | (1,313 | ) |  |  | (2,471 | ) |  |  | (6,191 | ) |  |  | (12,842 | ) |  |  | (162 | ) |  |  | (13,004 | ) |  |  |  |
60 to 89 days |  |  | 27 |  |  |  | 11,837 |  |  |  | 5,794 |  |  |  | 10,653 |  |  |  | 14,515 |  |  |  | 42,826 |  |  |  | (1 | ) |  |  | (1,216 | ) |  |  | (162 | ) |  |  | (4,171 | ) |  |  | (3,708 | ) |  |  | (9,258 | ) |  |  | (78 | ) |  |  | (9,336 | ) |  |  |  |
> = 90 days |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 85,032 |  |  |  | 171,375 |  |  |  | 256,407 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (42,037 | ) |  |  | (60,314 | ) |  |  | (102,351 | ) |  |  | (266 | ) |  |  | (102,617 | ) |  |  |  |
Subtotal |  |  | 15,024,774 |  |  |  | 4,508,993 |  |  |  | 272,018 |  |  |  | 218,783 |  |  |  | 311,942 |  |  |  | 20,336,510 |  |  |  | (150,798 | ) |  |  | (42,679 | ) |  |  | (19,798 | ) |  |  | (74,509 | ) |  |  | (95,068 | ) |  |  | (382,852 | ) |  |  | (26,271 | ) |  |  | (409,123 | ) |  |  | 19,927,387 |
Residential mortgage loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
0 days |  |  | — |  |  |  | 11,127,538 |  |  |  | — |  |  |  | — |  |  |  | 52,184 |  |  |  | 11,179,722 |  |  |  | — |  |  |  | (10,853 | ) |  |  | — |  |  |  | — |  |  |  | (3,975 | ) |  |  | (14,828 | ) |  |  | — |  |  |  | (14,828 | ) |  |  |  |
1 to 29 days |  |  | — |  |  |  | 160,063 |  |  |  | — |  |  |  | — |  |  |  | 22,939 |  |  |  | 183,002 |  |  |  | — |  |  |  | (1,841 | ) |  |  | — |  |  |  | — |  |  |  | (1,469 | ) |  |  | (3,310 | ) |  |  | — |  |  |  | (3,310 | ) |  |  |  |
30 to 59 days |  |  | — |  |  |  | 61,207 |  |  |  | — |  |  |  | — |  |  |  | 22,042 |  |  |  | 83,249 |  |  |  | — |  |  |  | (1,394 | ) |  |  | — |  |  |  | — |  |  |  | (1,493 | ) |  |  | (2,887 | ) |  |  | — |  |  |  | (2,887 | ) |  |  |  |
60 to 89 days |  |  | — |  |  |  | 24,325 |  |  |  | — |  |  |  | — |  |  |  | 13,407 |  |  |  | 37,732 |  |  |  | — |  |  |  | (762 | ) |  |  | — |  |  |  | — |  |  |  | (918 | ) |  |  | (1,680 | ) |  |  | — |  |  |  | (1,680 | ) |  |  |  |
> = 90 days |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 100,782 |  |  |  | 100,782 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (7,170 | ) |  |  | (7,170 | ) |  |  | — |  |  |  | (7,170 | ) |  |  |  |
Subtotal |  |  | — |  |  |  | 11,373,133 |  |  |  | — |  |  |  | — |  |  |  | 211,354 |  |  |  | 11,584,487 |  |  |  | — |  |  |  | (14,850 | ) |  |  | — |  |  |  | — |  |  |  | (15,025 | ) |  |  | (29,875 | ) |  |  | — |  |  |  | (29,875 | ) |  |  | 11,554,612 |
Consumer loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
0 days |  |  | — |  |  |  | 4,627,454 |  |  |  | — |  |  |  | — |  |  |  | 73,828 |  |  |  | 4,701,282 |  |  |  | — |  |  |  | (160,851 | ) |  |  | — |  |  |  | — |  |  |  | (44,087 | ) |  |  | (204,938 | ) |  |  | — |  |  |  | (204,938 | ) |  |  |  |
1 to 29 days |  |  | — |  |  |  | 161,938 |  |  |  | — |  |  |  | — |  |  |  | 20,531 |  |  |  | 182,469 |  |  |  | — |  |  |  | (26,506 | ) |  |  | — |  |  |  | — |  |  |  | (12,182 | ) |  |  | (38,688 | ) |  |  | — |  |  |  | (38,688 | ) |  |  |  |
30 to 59 days |  |  | — |  |  |  | 63,821 |  |  |  | — |  |  |  | — |  |  |  | 26,197 |  |  |  | 90,018 |  |  |  | — |  |  |  | (17,827 | ) |  |  | — |  |  |  | — |  |  |  | (16,279 | ) |  |  | (34,106 | ) |  |  | — |  |  |  | (34,106 | ) |  |  |  |
60 a 89 days |  |  | — |  |  |  | 25,940 |  |  |  | — |  |  |  | — |  |  |  | 17,762 |  |  |  | 43,702 |  |  |  | — |  |  |  | (10,231 | ) |  |  | — |  |  |  | — |  |  |  | (10,257 | ) |  |  | (20,488 | ) |  |  | — |  |  |  | (20,488 | ) |  |  |  |
> = 90 days |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 95,347 |  |  |  | 95,347 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (56,079 | ) |  |  | (56,079 | ) |  |  | — |  |  |  | (56,079 | ) |  |  |  |
Subtotal |  |  | — |  |  |  | 4,879,153 |  |  |  | — |  |  |  | — |  |  |  | 233,665 |  |  |  | 5,112,818 |  |  |  | — |  |  |  | (215,415 | ) |  |  | — |  |  |  | — |  |  |  | (138,884 | ) |  |  | (354,299 | ) |  |  | — |  |  |  | (354,299 | ) |  |  | 4,758,519 |
Total Loans |  |  | 15,321,126 |  |  |  | 20,761,279 |  |  |  | 272,018 |  |  |  | 218,783 |  |  |  | 756,961 |  |  |  | 37,330,167 |  |  |  | (151,441 | ) |  |  | (272,944 | ) |  |  | (19,798 | ) |  |  | (74,509 | ) |  |  | (248,977 | ) |  |  | (767,669 | ) |  |  | (26,271 | ) |  |  | (793,940 | ) |  |  | 36,536,227 |

92

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (j) | Loans and their provisions for loan losses by number of days past-due, continued:

|  | Financial assets before allowances |  |  | Allowances established |  |  |  |  |  |  |  |  |  |
|  | Normal Portfolio |  |  | Substandard Portfolio |  |  | Non-Complying Portfolio |  |  |  |  |  | Normal Portfolio |  |  | Substandard Portfolio |  |  | Non-Complying Portfolio |  |  |  |  |  | Deductible Warranties |  |  |  |  |  | Net |
|  | Evaluation |  |  | Evaluation |  |  | Evaluation |  |  |  |  |  | Evaluation |  |  | Evaluation |  |  | Evaluation |  |  | Sub |  |  | FOGAPE |  |  |  |  |  | Financial |
As of December 31, 2022 |  | Individual |  |  | Group |  |  | Individual |  |  | Individual |  |  | Group |  |  | Total |  |  | Individual |  |  | Group |  |  | Individual |  |  | Individual |  |  | Group |  |  | Total |  |  | Covid-19 |  |  | Total |  |  | Assets |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Loans and advances to Banks |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
0 days |  |  | 271,125 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 271,125 |  |  |  | (549 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (549 | ) |  |  | — |  |  |  | (549 | ) |  |  |  |
1 to 29 days |  |  | 102,567 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 102,567 |  |  |  | (128 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (128 | ) |  |  | — |  |  |  | (128 | ) |  |  |  |
30 to 59 days |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  |  |
60 to 89 days |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  |  |
> = 90 days |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  |  |
Subtotal |  |  | 373,692 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 373,692 |  |  |  | (677 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (677 | ) |  |  | — |  |  |  | (677 | ) |  |  | 373,015 |
Commercial loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
0 days |  |  | 14,830,653 |  |  |  | 4,390,886 |  |  |  | 244,263 |  |  |  | 90,196 |  |  |  | 77,668 |  |  |  | 19,633,666 |  |  |  | (150,565 | ) |  |  | (34,657 | ) |  |  | (18,649 | ) |  |  | (24,619 | ) |  |  | (20,625 | ) |  |  | (249,115 | ) |  |  | (31,595 | ) |  |  | (280,710 | ) |  |  |  |
1 to 29 days |  |  | 120,380 |  |  |  | 99,476 |  |  |  | 22,410 |  |  |  | 29,696 |  |  |  | 24,008 |  |  |  | 295,970 |  |  |  | (1,672 | ) |  |  | (3,878 | ) |  |  | (1,345 | ) |  |  | (6,236 | ) |  |  | (5,980 | ) |  |  | (19,111 | ) |  |  | (545 | ) |  |  | (19,656 | ) |  |  |  |
30 to 59 days |  |  | 7,560 |  |  |  | 34,552 |  |  |  | 17,302 |  |  |  | 14,375 |  |  |  | 22,225 |  |  |  | 96,014 |  |  |  | (174 | ) |  |  | (2,312 | ) |  |  | (741 | ) |  |  | (5,171 | ) |  |  | (5,636 | ) |  |  | (14,034 | ) |  |  | (193 | ) |  |  | (14,227 | ) |  |  |  |
60 to 89 days |  |  | 740 |  |  |  | 9,927 |  |  |  | 3,241 |  |  |  | 7,907 |  |  |  | 14,886 |  |  |  | 36,701 |  |  |  | (56 | ) |  |  | (1,174 | ) |  |  | (62 | ) |  |  | (3,676 | ) |  |  | (4,049 | ) |  |  | (9,017 | ) |  |  | (81 | ) |  |  | (9,098 | ) |  |  |  |
> = 90 days |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 72,488 |  |  |  | 150,871 |  |  |  | 223,359 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (36,233 | ) |  |  | (53,947 | ) |  |  | (90,180 | ) |  |  | (329 | ) |  |  | (90,509 | ) |  |  |  |
Subtotal |  |  | 14,959,333 |  |  |  | 4,534,841 |  |  |  | 287,216 |  |  |  | 214,662 |  |  |  | 289,658 |  |  |  | 20,285,710 |  |  |  | (152,467 | ) |  |  | (42,021 | ) |  |  | (20,797 | ) |  |  | (75,935 | ) |  |  | (90,237 | ) |  |  | (381,457 | ) |  |  | (32,743 | ) |  |  | (414,200 | ) |  |  | 19,871,510 |
Residential mortgage loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
0 days |  |  | — |  |  |  | 11,002,441 |  |  |  | — |  |  |  | — |  |  |  | 52,580 |  |  |  | 11,055,021 |  |  |  | — |  |  |  | (11,364 | ) |  |  | — |  |  |  | — |  |  |  | (4,024 | ) |  |  | (15,388 | ) |  |  | — |  |  |  | (15,388 | ) |  |  |  |
1 to 29 days |  |  | — |  |  |  | 149,652 |  |  |  | — |  |  |  | — |  |  |  | 23,442 |  |  |  | 173,094 |  |  |  | — |  |  |  | (1,908 | ) |  |  | — |  |  |  | — |  |  |  | (1,564 | ) |  |  | (3,472 | ) |  |  | — |  |  |  | (3,472 | ) |  |  |  |
30 to 59 days |  |  | — |  |  |  | 50,866 |  |  |  | — |  |  |  | — |  |  |  | 17,724 |  |  |  | 68,590 |  |  |  | — |  |  |  | (1,349 | ) |  |  | — |  |  |  | — |  |  |  | (1,148 | ) |  |  | (2,497 | ) |  |  | — |  |  |  | (2,497 | ) |  |  |  |
60 to 89 days |  |  | — |  |  |  | 17,460 |  |  |  | — |  |  |  | — |  |  |  | 13,217 |  |  |  | 30,677 |  |  |  | — |  |  |  | (533 | ) |  |  | — |  |  |  | — |  |  |  | (946 | ) |  |  | (1,479 | ) |  |  | — |  |  |  | (1,479 | ) |  |  |  |
> = 90 days |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 88,772 |  |  |  | 88,772 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (6,467 | ) |  |  | (6,467 | ) |  |  | — |  |  |  | (6,467 | ) |  |  |  |
Subtotal |  |  | — |  |  |  | 11,220,419 |  |  |  | — |  |  |  | — |  |  |  | 195,735 |  |  |  | 11,416,154 |  |  |  | — |  |  |  | (15,154 | ) |  |  | — |  |  |  | — |  |  |  | (14,149 | ) |  |  | (29,303 | ) |  |  | — |  |  |  | (29,303 | ) |  |  | 11,386,851 |
Consumer loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
0 days |  |  | — |  |  |  | 4,535,528 |  |  |  | — |  |  |  | — |  |  |  | 74,062 |  |  |  | 4,609,590 |  |  |  | — |  |  |  | (151,281 | ) |  |  | — |  |  |  | — |  |  |  | (45,533 | ) |  |  | (196,814 | ) |  |  | — |  |  |  | (196,814 | ) |  |  |  |
1 to 29 days |  |  | — |  |  |  | 162,285 |  |  |  | — |  |  |  | — |  |  |  | 20,345 |  |  |  | 182,630 |  |  |  | — |  |  |  | (25,429 | ) |  |  | — |  |  |  | — |  |  |  | (12,424 | ) |  |  | (37,853 | ) |  |  | — |  |  |  | (37,853 | ) |  |  |  |
30 to 59 days |  |  | — |  |  |  | 52,836 |  |  |  | — |  |  |  | — |  |  |  | 24,344 |  |  |  | 77,180 |  |  |  | — |  |  |  | (15,414 | ) |  |  | — |  |  |  | — |  |  |  | (15,709 | ) |  |  | (31,123 | ) |  |  | — |  |  |  | (31,123 | ) |  |  |  |
60 a 89 days |  |  | — |  |  |  | 19,915 |  |  |  | — |  |  |  | — |  |  |  | 21,236 |  |  |  | 41,151 |  |  |  | — |  |  |  | (7,919 | ) |  |  | — |  |  |  | — |  |  |  | (12,437 | ) |  |  | (20,356 | ) |  |  | — |  |  |  | (20,356 | ) |  |  |  |
> = 90 days |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 82,389 |  |  |  | 82,389 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (48,743 | ) |  |  | (48,743 | ) |  |  | — |  |  |  | (48,743 | ) |  |  |  |
Subtotal |  |  | — |  |  |  | 4,770,564 |  |  |  | — |  |  |  | — |  |  |  | 222,376 |  |  |  | 4,992,940 |  |  |  | — |  |  |  | (200,043 | ) |  |  | — |  |  |  | — |  |  |  | (134,846 | ) |  |  | (334,889 | ) |  |  | — |  |  |  | (334,889 | ) |  |  | 4,658,051 |
Total Loans |  |  | 15,333,025 |  |  |  | 20,525,824 |  |  |  | 287,216 |  |  |  | 214,662 |  |  |  | 707,769 |  |  |  | 37,068,496 |  |  |  | (153,144 | ) |  |  | (257,218 | ) |  |  | (20,797 | ) |  |  | (75,935 | ) |  |  | (239,232 | ) |  |  | (746,326 | ) |  |  | (32,743 | ) |  |  | (779,069 | ) |  |  | 36,289,427 |

93

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 13. | Financial assets at amortized cost, continued:

| (k) | Finance lease contracts:

The cash flows to be received by the Bank from finance lease contracts have the following maturities:

|  | Total receivable |  |  | Unearned income |  |  | Net balance receivable (*) |
|  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Within one year |  |  | 584,165 |  |  |  | 583,321 |  |  |  | (78,807 | ) |  |  | (76,614 | ) |  |  | 505,358 |  |  |  | 506,707 |
From 1 to 2 years |  |  | 432,115 |  |  |  | 433,397 |  |  |  | (57,439 | ) |  |  | (55,714 | ) |  |  | 374,676 |  |  |  | 377,683 |
From 2 to 3 years |  |  | 295,743 |  |  |  | 294,728 |  |  |  | (36,023 | ) |  |  | (35,133 | ) |  |  | 259,720 |  |  |  | 259,595 |
From 3 to 4 years |  |  | 190,819 |  |  |  | 191,083 |  |  |  | (23,037 | ) |  |  | (22,481 | ) |  |  | 167,782 |  |  |  | 168,602 |
From 4 to 5 years |  |  | 135,733 |  |  |  | 134,590 |  |  |  | (15,986 | ) |  |  | (15,614 | ) |  |  | 119,747 |  |  |  | 118,976 |
After 5 years |  |  | 377,403 |  |  |  | 378,280 |  |  |  | (33,534 | ) |  |  | (33,166 | ) |  |  | 343,869 |  |  |  | 345,114 |
Total |  |  | 2,015,978 |  |  |  | 2,015,399 |  |  |  | (244,826 | ) |  |  | (238,722 | ) |  |  | 1,771,152 |  |  |  | 1,776,677 |

| (*) | The net balance receivable does not include past-due portfolio totaling Ch$5,381 million as of March 31, 2023 (Ch$5,220 million in December 2022).

The Bank maintains financial lease operations associated with real estate, industrial machinery, vehicles and transportation equipment. These leases contracts have an average term between 2 and 15 years.

| (l) | Purchase of loan portfolio:

During the period ended as of March 31, 2023 and the year 2022 no portfolio purchases were made.

| (m) | Sale or transfer of loans from the loan portfolio:

There have not been operations of sale or transfer of the loan portfolio during the period 2023 and 2022.

| (n) | Securitization of own assets:

During the period 2023 and the year 2022, there is no securitization transactions executed involving its own assets.

94

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 14. | Investments in other companies:

| (a) | In the item “Investments in other companies” include investments of Ch$64,314 million as of March 31, 2023 (Ch$62,211 million as of December 31, 2022), as follows:

|  |  |  | % Ownership Interest |  |  | Equity |  |  | Assets |
|  |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |
Company |  | Shareholder |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  |  |  | % |  |  | % |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Associates |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Transbank S.A. |  | Banco de Chile |  |  | 26.16 |  |  |  | 26.16 |  |  |  | 112,562 |  |  |  | 109,762 |  |  |  | 29,870 |  |  |  | 29,015 |
Centro de Compensación Automatizado S.A. |  | Banco de Chile |  |  | 33.33 |  |  |  | 33.33 |  |  |  | 15,884 |  |  |  | 15,047 |  |  |  | 5,483 |  |  |  | 5,172 |
Redbanc S.A. |  | Banco de Chile |  |  | 38.13 |  |  |  | 38.13 |  |  |  | 11,788 |  |  |  | 11,368 |  |  |  | 4,577 |  |  |  | 4,400 |
Administrador Financiero del Transantiago S.A. |  | Banco de Chile |  |  | 20.00 |  |  |  | 20.00 |  |  |  | 21,080 |  |  |  | 20,626 |  |  |  | 4,496 |  |  |  | 4,366 |
Sociedad Interbancaria de Depósitos de Valores S.A. |  | Banco de Chile |  |  | 26.81 |  |  |  | 26.81 |  |  |  | 7,479 |  |  |  | 7,255 |  |  |  | 2,126 |  |  |  | 2,066 |
Sociedad Imerc OTC S.A. |  | Banco de Chile |  |  | 12.33 |  |  |  | 12.33 |  |  |  | 13,404 |  |  |  | 13,213 |  |  |  | 1,697 |  |  |  | 1,662 |
Sociedad Operadora de la Cámara de Compensación de Pagos de Alto Valor S.A. |  | Banco de Chile |  |  | 15.00 |  |  |  | 15.00 |  |  |  | 7,438 |  |  |  | 7,353 |  |  |  | 1,164 |  |  |  | 1,145 |
Subtotal Associates |  |  |  |  |  |  |  |  |  |  |  |  | 189,635 |  |  |  | 184,624 |  |  |  | 49,413 |  |  |  | 47,826 |
Joint Ventures |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Servipag Ltda. |  | Banco de Chile |  |  | 50.00 |  |  |  | 50.00 |  |  |  | 14,282 |  |  |  | 13,662 |  |  |  | 7,141 |  |  |  | 6,831 |
Artikos Chile S.A. |  | Banco de Chile |  |  | 50.00 |  |  |  | 50.00 |  |  |  | 2,899 |  |  |  | 2,632 |  |  |  | 1,653 |  |  |  | 1,520 |
Subtotal Joint Ventures |  |  |  |  |  |  |  |  |  |  |  |  | 17,181 |  |  |  | 16,294 |  |  |  | 8,794 |  |  |  | 8,351 |
Subtotal |  |  |  |  |  |  |  |  |  |  |  |  | 206,816 |  |  |  | 200,918 |  |  |  | 58,207 |  |  |  | 56,177 |
Minority Investments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Sociedad de Infraestructuras de Mercado S.A.(*) (**) |  | Banchile Corredores de Bolsa |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 4,442 |  |  |  | — |
Bolsa de Comercio de Santiago S.A. (*) (**) |  | Banchile Corredores de Bolsa |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 975 |  |  |  | 5,342 |
Bolsa Electrónica de Chile S.A. (*) |  | Banchile Corredores de Bolsa |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 350 |  |  |  | 350 |
Banco Latinoamericano de Comercio Exterior S.A. (Bladex) |  | Banco de Chile |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 309 |  |  |  | 309 |
Sociedad de Telecomunicaciones Financieras Interbancarias Mundiales (Swift) |  | Banco de Chile |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 23 |  |  |  | 25 |
CCLV Contraparte Central S.A. |  | Banchile Corredores de Bolsa |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 8 |  |  |  | 8 |
Subtotal Minority Investments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 6,107 |  |  |  | 6,034 |
Total |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 64,314 |  |  |  | 62,211 |

| (*) | Investments in shares have been irrevocably designated as at fair value through other comprehensive income and, therefore, are recorded at market value in accordance with IFRS 9.

| (**) | On March 1, 2023, the division of the Bolsa de Comercio de Santiago (Santiago Stock Exchange) was materialized, remaining as the continuing entity and establishing from it the Sociedad de Infraestructuras de Mercado S.A. (“SIM”).

95

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 14. | Investments in other companies, continued:

| (b) | Associates:

|  | March 2023 |
|  | Centro de Compensación Automatizado S.A. |  |  | Sociedad Operadora de la Cámara de Compensación de Pagos de Alto Valor S.A. |  |  | Sociedad Interbancaria de Depósitos de Valores S.A. |  |  | Redbanc S.A. |  |  | Transbank S.A. |  |  | Administrador Financiero del Transantiago S.A. |  |  | Sociedad Imerc OTC S.A. |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Current assets |  |  | 9,297 |  |  |  | 1,713 |  |  |  | 71 |  |  |  | 14,925 |  |  |  | 1,375,617 |  |  |  | 63,316 |  |  |  | 22,354 |  |  |  | 1,487,293 |
Non-current assets |  |  | 10,374 |  |  |  | 6,742 |  |  |  | 7,862 |  |  |  | 15,845 |  |  |  | 135,001 |  |  |  | 777 |  |  |  | 10,691 |  |  |  | 187,292 |
Total Assets |  |  | 19,671 |  |  |  | 8,455 |  |  |  | 7,933 |  |  |  | 30,770 |  |  |  | 1,510,618 |  |  |  | 64,093 |  |  |  | 33,045 |  |  |  | 1,674,585 |
Current liabilities |  |  | 3,499 |  |  |  | 1,017 |  |  |  | 454 |  |  |  | 16,975 |  |  |  | 1,396,989 |  |  |  | 43,013 |  |  |  | 17,963 |  |  |  | 1,479,910 |
Non-current liabilities |  |  | 288 |  |  |  | — |  |  |  | — |  |  |  | 2,007 |  |  |  | 1,067 |  |  |  | — |  |  |  | 1,669 |  |  |  | 5,031 |
Total Liabilities |  |  | 3,787 |  |  |  | 1,017 |  |  |  | 454 |  |  |  | 18,982 |  |  |  | 1,398,056 |  |  |  | 43,013 |  |  |  | 19,632 |  |  |  | 1,484,941 |
Equity |  |  | 15,884 |  |  |  | 7,438 |  |  |  | 7,479 |  |  |  | 11,788 |  |  |  | 112,562 |  |  |  | 21,080 |  |  |  | 13,404 |  |  |  | 189,635 |
Minority interest |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 9 |  |  |  | 9 |
Total Liabilities and Equity |  |  | 19,671 |  |  |  | 8,455 |  |  |  | 7,933 |  |  |  | 30,770 |  |  |  | 1,510,618 |  |  |  | 64,093 |  |  |  | 33,045 |  |  |  | 1,674,585 |
Operating income |  |  | 2,945 |  |  |  | 821 |  |  |  | 1 |  |  |  | 9,536 |  |  |  | 159,698 |  |  |  | 790 |  |  |  | 1,639 |  |  |  | 175,430 |
Operating expenses |  |  | (1,911 | ) |  |  | (719 | ) |  |  | (2 | ) |  |  | (8,987 | ) |  |  | (136,788 | ) |  |  | (382 | ) |  |  | (1,343 | ) |  |  | (150,132 | )
Other expenses or income |  |  | 197 |  |  |  | 42 |  |  |  | 230 |  |  |  | 16 |  |  |  | (19,260 | ) |  |  | 482 |  |  |  | 128 |  |  |  | (18,165 | )
Gain (loss) before tax |  |  | 1,231 |  |  |  | 144 |  |  |  | 229 |  |  |  | 565 |  |  |  | 3,650 |  |  |  | 890 |  |  |  | 424 |  |  |  | 7,133 |
Income tax |  |  | (281 | ) |  |  | (10 | ) |  |  | — |  |  |  | (122 | ) |  |  | (596 | ) |  |  | (240 | ) |  |  | (104 | ) |  |  | (1,353 | )
Gain for the period |  |  | 950 |  |  |  | 134 |  |  |  | 229 |  |  |  | 443 |  |  |  | 3,054 |  |  |  | 650 |  |  |  | 320 |  |  |  | 5,780 |

|  | December 2022 |
|  | Centro de Compensación Automatizado S.A. |  |  | Sociedad Operadora de la Cámara de Compensación de Pagos de Alto Valor S.A. |  |  | Sociedad Interbancaria de Depósitos de Valores S.A. |  |  | Redbanc S.A. |  |  | Transbank S.A. |  |  | Administrador Financiero del Transantiago S.A. |  |  | Sociedad Imerc OTC S.A. |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Current assets |  |  | 8,954 |  |  |  | 6,646 |  |  |  | 81 |  |  |  | 14,459 |  |  |  | 1,359,640 |  |  |  | 59,946 |  |  |  | 31,105 |  |  |  | 1,480,831 |
Non-current assets |  |  | 10,388 |  |  |  | 1,711 |  |  |  | 7,637 |  |  |  | 16,058 |  |  |  | 137,505 |  |  |  | 793 |  |  |  | 4,459 |  |  |  | 178,551 |
Total Assets |  |  | 19,342 |  |  |  | 8,357 |  |  |  | 7,718 |  |  |  | 30,517 |  |  |  | 1,497,145 |  |  |  | 60,739 |  |  |  | 35,564 |  |  |  | 1,659,382 |
Current liabilities |  |  | 3,986 |  |  |  | 1,004 |  |  |  | 463 |  |  |  | 17,595 |  |  |  | 1,385,956 |  |  |  | 40,113 |  |  |  | 20,672 |  |  |  | 1,469,789 |
Non-current liabilities |  |  | 309 |  |  |  | — |  |  |  | — |  |  |  | 1,554 |  |  |  | 1,427 |  |  |  | — |  |  |  | 1,670 |  |  |  | 4,960 |
Total Liabilities |  |  | 4,295 |  |  |  | 1,004 |  |  |  | 463 |  |  |  | 19,149 |  |  |  | 1,387,383 |  |  |  | 40,113 |  |  |  | 22,342 |  |  |  | 1,474,749 |
Equity |  |  | 15,047 |  |  |  | 7,353 |  |  |  | 7,255 |  |  |  | 11,368 |  |  |  | 109,762 |  |  |  | 20,626 |  |  |  | 13,213 |  |  |  | 184,624 |
Minority interest |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 9 |  |  |  | 9 |
Total Liabilities and Equity |  |  | 19,342 |  |  |  | 8,357 |  |  |  | 7,718 |  |  |  | 30,517 |  |  |  | 1,497,145 |  |  |  | 60,739 |  |  |  | 35,564 |  |  |  | 1,659,382 |
Operating income |  |  | 7,516 |  |  |  | 4,550 |  |  |  | 17 |  |  |  | 51,851 |  |  |  | 969,177 |  |  |  | 4,468 |  |  |  | 8,882 |  |  |  | 1,046,461 |
Operating expenses |  |  | (2,612 | ) |  |  | (4,279 | ) |  |  | (49 | ) |  |  | (50,155 | ) |  |  | (835,126 | ) |  |  | (2,296 | ) |  |  | (8,412 | ) |  |  | (902,929 | )
Other expenses or income |  |  | 907 |  |  |  | 667 |  |  |  | 1,540 |  |  |  | 264 |  |  |  | (103,854 | ) |  |  | 2,339 |  |  |  | 877 |  |  |  | (97,260 | )
Gain (loss) before tax |  |  | 5,811 |  |  |  | 938 |  |  |  | 1,508 |  |  |  | 1,960 |  |  |  | 30,197 |  |  |  | 4,511 |  |  |  | 1,347 |  |  |  | 46,272 |
Income tax |  |  | (1,109 | ) |  |  | (8 | ) |  |  | — |  |  |  | (249 | ) |  |  | (3,952 | ) |  |  | (490 | ) |  |  | (473 | ) |  |  | (6,281 | )
Gain (loss) for the year |  |  | 4,702 |  |  |  | 930 |  |  |  | 1,508 |  |  |  | 1,711 |  |  |  | 26,245 |  |  |  | 4,021 |  |  |  | 874 |  |  |  | 39,991 |

96

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 14. | Inversiones en Sociedades, continuación:

| (c) | Joint Ventures:

The Bank owns a 50% interest in the companies Artikos Chile S.A. and Servipag Ltda., wich it controls jointly. The Bank’s interest in both entities is accounted for using the equity method in the Consolidated Financial Statements.

The table below presents summarized financial information of the entities the Bank controls jointly:

|  | Artikos S.A. |  |  | Servipag Ltda. |
|  | March |  |  | December |  |  | March |  |  | December |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Current assets |  |  | 2,648 |  |  |  | 2,540 |  |  |  | 100,652 |  |  |  | 76,085 |
Non-current assets |  |  | 1,838 |  |  |  | 1,985 |  |  |  | 14,185 |  |  |  | 14,605 |
Total Assets |  |  | 4,486 |  |  |  | 4,525 |  |  |  | 114,837 |  |  |  | 90,690 |
Current liabilities |  |  | 1,014 |  |  |  | 1,326 |  |  |  | 97,537 |  |  |  | 73,923 |
Non-current liabilities |  |  | 573 |  |  |  | 567 |  |  |  | 3,018 |  |  |  | 3,105 |
Total Liabilities |  |  | 1,587 |  |  |  | 1,893 |  |  |  | 100,555 |  |  |  | 77,028 |
Equity |  |  | 2,899 |  |  |  | 2,632 |  |  |  | 14,282 |  |  |  | 13,662 |
Total Liabilities and Equity |  |  | 4,486 |  |  |  | 4,525 |  |  |  | 114,837 |  |  |  | 90,690 |
Operating income |  |  | 1,011 |  |  |  | 5,559 |  |  |  | 7,026 |  |  |  | 40,403 |
Operating expenses |  |  | (669 | ) |  |  | (3,905 | ) |  |  | (6,323 | ) |  |  | (36,347 | )
Other expenses or income |  |  | 24 |  |  |  | 69 |  |  |  | 90 |  |  |  | 525 |
Profit before tax |  |  | 366 |  |  |  | 1,723 |  |  |  | 793 |  |  |  | 4,581 |
Income tax |  |  | (99 | ) |  |  | (362 | ) |  |  | (173 | ) |  |  | (849 | )
Profit for the period /year |  |  | 267 |  |  |  | 1,361 |  |  |  | 620 |  |  |  | 3,732 |

| (d) | The change of investments in companies registered under the equity method in the period of 2023 and 2022, are as follows:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Balance as of January 1, |  |  | 56,177 |  |  |  | 46,923 |
Acquisition of investments in companies |  |  | — |  |  |  | — |
Participation on income in companies with significant influence and joint control |  |  | 1,978 |  |  |  | 1,522 |
Dividends received |  |  | — |  |  |  | — |
Others |  |  | 52 |  |  |  | 8 |
Total |  |  | 58,207 |  |  |  | 48,453 |

| (e) | During the period ended as of March 31, 2023 and 2022 no impairment has incurred in these investments.

97

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 15. | Intangible Assets:

| (a) | The composition of intangible assets as of March 31, 2023 and December 31, 2022, are as follows:

|  | Useful Life |  |  | Average remaining amortization |  |  | Gross balance |  |  | Accumulated Amortization |  |  | Net balance |
|  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March | December |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 | 2022 |
|  | Years |  |  | Years |  |  | Years |  |  | Years |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ | MCh$ |
Other independently originated intangible assets |  | 6 |  |  | 6 |  |  | 5 |  |  | 5 |  |  |  | 272,413 |  |  |  | 263,268 |  |  |  | (162,255 | ) |  |  | (156,648 | ) |  |  | 110,158 |  | 106,620 |
Total |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 272,413 |  |  |  | 263,268 |  |  |  | (162,255 | ) |  |  | (156,648 | ) |  |  | 110,158 |  | 106,620 |

98

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 15. | Intangible Assets, continued:

| (b) | The change of intangible assets during the periods ended as of March 31, 2023 and December 31, 2022, are as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Gross Balance |  |  |  |  |  |
Balance as of January 1, |  |  | 263,268 |  |  |  | 209,432 |
Acquisition |  |  | 10,193 |  |  |  | 56,891 |
Disposals/ write-downs |  |  | (1,048 | ) |  |  | (2,751 | )
Reclassification |  |  | — |  |  |  | (182 | )
Impairment |  |  | — |  |  |  | (122 | )
Total |  |  | 272,413 |  |  |  | 263,268 |
Accumulated Amortization |  |  |  |  |  |  |  |
Balance as of January 1, |  |  | (156,648 | ) |  |  | (136,900 | )
Amortization for the period (*) |  |  | (6,655 | ) |  |  | (21,502 | )
Disposals/ write-downs |  |  | 1,048 |  |  |  | 1,572 |
Reclassification |  |  | — |  |  |  | 182 |
Impairment |  |  | — |  |  |  | — |
Total |  |  | (162,255 | ) |  |  | (156,648 | )
Balance Net |  |  | 110,158 |  |  |  | 106,620 |

| (*) | See Note No. 39 Depreciation and Amortization.

| (c) | As of March 31, 2023 and December 31, 2022, the Bank maintains the following amounts with technological developments:

|  | Commitment Amount |
|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Detail |  |  |  |  |  |  |  |
Software and licenses |  |  | 8,444 |  |  |  | 15,213 |

| (d) | As of March 31, 2023, there are no indications or concrete evidence of impairment. As of the date of these financial statements have been no events that require the recognition of impairment in them.

99

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 16. | Property and equipment:

| (a) | The properties and equipment as of March 31, 2023 and December 31, 2022 are composed as follows:

|  | Useful Life |  |  | Average remaining depreciation |  |  | Gross balance |  |  | Accumulated Depreciation |  |  | Net balance |
|  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  | Years |  |  | Years |  |  | Years |  |  | Years |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Type of property and equipment: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Land and Buildings |  |  | 25 |  |  |  | 25 |  |  |  | 18 |  |  |  | 18 |  |  |  | 318,224 |  |  |  | 316,968 |  |  |  | (159,955 | ) |  |  | (157,810 | ) |  |  | 158,269 |  |  |  | 159,158 |
Equipment |  |  | 5 |  |  |  | 5 |  |  |  | 3 |  |  |  | 3 |  |  |  | 250,281 |  |  |  | 246,706 |  |  |  | (207,269 | ) |  |  | (203,136 | ) |  |  | 43,012 |  |  |  | 43,570 |
Others |  |  | 7 |  |  |  | 7 |  |  |  | 4 |  |  |  | 4 |  |  |  | 58,912 |  |  |  | 58,890 |  |  |  | (51,547 | ) |  |  | (51,494 | ) |  |  | 7,365 |  |  |  | 7,396 |
Total |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 627,417 |  |  |  | 622,564 |  |  |  | (418,771 | ) |  |  | (412,440 | ) |  |  | 208,646 |  |  |  | 210,124 |

100

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 16. | Property and equipment, continued:

| (b) | The changes in properties and equipment as of March 31, 2023 and December 31, 2022, are as follows:

|  | March 2023 |
|  | Land and Buildings |  |  | Equipment |  |  | Others |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Gross Balance |  |  |  |  |  |  |  |  |  |  |  |
Balance as of January 1, 2023 |  |  | 316,968 |  |  |  | 246,706 |  |  |  | 58,890 |  |  |  | 622,564 |
Additions |  |  | 1,619 |  |  |  | 4,050 |  |  |  | 594 |  |  |  | 6,263 |
Write-downs and sales of the period |  |  | (363 | ) |  |  | (474 | ) |  |  | (572 | ) |  |  | (1,409 | )
Transfers |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Impairment (***) |  |  | — |  |  |  | (1 | ) |  |  | — |  |  |  | (1 | )
Total |  |  | 318,224 |  |  |  | 250,281 |  |  |  | 58,912 |  |  |  | 627,417 |
Accumulated Depreciation |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Balance as of January 1, 2023 |  |  | (157,810 | ) |  |  | (203,136 | ) |  |  | (51,494 | ) |  |  | (412,440 | )
Reclassification |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Depreciation of the period (*) (**) |  |  | (2,281 | ) |  |  | (4,606 | ) |  |  | (607 | ) |  |  | (7,494 | )
Write-downs and sales of the period |  |  | 136 |  |  |  | 473 |  |  |  | 554 |  |  |  | 1,163 |
Transfers |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Total |  |  | (159,955 | ) |  |  | (207,269 | ) |  |  | (51,547 | ) |  |  | (418,771 | )
Balance as of March 31, 2023 |  |  | 158,269 |  |  |  | 43,012 |  |  |  | 7,365 |  |  |  | 208,646 |

|  | December 2022 |
|  | Land and Buildings |  |  | Equipment |  |  | Others |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Gross Balance |  |  |  |  |  |  |  |  |  |  |  |
Balance as of January 1, 2022 |  |  | 311,279 |  |  |  | 243,757 |  |  |  | 56,582 |  |  |  | 611,618 |
Additions |  |  | 6,041 |  |  |  | 9,823 |  |  |  | 2,842 |  |  |  | 18,706 |
Write-downs and sales of the year |  |  | (352 | ) |  |  | (6,900 | ) |  |  | (498 | ) |  |  | (7,750 | )
Transfers |  |  | — |  |  |  | 36 |  |  |  | (36 | ) |  |  | — |
Impairment |  |  | — |  |  |  | (10 | ) |  |  | — |  |  |  | (10 | )
Total |  |  | 316,968 |  |  |  | 246,706 |  |  |  | 58,890 |  |  |  | 622,564 |
Accumulated Depreciation |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Balance as of January 1, 2022 |  |  | (148,645 | ) |  |  | (191,334 | ) |  |  | (49,319 | ) |  |  | (389,298 | )
Reclassification |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Depreciation of the year (**) |  |  | (9,228 | ) |  |  | (18,650 | ) |  |  | (2,701 | ) |  |  | (30,579 | )
Write-downs and sales of the year |  |  | 63 |  |  |  | 6,883 |  |  |  | 490 |  |  |  | 7,436 |
Transfers |  |  | — |  |  |  | (36 | ) |  |  | 36 |  |  |  | — |
Impairment |  |  | — |  |  |  | 1 |  |  |  | — |  |  |  | 1 |
Total |  |  | (157,810 | ) |  |  | (203,136 | ) |  |  | (51,494 | ) |  |  | (412,440 | )
Balance as of December 31, 2022 |  |  | 159,158 |  |  |  | 43,570 |  |  |  | 7,396 |  |  |  | 210,124 |

| (*) | See Note No. 39 Depreciation and Amortization.

| (**) | This amount does not include the depreciation of the Investment Properties, amount is included in “Other Assets” for Ch$89 million (Ch$357 millon in December 2022).

| (***) | See Note No. 40 Impairment of non-financial assets.

As of March 31, 2023 and December 31, 2022, there are no restrictions on the fixed assets of the Bank and its subsidiaries.

101

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 17. | Right-of-use assets and Lease liabilities:

| (a) | The composition of the rights over leased assets as of March 31, 2023 and December 31, 2022, is as follows:

|  | Gross Balance |  |  | Accumulated Depreciation |  |  | Net Balance |
|  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Categories |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Buildings |  |  | 149,458 |  |  |  | 144,482 |  |  |  | (68,268 | ) |  |  | (64,352 | ) |  |  | 81,190 |  |  |  | 80,130 |
Floor space for ATMs |  |  | 48,557 |  |  |  | 43,492 |  |  |  | (38,918 | ) |  |  | (35,735 | ) |  |  | 9,639 |  |  |  | 7,757 |
Improvements to leased properties |  |  | 28,747 |  |  |  | 28,595 |  |  |  | (21,635 | ) |  |  | (21,561 | ) |  |  | 7,112 |  |  |  | 7,034 |
Total |  |  | 226,762 |  |  |  | 216,569 |  |  |  | (128,821 | ) |  |  | (121,648 | ) |  |  | 97,941 |  |  |  | 94,921 |

| (b) | The changes of the rights over leased assets as of March 31, 2023 and December 31, 2022, is as follows:

|  | March 2023 |
|  | Buildings |  |  | Floor space for ATMs |  |  | Improvements to leased properties |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Gross Balance |  |  |  |  |  |  |  |  |  |  |  |
Balance as of January 1, 2023 |  |  | 144,482 |  |  |  | 43,492 |  |  |  | 28,595 |  |  |  | 216,569 |
Additions |  |  | 6,146 |  |  |  | 5,081 |  |  |  | 314 |  |  |  | 11,541 |
Write-downs |  |  | (1,170 | ) |  |  | (16 | ) |  |  | (162 | ) |  |  | (1,348 | )
Remeasurement |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Total |  |  | 149,458 |  |  |  | 48,557 |  |  |  | 28,747 |  |  |  | 226,762 |
Accumulated Depreciation |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Balance as of January 1, 2023 |  |  | (64,352 | ) |  |  | (35,735 | ) |  |  | (21,561 | ) |  |  | (121,648 | )
Depreciation of the period (*) |  |  | (5,086 | ) |  |  | (3,199 | ) |  |  | (236 | ) |  |  | (8,521 | )
Write-downs |  |  | 1,170 |  |  |  | 16 |  |  |  | 162 |  |  |  | 1,348 |
Total |  |  | (68,268 | ) |  |  | (38,918 | ) |  |  | (21,635 | ) |  |  | (128,821 | )
Balance as of March 31, 2023 |  |  | 81,190 |  |  |  | 9,639 |  |  |  | 7,112 |  |  |  | 97,941 |

| (*) | See Note No. 39 Depreciation and Amortization.

102

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 17. | Right-of-use assets and Lease liabilities, continued:

| (b) | The changes of the rights over leased assets as of March 31, 2023 and December 31, 2022, is as follows continued:

|  | December 2022 |
|  | Buildings |  |  | Floor space for ATMs |  |  | Improvements to leased properties |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Gross Balance |  |  |  |  |  |  |  |  |  |  |  |
Balance as of January 1, 2022 |  |  | 124,978 |  |  |  | 42,051 |  |  |  | 26,066 |  |  |  | 193,095 |
Additions |  |  | 23,930 |  |  |  | 2,819 |  |  |  | 2,529 |  |  |  | 29,278 |
Write-downs |  |  | (4,296 | ) |  |  | (1,002 | ) |  |  | — |  |  |  | (5,298 | )
Remeasurement |  |  | (130 | ) |  |  | (376 | ) |  |  | — |  |  |  | (506 | )
Total |  |  | 144,482 |  |  |  | 43,492 |  |  |  | 28,595 |  |  |  | 216,569 |
Accumulated Depreciation |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Balance as of January 1, 2022 |  |  | (46,743 | ) |  |  | (25,566 | ) |  |  | (20,598 | ) |  |  | (92,907 | )
Depreciation of the year |  |  | (19,636 | ) |  |  | (11,168 | ) |  |  | (963 | ) |  |  | (31,767 | )
Write-downs |  |  | 2,027 |  |  |  | 999 |  |  |  | — |  |  |  | 3,026 |
Total |  |  | (64,352 | ) |  |  | (35,735 | ) |  |  | (21,561 | ) |  |  | (121,648 | )
Balance as of December 31, 2022 |  |  | 80,130 |  |  |  | 7,757 |  |  |  | 7,034 |  |  |  | 94,921 |

| (c) | Below are the future maturities (including unearned interest) of the lease liabilities as of March 31, 2023 and December 31, 2022:

|  | March 2023 |
|  | Demand |  |  | Up to 1 month |  |  | Over 1 month and up to 3 months |  |  | Over 3 months and up to 12 months |  |  | Over 1 year and up to 3 years |  |  | Over 3 years and up to 5 years |  |  | Over 5 years |  |  | Total |
Lease associated to: |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Buildings |  |  | — |  |  |  | 1,911 |  |  |  | 3,795 |  |  |  | 15,793 |  |  |  | 28,832 |  |  |  | 19,185 |  |  |  | 22,174 |  |  |  | 91,690 |
ATMs |  |  | — |  |  |  | 1,226 |  |  |  | 2,436 |  |  |  | 2,919 |  |  |  | 3,269 |  |  |  | 2,339 |  |  |  | 686 |  |  |  | 12,875 |
Total |  |  | — |  |  |  | 3,137 |  |  |  | 6,231 |  |  |  | 18,712 |  |  |  | 32,101 |  |  |  | 21,524 |  |  |  | 22,860 |  |  |  | 104,565 |

|  | December 2022 |
|  | Demand |  |  | Up to 1 month |  |  | Over 1 month and up to 3 months |  |  | Over 3 months and up to 12 months |  |  | Over 1 year and up to 3 years |  |  | Over 3 years and up to 5 years |  |  | Over 5 years |  |  | Total |
Lease associated to: |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Buildings |  |  | — |  |  |  | 1,869 |  |  |  | 3,672 |  |  |  | 15,954 |  |  |  | 30,707 |  |  |  | 19,172 |  |  |  | 21,533 |  |  |  | 92,907 |
ATMs |  |  | — |  |  |  | 1,098 |  |  |  | 2,176 |  |  |  | 4,684 |  |  |  | 1,138 |  |  |  | 206 |  |  |  | 79 |  |  |  | 9,381 |
Total |  |  | — |  |  |  | 2,967 |  |  |  | 5,848 |  |  |  | 20,638 |  |  |  | 31,845 |  |  |  | 19,378 |  |  |  | 21,612 |  |  |  | 102,288 |

103

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 17. | Right-of-use assets and Lease liabilities, continued:

The Bank and its subsidiaries maintain contracts with certain renewal options and for which there is reasonable certainty that said option shall be carried out. In such cases, the lease period used to measure the liability and assets corresponds to an estimate of future renewals.

The changes of the obligations for lease liabilities and the flows for the periods 2023 and 2022 are as follows:

|  | Total cash flow for the period |
Lease liability |  | MCh$ |
Balances as of January 1, 2022 |  |  | 95,670 |
Liabilities for new lease agreements |  |  | 2,077 |
Interest accrued expenses |  |  | 457 |
Payments of capital and interests |  |  | (7,709 | )
Remeasurement |  |  | — |
Derecognized contracts |  |  | (1,092 | )
Readjustments |  |  | 1,908 |
Balances as of March 31, 2022 |  |  | 91,311 |
Liabilities for new lease agreements |  |  | 14,482 |
Interest expenses |  |  | 1,408 |
Payments of capital and interests |  |  | (24,666 | )
Remeasurement |  |  | (506 | )
Derecognized contracts |  |  | (928 | )
Readjustments |  |  | 8,268 |
Balances as of December 31, 2022 |  |  | 89,369 |
Liabilities for new lease agreements |  |  | 10,224 |
Interest accrued expenses |  |  | 439 |
Payments of capital and interests |  |  | (8,842 | )
Remeasurement |  |  | — |
Derecognized contracts |  |  | — |
Readjustments |  |  | 1,003 |
Balances as of March 31, 2023 |  |  | 92,193 |

| (d) | The future cash flows related to short-term lease agreements in effect as of March 31, 2023 correspond to Ch$3,190 million (Ch$3,483 million as of December 31, 2022).

104

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

18. | Taxes:

| (a) | Current Taxes:

The Bank and its subsidiaries at the end of each period, have constituted a First Category Income Tax Provision, which was determined based on current tax regulations, and has been reflected in the Statement of Financial Position net of taxes to be recovered or payable, as applicable, as of March 31, 2023 and December 31, 2022 according to the following detail:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Income tax |  |  | 78,864 |  |  |  | 311,532 |
Tax Previous year |  |  | (190,516 | ) |  |  | — |
Less: |  |  |  |  |  |  |  |
Monthly prepaid taxes |  |  | (135,143 | ) |  |  | (492,990 | )
Credit for training expenses |  |  | — |  |  |  | (2,216 | )
Others |  |  | (348 | ) |  |  | (2,795 | )
Total Tax Refundable (net) |  |  | (247,143 | ) |  |  | (186,469 | )
Tax rate |  |  | 27 | % |  |  | 27 | %

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Current tax assets |  |  | 248,155 |  |  |  | 187,401 |
Current tax liabilities |  |  | (1,012 | ) |  |  | (932 | )
Total tax receivable (payable), net |  |  | 247,143 |  |  |  | 186,469 |

| (b) | Income Tax:

The effect of the tax expense during the periods between January 1 and March 31, 2023 and 2022, are broken down as follows:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Income tax expense: |  |  |  |  |  |
Current year tax |  |  | 63,661 |  |  |  | 67,639 |
Tax Previous year |  |  | — |  |  |  | — |
Subtotal |  |  | 63,661 |  |  |  | 67,639 |
(Credit) Debit for deferred taxes: |  |  |  |  |  |  |  |
Origin and reversal of temporary differences |  |  | 5,549 |  |  |  | (11,256 | )
Subtotal |  |  | 5,549 |  |  |  | (11,256 | )
Others |  |  | (1,610 | ) |  |  | 3,264 |
Net charge to income for income taxes |  |  | 67,600 |  |  |  | 59,647 |

105

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 18. | Taxes, continued:

| (c) | Reconciliation of effective tax rate:

The following is a reconciliation of the income tax rate to the effective rate applied to determine the Bank’s income tax expense as of March 31, 2023 and 2022:

|  | March 2023 |  |  | March 2022 |
|  | Tax rate |  |  |  |  |  | Tax rate |  |  |  |
|  | % |  |  | MCh$ |  |  | % |  |  | MCh$ |
Income tax calculated on net income before tax |  |  | 27.00 |  |  |  | 90,059 |  |  |  | 27.00 |  |  |  | 94,871 |
Additions or deductions |  |  | (0.63 | ) |  |  | (2,116 | ) |  |  | (0.05 | ) |  |  | (187 | )
Price-level restatement |  |  | (5.76 | ) |  |  | (19,229 | ) |  |  | (10.81 | ) |  |  | (37,976 | )
Others |  |  | (0.33 | ) |  |  | (1,114 | ) |  |  | 0.84 |  |  |  | 2,939 |
Effective rate and income tax expense |  |  | 20.28 |  |  |  | 67,600 |  |  |  | 16.98 |  |  |  | 59,647 |

The effective rate for income tax for the period 2023 is 20.28% (16.98% in March 2022).

| (d) | Effect of deferred taxes on income and equity:

The Bank and its subsidiaries have recorded the effects of deferred taxes in their Interim Consolidated Financial Statements. The effects of deferred taxes on assets, liabilities and income accounts as of March 31, 2023:

|  | Balances as of December 31, |  |  | Effect on |  |  | Balances as of March 31, |
|  | 2022 |  |  | Income |  |  | Equity |  |  | 2023 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Debit Differences: |  |  |  |  |  |  |  |  |  |  |  |
Allowances for loan losses |  |  | 376,743 |  |  |  | 1,210 |  |  |  | — |  |  |  | 377,953 |
Personnel provisions |  |  | 20,228 |  |  |  | (8,097 | ) |  |  | — |  |  |  | 12,131 |
Provision of undrawn credit lines |  |  | 3,429 |  |  |  | (128 | ) |  |  | — |  |  |  | 3,301 |
Staff vacations provisions |  |  | 11,139 |  |  |  | (38 | ) |  |  | — |  |  |  | 11,101 |
Accrued interests adjustments from impaired loans |  |  | 10,305 |  |  |  | 1,030 |  |  |  | — |  |  |  | 11,335 |
Staff severance indemnities provision |  |  | 1,368 |  |  |  | (48 | ) |  |  | 31 |  |  |  | 1,351 |
Provision of credit cards expenses |  |  | 9,146 |  |  |  | (781 | ) |  |  | — |  |  |  | 8,365 |
Provision of accrued expenses |  |  | 11,829 |  |  |  | (2,062 | ) |  |  | — |  |  |  | 9,767 |
Adjustment for valuation of financial assets at fair value through other comprehensive income |  |  | 4,693 |  |  |  | — |  |  |  | (2,573 | ) |  |  | 2,120 |
Leasing |  |  | 89,821 |  |  |  | 3,075 |  |  |  | — |  |  |  | 92,896 |
Incomes received in advance |  |  | 9,012 |  |  |  | (642 | ) |  |  | — |  |  |  | 8,370 |
Other adjustments |  |  | 31,552 |  |  |  | 1,076 |  |  |  | — |  |  |  | 32,628 |
Total Debit Differences |  |  | 579,265 |  |  |  | (5,405 | ) |  |  | (2,542 | ) |  |  | 571,318 |
Credit Differences: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Depreciation and price-level restatement of property and equipment |  |  | 10,937 |  |  |  | 499 |  |  |  | — |  |  |  | 11,436 |
Transitory assets |  |  | 7,953 |  |  |  | 3,419 |  |  |  | — |  |  |  | 11,372 |
Loans accrued to effective rate |  |  | 2,441 |  |  |  | 29 |  |  |  | — |  |  |  | 2,470 |
Prepaid expenses |  |  | 2,688 |  |  |  | (647 | ) |  |  | — |  |  |  | 2,041 |
Other adjustments |  |  | 15,737 |  |  |  | (3,156 | ) |  |  | 20 |  |  |  | 12,601 |
Total Credit Differences |  |  | 39,756 |  |  |  | 144 |  |  |  | 20 |  |  |  | 39,920 |
Total, Net |  |  | 539,509 |  |  |  | (5,549 | ) |  |  | (2,562 | ) |  |  | 531,398 |

106

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 18. | Taxes, continued:

| (d) | Effect of deferred taxes on income and equity, continued:

Reconciliation to Statement of Financial Position:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Deferred tax assets |  |  | 531,476 |  |  |  | 539,509 |
Deferred tax liabilities |  |  | (78 | ) |  |  | — |
Total deferred tax |  |  | 531,398 |  |  |  | 539,509 |

The effects of deferred taxes on assets, liabilities and income accounts as of December 31, 2022:

|  | Balances as of December 31, |  |  | Effect on |  |  | Balances as of December 31, |
|  | 2021 |  |  | Income |  |  | Equity |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Debit differences: |  |  |  |  |  |  |  |  |  |  |  |
Allowances for loan losses |  |  | 317,295 |  |  |  | 59,448 |  |  |  | — |  |  |  | 376,743 |
Personnel provisions |  |  | 14,304 |  |  |  | 5,924 |  |  |  | — |  |  |  | 20,228 |
Provision of undrawn credit lines |  |  | 4,139 |  |  |  | (710 | ) |  |  | — |  |  |  | 3,429 |
Staff vacations provisions |  |  | 9,993 |  |  |  | 1,146 |  |  |  | — |  |  |  | 11,139 |
Accrued interest adjustments from impaired loans |  |  | 5,073 |  |  |  | 5,232 |  |  |  | — |  |  |  | 10,305 |
Staff severance indemnities provision |  |  | 345 |  |  |  | 988 |  |  |  | 35 |  |  |  | 1,368 |
Provisions of credit card expenses |  |  | 9,774 |  |  |  | (628 | ) |  |  | — |  |  |  | 9,146 |
Provisions of accrued expenses |  |  | 12,315 |  |  |  | (486 | ) |  |  | — |  |  |  | 11,829 |
Adjustment for valuation of financial assets at fair value through other comprehensive income |  |  | 3,895 |  |  |  | — |  |  |  | 798 |  |  |  | 4,693 |
Leasing |  |  | 52,019 |  |  |  | 37,802 |  |  |  | — |  |  |  | 89,821 |
Incomes received in advance |  |  | 12,368 |  |  |  | (3,356 | ) |  |  | — |  |  |  | 9,012 |
Other adjustments |  |  | 35,768 |  |  |  | (4,216 | ) |  |  | — |  |  |  | 31,552 |
Total Debit Differences |  |  | 477,288 |  |  |  | 101,144 |  |  |  | 833 |  |  |  | 579,265 |
Credit differences: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Depreciation and price-level restatement of property and equipment |  |  | 16,446 |  |  |  | (5,509 | ) |  |  | — |  |  |  | 10,937 |
Transitory assets |  |  | 6,958 |  |  |  | 995 |  |  |  | — |  |  |  | 7,953 |
Loans accrued to effective rate |  |  | 2,437 |  |  |  | 4 |  |  |  | — |  |  |  | 2,441 |
Prepaid expenses |  |  | 5,668 |  |  |  | (2,980 | ) |  |  | — |  |  |  | 2,688 |
Other adjustments |  |  | 11,502 |  |  |  | 4,181 |  |  |  | 54 |  |  |  | 15,737 |
Total Credit Differences |  |  | 43,011 |  |  |  | (3,309 | ) |  |  | 54 |  |  |  | 39,756 |
Total, Net |  |  | 434,277 |  |  |  | 104,453 |  |  |  | 779 |  |  |  | 539,509 |

107

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 18. | Taxes, continued:

| (e) | For the purpose of complying with the Circular No. 47 issued by the Chilean Internal Revenue Service (SII) and No. 3,478 issued by the CMF, dated August 18, 2009 the changes and effects generated by the application of Article 31, No. 4 of the Income Tax Law are detailed below.

As the circular requires, the information corresponds only to the Bank’s credit operations and does not consider operations of subsidiary entities that are consolidated in these Interim Consolidated Financial Statements.

|  |  |  |  |  |  |  | Tax value assets |
(e.1) Loans and advance to banks and Loans to customers as of March 31, 2023 |  | Book value assets (*) |  |  | Tax value assets |  |  | Past-due loans with guarantees |  |  | Past-due loans without guarantees |  |  | Total Past-due loans |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Loans and advance to banks |  |  | 1,596,106 |  |  |  | 1,596,749 |  |  |  | — |  |  |  | — |  |  |  | — |
Commercial loans |  |  | 17,570,309 |  |  |  | 18,426,889 |  |  |  | 30,714 |  |  |  | 86,824 |  |  |  | 117,538 |
Consumer loans |  |  | 4,758,058 |  |  |  | 5,952,859 |  |  |  | 972 |  |  |  | 35,656 |  |  |  | 36,628 |
Residential mortgage loans |  |  | 11,554,612 |  |  |  | 11,588,921 |  |  |  | 7,768 |  |  |  | 607 |  |  |  | 8,375 |
Total |  |  | 35,479,085 |  |  |  | 37,565,418 |  |  |  | 39,454 |  |  |  | 123,087 |  |  |  | 162,541 |

|  |  |  |  |  |  |  | Tax value assets |
(e.1) Loans and advance to banks and Loans to customers as of December 31, 2022 |  | Book value assets (*) |  |  | Tax value assets |  |  | Past-due loans with guarantees |  |  | Past-due loans without guarantees |  |  | Total Past-due loans |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Loans and advance to banks |  |  | 2,174,115 |  |  |  | 2,174,792 |  |  |  | — |  |  |  | — |  |  |  | — |
Commercial loans |  |  | 17,560,202 |  |  |  | 18,338,161 |  |  |  | 28,688 |  |  |  | 84,524 |  |  |  | 113,212 |
Consumer loans |  |  | 4,657,554 |  |  |  | 5,824,164 |  |  |  | 756 |  |  |  | 28,448 |  |  |  | 29,204 |
Residential mortgage loans |  |  | 11,386,851 |  |  |  | 11,420,425 |  |  |  | 7,312 |  |  |  | 669 |  |  |  | 7,981 |
Total |  |  | 35,778,722 |  |  |  | 37,757,542 |  |  |  | 36,756 |  |  |  | 113,641 |  |  |  | 150,397 |

| (*) | In accordance with the mentioned Circular and instructions from the SII, the value of financial statement assets, are presented on an individual basis (only Banco de Chile) net of allowance for loan losses and do not include lease and factoring operations.

108

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 18. | Taxes, continued:

| (e) | For the purpose of complying with the Circular No. 47 issued by the Chilean Internal Revenue Service (SII) and No. 3,478 issued by the CMF, dated August 18, 2009 the changes and effects generated by the application of Article 31, No. 4 of the Income Tax Law are detailed below. continue :

(e.2) Provisions on past-due loans |  | Balance as of January 1, 2023 |  |  | Charge-offs against provisions |  |  | Provisions established |  |  | Provisions released |  |  | Balance as of March 31, 2023 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Commercial loans |  |  | 75,561 |  |  |  | (18,817 | ) |  |  | 38,167 |  |  |  | (8,087 | ) |  |  | 86,824 |
Consumer loans |  |  | 28,448 |  |  |  | (71,801 | ) |  |  | 83,060 |  |  |  | (4,051 | ) |  |  | 35,656 |
Residential mortgage loans |  |  | 669 |  |  |  | (574 | ) |  |  | 754 |  |  |  | (242 | ) |  |  | 607 |
Total |  |  | 104,678 |  |  |  | (91,192 | ) |  |  | 121,981 |  |  |  | (12,380 | ) |  |  | 123,087 |

(e.2) Provisions on past-due loans |  | Balance as of January 1, 2022 |  |  | Charge-offs against provisions |  |  | Provisions established |  |  | Provisions released |  |  | Balance as of December 31, 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Commercial loans |  |  | 63,603 |  |  |  | (46,736 | ) |  |  | 136,863 |  |  |  | (69,206 | ) |  |  | 84,524 |
Consumer loans |  |  | 10,156 |  |  |  | (166,355 | ) |  |  | 194,341 |  |  |  | (9,694 | ) |  |  | 28,448 |
Residential mortgage loans |  |  | 363 |  |  |  | (4,002 | ) |  |  | 16,949 |  |  |  | (12,641 | ) |  |  | 669 |
Total |  |  | 74,122 |  |  |  | (217,093 | ) |  |  | 348,153 |  |  |  | (91,541 | ) |  |  | 113,641 |

|  | March |  |  | December |
(e.3) Charge-offs and recoveries |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Charge-offs Art. 31 No. 4 second subparagraph |  |  | 5,382 |  |  |  | 25,524 |
Write-offs resulting in provisions released |  |  | 11 |  |  |  | 125 |
Recovery or renegotiation of written-off loans |  |  | 11,638 |  |  |  | 62,911 |

|  | March |  |  | December |
(e.4) Application of Art. 31 No. 4 first & third subsections of the income tax law |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Charge-offs in accordance with first subsection |  |  | — |  |  |  | — |
Write-offs in accordance with third subsection |  |  | 11 |  |  |  | 125 |

109

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 19. | Other Assets:

At the end of each period, the item is composed as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Cash collateral provided for derivative financial transactions |  |  | 356,808 |  |  |  | 314,301 |
Debtors from brokerage of financial instruments |  |  | 229,577 |  |  |  | 128,286 |
Accounts receivable from third parties |  |  | 212,066 |  |  |  | 190,912 |
Assets to be leased out as lessor (*) |  |  | 97,251 |  |  |  | 94,925 |
Prepaid expenses |  |  | 50,648 |  |  |  | 39,744 |
Investment properties |  |  | 12,031 |  |  |  | 12,120 |
Income from regular activities from contracts with customers |  |  | 10,570 |  |  |  | 6,472 |
Recoverable income taxes |  |  | 4,582 |  |  |  | 4,435 |
Pending transactions |  |  | 3,498 |  |  |  | 3,058 |
Other provided cash collateral |  |  | 2,048 |  |  |  | 2,160 |
VAT receivable |  |  | 2 |  |  |  | 7 |
Accumulated impairment in respect of other assets receivable |  |  | (1,245 | ) |  |  | (882 | )
Other Assets |  |  | 24,664 |  |  |  | 18,579 |
Total |  |  | 1,002,500 |  |  |  | 814,117 |

| (*) | Correspond to fixed assets to be delivered under the financial lease modality.

110

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 20. | Non-current assets and disposal groups held for sale and Liabilities included in disposal groups for sale:

| (a) | At the end of each period, the item is composed as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Assets received in lieu of payment or awarded at judicial sale (*) |  |  |  |  |  |
Assets awarded at judicial sale |  |  | 10,256 |  |  |  | 10,006 |
Assets received in lieu of payment |  |  | 348 |  |  |  | 143 |
Provision for assets received in lieu of payment or awarded |  |  | (3 | ) |  |  | (25 | )
Non-current assets for sale |  |  |  |  |  |  |  |
Investments in other companies |  |  | — |  |  |  | — |
Assets for recovery of assets transferred in financial leasing operations |  |  | 948 |  |  |  | 744 |
Disposal groups held for sale |  |  | — |  |  |  | — |
Total |  |  | 11,549 |  |  |  | 10,868 |

| (*) | Assets received in lieu of payment are assets received as payment of customers’ past-due debts. The assets acquired must in this way does not exceed 20% of the Bank’s effective equity.

| (b) | The changes of the provision for assets received in lieu of payment during the periods 2023 and 2022 are as follows:

Provision for assets received in lieu of payment |  | MCh$ |
Balance as of January 1, 2022 |  |  | 79 |
Provisions used |  |  | (65 | )
Provisions established |  |  | 16 |
Provisions released |  |  | — |
Balance as of March 31, 2022 |  |  | 30 |
Provisions used |  |  | (576 | )
Provisions established |  |  | 571 |
Provisions released |  |  | — |
Balance as of December 31, 2022 |  |  | 25 |
Provisions used |  |  | (326 | )
Provisions established |  |  | 304 |
Provisions released |  |  | — |
Balance as of March 31, 2023 |  |  | 3 |

| (c) | The Bank does not present liabilities classified in the disposal group for sale during the periods March 2023 and December 2022.

111

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 21. | Financial liabilities held for trading at fair value through profit or loss:

The item detail is as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Financial derivative contracts |  |  | 2,939,711 |  |  |  | 3,101,482 |
Other financial instruments |  |  | 2,689 |  |  |  | 6,271 |
Total |  |  | 2,942,400 |  |  |  | 3,107,753 |

| a) | As of March 31, 2023 and December 31, 2022, the Bank maintains the following debt portfolio of derivative instruments:

|  | Notional amount of contract with final expiration date in |  |  |  |
|  | Demand |  |  | Up to 1 month |  |  | Over 1 month and up to 3 months |  |  | Over 3 months and up to 12 months |  |  | Over 1 year and up to 3 years |  |  | Over 3 year and up to 5 years |  |  | Over 5 years |  |  | Total |  |  | Fair value Liabilities |
|  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Currency forward |  |  | — |  |  |  | — |  |  |  | 4,936,950 |  |  |  | 3,785,602 |  |  |  | 1,967,145 |  |  |  | 2,178,784 |  |  |  | 3,146,243 |  |  |  | 3,562,216 |  |  |  | 519,750 |  |  |  | 589,336 |  |  |  | 35,809 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 10,605,897 |  |  |  | 10,115,938 |  |  |  | 656,885 |  |  |  | 535,643 |
Interest rate swap |  |  | — |  |  |  | — |  |  |  | 665,234 |  |  |  | 1,905,526 |  |  |  | 3,699,747 |  |  |  | 1,837,023 |  |  |  | 5,328,660 |  |  |  | 5,208,401 |  |  |  | 5,770,090 |  |  |  | 5,173,535 |  |  |  | 3,745,304 |  |  |  | 3,743,709 |  |  |  | 4,234,416 |  |  |  | 4,398,123 |  |  |  | 23,443,451 |  |  |  | 22,266,317 |  |  |  | 1,063,788 |  |  |  | 1,248,414 |
Interest rate swap and cross currency swap |  |  | — |  |  |  | — |  |  |  | 160,929 |  |  |  | 307,672 |  |  |  | 527,000 |  |  |  | 584,427 |  |  |  | 1,031,206 |  |  |  | 1,327,828 |  |  |  | 3,123,272 |  |  |  | 3,271,782 |  |  |  | 1,530,353 |  |  |  | 1,872,025 |  |  |  | 2,939,398 |  |  |  | 2,844,395 |  |  |  | 9,312,158 |  |  |  | 10,208,129 |  |  |  | 1,213,959 |  |  |  | 1,311,871 |
Call currency options |  |  | — |  |  |  | — |  |  |  | 7,040 |  |  |  | 17,387 |  |  |  | 19,167 |  |  |  | 18,726 |  |  |  | 10,587 |  |  |  | 26,020 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 36,794 |  |  |  | 62,133 |  |  |  | 503 |  |  |  | 1,665 |
Put currency options |  |  | — |  |  |  | — |  |  |  | 7,971 |  |  |  | 20,572 |  |  |  | 26,024 |  |  |  | 27,620 |  |  |  | 31,414 |  |  |  | 27,610 |  |  |  | 27,035 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 92,444 |  |  |  | 75,802 |  |  |  | 4,576 |  |  |  | 3,889 |
Total |  |  | — |  |  |  | — |  |  |  | 5,778,124 |  |  |  | 6,036,759 |  |  |  | 6,239,083 |  |  |  | 4,646,580 |  |  |  | 9,548,110 |  |  |  | 10,152,075 |  |  |  | 9,440,147 |  |  |  | 9,034,653 |  |  |  | 5,311,466 |  |  |  | 5,615,734 |  |  |  | 7,173,814 |  |  |  | 7,242,518 |  |  |  | 43,490,744 |  |  |  | 42,728,319 |  |  |  | 2,939,711 |  |  |  | 3,101,482 |

| b) | Other instruments or financial liabilities:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Current accounts and other demand deposits |  |  | — |  |  |  | — |
Savings accounts and other time deposits |  |  | — |  |  |  | — |
Debt instruments issued |  |  | — |  |  |  | — |
Others |  |  | 2,689 |  |  |  | 6,271 |
Total |  |  | 2,689 |  |  |  | 6,271 |

112

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 22. | Financial liabilities at amortized cost:

The item detail is as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Current accounts and other demand deposits |  |  | 13,150,631 |  |  |  | 13,383,232 |
Saving accounts and time deposits |  |  | 14,722,088 |  |  |  | 14,157,141 |
Obligations by repurchase agreements and securities lending |  |  | 107,189 |  |  |  | 216,264 |
Borrowings from financial institutions |  |  | 5,520,842 |  |  |  | 5,397,676 |
Debt financial instruments issued |  |  | 9,336,715 |  |  |  | 9,267,947 |
Other financial obligations |  |  | 259,909 |  |  |  | 344,030 |
Total |  |  | 43,097,374 |  |  |  | 42,766,290 |

| (a) | Current accounts and other demand deposits:

At the end of each period, the composition of current accounts and other demand deposits is as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Current accounts |  |  | 10,856,845 |  |  |  | 11,172,137 |
Other demand obligations |  |  | 1,339,446 |  |  |  | 1,166,708 |
Demand deposits accounts |  |  | 613,275 |  |  |  | 657,057 |
Other demand deposits |  |  | 341,065 |  |  |  | 387,330 |
Total |  |  | 13,150,631 |  |  |  | 13,383,232 |

| (b) | Saving accounts and time deposits:

At the end of each period, the composition of saving accounts and time deposits is as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Time deposits |  |  | 14,308,384 |  |  |  | 13,723,090 |
Term savings accounts |  |  | 390,382 |  |  |  | 407,745 |
Other term balances payable |  |  | 23,322 |  |  |  | 26,306 |
Total |  |  | 14,722,088 |  |  |  | 14,157,141 |

113

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 22. | Financial liabilities at amortized cost, continued:

| (c) | Obligations by repurchase agreements and securities lending:

The Bank obtains financing by selling financial instruments and agreeing to repurchase them in the future, plus interest at a prefixed rate. As of March 31, 2023 and December 31, 2022, the repurchase agreements are the following:

|  | Demand |  |  | Up to 1 month |  |  | Over 1 month and up to 3 months |  |  | Over 3 months and up to 12 months |  |  | Over 1 year and up to 3 years |  |  | Over 3 years and up to 5 years |  |  | Over 5 years |  |  | Total |
|  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Instruments issued by the Chilean Governments and Central Bank of Chile |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Central Bank bonds |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Central Bank promissory notes |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other instruments issued by the Chilean Government and Central Bank of Chile |  |  | — |  |  |  | — |  |  |  | 25,158 |  |  |  | 7,340 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 25,158 |  |  |  | 7,340 |
Subtotal |  |  | — |  |  |  | — |  |  |  | 25,158 |  |  |  | 7,340 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 25,158 |  |  |  | 7,340 |
Other Financial Instruments issued in Chile |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Deposit promissory notes from domestic banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Mortgage bonds from domestic banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Bonds from domestic banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 35,139 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 35,139 |
Deposits in domestic banks |  |  | — |  |  |  | — |  |  |  | 80,177 |  |  |  | 173,733 |  |  |  | 1,854 |  |  |  | 52 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 82,031 |  |  |  | 173,785 |
Bonds from other Chilean companies |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other instruments issued in Chile |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | — |  |  |  | 80,177 |  |  |  | 208,872 |  |  |  | 1,854 |  |  |  | 52 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 82,031 |  |  |  | 208,924 |
Financial Instruments issued by Foreign Institutions |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Instruments from foreign governments or central bank |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other instruments issued by foreing |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Total |  |  | — |  |  |  | — |  |  |  | 105,335 |  |  |  | 216,212 |  |  |  | 1,854 |  |  |  | 52 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 107,189 |  |  |  | 216,264 |

Securities sold:

The fair value of the financial instruments delivered as collateral by the Bank and its subsidiaries, in sales transactions with repurchase agreement and securities lending as of March 31, 2023 amounts to Ch$107,317 million (Ch$215,781 million in December 2022). In the event that the Bank and its subsidiaries enter into default or bankruptcy, the counterparty is authorized to sell or deliver these investments as collateral.

114

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 22. | Financial liabilities at amortized cost, continued:

| (d) | Borrowings from Financial Institutions:

At the end of each period, borrowings from financial institutions are detailed as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Domestic banks |  |  |  |  |  |
Banco Santander |  |  | — |  |  |  | 2,699 |
Subtotal domestic banks |  |  | — |  |  |  | 2,699 |
Foreign banks |  |  |  |  |  |  |  |
Foreign trade financing |  |  |  |  |  |  |  |
Wells Fargo Bank |  |  | 243,956 |  |  |  | 231,311 |
Bank of Nova Scotia |  |  | 134,418 |  |  |  | 142,787 |
Standard Chartered Bank |  |  | 83,818 |  |  |  | 81,828 |
HSBC |  |  | 80,682 |  |  |  | 85,153 |
Bank of New York Mellon |  |  | 73,230 |  |  |  | 77,846 |
Citibank N.A. United State |  |  | 60,876 |  |  |  | 69,810 |
Bank of America |  |  | 55,768 |  |  |  | 80,509 |
Commerzbank AG |  |  | 733 |  |  |  | 348 |
American Express Bank Gmbh |  |  | 102 |  |  |  | — |
Industrial and Commercial Bank of China |  |  | — |  |  |  | 1,280 |
Borrowings and other obligations |  |  |  |  |  |  |  |
Wells Fargo Bank |  |  | 216,641 |  |  |  | 149,944 |
Citibank N.A. United Kingdom |  |  | 209,240 |  |  |  | 108,017 |
Standard Chartered Bank |  |  | 12,761 |  |  |  | 14,281 |
Commerzbank AG |  |  | 104 |  |  |  | 110 |
Deutsche Bank AG |  |  | — |  |  |  | 3,179 |
Others |  |  | 53 |  |  |  | 53 |
Subtotal foreign banks |  |  | 1,172,382 |  |  |  | 1,046,456 |
Chilean Central Bank (*) |  |  | 4,348,460 |  |  |  | 4,348,521 |
Total |  |  | 5,520,842 |  |  |  | 5,397,676 |

| (*) | Financing provided by the Chilean Central Bank to deliver liquidity to the economy and support the credit flow to households and companies, related to the Conditional Credit Facility to Increase Lending (FCIC by its Spanish initials).

115

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 22. | Financial liabilities at amortized cost, continued:

| (e) | Debt financial instruments issued:

At the end of each period, the composition of debt financial instruments issued as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Letters of credit |  |  |  |  |  |
Letters of credit for housing |  |  | 1,968 |  |  |  | 2,328 |
Letters of credit for general purposes |  |  | 36 |  |  |  | 49 |
Bonds |  |  |  |  |  |  |  |
Current Bonds |  |  | 9,334,711 |  |  |  | 9,265,570 |
Mortgage bonds |  |  | — |  |  |  | — |
Total |  |  | 9,336,715 |  |  |  | 9,267,947 |

During the period ended March 31, 2023 Banco de Chile has placed bonds for Ch$242,190 million, which corresponds to Short-Term Current Bonds and Long-Term Bonds for amounts of Ch$78,898 and Ch$163,292 million respectively, according to the following details:

Short-term Current Bonds

Counterparty |  | Currency |  | Amount |  |  | Annual interest rate % |  |  | Issued date |  | Maturity date
|  |  |  | MCh$ |  |  |  |  |  |  |  |
Wells Fargo Bank |  | USD |  |  | 39,449 |  |  |  | 5.65 |  |  | 03/30/2023 |  | 08/01/2023
Wells Fargo Bank |  | USD |  |  | 39,449 |  |  |  | 5.65 |  |  | 03/30/2023 |  | 07/28/2023
Total as of March 31, 2023 |  |  |  |  | 78,898 |  |  |  |  |  |  |  |  |

Long-Term Bonds

Serie |  | Currency |  | Amount |  |  | Terms Years |  | Annual interest rate % |  |  | Issued date |  | Maturity date
|  |  |  | MCh$ |  |  |  |  |  |  |  |  |  |
BCHIGI0322 |  | UF |  |  | 143,510 |  |  | 13 |  |  | 2.61 |  |  | 01/06/2023 |  | 01/06/2036
BCHIDG1116 |  | CLP |  |  | 9,179 |  |  | 11 |  |  | 6.55 |  |  | 03/16/2023 |  | 03/16/2034
BCHIDG1116 |  | CLP |  |  | 10,603 |  |  | 1 |  |  | 6.55 |  |  | 03/23/2023 |  | 03/23/2024
Total as of March 31, 2023 |  |  |  |  | 163,292 |  |  |  |  |  |  |  |  |  |  |

116

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 22. | Financial liabilities at amortized cost, continued:

| (e) | Debt financial instruments issued, continued:

During the year ended December 31, 2022 Banco de Chile has placed bonds for Ch$1,355,816 million, which corresponds to Short-Term Current Bonds and Long-Term Bonds for amounts of Ch$215,249 and Ch$1,140,567 million respectively, according to the following details:

Short-term Bonds

Counterparty |  | Currency |  | Amount |  |  | Annual interest rate % |  |  | Issued date |  | Maturity date
|  |  |  | MCh$ |  |  |  |  |  |  |  |
Wells Fargo Bank |  | USD |  |  | 17,065 |  |  |  | 1.61 |  |  | 05/18/2022 |  | 08/16/2022
Wells Fargo Bank |  | USD |  |  | 41,944 |  |  |  | 1.61 |  |  | 05/19/2022 |  | 08/17/2022
Citibank N.A. |  | USD |  |  | 8,379 |  |  |  | 2.25 |  |  | 05/20/2022 |  | 11/21/2022
Citibank N.A. |  | USD |  |  | 5,028 |  |  |  | 1.60 |  |  | 05/20/2022 |  | 08/22/2022
Wells Fargo Bank |  | USD |  |  | 28,702 |  |  |  | 2.35 |  |  | 06/06/2022 |  | 12/06/2022
Citibank N.A. |  | USD |  |  | 1,652 |  |  |  | 2.25 |  |  | 06/09/2022 |  | 12/09/2022
Wells Fargo Bank |  | USD |  |  | 85,779 |  |  |  | 5.40 |  |  | 12/13/2022 |  | 06/12/2023
Wells Fargo Bank |  | USD |  |  | 26,700 |  |  |  | 5.00 |  |  | 12/19/2022 |  | 03/16/2023
Total as of December 31, 2022 |  |  |  |  | 215,249 |  |  |  |  |  |  |  |  |

Long-Term Current Bonds

Serie |  | Currency |  | Amount |  |  | Terms Years |  | Annual interest rate % |  |  | Issued date |  | Maturity date
|  |  |  | MCh$ |  |  |  |  |  |  |  |  |  |
BCHIBS0815 |  | UF |  |  | 15,707 |  |  | 14 |  |  | 3.00 |  |  | 01/05/2022 |  | 01/05/2036
BCHIBS0815 |  | UF |  |  | 15,719 |  |  | 14 |  |  | 3.06 |  |  | 01/20/2022 |  | 01/20/2036
BCHICF0815 |  | UF |  |  | 65,738 |  |  | 17 |  |  | 2.65 |  |  | 03/01/2022 |  | 03/01/2039
BCHICP0815 |  | UF |  |  | 65,883 |  |  | 19 |  |  | 2.80 |  |  | 03/01/2022 |  | 03/01/2041
BCHIBS0815 |  | UF |  |  | 32,583 |  |  | 14 |  |  | 2.60 |  |  | 03/17/2022 |  | 03/17/2036
BCHICQ1015 |  | UF |  |  | 69,443 |  |  | 19 |  |  | 3.20 |  |  | 11/02/2022 |  | 11/02/2041
BCHICN0815 |  | UF |  |  | 69,802 |  |  | 19 |  |  | 3.20 |  |  | 11/02/2022 |  | 11/02/2041
BCHICO1215 |  | UF |  |  | 70,178 |  |  | 19 |  |  | 3.20 |  |  | 11/02/2022 |  | 11/02/2041
BCHICK0815 |  | UF |  |  | 73,568 |  |  | 18 |  |  | 3.20 |  |  | 11/14/2022 |  | 11/14/2040
BCHICM1215 |  | UF |  |  | 18,618 |  |  | 18 |  |  | 3.20 |  |  | 11/18/2022 |  | 11/18/2040
BCHIDV1116 |  | UF |  |  | 9,305 |  |  | 11 |  |  | 4.40 |  |  | 11/21/2022 |  | 11/21/2033
BCHIDV1116 |  | UF |  |  | 37,271 |  |  | 11 |  |  | 4.40 |  |  | 11/22/2022 |  | 11/22/2033
BCHIBU0815 |  | UF |  |  | 20,003 |  |  | 14 |  |  | 3.00 |  |  | 12/02/2022 |  | 12/02/2036
BCHIDU0716 |  | UF |  |  | 36,536 |  |  | 11 |  |  | 4.40 |  |  | 12/02/2022 |  | 12/02/2033
BCHICM1215 |  | UF |  |  | 9,453 |  |  | 18 |  |  | 3.20 |  |  | 12/05/2022 |  | 12/05/2040
BCHICM1215 |  | UF |  |  | 46,318 |  |  | 18 |  |  | 3.20 |  |  | 12/07/2022 |  | 12/07/2040
BCHICL1015 |  | UF |  |  | 74,421 |  |  | 18 |  |  | 3.20 |  |  | 12/07/2022 |  | 12/07/2040
BCHIGJ0522 |  | UF |  |  | 141,320 |  |  | 13 |  |  | 2.70 |  |  | 12/07/2022 |  | 12/07/2035
BCHICJ1215 |  | UF |  |  | 25,912 |  |  | 18 |  |  | 3.20 |  |  | 12/12/2022 |  | 12/12/2040
BCHICJ1215 |  | UF |  |  | 48,099 |  |  | 18 |  |  | 3.20 |  |  | 12/13/2022 |  | 12/13/2040
BCHIGK1221 |  | UF |  |  | 143,020 |  |  | 14 |  |  | 2.70 |  |  | 12/22/2022 |  | 12/22/2036
Subtotal UF |  |  |  |  | 1,088,897 |  |  |  |  |  |  |  |  |  |  |
BONO PEN |  | PEN |  |  | 51,670 |  |  | 20 |  |  | 8.65 |  |  | 03/09/2022 |  | 03/09/2042
Subtotal others currency |  |  |  |  | 51,670 |  |  |  |  |  |  |  |  |  |  |
Total as of December 31, 2022 |  |  |  |  | 1,140,567 |  |  |  |  |  |  |  |  |  |  |

117

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 22. | Financial liabilities at amortized cost, continued:

| (e) | Debt financial instruments issued, continued:

As of March 31, 2023 and December 31, 2022, the Bank has not presented defaults in the payment of principal and interest on its debt instruments. Likewise, there have been no breaches of covenants and other commitments associated with the debt instruments issued.

| (f) | Other Financial Obligations:

At the end of each period, the composition of other financial obligations as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Other Chilean financial obligations |  |  | 259,831 |  |  |  | 343,927 |
Other financial obligations with the Public sector |  |  | 78 |  |  |  | 103 |
Total |  |  | 259,909 |  |  |  | 344,030 |

| 23. | Financial instruments of regulatory capital issued:

| a) | At the end of each period, this item is composed as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Subordinated bonds with transitory recognition |  |  | — |  |  |  | — |
Subordinated bonds |  |  | 1,029,546 |  |  |  | 1,010,905 |
Bonds with no fixed term of maturity |  |  | — |  |  |  | — |
Preferred stock |  |  | — |  |  |  | — |
Total |  |  | 1,029,546 |  |  |  | 1,010,905 |

| b) | Issuances of regulatory capital financial instruments in the period:

During the period ended March 31, 2023 and December 31, 2022, no issues of regulatory capital financial instruments have been made.

118

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 23. | Financial instruments of regulatory capital issued, continued:

| c) | Changes in regulatory capital financial instruments:

|  | Subordinated bonds |  |  | Bonds with no maturity |  |  | Preferred shares |
|  | MCh$ |  |  |  |  |  |  |
Balance as of January 1, 2022 |  |  | 917,510 |  |  |  | — |  |  |  | — |
Emissions made |  |  | — |  |  |  | — |  |  |  | — |
Transaction costs |  |  | — |  |  |  | — |  |  |  | — |
Transaction costs amortization |  |  | — |  |  |  | — |  |  |  | — |
Accrued interest |  |  | 31,271 |  |  |  | — |  |  |  | — |
Acquisition or redemption by the issuer |  |  | — |  |  |  | — |  |  |  | — |
Modification of the issuance conditions |  |  | — |  |  |  | — |  |  |  | — |
Interest and UF indexation payments to the holder |  |  | (42,866 | ) |  |  | — |  |  |  | — |
Principal payments to the holder |  |  | (15,184 | ) |  |  | — |  |  |  | — |
Accrued UF indexation |  |  | 120,174 |  |  |  | — |  |  |  | — |
Exchange rate differences |  |  | — |  |  |  | — |  |  |  | — |
Depreciation |  |  | — |  |  |  | — |  |  |  | — |
Reappraisal |  |  | — |  |  |  | — |  |  |  | — |
Expiration |  |  | — |  |  |  | — |  |  |  | — |
Conversion to common shares |  |  | — |  |  |  | — |  |  |  | — |
Balance as of December 31, 2022 |  |  | 1,010,905 |  |  |  | — |  |  |  | — |
Balance as of January 1, 2023 |  |  | 1,010,905 |  |  |  | — |  |  |  | — |
Emissions made |  |  | — |  |  |  | — |  |  |  | — |
Transaction costs |  |  | — |  |  |  | — |  |  |  | — |
Transaction costs amortization |  |  | — |  |  |  | — |  |  |  | — |
Accrued interest |  |  | 8,134 |  |  |  | — |  |  |  | — |
Acquisition or redemption by the issuer |  |  | — |  |  |  | — |  |  |  | — |
Modification of the issuance conditions |  |  | — |  |  |  | — |  |  |  | — |
Interest and UF indexation payments to the holder |  |  | (2,113 | ) |  |  | — |  |  |  | — |
Principal payments to the holder |  |  | (759 | ) |  |  | — |  |  |  | — |
Accrued UF indexation |  |  | 13,379 |  |  |  | — |  |  |  | — |
Exchange rate differences |  |  | — |  |  |  | — |  |  |  | — |
Depreciation |  |  | — |  |  |  | — |  |  |  | — |
Reappraisal |  |  | — |  |  |  | — |  |  |  | — |
Expiration |  |  | — |  |  |  | — |  |  |  | — |
Conversion to common shares |  |  | — |  |  |  | — |  |  |  | — |
Balance as of March 31, 2023 |  |  | 1,029,546 |  |  |  | — |  |  |  | — |

119

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 23. | Financial instruments of regulatory capital issued, continued:

| d) | Below is the detail of the subordinated bonds due as of March 31, 2023 and December 31, 2022:

March 2023
Serie |  | Currency |  | Issuance currency amount |  |  | Interest rate % |  |  | Registration date |  | Maturity date |  | Balance due |
|  |  |  |  |  |  |  |  |  |  |  |  |  | MCh$ |
C1 |  | UF |  |  | 300,000 |  |  |  | 7.5 |  |  | 12/06/1999 |  | 01/01/2030 |  |  | 5,242 |
C1 |  | UF |  |  | 200,000 |  |  |  | 7.4 |  |  | 12/06/1999 |  | 01/01/2030 |  |  | 3,500 |
C1 |  | UF |  |  | 530,000 |  |  |  | 7.1 |  |  | 12/06/1999 |  | 01/01/2030 |  |  | 9,352 |
C1 |  | UF |  |  | 300,000 |  |  |  | 7.1 |  |  | 12/06/1999 |  | 01/01/2030 |  |  | 5,297 |
C1 |  | UF |  |  | 50,000 |  |  |  | 6.5 |  |  | 12/06/1999 |  | 01/01/2030 |  |  | 898 |
C1 |  | UF |  |  | 450,000 |  |  |  | 6.6 |  |  | 12/06/1999 |  | 01/01/2030 |  |  | 8,079 |
D2 |  | UF |  |  | 1,600,000 |  |  |  | 4.3 |  |  | 06/20/2002 |  | 04/01/2023 |  |  | 2,887 |
D2 |  | UF |  |  | 400,000 |  |  |  | 4.3 |  |  | 06/20/2002 |  | 04/01/2023 |  |  | 722 |
D1 |  | UF |  |  | 2,000,000 |  |  |  | 3.6 |  |  | 06/20/2002 |  | 04/01/2026 |  |  | 21,751 |
F |  | UF |  |  | 1,000,000 |  |  |  | 5.0 |  |  | 11/28/2008 |  | 11/01/2033 |  |  | 34,795 |
F |  | UF |  |  | 1,500,000 |  |  |  | 5.0 |  |  | 11/28/2008 |  | 11/01/2033 |  |  | 52,192 |
F |  | UF |  |  | 759,000 |  |  |  | 4.5 |  |  | 11/28/2008 |  | 11/01/2033 |  |  | 27,487 |
F |  | UF |  |  | 241,000 |  |  |  | 4.5 |  |  | 11/28/2008 |  | 11/01/2033 |  |  | 8,728 |
F |  | UF |  |  | 4,130,000 |  |  |  | 4.2 |  |  | 11/28/2008 |  | 11/01/2033 |  |  | 152,621 |
F |  | UF |  |  | 1,000,000 |  |  |  | 4.3 |  |  | 11/28/2008 |  | 11/01/2033 |  |  | 36,953 |
F |  | UF |  |  | 70,000 |  |  |  | 4.2 |  |  | 11/28/2008 |  | 11/01/2033 |  |  | 2,595 |
F |  | UF |  |  | 4,000,000 |  |  |  | 3.9 |  |  | 11/28/2008 |  | 11/01/2033 |  |  | 152,700 |
F |  | UF |  |  | 2,300,000 |  |  |  | 3.8 |  |  | 11/28/2008 |  | 11/01/2033 |  |  | 88,162 |
G |  | UF |  |  | 600,000 |  |  |  | 4.0 |  |  | 11/29/2011 |  | 11/01/2036 |  |  | 21,161 |
G |  | UF |  |  | 50,000 |  |  |  | 4.0 |  |  | 11/29/2011 |  | 11/01/2036 |  |  | 1,763 |
G |  | UF |  |  | 80,000 |  |  |  | 3.9 |  |  | 11/29/2011 |  | 11/01/2036 |  |  | 2,842 |
G |  | UF |  |  | 450,000 |  |  |  | 3.9 |  |  | 11/29/2011 |  | 11/01/2036 |  |  | 16,001 |
G |  | UF |  |  | 160,000 |  |  |  | 3.9 |  |  | 11/29/2011 |  | 11/01/2036 |  |  | 5,689 |
G |  | UF |  |  | 1,000,000 |  |  |  | 2.7 |  |  | 11/29/2011 |  | 11/01/2036 |  |  | 40,400 |
G |  | UF |  |  | 300,000 |  |  |  | 2.7 |  |  | 11/29/2011 |  | 11/01/2036 |  |  | 12,120 |
G |  | UF |  |  | 1,360,000 |  |  |  | 2.6 |  |  | 11/29/2011 |  | 11/01/2036 |  |  | 55,117 |
J |  | UF |  |  | 1,400,000 |  |  |  | 1.0 |  |  | 11/29/2011 |  | 11/01/2042 |  |  | 74,487 |
J |  | UF |  |  | 1,500,000 |  |  |  | 1.0 |  |  | 11/29/2011 |  | 11/01/2042 |  |  | 79,924 |
J |  | UF |  |  | 1,100,000 |  |  |  | 1.0 |  |  | 11/29/2011 |  | 11/01/2042 |  |  | 59,050 |
I |  | UF |  |  | 900,000 |  |  |  | 1.0 |  |  | 11/29/2011 |  | 11/01/2040 |  |  | 47,031 |
|  |  |  |  |  |  |  |  |  |  |  | Total subordinated bonds due |  |  |  |  | 1,029,546 |

120

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 23. | Financial instruments of regulatory capital issued, continued:

| d) | Below is the detail of the subordinated bonds due as of March 31, 2023 and December 31, 2022 continued:

December 2022
Serie |  | Currency |  | Issuance currency amount |  |  | Interest rate % |  |  | Registration date |  | Maturity date |  | Balance due |
|  |  |  |  |  |  |  |  |  |  |  |  |  | MCh$ |
C1 |  | UF |  |  | 300,000 |  |  |  | 7.5 |  |  | 12/06/1999 |  | 01/01/2030 |  |  | 5,553 |
C1 |  | UF |  |  | 200,000 |  |  |  | 7.4 |  |  | 12/06/1999 |  | 01/01/2030 |  |  | 3,707 |
C1 |  | UF |  |  | 530,000 |  |  |  | 7.1 |  |  | 12/06/1999 |  | 01/01/2030 |  |  | 9,906 |
C1 |  | UF |  |  | 300,000 |  |  |  | 7.1 |  |  | 12/06/1999 |  | 01/01/2030 |  |  | 5,610 |
C1 |  | UF |  |  | 50,000 |  |  |  | 6.5 |  |  | 12/06/1999 |  | 01/01/2030 |  |  | 951 |
C1 |  | UF |  |  | 450,000 |  |  |  | 6.6 |  |  | 12/06/1999 |  | 01/01/2030 |  |  | 8,555 |
D2 |  | UF |  |  | 1,600,000 |  |  |  | 4.3 |  |  | 06/20/2002 |  | 04/01/2023 |  |  | 2,820 |
D2 |  | UF |  |  | 400,000 |  |  |  | 4.3 |  |  | 06/20/2002 |  | 04/01/2023 |  |  | 705 |
D1 |  | UF |  |  | 2,000,000 |  |  |  | 3.6 |  |  | 06/20/2002 |  | 04/01/2026 |  |  | 21,279 |
F |  | UF |  |  | 1,000,000 |  |  |  | 5.0 |  |  | 11/28/2008 |  | 11/01/2033 |  |  | 33,930 |
F |  | UF |  |  | 1,500,000 |  |  |  | 5.0 |  |  | 11/28/2008 |  | 11/01/2033 |  |  | 50,895 |
F |  | UF |  |  | 759,000 |  |  |  | 4.5 |  |  | 11/28/2008 |  | 11/01/2033 |  |  | 26,835 |
F |  | UF |  |  | 241,000 |  |  |  | 4.5 |  |  | 11/28/2008 |  | 11/01/2033 |  |  | 8,521 |
F |  | UF |  |  | 4,130,000 |  |  |  | 4.2 |  |  | 11/28/2008 |  | 11/01/2033 |  |  | 149,084 |
F |  | UF |  |  | 1,000,000 |  |  |  | 4.3 |  |  | 11/28/2008 |  | 11/01/2033 |  |  | 36,098 |
F |  | UF |  |  | 70,000 |  |  |  | 4.2 |  |  | 11/28/2008 |  | 11/01/2033 |  |  | 2,535 |
F |  | UF |  |  | 4,000,000 |  |  |  | 3.9 |  |  | 11/28/2008 |  | 11/01/2033 |  |  | 149,314 |
F |  | UF |  |  | 2,300,000 |  |  |  | 3.8 |  |  | 11/28/2008 |  | 11/01/2033 |  |  | 86,214 |
G |  | UF |  |  | 600,000 |  |  |  | 4.0 |  |  | 11/29/2011 |  | 11/01/2036 |  |  | 20,686 |
G |  | UF |  |  | 50,000 |  |  |  | 4.0 |  |  | 11/29/2011 |  | 11/01/2036 |  |  | 1,724 |
G |  | UF |  |  | 80,000 |  |  |  | 3.9 |  |  | 11/29/2011 |  | 11/01/2036 |  |  | 2,778 |
G |  | UF |  |  | 450,000 |  |  |  | 3.9 |  |  | 11/29/2011 |  | 11/01/2036 |  |  | 15,645 |
G |  | UF |  |  | 160,000 |  |  |  | 3.9 |  |  | 11/29/2011 |  | 11/01/2036 |  |  | 5,563 |
G |  | UF |  |  | 1,000,000 |  |  |  | 2.7 |  |  | 11/29/2011 |  | 11/01/2036 |  |  | 39,616 |
G |  | UF |  |  | 300,000 |  |  |  | 2.7 |  |  | 11/29/2011 |  | 11/01/2036 |  |  | 11,885 |
G |  | UF |  |  | 1,360,000 |  |  |  | 2.6 |  |  | 11/29/2011 |  | 11/01/2036 |  |  | 54,050 |
J |  | UF |  |  | 1,400,000 |  |  |  | 1.0 |  |  | 11/29/2011 |  | 11/01/2042 |  |  | 73,326 |
J |  | UF |  |  | 1,500,000 |  |  |  | 1.0 |  |  | 11/29/2011 |  | 11/01/2042 |  |  | 78,679 |
J |  | UF |  |  | 1,100,000 |  |  |  | 1.0 |  |  | 11/29/2011 |  | 11/01/2042 |  |  | 58,137 |
I |  | UF |  |  | 900,000 |  |  |  | 1.0 |  |  | 11/29/2011 |  | 11/01/2040 |  |  | 46,304 |
|  |  |  |  |  |  |  |  |  |  |  | Total subordinated bonds due |  |  |  |  | 1,010,905 |

121

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 24. | Provisions for contingencies:

| (a) | At the end of each period, this item is composed as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Provisions for employee benefit obligations |  |  | 100,476 |  |  |  | 139,315 |
Provisions for obligations of customer loyalty and merit programs |  |  | 30,718 |  |  |  | 33,609 |
Provisions for operational risk |  |  | 2,670 |  |  |  | 2,838 |
Provisions of a bank branch abroad for profit remittances to its parent company |  |  | — |  |  |  | — |
Provisions for reestructuring plans |  |  | — |  |  |  | — |
Provisions for lawsuits and litigation |  |  | — |  |  |  | — |
Other provisions for contingencies |  |  | 264 |  |  |  | 264 |
Total |  |  | 134,128 |  |  |  | 176,026 |

122

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 24. | Provisions for contingencies, continued;

| (b) | The following table shows the changes in provisions during the period 2023 and 2022:

|  | Provisions for employee benefit obligations |  |  | Provisions of a bank branch abroad for profit remittances to its parent company |  |  | Provisions for reestructuring plans |  |  | Provisions for lawsuits and litigation |  |  | Provisions for obligations of customer loyalty and merit programs |  |  | Provisions for operational risk |  |  | Other provisions for contingencies |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Balances as of January 1, 2022 |  |  | 106,964 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 35,937 |  |  |  | 693 |  |  |  | 264 |  |  |  | 143,858 |
Provisions established |  |  | 29,466 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 410 |  |  |  | — |  |  |  | 29,876 |
Provisions used |  |  | (56,595 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (56,595 | )
Provisions released |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (3,926 | ) |  |  | — |  |  |  | — |  |  |  | (3,926 | )
Balances as of of March 31, 2022 |  |  | 79,835 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 32,011 |  |  |  | 1,103 |  |  |  | 264 |  |  |  | 113,213 |
Provisions established |  |  | 94,322 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,598 |  |  |  | 1,735 |  |  |  | — |  |  |  | 97,655 |
Provisions used |  |  | (34,842 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (34,842 | )
Provisions released |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Balances as of December 31, 2022 |  |  | 139,315 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 33,609 |  |  |  | 2,838 |  |  |  | 264 |  |  |  | 176,026 |
Provisions established |  |  | 31,539 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 31,539 |
Provisions used |  |  | (70,378 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (70,378 | )
Provisions released |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (2,891 | ) |  |  | (168 | ) |  |  | — |  |  |  | (3,059 | )
Balances as of March 31, 2023 |  |  | 100,476 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 30,718 |  |  |  | 2,670 |  |  |  | 264 |  |  |  | 134,128 |

123

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 24. | Provisions for contingencies, continued;

| (c) | Provisions for employee benefit obligations:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Provision of short-term employee benefits |  |  | 89,813 |  |  |  | 128,580 |
Provision of benefits to employees for contract termination |  |  | 10,663 |  |  |  | 10,735 |
Provisión of benefits to post-employment employees |  |  | — |  |  |  | — |
Provision of long-term employee benefits |  |  | — |  |  |  | — |
Provision of share-based employee benefits |  |  | — |  |  |  | — |
Provisión for obligations for defined contribution post-employment plans |  |  | — |  |  |  | — |
Provisión for obligations for post-employment defined benefit plans |  |  | — |  |  |  | — |
Provision for other employee obligations |  |  | — |  |  |  | — |
Total |  |  | 100,476 |  |  |  | 139,315 |

| (d) | Provision of short-term employee benefits:

| (i) | Compliance bonuses provision:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Balances as of January 1 |  |  | 73,204 |  |  |  | 53,069 |
Net provisions established |  |  | 15,139 |  |  |  | 15,345 |
Provisions used |  |  | (59,926 | ) |  |  | (46,465 | )
Total |  |  | 28,417 |  |  |  | 21,949 |

| (ii) | Vacation provision:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Balances as of January 1 |  |  | 41,257 |  |  |  | 37,010 |
Net provisions established |  |  | 2,694 |  |  |  | 2,359 |
Provisions used |  |  | (2,443 | ) |  |  | (2,188 | )
Total |  |  | 41,508 |  |  |  | 37,181 |

124

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 24. | Provisions for contingencies, continued;

| (d) | Provision of short-term employee benefits, continued:

| (iii) | Provision of other benefits to personnel:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Balances as of January 1 |  |  | 14,119 |  |  |  | 10,439 |
Net provisions established |  |  | 13,295 |  |  |  | 11,497 |
Provisions used |  |  | (7,526 | ) |  |  | (7,743 | )
Total |  |  | 19,888 |  |  |  | 14,193 |

| (e) | Provision of benefits to employees for contract termination:

| (i) | Changes of the provision for employee benefits due to the termination of the employment contract:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Present value of the obligations at the beginning of the period |  |  | 10,735 |  |  |  | 6,446 |
Increase in provision |  |  | 296 |  |  |  | 257 |
Benefit paid |  |  | (483 | ) |  |  | (199 | )
Effect of change in actuarial factors |  |  | 115 |  |  |  | 8 |
Total |  |  | 10,663 |  |  |  | 6,512 |

125

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 24. | Provisions for contingencies, continued;

| (e) | Provision of benefits to employees for contract termination, continued:

| (ii) | Net benefits expenses:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Increase (decrease) in provisions |  |  | (258 | ) |  |  | (148 | )
Interest cost of benefits obligations |  |  | 554 |  |  |  | 405 |
Effect of change in actuarial factors |  |  | 115 |  |  |  | 8 |
Net benefit expenses |  |  | 411 |  |  |  | 265 |

| (iii) | Factors used in the calculation of the provision:

The main assumptions used in the determination of severance indemnity obligations for the Bank’s plan are shown below:

|  | March 31, 2023 |  |  | December 31, 2022 |
|  | % |  |  | % |
Discount rate |  |  | 5.40 |  |  |  | 5.50 |
Salary increase rate |  |  | 5.60 |  |  |  | 4.80 |
Payment probability |  |  | 99.99 |  |  |  | 99.99 |

The most recent actuarial valuation of the staff severance indemnities provision was carried out during the first quarter of 2023.

| (f) | Employee benefits share-based provision:

As of March 31, 2023 and December 31, 2022, the Bank and its subsidiaries do not have a stock-based compensation plan.

126

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 25. | Provision for dividends, interests and reappraisal of financial instruments of regulatory capital issued:

| (a) | The item detail is as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Provisions for dividends |  |  | 130,002 |  |  |  | 520,158 |
Provisions for payment of interest on bonds with no fixed maturity date |  |  | — |  |  |  | — |
Provision for revaluation of bonds without a fixed term of maturity |  |  | — |  |  |  | — |
Total |  |  | 130,002 |  |  |  | 520,158 |

| (b) | The changes at the end of each period are as follows:

|  | Provisions for dividends |  |  | Provisions for payment of interest on bonds with no fixed maturity date |  |  | Provision for revaluation of bonds without a fixed term of maturity |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Balances as of January 1, 2022 |  |  | 323,897 |  |  |  | — |  |  |  | — |  |  |  | 323,897 |
Provisions established |  |  | 116,359 |  |  |  | — |  |  |  | — |  |  |  | 116,359 |
Provisions used |  |  | (323,897 | ) |  |  | — |  |  |  | — |  |  |  | (323,897 | )
Provisions released |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Balances as of March 31, 2022 |  |  | 116,359 |  |  |  | — |  |  |  | — |  |  |  | 116,359 |
Provisions established |  |  | 403,799 |  |  |  | — |  |  |  | — |  |  |  | 403,799 |
Provisions used |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Provisions released |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Balances as of December 31, 2022 |  |  | 520,158 |  |  |  | — |  |  |  | — |  |  |  | 520,158 |
Provisions used |  |  | 130,002 |  |  |  | — |  |  |  | — |  |  |  | 130,002 |
Provisions released |  |  | (520,158 | ) |  |  | — |  |  |  | — |  |  |  | (520,158 | )
Provisions used |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Balances as of March 31, 2023 |  |  | 130,002 |  |  |  | — |  |  |  | — |  |  |  | 130,002 |

127

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 26. | Special provisions for credit risk:

| a) | At the end of each period, this item is composed as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Additional loan provisions |  |  | 700,252 |  |  |  | 700,252 |
Provisions for credit risk for contingent loans (*) |  |  | 56,482 |  |  |  | 57,377 |
Provisions for country risk for transactions with debtors with residence abroad |  |  | 8,830 |  |  |  | 8,137 |
Special provisions for loans abroad |  |  | — |  |  |  | — |
Provisions for adjustments to the minimum provision required for normal portfolio with individual evaluation |  |  | — |  |  |  | — |
Provisions constituted by credit risk as a result of additional prudential requirements |  |  | — |  |  |  | — |
Total |  |  | 765,564 |  |  |  | 765,766 |

| (*) | The changes of provisions for credit risk for contingent loans is disclosed in Note No. 13 letter f).

| b) | The changes of provisions for special credit risk is as follows:

|  | Additional loan provisions |  |  | Provisions for credit risk for contingent loans |  |  | Provisions for country risk for transactions with debtors with residence abroad |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Balances as of January 1, 2022 |  |  | 540,252 |  |  |  | 53,986 |  |  |  | 7,336 |  |  |  | 601,574 |
Provisions established |  |  | 70,000 |  |  |  | — |  |  |  | 547 |  |  |  | 70,547 |
Provisions used |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Provisions released |  |  | — |  |  |  | (763 | ) |  |  | — |  |  |  | (763 | )
Foreign exchange adjustments |  |  | — |  |  |  | (1,769 | ) |  |  | — |  |  |  | (1,769 | )
Balances as of March 31, 2022 |  |  | 610,252 |  |  |  | 51,454 |  |  |  | 7,883 |  |  |  | 669,589 |
Provisions established |  |  | 90,000 |  |  |  | 4,631 |  |  |  | 254 |  |  |  | 94,885 |
Provisions used |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Provisions released |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Foreign exchange adjustments |  |  | — |  |  |  | 1,292 |  |  |  | — |  |  |  | 1,292 |
Balances as of December 31, 2022 |  |  | 700,252 |  |  |  | 57,377 |  |  |  | 8,137 |  |  |  | 765,766 |
Provisions established |  |  | — |  |  |  | 1 |  |  |  | 693 |  |  |  | 694 |
Provisions used |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Provisions released |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Foreign exchange adjustments |  |  | — |  |  |  | (896 | ) |  |  | — |  |  |  | (896 | )
Balances as of March 31, 2023 |  |  | 700,252 |  |  |  | 56,482 |  |  |  | 8,830 |  |  |  | 765,564 |

128

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 27. | Other Liabilities:

At the end of each period, this item is composed as follows:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Accounts payable to third parties |  |  | 322,833 |  |  |  | 384,619 |
Cash guarantees received for derivative financial transactions |  |  | 279,501 |  |  |  | 201,846 |
Creditors for intermediation of financial instruments |  |  | 251,587 |  |  |  | 131,106 |
Obligations for mortgage loans granted to be remit to other banks and/or real estate companies |  |  | 239,728 |  |  |  | 203,831 |
Liability for income from usual activities from contracts with customers |  |  | 56,658 |  |  |  | 59,258 |
Agreed dividends payable |  |  | 11,689 |  |  |  | 8,005 |
VAT debit |  |  | 5,096 |  |  |  | 4,744 |
Outstanding transactions |  |  | 1,607 |  |  |  | 1,208 |
Other cash guarantees received |  |  | 481 |  |  |  | 475 |
Securities to be settled |  |  | 25 |  |  |  | 27,198 |
Other liabilities |  |  | 29,683 |  |  |  | 32,738 |
Total |  |  | 1,198,888 |  |  |  | 1,055,028 |

129

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 28. | Equity:

| (a) | Capital:

| (i) | Authorized, subscribed and paid shares:

As of March 31, 2023, the paid-in capital of Banco de Chile is represented by 101,017,081,114 registered shares (101,017,081,114 shares as of December 31, 2022), with no par value, subscribed and fully paid.

|  | As of March 31, 2023 |
Corporate Name or Shareholders’s name |  | Number of Shares |  |  | % of Equity Holding |
LQ Inversiones Financieras S.A. |  |  | 46,815,289,329 |  |  |  | 46.344 | %
Banchile Corredores de Bolsa S.A. |  |  | 5,332,957,650 |  |  |  | 5.279 | %
Banco Santander on behalf foreign investors |  |  | 5,271,878,531 |  |  |  | 5.219 | %
Inversiones LQ-SM Limitada |  |  | 4,854,988,014 |  |  |  | 4.806 | %
Banco de Chile on behalf State Street |  |  | 4,749,856,573 |  |  |  | 4.702 | %
Banco de Chile on behalf of non-resident third parties |  |  | 4,627,055,866 |  |  |  | 4.580 | %
Ever Chile SPA |  |  | 1,888,369,814 |  |  |  | 1.869 | %
Banco de Chile on behalf Citibank New York |  |  | 1,727,946,178 |  |  |  | 1.711 | %
J P Morgan Chase Bank |  |  | 1,344,866,308 |  |  |  | 1.331 | %
Inversiones Avenida Borgoño SPA |  |  | 1,190,565,316 |  |  |  | 1.179 | %
Ever 1 BAE SPA |  |  | 1,166,584,950 |  |  |  | 1.155 | %
Larraín Vial S.A. Corredora de Bolsa |  |  | 1,069,600,396 |  |  |  | 1.059 | %
Banco Santander Chile |  |  | 874,056,387 |  |  |  | 0.865 | %
BCI Corredores de Bolsa S.A. |  |  | 611,610,407 |  |  |  | 0.605 | %
A.F.P Hábitat S.A. for A Fund |  |  | 589,252,147 |  |  |  | 0.583 | %
A.F.P Cuprum S.A. for A Fund |  |  | 563,119,886 |  |  |  | 0.557 | %
Valores Security S.A. Corredores de Bolsa |  |  | 539,270,726 |  |  |  | 0.534 | %
Inversiones CDP SPA |  |  | 487,744,912 |  |  |  | 0.483 | %
Santander S.A. Corredores de Bolsa Limitada |  |  | 466,204,250 |  |  |  | 0.462 | %
A.F.P Capital S.A. for A Fund |  |  | 446,650,598 |  |  |  | 0.442 | %
Subtotal |  |  | 84,617,868,238 |  |  |  | 83.766 | %
Others shareholders |  |  | 16,399,212,876 |  |  |  | 16.234 | %
Total |  |  | 101,017,081,114 |  |  |  | 100.000 | %

130

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 28. | Equity, continued:

| (a) | Capital, continued:

| (i) | Authorized, subscribed and paid shares, continued:

|  | As of December 31, 2022 |
Corporate Name or Shareholders’s name |  | Number of Shares |  |  | % of Equity Holding |
LQ Inversiones Financieras S.A. |  |  | 46,815,289,329 |  |  |  | 46.344 | %
Banco Santander on behalf foreign investors |  |  | 5,152,721,486 |  |  |  | 5.101 | %
Banchile Corredores de Bolsa S.A. |  |  | 5,136,168,146 |  |  |  | 5.084 | %
Inversiones LQ-SM Limitada |  |  | 4,854,988,014 |  |  |  | 4.806 | %
Banco de Chile on behalf State Street |  |  | 4,578,821,545 |  |  |  | 4.533 | %
Banco de Chile on behalf of non-resident third parties |  |  | 4,469,302,412 |  |  |  | 4.424 | %
Banco de Chile on behalf Citibank New York |  |  | 2,114,554,951 |  |  |  | 2.093 | %
Ever Chile SPA |  |  | 1,888,369,814 |  |  |  | 1.869 | %
Inversiones Avenida Borgoño SPA |  |  | 1,190,565,316 |  |  |  | 1.179 | %
Ever 1 BAE SPA |  |  | 1,166,584,950 |  |  |  | 1.155 | %
Larraín Vial S.A. Corredora de Bolsa |  |  | 992,600,803 |  |  |  | 0.983 | %
J P Morgan Chase Bank |  |  | 912,758,708 |  |  |  | 0.904 | %
Banco Santander Chile |  |  | 727,463,267 |  |  |  | 0.720 | %
A.F.P Cuprum S.A. for A Fund |  |  | 665,713,252 |  |  |  | 0.659 | %
A.F.P Habitat S.A. for A Fund |  |  | 574,953,861 |  |  |  | 0.569 | %
BCI Corredores de Bolsa S.A. |  |  | 520,057,341 |  |  |  | 0.515 | %
Valores Security S.A. Corredores de Bolsa |  |  | 516,590,290 |  |  |  | 0.511 | %
Inversiones CDP SPA |  |  | 487,744,912 |  |  |  | 0.483 | %
A.F.P Capital S.A. for A Fund |  |  | 475,086,799 |  |  |  | 0.470 | %
Santander S.A. Corredores de Bolsa Limitada |  |  | 462,028,745 |  |  |  | 0.457 | %
Subtotal |  |  | 83,702,363,941 |  |  |  | 82.860 | %
Others shareholders |  |  | 17,314,717,173 |  |  |  | 17.140 | %
Total |  |  | 101,017,081,114 |  |  |  | 100.000 | %

131

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 28. | Equity, continued:

| (a) | Capital, continued:

| (ii) | Shares:

The following table shows the changes in share from December 31, 2022 to March 31, 2023:

|  | Total |
|  | Ordinary Shares |
Total shares as of December 31, 2022 |  |  | 101,017,081,114 |
Total shares as of March 31, 2023 |  |  | 101,017,081,114 |

| (b) | Approval and payment of dividends:

At the Bank Ordinary Shareholders’ Meeting held on March 23, 2023 it was approved the distribution and payment of dividend No. 211 of Ch$8.58200773490 per share of the Banco de Chile, with charge to the net distributable income for the year 2022. The dividends paid in the in the period 2023 amounted to Ch$866,929 million.

At the Bank Ordinary Shareholders’ Meeting held on March 17, 2022 it was approved the distribution and payment of dividend No. 210 of Ch$5.34393608948 per share of the Banco de Chile, with charge to the net distributable income for the year 2021. The dividends paid in the in the period 2022 amounted to Ch$539,827 million.

| (c) | Provision for minimum dividends:

The Board of Directors of Banco de Chile agreed for the purposes of minimum dividends, to establish a provision of 60% of the net income resulting from reducing or adding to the net income for the corresponding period, the value effect of the monetary unit of paid capital and reserves, as a result of any change in the Consumer Price Index (CPI) between the month prior to the current month and the month of November of the previous year. The amount to be reduced of the liquid income for the period ended as of March 31, 2023 amounted to Ch$49,281 million.

As indicated, as of March 31, 2023, the amount of the net income determined in accordance with the preceding paragraph is equivalent to Ch$216,670 million (Ch$866,929 million as of December 31, 2022). Consequently, the Bank recorded a provision for minimum dividends under “Provision for dividends, interests and reappraisal of financial instruments of regulatory capital issued” as of March 31, for an amount of Ch$130,002 million (Ch$520,158 million in December 2022), which reflects as a counterpart an equity reduction for the same amount in the item “Retained earnings”.

132

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 28. | Equity, continued:

| (d) | Earnings per share:

| (i) | Basic earnings per share:

Basic earnings per share are determined by dividing the net income attributable to the Bank ordinary equity holders in a period between the weighted average number of shares outstanding during that period, excluding the average number of own shares held throughout the period.

| (ii) | Diluted earnings per share:

In order to calculate the diluted earnings per share, both the amount of income attributable to common shareholders and the weighted average number of shares outstanding, net of own shares, must be adjusted for all the inherent dilutive effects to the potential common shares (stock options, warrants and convertible debt).

Accordingly, the basic and diluted earnings per share as of March 31, 2023 and 2022 were determined as follows:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
Basic earnings per share: |  |  |  |  |  |
Net profits attributable to ordinary equity holders of the bank (in million Chilean pesos) |  |  | 265,951 |  |  |  | 291,727 |
Weighted average number of ordinary shares |  |  | 101,017,081,114 |  |  |  | 101,017,081,114 |
Earning per shares (in Chilean pesos) |  |  | 2.63 |  |  |  | 2.89 |
Diluted earnings per share: |  |  |  |  |  |  |  |
Net profits attributable to ordinary equity holders of the bank (in million Chilean pesos) |  |  | 265,951 |  |  |  | 291,727 |
Weighted average number of ordinary shares |  |  | 101,017,081,114 |  |  |  | 101,017,081,114 |
Assumed conversion of convertible debt |  |  | — |  |  |  | — |
Adjusted number of shares |  |  | 101,017,081,114 |  |  |  | 101,017,081,114 |
Diluted earnings per share (in Chilean pesos) |  |  | 2.63 |  |  |  | 2.89 |

As of March 31, 2023 and 2022, the Bank does not have instruments that generate dilutive effects.

133

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 28. | Equity, continued:

| (e) | Other comprehensive income:

Below is the composition and changes of accumulated other comprehensive income as of March 31, 2023 and 2022:

|  | Elements that will not be reclassified in profit or loss |  |  | Elements that can be reclassified in profit or loss |  |  |  |
|  | New measurements of net defined benefit liability and actuarial results for other employee benefit plans |  |  | Fair value changes of equity instruments designated as at fair value through other comprehensive income |  |  | Income tax |  |  | Subtotal |  |  | Fair value changes of financial assets at fair value through other comprehensive income |  |  | Cash flow accounting hedge |  |  | Participation in other comprehensive income of entities registered under the equity method |  |  | Income tax |  |  | Subtotal |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Opening balances as of January 1, 2022 |  |  | (208 | ) |  |  | 3,590 |  |  |  | (913 | ) |  |  | 2,469 |  |  |  | (47,808 | ) |  |  | 111,694 |  |  |  | (21 | ) |  |  | (27,595 | ) |  |  | 36,270 |  |  |  | 38,739 |
Other comprehensive income for the period |  |  | (8 | ) |  |  | 74 |  |  |  | (18 | ) |  |  | 48 |  |  |  | (5,436 | ) |  |  | (64,626 | ) |  |  | (6 | ) |  |  | 16,967 |  |  |  | (53,101 | ) |  |  | (53,053 | )
Balances as of March 31, 2022 |  |  | (216 | ) |  |  | 3,664 |  |  |  | (931 | ) |  |  | 2,517 |  |  |  | (53,244 | ) |  |  | 47,068 |  |  |  | (27 | ) |  |  | (10,628 | ) |  |  | (16,831 | ) |  |  | (14,314 | )
Opening balances as of January 1, 2023 |  |  | (338 | ) |  |  | 3,790 |  |  |  | (932 | ) |  |  | 2,520 |  |  |  | 268 |  |  |  | (103,782 | ) |  |  | (190 | ) |  |  | 31,382 |  |  |  | (72,322 | ) |  |  | (69,802 | )
Other comprehensive income for the period |  |  | (115 | ) |  |  | 74 |  |  |  | 11 |  |  |  | (30 | ) |  |  | 16,791 |  |  |  | 56,304 |  |  |  | (4 | ) |  |  | (17,775 | ) |  |  | 55,316 |  |  |  | 55,286 |
Balances as of March 31, 2023 |  |  | (453 | ) |  |  | 3,864 |  |  |  | (921 | ) |  |  | 2,490 |  |  |  | 17,059 |  |  |  | (47,478 | ) |  |  | (194 | ) |  |  | 13,607 |  |  |  | (17,006 | ) |  |  | (14,516 | )

134

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 28. | Equity, continued:

| (f) | Retained earnings from previous years:

During the year 2023, the Ordinary Shareholders Meeting of Banco de Chile agreed to deduct and withhold from the year 2022 liquid income, an amount equivalent to the value effect of the monetary unit of paid capital and reserves according to the variation in the Consumer Price Index, which occurred between November 2021 and November 2022, amounting to Ch$542,504 million.

| 29. | Contingencies and Commitments:

| (a) | The Bank and its subsidiaries have exposures associated with contingent loans and other liabilities according to the following detail:

| (a.1) | Contingent loans:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Guarantees and sureties |  |  |  |  |  |
Guarantees and sureties in chilean currency |  |  | — |  |  |  | — |
Guarantees and sureties in foreing currency |  |  | 292,707 |  |  |  | 348,774 |
Letters of credit for goods circulation operations |  |  | 439,843 |  |  |  | 424,195 |
Debt purchase commitments in local currency abroad |  |  | — |  |  |  | — |
Transactions related to contingent events |  |  |  |  |  |  |  |
Transactions related to contingent events in chilean currency |  |  | 2,098,714 |  |  |  | 2,230,917 |
Transactions related to contingent events in foreing currency |  |  | 390,505 |  |  |  | 466,691 |
Undrawn credit lines with immediate termination |  |  |  |  |  |  |  |
Balance of lines of credit and agreed overdraft in current account – commercial loans |  |  | 1,385,613 |  |  |  | 1,396,659 |
Balance of lines of credit on credit card – commercial loans |  |  | 282,775 |  |  |  | 290,950 |
Balance of lines of credit and agreed overdraft in current account – consumer loans |  |  | 1,472,602 |  |  |  | 1,457,303 |
Balance of lines of credit on credit card – consumer loans |  |  | 6,137,885 |  |  |  | 6,202,951 |
Balance of lines of credit and agreed overdraft in current account – due from banks loans |  |  | — |  |  |  | — |
Undrawn credit lines |  |  |  |  |  |  |  |
Balance of lines of credit and agreed overdraft in current account – commercial loans |  |  | — |  |  |  | — |
Balance of lines of credit on credit card – commercial loans |  |  | — |  |  |  | — |
Balance of lines of credit and agreed overdraft in current account – consumer loans |  |  | — |  |  |  | — |
Balance of lines of credit on credit card – consumer loans |  |  | — |  |  |  | — |
Balance of lines of credit and agreed overdraft in current account – due from banks loans |  |  | — |  |  |  | — |
Other commitments |  |  |  |  |  |  |  |
Credits for higher studies Law No. 20,027 (CAE) |  |  | — |  |  |  | — |
Other irrevocable credit commitments |  |  | 66,834 |  |  |  | 72,355 |
Other credit commitments |  |  | — |  |  |  | — |
Total |  |  | 12,567,478 |  |  |  | 12,890,795 |

135

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 29. | Contingencies and Commitments, continued:

| (a) | The Bank and its subsidiaries have exposures associated with contingent loans and other liabilities according to the following detail continued:

| (a.2) | Responsibilities assumed to meet customer needs:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Transactions on behalf of third parties |  |  |  |  |  |
Collections |  |  | 122,721 |  |  |  | 174,238 |
Placement or sale of financial instruments |  |  | — |  |  |  | — |
Transferred financial assets managed by the bank |  |  | — |  |  |  | — |
Third-party resources managed by the bank |  |  | 767,502 |  |  |  | 766,706 |
Subtotal |  |  | 890,223 |  |  |  | 940,944 |
Securities custody |  |  |  |  |  |  |  |
Securities safekept by a banking subsidiary |  |  | 5,402,324 |  |  |  | 5,593,924 |
Securities safekept by the Bank |  |  | 3,487,294 |  |  |  | 3,646,536 |
Securities safekept deposited in another entity |  |  | 14,382,045 |  |  |  | 14,855,338 |
Securities issued by the bank |  |  | — |  |  |  | — |
Subtotal |  |  | 23,271,663 |  |  |  | 24,095,798 |
Total |  |  | 24,161,886 |  |  |  | 25,036,742 |

| (b) | Lawsuits and legal proceedings:

| (b.1) | Normal judicial contingencies in the industry:

At the date of issuance of these Interim Consolidated Financial Statements, there are legal actions filed against the Bank related with the ordinary course operations. As of March 31, 2023, the Bank maintain provisions for judicial contingencies amounting to Ch$1,799 million (Ch$1,790 million as of December 2022), which are part of the item “Provisions for contingencies” in the Statement of Financial Position.

The estimated end dates of the respective legal contingencies are as follows:

|  | As of March 31, 2023 |
|  | 2023 |  |  | 2024 |  |  | 2025 |  |  | 2026 |  |  | 2027 |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Legal contingencies |  |  | 251 |  |  |  | 1,536 |  |  |  | 12 |  |  |  | — |  |  |  | — |  |  |  | 1,799 |

| (b.2) | Contingencies for significant lawsuits in courts:

As of March 31, 2023 and December 31, 2022, there are not significant lawsuits in court that affect or may affect these Interim Consolidated Financial Statements.

136

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 29. | Contingencies and Commitments, continued:

| (c) | Guarantees granted by operations:

| i. | In subsidiary Banchile Administradora General de Fondos S.A.:

In compliance with Article No, 12 of Law No. 20,712, Banchile Administradora General de Fondos S.A., has designated Banco de Chile as the representative of the beneficiaries of the guarantees it has established, and in such role the Bank has issued bank guarantees totaling UF 3,264,000 maturing January 5, 2024 (UF 4,153,500, maturing on January 6, 2023). The subsidiary took a policy with Mapfre Seguros Generales S.A. for the Real State Funds by a guaranteed amount of UF 885,300.

As of March 31, 2023 and December 31, 2022, the Bank has not guaranteed mutual funds.

| ii. | In subsidiary Banchile Corredores de Bolsa S.A.:

For the purposes of ensuring correct and complete compliance with all of its obligations as broker-dealer entity, in conformity with the provisions from Article 30 and subsequent of Law No. 18,045 on Securities Markets, the subsidiary established a guarantee in an insurance policy for UF 20,000, insured by Mapfre Seguros Generales S.A., that matures April 22, 2024, whereby the Securities Exchange of the Santiago Stock Exchange was appointed as the subsidiary’s creditor representative.

137

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 29. | Contingencies and Commitments, continued:

| (c) | Guarantees granted by operations, continued:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
Guarantees: |  | MCh$ |  |  | MCh$ |
Shares delivered to guarantee forward sales transactions covered simultaneously: |  |  |  |  |  |
Santiago Securities Exchange, Stock Exchange |  |  | 16,679 |  |  |  | 15,840 |
Electronic Chilean Securities Exchange, Stock Exchange |  |  | 9,744 |  |  |  | 10,323 |
Fixed income securities to guarantee CCLV system: |  |  |  |  |  |  |  |
Santiago Securities Exchange, Stock Exchange |  |  | 9,938 |  |  |  | 9,983 |
Fixed Income securities to guarantee equity short sale and Hedging Loan: |  |  |  |  |  |  |  |
Santiago Securities Exchange, Stock Exchange |  |  | — |  |  |  | — |
Shares delivered to guarantee equity lending and short-selling: |  |  |  |  |  |  |  |
Santiago Securities Exchange, Stock Exchange |  |  | 8,018 |  |  |  | 7,992 |
Cash guarantees received for operations with derivatives |  |  | 2,340 |  |  |  | 743 |
Cash guarantees for operations with derivatives |  |  | 5,280 |  |  |  | 1,443 |
Cash collateral provided for short sale transactions with pershing |  |  | 2,442 |  |  |  | 3.035 |
Equity securities received for operations with derivatives: |  |  |  |  |  |  |  |
Electronic Chilean Securities Exchange, Stock Exchange |  |  | — |  |  |  | 273 |
Depósito Central de Valores S.A. |  |  | 1,016 |  |  |  | 1,363 |
Financial intermediation securities received for operations with derivatives: |  |  |  |  |  |  |  |
Internal custody |  |  | 67 |  |  |  | 238 |
Total |  |  | 55,524 |  |  |  | 48,198 |

In conformity with the internal regulation of the stock exchange in which it participates, and for the purpose of ensuring its proper performance, the Company maintains a pledge in favor of the Santiago Stock Exchange of one million shares of said stock exchange and the same number of shares of the Sociedad de Infraestructuras de Mercado S.A. It also maintains a pledge in favor of the Electronic Exchange for one hundred thousand shares of said Institution.

Banchile Corredores de Bolsa S.A. keeps an insurance policy current with Chubb Seguros Chile S.A. that expires May 2, 2023, this considers matters of employee fidelity, physical losses, falsification or adulteration, and currency fraud with a coverage amount equivalent to US$20,000,000.

It also provided a bank guarantee in the amount of UF 311,400 for the benefits of investors in portfolio management contracts. This bank guarantee is revaluated in UF to fixed term, non-endorsable and has a maturity date of January 8, 2024.

It also provided a cash guarantee in the amount of US$122,494.32 for the purpose of complying with the obligations to Pershing, for any operations conducted through that broker.

138

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 29. | Contingencies and Commitments, continued:

| (c) | Guarantees granted by operations, continued:

A guarantee corresponding to UF 10,000 has been constituted, to guarantee compliance with the fund’s investment portfolio management service contract. Said guarantee corresponds to a non-endorsable fixed-term readjustable bond in UF issued by Banco de Chile with validity until January 2, 2026.

| iii. | In subsidiary Banchile Corredores de Seguros Ltda.:

According to established in article 58, letter D of D.F.L. 251, as of March 31, 2023 the entity maintains two insurance policies with effect from April 15, 2022 to April 14, 2023 which protect it against of potential damages caused by infractions of the law, regulations and complementary rules that regulate insurance brokers, especially when the non-compliance comes from acts, errors or omissions of the broker, its representatives, agents or dependents that participate in the intermediation.

The policies contracted are:

Matter insured |  | Amount Insured (UF) |
Errors and omissions liability policy |  |  | 500 |
Civil liability policy |  |  | 60,000 |

| (d) | Exempt Resolution No. 270 dated October 30, 2014, the Superintendency of Securities and Insurance (current Commission for the Financial Market) imposed a fine of UF 50,000 to Banchile Corredores de Bolsa S.A. for violations of the second paragraph of article 53 of the Securities Market Law, said company filed a claim with the competent Civil Court requesting the annulment of the fine. On December 10, 2019, a judgement in the case was issued reducing the fine to the amount of UF 7,500. The judgment indicated has been subject to cassation appeals filed by both parties, which are pending before the Illustrious Court of Appeals of Santiago.

The company has not made provisions considering that the Bank’s legal advisors in charge of the procedure estimate that there are solid grounds that the claim filed by Banchile Corredores de Bolsa S.A. can be accepted.

139

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 30. | Interest Revenue and Expenses:

| (a) | At the end of the period, the summary of interest is as follows:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Interest revenue |  |  | 773,145 |  |  |  | 449,518 |
Interest expenses |  |  | (405,228 | ) |  |  | (143,303 | )
Total net interest income |  |  | 367,917 |  |  |  | 306,215 |

| (b) | The composition of interest revenue is as follows:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Financial assets at amortized cost |  |  |  |  |  |
Rights by resale agreements and securities lending |  |  | 1,431 |  |  |  | 707 |
Debt financial instruments |  |  | 3,344 |  |  |  | 3,273 |
Loans and advances to Banks |  |  | 51,245 |  |  |  | 26,262 |
Commercial loans |  |  | 354,290 |  |  |  | 200,392 |
Residential mortgage loans |  |  | 88,883 |  |  |  | 74,427 |
Consumer Loans |  |  | 184,994 |  |  |  | 127,794 |
Other financial instruments |  |  | 11,601 |  |  |  | 326 |
Financial assets at fair value through other comprehensive income |  |  |  |  |  |  |  |
Debt financial instruments |  |  | 86,994 |  |  |  | 23,030 |
Other financial instruments |  |  | — |  |  |  | — |
Income of accounting hedges of interest rate risk |  |  | (9,637 | ) |  |  | (6,693 | )
Total |  |  | 773,145 |  |  |  | 449,518 |

| (b.1) | At the end of the period, the stock of interest not recognized in income is as follows:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Commercial loans |  |  | 24,018 |  |  |  | 12,607 |
Residential mortgage loans |  |  | 3,004 |  |  |  | 2,042 |
Consumer Loans |  |  | 3,861 |  |  |  | 1,215 |
Total |  |  | 30,883 |  |  |  | 15,864 |

140

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 30. | Interest Revenue and Expenses, continued:

| (b) | The composition of interest revenue is as follows continued:

| (b.2) | The amount of interest recognized on a received basis for impaired portfolio in the period amounts to:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Commercial loans |  |  | 176 |  |  |  | 131 |
Residential mortgage loans |  |  | 375 |  |  |  | 235 |
Consumer Loans |  |  | — |  |  |  | — |
Total |  |  | 551 |  |  |  | 366 |

| (c) | The composition of interest expenses is as follows:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Financial liabilities at amortized cost |  |  |  |  |  |
Current accounts and other demand deposits |  |  | 521 |  |  |  | 892 |
Saving accounts and time deposits |  |  | 330,896 |  |  |  | 86,455 |
Obligations by repurchase agreements and securities lending |  |  | 5,489 |  |  |  | 1,415 |
Borrowings from financial institutions |  |  | 13,903 |  |  |  | 6,162 |
Debt financial instruments issued |  |  | 57,617 |  |  |  | 48,316 |
Other financial obligations |  |  | — |  |  |  | — |
Lease liabilities |  |  | 439 |  |  |  | 457 |
Financial instruments of regulatory capital issued |  |  | 8,134 |  |  |  | 7,417 |
Income of accounting hedges of interest rate risk |  |  | (11,771 | ) |  |  | (7,811 | )
Total |  |  | 405,228 |  |  |  | 143,303 |

| (d) | As of March 31, 2023 and 2022, the Bank uses cross currency and interest rate swaps to hedge its position on changes on the fair value of corporate bonds and commercial loans and cross currency swaps to hedge the risk of variability of obligations flows with foreign banks and bonds issued in foreign currency.

|  | March 2023 |  |  | March 2022 |
|  | Income |  |  | Expense |  |  | Total |  |  | Income |  |  | Expense |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Gain from fair value accounting hedges |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Loss from fair value accounting hedges |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (29 | ) |  |  | — |  |  |  | (29 | )
Gain from cash flow accounting hedges |  |  | 2,662 |  |  |  | 15,877 |  |  |  | 18,539 |  |  |  | 4,508 |  |  |  | 9,883 |  |  |  | 14,391 |
Loss from cash flow accounting hedges |  |  | (12,299 | ) |  |  | (4,106 | ) |  |  | (16,405 | ) |  |  | (11,201 | ) |  |  | (2,072 | ) |  |  | (13,273 | )
Net gain on hedge items |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 29 |  |  |  | — |  |  |  | 29 |
Total |  |  | (9,637 | ) |  |  | 11,771 |  |  |  | 2,134 |  |  |  | (6,693 | ) |  |  | 7,811 |  |  |  | 1,118 |

141

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 31. | UF indexation revenue and expenses:

| (a) | At the end of the period, the summary of UF indexation is as follows:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
UF indexation revenue |  |  | 227,418 |  |  |  | 386,218 |
UF indexation expenses |  |  | (141,287 | ) |  |  | (199,064 | )
Total net income from UF indexation |  |  | 86,131 |  |  |  | 187,154 |

| (b) | The composition of UF indexation revenue is as follows:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Financial assets at amortized cost |  |  |  |  |  |
Rights by resale agreements and securities lending |  |  | — |  |  |  | — |
Debt financial instruments |  |  | 7,655 |  |  |  | 12,222 |
Loans and advances to Banks |  |  | — |  |  |  | — |
Commercial loans |  |  | 85,706 |  |  |  | 151,548 |
Residential mortgage loans |  |  | 150,035 |  |  |  | 241,286 |
Consumer Loans |  |  | 619 |  |  |  | 1,375 |
Other financial instruments |  |  | 1,041 |  |  |  | 1,063 |
Financial assets at fair value through other comprehensive income |  |  |  |  |  |  |  |
Debt financial instruments |  |  | 8,870 |  |  |  | 11,505 |
Other financial instruments |  |  | — |  |  |  | — |
Income of accounting hedges of UF, IVP, IPC indexation risk |  |  | (26,508 | ) |  |  | (32,781 | )
Total |  |  | 227,418 |  |  |  | 386,218 |

| (b.1) | At the end of the period, the stock of UF indexation not recognized in results is as follows:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Commercial loans |  |  | 4,271 |  |  |  | 2,927 |
Residential mortgage loans |  |  | 6,779 |  |  |  | 3,322 |
Consumer Loans |  |  | 27 |  |  |  | 40 |
Total |  |  | 11,077 |  |  |  | 6,289 |

142

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 31. | UF indexation revenue and expenses, continued:

| (b) | The composition of UF indexation revenue is as follows continued:

| (b.2) | The amount of indexation recognized on the basis received by the impaired portfolio in the period amounted to:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Commercial loans |  |  | 261 |  |  |  | 253 |
Residential mortgage loans |  |  | 1,163 |  |  |  | 565 |
Consumer Loans |  |  | 1 |  |  |  | 1 |
Total |  |  | 1,425 |  |  |  | 819 |

| (c) | The composition of UF indexation expenses is as follows:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Financial liabilities at amortized cost |  |  |  |  |  |
Current accounts and other demand deposits |  |  | 2,757 |  |  |  | 7,682 |
Saving accounts and time deposits |  |  | 30,112 |  |  |  | 24,587 |
Obligations by repurchase agreements and securities lending |  |  | — |  |  |  | — |
Borrowings from financial institutions |  |  | — |  |  |  | — |
Debt financial instruments issued |  |  | 95,039 |  |  |  | 145,089 |
Other financial obligations |  |  | — |  |  |  | — |
Financial instruments of regulatory capital issued |  |  | 13,379 |  |  |  | 21,706 |
Income of accounting hedges of UF, IVP, IPC indexation risk |  |  | — |  |  |  | — |
Total |  |  | 141,287 |  |  |  | 199,064 |

| (d) | As of March 31, 2023 and 2022, the Bank uses cross currency and interest rate swaps to hedge its position on Changes on the fair value of corporate bonds and commercial loans and cross currency swaps to hedge the risk of variability of obligations flows with foreign banks and bonds issued in foreign currency.

|  | March 2023 |  |  | March 2022 |
|  | Income |  |  | Expense |  |  | Total |  |  | Income |  |  | Expense |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Gain from fair value accounting hedges |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Loss from fair value accounting hedges |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Gain from cash flow accounting hedges |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Loss from cash flow accounting hedges |  |  | (26,508 | ) |  |  | — |  |  |  | (26,508 | ) |  |  | (32,781 | ) |  |  | — |  |  |  | (32,781 | )
Net gain on hedge items |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Total |  |  | (26,508 | ) |  |  | — |  |  |  | (26,508 | ) |  |  | (32,781 | ) |  |  | — |  |  |  | (32,781 | )

143

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 32. | Income and Expeses from commissions:

The income and expenses for commissions that are shown in the Interim Consolidated Statement of Income for the period is as following:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Income from commissions and services rendered |  |  |  |  |  |
Comissions from debit and credit card services |  |  | 59,966 |  |  |  | 53,485 |
Remuneration from administration of mutual funds, investment funds or others |  |  | 28,395 |  |  |  | 29,037 |
Comissions from collections and payments |  |  | 18,808 |  |  |  | 19,939 |
Comissions from portfolio management |  |  | 14,124 |  |  |  | 13,435 |
Remuneration from brokerage and insurance advisory |  |  | 9,887 |  |  |  | 8,450 |
Comissions from guarantees and letters of credit |  |  | 8,828 |  |  |  | 7,872 |
Use of distribution channel |  |  | 7,533 |  |  |  | 6,773 |
Brand use agreement |  |  | 7,445 |  |  |  | 6,573 |
Comissions from trading and securities management |  |  | 4,021 |  |  |  | 4,668 |
Comissions from credit prepayments |  |  | 2,467 |  |  |  | 2,422 |
Insurance not related to the granting of credits to legal entities |  |  | 1,919 |  |  |  | 881 |
Financial advisory services |  |  | 1,264 |  |  |  | 266 |
Comissions from lines of credit and current account overdrafts |  |  | 1,220 |  |  |  | 1,112 |
Insurance related to the granting of credits to legal entities |  |  | 515 |  |  |  | 398 |
Comissions from factoring operations services |  |  | 319 |  |  |  | 327 |
Loan commissions with letters of credit |  |  | 26 |  |  |  | 43 |
Other commission earned |  |  | 4,190 |  |  |  | 5,028 |
Total |  |  | 170,927 |  |  |  | 160,709 |
Expenses from commissions and services received |  |  |  |  |  |  |  |
Commissions from card transactions |  |  | 12,690 |  |  |  | 12,840 |
Interbank transactions |  |  | 11,450 |  |  |  | 8,408 |
Expenses from obligations of loyalty and merit card customers programs |  |  | 4,754 |  |  |  | 3,481 |
Commissions from use of card brands license |  |  | 2,144 |  |  |  | 2,581 |
Comissions from securities transaction |  |  | 1,400 |  |  |  | 1,418 |
Collections and payments |  |  | 1,086 |  |  |  | 1,158 |
Other commissions from services received |  |  | 498 |  |  |  | 583 |
Total |  |  | 34,022 |  |  |  | 30,469 |

144

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 33. | Net Financial income (expense):

| (a) | The amount of net financial income (expense) shown in the Interim Consolidated Income Statement for the period corresponds to the following concepts:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
Financial result from: |  | MCh$ |  |  | MCh$ |
Financial assets held for trading at fair value through profit or loss: |  |  |  |  |  |
Financial derivative contracts |  |  | 1,804,209 |  |  |  | 510,023 |
Debt Financial Instruments |  |  | 76,066 |  |  |  | 36,045 |
Other financial instruments |  |  | 7,638 |  |  |  | 2,112 |
Financial liabilities held for trading at fair value through profit or loss |  |  |  |  |  |  |  |
Financial derivative contracts |  |  | (1,753,446 | ) |  |  | (520,810 | )
Other financial instruments |  |  | (682 | ) |  |  | 1 |
Subtotal |  |  | 133,785 |  |  |  | 27,371 |
Non-trading financial assets mandatorily measured at fair value through profit or loss: |  |  |  |  |  |  |  |
Debt Financial Instruments |  |  | — |  |  |  | — |
Other financial instruments |  |  | — |  |  |  | — |
Financial assets designated as at fair value through profit or loss: |  |  |  |  |  |  |  |
Debt Financial Instruments |  |  | — |  |  |  | — |
Other financial instruments |  |  | — |  |  |  | — |
Financial liabilities designated as at fair value through profit or loss: |  |  |  |  |  |  |  |
Current accounts and other demand deposits and savings accounts and other time deposits |  |  | — |  |  |  | — |
Debt instruments issued |  |  | — |  |  |  | — |
Others |  |  | — |  |  |  | — |
Derecognition of financial assets and liabilities at amortized cost and financial assets at fair value through other comprehensive income: |  |  |  |  |  |  |  |
Financial assets at amortized cost |  |  | — |  |  |  | — |
Financial assets at fair value through other comprehensive income |  |  | (117 | ) |  |  | 508 |
Financial liabilities at amortized cost |  |  | — |  |  |  | — |
Financial instruments of regulatory capital issued |  |  | — |  |  |  | — |
Subtotal |  |  | (117 | ) |  |  | 508 |
Exchange, indexation and accounting hedging of foreign currency |  |  |  |  |  |  |  |
Gain (loss) from foreign currency exchange |  |  | 111,397 |  |  |  | 171,639 |
Gain (loss) from indexation for exchange rate |  |  | (10,148 | ) |  |  | (6,571 | )
Net gain (loss) from derivatives in accounting hedges of foreign currency risk |  |  | (131,945 | ) |  |  | (136,968 | )
Subtotal |  |  | (30,696 | ) |  |  | 28,100 |
Reclassification of financial assets for changes to business models: |  |  |  |  |  |  |  |
From financial assets at amortized cost to financial assets held for trading at fair value through profit or loss |  |  | — |  |  |  | — |
From financial assets at fair value through other comprehensive income to financial assets held for trading at fair value through profit or loss |  |  | — |  |  |  | — |
Modifications of financial assets and liabilities: |  |  |  |  |  |  |  |
Financial assets at amortized cost |  |  | — |  |  |  | — |
Financial assets at fair value through other comprehensive income |  |  | — |  |  |  | — |
Financial liabilities at amortized cost |  |  | — |  |  |  | — |
Lease liabilities |  |  | — |  |  |  | — |
Financial instruments of regulatory capital issued |  |  | — |  |  |  | — |
Ineffective accounting hedges: |  |  |  |  |  |  |  |
Gain (loss) from ineffective cash flow accounting hedges |  |  | — |  |  |  | — |
Gain (loss) from ineffective accounting hedges of net investment abroad |  |  | — |  |  |  | — |
Other type of accounting hedges: |  |  |  |  |  |  |  |
Hedges of other types of financial assets |  |  | — |  |  |  | — |
Total |  |  | 102,972 |  |  |  | 55,979 |

145

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 33. | Net Financial income (expense), continued:

| (b) | Below is a detail of the income (expense) associated with the changes of provisions constituted for credit risk related to loans and contingent loans denominated in foreign currency, which is reflected in “Exchange, indexation and accounting hedging of foreign currency”.

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Loans and advances to Banks |  |  | 38 |  |  |  | 35 |
Commercial loans |  |  | 5,303 |  |  |  | 7,253 |
Residential mortgage loans |  |  | — |  |  |  | — |
Consumer loans |  |  | 60 |  |  |  | 73 |
Contingent loans |  |  | 896 |  |  |  | 1,542 |
Total |  |  | 6,297 |  |  |  | 8,903 |

| 34. | Income attributable to investments in other companies:

The income obtained from investments in companies detailed in note No. 14 corresponds to the following:

|  |  |  | March |  |  | March |
Company |  | Shareholder |  | 2023 |  |  | 2022 |
|  |  |  | MCh$ |  |  | MCh$ |
Associates |  |  |  |  |  |  |  |
Transbank S.A. |  | Banco de Chile |  |  | 799 |  |  |  | 974 |
Centro de Compensación Automatizado S.A. |  | Banco de Chile |  |  | 317 |  |  |  | 188 |
Redbanc S.A. |  | Banco de Chile |  |  | 169 |  |  |  | 73 |
Administrador Financiero del Transantiago S.A. |  | Banco de Chile |  |  | 130 |  |  |  | 82 |
Sociedad Interbancaria de Depósitos de Valores S.A. |  | Banco de Chile |  |  | 61 |  |  |  | 39 |
Sociedad Imerc OTC S.A. |  | Banco de Chile |  |  | 39 |  |  |  | 29 |
Sociedad Operadora de la Cámara de Compensación de Pagos de Alto Valor S.A. |  | Banco de Chile |  |  | 20 |  |  |  | 17 |
Subtotal Associates |  |  |  |  | 1,535 |  |  |  | 1,402 |
Joint Ventures |  |  |  |  |  |  |  |  |  |
Servipag Ltda. |  | Banco de Chile |  |  | 310 |  |  |  | 110 |
Artikos Chile S.A. |  | Banco de Chile |  |  | 133 |  |  |  | 10 |
Subtotal Joint Ventures |  |  |  |  | 443 |  |  |  | 120 |
Minority Investments |  |  |  |  |  |  |  |  |  |
Banco Latinoamericano de Comercio Exterior S.A. (Bladex) |  | Banco de Chile |  |  | — |  |  |  | 12 |
Subtotal Minority Investments |  |  |  |  | — |  |  |  | 12 |
Total |  |  |  |  | 1,978 |  |  |  | 1,534 |

146

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 35. | Result from non-current assets and disposal groups held for sale not admissible as discontinued operations:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Net income from assets received in payment or adjudicated in judicial auction |  |  |  |  |  |
Gain (loss) on sale of assets received in lieu of payment or foreclosed at judicial auction |  |  | 1,071 |  |  |  | 1,291 |
Other income from assets received in payment or foreclosed at judicial auction |  |  | 11 |  |  |  | 117 |
Provisions for adjustments to net realizable value of assets received in lieu of payment or foreclosed at judicial auction |  |  | (305 | ) |  |  | (42 | )
Charge-off assets received in lieu of payment or foreclosed at judicial auction |  |  | (1,808 | ) |  |  | (736 | )
Expenses to maintain assets received in lieu of payment or foreclosed at judicial auction |  |  | (228 | ) |  |  | (123 | )
Non-current assets held for sale |  |  |  |  |  |  |  |
Investments in other companies |  |  | — |  |  |  | — |
Intangible assets |  |  | — |  |  |  | — |
Property and equipment |  |  | (187 | ) |  |  | 21 |
Assets for recovery of assets transferred in financial leasing operations |  |  | 45 |  |  |  | 449 |
Other assets |  |  | — |  |  |  | — |
Disposal groups held for sale |  |  | — |  |  |  | — |
Total |  |  | (1,401 | ) |  |  | 977 |

147

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 36. | Other operating Income and Expenses:

| a) | During the periods 2023 and 2022, the Bank and its subsidiaries present other operating income, according to the following:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Expense recovery |  |  | 5,930 |  |  |  | 313 |
Income from investment properties |  |  | 1,643 |  |  |  | 1,680 |
Income from correspondent banks |  |  | 675 |  |  |  | 753 |
Tax management income |  |  | 287 |  |  |  | 22 |
Fiduciary and trustee commissions |  |  | 25 |  |  |  | 22 |
Foreign trade income |  |  | 24 |  |  |  | 18 |
Expense recovery income |  |  | 26 |  |  |  | 9 |
Provision for fixed income instruments |  |  | 17 |  |  |  | 13 |
Revaluation of prepaid monthly payments |  |  | — |  |  |  | 62 |
Others income |  |  | 37 |  |  |  | 194 |
Total |  |  | 8,664 |  |  |  | 3,086 |

| b) | During the periods 2023 and 2022, the Bank and its subsidiaries present other operating expenses, according to the following:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Write-offs for operating risks |  |  | 6,045 |  |  |  | 3,009 |
Expenses for credit operations of financial leasing |  |  | 743 |  |  |  | 637 |
Correspondent banks |  |  | 666 |  |  |  | 821 |
Legal expenses |  |  | 531 |  |  |  | 328 |
Provision for pending operations (90 days) |  |  | 402 |  |  |  | 559 |
Card administration |  |  | 113 |  |  |  | 1,220 |
Expenses for charge-off leased assets recoveries |  |  | 103 |  |  |  | 59 |
Renegotiated loan insurance premium |  |  | 78 |  |  |  | 95 |
Provisions for trials and litigation |  |  | 60 |  |  |  | 13 |
Life ensurance |  |  | 48 |  |  |  | 77 |
Expense of provisions for operational risk |  |  | (168 | ) |  |  | (20 | )
Expense recovery from operational risk events |  |  | (1,934 | ) |  |  | (1,371 | )
Others expenses |  |  | 260 |  |  |  | 252 |
Total |  |  | 6,947 |  |  |  | 5,679 |

148

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 37. | Expenses from salaries and employee benefits:

The composition of the expense for employee benefit obligations during the period 2023 and 2022 is as follows:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Expenses for short-term employee benefit |  |  | 125,727 |  |  |  | 112,557 |
Expenses for employee benefits due to termination of employment contract |  |  | 4,951 |  |  |  | 6,892 |
Training expenses |  |  | 1,016 |  |  |  | 665 |
Expenses for nursery and kindergarten |  |  | 363 |  |  |  | 360 |
Other personnel expenses |  |  | 1,961 |  |  |  | 1,593 |
Total |  |  | 134,018 |  |  |  | 122,067 |

149

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 38. | Administrative expenses:

This item is composed as follows:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
General administrative expenses |  |  |  |  |  |
Information technology and communications |  |  | 34,410 |  |  |  | 28,963 |
Maintenance and repair of property and equipment |  |  | 10,141 |  |  |  | 10,473 |
External advisory services and professional services fees |  |  | 4,416 |  |  |  | 4,298 |
Surveillance and securities transport services |  |  | 2,894 |  |  |  | 2,880 |
Insurance premiums except to cover operational risk events |  |  | 2,398 |  |  |  | 2,059 |
Office supplies |  |  | 1,974 |  |  |  | 2,011 |
External service of financial information |  |  | 1,550 |  |  |  | 1,107 |
Energy, heating and other utilities |  |  | 1,369 |  |  |  | 1,208 |
Legal and notary expenses |  |  | 1,208 |  |  |  | 865 |
Other expenses of obligations for lease contracts |  |  | 1,083 |  |  |  | 1,015 |
Expenses for short-term leases |  |  | 1,052 |  |  |  | 1,119 |
Postal box, mail, postage and home delivery services |  |  | 942 |  |  |  | 876 |
Representation and travel expenses |  |  | 730 |  |  |  | 370 |
External service of custody of documentation |  |  | 631 |  |  |  | 813 |
Fees for other technical reports |  |  | 247 |  |  |  | 172 |
Fees for review and audit of the financial statements by the external auditor |  |  | 158 |  |  |  | 174 |
Expenses for leases low value |  |  | 112 |  |  |  | 129 |
Fines applied by other agencies |  |  | 26 |  |  |  | 178 |
Other general administrative expenses |  |  | 7,508 |  |  |  | 5,853 |
Outsource services |  |  |  |  |  |  |  |
Technological developments expenses, certification and technology testing |  |  | 5,001 |  |  |  | 4,594 |
Data processing |  |  | 3,065 |  |  |  | 1,973 |
External credit evaluation service |  |  | 1,632 |  |  |  | 1,129 |
External collection service |  |  | 818 |  |  |  | — |
External human resources administration services and supply of external personnel |  |  | 403 |  |  |  | 398 |
External cleaning service, casino, custody of files and documents, storage of furniture and equipment |  |  | 90 |  |  |  | 84 |
Call Center service for sales, marketing, quality control customer service |  |  | 25 |  |  |  | 22 |
Board expenses |  |  |  |  |  |  |  |
Board of Directors Compensation |  |  | 801 |  |  |  | 703 |
Other Board expenses |  |  | 7 |  |  |  | 2 |
Marketing |  |  | 9,748 |  |  |  | 7,863 |
Taxes, contributions and other legal charges |  |  |  |  |  |  |  |
Contribution to the banking regulator |  |  | 3,624 |  |  |  | 3,389 |
Real estate contributions |  |  | 1,279 |  |  |  | 1,215 |
Taxes other than income tax |  |  | 614 |  |  |  | 510 |
Municipal patents |  |  | 434 |  |  |  | 377 |
Other legal charges |  |  | 22 |  |  |  | 12 |
Total |  |  | 100,412 |  |  |  | 86,834 |

150

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 39. | Depreciation and Amortization:

The amounts corresponding to charges to results for depreciation and amortization during the periods 2023 and 2022, are detailed as follows:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Amortization of intangibles assets |  |  |  |  |  |
Other intangible assets arising from business combinations |  |  | — |  |  |  | — |
Other independently originated intangible assets |  |  | 6,655 |  |  |  | 4,829 |
Depreciation of property and equipment |  |  |  |  |  |  |  |
Buildings and land |  |  | 2,281 |  |  |  | 2,329 |
Other property and equipment |  |  | 5,302 |  |  |  | 5,386 |
Depreciation and impairment of leased assets |  |  |  |  |  |  |  |
Buildings and land |  |  | 8,285 |  |  |  | 7,167 |
Other property and equipment |  |  | — |  |  |  | — |
Depreciation for improvements in leased real estate as leased of right-to-use assets |  |  | 236 |  |  |  | 214 |
Amortization for the right-to-use other intangible assets under lease |  |  | — |  |  |  | — |
Depreciation of other assets for investment properties |  |  | — |  |  |  | — |
Amortization of other assets per activity income asset |  |  | — |  |  |  | — |
Total |  |  | 22,759 |  |  |  | 19,925 |

| 40. | Impairment of non-financial assets:

As of March 31, 2023 and 2022, the composition of the item for impairment of non-financial assets is composed as follows:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Impairment of intangible assets |  |  | — |  |  |  | — |
Impairment of property and equipment |  |  | (1 | ) |  |  | — |
Impairment of assets from income from ordinary activities from contracts with customers |  |  | 30 |  |  |  | 98 |
Total |  |  | 29 |  |  |  | 98 |

151

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 41. | Credit loss expense:

| (a) | The composition is as follows:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Expense of provisions established for loan credit risk |  |  | 117,842 |  |  |  | 43,055 |
Expense of special provisions for loan credit risk |  |  | 694 |  |  |  | 69,784 |
Recovery of written-off credits |  |  | (12,013 | ) |  |  | (13,641 | )
Impairments for credit risk from financial assets at fair value through other comprehensive income |  |  | (1,015 | ) |  |  | 206 |
Total |  |  | 105,508 |  |  |  | 99,404 |

| (b) | Summary of the expense of provisions constituted for credit risk and expense for credit losses:

|  | Expense of loans provisions constituted in the period |  |  |  |
|  | Normal Portfolio |  |  | Substandard Portfolio |  |  | Non-Complying Portfolio |  |  |  |  |  | Deductible warranty |  |  |  |
|  | Evaluation |  |  | Evaluation |  |  | Evaluation |  |  |  |  |  | Fogape |  |  |  |
As of March 31, 2023 |  | Individual |  |  | Group |  |  | Individual |  |  | Individual |  |  | Group |  |  | Subtotal |  |  | Covid-19 |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Loans and advances to Banks |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Provisions established |  |  | 3 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3 |  |  |  | — |  |  |  | 3 |
Provisions released |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | 3 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3 |  |  |  | — |  |  |  | 3 |
Commercial loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Provisions established |  |  | 2,028 |  |  |  | 752 |  |  |  | — |  |  |  | 7,205 |  |  |  | 19,349 |  |  |  | 29,334 |  |  |  | — |  |  |  | 29,334 |
Provisions released |  |  | — |  |  |  | — |  |  |  | (922 | ) |  |  | — |  |  |  | — |  |  |  | (922 | ) |  |  | (6,472 | ) |  |  | (7,394 | )
Subtotal |  |  | 2,028 |  |  |  | 752 |  |  |  | (922 | ) |  |  | 7,205 |  |  |  | 19,349 |  |  |  | 28,412 |  |  |  | (6,472 | ) |  |  | 21,940 |
Residential mortgage loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Provisions established |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,262 |  |  |  | 3,262 |  |  |  | — |  |  |  | 3,262 |
Provisions released |  |  | — |  |  |  | (304 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (304 | ) |  |  | — |  |  |  | (304 | )
Subtotal |  |  | — |  |  |  | (304 | ) |  |  | — |  |  |  | — |  |  |  | 3,262 |  |  |  | 2,958 |  |  |  | — |  |  |  | 2,958 |
Consumer loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Provisions established |  |  | — |  |  |  | 15,428 |  |  |  | — |  |  |  | — |  |  |  | 77,513 |  |  |  | 92,941 |  |  |  | — |  |  |  | 92,941 |
Provisions released |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | 15,428 |  |  |  | — |  |  |  | — |  |  |  | 77,513 |  |  |  | 92,941 |  |  |  | — |  |  |  | 92,941 |
Expense (release) of provisions for credit risk |  |  | 2,031 |  |  |  | 15,876 |  |  |  | (922 | ) |  |  | 7,205 |  |  |  | 100,124 |  |  |  | 124,314 |  |  |  | (6,472 | ) |  |  | 117,842 |
Recovery of written-off credits |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Loans and advances to Banks |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | — |
Commercial loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (2,947 | )
Residential mortgage loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (2,555 | )
Consumer loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (6,511 | )
Subtotal |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (12,013 | )
Loan credit loss expenses |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 105,829 |

152

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 41. | Credit loss expense, continued:

| (b) | Summary of the expense of provisions constituted for credit risk and expense for credit losses, continued;

|  | Expense of loans provisions constituted in the period |  |  |  |
|  | Normal Portfolio |  |  | Substandard Portfolio |  |  | Non-Complying Portfolio |  |  |  |  |  | Deductible warranty |  |  |  |
|  | Evaluation |  |  | Evaluation |  |  | Evaluation |  |  |  |  |  | Fogape |  |  |  |
As of March 31, 2022 |  | Individual |  |  | Group |  |  | Individual |  |  | Individual |  |  | Group |  |  | Subtotal |  |  | Covid-19 |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Loans and advances to Banks |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Provisions established |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Provisions released |  |  | (53 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (53 | ) |  |  | — |  |  |  | (53 | )
Subtotal |  |  | (53 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (53 | ) |  |  | — |  |  |  | (53 | )
Commercial loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Provisions established |  |  | 3,178 |  |  |  | 8,864 |  |  |  | — |  |  |  | 5,606 |  |  |  | 2,706 |  |  |  | 20,354 |  |  |  | — |  |  |  | 20,354 |
Provisions released |  |  | — |  |  |  | — |  |  |  | (405 | ) |  |  | — |  |  |  | — |  |  |  | (405 | ) |  |  | (3,944 | ) |  |  | (4,349 | )
Subtotal |  |  | 3,178 |  |  |  | 8,864 |  |  |  | (405 | ) |  |  | 5,606 |  |  |  | 2,706 |  |  |  | 19,949 |  |  |  | (3,944 | ) |  |  | 16,005 |
Residential mortgage loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Provisions established |  |  | — |  |  |  | 486 |  |  |  | — |  |  |  | — |  |  |  | 170 |  |  |  | 656 |  |  |  | — |  |  |  | 656 |
Provisions released |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | 486 |  |  |  | — |  |  |  | — |  |  |  | 170 |  |  |  | 656 |  |  |  | — |  |  |  | 656 |
Consumer loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Provisions established |  |  | — |  |  |  | 9,311 |  |  |  | — |  |  |  | — |  |  |  | 17,136 |  |  |  | 26,447 |  |  |  | — |  |  |  | 26,447 |
Provisions released |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | 9,311 |  |  |  | — |  |  |  | — |  |  |  | 17,136 |  |  |  | 26,447 |  |  |  | — |  |  |  | 26,447 |
Expense (release) of provisions for credit risk |  |  | 3,125 |  |  |  | 18,661 |  |  |  | (405 | ) |  |  | 5,606 |  |  |  | 20,012 |  |  |  | 46,999 |  |  |  | (3,944 | ) |  |  | 43,055 |
Recovery of written-off credits |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Loans and advances to Banks |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | — |
Commercial loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (3,674 | )
Residential mortgage loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (2,740 | )
Consumer loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (7,227 | )
Subtotal |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (13,641 | )
Loan credit loss expenses |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 29,414 |

153

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 41. | Credit loss expense, continued:

| (c) | Summary of expense for special provisions for credit risk:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |
Expenses (release) of provisions for contingent loans: |  |  |  |  |  |
Loans and advances to Banks |  |  | — |  |  |  | — |
Commercial loans |  |  | 134 |  |  |  | (96 | )
Consumer loans |  |  | (133 | ) |  |  | (667 | )
Expenses form provisions for country risk for transactions with debtors with residence abroad |  |  | 693 |  |  |  | 547 |
Expense of special provisions for loans abroad |  |  | — |  |  |  | — |
Expenses of additional loan provisions: |  |  |  |  |  |  |  |
Commercial loans |  |  | — |  |  |  | 70,000 |
Residential mortgage loans |  |  | — |  |  |  | — |
Consumer loans |  |  | — |  |  |  | — |
Expense of other special provisions established for credit risk |  |  | 694 |  |  |  | 69,784 |

| 42. | Income from discontinued operations:

As of March 31, 2023 and December 31, 2022, the Bank does not maintain income from discontinued operations.

| 43. | Related Party Disclosures:

Related parties are considered to be those natural or legal persons who are in positions to directly or indirectly have significant influence through their ownership or management of the Bank and its subsidiaries, as set out in the Compendium of Accounting Standards and Chapter 12-4 of the current Compilation of Standards issued by the CMF.

According to the above, the Bank has considered as related parties those natural or legal persons who have a direct participation or through third parties on Bank ownership, where such participation exceeds 5% of the shares, and also people who, regardless of ownership, have authority and responsibility for planning, management and control of the activities of the entity or its subsidiaries. There also are considered as related the companies in which the parties related by ownership or management of the Bank have a share which reaches or exceeds 5%, or has the position of director, general manager or equivalent.

154

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 43. | Related Party Disclosures, continued:

| (a) | Assets and liabilities with related parties:

|  | Related Party Type |
Type of current assets and liabilities with related parties As of March 31, 2023 |  | Parent Entity |  |  | Other Legal Entity |  |  | Key Personnel of the Consolidated Bank |  |  | Othe Related Party |  |  | Total |
ASSETS |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Financial assets held for trading at fair value through profit or loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Derivative Financial Instruments |  |  | — |  |  |  | 357,716 |  |  |  | — |  |  |  | — |  |  |  | 357,716 |
Debt financial instruments |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other financial instruments |  |  | — |  |  |  | 530 |  |  |  | — |  |  |  | — |  |  |  | 530 |
Non-trading financial assets mandatorily measured at fair value through profit or loss |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Financial assets designated as at fair value through profit or loss |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Financial assets at fair value through other comprehensive income |  |  | — |  |  |  | 6,459 |  |  |  | — |  |  |  | — |  |  |  | 6,459 |
Derivative Financial Instruments for hedging purposes |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Financial assets at amortized cost |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Rights by resale agreements and securities lending |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Debt financial instruments |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Commercial loans |  |  | — |  |  |  | 411,038 |  |  |  | 1,421 |  |  |  | 11,953 |  |  |  | 424,412 |
Residential mortgage loans |  |  | — |  |  |  | — |  |  |  | 16,041 |  |  |  | 59,093 |  |  |  | 75,134 |
Consumer Loans |  |  | — |  |  |  | 3 |  |  |  | 1,610 |  |  |  | 10,696 |  |  |  | 12,309 |
Allowances established – Loans |  |  | — |  |  |  | (3,460 | ) |  |  | (19 | ) |  |  | (399 | ) |  |  | (3,878 | )
Other assets |  |  | 9 |  |  |  | 208,619 |  |  |  | 14 |  |  |  | 119 |  |  |  | 208,761 |
Contingent loans |  |  | — |  |  |  | 195,524 |  |  |  | 3,445 |  |  |  | 18,104 |  |  |  | 217,073 |
LIABILITIES |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Financial liabilities held for trading at fair value through profit or loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Derivative Financial Instruments |  |  | — |  |  |  | 414,175 |  |  |  | — |  |  |  | 11 |  |  |  | 414,186 |
Financial liabilities designated as at fair value through profit or loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Derivative Financial Instruments for hedging purposes |  |  | — |  |  |  | 9,648 |  |  |  | — |  |  |  | — |  |  |  | 9,648 |
Financial liabilities at amortized cost |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Current accounts and other demand deposits |  |  | 232 |  |  |  | 232,209 |  |  |  | 1,452 |  |  |  | 19,984 |  |  |  | 253,877 |
Saving accounts and time deposits |  |  | 104,976 |  |  |  | 198,033 |  |  |  | 5,515 |  |  |  | 27,824 |  |  |  | 336,348 |
Obligations by repurchase agreements and securities lending |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Borrowings from financial institutions |  |  | — |  |  |  | 270,116 |  |  |  | — |  |  |  | — |  |  |  | 270,116 |
Debt financial instruments issued |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other financial obligations |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Lease liabilities |  |  | — |  |  |  | 10,654 |  |  |  | — |  |  |  | — |  |  |  | 10,654 |
Other liabilities |  |  | — |  |  |  | 152,512 |  |  |  | 6 |  |  |  | 141 |  |  |  | 152,659 |

155

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 43. | Related Party Disclosures, continued:

| (a) | Assets and liabilities with related parties, continued:

|  | Related Party Type |
Type of current assets and liabilities with related parties As of December 31, 2022 |  | Parent Entity |  |  | Other Legal Entity |  |  | Key Personnel of the Consolidated Bank |  |  | Othe Related Party |  |  | Total |
ASSETS |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Financial assets held for trading at fair value through profit or loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Derivative Financial Instruments |  |  | — |  |  |  | 343,278 |  |  |  | — |  |  |  | — |  |  |  | 343,278 |
Debt financial instruments |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other financial instruments |  |  | — |  |  |  | 3,354 |  |  |  | — |  |  |  | — |  |  |  | 3,354 |
Non-trading financial assets mandatorily measured at fair value through profit or loss |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Financial assets designated as at fair value through profit or loss |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Financial assets at fair value through other comprehensive income |  |  | — |  |  |  | 16,759 |  |  |  | — |  |  |  | — |  |  |  | 16,759 |
Derivative Financial Instruments for hedging purposes |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Financial assets at amortized cost |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Rights by resale agreements and securities lending |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Debt financial instruments |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Commercial loans |  |  | — |  |  |  | 609,155 |  |  |  | 1,384 |  |  |  | 12,024 |  |  |  | 622,563 |
Residential mortgage loans |  |  | — |  |  |  | — |  |  |  | 15,221 |  |  |  | 58,608 |  |  |  | 73,829 |
Consumer Loans |  |  | — |  |  |  | — |  |  |  | 2,068 |  |  |  | 10,879 |  |  |  | 12,947 |
Allowances established – Loans |  |  | — |  |  |  | (4,153 | ) |  |  | (21 | ) |  |  | (401 | ) |  |  | (4,575 | )
Other assets |  |  | 9 |  |  |  | 149,096 |  |  |  | — |  |  |  | 21 |  |  |  | 149,126 |
Contingent loans |  |  | — |  |  |  | 177,834 |  |  |  | 4,119 |  |  |  | 17,872 |  |  |  | 199,825 |
LIABILITIES |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Financial liabilities held for trading at fair value through profit or loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Derivative Financial Instruments |  |  | — |  |  |  | 400,984 |  |  |  | — |  |  |  | — |  |  |  | 400,984 |
Financial liabilities designated as at fair value through profit or loss |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Derivative Financial Instruments for hedging purposes |  |  | — |  |  |  | 7,647 |  |  |  | — |  |  |  | — |  |  |  | 7,647 |
Financial liabilities at amortized cost |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Current accounts and other demand deposits |  |  | 217 |  |  |  | 206,465 |  |  |  | 3,081 |  |  |  | 6,529 |  |  |  | 216,292 |
Saving accounts and time deposits |  |  | 4,643 |  |  |  | 274,318 |  |  |  | 3,815 |  |  |  | 24,125 |  |  |  | 306,901 |
Obligations by repurchase agreements and securities lending |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Borrowings from financial institutions |  |  | — |  |  |  | 177,827 |  |  |  | — |  |  |  | — |  |  |  | 177,827 |
Debt financial instruments issued |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other financial obligations |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Lease liabilities |  |  | — |  |  |  | 11,252 |  |  |  | — |  |  |  | — |  |  |  | 11,252 |
Other liabilities |  |  | — |  |  |  | 108,767 |  |  |  | 517 |  |  |  | 52 |  |  |  | 109,336 |

156

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 43. | Related Party Disclosures, continued:

| (b) | Income and expenses from related party transactions (*):

As of March 31, 2023 |  | Parent Entity |  |  | Other Legal Entity |  |  | Key personnel of the consolidated Bank |  |  | Other Related party |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Interest revenue |  |  | — |  |  |  | 8,854 |  |  |  | 132 |  |  |  | 663 |  |  |  | 9,649 |
UF indexation revenue |  |  | — |  |  |  | 1,882 |  |  |  | 229 |  |  |  | 897 |  |  |  | 3,008 |
Income from commissions |  |  | 60 |  |  |  | 26,084 |  |  |  | 2 |  |  |  | 11 |  |  |  | 26,157 |
Net Financial income (expense) |  |  | — |  |  |  | 2,973 |  |  |  | — |  |  |  | — |  |  |  | 2,973 |
Other income |  |  | — |  |  |  | 219 |  |  |  | — |  |  |  | — |  |  |  | 219 |
Total Income |  |  | 60 |  |  |  | 40,012 |  |  |  | 363 |  |  |  | 1,571 |  |  |  | 42,006 |
Interest expense |  |  | 193 |  |  |  | 1,831 |  |  |  | 97 |  |  |  | 631 |  |  |  | 2,752 |
UF indexation expenses |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Expenses from commissions |  |  | — |  |  |  | 10,082 |  |  |  | — |  |  |  | — |  |  |  | 10,082 |
Expenses credit losses (gains) |  |  | — |  |  |  | (399 | ) |  |  | (1 | ) |  |  | (18 | ) |  |  | (418 | )
Expenses from salaries and employee benefits |  |  | — |  |  |  | 19 |  |  |  | 21,136 |  |  |  | 31,940 |  |  |  | 53,095 |
Administrative expenses |  |  | — |  |  |  | 4,676 |  |  |  | 43 |  |  |  | 926 |  |  |  | 5,645 |
Other expenses |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 4 |  |  |  | 4 |
Total Expenses |  |  | 193 |  |  |  | 16,209 |  |  |  | 21,275 |  |  |  | 33,483 |  |  |  | 71,160 |

As of March 31, 2022 |  | Parent Entity |  |  | Other Legal Entity |  |  | Key personnel of the consolidated Bank |  |  | Other Related party |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Interest revenue |  |  | — |  |  |  | 3,767 |  |  |  | 91 |  |  |  | 409 |  |  |  | 4,267 |
UF indexation revenue |  |  | — |  |  |  | 5,488 |  |  |  | 264 |  |  |  | 1,068 |  |  |  | 6,820 |
Income from commissions |  |  | 22 |  |  |  | 28,095 |  |  |  | 6 |  |  |  | 8 |  |  |  | 28,131 |
Net Financial income (expense) |  |  | — |  |  |  | 48,893 |  |  |  | — |  |  |  | — |  |  |  | 48,893 |
Other income |  |  | — |  |  |  | 39 |  |  |  | — |  |  |  | — |  |  |  | 39 |
Total Income |  |  | 22 |  |  |  | 86,282 |  |  |  | 361 |  |  |  | 1,485 |  |  |  | 88,150 |
Interest expense |  |  | 77 |  |  |  | 937 |  |  |  | 15 |  |  |  | 91 |  |  |  | 1,120 |
UF indexation expenses |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 18 |  |  |  | 18 |
Expenses from commissions |  |  | — |  |  |  | 8,312 |  |  |  | — |  |  |  | — |  |  |  | 8,312 |
Expenses credit losses (gains) |  |  | — |  |  |  | (142 | ) |  |  | (14 | ) |  |  | (142 | ) |  |  | (298 | )
Expenses from salaries and employee benefits |  |  | — |  |  |  | — |  |  |  | 17,237 |  |  |  | 27,365 |  |  |  | 44,602 |
Administrative expenses |  |  | — |  |  |  | 5,269 |  |  |  | 808 |  |  |  | 17 |  |  |  | 6,094 |
Other expenses |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2 |  |  |  | 2 |
Total Expenses |  |  | 77 |  |  |  | 14,376 |  |  |  | 18,046 |  |  |  | 27,351 |  |  |  | 59,850 |

| (*) | This does not constitute a Statement of Income from operations with related parties since the assets with these parties are not necessarily equal to the liabilities and in each of them the total income and expenses are reflected and not those corresponding to matched operations.

157

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 43. | Related Party Disclosures, continued:

| (c) | Transactions with related parties:

As of March 31, 2023

|  | Nature of the relationship with |  | Description of the transaction |  | Transactions under equivalence conditions to those transactions with mutual independence |  |  |  |  | Effect on Income |  |  | Effect on Financial position |
Company name |  | the Bank |  | Type of service |  | Term |  | Renewal conditions |  | between the parties |  | Amount |  |  | Income |  |  | Expenses |  |  | Accounts receivable |  |  | Accounts payable |
|  |  |  |  |  |  |  |  |  |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Ionix SPA |  | Other related parties |  | IT license services |  | 30 days |  | Contract |  | Yes |  |  | 123 |  |  |  | — |  |  |  | 123 |  |  |  | — |  |  |  | 79 |
|  |  |  | IT support services |  | 30 days |  | Contract |  | Yes |  |  | 120 |  |  |  | — |  |  |  | 120 |  |  |  | — |  |  |  | — |
Servipag Ltda. |  | Joint venture |  | IT support services |  | 30 days |  | Contract |  | Yes |  |  | 71 |  |  |  | — |  |  |  | 71 |  |  |  | — |  |  |  | 362 |
|  | Joint venture |  | Collection services |  | 30 days |  | Contract |  | Yes |  |  | 1,085 |  |  |  | — |  |  |  | 1,085 |  |  |  | — |  |  |  | — |
Bolsa de Comercio de Santiago |  | Other related parties |  | IT support services |  | 30 days |  | Contract |  | Yes |  |  | 71 |  |  |  | — |  |  |  | 71 |  |  |  | — |  |  |  | — |
|  |  |  | Service of financial information |  | 30 days |  | Contract |  | Yes |  |  | 93 |  |  |  | — |  |  |  | 93 |  |  |  | — |  |  |  | — |
|  |  |  | Brokerage commission |  | 30 days |  | Contract |  | Yes |  |  | 79 |  |  |  | — |  |  |  | 79 |  |  |  | — |  |  |  | — |
Enex S.A. |  | Other related parties |  | Rent spaces for ATM |  | 30 days |  | Contract |  | Yes |  |  | 180 |  |  |  | — |  |  |  | 180 |  |  |  | — |  |  |  | 284 |
Redbanc S.A. |  | Associates |  | Electronic transaction management services |  | 30 days |  | Contract |  | Yes |  |  | 3,894 |  |  |  | — |  |  |  | 3,894 |  |  |  | — |  |  |  | — |
Sistemas Oracle de Chile Ltda. |  | Other related parties |  | Software services |  | 30 days |  | Contract |  | Yes |  |  | 73 |  |  |  | — |  |  |  | 73 |  |  |  | — |  |  |  | — |
|  |  |  | Computer services |  | 30 days |  | Contract |  | Yes |  |  | 91 |  |  |  | — |  |  |  | 91 |  |  |  | — |  |  |  | — |
|  |  |  | IT support services |  | 30 days |  | Contract |  | Yes |  |  | 1,326 |  |  |  | — |  |  |  | 1,326 |  |  |  | — |  |  |  | — |
Depósito Central de Valores |  | Associates |  | Quality control and custody services |  | 30 days |  | Contract |  | Yes |  |  | 245 |  |  |  | — |  |  |  | 245 |  |  |  | — |  |  |  | 42 |
|  |  |  | Custodial services |  | 30 days |  | Contract |  | Yes |  |  | 324 |  |  |  | — |  |  |  | 324 |  |  |  | — |  |  |  | — |
Manantial S.A |  | Other related parties |  | General expenses |  | 30 days |  | Contract |  | Yes |  |  | 105 |  |  |  | — |  |  |  | 105 |  |  |  | — |  |  |  | — |
|  |  |  | General income |  | 30 days |  | Contract |  | Yes |  |  | 72 |  |  |  | — |  |  |  | 72 |  |  |  | — |  |  |  | 12 |
Nexus S.A. |  | Other related parties |  | General income |  | 30 days |  | Contract |  | Yes |  |  | 148 |  |  |  | — |  |  |  | 148 |  |  |  | — |  |  |  | 1,615 |
|  |  |  | Card processing |  | 30 days |  | Contract |  | Yes |  |  | 3,463 |  |  |  | — |  |  |  | 3,463 |  |  |  | — |  |  |  | — |
|  |  |  | Computer services |  | 30 days |  | Contract |  | Yes |  |  | 365 |  |  |  | — |  |  |  | 365 |  |  |  | — |  |  |  | — |
|  |  |  | Embossing services |  | 30 days |  | Contract |  | Yes |  |  | 198 |  |  |  | — |  |  |  | 198 |  |  |  | — |  |  |  | — |
|  |  |  | Customer product delivery services |  | 30 days |  | Contract |  | Yes |  |  | 259 |  |  |  | — |  |  |  | 259 |  |  |  | — |  |  |  | — |
|  |  |  | Fraud prevention services |  | 30 days |  | Contract |  | Yes |  |  | 377 |  |  |  | — |  |  |  | 377 |  |  |  | — |  |  |  | — |
Sociedad Operadora de la Cámara de Compensación |  | Associates |  | Collection services |  | 30 days |  | Contract |  | Yes |  |  | 159 |  |  |  | — |  |  |  | 159 |  |  |  | — |  |  |  | 56 |
Comder Contraparte Central S.A. |  | Associates |  | Securities clearing services |  | 30 days |  | Contract |  | Yes |  |  | 222 |  |  |  | — |  |  |  | 222 |  |  |  | — |  |  |  | 24 |
Citigroup Global Markets INC |  | Other related parties |  | Brokerage commission |  | 30 days |  | Contract |  | Yes |  |  | 130 |  |  |  | — |  |  |  | 130 |  |  |  | — |  |  |  | 8,919 |
Transbank S.A. |  | Associates |  | Card processing |  | 30 days |  | Contract |  | Yes |  |  | 174 |  |  |  | — |  |  |  | 174 |  |  |  | — |  |  |  | 69 |
|  |  |  | Exchange commission |  | 30 days |  | Contract |  | Yes |  |  | 24,689 |  |  |  | 24,689 |  |  |  | — |  |  |  | 377 |  |  |  | 69 |
Centro de Compensación Automatizado S.A. |  | Associates |  | Fraud prevention services |  | 30 days |  | Contract |  | Yes |  |  | 89 |  |  |  | — |  |  |  | 89 |  |  |  | — |  |  |  | 261 |
|  |  |  | Transfer services |  | 30 days |  | Contract |  | Yes |  |  | 606 |  |  |  | — |  |  |  | 606 |  |  |  | — |  |  |  | — |
|  |  |  | IT support services |  | 30 days |  | Contract |  | Yes |  |  | 114 |  |  |  | — |  |  |  | 114 |  |  |  | — |  |  |  | — |
Citibank |  | Other related parties |  | Connectivity business commissions |  | Quarterly |  | Contract |  | Yes |  |  | 447 |  |  |  | 447 |  |  |  | — |  |  |  | 3,290 |  |  |  | 28,921 |

158

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 43. | Related Party Disclosures, continued:

| (c) | Transactions with related parties, continued:

As of December 31, 2022

|  | Nature of the relationship with |  | Description of the transaction |  | Transactions under equivalence conditions to those transactions with mutual independence |  |  |  |  | Effect on Income |  |  | Effect on Financial position |
Company name |  | the Bank |  | Type of service |  | Term |  | Renewal conditions |  | between the parties |  | Amount |  |  | Income |  |  | Expenses |  |  | Accounts receivable |  |  | Accounts payable |
|  |  |  |  |  |  |  |  |  |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Ionix SPA |  | Other related parties |  | IT license services |  | 30 days |  | Contract |  | Yes |  |  | 440 |  |  |  | — |  |  |  | 440 |  |  |  | — |  |  |  | 32 |
|  |  |  | IT support services |  | 30 days |  | Contract |  | Yes |  |  | 334 |  |  |  | — |  |  |  | 334 |  |  |  | — |  |  |  | — |
Canal 13 |  | Other related parties |  | Advertising service |  | 30 days |  | Monthly |  | Yes |  |  | 584 |  |  |  | — |  |  |  | 584 |  |  |  | — |  |  |  | 134 |
Servipag Ltda. |  | Joint venture |  | Software services |  | 30 days |  | Contract |  | Yes |  |  | 768 |  |  |  | — |  |  |  | 768 |  |  |  | — |  |  |  | 465 |
|  | Joint venture |  | Collection services |  | 30 days |  | Contract |  | Yes |  |  | 4,405 |  |  |  | — |  |  |  | 4,405 |  |  |  | — |  |  |  | — |
Bolsa de Comercio de Santiago |  | Other related parties |  | IT support services |  | 30 days |  | Contract |  | Yes |  |  | 259 |  |  |  | — |  |  |  | 259 |  |  |  | — |  |  |  | — |
|  |  |  | Service of financial information |  | 30 days |  | Contract |  | Yes |  |  | 335 |  |  |  | — |  |  |  | 335 |  |  |  | — |  |  |  | — |
|  |  |  | Brokerage commission |  | 30 days |  | Contract |  | Yes |  |  | 310 |  |  |  | — |  |  |  | 310 |  |  |  | — |  |  |  | — |
Enex S.A. |  | Other related parties |  | Rent spaces for ATM |  | 30 days |  | Contract |  | Yes |  |  | 168 |  |  |  | — |  |  |  | 168 |  |  |  | — |  |  |  | 168 |
Redbanc S.A. |  | Associates |  | Software development |  | 30 days |  | Contract |  | Yes |  |  | 399 |  |  |  | — |  |  |  | 399 |  |  |  | — |  |  |  | 1,223 |
|  |  |  | Electronic transaction management services |  | 30 days |  | Contract |  | Yes |  |  | 13,380 |  |  |  | — |  |  |  | 13,380 |  |  |  | — |  |  |  | — |
Sistemas Oracle de Chile Ltda. |  | Other related parties |  | Software services |  | 30 days |  | Contract |  | Yes |  |  | 6,029 |  |  |  | — |  |  |  | 6,029 |  |  |  | — |  |  |  | 2,281 |
|  |  |  | IT support services |  | 30 days |  | Contract |  | Yes |  |  | 2,873 |  |  |  | — |  |  |  | 2,873 |  |  |  | — |  |  |  | — |
Depósito Central de Valores |  | Associates |  | Custodial services |  | 30 days |  | Contract |  | Yes |  |  | 2,230 |  |  |  | — |  |  |  | 2,230 |  |  |  | — |  |  |  | 53 |
Inmobiliaria e inversiones Capitolio S.A. |  | Other related parties |  | Space rental |  | 30 days |  | Contract |  | Yes |  |  | 82 |  |  |  | — |  |  |  | 82 |  |  |  | — |  |  |  | — |
Tagle y Compañía limitada |  | Other related parties |  | Legal services |  | 30 days |  | Contract |  | Yes |  |  | 126 |  |  |  | — |  |  |  | 126 |  |  |  | — |  |  |  | 6 |
Manantial S.A |  | Other related parties |  | Materials and supplies |  | 30 days |  | Contract |  | Yes |  |  | 224 |  |  |  | — |  |  |  | 224 |  |  |  | — |  |  |  | 15 |
Radio difusión SPA |  | Other related parties |  | Advertising service |  | 30 days |  | Contract |  | Yes |  |  | 105 |  |  |  | — |  |  |  | 105 |  |  |  | — |  |  |  | 4 |
Nexus S.A. |  | Other related parties |  | Customer product delivery services |  | 30 days |  | Contract |  | Yes |  |  | 1,185 |  |  |  | — |  |  |  | 1,185 |  |  |  | — |  |  |  | 1,679 |
|  |  |  | Card processing |  | 30 days |  | Contract |  | Yes |  |  | 11,178 |  |  |  | — |  |  |  | 11,178 |  |  |  | — |  |  |  | — |
|  |  |  | IT development services |  | 30 days |  | Contract |  | Yes |  |  | 1,565 |  |  |  | — |  |  |  | 1,565 |  |  |  | — |  |  |  | — |
|  |  |  | Embossing services |  | 30 days |  | Contract |  | Yes |  |  | 724 |  |  |  | — |  |  |  | 724 |  |  |  | — |  |  |  | — |
|  |  |  | Fraud prevention services |  | 30 days |  | Contract |  | Yes |  |  | 1,234 |  |  |  | — |  |  |  | 1,234 |  |  |  | — |  |  |  | — |
Artikos Chile S.A. |  | Joint venture |  | IT support services |  | 30 days |  | Contract |  | Yes |  |  | 421 |  |  |  | — |  |  |  | 421 |  |  |  | — |  |  |  | 17 |
|  |  |  | IT services |  | 30 days |  |  |  | Yes |  |  | 340 |  |  |  | — |  |  |  | 340 |  |  |  | — |  |  |  | — |
DCV registros S.A |  | Associates |  | IT services |  | 30 days |  | Contract |  | Yes |  |  | 275 |  |  |  | — |  |  |  | 275 |  |  |  | — |  |  |  | — |
Sociedad Operadora de la Cámara de Compensación |  | Associates |  | Collection services |  | 30 days |  | Contract |  | Yes |  |  | 588 |  |  |  | — |  |  |  | 588 |  |  |  | — |  |  |  | 56 |
Comder Contraparte Central S.A. |  | Associates |  | Securities clearing services |  | 30 days |  | Contract |  | Yes |  |  | 830 |  |  |  | — |  |  |  | 830 |  |  |  | — |  |  |  | 27,198 |
Bolsa Electrónica de Chile S.A. |  | Associates |  | Brokerage commission |  | 30 days |  | Contract |  | Yes |  |  | 153 |  |  |  | — |  |  |  | 153 |  |  |  | — |  |  |  | — |
Transbank S.A. |  | Associates |  | Processing fees |  | 30 days |  | Contract |  | Yes |  |  | 1,150 |  |  |  | — |  |  |  | 1,150 |  |  |  | — |  |  |  | 91 |
|  |  |  | Exchange commission |  | 30 days |  | Contract |  | Yes |  |  | 94,489 |  |  |  | 94,489 |  |  |  | — |  |  |  | 409 |  |  |  | — |
Centro de Compensación Automatizado S.A. |  | Associates |  | Transfer services |  | 30 days |  | Contract |  | Yes |  |  | 2,340 |  |  |  | — |  |  |  | 2,340 |  |  |  | — |  |  |  | 378 |
Citibank |  | Other related parties |  | Connectivity business commissions |  | Quarterly |  | Contract |  | Yes |  |  | 10,583 |  |  |  | 10,583 |  |  |  | — |  |  |  | 12,043 |  |  |  | — |

159

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 43. | Related Party Disclosures, continued:

| (d) | Payments to the Board of Directors and to key personnel of the management of the Bank and its subsidiaries:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
Directory: |  | MCh$ |  |  | MCh$ |
Payment of remuneration and attendance fees of the Board of Directors - Bank and its subsidiaries |  |  | 801 |  |  |  | 703 |
Key Personnel of the Management of the Bank and its Subsidiaries: |  |  |  |  |  |  |  |
Payment for benefits to short-term employees |  |  | 21,136 |  |  |  | 16,777 |
Payment for benefits to post-employment employees |  |  | — |  |  |  | — |
Payment for benefits to long-term employees |  |  | — |  |  |  | — |
Payment for benefits to employees for termination of employment contract |  |  | — |  |  |  | 460 |
Payment to employees based on shares or equity instruments |  |  | — |  |  |  | — |
Payment for obligations for defined contribution post-employment plans |  |  | — |  |  |  | — |
Payment for obligations for post-employment defined benefit plans |  |  | — |  |  |  | — |
Payment for other staff obligations |  |  | — |  |  |  | — |
Subtotal |  |  | 21,136 |  |  |  | 17,237 |
Total |  |  | 21,937 |  |  |  | 17,940 |

| (e) | Composition of the Board of Directors and key personnel of the Management of the Bank and its subsidiaries:

|  | March |  |  | March |
|  | 2023 |  |  | 2022 |
Directory: |  | No. Executives |
Directors – Bank and its subsidiaries |  |  | 19 |  |  |  | 19 |
Key Personnel of the Management of the Bank and its Subsidiaries: |  |  |  |  |  |  |  |
CEO – Bank |  |  | 1 |  |  |  | 1 |
CEOs – Subsidiaries |  |  | 5 |  |  |  | 5 |
Division Managers / Area – Bank |  |  | 91 |  |  |  | 97 |
Division Managers / Area – Subsidiaries |  |  | 32 |  |  |  | 31 |
Subtotal |  |  | 129 |  |  |  | 134 |
Total |  |  | 148 |  |  |  | 153 |

160

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 44. | Fair Value of Financial Assets and Liabilities:

Banco de Chile and its subsidiaries have defined a corporate framework for valuation and control related with the process to the fair value measurement.

Within the established framework includes the Product Control Unit, which is independent of the business areas and reports to the Financial Management Control and Productivity Division Manager. This function befall to the Financial Control, Treasury and Capital Manager, through the Financial Risk Information and Control Section, is responsible for independent verification of price and results of trading (including derivatives) and investment operations and all fair value measurements.

To achieve the appropriate measurements and controls, the Bank and its subsidiaries, take into account at least the following aspects:

| (i) | Industry standard valuation.

To value financial instruments, Banco de Chile uses industry standard modeling; quota value, share price, discounted cash flows and valuation of options through Black-Scholes-Merton, according to the case. The input parameters for the valuation correspond to rates, prices and levels of volatility for different terms and market factors that are traded in the national and international market and that are provided by the main sources of the market.

| (ii) | Quoted prices in active markets.

The fair value for instruments with quoted prices in active markets is determined using daily quotes from electronic systems information (such as Bolsa de Comercio de Santiago, Bloomberg, LVA and Risk America, etc). This quote represents the price at which these instruments are regularly traded in the financial markets.

| (iii) | Valuation techniques.

If no specific quotes are available for the instrument to be valued, valuation techniques will be used to determine the fair value.

Due to, in general, the valuation models require a set of market parameters as inputs, the aim is to maximize information based on observable or price-related quotations for similar instruments in active markets. To the extent there is no information in direct from the markets, data from external suppliers of information, prices of similar instruments and historical information are used to validate the valuation parameters.

161

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 44. | Fair Value of Financial Assets and Liabilities, continued:

| (iv) | Fair value adjustments.

Part of the fair value process considers three adjustments to the market value, calculated based on the market parameters, including; a liquidity adjustment, a Bid/Offer adjustment and an adjustment is made for credit risk of derivatives (CVA and DVA). Likewise, for certain fixed-income instruments maintained in investment portfolios, the portion of the adjustment at fair value explained by impairment due to credit risk of the counterparty is determined.

The calculation of the liquidity adjustment considers the size of the position in each factor, the particular liquidity of each factor, the relative size of Banco de Chile with respect to the market, and the liquidity observed in transactions recently carried out in the market. In turn, the Bid/Offer adjustment, represents the impact on the valuation of an instrument depending on whether the position corresponds to a long (bought) or a short (sold). To calculate this adjustment is used the direct quotes from active markets or indicative prices or derivatives of similar assets depending on the instrument, considering the Bid, Mid and Offer, respectively. Finally, the adjustment made for CVA and DVA for derivatives corresponds to the credit risk recognition of the issuer, either of the counterparty (CVA) or of Banco de Chile (DVA). Similarly, the determination of credit risk impairment is determined based on the counterparty risk implicit in the instrument’s market rate.

Liquidity value adjustments are made to trading instruments (including derivatives) only, while Bid / Offer adjustments are made for trading instruments and Financial instrument at fair value through Other Comprehensive Income. Adjustments for CVA / DVA are carried out only for derivatives. For its part, credit risk impairment is computed for fixed income instruments measured at fair value through other comprehensive income (FVTOCI) and fixed income instruments measured at amortized cost (held to maturity).

| (v) | Fair value control.

A process of independent verification of prices and interest rates is executed daily, in order to control that the market parameters used by Banco de Chile in the valuation of the financial instruments relating to the current state of the market and from them the best estimate derived of the fair value. The objective of this process is to control that the official market parameters provided by the respective business areas, before being entered into the valuation, are within acceptable ranges of differences when compared to the same set of parameters prepared independently by the Financial Risk Information and Control Section. As a result, value differences are obtained at the level of currency, product and portfolio. In the event significant differences exist, these differences are scaled according to the amount of individual materiality of each market factor and aggregated at the portfolio level, according to the grouping levels within previously defined ranges. These ranges are approved by the Finance, International and Financial Risk Committee.

Complementary and in parallel, the Financial Risk Information and Control Section generates and reports on a daily basis Profit and Loss (“P&L”) and Exposure to Market Risks, which allow for proper control and consistency of the parameters used in the valuation.

162

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 44. | Fair Value of Financial Assets and Liabilities, continued:

| (vi) | Judgmental analysis and information to Management.

In particular cases, where there are no market quotations for the instrument to be valued and there are no prices for similar transactions instruments or indicative parameters, a specific control and a reasoned analysis must be carried out in order to estimate the fair value of the operation. Within the valuation framework described in the Reasonable Value Policy (and its procedure) approved by the Board of Directors of Banco de Chile, a required level of approval is set in order to carry out transactions where market information is not available or it is not possible to infer prices or rates from it.

| (a) | Hierarchy of instrument valued at Fair value:

Banco de Chile and its subsidiaries, classify all the financial instruments among the following levels:

|  | Level 1: | These are financial instruments whose fair value is calculated at quoted prices (unadjusted) in extracted from liquid and deep markets. For these instruments there are quotes or prices (return internal rates, quote value, price) the observable market, so that assumptions are not required to determine the value.

In this level, the following instruments are considered: currency futures, debt instruments issued by the Treasury and the Central Bank of Chile, which belong to benchmarks, mutual fund investments and equity shares.

For the instruments of the Central Bank of Chile and the General Treasury of the Republic, all those mnemonics belonging to a Benchmark, in other words corresponding to one of the following categories published by the Santiago Stock Exchange, will be considered as Level 1: Pesos-02, Pesos-03, Pesos-04, Pesos-05, Pesos-07, Pesos-10, UF-02, UF-04, UF-05, UF-07, UF-10, UF-20, UF-30. A Benchmark corresponds to a group of mnemonics that are similar in duration and are traded in an equivalent way, i.e., the price (return internal rates in this case) obtained is the same for all the instruments that make up a Benchmark. This feature defines a greater depth of market, with daily quotations that allow classifying these instruments as Level 1.

In the case of debt issued by the Chilean Government, the internal rate of return of the market is used to discount all flows to present value. In the case of mutual funds and equity shares, the current market price per share, which multiplied by the number of instruments results in the fair value.

The preceding described valuation methodology is equivalent to the one used by the Bolsa de Comercio de Santiago (Santiago Stock Exchange) and correspond to the standard methodology used in the market.

163

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 44. | Fair Value of Financial Assets and Liabilities, continued:

| (a) | Hierarchy of instrument valued at Fair value continued:

|  | Level 2: | They are financial instruments whose fair value is calculated based on prices other than in quoted in Level 1 that are observable for the asset or liability, directly (that is, as prices or internal rates of return) or indirectly (that is, derived from prices or internal rates of return from similar instruments). These categories include:

| a) | Quoted prices for similar assets or liabilities in active markets.

| b) | Quoted prices for identical or similar assets or liabilities in markets that are not active.

| c) | Inputs data other than quoted prices that are observable for the asset or liability.

| d) | Inputs data corroborated by the market.

At this level there are mainly derivatives instruments, debt issued by banks, debt issues of Chilean and foreign companies, issued in Chile or abroad, mortgage claims, financial brokerage instruments and some issuances by the Central Bank of Chile and the General Treasury of the Republic, which do not belong to benchmarks.

To value derivatives, depends on whether they are impacted by volatility as a relevant market factor in standard valuation methodologies; for options the Black-Scholes-Merton formula is used; for the rest of the derivatives, forwards and swaps, discounted cash flows method is used.

For the remaining instruments at this level, as for debt issues of level 1, the valuation is done through cash flows model by using an internal rate of return that can be derived or estimated from internal rates of return of similar securities as mentioned above.

In the event that there is no observable price for an instrument in a specific term, the price will be inferred from the interpolation between periods that have observable quoted price in active markets. These models incorporate various market variables, including the credit quality of counterparties, exchange rates and interest rate curves.

164

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 44. | Fair Value of Financial Assets and Liabilities, continued:

| (a) | Hierarchy of instrument valued at Fair value continued:

Valuation Techniques and Inputs for Level 2 Instrument:

Type of Financial Instrument |  | Valuation Method |  | Description: Inputs and Sources
Local Bank and Corporate Bonds |  | Discounted cash flows model |  | Prices (internal rates of return) are provided by third party price providers that are widely used in the Chilean market.
|  |  |  | Model is based on a Base Yield (Central Bank Bonds) and issuer spread.
|  |  |  | The model is based on daily prices and risk/maturity similarities between Instruments.
Offshore Bank and Corporate Bonds |  |  |  | Prices are provided by third party price providers that are widely used in the Chilean market.
|  |  |  | Model is based on daily prices.
Local Central Bank and Treasury Bonds |  |  |  | Prices (internal rates of return) are provided by third party price providers that are widely used in the Chilean market.
|  |  |  | Model is based on daily prices.
Mortgage Notes |  |  |  | Prices (internal rates of return) are provided by third party price providers that are widely used in the Chilean market.
|  |  |  | Model is based on a Base Yield (Central Bank Bonds) and issuer spread.
|  |  |  | The model takes into consideration daily prices and risk/maturity similarities between instruments.
Time Deposits |  |  |  | Prices (internal rates of return) are provided by third party price providers that are widely used in the Chilean market.
|  |  |  | Model is based on daily prices and considers risk/maturity similarities between instruments.
Cross Currency Swaps, Interest Rate Swaps, FX Forwards, Inflation Forwards |  |  |  | Forward Points, Inflation forecast and local swap rates are provided by market brokers that are widely used in the Chilean market.
|  |  |  | Offshore rates and spreads are obtained from third party price providers that are widely used in the Chilean market.
|  |  |  | Zero Coupon rates are calculated by using the bootstrapping method over swap rates.
FX Options |  | Black-Scholes Model |  | Prices for volatility surface estimates are obtained from market brokers that are widely used in the Chilean market.

165

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 44. | Fair Value of Financial Assets and Liabilities, continued:

| (a) | Hierarchy of instrument valued at Fair value continued:

|  | Level 3: | These are financial instruments whose fair value is determined using non-observable inputs data neither for the assets or liabilities under analysis nor for similar instruments. An adjustment to an input that is significant to the entire measurement can result in a fair value measurement classified within Level 3 of the fair value hierarchy, if the adjustment uses significant non-observable data entry.

The instruments likely to be classified as level 3 are mainly Corporate Debt by Chilean and foreign companies, issued both in Chile and abroad.

Valuation Techniques and Inputs for Level 3 Instrument:

Type of Financial Instrument |  | Valuation Method |  | Description: Inputs and Sources
Local Bank and Corporate Bonds |  | Discounted cash flows model |  | Since inputs for these types of securities are not observable by the market, we model interest rate of returns for them based on a Base Yield (Central Bank Bonds) and issuer spread. These inputs (base yield and issuer spread) are provided on a daily basis by third party price providers that are widely used in the Chilean market.
Offshore Bank and Corporate Bonds |  | Discounted cash flows model |  | Since inputs for these types of securities are not observable by the market, we model interest rate of returns for them based on a Base Yield (US-Libor) and issuer spread. These inputs (base yield and issuer spread) are provided on a weekly basis by third party price providers that are widely used in the Chilean market.

166

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 44. | Fair Value of Financial Assets and Liabilities, continued:

| (b) | Level chart:

The following table shows the classification by levels, for financial instruments registered at fair value.

|  | Level 1 |  |  | Level 2 |  |  | Level 3 |  |  | Total |
|  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Financial Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Financial Assets held for trading at fair value through profit or loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Derivative contracts financial: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Forwards |  |  | — |  |  |  | — |  |  |  | 631,576 |  |  |  | 565,373 |  |  |  | — |  |  |  | — |  |  |  | 631,576 |  |  |  | 565,373 |
Swaps |  |  | — |  |  |  | — |  |  |  | 2,170,297 |  |  |  | 2,389,577 |  |  |  | — |  |  |  | — |  |  |  | 2,170,297 |  |  |  | 2,389,577 |
Call Options |  |  | — |  |  |  | — |  |  |  | 980 |  |  |  | 2,321 |  |  |  | — |  |  |  | — |  |  |  | 980 |  |  |  | 2,321 |
Put Options |  |  | — |  |  |  | — |  |  |  | 4,825 |  |  |  | 2,758 |  |  |  | — |  |  |  | — |  |  |  | 4,825 |  |  |  | 2,758 |
Futures |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | — |  |  |  | 2,807,678 |  |  |  | 2,960,029 |  |  |  | — |  |  |  | — |  |  |  | 2,807,678 |  |  |  | 2,960,029 |
Debt Financial Instruments: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
From the Chilean Government and Central Bank |  |  | 124,489 |  |  |  | 28,128 |  |  |  | 2,270,232 |  |  |  | 3,031,164 |  |  |  | — |  |  |  | — |  |  |  | 2,394,721 |  |  |  | 3,059,292 |
Other debt financial instruments issued in Chile |  |  | — |  |  |  | — |  |  |  | 184,707 |  |  |  | 273,934 |  |  |  | 62,079 |  |  |  | 100,519 |  |  |  | 246,786 |  |  |  | 374,453 |
Financial debt instruments issued Abroad |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | 124,489 |  |  |  | 28,128 |  |  |  | 2,454,939 |  |  |  | 3,305,098 |  |  |  | 62,079 |  |  |  | 100,519 |  |  |  | 2,641,507 |  |  |  | 3,433,745 |
Others |  |  | 4,302 |  |  |  | 257,325 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 4,302 |  |  |  | 257,325 |
Financial Assets at fair value through Other Comprehensive Income |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Debt Financial Instruments: (1) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
From the Chilean Government and Central Bank |  |  | 468,946 |  |  |  | 552,763 |  |  |  | 2,828,277 |  |  |  | 1,706,094 |  |  |  | — |  |  |  | — |  |  |  | 3,297,223 |  |  |  | 2,258,857 |
Other debt financial instruments issued in Chile |  |  | — |  |  |  | — |  |  |  | 1,523,546 |  |  |  | 1,499,625 |  |  |  | 86,839 |  |  |  | 41,283 |  |  |  | 1,610,385 |  |  |  | 1,540,908 |
Financial debt instruments issued Abroad |  |  | — |  |  |  | — |  |  |  | 163,379 |  |  |  | 167,627 |  |  |  | — |  |  |  | — |  |  |  | 163,379 |  |  |  | 167,627 |
Subtotal |  |  | 468,946 |  |  |  | 552,763 |  |  |  | 4,515,202 |  |  |  | 3,373,346 |  |  |  | 86,839 |  |  |  | 41,283 |  |  |  | 5,070,987 |  |  |  | 3,967,392 |
Derivative contracts financial for hedging purposes |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Forwards |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Swaps |  |  | — |  |  |  | — |  |  |  | 3,911 |  |  |  | 27,077 |  |  |  | — |  |  |  | — |  |  |  | 3,911 |  |  |  | 27,077 |
Call Options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Put Options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Futures |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | — |  |  |  | 3,911 |  |  |  | 27,077 |  |  |  | — |  |  |  | — |  |  |  | 3,911 |  |  |  | 27,077 |
Total |  |  | 597,737 |  |  |  | 838,216 |  |  |  | 9,781,730 |  |  |  | 9,665,550 |  |  |  | 148,918 |  |  |  | 141,802 |  |  |  | 10,528,385 |  |  |  | 10,645,568 |
Financial Liabilities |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Financial liabilities held for trading at fair value through profit or loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Derivative contracts financial: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Forwards |  |  | — |  |  |  | — |  |  |  | 656,885 |  |  |  | 535,643 |  |  |  | — |  |  |  | — |  |  |  | 656,885 |  |  |  | 535,643 |
Swaps |  |  | — |  |  |  | — |  |  |  | 2,277,747 |  |  |  | 2,560,285 |  |  |  | — |  |  |  | — |  |  |  | 2,277,747 |  |  |  | 2,560,285 |
Call Options |  |  | — |  |  |  | — |  |  |  | 503 |  |  |  | 1,665 |  |  |  | — |  |  |  | — |  |  |  | 503 |  |  |  | 1,665 |
Put Options |  |  | — |  |  |  | — |  |  |  | 4,576 |  |  |  | 3,889 |  |  |  | — |  |  |  | — |  |  |  | 4,576 |  |  |  | 3,889 |
Futures |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | — |  |  |  | 2,939,711 |  |  |  | 3,101,482 |  |  |  | — |  |  |  | — |  |  |  | 2,939,711 |  |  |  | 3,101,482 |
Others |  |  | — |  |  |  | — |  |  |  | 2,689 |  |  |  | 6,271 |  |  |  | — |  |  |  | — |  |  |  | 2,689 |  |  |  | 6,271 |
Derivative contracts financial for hedging purposes |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Forwards |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Swaps |  |  | — |  |  |  | — |  |  |  | 301,515 |  |  |  | 223,016 |  |  |  | — |  |  |  | — |  |  |  | 301,515 |  |  |  | 223,016 |
Call Options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Put Options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Futures |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | — |  |  |  | 301,515 |  |  |  | 223,016 |  |  |  | — |  |  |  | — |  |  |  | 301,515 |  |  |  | 223,016 |
Total |  |  | — |  |  |  | — |  |  |  | 3,243,915 |  |  |  | 3,330,769 |  |  |  | — |  |  |  | — |  |  |  | 3,243,915 |  |  |  | 3,330,769 |

| (1) | As of March 31, 2023, 100% of instruments of Level 3 have denomination “Investment Grade”. Also, 100% of total of these financial instruments correspond to domestic issuers.

167

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 44. | Fair Value of Financial Assets and Liabilities, continued:

| (c) | Level 3 reconciliation:

The following table shows the reconciliation between the balances at the beginning and at the end of year for those instruments classified in Level 3, whose fair value is reflected in the Interim Consolidated Financial Statements:

|  | March 2023 |
|  | Balance as of January 1, 2023 |  |  | Gain (Loss) Recognized in Income (1) |  |  | Gain (Loss) Recognized in Equity (2) |  |  | Purchases |  |  | Sales |  |  | Transfer from Level 1 and 2 |  |  | Transfer to Level 1 and 2 |  |  | Balance as of March 31, 2023 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Financial Assets held for trading at fair value through profit or loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Debt Financial Instruments: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Other debt financial instruments issued in Chile |  |  | 100,519 |  |  |  | 1,120 |  |  |  | — |  |  |  | 18,016 |  |  |  | (57,576 | ) |  |  | — |  |  |  | — |  |  |  | 62,079 |
Subtotal |  |  | 100,519 |  |  |  | 1,120 |  |  |  | — |  |  |  | 18,016 |  |  |  | (57,576 | ) |  |  | — |  |  |  | — |  |  |  | 62,079 |
Financial Assets at fair value through Other Comprehensive Income |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Debt Financial Instruments: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Other debt financial instruments issued in Chile |  |  | 41,283 |  |  |  | 325 |  |  |  | 481 |  |  |  | 49,517 |  |  |  | (1,695 | ) |  |  | — |  |  |  | (3,072 | ) |  |  | 86,839 |
Subtotal |  |  | 41,283 |  |  |  | 325 |  |  |  | 481 |  |  |  | 49,517 |  |  |  | (1,695 | ) |  |  | — |  |  |  | (3,072 | ) |  |  | 86,839 |
Total |  |  | 141,802 |  |  |  | 1,445 |  |  |  | 481 |  |  |  | 67,533 |  |  |  | (59,271 | ) |  |  | — |  |  |  | (3,072 | ) |  |  | 148,918 |

|  | December 2022 |
|  | Balance as of January 1, 2022 |  |  | Gain (Loss) Recognized in Income (1) |  |  | Gain (Loss) Recognized in Equity (2) |  |  | Purchases |  |  | Sales |  |  | Transfer from Level 1 and 2 |  |  | Transfer to Level 1 and 2 |  |  | Balance as of December 31, 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Financial Assets held for trading at fair value through profit or loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Debt Financial Instruments: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Other debt financial instruments issued in Chile |  |  | 51,484 |  |  |  | 902 |  |  |  | — |  |  |  | 111,960 |  |  |  | (63,827 | ) |  |  | — |  |  |  | — |  |  |  | 100,519 |
Subtotal |  |  | 51,484 |  |  |  | 902 |  |  |  | — |  |  |  | 111,960 |  |  |  | (63,827 | ) |  |  | — |  |  |  | — |  |  |  | 100,519 |
Financial Assets at fair value through Other Comprehensive Income |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Debt Financial Instruments: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Other debt financial instruments issued in Chile |  |  | 25,203 |  |  |  | (1,477 | ) |  |  | 4,921 |  |  |  | 25,044 |  |  |  | (12,408 | ) |  |  | — |  |  |  | — |  |  |  | 41,283 |
Subtotal |  |  | 25,203 |  |  |  | (1,477 | ) |  |  | 4,921 |  |  |  | 25,044 |  |  |  | (12,408 | ) |  |  | — |  |  |  | — |  |  |  | 41,283 |
Total |  |  | 76,687 |  |  |  | (575 | ) |  |  | 4,921 |  |  |  | 137,004 |  |  |  | (76,235 | ) |  |  | — |  |  |  | — |  |  |  | 141,802 |

| (1) | Recorded in income under item “Net Financial income (expense)”.

| (2) | Recorded in equity under item “Accumulated other comprehensive income”.

168

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 44. | Fair Value of Financial Assets and Liabilities, continued:

| (d) | Sensitivity of instruments classified in Level 3 to changes in key assumptions of models:

The following table shows the sensitivity, by type of instrument, of those instruments classified in Level 3 using alternative in key valuation assumptions:

|  | As of March 31, 2023 |  |  | As of December 31, 2022 |
|  | Level 3 |  |  | Sensitivity to changes in key assumptions of models |  |  | Level 3 |  |  | Sensitivity to changes in key assumptions of models |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Financial Assets held for trading at fair value through profit or loss |  |  |  |  |  |  |  |  |  |  |  |
Debt Financial Instruments: |  |  |  |  |  |  |  |  |  |  |  |
Other debt financial instruments issued in Chile |  |  | 62,079 |  |  |  | (882 | ) |  |  | 100,519 |  |  |  | (997 | )
Subtotal |  |  | 62,079 |  |  |  | (882 | ) |  |  | 100,519 |  |  |  | (997 | )
Financial Assets at fair value through Other Comprehensive Income |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Debt Financial Instruments: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Other debt financial instruments issued in Chile |  |  | 86,839 |  |  |  | (2,059 | ) |  |  | 41,283 |  |  |  | (1,263 | )
Subtotal |  |  | 86,839 |  |  |  | (2,059 | ) |  |  | 41,283 |  |  |  | (1,263 | )
Total |  |  | 148,918 |  |  |  | (2,941 | ) |  |  | 141,802 |  |  |  | (2,260 | )

With the purpose of determining the sensitivity of the financial investments to changes in significant market factors, the Bank has made alternative calculations at fair value, changing those key parameters for the valuation and which are not directly observable in screens. In the case of the financial assets listed in the table above, which correspond to Bank Bonds and Corporate Bonds, it was considered that, since there are no current observables prices, the input prices will be based on brokers’ quotes. The prices are usually calculated as a base rate plus a spread. For Local Bonds it was determined to apply a 10% impact on the price, while for the Off Shore Bonds it was determined to apply a 10% impact only on the spread, since the base rate is covered by interest rate swaps instruments in the so-called accounting hedges. The 10% impact is considered reasonable, taking into account the market performance of these instruments and comparing it against the bid / offer adjustment that is provisioned by these instruments.

169

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 44. | Fair Value of Financial Assets and Liabilities, continued:

| (e) | Other assets and liabilities:

The following table summarizes the fair values of the Bank’s main financial assets and liabilities that are not recorded at fair value in the Statement of Financial Position. The values shown in this note are not attempt to estimate the value of the Bank’s income-generating assets, nor forecast their future behavior. The estimated fair value is as follows:

|  | Book Value |  |  | Estimated Fair Value |
|  | March |  |  | December |  |  | March |  |  | December |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Assets |  |  |  |  |  |  |  |  |  |  |  |
Cash and due from banks |  |  | 2,712,774 |  |  |  | 2,764,884 |  |  |  | 2,712,774 |  |  |  | 2,764,884 |
Transactions in the course of collection |  |  | 644,311 |  |  |  | 772,196 |  |  |  | 644,311 |  |  |  | 772,196 |
Subtotal |  |  | 3,357,085 |  |  |  | 3,537,080 |  |  |  | 3,357,085 |  |  |  | 3,537,080 |
Financial assets at amortized cost: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Rights by resale agreements and securities lending |  |  | 45,895 |  |  |  | 54,061 |  |  |  | 45,895 |  |  |  | 54,061 |
Debt financial instruments |  |  | 904,643 |  |  |  | 902,355 |  |  |  | 842,246 |  |  |  | 836,527 |
Loans and advances to Banks: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Domestic banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Central Bank of Chile |  |  | 1,300,397 |  |  |  | 1,801,100 |  |  |  | 1,300,397 |  |  |  | 1,801,100 |
Foreign banks |  |  | 295,709 |  |  |  | 373,015 |  |  |  | 295,969 |  |  |  | 369,526 |
Subtotal |  |  | 2,546,644 |  |  |  | 3,130,531 |  |  |  | 2,484,507 |  |  |  | 3,061,214 |
Loans to customers, net: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial loans |  |  | 19,927,387 |  |  |  | 19,871,510 |  |  |  | 19,409,728 |  |  |  | 19,161,774 |
Residential mortgage loans |  |  | 11,554,612 |  |  |  | 11,386,851 |  |  |  | 11,331,978 |  |  |  | 11,138,046 |
Consumer loans |  |  | 4,758,519 |  |  |  | 4,658,051 |  |  |  | 4,793,497 |  |  |  | 4,608,041 |
Subtotal |  |  | 36,240,518 |  |  |  | 35,916,412 |  |  |  | 35,535,203 |  |  |  | 34,907,861 |
Total |  |  | 42,144,247 |  |  |  | 42,584,023 |  |  |  | 41,376,795 |  |  |  | 41,506,155 |
Liabilities |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Transactions in the course of payment |  |  | 551,880 |  |  |  | 681,792 |  |  |  | 551,880 |  |  |  | 681,792 |
Financial liabilities at amortized cost: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Current accounts and other demand deposits |  |  | 13,150,631 |  |  |  | 13,383,232 |  |  |  | 13,150,631 |  |  |  | 13,383,232 |
Saving accounts and time deposits |  |  | 14,722,088 |  |  |  | 14,157,141 |  |  |  | 14,721,657 |  |  |  | 14,140,995 |
Obligations by repurchase agreements and securities lending |  |  | 107,189 |  |  |  | 216,264 |  |  |  | 107,189 |  |  |  | 216,264 |
Borrowings from financial institutions |  |  | 5,520,842 |  |  |  | 5,397,676 |  |  |  | 5,083,246 |  |  |  | 4,844,427 |
Debt financial instruments issued: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Letters of credit for residential purposes |  |  | 1,968 |  |  |  | 2,328 |  |  |  | 2,068 |  |  |  | 2,466 |
Letters of credit for general purposes |  |  | 36 |  |  |  | 49 |  |  |  | 37 |  |  |  | 52 |
Bonds |  |  | 9,334,711 |  |  |  | 9,265,570 |  |  |  | 9,208,752 |  |  |  | 9,030,443 |
Other financial obligations |  |  | 259,909 |  |  |  | 344,030 |  |  |  | 277,227 |  |  |  | 363,809 |
Subtotal |  |  | 43,097,374 |  |  |  | 42,766,290 |  |  |  | 42,550,807 |  |  |  | 41,981,688 |
Financial instruments of regulatory capital issued: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Subordinate bonds |  |  | 1,029,546 |  |  |  | 1,010,905 |  |  |  | 1,014,173 |  |  |  | 1,002,250 |
Total |  |  | 44,678,800 |  |  |  | 44,458,987 |  |  |  | 44,116,860 |  |  |  | 43,665,730 |

Other financial assets and liabilities not measured at their fair value, but for which a fair value is estimated, even if not managed based on such value, include assets and liabilities such as placements, deposits and other time deposits, debt issued, and other financial assets and obligations with different maturities and characteristics. The fair value of these assets and liabilities is calculated using the Discounted Cash Flow model and the use of various data sources such as yield curves, credit risk spreads, etc. In addition, due to some of these assets and liabilities are not traded on the market, periodic reviews and analyzes are required to determine the suitability of the inputs and determined fair values.

170

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 44. | Fair Value of Financial Assets and Liabilities, continued:

| (f) | Levels of other assets and liabilities:

The following table shows the estimated fair value of financial assets and liabilities not valued at their fair value, as of March 31, 2023 and December 31, 2022:

|  | Level 1 Estimated Fair Value |  |  | Level 2 Estimated Fair Value |  |  | Level 3 Estimated Fair Value |  |  | Total Estimated Fair Value |
|  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cash and due from banks |  |  | 2,712,774 |  |  |  | 2,764,884 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,712,774 |  |  |  | 2,764,884 |
Transactions in the course of collection |  |  | 644,311 |  |  |  | 772,196 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 644,311 |  |  |  | 772,196 |
Subtotal |  |  | 3,357,085 |  |  |  | 3,537,080 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,357,085 |  |  |  | 3,537,080 |
Financial assets at amortized cost: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Rights by resale agreements and securities lending |  |  | 45,895 |  |  |  | 54,061 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 45,895 |  |  |  | 54,061 |
Debt financial instruments |  |  | 842,246 |  |  |  | 836,527 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 842,246 |  |  |  | 836,527 |
Loans and advances to Banks: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Domestic banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Central Bank of Chile |  |  | 1,300,397 |  |  |  | 1,801,100 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,300,397 |  |  |  | 1,801,100 |
Foreign banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 295,969 |  |  |  | 369,526 |  |  |  | 295,969 |  |  |  | 369,526 |
Subtotal |  |  | 2,188,538 |  |  |  | 2,691,688 |  |  |  | — |  |  |  | — |  |  |  | 295,969 |  |  |  | 369,526 |  |  |  | 2,484,507 |  |  |  | 3,061,214 |
Loans to customers, net: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial loans |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 19,409,728 |  |  |  | 19,161,774 |  |  |  | 19,409,728 |  |  |  | 19,161,774 |
Residential mortgage loans |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 11,331,978 |  |  |  | 11,138,046 |  |  |  | 11,331,978 |  |  |  | 11,138,046 |
Consumer loans |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 4,793,497 |  |  |  | 4,608,041 |  |  |  | 4,793,497 |  |  |  | 4,608,041 |
Subtotal |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 35,535,203 |  |  |  | 34,907,861 |  |  |  | 35,535,203 |  |  |  | 34,907,861 |
Total |  |  | 5,545,623 |  |  |  | 6,228,768 |  |  |  | — |  |  |  | — |  |  |  | 35,831,172 |  |  |  | 35,277,387 |  |  |  | 41,376,795 |  |  |  | 41,506,155 |
Liabilities |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Transactions in the course of payment |  |  | 551,880 |  |  |  | 681,792 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 551,880 |  |  |  | 681,792 |
Financial liabilities at amortized cost: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Current accounts and other demand deposits |  |  | 13,150,631 |  |  |  | 13,383,232 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 13,150,631 |  |  |  | 13,383,232 |
Saving accounts and time deposits |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 14,721,657 |  |  |  | 14,140,995 |  |  |  | 14,721,657 |  |  |  | 14,140,995 |
Obligations by repurchase agreements and securities lending |  |  | 107,189 |  |  |  | 216,264 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 107,189 |  |  |  | 216,264 |
Borrowings from financial institutions |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 5,083,246 |  |  |  | 4,844,427 |  |  |  | 5,083,246 |  |  |  | 4,844,427 |
Debt financial instruments issued: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Letters of credit for residential purposes |  |  | — |  |  |  | — |  |  |  | 2,068 |  |  |  | 2,466 |  |  |  | — |  |  |  | — |  |  |  | 2,068 |  |  |  | 2,466 |
Letters of credit for general purposes |  |  | — |  |  |  | — |  |  |  | 37 |  |  |  | 52 |  |  |  | — |  |  |  | — |  |  |  | 37 |  |  |  | 52 |
Bonds |  |  | — |  |  |  | — |  |  |  | 9,208,752 |  |  |  | 9,030,443 |  |  |  | — |  |  |  | — |  |  |  | 9,208,752 |  |  |  | 9,030,443 |
Other financial obligations |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 277,227 |  |  |  | 363,809 |  |  |  | 277,227 |  |  |  | 363,809 |
Subtotal |  |  | 13,257,820 |  |  |  | 13,599,496 |  |  |  | 9,210,857 |  |  |  | 9,032,961 |  |  |  | 20,082,130 |  |  |  | 19,349,231 |  |  |  | 42,550,807 |  |  |  | 41,981,688 |
Financial instruments of regulatory capital issued: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Subordinate bonds |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,014,173 |  |  |  | 1,002,250 |  |  |  | 1,014,173 |  |  |  | 1,002,250 |
Total |  |  | 13,809,700 |  |  |  | 14,281,288 |  |  |  | 9,210,857 |  |  |  | 9,032,961 |  |  |  | 21,096,303 |  |  |  | 20,351,481 |  |  |  | 44,116,860 |  |  |  | 43,665,730 |

171

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 44. | Fair Value of Financial Assets and Liabilities, continued:

| (f) | Levels of other assets and liabilities, continued:

The Bank determines the fair value of these assets and liabilities according to the following:

| ● | Short-term assets and liabilities: For assets and liabilities with short-term maturity, it is assumed that the book values approximate to their fair value. This assumption is applied to the following assets and liabilities:

| Assets: |  | Liabilities:
| - | Cash and deposits in banks |  | - | Current accounts and other demand deposits
| - | Transactions in the course of collection |  | - | Transactions in the course of payments
| - | Investment under resale agreements and securities loans |  | - | Obligations under repurchase agreements and securities loans
| - | Loans and advance to domestic banks |  |  |

| ● | Loans to Customers and Advance to foreign banks: Fair value is determined by using the discounted cash flow model and internally generated discount rates, based on internal transfer rates derived from our internal transfer price process. Once the present value is determined, we deduct the related loan loss allowances in order to incorporate the credit risk associated with each contract or loan. As we use internally generated parameters for valuation purposes, we categorize these instruments in Level 3.

| ● | Debt financial instruments at amortized cost: The fair value is calculated with the methodology of the Stock Exchange, using the IRR observed in the market. Because the instruments that are in this category correspond to Treasury Bonds that are Benchmark, they are classified in Level 1.

| ● | Letters of Credit and Bonds: In order to determine the present value of contractual cash flows, we apply the discounted cash flow model by using market interest rates that are available in the market, either for the instruments under valuation or instruments with similar features that fit valuation needs in terms of currency, maturities and liquidity. The market interest rates are obtained from third party price providers widely used by the market. As a result of the valuation technique and the quality of inputs (observable) used for valuation, we categorize these financial liabilities in Level 2.

| ● | Saving Accounts, Time Deposits, Borrowings from Financial Institutions, Subordinated Bonds and Other borrowings financial: The discounted cash flow model is used to obtain the present value of committed cash flows by applying a bucket approach and average adjusted discount rates that derived from both market rates for instruments with similar features and our internal transfer price process. As we use internally generated parameters and/or apply significant judgmental analysis for valuation purposes, we categorize these financial liabilities in Level 3.

172

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 45. | Maturity according to their remaining Terms of Financial Assets and Liabilities:

The table below details the main financial assets and liabilities grouped in accordance with their remaining maturity, including capitals and accrued interest as of March 31, 2023 and December 31, 2022. As these are for trading and Financial instrument at fair value through other comprehensive income are included at their fair value:

|  |  |  |  | March 2023 |
|  | Demand |  |  | Up to 1 month |  |  | Over 1 month and up to 3 months |  |  | Over 3 month and up to 12 months |  |  | Subtotal up to 1 year |  |  | Over 1 year and up to 3 years |  |  | Over 3 year and up to 5 years |  |  | Over 5 years |  |  | Subtotal over 1 year |  |  | Total |
Assets |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Cash and due from banks |  |  | 2,712,774 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,712,774 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,712,774 |
Transactions in the course of collection |  |  | — |  |  |  | 644,311 |  |  |  | — |  |  |  | — |  |  |  | 644,311 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 644,311 |
Financial assets held for trading at fair value through profit or loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Derivative contracts financial |  |  | — |  |  |  | 168,776 |  |  |  | 279,929 |  |  |  | 583,270 |  |  |  | 1,031,975 |  |  |  | 692,820 |  |  |  | 356,802 |  |  |  | 726,081 |  |  |  | 1,775,703 |  |  |  | 2,807,678 |
Debt financial instruments |  |  | — |  |  |  | 2,641,507 |  |  |  | — |  |  |  | — |  |  |  | 2,641,507 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,641,507 |
Others |  |  | — |  |  |  | 4,302 |  |  |  | — |  |  |  | — |  |  |  | 4,302 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 4,302 |
Financial assets at fair value through other comprehensive income |  |  | — |  |  |  | 571,599 |  |  |  | 513,640 |  |  |  | 2,441,261 |  |  |  | 3,526,500 |  |  |  | 799,455 |  |  |  | 14,018 |  |  |  | 731,014 |  |  |  | 1,544,487 |  |  |  | 5,070,987 |
Derivative contracts financial for hedging purposes |  |  | — |  |  |  | 3,911 |  |  |  | — |  |  |  | — |  |  |  | 3,911 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,911 |
Financial assets at amortized cost |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Rights by resale agreements and securities lending |  |  | — |  |  |  | 29,137 |  |  |  | 15,864 |  |  |  | 894 |  |  |  | 45,895 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 45,895 |
Debt financial instruments |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 464,959 |  |  |  | — |  |  |  | 439,684 |  |  |  | 904,643 |  |  |  | 904,643 |
Loans and advances to Banks (*) |  |  | — |  |  |  | 1,426,428 |  |  |  | 126,457 |  |  |  | 43,864 |  |  |  | 1,596,749 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,596,749 |
Loans to customers, net (*) |  |  | — |  |  |  | 4,884,781 |  |  |  | 3,930,266 |  |  |  | 6,118,367 |  |  |  | 14,933,414 |  |  |  | 7,534,675 |  |  |  | 3,669,648 |  |  |  | 10,896,078 |  |  |  | 22,100,401 |  |  |  | 37,033,815 |
Total fnancial assets |  |  | 2,712,774 |  |  |  | 10,374,752 |  |  |  | 4,866,156 |  |  |  | 9,187,656 |  |  |  | 27,141,338 |  |  |  | 9,491,909 |  |  |  | 4,040,468 |  |  |  | 12,792,857 |  |  |  | 26,325,234 |  |  |  | 53,466,572 |

173

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 45. | Maturity according to their remaining Terms of Financial Assets and Liabilities, continued:

|  | March 2023 |
|  | Demand |  |  | Up to 1 month |  |  | Over 1 month and up to 3 months |  |  | Over 3 month and up to 12 months |  |  | Subtotal up to 1 year |  |  | Over 1 year and up to 3 years |  |  | Over 3 year and up to 5 years |  |  | Over 5 years |  |  | Subtotal over 1 year |  |  | Total |
Liabilities |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Transactions in the course of payment |  |  | — |  |  |  | 551,880 |  |  |  | — |  |  |  | — |  |  |  | 551,880 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 551,880 |
Financial liabilities held for trading at fair value through profit or loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Derivative contracts financial |  |  | — |  |  |  | 144,242 |  |  |  | 266,406 |  |  |  | 510,787 |  |  |  | 921,435 |  |  |  | 678,599 |  |  |  | 414,033 |  |  |  | 925,644 |  |  |  | 2,018,276 |  |  |  | 2,939,711 |
Others |  |  | — |  |  |  | 1,154 |  |  |  | 22 |  |  |  | 1,513 |  |  |  | 2,689 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,689 |
Derivative contracts financial for hedging purposes |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 9,309 |  |  |  | 9,309 |  |  |  | 37,689 |  |  |  | 26,250 |  |  |  | 228,267 |  |  |  | 292,206 |  |  |  | 301,515 |
Financial liabilities at amortized cost |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Current accounts and other demand deposits |  |  | 13,150,631 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 13,150,631 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 13,150,631 |
Saving accounts and time deposits (**) |  |  | — |  |  |  | 9,878,053 |  |  |  | 3,357,194 |  |  |  | 1,010,622 |  |  |  | 14,245,869 |  |  |  | 79,630 |  |  |  | 5,616 |  |  |  | 591 |  |  |  | 85,837 |  |  |  | 14,331,706 |
Obligations by repurchase agreements and securities lending |  |  | — |  |  |  | 105,335 |  |  |  | 1,854 |  |  |  | — |  |  |  | 107,189 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 107,189 |
Borrowings from financial institutions |  |  | — |  |  |  | 478,951 |  |  |  | 406,490 |  |  |  | 3,397,584 |  |  |  | 4,283,025 |  |  |  | 1,237,817 |  |  |  | — |  |  |  | — |  |  |  | 1,237,817 |  |  |  | 5,520,842 |
Debt financial instruments issued |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Letters of credit |  |  | — |  |  |  | 188 |  |  |  | 371 |  |  |  | 467 |  |  |  | 1,026 |  |  |  | 562 |  |  |  | 68 |  |  |  | 348 |  |  |  | 978 |  |  |  | 2,004 |
Bonds |  |  | — |  |  |  | 98,091 |  |  |  | 361,246 |  |  |  | 1,019,391 |  |  |  | 1,478,728 |  |  |  | 2,012,344 |  |  |  | 2,087,250 |  |  |  | 3,756,389 |  |  |  | 7,855,983 |  |  |  | 9,334,711 |
Other financial obligations |  |  | — |  |  |  | 259,834 |  |  |  | 17 |  |  |  | 47 |  |  |  | 259,898 |  |  |  | 11 |  |  |  | — |  |  |  | — |  |  |  | 11 |  |  |  | 259,909 |
Lease liabilities |  |  | — |  |  |  | 2,771 |  |  |  | 5,479 |  |  |  | 16,452 |  |  |  | 24,702 |  |  |  | 27,924 |  |  |  | 19,294 |  |  |  | 20,273 |  |  |  | 67,491 |  |  |  | 92,193 |
Financial instruments of regulatory capital issued |  |  | — |  |  |  | 6,797 |  |  |  | 108,014 |  |  |  | 6,193 |  |  |  | 121,004 |  |  |  | 20,827 |  |  |  | 12,893 |  |  |  | 874,822 |  |  |  | 908,542 |  |  |  | 1,029,546 |
Total financial liabilities |  |  | 13,150,631 |  |  |  | 11,527,296 |  |  |  | 4,507,093 |  |  |  | 5,972,365 |  |  |  | 35,157,385 |  |  |  | 4,095,403 |  |  |  | 2,565,404 |  |  |  | 5,806,334 |  |  |  | 12,467,141 |  |  |  | 47,624,526 |
Mismatch |  |  | (10,437,857 | ) |  |  | (1,152,544 | ) |  |  | 359,063 |  |  |  | 3,215,291 |  |  |  | (8,016,047 | ) |  |  | 5,396,506 |  |  |  | 1,475,064 |  |  |  | 6,986,523 |  |  |  | 13,858,093 |  |  |  | 5,842,046 |

| (*) | These balances are presented without deduction of their respective provisions, which amount to Ch$793,297 million for loans to customers and Ch$643 million for borrowings from financial institutions.

| (**) | Excludes term saving accounts, which amount to Ch$390,382 million.

174

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 45. | Maturity according to their remaining Terms of Financial Assets and Liabilities, continued:

|  | December 2022 |
|  | Demand |  |  | Up to 1 month |  |  | Over 1 month and up to 3 months |  |  | Over 3 month and up to 12 months |  |  | Subtotal up to 1 year |  |  | Over 1 year and up to 3 years |  |  | Over 3 year and up to 5 years |  |  | Over 5 years |  |  | Subtotal over 1 year |  |  | Total |
Assets |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Cash and due from banks |  |  | 2,764,884 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,764,884 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,764,884 |
Transactions in the course of collection |  |  | — |  |  |  | 772,196 |  |  |  | — |  |  |  | — |  |  |  | 772,196 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 772,196 |
Financial assets held for trading at fair value through profit or loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Derivative contracts financial |  |  | — |  |  |  | 174,943 |  |  |  | 243,091 |  |  |  | 637,830 |  |  |  | 1,055,864 |  |  |  | 701,848 |  |  |  | 415,817 |  |  |  | 786,500 |  |  |  | 1,904,165 |  |  |  | 2,960,029 |
Debt financial instruments |  |  | — |  |  |  | 3,433,745 |  |  |  | — |  |  |  | — |  |  |  | 3,433,745 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,433,745 |
Others |  |  | — |  |  |  | 257,325 |  |  |  | — |  |  |  | — |  |  |  | 257,325 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 257,325 |
Financial assets at fair value through other comprehensive income |  |  | — |  |  |  | 71,345 |  |  |  | 231,925 |  |  |  | 2,143,838 |  |  |  | 2,447,108 |  |  |  | 718,241 |  |  |  | 80,008 |  |  |  | 722,035 |  |  |  | 1,520,284 |  |  |  | 3,967,392 |
Derivative contracts financial for hedging purposes |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 15,863 |  |  |  | 15,863 |  |  |  | 443 |  |  |  | 8,052 |  |  |  | 2,719 |  |  |  | 11,214 |  |  |  | 27,077 |
Financial assets at amortized cost |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Rights by resale agreements and securities lending |  |  | — |  |  |  | 35,549 |  |  |  | 14,324 |  |  |  | 4,188 |  |  |  | 54,061 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 54,061 |
Debt financial instruments |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 16,280 |  |  |  | 445,624 |  |  |  | 440,451 |  |  |  | 902,355 |  |  |  | 902,355 |
Loans and advances to Banks (*) |  |  | — |  |  |  | 1,904,367 |  |  |  | 63,396 |  |  |  | 207,029 |  |  |  | 2,174,792 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,174,792 |
Loans to customers, net (*) |  |  | — |  |  |  | 4,940,664 |  |  |  | 2,937,024 |  |  |  | 6,830,834 |  |  |  | 14,708,522 |  |  |  | 7,403,768 |  |  |  | 3,752,730 |  |  |  | 10,829,784 |  |  |  | 21,986,282 |  |  |  | 36,694,804 |
Total financial assets |  |  | 2,764,884 |  |  |  | 11,590,134 |  |  |  | 3,489,760 |  |  |  | 9,839,582 |  |  |  | 27,684,360 |  |  |  | 8,840,580 |  |  |  | 4,702,231 |  |  |  | 12,781,489 |  |  |  | 26,324,300 |  |  |  | 54,008,660 |

175

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 45. | Maturity according to their remaining Terms of Financial Assets and Liabilities, continued:

|  | December 2022 |
|  | Demand |  |  | Up to 1 month |  |  | Over 1 month and up to 3 months |  |  | Over 3 month and up to 12 months |  |  | Subtotal up to 1 year |  |  | Over 1 year and up to 3 years |  |  | Over 3 year and up to 5 years |  |  | Over 5 years |  |  | Subtotal over 1 year |  |  | Total |
Liabilities |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Transactions in the course of payment |  |  | — |  |  |  | 681,792 |  |  |  | — |  |  |  | — |  |  |  | 681,792 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 681,792 |
Financial liabilities held for trading at fair value through profit or loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Derivative contracts financial |  |  | — |  |  |  | 167,937 |  |  |  | 222,880 |  |  |  | 588,342 |  |  |  | 979,159 |  |  |  | 692,759 |  |  |  | 465,828 |  |  |  | 963,736 |  |  |  | 2,122,323 |  |  |  | 3,101,482 |
Others |  |  | — |  |  |  | 4,355 |  |  |  | 1,916 |  |  |  | — |  |  |  | 6,271 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 6,271 |
Derivative contracts financial for hedging purposes |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,462 |  |  |  | 1,462 |  |  |  | 20,240 |  |  |  | 15,639 |  |  |  | 185,675 |  |  |  | 221,554 |  |  |  | 223,016 |
Financial liabilities at amortized cost |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Current accounts and other demand deposits |  |  | 13,383,232 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 13,383,232 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 13,383,232 |
Saving accounts and time deposits (**) |  |  | — |  |  |  | 9,342,195 |  |  |  | 2,962,617 |  |  |  | 1,324,088 |  |  |  | 13,628,900 |  |  |  | 113,901 |  |  |  | 5,940 |  |  |  | 655 |  |  |  | 120,496 |  |  |  | 13,749,396 |
Obligations by repurchase agreements and securities lending |  |  | — |  |  |  | 216,212 |  |  |  | 52 |  |  |  | — |  |  |  | 216,264 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 216,264 |
Borrowings from financial institutions |  |  | — |  |  |  | 289,675 |  |  |  | 84,391 |  |  |  | 675,089 |  |  |  | 1,049,155 |  |  |  | 4,348,521 |  |  |  | — |  |  |  | — |  |  |  | 4,348,521 |  |  |  | 5,397,676 |
Debt financial instruments issued |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  |  |  |  |  |  |
Letters of credit |  |  | — |  |  |  | 338 |  |  |  | 364 |  |  |  | 528 |  |  |  | 1,230 |  |  |  | 744 |  |  |  | 39 |  |  |  | 364 |  |  |  | 1,147 |  |  |  | 2,377 |
Bonds |  |  | — |  |  |  | 38,469 |  |  |  | 173,248 |  |  |  | 1,248,410 |  |  |  | 1,460,127 |  |  |  | 1,895,121 |  |  |  | 2,282,248 |  |  |  | 3,628,074 |  |  |  | 7,805,443 |  |  |  | 9,265,570 |
Other financial obligations |  |  | — |  |  |  | 343,943 |  |  |  | 11 |  |  |  | 54 |  |  |  | 344,008 |  |  |  | 22 |  |  |  | — |  |  |  | — |  |  |  | 22 |  |  |  | 344,030 |
Lease liabilities |  |  | — |  |  |  | 2,618 |  |  |  | 7,644 |  |  |  | 17,353 |  |  |  | 27,615 |  |  |  | 27,634 |  |  |  | 15,009 |  |  |  | 19,111 |  |  |  | 61,754 |  |  |  | 89,369 |
Financial instruments of regulatory capital issued |  |  | — |  |  |  | 1,153 |  |  |  | — |  |  |  | 117,262 |  |  |  | 118,415 |  |  |  | 20,157 |  |  |  | 12,345 |  |  |  | 859,988 |  |  |  | 892,490 |  |  |  | 1,010,905 |
Total fnancial liabilities |  |  | 13,383,232 |  |  |  | 11,088,687 |  |  |  | 3,453,123 |  |  |  | 3,972,588 |  |  |  | 31,897,630 |  |  |  | 7,119,099 |  |  |  | 2,797,048 |  |  |  | 5,657,603 |  |  |  | 15,573,750 |  |  |  | 47,471,380 |
Mismatch |  |  | (10,618,348 | ) |  |  | 501,447 |  |  |  | 36,637 |  |  |  | 5,866,994 |  |  |  | (4,213,270 | ) |  |  | 1,721,481 |  |  |  | 1,905,183 |  |  |  | 7,123,886 |  |  |  | 10,750,550 |  |  |  | 6,537,280 |

| (*) | These balances are presented without deduction of their respective provisions, which amount to Ch$778,392 million for loans to customers and Ch$677 million for borrowings from financial institutions.

| (**) | Excludes term saving accounts, which amount to Ch$407,745 million.

176

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 46. | Financial and Non-Financial Assets and Liabilities by Currency:

As of March 31, 2023 |  | CLP |  |  | CLF |  |  | FX Indexation |  |  | USD |  |  | COP |  |  | GBP |  |  | EUR |  |  | CHF |  |  | JPY |  |  | CNY |  |  | Others |  |  | TOTAL |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Financial assets |  |  | 26,374,679 |  |  |  | 19,850,898 |  |  |  | 111,064 |  |  |  | 6,031,016 |  |  |  | — |  |  |  | 48,951 |  |  |  | 189,082 |  |  |  | 3,246 |  |  |  | 16,018 |  |  |  | 31,772 |  |  |  | 15,906 |  |  |  | 52,672,632 |
Non-Financial assets |  |  | 1,874,054 |  |  |  | 27,716 |  |  |  | 6,575 |  |  |  | 365,675 |  |  |  | — |  |  |  | — |  |  |  | 719 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,274,739 |
Total Assets |  |  | 28,248,733 |  |  |  | 19,878,614 |  |  |  | 117,639 |  |  |  | 6,396,691 |  |  |  | — |  |  |  | 48,951 |  |  |  | 189,801 |  |  |  | 3,246 |  |  |  | 16,018 |  |  |  | 31,772 |  |  |  | 15,906 |  |  |  | 54,947,371 |
Liabilities |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Financial liabilities |  |  | 30,029,268 |  |  |  | 10,490,839 |  |  |  | 480 |  |  |  | 6,035,745 |  |  |  | — |  |  |  | 33,917 |  |  |  | 198,469 |  |  |  | 343,748 |  |  |  | 180,109 |  |  |  | 8,779 |  |  |  | 693,554 |  |  |  | 48,014,908 |
Non-Financial liabilities |  |  | 1,641,210 |  |  |  | 244,886 |  |  |  | 380 |  |  |  | 338,122 |  |  |  | — |  |  |  | 72 |  |  |  | 4,808 |  |  |  | 12 |  |  |  | 49 |  |  |  | — |  |  |  | 133 |  |  |  | 2,229,672 |
Total Liabilities |  |  | 31,670,478 |  |  |  | 10,735,725 |  |  |  | 860 |  |  |  | 6,373,867 |  |  |  | — |  |  |  | 33,989 |  |  |  | 203,277 |  |  |  | 343,760 |  |  |  | 180,158 |  |  |  | 8,779 |  |  |  | 693,687 |  |  |  | 50,244,580 |
Mismatch of Financial Assets and Liabilities (*) |  |  | (3,654,589 | ) |  |  | 9,360,059 |  |  |  | 110,584 |  |  |  | (4,729 | ) |  |  | — |  |  |  | 15,034 |  |  |  | (9,387 | ) |  |  | (340,502 | ) |  |  | (164,091 | ) |  |  | 22,993 |  |  |  | (677,648 | ) |  |  | 4,657,724 |

| (*) | This value does not consider non-financial assets and liabilities and the notional values of derivative instruments, which are disclosed at fair value.

As of December 31, 2022 |  | CLP |  |  | CLF |  |  | FX Indexation |  |  | USD |  |  | COP |  |  | GBP |  |  | EUR |  |  | CHF |  |  | JPY |  |  | CNY |  |  | Others |  |  | TOTAL |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Financial assets |  |  | 27,002,192 |  |  |  | 19,662,498 |  |  |  | 118,265 |  |  |  | 6,164,921 |  |  |  | — |  |  |  | 40,693 |  |  |  | 191,526 |  |  |  | 2,646 |  |  |  | 13,243 |  |  |  | 14,491 |  |  |  | 19,116 |  |  |  | 53,229,591 |
Non-Financial assets |  |  | 1,676,512 |  |  |  | 25,186 |  |  |  | 4,625 |  |  |  | 318,509 |  |  |  | — |  |  |  | 23 |  |  |  | 911 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 5 |  |  |  | 2,025,771 |
Total Assets |  |  | 28,678,704 |  |  |  | 19,687,684 |  |  |  | 122,890 |  |  |  | 6,483,430 |  |  |  | — |  |  |  | 40,716 |  |  |  | 192,437 |  |  |  | 2,646 |  |  |  | 13,243 |  |  |  | 14,491 |  |  |  | 19,121 |  |  |  | 55,255,362 |
Liabilities |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Financial liabilities |  |  | 29,120,086 |  |  |  | 10,560,342 |  |  |  | 233 |  |  |  | 6,624,182 |  |  |  | — |  |  |  | 23,466 |  |  |  | 237,470 |  |  |  | 364,359 |  |  |  | 194,286 |  |  |  | 3,485 |  |  |  | 751,216 |  |  |  | 47,879,125 |
Non-Financial liabilities |  |  | 1,981,737 |  |  |  | 209,270 |  |  |  | 355 |  |  |  | 323,996 |  |  |  | — |  |  |  | 28 |  |  |  | 2,106 |  |  |  | 56 |  |  |  | 37 |  |  |  | 117 |  |  |  | 208 |  |  |  | 2,517,910 |
Total Liabilities |  |  | 31,101,823 |  |  |  | 10,769,612 |  |  |  | 588 |  |  |  | 6,948,178 |  |  |  | — |  |  |  | 23,494 |  |  |  | 239,576 |  |  |  | 364,415 |  |  |  | 194,323 |  |  |  | 3,602 |  |  |  | 751,424 |  |  |  | 50,397,035 |
Mismatch of Financial Assets and Liabilities (*) |  |  | (2,117,894 | ) |  |  | 9,102,156 |  |  |  | 118,032 |  |  |  | (459,261 | ) |  |  | — |  |  |  | 17,227 |  |  |  | (45,944 | ) |  |  | (361,713 | ) |  |  | (181,043 | ) |  |  | 11,006 |  |  |  | (732,100 | ) |  |  | 5,350,466 |

| (*) | This value does not consider non-financial assets and liabilities and the notional values of derivative instruments, which are disclosed at fair value.

177

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report:

| (1) | Introduction:

Banco de Chile seeks to maintain a risk profile that ensures the sustainable growth that is aligned with its strategic objectives, maximizing value creation and guarantee its long-term solvency.

Our risk management policies are established in order to identify and analyze the risks faced by the Bank, set appropriate risk limits, alerts and controls, monitor risks and compliance with limits and alerts in order to carry out the necessary action plans. Through its administration policies and procedures, the Bank develops a disciplined and constructive control environment. Policies as well as risk management standards, procedures and systems are regularly reviewed.

For this, the Bank has teams with extensive experience and knowledge in each area associated with risks, ensuring comprehensive and consolidated management of the same, including the Bank and its subsidiaries.

| (a) | Risk Management Structure

Credit, Market and Operational Risk Management are at the all levels of the Organization, with a Corporate Governance structure that recognizes the relevance of the different risk areas that exist.

The Board of Directors of Banco de Chile is responsible for establishing the policies, the risk appetite framework, the guidelines for the development, validation and monitoring of models. Likewise, it approves the provision models, the Additional Provisions Policy and pronounces annually on the sufficient provisions. Also, it ratifies the strategies, policies, functional structure and comprehensive management model of Operational Risk and is in charge of guaranteeing the consistency of this model with the Bank’s strategy, ensuring proper implementation of the model in the organization. Along with this, it establishes the Subsidiary Risk Control Policy, describing the supervision scheme that the Bank applies to the relevant subsidiaries to control the risks that affect them. For its part, the Administration is responsible both for the establishment of standards and associated procedures as well as for the control and compliance with the disposed by the Board of Directors, ensuring that there is consistency between the criteria applied by the Bank and its subsidiaries, maintaining strict coordination at the corporate level and informing the Board of Directors in the defined instances.

The Bank’s Corporate Governance considers the active participation of the Board, acting directly or through different committees made up of Directors and Senior Management. It is permanently informed of the evolution of the different risk areas, participating through its Finance, International and Financial Risk, Credit, Portfolio Risk Committee and Higher Operational Risk Committee, in which the status of credit, market and operational risks are reviewed. These committees are described in the next paragraphs.

Risk Management is developed jointly by the Wholesale Credit Risk Division, the Retail Credit Risk and Global Risk Control Division and the Cybersecurity Division, which constitute the corporate risk governance structure, which by having highly experienced and specialized teams, together with a robust regulatory framework, allow optimal and effective management of the matters they address.

178

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (1) | Introduction, continued:

| (a) | Risk Management Structure, continued:

The Wholesale Credit Risk Division and the Retail Credit Risk and Global Risk Control Division are responsible for credit risk in the admission, monitoring and recovery phases for the different business segments. Additionally, the Wholesale Credit Risk Division has under its supervision the Market Risk Management that performs the function of measuring, limiting, controlling and reporting said risk together with the definition of valuation and management standards for the Bank’s assets and liabilities.

In turn, in the Retail Credit Risk and Global Risk Control Division, the Admissions Area, among its functions, develops the regulatory framework in matters of credit risk, and the Risk Models Area, which develops the different methodologies related to credit risk. Likewise, in this Division, model monitoring, validation and model risk management are carried out by the respective Areas that deal with these matters, ensuring the independence of the function.

This Division also has the Operational Risk and Business Continuity Management, in charge of managing and supervising the application of the policies, rules and procedures in each of these areas within the Bank and Subsidiaries. For purposes, the Operational Risk Management is in charge of guaranteeing the identification and efficient management of operational risks and promoting a culture in terms of risks to prevent financial losses and improve the quality of the processes, as well as proposing continuous improvements to risk management, aligned with business objectives. In addition to the above, the Business Continuity Management aims to manage the strategy and control of business continuity in the operational and technological field for the Bank, maintaining alternative operation plans and controlled tests to reduce the impact of disruptive events that may affect the organization. Both in Operational Risk and in Business Continuity, its methodologies, controls and scope are applied at the Banco de Chile level and are replicated in the subsidiaries, guaranteeing their homologation to the Bank’s global management model.

For its part, the Cybersecurity Division is responsible for defining, implementing and reporting the progress of the Strategic Cybersecurity Plan in line with the Bank’s business strategy, one of its main focuses being to protect internal information, that of its customers and collaborators.

This Division is comprises by the Cybersecurity Engineering Management, the Cyber Defense Management and the Strategic Management Deputy Management. The Technological Risk Management and the Cybersecurity Assurance Deputy Management also constitute it, as control units. By the end of 2022, the Advanced Cyber Intelligence and Analytics Unit was implemented. Numeral 5 of this Note describes the responsibilities of the indicated managers and deputy managers.

179

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (1) | Introduction, continued:

| (a) | Risk Management Structure, continued:

| (i) | Finance, International and Financial Risk Committee

This committee functions are to design policies and procedures related to price and liquidity risk; design a structure of limits and alerts of financial exposures, review the proposal to the Board of Directors of the Risk Appetite Framework, and ensure a correct and timely measurement, control and reporting thereof; track exposures and financial risks; analyze impacts on the valuation of operations and / or results due to potential adverse movements in the values of market variables or liquidity narrowness; review the stress test assumptions and establish action plans where appropriate; ensure the existence of independent units that value financial positions, and analyze the results of financial positions; review and approve the Comprehensive Risk Measurement in the area of market and liquidity risk; track the international financial exposure of liabilities; review the main credit exposures of Treasury products (derivatives, bonds); ensure that the management guidelines for price and liquidity risks in subsidiaries are consistent with those of the Bank, and be aware of the evolution of their main financial risks.

The Finance, International and Financial Risk Committee, session monthly and is comprises by the Chairman of the Board, four Directors or Advisors to the Board, General Manager, Financial Management Control and Productivity Division Manager, Wholesale Credit Risk Division Manager, Treasury Division Manager and Market Risk Area Manager. If deemed appropriate, the Committee may invite certain persons to participate, on a permanent or occasional basis, in one or more sessions.

(ii) Credit Committees

The credit approval process is done mainly through various credit committees, which are composed of qualified professionals and with the sufficient attributions to take decisions required.

Each committee is responsible for defining the terms and conditions under which the Bank accepts counterparty risks and the Wholesale Credit Risk and Retail Credit Risk Divisions and Global Risk Control participate independently and autonomously of the commercial areas. They are constituted according to the commercial segments and the amounts to approve and have different meeting periodicities.

Within the risk management structure of the Bank, the maximum approval instance is the Credit Committee of Directors. Sessions weekly and is comprises by the Chairman of the Board, regular and alternate directors, General Manager and the Wholesale Credit Risk Division Manager. This Committee is responsible for knowing, analyzing and resolving all credit operations associated with clients and / or economic groups whose total amount subject for approval is equal to or greater than UF 750,000. It also has to know, analyze and resolve all those credit operations that, in accordance with the established in the Bank’s internal rules, must be approved by this Committee, with the exception of the special powers delegated by the Board to the Administration.

180

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (1) | Introduction, continued:

| (a) | Risk Management Structure, continued:

| (iii) | Portfolio Risk Committee

The main function is to know the evolution of the composition, concentration and risk of the loan portfolio of the different banks and segments, covering the complete cycle of credit risk management with the processes of admission, monitoring and recovery of the credits granted. Review the main debtors and the different risk indicators of the portfolio, proposing differentiated management strategies. Approves and proposes to the Board the different credit risk policies. It is responsible for reviewing, approving and recommending to the Board of Directors, for its final approval, the different portfolio evaluation methodologies, provision models and methodologies associated with capital management. It is also responsible for reviewing and analyzing the adequacy of provisions for the different banks and segments. Also to review the guidelines and methodological advances for the development of internal models of credit risk, together with monitoring the concentration by sectors and segments according to the sectoral limits policy. Reviews and approves both the Comprehensive Risk Measurement (CRM) and the Credit Risk Appetite Framework (RAF) in the area of credit risk, ensuring their due approval by the Board of Directors. Defines the metrics that are part of the Risk Appetite Framework and their acceptable levels. Verifies the consistency of the credit risk policies of the subsidiaries in relation to those of the Bank, controls them globally and becomes aware of the credit risk management carried out by the subsidiaries. In general, know and analyze any relevant aspect in matters of Credit Risk in the portfolio of Banco de Chile.

The Portfolio Risk Committee meets monthly and is comprises by the Chairman of the Board, two regular and alternate Directors, General Manager, Wholesale Credit Risk Division Manager, Retail Credit Risk Division Manager and Global Risk Control, Commercial Division Manager, Risk Management and Information Control Manager.

(iv) Technical Committee for the Supervision of Internal Models

The main function of the Committee is to provide a framework of methodological guidelines for the Development, Follow-up and Documentation of the mathematical models that are used in the massive segments for credit risk management, such as Management Models (Admission, Follow-up, Collection and Rating, among others) and the regulatory models (Stress Testing, Capital and Provisions, specific for credit risk or additional, under local or international regulations), among others. The Committee may exceptionally evaluate alternative methodologies, other than those related to credit risk, at the request of its Chairman.

The Committee has the functions of defining the main criteria and guidelines to be used for the construction of new models; Review and approve methodologies associated with non-regulatory models (eg admission, collection), which must be submitted for the consideration of the Portfolio Risk Committee, so that it can rule on their ratification; In the case of regulatory models, the Technical Committee is limited to their review, leaving approval in the hands of the Portfolio Risk Committee and the Board of Directors. Establish minimum standards to monitor the quality of internal models. Establish the minimum standards to document the different areas related to the development, construction, monitoring, and operation of the models.

181

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (1) | Introduction, continued:

| (a) | Risk Management Structure, continued:

| (iv) | Technical Committee for the Supervision of Internal Models, continued:

In terms of its composition, it is comprises by the manager of the Retail Credit Risk and Global Risk Control Division, the managers of the Risk Monitoring, Studies and Management, People Business Development, Risk Models Areas, Retail Monitoring and Models, and the Deputy Managers of Big Data and Regulatory Systems, of Models Validation, of Pre-approved Admission, of Regulatory Models, Management Models and Provisions and a Head of People Risk Department who acts as secretary. The Committee meets monthly.

| (v) | Operational Risk Higher Committee

It is enforceable and is empowered to sanction the necessary changes in the processes, procedures, controls and computer systems that support the operation of the Bank, in order to mitigate its operational risks, ensuring that the different areas properly manage and control these risks. Additionally, it must be aware of the operational risk management carried out by the subsidiary companies and reported in their respective Operational Risk Committee, including the issues of Information Security and Business Continuity. Likewise, know the corrective measures adopted in the event of deviations or contingency scenarios that could affect the subsidiaries and/or the Bank in this type of risk.

The Operational Risk Higher Committee is comprises by the Chairman of the Board, three Directors, regular or alternate, appointed by the Bank’s Board of Directors, General Manager, Retail Credit Risk Divisions and Global Risk Control Manager, Operations and Technology Division Manager, Commercial Division Manager, Cybersecurity Division Manager, Marketing and Digital Banking Division Manager and Operational Risk Manager. The Committee meets monthly and can be summoned in an extraordinary manner.

| (vi) | Operational Risk Committee

It is empowered to trigger the necessary changes in the processes, procedures, controls and information systems that support the operation of Banco de Chile, in order to mitigate its operational risks, ensuring that the different areas properly manage and control these risks.

The Operational Risk Committee is comprises by the Retail Credit Risk Divisions and Global Risk Control Manager, Financial Management Control and Productivity Division Manager, Cybersecurity Division Manager, Operational Risk Manager, Technological Risk Manager, Business Continuity Manager, Operations Area Manager, Planning and PMO Manager, Customer Area Manager, Large Companies Group Manager, Customer Service Manager, Chief Attorney and Operational Risk Management Deputy Manager. The Committee session monthly and can be summoned extraordinarily.

182

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (1) | Introduction, continued:

| (a) | Risk Management Structure, continued:

| (vii) | Capital Management Committee

This committee meets quarterly and is comprised by two members of the Board of Directors; the General Manager; the Financial Management Control and Productivity Division Manager; the Wholesale Credit Risk Division Manager; the Retail Credit Risk and Global Risk Control Division Manager; and the Treasury and Capital Financial Control Area Manager. The Presidency of the Committee is in charge of a member of the board of Directors. In case of absence of the Chairman, he is subrogated by the other member of the board of Directors.

The Capital Management Committee’s main function is to monitor and supervise the capital management of the Bank and its subsidiaries, and ensure its compliance in accordance with the Corporate Capital Management Policy and related regulations, being responsible for: (i) review and propose to the Board of Directors, for its approval, the Corporate Capital Management Policy, at least annually, (ii) review and approve the governance documentation associated with capital management, at least annually, (iii) ensure that the Bank has sufficient capital to meet both its current needs and those arising from stress scenarios, over a three-year horizon, (iv) review and approve, on an annual basis, the Capital Plan and propose Internal Capital Objectives, for their subsequent approval by the Board of Directors, (v) review and approve the Comprehensive Risk Measurement (CRM) and the Business and Capital Risk Appetite Framework (RAF), (vi) review and approve the results of the Stress Tests (previously approved by the specialized Committees), in their integrated version, for inclusion in the Capital Plan, as well as the Bank’s CRM and RAF, in their integrated versions, and propose adjustments to the Specialized Committees if deemed necessary, (vii) review and propose to the Board of Directors, for its approval, the Effective Equity Self-Assessment Report, (viii) periodically monitor the different metrics defined for the Bank’s capital management, as well as the variables that affect those parameters, (ix) keep the Board of Directors informed of compliance with the Capital Plan, the Bank’s Integrated RAF, including the Business and Capital RAF, as well as the evolution of the variables that affect capital management, (x) propose the activation and supervise the execution of the Contingency Plans associated with non-compliance with the RAF for Businesses and Capital, prior to their approval by the Board of Directors, as well as reviewing their updates annually, (xi) know and approve the methodologies and criteria used in regulatory and internal measurements related to capital management, and risk management with an impact on capital, associated with Pillars 1 and 2 of Basel, (xii) know and approve the information disclosed to the market within the framework of Pillar 3 of Basel, (xiii) review the results of the validation of the models associated with capital management and quarterly monitor the status of the observations generated from the validations, (xiv) be aware of the results of the internal control evaluation of the Capital Self-Assessment Process, prior to the issuance of the Total or Regulatory Capital Self-Assessment Report.

| (b) | Internal Audit

The risk management processes of the entire Bank are permanently audited by the Internal Audit Area, which examines the sufficiency of the procedures and their compliance. Internal Audit discusses the results of all evaluations with the administration and reports its findings and recommendations to the Board of Directors through the Audit Committee.

183

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (1) | Introduction, continued:

| (c) | Measurement Methodology

Regarding to Credit Risk, provision levels and portfolio expenses are the basic measures for determining the credit quality of our portfolio.

Banco de Chile permanently evaluates its loan portfolio, timely recognizing the associated level of risk of the loan portfolio. For this, there are specific guidelines for the generation of management models (reactive and proactive admission models and collection models), provision models (both under local regulations in accordance with the instructions issued by the CMF, as well as under IFRS 9) and stress tests. These guidelines and the models developed are approved by the Board of Directors.

As a result of this evaluation, on both individual and group portfolios, the level of provisions that the bank should constitute is determined, in the event of customers payment default.

The individual evaluation mainly applies to the Bank’s portfolio of legal persons that, due to their size, complexity or indebtedness, requires a more detailed level of knowledge and a case-by-case analysis. Each debtor is assigned one of the 16 risk categories defined by the CMF, in order to establish the provisions in a timely and appropriate manner. The review of the portfolio risk classifications is carried out permanently considering the financial situation, payment behavior and the environment of each client.

The group evaluation mainly applies to the portfolio of natural persons and smaller companies. These assessments are carried out monthly through statistical models that allow estimating the level of provisions necessary to cover the portfolio risk; in the case of commercial and mortgage portfolios, these results are contrasted with the standard models provided by the regulator, with the resulting provision being the largest between both methods. The consistency analysis of the models is carried out through an independent validation of the unit that develops them and, subsequently, through the analysis of retrospective tests that allow to compare the real losses with the expected ones. The CMF recently issued a regulation in consultation proposing a standard (minimum) model for the consumer portfolio, which is in the comment and revision phase.

During the year 2022, the Bank maintained prudential adjustments to the provisioning models made in 2020, in particular to its Probability of Default (PD) parameters, following a conservative and prospective approach in this regard. Therefore, a permanent monitoring of the models is maintained, in accordance with the guidelines approved by the Board of Directors.

In order to validate the quality and robustness of the risk assessment processes, the Bank annually performs a test of the sufficiency of provisions for the total loan portfolio, thus verifying that the provisions established are sufficient to cover the losses that could derive from the credit operations granted. The result of this analysis is presented to the Board of Directors, who manifests itself on the sufficiency of the provisions in each fiscal year.

184

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (1) | Introduction, continued:

| (c) | Measurement Methodology, continued:

Banco de Chile establishes additional provisions with the objective of protecting itself from the risk of unpredictable economic fluctuations that may affect the macroeconomic environment or the situation of a specific economic sector. At least once a year, the amount of additional provisions to be constituted or released is annually proposed to the Portfolio Risk Committee and subsequently to the Board of Directors for approval.

In this context, during the year 2022 the Bank constituted additional provisions taking into account various prospective analyzes, economic cycle expectations and local, among the main factors.

The monitoring and control of risks are carried out mainly based on limits established by the Board of Directors. These limits reflect the Bank’s business and market strategy, as well as the level of risk that it is willing to accept, with additional emphasis on the selected industries.

The Bank develops its capital planning process in an integrated manner with its strategic planning, in line with the risks inherent to its activity, the economic and competitive environment, its business strategy, corporate values, as well as its governance, management and risk control. As part of the capital planning process and, in line with what is required by the regulator, it has incorporated the new calculations of Risk-Weighted Assets and stress tests in the dimensions of credit, market and operational risk, as well as the Comprehensive Measurement of financial and non-financial risks.

The Bank annually reviews and updates its Risk Appetite Framework, approved by the Board of Directors, through which it is possible to identify, evaluate, measure, mitigate and control proactively and in advance all relevant risks that could materialize in the normal course of their business. To this end, the Bank uses different management tools and defines an adequate structure of alerts and limits, which are part of said Framework, which allow it to constantly monitor the performance of different indicators and implement timely corrective actions, in the event that are required. The result of these activities is part of the annual self-assessment report of effective equity approved by the Board of Directors and reported to the CMF.

185

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (2) | Credit Risk:

Credit risk considers the likelihood that the counterparty in the credit operation will not be able to fulfill its contractual obligation due to incapacity or financial insolvency, and this leads to a potential credit loss.

The Bank seeks an adequate risk-return relation and an appropriate balance of the risks assumed, through a permanent credit risk management considering the processes of admission, monitoring and recovery of the loans granted. Likewise, it continuously manages risk knowledge, from a comprehensive approach, in order to contribute to the business and anticipate threats that could damage the solvency, quality of the portfolio, permeating a unique risk culture towards the Corporation, promoting the training and permanent formation of the Corporation’s personnel.

The foregoing has the permanent challenge of establishing the risk management framework for the different business segments served by the Bank, responding to regulatory requirements and commercial dynamism, being part of the digital transformation, and contributing from the perspective of risks to the various businesses addressed, through a vision of the portfolio that allows managing, resolving and controlling the business approval and monitoring process efficiently and proactively.

In the business segments, the application of additional management processes is taken into consideration, to the extent required, for those financing requests that that will have a greater exposure to environmental and/or social risks.

The Bank integrates the socio-environmental criteria in its evaluations for the granting of financing destined to the development of projects, whether national or regional and that can generate an impact of this type, where they are executed. For the financing of projects, they must have the corresponding permits, authorizations, patents and studies, according to the impact they generate. In addition, the Bank has specialized units for serving large clients, through which the financing of project development is concentrated, including those of Public Works concessions that contemplate the construction of infrastructure, mining, electrical, real estate developments that can generate an environmental impact.

Credit policies and processes materialize in the following management principles, which are addressed with a specialized approach according to the characteristics of the different markets and segments served, recognizing the singularities of each one of them:

| 1. | Apply a rigorous evaluation in the admission process, based on established credit policies, standards and procedures, together with the availability of sufficient and accurate information. Thus, it corresponds to analyze the generation of flows and solvency of the client to meet their payment commitments and, when the characteristics of the operation merit it, must constitute adequate collateral that allow mitigating the risk incurred with the client.

| 2. | Have permanent and robust portfolio tracking processes, through systems that alert both the potential signs of impairment of clients, with respect to the conditions of origin, and also the possible business opportunities with those that present a better payments quality and behavior.

186

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (2) | Credit Risk, continued:

| 3. | To develop credit risk modeling guidelines, in regulatory aspects and management, for efficient decision-making at different stages of the credit process.

| 4. | Have a collection structure with timely, agile and effective processes that allow management to be carried out in accordance with the different types of clients and the types of breaches that arise, always in strict adherence to the regulatory framework and the Bank’s reputational definitions.

| 5. | Maintain an efficient administration in work teams organization, tools and availability of information that allow an optimal credit risk management.

Based on these management principles, the credit risk divisions contribute to the business and anticipate threats that may affect the solvency and quality of the portfolio. In particular, during the last three years the solidity of these principles and the role of credit risk have made it possible to respond adequately to the challenges derived from the pandemic, providing timely responses to clients while maintaining the solid fundamentals that characterize the Bank’s portfolio in its different segments and products.

Within the framework of risk management, during 2023, a permanent and focused monitoring of the behavior of the portfolios has continued, including the evolution of the credits associated with the Fogape Covid, Fogape Reactivation programs and recently Fogape Chile Apoya.

187

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (2) | Credit Risk, continued:

| (a) | Retail Segments:

In these segments, admission management is carried out mainly through a risk evaluation that uses scoring tools and an adequate credit attribution model to approve each operation. These evaluations take into consideration the level of indebtedness, payment capacity and the maximum acceptable exposure for the client.

For these segments, the Bank’s risk functions are segregated and distributed in the following areas:

| − | Retail Admission and Regulatory Area, performs the evaluation of operations and clients, with specialization by products and segments. Maintains a framework of policies and standards that ensure the quality of the portfolio according to the desired risk, defining guidelines for the admission of clients and their respective parameterization in the evaluation systems. These definitions are released to commercial and risk areas through programs and continuous training, and their application is monitored through credit review processes.

| − | Risk Model Area, is responsible for developing, maintaining and updating credit risk models, whether for regulatory or management uses, in accordance with local and international regulations, determining the most appropriate functional specifications and statistical techniques for the development of the required models. These models are validated by the Model Validation Subdivision and presented to the corresponding government bodies, such as the “Technical Committee for the Supervision and Development of Internal Models”, the Portfolio Risk Committee or the Board of Directors, as appropriate.

| − | Model Risk and Internal Control Area, its purpose is to manage the risks associated with models and their processes, for which it relies on the functions of model validation, model risk management and internal control.

Model validation is responsible for carrying out an independent review of risk models, including risk-weighted assets and stress tests, both in the construction and implementation stages. It considers the validation of compliance with the guidelines established by the Board of Directors, addressing aspects such as governance, data quality, modeling techniques, implementation, methodological and parametric analysis, and documentation. The results of the review are presented and placed in consideration of the respective Committees, as appropriate.

For its part, model risk management is responsible for monitoring and ensuring compliance with the activities associated with the state in which the models are according to their life cycle.

188

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (2) | Credit Risk, continued:

| (a) | Retail Segments, continued:

Finally, internal control has the objective of ensuring the reliability and transparency of the information generated by the Bank. For this, a periodic evaluation process is carried out, based on the risks that could have a material impact and which is carried out through the evaluation of the design and operational effectiveness of the identified controls and thus be able to comply with the operating, information and compliance objectives. Additionally, and complying with the same previous framework, the internal control process for Basel III has been implemented, which consists of an independent review of the capital management function.

| − | Retail Tracking and Models Area, is in charge of measuring the behavior of portfolios especially through the monitoring of the main indicators of the aggregate portfolio and the analysis of layers, reported in management reports, generating relevant information for decision-making in different instances defined. Also, special follow-ups are generated according to relevant events in the environment. This Area ensures that the different strategies executed meet the risk quality objectives that determined their implementation.

For its part, through the risk model monitoring function, they are monitored, ensuring compliance with the standards defined to ensure their predictive and discriminating power.

Additionally, this Area is responsible for managing the process for calculating provisions for credit risk, ensuring the correct execution of the processes and results obtained.

| − | Collection Area performs a cross-collection management in the Bank and defines refinancing criteria through the establishment of predefined renegotiation guidelines to solve the indebtedness of viable customers and with payment intentions, maintaining an adequate risk-return ratio, together with the incorporation of robust tools for a differentiated collection management according to the institutional policies and with strict adherence to the current regulatory framework.

In this sense, the Bank has specific regulations related to the collection and normalization of clients, which makes it possible to ensure the quality of the portfolio in accordance with credit policies and the desired risk appetite framework. Through collection management, the attention of clients with temporary flow problems is favored, debt normalization plans are proposed to viable clients, in such a way that it is possible to maintain the relationship in the long term once their situation is regularized, the recovery of assets at risk is maximized and the necessary collection actions are carried out, in a timely manner, to ensure the recovery of debts or reduce potential loss.

189

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (2) | Credit Risk, continued:

| (b) | Wholesale Segments:

In these segments, admission management is carried out through an individual evaluation of the client and the relationship of the rest of the group with the Bank is also considered if it belongs to a group of companies. This individual evaluation - and group if applicable - considers, among others, generation capacity, financial capacity with emphasis on equity solvency, exposure levels, industry variables, evaluation of partners and management, and aspects of the operation such as financing structure, term, products and possible collaterals.

The indicated evaluation is supported by a rating model that allows greater homogeneity in the evaluation of the client and his group. This evaluation also includes specialized areas in some segments that by their nature require expert knowledge, such as real estate, construction, agriculture, financial, international, among others.

In a centralized manner, a permanent monitoring of the portfolio is carried at the individual level off business segments and economic sectors, based on periodically updated information from both the client and the industry. Through this process, alerts are generated that ensure the correct and timely recognition of the risk of the individual portfolio and the special conditions established in the admission stage are monitored, such as controls of financial covenants, coverage of certain collaterals and conditions imposed at the time of approval.

Additionally, within the Admission areas, joint monitoring tasks are carried out that allow monitoring the development of operations from their gestation to their recovery, with the aim of ensuring the correct and timely identification of portfolio risks, and to manage in advance those cases with higher risk levels.

Upon detection of clients that show signs of impairment or default with any condition, the commercial area to which the client belongs, together with the Wholesale Credit Risk Division, establish action plans for their regularization. In those more complex cases where specialized management is required, the Special Assets Management area, belonging to the Wholesale Credit Risk Division, is directly in charge of collection management, establishing action plans and negotiations based on the particular characteristics of each client.

190

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (2) | Credit Risk, continued:

| (c) | Portfolio Concentration:

The maximum exposure to credit risk, by client or counterparty, without taking into account guarantees or other credit enhancements as of March 31, 2023 and December 31, 2022, does not exceed 10% of the Bank’s effective equity.

The following tables show credit risk exposure per balance sheet item, including derivatives, detailed by both geographic region and industry sector as of March 31, 2023:

|  | Chile |  |  | United States |  |  | England |  |  | Brazil |  |  | Others |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Financial Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cash and Due from Banks |  |  | 1,335,351 |  |  |  | 1,268,249 |  |  |  | 33,355 |  |  |  | 8 |  |  |  | 75,811 |  |  |  | 2,712,774 |
Financial assets held for trading at fair value through profit or loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Derivative contracts Financial |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Forwards (*) |  |  | 308,450 |  |  |  | 49,063 |  |  |  | 119,746 |  |  |  | — |  |  |  | 154,317 |  |  |  | 631,576 |
Swaps (**) |  |  | 974,871 |  |  |  | 35,520 |  |  |  | 960,792 |  |  |  | — |  |  |  | 199,114 |  |  |  | 2,170,297 |
Call Options |  |  | 980 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 980 |
Put Options |  |  | 4,825 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 4,825 |
Futures |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | 1,289,126 |  |  |  | 84,583 |  |  |  | 1,080,538 |  |  |  | — |  |  |  | 353,431 |  |  |  | 2,807,678 |
Debt Financial Instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
From the Chilean Government and Central Bank |  |  | 2,394,721 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,394,721 |
Other debt financial instruments issued in Chile |  |  | 246,786 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 246,786 |
Financial debt instruments issued Abroad |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | 2,641,507 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,641,507 |
Others Financial Instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Investments in mutual funds |  |  | 5 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 5 |
Equity instruments |  |  | 1,768 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,768 |
Others |  |  | 1,688 |  |  |  | 833 |  |  |  | — |  |  |  | — |  |  |  | 8 |  |  |  | 2,529 |
Subtotal |  |  | 3,461 |  |  |  | 833 |  |  |  | — |  |  |  | — |  |  |  | 8 |  |  |  | 4,302 |
Financial Assets at fair value through other comprehensive income |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Debt Financial Instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
From the Chilean Government and Central Bank |  |  | 3,297,223 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,297,223 |
Other debt financial instruments issued in Chile |  |  | 1,610,385 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,610,385 |
Financial debt instruments issued Abroad |  |  | — |  |  |  | 163,379 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 163,379 |
Subtotal |  |  | 4,907,608 |  |  |  | 163,379 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 5,070,987 |
Derivative contracts financial for hedging purposes |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Forwards |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Swaps |  |  | — |  |  |  | 3,911 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,911 |
Call Options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Put Options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Futures |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | 3,911 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,911 |
Financial assets at amortized cost |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Rights by resale agreements and securities lending |  |  | 45,895 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 45,895 |
Debt Financial Instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
From the Chilean Government and Central Bank |  |  | 904,643 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 904,643 |
Subtotal |  |  | 904,643 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 904,643 |
Loans and advances to Banks |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Central Bank of Chile |  |  | 1,300,397 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,300,397 |
Domestic banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Foreign banks |  |  | — |  |  |  | — |  |  |  | 361 |  |  |  | 166,847 |  |  |  | 129,144 |  |  |  | 296,352 |
Subtotal |  |  | 1,300,397 |  |  |  | — |  |  |  | 361 |  |  |  | 166,847 |  |  |  | 129,144 |  |  |  | 1,596,749 |
Loans to Customers, Net |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial loans |  |  | 20,327,459 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 9,051 |  |  |  | 20,336,510 |
Residential mortgage loans |  |  | 11,584,487 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 11,584,487 |
Consumer loans |  |  | 5,112,818 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 5,112,818 |
Subtotal |  |  | 37,024,764 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 9,051 |  |  |  | 37,033,815 |

(*) | Others includes: France Ch$122,707 million and Spain Ch$25,962 million.

(**) | Others includes: France Ch$59,039 million and Spain Ch$47,015 million.

191

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (2) | Credit Risk, continued:

| (c) | Portfolio Concentration continued:

|  | Central Bank of Chile |  |  | Government |  |  | Retail (Individuals |  |  | Financial Services |  |  | Trade |  |  | Manufacturing |  |  | Mining |  |  | Electricity, Gas and Water |  |  | Agriculture and Livestock |  |  | Fishing |  |  | Transportation and Telecom |  |  | Construction |  |  | Services |  |  | Others |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Cash and Due from Banks |  |  | 390,502 |  |  |  | — |  |  |  | — |  |  |  | 2,322,272 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,712,774 |
Financial Assets held for trading at fair value through profit or loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Derivative contracts Financial |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Forwards |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 431,744 |  |  |  | 34,951 |  |  |  | 10,918 |  |  |  | 54 |  |  |  | 2,705 |  |  |  | 9,758 |  |  |  | 1 |  |  |  | 340 |  |  |  | 4,033 |  |  |  | 137,072 |  |  |  | — |  |  |  | 631,576 |
Swaps |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,088,554 |  |  |  | 10,729 |  |  |  | 7,375 |  |  |  | — |  |  |  | 11,848 |  |  |  | 2,320 |  |  |  | 1,860 |  |  |  | 27,652 |  |  |  | 13,830 |  |  |  | 6,129 |  |  |  | — |  |  |  | 2,170,297 |
Call Options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 27 |  |  |  | 155 |  |  |  | 42 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 709 |  |  |  | 10 |  |  |  | — |  |  |  | 980 |
Put Options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,379 |  |  |  | 1,752 |  |  |  | 629 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 65 |  |  |  | — |  |  |  | 4,825 |
Futures |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,522,704 |  |  |  | 47,587 |  |  |  | 18,964 |  |  |  | 54 |  |  |  | 14,553 |  |  |  | 12,115 |  |  |  | 1,861 |  |  |  | 27,992 |  |  |  | 18,572 |  |  |  | 143,276 |  |  |  | — |  |  |  | 2,807,678 |
Debt Financial Instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
From the Chilean Government and Central Bank |  |  | 2,169,210 |  |  |  | 225,511 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,394,721 |
Other debt financial instruments issued in Chile |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 246,786 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 246,786 |
Financial debt instruments issued Abroad |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | 2,169,210 |  |  |  | 225,511 |  |  |  | — |  |  |  | 246,786 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,641,507 |
Others Financial Instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Investments in mutual funds |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 5 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 5 |
Equity instruments |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,768 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,768 |
Others |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,529 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,529 |
Subtotal |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 4,302 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 4,302 |
Financial Assets at fair value through Other Comprehensive Income |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Debt Financial Instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
From the Chilean Government and Central Bank |  |  | — |  |  |  | 3,297,223 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,297,223 |
Other debt financial instruments issued in Chile |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,343,376 |  |  |  | 17,040 |  |  |  | — |  |  |  | — |  |  |  | 5,019 |  |  |  | — |  |  |  | — |  |  |  | 4,731 |  |  |  | — |  |  |  | — |  |  |  | 240,219 |  |  |  | 1,610,385 |
Financial debt instruments issued Abroad |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 163,379 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 163,379 |
Subtotal |  |  | — |  |  |  | 3,297,223 |  |  |  | — |  |  |  | 1,506,755 |  |  |  | 17,040 |  |  |  | — |  |  |  | — |  |  |  | 5,019 |  |  |  | — |  |  |  | — |  |  |  | 4,731 |  |  |  | — |  |  |  | — |  |  |  | 240,219 |  |  |  | 5,070,987 |
Derivative contracts financial for hedging purposes |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Forwards |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Swaps |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,911 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,911 |
Call Options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Put Options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Futures |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,911 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,911 |
Financial assets at amortized cost (*) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Rights by resale agreements |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 30,719 |  |  |  | 408 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 11,884 |  |  |  | 2,884 |  |  |  | 45,895 |
Debt financial instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
From the Chilean Government and Central Bank |  |  | — |  |  |  | 904,643 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 904,643 |
Subtotal |  |  | — |  |  |  | 904,643 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 904,643 |
Loans and advances to Banks |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Central Bank of Chile |  |  | 1,300,397 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,300,397 |
Domestic banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Foreign banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 296,352 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 296,352 |
Subtotal |  |  | 1,300,397 |  |  |  | — |  |  |  | — |  |  |  | 296,352 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,596,749 |

(*) | Economic activity of Loans and accounts receivable from customers disclosed in Note No. 13 g).

192

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (2) | Credit Risk, continued:

| (c) | Portfolio Concentration continued:

The following tables show credit risk exposure per balance sheet item, including derivatives, detailed by both geographic region and industry sector as of December 31, 2022:

|  | Chile |  |  | United States |  |  | England |  |  | Brazil |  |  | Others |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Financial Assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cash and Due from Banks |  |  | 1,448,441 |  |  |  | 1,227,305 |  |  |  | 24,982 |  |  |  | 8 |  |  |  | 64,148 |  |  |  | 2,764,884 |
Financial assets held for trading at fair value through profit or loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Derivative contracts Financial |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Forwards (*) |  |  | 315,527 |  |  |  | 38,355 |  |  |  | 91,832 |  |  |  | — |  |  |  | 119,659 |  |  |  | 565,373 |
Swaps (**) |  |  | 1,037,521 |  |  |  | 32,161 |  |  |  | 1,095,040 |  |  |  | — |  |  |  | 224,855 |  |  |  | 2,389,577 |
Call Options |  |  | 2,321 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,321 |
Put Options |  |  | 2,758 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,758 |
Futures |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | 1,358,127 |  |  |  | 70,516 |  |  |  | 1,186,872 |  |  |  | — |  |  |  | 344,514 |  |  |  | 2,960,029 |
Debt Financial Instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
From the Chilean Government and Central Bank |  |  | 3,059,292 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,059,292 |
Other debt financial instruments issued in Chile |  |  | 374,453 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 374,453 |
Financial debt instruments issued Abroad |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | 3,433,745 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,433,745 |
Others Financial Instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Investments in mutual funds |  |  | 250,337 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 250,337 |
Equity instruments |  |  | 2,357 |  |  |  | 3,261 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 5,618 |
Others |  |  | 763 |  |  |  | 522 |  |  |  | — |  |  |  | — |  |  |  | 85 |  |  |  | 1,370 |
Subtotal |  |  | 253,457 |  |  |  | 3,783 |  |  |  | — |  |  |  | — |  |  |  | 85 |  |  |  | 257,325 |
Financial Assets at fair value through other comprehensive income |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Debt Financial Instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
From the Chilean Government and Central Bank |  |  | 2,258,857 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,258,857 |
Other debt financial instruments issued in Chile |  |  | 1,540,908 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,540,908 |
Financial debt instruments issued Abroad |  |  | — |  |  |  | 167,627 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 167,627 |
Subtotal |  |  | 3,799,765 |  |  |  | 167,627 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,967,392 |
Derivative contracts financial for hedging purposes |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Forwards |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Swaps |  |  | 118 |  |  |  | 18,368 |  |  |  | 8,142 |  |  |  | — |  |  |  | 449 |  |  |  | 27,077 |
Call Options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Put Options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Futures |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | 118 |  |  |  | 18,368 |  |  |  | 8,142 |  |  |  | — |  |  |  | 449 |  |  |  | 27,077 |
Financial assets at amortized cost |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Rights by resale agreements and securities lending |  |  | 54,061 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 54,061 |
Debt Financial Instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
From the Chilean Government and Central Bank |  |  | 902,355 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 902,355 |
Subtotal |  |  | 902,355 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 902,355 |
Loans and advances to Banks |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Central Bank of Chile |  |  | 1,801,100 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,801,100 |
Domestic banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Foreign banks |  |  | — |  |  |  | — |  |  |  | 18,679 |  |  |  | 182,320 |  |  |  | 172,693 |  |  |  | 373,692 |
Subtotal |  |  | 1,801,100 |  |  |  | — |  |  |  | 18,679 |  |  |  | 182,320 |  |  |  | 172,693 |  |  |  | 2,174,792 |
Loans to Customers, Net |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial loans |  |  | 20,256,166 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 29,544 |  |  |  | 20,285,710 |
Residential mortgage loans |  |  | 11,416,154 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 11,416,154 |
Consumer loans |  |  | 4,992,940 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 4,992,940 |
Subtotal |  |  | 36,665,260 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 29,544 |  |  |  | 36,694,804 |

(*) | Others includes: France Ch$92,885 million and Spain Ch$18,923 million.

(**) | Others includes: France Ch$62,731 million and Spain Ch$45,189 million.

193

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (2) | Credit Risk, continued:

| (c) | Portfolio Concentration continued:

|  | Central Bank of Chile |  |  | Government |  |  | Retail (Individuals |  |  | Financial Services |  |  | Trade |  |  | Manufacturing |  |  | Mining |  |  | Electricity, Gas and Water |  |  | Agriculture and Livestock |  |  | Fishing |  |  | Transportation and Telecom |  |  | Construction |  |  | Services |  |  | Others |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Cash and Due from Banks |  |  | 384,230 |  |  |  | — |  |  |  | — |  |  |  | 2,380,654 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,764,884 |
Financial Assets held for trading at fair value through profit or loss |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Derivative contracts Financial |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Forwards |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 371,960 |  |  |  | 28,966 |  |  |  | 12,435 |  |  |  | 124 |  |  |  | 2,153 |  |  |  | 8,456 |  |  |  | 18 |  |  |  | 144 |  |  |  | 1,602 |  |  |  | 139,515 |  |  |  | — |  |  |  | 565,373 |
Swaps |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,311,655 |  |  |  | 9,770 |  |  |  | 9,123 |  |  |  | — |  |  |  | 10,148 |  |  |  | 4,236 |  |  |  | 3,848 |  |  |  | 16,166 |  |  |  | 14,493 |  |  |  | 10,138 |  |  |  | — |  |  |  | 2,389,577 |
Call Options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 123 |  |  |  | 601 |  |  |  | 61 |  |  |  | — |  |  |  | — |  |  |  | 90 |  |  |  | 6 |  |  |  | 1 |  |  |  | 1,437 |  |  |  | 2 |  |  |  | — |  |  |  | 2,321 |
Put Options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 752 |  |  |  | 1,412 |  |  |  | 481 |  |  |  | — |  |  |  | — |  |  |  | 5 |  |  |  | — |  |  |  | 21 |  |  |  | — |  |  |  | 87 |  |  |  | — |  |  |  | 2,758 |
Futures |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,684,490 |  |  |  | 40,749 |  |  |  | 22,100 |  |  |  | 124 |  |  |  | 12,301 |  |  |  | 12,787 |  |  |  | 3,872 |  |  |  | 16,332 |  |  |  | 17,532 |  |  |  | 149,742 |  |  |  | — |  |  |  | 2,960,029 |
Debt Financial Instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
From the Chilean Government and Central Bank |  |  | 3,014,768 |  |  |  | 44,524 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,059,292 |
Other debt financial instruments issued in Chile |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 374,453 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 374,453 |
Financial debt instruments issued Abroad |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | 3,014,768 |  |  |  | 44,524 |  |  |  | — |  |  |  | 374,453 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,433,745 |
Others Financial Instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Investments in mutual funds |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 250,337 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 250,337 |
Equity instruments |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 5,618 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 5,618 |
Others |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,370 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,370 |
Subtotal |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 257,325 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 257,325 |
Financial Assets at fair value through Other Comprehensive Income |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Debt Financial Instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
From the Chilean Government and Central Bank |  |  | — |  |  |  | 2,258,857 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,258,857 |
Other debt financial instruments issued in Chile |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,513,240 |  |  |  | 13,591 |  |  |  | — |  |  |  | — |  |  |  | 4,934 |  |  |  | — |  |  |  | — |  |  |  | 4,639 |  |  |  | 4,504 |  |  |  | — |  |  |  | — |  |  |  | 1,540,908 |
Financial debt instruments issued Abroad |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 167,627 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 167,627 |
Subtotal |  |  | — |  |  |  | 2,258,857 |  |  |  | — |  |  |  | 1,680,867 |  |  |  | 13,591 |  |  |  | — |  |  |  | — |  |  |  | 4,934 |  |  |  | — |  |  |  | — |  |  |  | 4,639 |  |  |  | 4,504 |  |  |  | — |  |  |  | — |  |  |  | 3,967,392 |
Derivative contracts financial for hedging purposes |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Forwards |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Swaps |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 27,077 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 27,077 |
Call Options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Put Options |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Futures |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 27,077 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 27,077 |
Financial assets at amortized cost (*) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Rights by resale agreements |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 43,116 |  |  |  | 469 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 7,950 |  |  |  | 2,526 |  |  |  | 54,061 |
Debt financial instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
From the Chilean Government and Central Bank |  |  | — |  |  |  | 902,355 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 902,355 |
Subtotal |  |  | — |  |  |  | 902,355 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 902,355 |
Loans and advances to Banks |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Central Bank of Chile |  |  | 1,801,100 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,801,100 |
Domestic banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Foreign banks |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 373,692 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 373,692 |
Subtotal |  |  | 1,801,100 |  |  |  | — |  |  |  | — |  |  |  | 373,692 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,174,792 |

(*) | Economic activity of Loans and accounts receivable from customers disclosed in Note No. 13 g).

194

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (2) | Credit Risk, continued:

| (d) | Collaterals and Other Credit Enhancements:

The amount and type of collateral required depends on the counterparty’s credit risk assessment.

The Bank has guidelines regarding the acceptability of types of collateral and valuation parameters.

The main types of collateral obtained are:

| ● | For commercial loans: Residential and non-residential real estate, liens and inventory.

| ● | For retail loans: Mortgages loans on residential property.

The Bank also obtains collateral from parent companies for loans granted to their subsidiaries.

Management makes sure its collateral is acceptable according to both external standards and internal policies guidelines and parameters. The Bank has approximately 244,156 collateral assets as of March 31, 2023 (244,033 in December 2022), the majority of which consist of real estate. The following table contains guarantees value:

|  | Guarantee |
March 2023 |  | Loans |  |  | Mortgages |  |  | Pledges |  |  | Securities |  |  | Warrants |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Corporate Lending |  |  | 15,525,318 |  |  |  | 4,177,668 |  |  |  | 196,737 |  |  |  | 601,916 |  |  |  | 10,329 |  |  |  | 4,986,650 |
Small Business Lending |  |  | 4,811,192 |  |  |  | 3,355,576 |  |  |  | 19,767 |  |  |  | 11,437 |  |  |  | — |  |  |  | 3,386,780 |
Consumer Lending |  |  | 5,112,818 |  |  |  | 373,308 |  |  |  | 824 |  |  |  | 2,932 |  |  |  | — |  |  |  | 377,064 |
Mortgage Lending |  |  | 11,584,487 |  |  |  | 10,040,930 |  |  |  | 135 |  |  |  | 428 |  |  |  | — |  |  |  | 10,041,493 |
Total |  |  | 37,033,815 |  |  |  | 17,947,482 |  |  |  | 217,463 |  |  |  | 616,713 |  |  |  | 10,329 |  |  |  | 18,791,987 |

|  | Guarantee |
December 2022 |  | Loans |  |  | Mortgages |  |  | Pledges |  |  | Securities |  |  | Warrants |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Corporate Lending |  |  | 15,469,444 |  |  |  | 3,993,984 |  |  |  | 193,235 |  |  |  | 590,126 |  |  |  | 4,386 |  |  |  | 4,781,731 |
Small Business Lending |  |  | 4,816,266 |  |  |  | 3,352,055 |  |  |  | 20,294 |  |  |  | 11,700 |  |  |  | — |  |  |  | 3,384,049 |
Consumer Lending |  |  | 4,992,940 |  |  |  | 364,469 |  |  |  | 912 |  |  |  | 3,364 |  |  |  | — |  |  |  | 368,745 |
Mortgage Lending |  |  | 11,416,154 |  |  |  | 9,928,827 |  |  |  | 133 |  |  |  | 607 |  |  |  | — |  |  |  | 9,929,567 |
Total |  |  | 36,694,804 |  |  |  | 17,639,335 |  |  |  | 214,574 |  |  |  | 605,797 |  |  |  | 4,386 |  |  |  | 18,464,092 |

The Bank also uses mitigating tactics for credit risk on derivative transactions. To date, the following mitigating tactics are used:

| ● | Accelerating transactions and net payment using market values at the date of default of one of the parties.

| ● | Option for both parties to terminate early any transactions with a counterparty at a given date, using market values as of the respective date.

| ● | Margins established with time deposits by customers who have FX forwards with subsidiary Banchile Corredores de Bolsa S.A.

195

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (2) | Credit Risk, continued:

| (d) | Collaterals and Other Credit Enhancements, continued:

The value of the guarantees that the Bank maintains related to the loans individually classified as impaired as of March 31, 2023 and December 31, 2022 amounted Ch$108,948 million and Ch$110,686 million, respectively.

The value guarantees related to past due loans but no impaired as of March 31, 2023 and December 31, 2022 amounted Ch$408,544 million and Ch$325,079 million respectively.

| (e) | Credit Quality by Asset Class:

The Bank determines the credit quality of financial assets using internal credit ratings. The rating process is linked to the Bank’s approval and monitoring processes and is carried out in accordance with risk categories established by current standards. Credit quality is continuously updated based on any favorable or unfavorable developments to customers or their environments, considering aspects such as commercial and payment behavior as well as financial information.

The Bank also carries out reviews focused on companies that participate in specific economic sectors, which are affected either by macroeconomic variables or variables of the sector. In this way, it is possible to timely establish the necessary and sufficient level of provisions to cover the losses due to the eventual non-recoverability of the credits granted.

The credit quality by asset class for Consolidated Statements of Financial Position sheet items, based on the Bank’s credit rating system, is presented in Note No. 13 letter (d).

Below is the detail of the default but not impaired portfolio:

|  | Past due but no impaired (*) |
|  | 1 to 29 days |  |  | 30 to 59 days |  |  | 60 to 89 days |  |  | 90 or more days |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
March 2023 |  |  | 666,685 |  |  |  | 190,208 |  |  |  | 63,705 |  |  |  | — |
December 2022 |  |  | 622,379 |  |  |  | 157,852 |  |  |  | 46,762 |  |  |  | — |

(*) | These amounts include the overdue portion and the remaining balance of loans in default.

| (f) | Assets Received in Lieu of Payment:

The Bank has received assets in lieu of payment totaling Ch$10,604 million and Ch$10,149 million as of March 31, 2023 and December 31, 2022, respectively, the majority of which are properties. All of these assets are managed for sale.

196

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (2) | Credit Risk, continued:

| (g) | Renegotiated Assets:

The loans are considered to be renegotiated when the corresponding financial commitments are restructured and the Bank assesses the probability of recovery as sufficiently high.

The following table details the book value of loans with renegotiated terms per financial asset class:

|  | March |  |  | December |
|  | 2023 |  |  | 2022 |
Financial Assets |  | MCh$ |  |  | MCh$ |
Loans and advances to banks |  |  |  |  |  |
Central Bank of Chile |  |  | — |  |  |  | — |
Domestic banks |  |  | — |  |  |  | — |
Foreign banks |  |  | — |  |  |  | — |
Subtotal |  |  | — |  |  |  | — |
Loans to customers, net |  |  |  |  |  |  |  |
Commercial loans |  |  | 389,939 |  |  |  | 381,171 |
Residential mortgage loans |  |  | 251,778 |  |  |  | 251,380 |
Consumer loans |  |  | 251,984 |  |  |  | 258,434 |
Subtotal |  |  | 893,701 |  |  |  | 890,985 |
Total renegotiated financial assets |  |  | 893,701 |  |  |  | 890,985 |

| (h) | Compliance with credit limit granted to related debtors:

Below are detailed the figures for compliance with the credit limit granted to debtors related to the ownership or management of the Bank and subsidiaries, in accordance with the Article 84 No. 2 of the General Banking Law, which establishes that in no case the total of these credits may exceed the amount of its Total or Regulatory Capital:

|  | March 2023 |  |  | December 2022 |
|  | MCh$ |  |  | MCh$ |
Total related debt |  |  | 650,250 |  |  |  | 960,640 |
Consolidated Total or Regulatory Capital |  |  | 6,228,885 |  |  |  | 6,373,416 |
Limit used % |  |  | 10.44 | % |  |  | 15.07 | %

197

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (3) | Market Risk:

Market Risk refers to the loss that the Bank could face due to a liquidity shortage to honor the payments, or to close financial transactions in a timely manner (Liquidity Risk), or due to adverse movements in the values of market variables (Risk Price). For its correct management, the guidelines of the Liquidity Risk Management Policy and the Market Risk Management Policy are considered, both are subject to review, at least annually, by the Market Risk Manager and approval by the Bank’s Board of Directors, at least annually.

| (a) | Liquidity Risk:

Liquidity Risk Measurement and Limits

The Bank manages the Liquidity Risk in accordance with the established on the Liquidity Risk Management Policy, managing separately for each sub-category thereof; this is for Trading Liquidity Risk and Funding Liquidity Risk.

Trading Liquidity Risk is the inability to close, at current market prices, the financial positions opened mainly from the Trading Book (which is daily valued at market prices and the value differences instantly reflected in the Income Statement). This risk is controlled by establishing limits on the positions amounts of the Trading Book in accordance with what is estimated to be closed in a short time period. Additionally, the Bank incorporates a negative impact on the Income Statement whenever it considers that the size of a certain position in the Trading Book exceeds the reasonable amount, negotiated in the secondary markets, which would allow the exposure to be offset without altering market prices.

Funding Liquidity Risk refers to the Bank’s inability to obtain sufficient cash to meet its immediate obligations. This risk is managed by a minimum amount of highly liquid assets called liquidity buffer, and establishing limits and controls of internal metrics, among which the Market Access Report (“MAR”) stands out, which estimates the amount of funding that the Bank would need from wholesale financial counterparties, for the next 30 and 90 days in each of the relevant currencies of the balance sheet, to face a cash need as a result of the operation under business as usual conditions.

198

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (3) | Market Risk, continued:

| (a) | Liquidity Risk, continued:

The use of March within 2023 is illustrated below (LCCY = local currency; FCCY = foreign currency):

|  | MAR LCCY + FCCY MMM$ |  |  | MAR FCCY MMUS$ |
|  | 1 - 30 days |  |  | 1 - 90 days |  |  | 1 - 30 days |  |  | 1 - 90 days |
Maximum |  |  | 442 |  |  |  | 2,337 |  |  |  | 994 |  |  |  | 2,151 |
Minimum |  |  | -1,359 |  |  |  | 917 |  |  |  | 18 |  |  |  | 1,254 |
Average |  |  | -527 |  |  |  | 1,544 |  |  |  | 566 |  |  |  | 1,734 |

The Bank also monitors the amount of assets denominated in local currency that is funded by liabilities denominated in foreign currency, including all tenors and the cash flows generated by full delivery derivatives payments. This metric is referred to as Cross Currency Funding. The bank oversees and limits this amount in order to take precautions against not only Banco de Chile’s event but also against a systemic adverse environment generated by a country risk event that might trigger lack of foreign currency funding.

The use of Cross Currency Funding within the year 2023 is illustrated below:

|  | Cross Currency Funding |
|  | MMUS$ |
Maximum |  |  | 2,359 |
Minimum |  |  | 1,315 |
Average |  |  | 1,828 |

The Bank establishes thresholds that alert behaviors outside the expected ranges at a normal or prudent level of operation, in order to protect other dimensions of liquidity risk such as, for example, maturities concentration of fund providers, the diversification of sources of funds either by type of counterparty or type of product, among others.

The evolution over time of the statement of financial ratios of the Bank is monitored in order to detect structural changes in the characteristics of the balance sheet, such as those presented in the following table and whose relevant values of use during the year 2023 are shown below:

|  | Liquid Assets/ Net Funding <30 days |  |  | Liabilities>1 year/ Assets >1 year |  |  | Deposits/ Loans |
Maximum |  |  | 228 | % |  |  | 100 | % |  |  | 64 | %
Minimum |  |  | 190 | % |  |  | 91 | % |  |  | 64 | %
Average |  |  | 203 | % |  |  | 97 | % |  |  | 64 | %

199

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (3) | Market Risk, continued:

| (a) | Liquidity Risk, continued:

Additionally, some market index, prices and monetary decisions taken by the Central Bank of Chile are monitored to detect structural changes in market conditions that can trigger a liquidity shortage or even a financial crisis.

Furthermore, the Liquidity Risk Management Policy enforces to perform stress tests periodically which are controlled against potentially accessible action plans in each modeled scenario, according with the guidelines established in the Liquidity Contingency Plan. This process is essential in determining the liquidity risk appetite framework of the institution.

The Bank measures and controls the mismatch of cash flows under regulatory standards with the C46 index report, which represents the net cash flows expected over time as a result of the contractual maturity of almost all assets and liabilities. Additionally, the Commission for the Financial Market (hereinafter, “CMF”) authorized Banco de Chile, among others, to report the adjusted C46 index. This allows the Bank to report, in addition to the regular C46 index, outflow behavior assumptions of certain specific elements of the liability, such as demand deposits and time deposits. In addition, the regulator also requires some rollover assumptions for the loan portfolio.

To date, the CMF establish the following dispositions for the C46 index:

Foreign Currency balance sheet items: 1-30 days, Regulatory Limit C46 index < 1 x Tier-1 Capital

The levels of use of this index during the period 2023 is illustrated below:

|  | Adjusted C46 All CCYs as part of Basic Capital |  |  | Adjusted C46 FCCY as part of Basic Capital |
|  | 1 - 30 days |  |  | 1 - 90 days |  |  | 1 - 30 days |
Maximum |  |  | (0.12 | ) |  |  | (0.16 | ) |  |  | 0.20 |
Minimum |  |  | (0.36 | ) |  |  | (0.30 | ) |  |  | 0.14 |
Average |  |  | (0.24 | ) |  |  | (0.25 | ) |  |  | 0.17 |
Regulatory Limit |  |  | N/A |  |  |  | N/A |  |  |  | 1.0 |

200

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (3) | Market Risk, continued:

| (a) | Liquidity Risk, continued:

The individual and consolidated term liquidity gap are presented below:

QUARTERLY STATEMENT OF INDIVIDUAL LIQUIDITY SITUATION
AS OF MARCH 31, 2023 CONTRACTUAL BASIS
Values in MCh$
CONSOLIDATED CURRENCY |  | From 0 to 7 days |  |  | From 0 to 15 days |  |  | From 0 to 30 days |  |  | From 0 to 90 days |
Cash flow receivable (assets) and income |  |  | 8,671,109 |  |  |  | 11,396,170 |  |  |  | 12,553,502 |  |  |  | 16,117,319 |
Cash flow payable (liabilities) and expenses |  |  | 17,964,927 |  |  |  | 20,749,117 |  |  |  | 25,043,749 |  |  |  | 29,273,995 |
Liquidity Gap |  |  | 9,293,818 |  |  |  | 9,352,947 |  |  |  | 12,490,247 |  |  |  | 13,156,676 |

FOREIGN CURRENCY |  | From 0 to 7 days |  |  | From 0 to 15 days |  |  | From 0 to 30 days |  |  | From 0 to 90 days |
Cash flow receivable (assets) and income |  |  | 2,027,983 |  |  |  | 2,275,104 |  |  |  | 2,247,399 |  |  |  | 2,835,193 |
Cash flow payable (liabilities) and expenses |  |  | 3,217,727 |  |  |  | 3,511,373 |  |  |  | 4,055,532 |  |  |  | 4,852,312 |
Liquidity Gap |  |  | 1,189,744 |  |  |  | 1,236,269 |  |  |  | 1,808,133 |  |  |  | 2,017,119 |
Limits: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
One time capital |  |  |  |  |  |  |  |  |  |  | 4,675,184 |  |  |  |  |
AVAILABLE MARGIN |  |  |  |  |  |  |  |  |  |  | 2,867,051 |  |  |  | — |

QUARTERLY STATEMENT OF INDIVIDUAL LIQUIDITY SITUATION
AS OF MARCH 31, 2023 ADJUSTED BASIS
Values in MCh$
CONSOLIDATED CURRENCY |  | From 0 to 7 days |  |  | From 0 to 15 days |  |  | From 0 to 30 days |  |  | From 0 to 90 days |
Cash flow receivable (assets) and income |  |  | 8,360,176 |  |  |  | 10,835,543 |  |  |  | 11,579,178 |  |  |  | 13,836,170 |
Cash flow payable (liabilities) and expenses |  |  | 8,490,168 |  |  |  | 9,501,331 |  |  |  | 11,157,984 |  |  |  | 13,193,942 |
Liquidity Gap |  |  | 129,992 |  |  |  | (1,334,212 | ) |  |  | (421,194 | ) |  |  | (642,228 | )

FOREIGN CURRENCY |  | From 0 to 7 days |  |  | From 0 to 15 days |  |  | From 0 to 30 days |  |  | From 0 to 90 days |
Cash flow receivable (assets) and income |  |  | 1,886,336 |  |  |  | 2,034,574 |  |  |  | 1,849,803 |  |  |  | 1,991,165 |
Cash flow payable (liabilities) and expenses |  |  | 2,153,765 |  |  |  | 2,339,157 |  |  |  | 2,715,102 |  |  |  | 3,411,565 |
Liquidity Gap |  |  | 267,429 |  |  |  | 304,583 |  |  |  | 865,299 |  |  |  | 1,420,400 |
Limits: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
One time capital |  |  |  |  |  |  |  |  |  |  | 4,675,184 |  |  |  |  |
AVAILABLE MARGIN |  |  |  |  |  |  |  |  |  |  | 3,809,885 |  |  |  | — |

201

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (3) | Market Risk, continued:

| (a) | Liquidity Risk, continued:

QUARTERLY STATEMENT OF CONSOLIDATED LIQUIDITY SITUATION
AS OF MARCH 31, 2023 CONTRACTUAL BASIS
Values in MCh$
CONSOLIDATED CURRENCY |  | From 0 to 7 days |  |  | From 0 to 15 days |  |  | From 0 to 30 days |  |  | From 0 to 90 days |
Cash flow receivable (assets) and income |  |  | 9,309,839 |  |  |  | 12,036,956 |  |  |  | 13,205,622 |  |  |  | 16,785,891 |
Cash flow payable (liabilities) and expenses |  |  | 18,455,071 |  |  |  | 21,245,479 |  |  |  | 25,541,655 |  |  |  | 29,773,766 |
Liquidity Gap |  |  | 9,145,232 |  |  |  | 9,208,523 |  |  |  | 12,336,033 |  |  |  | 12,987,875 |

FOREIGN CURRENCY |  | From 0 to 7 days |  |  | From 0 to 15 days |  |  | From 0 to 30 days |  |  | From 0 to 90 days |
Cash flow receivable (assets) and income |  |  | 2,027,983 |  |  |  | 2,275,909 |  |  |  | 2,249,402 |  |  |  | 2,839,562 |
Cash flow payable (liabilities) and expenses |  |  | 3,217,727 |  |  |  | 3,512,178 |  |  |  | 4,057,542 |  |  |  | 4,856,187 |
Liquidity Gap |  |  | 1,189,744 |  |  |  | 1,236,269 |  |  |  | 1,808,140 |  |  |  | 2,016,625 |
Limits: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
One time capital |  |  |  |  |  |  |  |  |  |  | 4,675,184 |  |  |  |  |
AVAILABLE MARGIN |  |  |  |  |  |  |  |  |  |  | 2,867,044 |  |  |  | — |

QUARTERLY STATEMENT OF CONSOLIDATED LIQUIDITY SITUATION
AS OF MARCH 31, 2023 ADJUSTED BASIS
Values in MCh$
CONSOLIDATED CURRENCY |  | From 0 to 7 days |  |  | From 0 to 15 days |  |  | From 0 to 30 days |  |  | From 0 to 90 days |
Cash flow receivable (assets) and income |  |  | 8,998,906 |  |  |  | 11,476,328 |  |  |  | 12,231,298 |  |  |  | 14,504,743 |
Cash flow payable (liabilities) and expenses |  |  | 8,980,313 |  |  |  | 9,997,693 |  |  |  | 11,655,890 |  |  |  | 13,693,713 |
Liquidity Gap |  |  | (18,593 | ) |  |  | (1,478,635 | ) |  |  | (575,408 | ) |  |  | (811,030 | )

FOREIGN CURRENCY |  | From 0 to 7 days |  |  | From 0 to 15 days |  |  | From 0 to 30 days |  |  | From 0 to 90 days |
Cash flow receivable (assets) and income |  |  | 1,886,336 |  |  |  | 2,035,379 |  |  |  | 1,851,805 |  |  |  | 1,995,534 |
Cash flow payable (liabilities) and expenses |  |  | 2,153,765 |  |  |  | 2,339,962 |  |  |  | 2,717,113 |  |  |  | 3,415,441 |
Liquidity Gap |  |  | 267,429 |  |  |  | 304,583 |  |  |  | 865,308 |  |  |  | 1,419,907 |
Limits: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
One time capital |  |  |  |  |  |  |  |  |  |  | 4,675,184 |  |  |  |  |
AVAILABLE MARGIN |  |  |  |  |  |  |  |  |  |  | 3,809,876 |  |  |  | — |

202

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (3) | Market Risk, continued:

| (a) | Liquidity Risk, continued:

Liquid Assets Consolidated Balance Statement as of March 31, 2023, values in MMM$

Source: Financial Statements Banco de Chile as of March 31, 2023

Additionally, the regulatory entities have introduced other metrics that the Bank uses in its management, such as the Liquidity Coverage Ratio (“LCR”) and Net Stable Financing Ratio (“NSFR”), using assumptions similar to those used in the international banking. For the first, its phase-in was accelerated, increasing the minimum level required to 100%, while for the second, the requirement of the limit began at 70%. The evolution of the LCR and NSFR metrics during the year 2023 are shown below:

|  | LCR |  |  | NSFR |
Maximum |  |  | 3.04 |  |  |  | 1.36 |
Minimum |  |  | 2.60 |  |  |  | 1.31 |
Average |  |  | 2.82 |  |  |  | 1.33 |
Regulatory Limit |  |  | 1.0 | (*) |  |  | 0.7 | (**)

(*) | Valid value from June 1, 2022.

(**) | Effective value from June 1, 2022, which will gradually increase until reaching 1.0 in January 2026.

203

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (3) | Market Risk, continued:

| (a) | Liquidity Risk, continued:

The contractual maturity profile of the financial liabilities of Banco de Chile and its subsidiaries (consolidated basis), to March 31, 2023 and December 2022, is as follows:

|  | Up to 1 month |  |  | 1 to 3 months |  |  | 3 to 12 months |  |  | 1 to 3 years |  |  | 3 to 5 years |  |  | Over 5 years |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Liabilities as of March 31, 2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Transactions in the course of payment |  |  | 551,880 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 551,880 |
Full delivery derivative transactions |  |  | 606,888 |  |  |  | 815,257 |  |  |  | 1,191,004 |  |  |  | 1,456,580 |  |  |  | 711,824 |  |  |  | 1,753,065 |  |  |  | 6,534,618 |
Financial liabilities at amortized cost |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Current accounts and other demand deposits |  |  | 13,150,631 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 13,150,631 |
Saving accounts and time deposits |  |  | 10,297,354 |  |  |  | 3,417,392 |  |  |  | 1,046,019 |  |  |  | 86,517 |  |  |  | 5,610 |  |  |  | 591 |  |  |  | 14,853,483 |
Obligations by repurchase agreements and securities lending |  |  | 109,014 |  |  |  | 1,852 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 110,866 |
Borrowings from financial institutions |  |  | 356,242 |  |  |  | 399,574 |  |  |  | 3,511,517 |  |  |  | 1,237,800 |  |  |  | — |  |  |  | — |  |  |  | 5,505,133 |
Debt financial instruments issued (all currencies) |  |  | 91,194 |  |  |  | 343,846 |  |  |  | 1,146,862 |  |  |  | 2,398,251 |  |  |  | 2,351,658 |  |  |  | 4,211,350 |  |  |  | 10,543,161 |
Other financial obligations |  |  | 258,947 |  |  |  | 35 |  |  |  | 94 |  |  |  | 23 |  |  |  | — |  |  |  | — |  |  |  | 259,099 |
Financial instruments of regulatory capital issued (subordinated bonds) |  |  | 6,886 |  |  |  | 17,799 |  |  |  | 26,891 |  |  |  | 95,931 |  |  |  | 86,104 |  |  |  | 1,147,987 |  |  |  | 1,381,598 |
Total (excluding non-delivery derivative transactions) |  |  | 25,429,036 |  |  |  | 4,995,755 |  |  |  | 6,922,387 |  |  |  | 5,275,102 |  |  |  | 3,155,196 |  |  |  | 7,112,993 |  |  |  | 52,890,469 |
Non-delivery derivative transactions |  |  | 680,185 |  |  |  | 539,774 |  |  |  | 1,497,411 |  |  |  | 1,239,931 |  |  |  | 679,089 |  |  |  | 2,108,121 |  |  |  | 6,744,511 |

|  | Up to 1 month |  |  | 1 to 3 months |  |  | 3 to 12 months |  |  | 1 to 3 years |  |  | 3 to 5 years |  |  | Over 5 years |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Liabilities as of December 31, 2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Transactions in the course of payment |  |  | 681,792 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 681,792 |
Full delivery derivative transactions |  |  | 743,686 |  |  |  | 780,406 |  |  |  | 1,375,700 |  |  |  | 1,581,587 |  |  |  | 756,582 |  |  |  | 1,743,275 |  |  |  | 6,981,236 |
Financial liabilities at amortized cost |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Current accounts and other demand deposits |  |  | 13,383,232 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 13,383,232 |
Saving accounts and time deposits |  |  | 9,774,591 |  |  |  | 3,013,166 |  |  |  | 1,362,905 |  |  |  | 121,808 |  |  |  | 5,940 |  |  |  | 655 |  |  |  | 14,279,065 |
Obligations by repurchase agreements and securities lending |  |  | 219,043 |  |  |  | 52 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 219,095 |
Borrowings from financial institutions |  |  | 158,173 |  |  |  | 83,612 |  |  |  | 795,721 |  |  |  | 4,348,400 |  |  |  | — |  |  |  | — |  |  |  | 5,385,906 |
Debt financial instruments issued (all currencies) |  |  | 13,442 |  |  |  | 170,745 |  |  |  | 1,349,567 |  |  |  | 2,286,711 |  |  |  | 2,555,020 |  |  |  | 4,119,530 |  |  |  | 10,495,015 |
Other financial obligations |  |  | 343,526 |  |  |  | 21 |  |  |  | 110 |  |  |  | 45 |  |  |  | — |  |  |  | — |  |  |  | 343,702 |
Financial instruments of regulatory capital issued (subordinated bonds) |  |  | 2,869 |  |  |  | — |  |  |  | 48,017 |  |  |  | 94,649 |  |  |  | 84,952 |  |  |  | 1,135,504 |  |  |  | 1,365,991 |
Total (excluding non-delivery derivative transactions) |  |  | 25,320,354 |  |  |  | 4,048,002 |  |  |  | 4,932,020 |  |  |  | 8,433,200 |  |  |  | 3,402,494 |  |  |  | 6,998,964 |  |  |  | 53,135,034 |
Non-delivery derivative transactions |  |  | 686,308 |  |  |  | 751,720 |  |  |  | 1,595,212 |  |  |  | 1,283,629 |  |  |  | 683,109 |  |  |  | 2,161,307 |  |  |  | 7,161,285 |

204

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (3) | Market Risk, continued:

| (b) | Price Risk:

Price Risk Measurement and Limits

The Price Risk measurement and management processes are carried out in accordance with the established on the Market Risk Management Policy, by using internal metrics developed by the Bank, both for the Trading Book and for the Accrual Book (the Accrual Book includes all balance sheet items, including those in the Trading Book but in such case these are reported at an interest rate adjustment term of one day, thus not generating accrual interest rate risk). In addition, the portfolio recorded under the Fair Value Through Other Comprehensive Income (hereinafter FVOCI) is considered, which is a sub-set of the Accrual Book, which given its nature is relevant to measure it independently. In addition, the Bank reports metrics to regulatory entities according to the models defined by them.

The Bank has established internal limits for the exposures of the Trading Book. In fact, FX positions (FX delta), interest rate sensitivities generated by the derivatives and debt securities portfolios (DV01 or also referred as to rho) and the FX options volatility sensitivity (vega) are measured, reported and controlled against their limits. Limits are established on an aggregate basis but also for some specific tenor points. The use of these limits is daily monitored, controlled and reported by independent control functions to the senior management of the bank. The internal governance framework also establishes that these limits must be approved by the board and reviewed at least annually.

The Bank measures and controls the risk for the Trading Book portfolios using the Value-at-Risk (VaR). The model uses a 99% confidence level and the most recent one-year observed rates, prices and yields data.

The use of VaR within the year 2023 is illustrated below:

|  | Value-at-Risk 99% one-day confidence level |
|  | MCh$ |
Maximum |  |  | 2,982 |
Minimum |  |  | 796 |
Average |  |  | 1,456 |

Additionally, the Bank performs measuring, limiting, controlling and reporting interest rate exposures and risks for the Accrual Book using internally developed methodologies based on the differences in the amounts of assets and liabilities considering the interest rate repricing dates. Exposures are measured according to the Interest Rate Exposure or IRE metric and their corresponding risks using the Earnings-at-Risk or EaR metric. Within these metrics, Prepayment Risk is considered, which corresponds to the customer’s ability to pay, totally or partially, their debt before maturity. For this, a loan flow allocation model is generated with exposure to interest rate fluctuations, according to their prepayment behavior, finally reflecting a decrease in their average maturity term.

205

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (3) | Market Risk, continued:

| (b) | Price Risk, continued:

The use of EaR within the year 2023 is illustrated below:

|  | 12- months Earnings-at-Risk 99% confidence level 3 month closing period |
|  | MCh$ |
Maximum |  |  | 252,659 |
Minimum |  |  | 235,747 |
Average |  |  | 245,080 |

The regulatory risk measurement for the Trading Book (APRM report, from the spanish Activos Ponderados por Riesgo Mercado) is produced by utilizing guidelines provided by the Central Bank of Chile (hereinafter, “BCCh”) and the CMF. The referred methodologies estimate the potential loss that the bank may incur considering standardized fluctuations of the value of market factors such as FX rates, interest rates and volatilities that may adversely impact the value of FX spot positions, interest rate exposures, and volatility exposures, respectively. In addition, correlation factors are included to represent non-parallel changes in the yield curve.

The risk measurement for the Banking Book, according to regulatory guidelines (C40 report), as a result of interest rate fluctuations is carried out through the use of standardized methodologies provided by regulatory entities (BCCh and CMF). The report includes models for reporting interest rate gaps and standardized adverse interest rate fluctuations. In addition to this, the regulatory entity has requested banks to establish internal limits, separately for short-term and long-term balances, for these regulatory measurements.

The results effectively realized during the month for trading activities are controlled against defined loss levels and if these levels are exceeded, senior management is notified in order to evaluate potential corrective actions.

In addition to the above, the Market Risk Management Policy of Banco de Chile enforces to perform daily stress tests for the Trading Book and monthly for the Accrual Book. Additionally, the stress test for the FVOCI portfolio is included, which is reported daily. The output of the stress testing process is monitored against corresponding alert levels; in the case those triggers are breached, the senior management is notified in order to implement further actions, if necessary. In addition, the results during the month for the trading activities are controlled against defined loss levels and in case such levels are exceeded, senior management is also notified.

206

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (3) | Market Risk, continued:

| (b) | Price Risk, continued:

|  | Up to 1 month |  |  | 1 to 3 months |  |  | 3 to 12 months |  |  | 1 to 3 years |  |  | 3 to 5 years |  |  | Over 5 years |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Assets as of March 31, 2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cash and due from banks |  |  | 2,632,450 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,632,450 |
Transactions in the course of collection |  |  | 606,461 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 606,461 |
Financial assets at fair value through other comprehensive income |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Debt financial instruments |  |  | 617,155 |  |  |  | 651,413 |  |  |  | 2,719,294 |  |  |  | 631,499 |  |  |  | 217,248 |  |  |  | 233,851 |  |  |  | 5,070,460 |
Derivative financial instruments for hedging purposes |  |  | 75,016 |  |  |  | 3,708 |  |  |  | 199,173 |  |  |  | 322,759 |  |  |  | 330,341 |  |  |  | 1,027,108 |  |  |  | 1,958,105 |
Financial assets at amortized cost |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Rights by resale agreements and securities lending |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Debt financial instruments |  |  | 1,203 |  |  |  | — |  |  |  | 18,947 |  |  |  | 492,449 |  |  |  | 26,177 |  |  |  | 449,457 |  |  |  | 988,233 |
Loans and advances to Banks |  |  | 1,426,460 |  |  |  | 127,276 |  |  |  | 46,850 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,600,586 |
Loans to customers, net |  |  | 4,932,633 |  |  |  | 4,216,624 |  |  |  | 7,203,211 |  |  |  | 9,352,830 |  |  |  | 4,668,267 |  |  |  | 13,170,739 |  |  |  | 43,544,304 |
Total Assets |  |  | 10,291,378 |  |  |  | 4,999,021 |  |  |  | 10,187,475 |  |  |  | 10,799,537 |  |  |  | 5,242,033 |  |  |  | 14,881,155 |  |  |  | 56,400,599 |

|  | Up to 1 month |  |  | 1 to 3 months |  |  | 3 to 12 months |  |  | 1 to 3 years |  |  | 3 to 5 years |  |  | Over 5 years |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Assets as of December 31, 2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cash and due from banks |  |  | 2,624,888 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,624,888 |
Transactions in the course of collection |  |  | 743,379 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 743,379 |
Financial assets at fair value through other comprehensive income |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Debt financial instruments |  |  | 82,025 |  |  |  | 324,492 |  |  |  | 2,487,874 |  |  |  | 614,944 |  |  |  | 220,962 |  |  |  | 248,832 |  |  |  | 3,979,129 |
Derivative financial instruments for hedging purposes |  |  | 378 |  |  |  | 4,040 |  |  |  | 296,187 |  |  |  | 347,208 |  |  |  | 352,502 |  |  |  | 1,033,196 |  |  |  | 2,033,511 |
Financial assets at amortized cost |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Rights by resale agreements and securities lending |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Debt financial instruments |  |  | — |  |  |  | 8,816 |  |  |  | 11,222 |  |  |  | 56,159 |  |  |  | 459,884 |  |  |  | 452,991 |  |  |  | 989,072 |
Loans and advances to Banks |  |  | 1,904,368 |  |  |  | 63,569 |  |  |  | 209,047 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,176,984 |
Loans to customers, net |  |  | 5,061,294 |  |  |  | 3,188,902 |  |  |  | 7,913,635 |  |  |  | 9,165,338 |  |  |  | 4,722,852 |  |  |  | 13,044,702 |  |  |  | 43,096,723 |
Total Assets |  |  | 10,416,332 |  |  |  | 3,589,819 |  |  |  | 10,917,965 |  |  |  | 10,183,649 |  |  |  | 5,756,200 |  |  |  | 14,779,721 |  |  |  | 55,643,686 |

207

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (3) | Market Risk, continued:

| (b) | Price Risk, continued:

|  | Up to 1 month |  |  | 1 to 3 months |  |  | 3 to 12 months |  |  | 1 to 3 years |  |  | 3 to 5 years |  |  | Over 5 years |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Liabilities as of March 31, 2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Transactions in the course of payment |  |  | 508,303 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 508,303 |
Derivative Financial Instruments for hedging purposes |  |  | 70,042 |  |  |  | 5,956 |  |  |  | 201,440 |  |  |  | 344,183 |  |  |  | 338,859 |  |  |  | 1,518,845 |  |  |  | 2,479,325 |
Financial liabilities at amortized cost |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Current accounts and other demand deposits |  |  | 13,171,329 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 13,171,329 |
Saving accounts and time deposits |  |  | 10,297,354 |  |  |  | 3,417,392 |  |  |  | 1,046,019 |  |  |  | 86,517 |  |  |  | 5,610 |  |  |  | 591 |  |  |  | 14,853,483 |
Obligations by repurchase agreements and securities lending |  |  | 3,488 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,488 |
Borrowings from financial institutions |  |  | 356,242 |  |  |  | 399,574 |  |  |  | 3,511,517 |  |  |  | 1,237,800 |  |  |  | — |  |  |  | — |  |  |  | 5,505,133 |
Debt financial instruments issued (*) |  |  | 91,194 |  |  |  | 343,846 |  |  |  | 1,146,862 |  |  |  | 2,398,251 |  |  |  | 2,351,658 |  |  |  | 4,211,350 |  |  |  | 10,543,161 |
Financial instruments of regulatory capital issued (subordinated bonds) |  |  | 6,886 |  |  |  | 17,799 |  |  |  | 26,891 |  |  |  | 95,932 |  |  |  | 86,104 |  |  |  | 1,147,987 |  |  |  | 1,381,599 |
Other liabilities |  |  | 258,947 |  |  |  | 35 |  |  |  | 94 |  |  |  | 23 |  |  |  | — |  |  |  | — |  |  |  | 259,099 |
Total liabilities |  |  | 24,763,785 |  |  |  | 4,184,602 |  |  |  | 5,932,823 |  |  |  | 4,162,706 |  |  |  | 2,782,231 |  |  |  | 6,878,773 |  |  |  | 48,704,920 |

|  | Up to 1 month |  |  | 1 to 3 months |  |  | 3 to 12 months |  |  | 1 to 3 years |  |  | 3 to 5 years |  |  | Over 5 years |  |  | Total |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Liabilities as of December 31, 2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Transactions in the course of payment |  |  | 650,640 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 650,640 |
Derivative Financial Instruments for hedging purposes |  |  | 1,440 |  |  |  | 1,006 |  |  |  | 272,568 |  |  |  | 341,455 |  |  |  | 332,705 |  |  |  | 1,503,902 |  |  |  | 2,453,076 |
Financial liabilities at amortized cost |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Current accounts and other demand deposits |  |  | 13,454,288 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 13,454,288 |
Saving accounts and time deposits |  |  | 9,774,591 |  |  |  | 3,013,166 |  |  |  | 1,362,905 |  |  |  | 121,808 |  |  |  | 5,940 |  |  |  | 655 |  |  |  | 14,279,065 |
Obligations by repurchase agreements and securities lending |  |  | 7,344 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 7,344 |
Borrowings from financial institutions |  |  | 158,173 |  |  |  | 83,612 |  |  |  | 795,721 |  |  |  | 4,348,400 |  |  |  | — |  |  |  | — |  |  |  | 5,385,906 |
Debt financial instruments issued (*) |  |  | 13,443 |  |  |  | 170,745 |  |  |  | 1,349,566 |  |  |  | 2,286,711 |  |  |  | 2,555,020 |  |  |  | 4,119,530 |  |  |  | 10,495,015 |
Financial instruments of regulatory capital issued (subordinated bonds) |  |  | 2,869 |  |  |  | — |  |  |  | 48,017 |  |  |  | 94,649 |  |  |  | 84,952 |  |  |  | 1,135,504 |  |  |  | 1,365,991 |
Other liabilities |  |  | 343,526 |  |  |  | 21 |  |  |  | 110 |  |  |  | 45 |  |  |  | — |  |  |  | — |  |  |  | 343,702 |
Total liabilities |  |  | 24,406,314 |  |  |  | 3,268,550 |  |  |  | 3,828,887 |  |  |  | 7,193,068 |  |  |  | 2,978,617 |  |  |  | 6,759,591 |  |  |  | 48,435,027 |

(*) | Amounts shown here are different from those reported in the liabilities report which is part of the liquidity analysis, due to differences in the treatment of mortgage bonds issued by the Bank in both reports.

208

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

47. | Risk Management and Report, continued:

| (3) | Market Risk, continued:

| (b) | Price Risk, continued:

Price Risk Sensitivity Analysis

The Bank uses stress tests as the main sensitivity analysis tool for Price Risk. The analysis is implemented for the Trading Book, Accrual Book and the FVOCI portfolio separately. The Bank has adopted this tool as it is considered more useful than fluctuations in business as usual scenario, such as VaR or EaR, given that:

| (i) | The financial crisis show market factors fluctuations that are materially larger than those used in the VaR with 99% of confidence level or EaR with 99% of confidence level.

| (ii) | The financial crisis also show that correlations between these fluctuations are materially different from those used in the VaR computation, since a crisis precisely indicates severe disconnections between the behaviors of market factors fluctuations respect to the patterns observed under normal conditions.

| (iii) | Trading liquidity dramatically diminishes during financial distress and especially in emerging markets. Therefore, the overnight VaR number might not be representative of the loss for trading portfolios in such environment since closing exposures period may exceed one business day. This may also happen when calculating EaR, even considering three months as the closing period.

The impacts are determined by mathematical simulations of fluctuations in the values of market factors, and also, estimating the changes of the economic and /or accounting value of the financial positions.

209

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (3) | Market Risk, continued:

| (b) | Price Risk, continued:

In order to comply with IFRS 9, the following exercise was included illustrating an estimation of the impact of extreme but reasonable fluctuations of interest rates, swaps yields, FX rates and exchange volatility, which are used for valuing Trading Book, Accrual Book and the FVOCI portfolio. Given that the Bank’s portfolio includes positions denominated in nominal and real interest rates, these fluctuations must be aligned with extreme but realistic Chilean inflation changes forecasts.

For the Trading Book, the exercise is implemented by multiplying the sensitivities by the fluctuations obtained as the results of mathematical simulations over a two-week time horizon and using the maximum historical volatility, within a significant period of time, in each of the market factor present. In the case of the FVOCI portfolio a four-week time horizon is used due to liquidity constrains; Accrual Book impacts are estimated by multiplying cumulative gaps by forward interest rates fluctuations modeled over a three-month time horizon and using the maximum historical volatility of interest fluctuations but limited by maximum fluctuations and / or levels observed within a significant period of time. It is relevant to note that the methodology might ignore some portion of the interest rates convexity, since it is not captured properly when large fluctuations are modeled. In any case, given the magnitude of the changes, the methodology may be reasonable enough for the purposes and scope of the analysis.

The following table illustrates the fluctuations resulting from the main market factors in the maximum stress test exercise, or more adverse, for the Trading Book.

The directions or signs of these fluctuations are those that correspond to those that generate the most adverse impact at the aggregate level.

Average Fluctuations of Market Factors for Maximum Stress Scenario Trading Book
|  | CLP Derivatives (bps) |  |  | CLP Bonds (bps) |  |  | CLF Derivatives (bps) |  |  | CLF Bonds (bps) |  |  | USD Offshore Libor Derivatives (bps) |  |  | Spread USD On/Off Derivatives (bps) |
Less than 1 year |  |  | 51 |  |  |  | 162 |  |  |  | 79 |  |  |  | 397 |  |  |  | 7 |  |  |  | (108 | )
Greater than 1 year |  |  | 8 |  |  |  | 79 |  |  |  | 84 |  |  |  | 153 |  |  |  | 18 |  |  |  | (62 | )

bps = basis points.

210

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (3) | Market Risk, continued:

| (b) | Price Risk, continued:

The worst impact on the Bank’s Trading Book as of March 31, 2023, as a result of the simulation process described above, is as follows:

Most Adverse Stress Scenario P&L Impact
Trading Book
(MCh$)

CLP Interest Rate |  |  |  |  |  |  | (7,261 | )
Derivatives |  |  | (2,175 | ) |  |  |  |
Debt instruments |  |  | (5,086 | ) |  |  |  |
CLF Interest Rate |  |  |  |  |  |  | (11,914 | )
Derivatives |  |  | (276 | ) |  |  |  |
Debt instruments |  |  | (11,638 | ) |  |  |  |
Interest rate USD offshore |  |  |  |  |  |  | 322 |
Domestic/offshore interest rate spread USD |  |  |  |  |  |  | (2,002 | )
Banking spread |  |  |  |  |  |  | (477 | )
Total Interest rates |  |  |  |  |  |  | (21,332 | )
Total FX and FX Options |  |  |  |  |  |  | 27 |
Total |  |  |  |  |  |  | (21,305 | )

The modeled scenario would generate losses in the Trading Book for approximately Ch$21,305 million. In any case, such fluctuations would not result in material losses compared to Basic Capital or to the P&L estimate for the next 12-months.

The impact on the Accrual Book as of March 31, 2023, which does not necessarily mean a net loss(gain) but a greater(lower) net income from funds generation (resulting net interest rate generation), is illustrated below:

Most Adverse Stress Scenario 12-Month Revenue
Accrual Book
(MCh$)

Impact by Base Interest Rate shocks |  |  | (336,882 | )
Impact due to Spreads Shocks |  |  | (6,451 | )
Higher / (Lower) Net revenues |  |  | (343,333 | )

The impact on the FVOCI portfolio it is show in the followings tables. First are the main fluctuation in the market factors, due to the scenarios provided for the stress test meltdown (more adverse), for this portfolio.

211

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (3) | Market Risk, continued:

| (b) | Price Risk, continued:

The sign of the fluctuation below, correspond to the ones that generate the most adverse impact.

Average Fluctuations of Market Factors for Maximum Stress Scenario

FVOCI Portfolio

|  | CLP Bonds (bps) |  |  | CLF Bonds (bps) |  |  | USD Offshore Libor Derivatives (bps) |  |  | Spread USD On/Off Derivatives (bps) |
Less than 1 year |  |  | 242 |  |  |  | 367 |  |  |  | 8 |  |  |  | 55 |
Greater than 1 year |  |  | 116 |  |  |  | 199 |  |  |  | 48 |  |  |  | 16 |

bps = basis points

The worst impact on the Bank’s FVOCI portfolio as of March 31, 2023, as a result of the simulation process described above, is as follows:

Most Adverse Stress Scenario P&L Impact
FVOCI portfolio
(MCh$)

CLP Debt Instrument |  |  | (52,860 | )
CLF Debt Instrument |  |  | (57,561 | )
Interest rate USD offshore |  |  | (3,445 | )
Domestic/offshore interest rate spread USD |  |  | — |
Banking spread |  |  | (478 | )
Corporative spread |  |  | (5,937 | )
Total |  |  | (120,281 | )

The modeled for the FVTOCI Portfolio would generate potential impacts on equity accounts for approximately Ch$120,281 million.

The main negative impact on the Trading Book would occur as a result of an increase in debt instruments in CLF over 1 year, followed by an increase in CLP debt instruments under 1 year, while in the case of the FVTOCI portfolio the main impact comes from upward fluctuations in interest rates on debt instruments in both CLP and CLF, the latter only for instruments over 1 year. For its part, the lowest potential income in the next 12 months in the Accrual Book would occur in a scenario of a sharp decline in inflation and nominal rates.

212

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (4) | Other Information related to Financial Risks:

| a) | Libor transition project:

As a consequence of the decisions made by the United Kingdom Financial Conduct Authority (FCA) and the recommendations of the Alternative Reference Rates Committee (ARRC) made up of the Federal Reserve Board and the New York FED, from 12-31-2021 Libor rates in currencies other than US$ are no longer published, from 01-01-2022 new operations based on Libor stopped being issued and it was reported that from 06-30-2023 Libor in US$ will stop being published. As a result, it was recommended to use the US$ Libor published only in contracts in force as of 12-31-2021 up to the last date of publication of this.

Because of this, since 2020 the Bank has been enabling and implementing, in its different dimensions, the new risk-free reference rates (“RFR”) for carrying out operations in foreign currency as of 01-01-2022.

The process has been structured in 5 phases:

| ● | 1st phase
| - | Identification of the risks associated with the Libor transition process through the collection of information regarding the number of operations, amounts involved, remaining terms, types of products and course coins.
| - | Periodic exchange of information with the main global banks regarding the RFRs that were being defined as a replacement for Libor rates.
| - | Review of the documents published by the ARRC with its recommendations.
| ● | 2nd phase
| - | Preparation and presentation to the CMF in the year 2021 of the situational analysis of Banco de Chile regarding the end of Libor. This included reporting on the information research carried out in the 1st stage and the impact that the end of the Libor rate had both at the level of products and at the level of Bank areas.
| ● | 3rd phase
| - | Definition of the new RFRs to be used in the different currencies (daily SOFR, term SOFR, TONAR, SONIA, etc.)
| - | Implementation of the RFR in the Bank’s systems
| ● | 4th phase
| - | Carrying out tests of course of financial operations to review the correct accrual of the new RFR.
| - | Preparation of documentation with the RFR.
| ● | 5th phase, currently in process:
| - | Renegotiation of contracts with floating Libor rate with expiration after June 2023, in process.

213

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (4) | Other Information related to Financial Risks, continued:

| b) | FCA publication of April 03, 2023:

In November 2022, FCA announced a consultation on the possibility of continuing to publish synthetic USD LIBOR rates for 1, 3 and 6 months after the cessation of the defined LIBOR panel on June 30, 2023.

From the inquiry, on April 3, 2023 the FCA has announced that it will require the LIBOR panel to continue to publish 1, 3 and 6 month LIBOR rate adjustments using a ‘synthetic’ non-representative methodology.

Likewise, the FCA intends to cease publishing synthetic adjustments on September 30, 2024, however, it will take into account any unforeseen and material events.

| c) | Offsetting of financial assets and liabilities:

The Bank trades financial derivatives with foreign counterparties using ISDA Master Agreement (International Swaps and Derivatives Association, Inc.), under legal jurisdiction of the City of New York – USA or London – United Kingdom. Legal framework in these jurisdictions, along with documentation mentioned, it allows Banco de Chile the right to anticipate the maturity of the transaction and then, offset the net value of those transactions in case of default of counterparty. Additionally, the Bank has negotiated with these counterparties an additional annex (CSA Credit Support Annex), that includes other credit mitigating, such as entering margins on a certain amount of net value of transactions, early termination (optional or mandatory) of transactions at certain dates in the future, coupon adjustment of transaction in exchange for payment of the debtor counterpart over a certain threshold amount, etc.

Below are detail the contracts susceptible to offset:

|  | Fair Value |  |  | Negative Fair Value of contracts with right to offset |  |  | Positive Fair Value of contracts with right to offset |  |  | Financial Collateral |  |  | Net Fair Value |
|  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |  |  | March |  |  | December |
|  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |  |  | 2023 |  |  | 2022 |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Derivative financial assets |  |  | 2,811,589 |  |  |  | 2,987,106 |  |  |  | (1,365,079 | ) |  |  | (1,014,141 | ) |  |  | (990,836 | ) |  |  | (1,508,710 | ) |  |  | (258,444 | ) |  |  | (180,863 | ) |  |  | 197,230 |  |  |  | 283,392 |
Derivative financial liabilities |  |  | 3,241,226 |  |  |  | 3,324,498 |  |  |  | (1,365,079 | ) |  |  | (1,014,141 | ) |  |  | (990,836 | ) |  |  | (1,508,710 | ) |  |  | (329,347 | ) |  |  | (302,571 | ) |  |  | 555,964 |  |  |  | 499,076 |

214

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (5) | Operational risk:

One of the Bank’s objectives is to monitor, control and maintain at adequate levels, the risk of losses resulting from a lack of adequacy or a failure of processes, personnel and/or internal systems, or due to external events. This definition includes legal risk and excludes strategic and reputational risk.

Operational risk is inherent in all activities, products and systems, and cuts across the entire organization in its strategic, business and support processes. It is the responsibility of all the Bank’s collaborators to manage and control the risks generated within their scope of action, since their materialization may lead to direct or indirect financial losses.

To face this risk, the Bank has defined a Regulatory Framework and a governance structure according to the volume and complexity of its activities. The Retail Credit Risk and Global Risk Control Division administer the management of this risk, through the establishment of an Operational Risk Management. Likewise, the “Superior Committee for Operational Risk” and the “Committee for Operational Risk” supervise it.

The Operational Risk Policy defines a comprehensive management framework that considers the identification, evaluation, control, mitigation, monitoring and reporting of these risks. This comprehensive management considers the execution of a series of structured activities in the following fields of action:

| − | Fraud Management: considers the permanent analysis of information (both internal and external) to identify risk points and behavior, defining and driving mitigation actions, aiming to improve security for our customers and reduce economic losses associated with this concept.

| − | Process Assessment: considers the identification and assessment of risks and controls associated with all bank processes, constantly monitoring and determining acceptable risk levels and mitigation actions to be applied in the event of deviation from these levels.

| − | Testing of Controls: consists of evaluating the operational effectiveness of the documented controls by risk operational through effectiveness tests, allowing to verify if the controls are correctly designed and implemented to prevent or detect a material error.

| − | Event Management: Significant operational risk events, whether resulting in losses or not, are analyzed, controlled, and reported to the defined governance entities, in order to prevent them from recurring, with emphasis on proper process execution and promoting mitigating measures to ensure an adequate control environment.

| − | Loss Base Management: Its purpose is to establish processes and procedures that allow the identification, collection and treatment of operational loss records, and their proper recording in the loss base, ensuring compliance with the regulatory requirements established in the methodology for the computation of operational risk weighted assets.

| − | Profile and Risk Appetite Framework: Operational Risk management is aligned with the statements established in Bank’s Risk Appetite Framework (“RAF”). Furthermore, the Comprehensive Risk Measurement (“CRM”) exercise is carried out, whose objective is to determine the inherent risk profile of the institution, through methodologies that allow quantifying the profile in all aspects of operational risk management.

215

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (5) | Operational risk, continued:

| − | Operational Risk Capital Management: considers designing and ensuring the implementation of the measurement, reporting and control of stress testing models for operational risk, in accordance with the regulatory framework established for this area. Additionally, ensure the correct measurement and reporting of operational risk weighted assets.

| − | Supplier Management: Its purpose is to identify, manage and monitor the risks that may arise from outsourcing services to external providers. For this, the Bank has a supplier management model that considers an analysis of criticality and risk associated with the services contracted and a scheme of evaluation and monitoring with special focus on those considered relevant.

| − | Self-Assessment Matrix: Its purpose is to comply with the established in Chapter 1-13 of the Updated Compilation of Standards for the Financial Market, where the management of both the Bank and its Subsidiaries must analyze and comment on the development of its risk management. This pronouncement considers each of the matters established in the standard, taking into account additional aspects related to management. In this context, the Operational Risk Management Department has the role of coordinator and general orchestrator of the exercise, consolidating results and reporting them to the corresponding government instances.

| − | Operational Risk Assessment for Projects: The Bank is constantly working on project development, intensified in a digital transformation context, which includes the creation of new products and services, major technological implementations and operational changes in its processes. The implementation of these projects can lead to the emergence of new risks that must be properly mitigated prior to implementation, through the design of robust controls. For this, there is a methodological framework and specific tools that allow for an assessment of the different risks and controls, establish a general level of risk exposure, and determine mitigation actions in cases where necessary.

| − | Relations with external entities: It involves the coordination, preparation and delivery of information for supervisions conducted by external entities to Operational Risk.

| − | Corporate Training Plan: In order to constantly spread the culture of operational risk management throughout the corporation and promote the importance and responsibility of each employee in proper risk management, the Bank establishes an annual training plan, which takes into account the different areas of Operational Risk Management, which is developed through the use of different tools and communication methods.

216

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (5) | Operational risk, continued:

All areas previously mentioned, together with the corresponding regulatory framework and governance structure, constitute the overall management of Operational Risk. Each of the areas is based on a process of identification, evaluation and mitigation of risks, whether or not they have been realized, which can lead to the definition of action plans or indicators that allow for adequate monitoring of each risk. In this way, Banco de Chile and its Subsidiaries ensure an adequate environment for the management of operational risk.

Below is the exposure to net loss, gross loss and recoveries due to operational risk events as of March 31, 2023 and 2022:

|  | March 2023 |  |  | March 2022 |
Category |  | Lost Gross |  |  | Recoveries |  |  | Lost Net |  |  | Lost Gross |  |  | Recoveries |  |  | Lost Net |
|  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |  |  | MCh$ |
Internal fraud |  |  | 23 |  |  |  | (1 | ) |  |  | 22 |  |  |  | 9 |  |  |  | — |  |  |  | 9 |
External fraud |  |  | 5,385 |  |  |  | (1,963 | ) |  |  | 3,422 |  |  |  | 2,745 |  |  |  | (1,312 | ) |  |  | 1,433 |
Work practices and safety in the business position |  |  | 504 |  |  |  | — |  |  |  | 504 |  |  |  | 371 |  |  |  | — |  |  |  | 371 |
Customers, products and business practices |  |  | 298 |  |  |  | — |  |  |  | 298 |  |  |  | 107 |  |  |  | — |  |  |  | 107 |
Damage to physical assets |  |  | 223 |  |  |  | (1 | ) |  |  | 222 |  |  |  | 60 |  |  |  | — |  |  |  | 60 |
Business interruption and system failures |  |  | 61 |  |  |  | — |  |  |  | 61 |  |  |  | 27 |  |  |  | — |  |  |  | 27 |
Execution, delivery and process management |  |  | 751 |  |  |  | (84 | ) |  |  | 667 |  |  |  | 617 |  |  |  | (64 | ) |  |  | 553 |
Total |  |  | 7,245 |  |  |  | (2,049 | ) |  |  | 5,196 |  |  |  | 3,936 |  |  |  | (1,376 | ) |  |  | 2,560 |

Business Continuity

The Bank in the management for the compliance with the objectives related to the delivery of the service of attention to its clients, has the Management of Business Continuity, responsible for managing the constant preparation for the safeguard of the operation of the critical products and services before situations that could affect the continuity of the organization or of the country.

In addition, the Business Continuity Management defines the global and regulatory framework established in the Policy and Standard, developing a consistent Continuity Plan for the Bank and its Subsidiaries, with the aim of managing the strategy and control of business continuity in operational and technological lines, maintaining alternate operation plans, controlled and simulation tests to reduce the impact of disruptive events, in addition to providing resilience to the organization by establishing comprehensive strategies to ensure the safety of the employees, protect the Bank’s assets from catastrophic scenarios, maintain relevant documentation and carry out trainings associated with this subject.

That is why Business Continuity has methodologies and controls that contribute to the application of the integrated model within the corporation, mainly represented in the following management areas:

| − | Document Management: It consists of carrying out methodological processes of updating the documentation that supports Business Continuity in operational and technological areas, with the aim of keeping the strategy implemented in the Bank up to date and in accordance with the guidelines of Business Continuity Management (BCM).

217

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (5) | Operational risk, continued:

| − | Business Continuity Tests: It refers to annually scheduled contingency simulations that address the 5 risk scenarios defined for the Bank (Failure in Technology Infrastructure, Failure in Physical Infrastructure, Massive Absence of Personnel, Failure in Critical Supplier Service and Cybersecurity), allowing to maintain constant training and integration of critical personnel operating the payment chain, under the defined contingency procedures that support the Bank’s critical products and services.

| − | Crisis Management: Internal process of the Bank that maintains and trains the key executive roles associated with the Crisis Groups in conjunction with the main recovery strategies and structures defined in the BCM model. In this way, it constantly strengthens the different areas necessary for preparation, execution and monitoring, which will allow to face crisis events in the Bank.

| − | Critical Supplier Management: This involves the management, control and testing of Business Continuity Plans implemented by the suppliers involved in the processing of critical products and services for the Bank, associated with the risk scenarios established in direct relation to the contracted service.

| − | Alternative Site Management: It includes the continuous management and control of secondary physical locations for the Bank’s critical units, to keep the operation active in case of failure in the main work location. The objective is to protect and maintain the technological and operational functionalities of the alternative sites, to reduce recovery times in case of crisis and that activation is effective when its use is required.

| − | Relations with subsidiaries and External Entities: It consists of the permanent control, management and leveling on the compliance of Subsidiaries under the methodology and strategic lines established by the Bank in crisis environments and Business Continuity Management. It also includes the global management with the requirements of internal and external regulators.

| − | Continuous Improvement: considers the application of automation processes and the adaptation of resources used in the internal processes of the business continuity model, with the objective of improving response times in the delivery and analysis of information in contingencies, complementing the managed processes of the BCM.

| − | Training: It includes the development and implementation of processes and instances prepared under different learning methodologies to strengthen and empower employees about the continuity of business model.

The management and unification of the described areas, together with the compliance of the implemented regulations and the structured governability, constitute the Business Continuity Model of the Bank of Chile.

218

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 47. | Risk Management and Report, continued:

| (5) | Operational risk, continued:

Cybersecurity

The Engineering Management is in charge of defining, implementing and maximizing existing cyber threat protection technologies, and defining and maintaining the security architecture. The Cyber Defense Management is responsible for safeguarding information assets by proactively detecting, responding and containing threats. Likewise, this department is responsible for managing cybersecurity incidents in an assertive and timely manner, minimizing the impact and improving response times, with the aim of protecting the Bank’s operations. The Strategic Management Sub-department is responsible for defining and managing and complying with the Strategic Plan of the Cybersecurity Division, guaranteeing the effective and efficient use of resources, and imparting and controlling the Cybersecurity guidelines to suppliers. The Technological Risk Management is in charge of identifying, evaluating, treating and reporting information security, technological and cybersecurity risks, this includes the management of technological risks in the Bank’s projects. Furthermore, the Sub-Management of Cybersecurity Assurance has the responsibility of reviewing compliance with the Strategic Plan, policies, procedures and regulatory framework in terms of cybersecurity. It also develops and implements the Cybersecurity Awareness Program of the corporation. Finally, the Advanced Cyber Intelligence and Analytics Unit aims to obtain, analyze, and process timely information regarding threats, to provide cyber intelligence and facilitate decision-making within the corporation, in order to keep it safe, protected and resilient.

| 48. | Information on Regulatory Capital and Capital Adequacy Ratios:

Requirements and Capital Management:

The main objectives of the Bank’s capital management are to ensure the adequacy and quality of its capital, at a consolidated level, based on the adequate management of the risks it faces in its operations, establishing sufficient capital levels, through the definition of an internal objective, which supports both the business strategy in normal scenarios, as well as stress scenarios in the short and medium terms, thus ensuring compliance with regulatory requirements, coverage of its material risks, a solid credit classification and the generation of adequate capital clearances. During 2022, the Bank has comfortably met the required capital requirements and its internal sufficiency objectives.

As part of its Capital Management Policy, the Bank has established capital sufficiency alerts and limits approved by the Board of Directors, which are monitored by the governance structures that the Bank has established for these purposes, including the Capital Management Committee. During 2023, none of the internal alerts defined by the Bank were activated as part of the Capital Risk Appetite Framework. In this sense, the Bank manages capital based on its strategic objectives, its risk profile and its ability to generate cash flows, as well as the economic and business context in which it operates. Consequently, the Bank may modify the amount of payment of dividends to its shareholders or issue basic capital, additional tier 1 capital or tier 2 capital instruments.

Capital Requirements

In accordance with the General Banking Law, the effective equity of a bank may not be less than 8% of its risk-weighted assets (RWA), net of required provisions. Additionally, it establishes that the Basic Capital may not be less than 4.5% of its APR or 3% of its total assets, net of required provisions. Regarding Tier 1 capital, corresponding to the sum of Basic Capital and Additional Tier 1 Capital, the latter in the form of bonds with no maturity date and preferred shares, it is established that it may not be less than 6% of their RWAs, net of required provisions. Likewise, banking entities must comply, as established by current regulations or regulators, with capital buffers, such as the conservation buffer, the systemically important buffer, the countercyclical buffer and/or capital charges by Pillar 2.

Adoption of the Basel III standard

In 2019, the CMF began the regulatory process for the implementation of Basel III standards in Chile, as established in Law No. 21,130 that modernizes banking legislation. During the years 2020 and 2021, the CMF promulgated the different regulations for the adoption of the Basel III standard for local banking, which are applicable as of December 1, 2021. The regulation includes the standard methodologies to determine, among others, Credit, Operational and Market Risk-Weighted Assets, regulatory capital, leverage ratio and systemically important banks. Additionally, the regulations describe requirements and conditions applicable to: (i) the application of internal models for the calculation of certain risk-weighted assets, (ii) the issuance of additional tier 1 and tier 2 capital hybrid instruments, (iii) market disclosure requirements (Pillar 3), (iv) the principles for determining capital buffers (countercyclical and conservation), (v) additional requirements to which banks defined as systemically important and (vi) the criteria by which banks with deficiencies identified in the supervision process (Pillar 2) could be subject to additional capital requirements, among others.

219

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 48. | Information on Regulatory Capital and Capital Adequacy Ratios, continued:

Requirements and Capital Management continued:

On March 31, 2023, the CMF ratified the systemically important banking feature of Banco de Chile, confirming a system cushion of 1.25% for the entity, with the graduality defined by the regulation. Likewise, based on the conclusions of the self-assessment of capital process for the year ended December 31, 2021, the CMF did not establish additional capital charges for Pillar 2 for the Bank.

The aforementioned Basel III banking solvency standards consider a series of transitory regulations. These measures include: i) the gradual adoption of the conservation buffer, requirements for systemic banks and repeal of the requirements of article 35 of the LGB, ii) the gradual application of adjustments to regulatory capital, iii) the temporary substitution of additional tier 1 capital (AT1) for tier 2 capital instruments, that is, subordinated bonds and additional provisions and iv) gradualness to continue recognizing subordinated bonds issued by banking subsidiaries as effective equity, among other matters..

Information on regulatory capital and capital adequacy indicators is presented below:

|  | Total assets, risk-weighted assets and components of the |  | Local and Overall |  |  | Local and Overall |
|  | effective equity according to Basel III |  | consolidated |  |  | consolidated |
Item No. |  | Item description |  | March-2023 |  |  | Dec-2022 |
|  |  |  | MCh$ |  |  | MCh$ |
1 |  | Total assets according to the statement of financial position |  |  | 54,947,371 |  |  |  | 55,255,362 |
2 |  | Non-consolidated investment in subsidiaries |  |  | — |  |  |  | — |
3 |  | Assets discounted from regulatory capital, other than item 2 |  |  | 181,290 |  |  |  | 165,833 |
4 |  | Derivative credit equivalents |  |  | 1,200,184 |  |  |  | 1,276,512 |
4.1 |  | Financial derivative contracts |  |  | 2,811,589 |  |  |  | 2,987,106 |
5 |  | Contingent loans |  |  | 2,582,267 |  |  |  | 2,756,396 |
6 |  | Assets generated by the intermediation of financial instruments |  |  |  |  |  |  |  |
7 |  | = (1-2-3+4-4.1+5-6) Total assets for regulatory purposes |  |  | 55,736,943 |  |  |  | 56,135,331 |
8.a |  | Credit risk weighted assets, estimated according to the standard methodology (CRWA) |  |  | 31,430,205 |  |  |  | 30,657,020 |
8.b |  | Credit risk weighted assets, estimated according to internal methodologies (CRWA) |  |  | — |  |  |  | — |
9 |  | Market risk weighted assets (MRWA) |  |  | 1,419,037 |  |  |  | 1,365,367 |
10 |  | Operational risk weighted assets (ORWA) |  |  | 3,707,364 |  |  |  | 3,630,835 |
11.a |  | = (8.a/8.b+9+10) Risk-weighted assets (RWA) |  |  | 36,556,606 |  |  |  | 35,653,222 |
11.b |  | = (8.a/8.b+9+10) Risk-weighted assets, after application of the output floor (RWA) |  |  | 36,556,606 |  |  |  | 35,653,222 |
12 |  | Owner’s equity |  |  | 4,702,789 |  |  |  | 4,858,325 |
13 |  | Non-controlling interest |  |  | 2 |  |  |  | 2 |
14 |  | Goodwill |  |  | — |  |  |  | — |
15 |  | Excess minority investments |  |  | — |  |  |  | — |
16 |  | = (12+13-14-15) Core Tier 1 Capital (CET1) |  |  | 4,702,791 |  |  |  | 4,858,327 |
17 |  | Additional deductions to core tier 1 capital, other than item 2 |  |  | 27,607 |  |  |  | 18,940 |
18 |  | = (16-17-2) Core Tier 1 Capital (CET1) |  |  | 4,675,184 |  |  |  | 4,839,387 |
19 |  | Voluntary provisions (additional) imputed as additional Tier 1 capital (AT1) |  |  | 182,783 |  |  |  | 178,266 |
20 |  | Subordinated bonds imputed as additional tier 1 capital (AT1) |  |  | — |  |  |  | — |
21 |  | Preferred shares allocated to additional tier 1 capital (AT1) |  |  | — |  |  |  | — |
22 |  | Bonds without a fixed term of maturity imputed to additional tier 1 capital (AT1) |  |  | — |  |  |  | — |
23 |  | Discounts applied to AT1 |  |  | — |  |  |  | — |
24 |  | = (19+20+21+22-23) Additional Tier 1 Capital (AT1) |  |  | 182,783 |  |  |  | 178,266 |
25 |  | = (18+24) Tier 1 Capital |  |  | 4,857,967 |  |  |  | 5,017,653 |
26 |  | Voluntary provisions (additional) imputed as Tier 2 capital (T2) |  |  | 392,878 |  |  |  | 383,213 |
27 |  | Subordinated bonds imputed as Tier 2 capital (T2) |  |  | 978,040 |  |  |  | 972,550 |
28 |  | = (26+27) Equivalent tier 2 capital (T2) |  |  | 1,370,918 |  |  |  | 1,355,763 |
29 |  | Discounts applied to T2 |  |  | — |  |  |  | — |
30 |  | = (28-29) Tier 2 capital (T2) |  |  | 1,370,918 |  |  |  | 1,355,763 |
31 |  | = (25+30) Effective equity |  |  | 6,228,885 |  |  |  | 6,373,416 |
32 |  | Additional basic capital required for the constitution of the conservation buffer |  |  | 456,958 |  |  |  | 445,669 |
33 |  | Additional basic capital required to set up the countercyclical buffer |  |  | — |  |  |  | — |
34 |  | Additional basic capital required for banks qualified as systemic |  |  | 114,239 |  |  |  | 111,417 |
35 |  | Additional capital required for the evaluation of the adequacy of effective equity (Pillar 2) |  |  | — |  |  |  | — |

220

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 48. | Information on Regulatory Capital and Capital Adequacy Ratios, continued:

Requirements and Capital Management continued:

|  | Local and Overall consolidated |  |  | Local and Overall consolidated |
|  | March-2023 |  |  | December-2022 |
Capital Adequacy Ratios and Regulatory Compliance according to Basel III |  | % |  |  | % |
Leverage Ratio |  |  | 8.39 | % |  |  | 8.62 | %
Leverage Ratio that the bank must meet, considering the minimum requirements |  |  | 3 | % |  |  | 3 | %
CET 1 Capital Ratio |  |  | 12.79 | % |  |  | 13.57 | %
CET 1 Capital Ratio that the bank must meet, considering the minimum requirements |  |  | 4.81 | % |  |  | 4.81 | %
Capital buffer shortfall |  |  | 0 | % |  |  | 0 | %
Tier 1 Capital Ratio |  |  | 13.29 | % |  |  | 14.07 | %
Tier 1 Capital Ratio that the bank must meet, considering the minimum requirements |  |  | 6.00 | % |  |  | 6.00 | %
Total or Regulatory Capital Ratio |  |  | 17.04 | % |  |  | 17.88 | %
Total or Regulatory Capital Ratio that the bank must meet, considering the minimum requirements |  |  | 8.00 | % |  |  | 8.00 | %
Total or Regulatory Capital Ratio that the bank must meet, considering the charge for article 35 bis |  |  | 8.00 | % |  |  | 8.00 | %
Total or Regulatory Capital Ratio that the bank must meet, considering the minimum requirements, conservation buffer and countercyclical buffer |  |  | 9.25 | % |  |  | 9.25 | %
Credit rating |  |  | A |  |  |  | A |
Regulatory compliance for Capital Adequacy |  |  |  |  |  |  |  |
Additional provisions computed in Tier 2 capital (T2) in relation to CRWA |  |  | 1.25 | % |  |  | 1.25 | %
Subordinated bonds computed as Tier 2 capital (T2) in relation to CET 1 Capital |  |  | 20.80 | % |  |  | 20.02 | %
Additional Tier 1 Capital (AT1) in relation to CET 1 Capital |  |  | 3.91 | % |  |  | 3.68 | %
Voluntary (additional) provisions and subordinated bonds computed as AT1 in relation to RWAs |  |  | 0.50 | % |  |  | 0.50 | %

221

NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS, continued

| 49. | Subsequent Events:

| a) | On April 11, 2023, a placement in the local market of senior, dematerialized and bearer bonds, issued by Banco de Chile and registered in the Securities Registry of the Financial Market Commission under number 11/ 2022 was carried out.

The specific conditions of said placement were the following:

GG Series Bond, for a total amount of UF650,000, maturing on May 1, 2035 and at an average placement rate of 2.50%.

The Interim Consolidated Financial Statements of Banco de Chile for the period ended March 31, 2023 were approved by the Directors on April 27, 2023.

In Management’s opinion, there are no other significant subsequent events that affect or could affect the Interim Consolidated Financial Statements of Banco de Chile and its subsidiaries between March 31, 2023 and the date of issuance of these Interim Consolidated Financial Statements.

/s/ Héctor Hernández G. |  | /s/ Eduardo Ebensperger O.
Héctor Hernández G. |  | Eduardo Ebensperger O.
General Accounting Manager |  | Chief Executive Officer

222