Management Philosophy
1. We conduct sound, efficient management.
2. W
 e provide superior comprehensive financial services.
3. We pursue efforts to promote regionaldevelopment.
4. We seek an identity as a trustworthy bank withstrong customer appeal.

Management Vision“Vitality Creation Bank”

Our mission as a regional financial institution is
to contribute to the growth and development of
our region and customers. Maximizing all ourmanagement and staff capabilities, and creating
new value unique to the Nanto Bank Group, we arereinforcing our position as the banking group ofchoice for customers throughout our region.
Editorial policy
Compiled in pursuit of further understanding among stakeholders of the Nanto Bank
Group’s strategies for creating sustainable value in the medium-to-long term, thisIntegrated Report was edited in compliance with the IFRS Foundation’s “InternationalIntegrated Reporting Framework.”
The specific purpose of its creation is to illuminate the path to achievement of ourManagement Plan, “Nanto Mission and Objectives for the Next 10 Years.”
For detailed financial information, please refer to the separately published “DisclosureSupplement.”

Scope of coverageThe Report presents key information concerning the Nanto Bank Group’smanagement strategies, business model, business conditions, valued stakeholders,primary risks and opportunities, performance and outlook, and governance.

Covered period
April 1, 2022 ~ March 31, 2023

Date issued
July 2023

Precautions concerning future predictions
This report contains forecasts and statements concerning the future prospects forthe Nanto Bank Group’s business strategies and financial condition. These forecasts
and statements involve risks and uncertainties stemming from their dependence on
future events. Please be aware that the actual results may differ materially from thoseforeseen by the Nanto Bank Group.

About Nanto Bank

Our Shared Vision

Developing Human
Value Creation by theGovernance Supporting Our Consolidated Financial
Resources for Value Creation Group’s Human Resources Proactive Human ResourcesStatements

Basis for creationand presentation

CONTENTS
About Nanto Bank

Stakeholder Voice

President’s Message
Progress under the Management PlanSE

The Group’s Materialities
Value Creation Process

121416

G

Cultivating “Unconventional” Human Resources
Roundtable Discussion with the Outside Directors

4447

Furthering Sophisticated Market Management

Corporate Governance

1822

Value Creation by the Group’s Human Resources reparing for Increasingly Varied andP
Complex Risks
Reinforcing Risk Management

 ultivating a Healthy Corporate Culture withCParticipation of Diverse Human Resources

48545660

Corporate Governance
Executive Officers

Stakeholder Engagement
Overview of the Nanto Bank Group ealizing Sustainable Growth of Our
R
Regional Economy
Enhancement of Customers’ Corporate Value
Stakeholder Voice

Enhancement of Customers’ Corporate Value
Regional Business Creation

40

Governance Supporting Our Proactive Human Resources

Developing Human Resources for Value Creation

Support for Customers’ Asset Formation38

 esponses to the Effects of Accelerating
R
Climate Change
Initiatives Addressing Climate Change Issues

Nara Prefecture’s Potential and Issues to Be Addressed

S

Realizing a Convenient, Prosperous Society
Ensuring Greater Convenience

Our Shared Vision

S34

Regional Business Creation

24
10

Information Highlights

26

Consolidated Financial Statements

2830
32

Consolidated Financial Statements
Independent Auditors’ Report
Capital Management

62
101
107

Compiling the Nanto Report
Icons representing the eight categories of content advocated by the IFRS Foundation’s “International Integrated Reporting Framework”
have been employed to further clarify understanding of the Nanto Bank Group’s corporate culture.
Organizational overview and external environment

Risks and opportunities

Outlook

Governance

Strategies and resources allocation

Basis for creation and presentation

What is the nature of the operating environment, andhow is the Bank organized to respond?

How does the governance structure ensure short-,
medium- and long-term value creation?

Business model

What is the business model, and how resilient is it?

The real risks and opportunities affecting our ability tocreate value in the short, medium and long term, andways of dealing with them.

What are our goals, and how do we plan to reach them?

What are the challenges and uncertainties for executing
strategies, and how might they impact the Bank’sbusiness model and future performance?

How were the contents of the Report quantified andevaluated, and how were they selected?

Performance

To what extent is the Bank achieving its strategic
objectives, and what is the effect on capital?

Nanto Bank Profile (as of March 31, 2023)
Established:
Headquarters:
Capitalization:

June 1, 1934
16 Hashimoto-cho, Nara, Japan
¥37,924.15 million

Nanto Bank Co., Ltd. was established on June 1, 1934 through amerger of Sixty-eight Bank Co., Ltd., Yoshino Bank Co., Ltd., Yagi
Bank Co., Ltd. and Gose Bank Co., Ltd.
Today, the Bank and its Group offer comprehensive financialservices, including leasing, trusts, securities and consulting, inaddition to the banking business (deposits, loans, exchange, etc.),with Nara prefecture and the surrounding region as its primarybase of operations.

Nanto Report 2023, the integrated report of Nanto Bank1