IBERSOL | Integrated Management Report 2022

Consolidated Financial Statements • Representation on the Executive Board of Directors or equivalent governing body; • Participation in policy-making processes, including participation in decisions about dividends or other distributions; • Existence of material transactions between the Group and the investee; • Exchange of management personnel; and • Providing essential technical information. 2.1.5.3. Business activities concentration Assets and liabilities are valued at their book value, with no impact on results when recording concentration transactions with entities under the Group’s control. 2.1.6. Presentation currency and transactions in foreign currency 2.1.6.1. Presentation currency The Financial Statements of each of the Group’s entities are prepared using the currency of the economic environment in which the entity operates (“functional currency”). The consolidated Financial Statements are presented in Euros, which is the Ibersol Group’s functional and presentation currency. The foreign currency exchange rates used to convert transactions and balances expressed in Kwanzas at 31 December 2022 and 2021 were respectively: Dec/21 Euro exchange rates (x foreign currency per 1 Euro) Rate on December, 31 2021 Average interest rate year 2021 Kwanza de Angola (AOA) 635,728 705,219 Dec/22 Euro exchange rates (x foreign currency per 1 Euro) Rate on December, 31 2022 Average interest rate year 2022 Kwanza de Angola (AOA) 537,634 484,262 2.1.6.2. Foreign currency transactions Exchange differences arising on the settlement of monetary items or on the translation of monetary items at rates different from those at which they were translated on initial recognition or in previous financial statements are recognized in profit or loss for the 390