ASX Release 8 May 2023 Pillar 3 Report as at 31 March 2023 Westpac Banking Corporation (“Westpac”) today provides the attached Pillar 3 Report (March 2023). For further information: Hayden Cooper Justin McCarthy Group Head of Media Relations General Manager, Investor Relations 0402 393 619 0422 800 321 This document has been authorised for release by Tim Hartin, Company Secretary. Level 18, 275 Kent Street Sydney, NSW, 2000

PILLAR 3 REPORT March 2023 Incorporating the requirements of APS330 Westpac Banking Corporation ABN 33 007 457 141

Pillar 3 report Table of contents 2 | Westpac Group March 2023 Pillar 3 report Structure of Pillar 3 report Executive summary 3 Introduction 7 Risk appetite and risk types 8 Controlling and managing risk 9 Group structure 16 Capital overview 18 Leverage ratio 23 Credit risk management 25 Credit risk exposures 35 Credit risk mitigation 60 Counterparty credit risk 62 Securitisation 65 Market risk 75 Interest rate risk in the banking book 79 Operational risk 81 Equity risk 83 Funding and liquidity risk management 85 Liquidity coverage ratio 86 Net stable funding ratio 87 Appendices Appendix I – Regulatory capital reconciliation 89 Appendix II – Entities included in regulatory consolidation 96 Appendix III – Level 3 entities’ assets and liabilities 99 Appendix IV – Regulatory expected loss 100 Appendix V – APS330 quantitative requirements 101 Glossary 104 Disclosure regarding forward-looking statements 110 In this report references to ‘Westpac’, ‘Westpac Group’, ‘the Group’, ‘we’, ‘us’ and ‘our’ are to Westpac Banking Corporation and its controlled entities (unless the context indicates otherwise). In this report, unless otherwise stated or the context otherwise requires, references to '$', 'AUD' or 'A$' are to Australian dollars. Any discrepancies between totals and sums of components in tables contained in this report are due to rounding. In this report, unless otherwise stated, disclosures reflect the Australian Prudential Regulation Authority’s (APRA) implementation of Basel III. Information contained in or accessible through the websites mentioned in this report does not form part of this report unless we specifically state that it is incorporated by reference and forms part of this report. All references in this report to websites are inactive textual references and are for information only.

Pillar 3 report Executive summary Westpac Group March 2023 Pillar 3 report | 3 Key capital ratios $m 31 March 2023 30 September 2022 31 March 2022 Level 2 Regulatory capital structure Common equity Tier 1 capital after deductions $m 55,644 53,943 52,126 Risk weighted assets $m 452,946 477,620 459,956 Common equity Tier 1 capital ratio % 12.28 11.29 11.33 Additional Tier 1 capital ratio % 2.20 2.10 2.08 Tier 1 capital ratio % 14.48 13.39 13.41 Tier 2 capital % 5.27 5.01 4.30 Total regulatory capital ratio % 19.75 18.40 17.71 APRA leverage ratio % 5.46 5.61 5.60 Level 1 Regulatory capital structure Common equity Tier 1 capital after deductions $m 52,021 50,722 48,684 Risk weighted assets $m 416,254 447,010 433,643 Level 1 Common equity Tier 1 capital ratio % 12.50 11.35 11.23 Australian Prudential Regulation Authority’ (APRA) revised capital framework1 APRA’s revised capital framework (Basel III) became effective on 1 January 2023 and included updated prudential standards for capital adequacy and credit risk capital. The objectives of the revised capital framework are to provide flexibility for banks to operate in all environments including in times of stress, enhance risk sensitivity and improve comparability including with international standards. Revisions include: Capital requirements: Total CET1 Requirement for domestic systemically important banks (D-SIBs) (including Westpac), is 10.25%1 . This comprises: Minimum CET1 of 4.5%; Capital conservation buffer (CCB) of 4.75%; and Countercyclical capital buffer of 1.0%. Calculation of Credit RWA: Several changes with the most significant including: Asset classifications used to determine RWA; Greater use of internal modelling within property finance and mortgages which reduced risk weightings; Higher capital requirements for higher risk segments such as interest only and investor mortgages; Revised credit conversion factors (CCFs) for the calculation of off-balance sheet exposures which has reduced exposure at default. CCFs are percentage values used to convert an off-balance sheet exposure into an on-balance sheet equivalent; and New Zealand RWA largely determined by the Reserve Bank of New Zealand (RBNZ) requirements which increased RWA compared to prior periods. Introduction of a capital floor which limits the capital benefit available to advanced banks to no more than 72.5% of the RWA outcomes available under the standardised approach; and Introduction of a minimum leverage ratio of 3.5% and amendments of the leverage exposure calculation. In addition, APRA stated that it expects D-SIBs, including Westpac, to operate with a CET1 capital ratio above 11% in normal operating conditions. Westpac’s Board has determined that Westpac will target a CET1 operating capital range of between 11.0% and 11.5%, in normal operating conditions. These revisions are reflected in the disclosed capital ratios at 31 March 2023. Prior periods have not been restated with capital reported under APRA’s, then applicable, capital framework. 1 Noting that APRA may apply higher CET1 requirements for an individual ADI.

Pillar 3 report Executive summary 4 | Westpac Group March 2023 Pillar 3 report CET1 capital ratio movement for First Half 2023 (basis points) Westpac’s Level 2 CET1 capital ratio was 12.28% at 31 March 2023, 99 basis points higher than 30 September 2022. Key movements included: First Half 2023 net profit: 88 basis points increase; Payment of the 2022 final dividend net of the dividend reinvestment plan (DRP): 45 basis points reduction; APRA’s revised capital framework: 62 basis points addition; Other RWA: 7 basis points increase with a reduction in Interest Rate Risk in the Banking Book (IRRBB) RWA more than offsetting an increase in market RWA; Capital deductions and other capital movements: reduced the ratio by 16 basis points. The main drivers were: Higher deduction for deferred tax assets, 7 basis points decrease; Higher deductions for capitalised software and expenditure, 10 basis points decrease; and Other capital deductions, 1 basis point increase; Foreign currency impacts added 3 basis points1 . 1 The net profit and capital deductions outlined above include the divestment of Advance Asset Management Limited of 8 basis points. Westpac’s Level 1 CET1 capital ratio was 12.50% at 31 March 2023, 115 basis points higher than 30 September 2022 with movements in line with Level 2 and a slightly higher impact from the revised capital framework as Level 1 excludes New Zealand. Risk Weighted Assets (RWA) $m 31 March 2023 30 September 2022 31 March 2022 Risk weighted assets at Level 2 Credit risk 340,558 362,098 359,673 Market risk 15,168 9,290 9,596 Operational risk 56,900 59,063 57,875 Interest rate risk in the banking book 34,748 42,782 27,710 Other 5,572 4,387 5,102 Total RWA 452,946 477,620 459,956 Total Exposure at Default 1,187,904 1,214,041 1,183,812 Total RWA decreased by 5.2% to $452.9 billion from both lower credit and non-credit RWA. Credit RWA decreased by $21.5 billion. Key movements included: Implementation of the revised capital framework reduced credit RWA by $23.7 billion. Key drivers were: Property Finance: Internal modelling has reduced the risk weight of property finance from 85% to 61%. These exposures were formerly calculated using the IRB slotting approach; 1 Reflecting the net impact of movements in the foreign currency translation reserve and RWA.

Pillar 3 report Executive summary Westpac Group March 2023 Pillar 3 report | 5 Mortgages: Revisions to mortgage models reduced RWA, although additional capital was required for higher risk segments, including standardised risk weights for some exposures. Overall, this change resulted in a reduction in the mortgage risk weight by 110 basis points to 23.9%; and Off-balance sheet exposures: EAD has reduced by $40.4 billion mainly related to changes in CCFs for non- retail exposures. A $1.0 billion benefit from improved credit quality in corporate and property finance exposures which more than offset higher early cycle delinquencies in consumer portfolios; A $2.4 billion decrease from counterparty credit risk and mark-to-market related credit risk primarily due to decreases in the mark-to-market value of derivatives from changes in underlying foreign currency rates; A $3.6 billion increase from higher lending across residential mortgages, specialised lending and corporates; and A $2.0 billion increase from foreign currency translation impacts, predominantly the depreciation of the A$ against the NZ$. Non-credit RWA were $3.1 billion lower. Key movements included: IRRBB RWA: $8.0 billion decrease due to a lower regulatory embedded loss. This occurred as the spread between the average rate on capital hedges and market rates have narrowed; Operational RWA: $2.2 billion decrease from APRA’s revised annual Standardised Measurement Approach (SMA)1 . This was mainly driven by lower operational losses; and Market RWA: $5.9 billion increase from a combination of market risk exposure changes and higher market volatility. Exposure at Default Exposure at default (EAD) decreased $26.1 billion over the half. Key movements include: A $40.4 billion decrease from the implementation of the revised capital framework, largely driven by lower credit conversion factors applied to non-retail, non-market off balance sheet exposures; A $8.5 billion decrease in derivative exposures; A $15.0 billion increase in lending across Corporate, Residential Mortgages, Specialised Lending, Sovereign, and Securitisation asset classes; and A $7.6 billion increase from foreign currency translation impacts. Additional Tier 1 and Tier 2 capital movements for First Half 2023 The redemption of an A$0.25 billion Tier 2 capital note during the half decreased the total regulatory capital ratio by 6 basis points. There were no Additional Tier 1 or Tier 2 capital instruments issued. On 2 December 2021, APRA announced a requirement for D-SIBs, including Westpac, to increase total capital requirements by 4.5 percentage points of RWA under its capital adequacy framework to be met by 1 January 2026. The increase in total capital is expected to be met through additional Tier 2 capital. Leverage Ratio1 The leverage ratio represents the amount of Tier 1 capital relative to exposure2 . At 31 March 2023, Westpac’s leverage ratio was 5.46%, down 15 basis points from 30 September 2022 mostly due to the increase in total exposures under the revised capital framework which was partly offset by higher Tier 1 capital. 1 Westpac adopted the SMA to calculate operational risk capital from 1 January 2022. Under the revised standard operational risk is calculated annually based on annual audited financial statements. 2 As defined under Attachment D of APS110: Capital Adequacy.

Pillar 3 report Executive summary 6 | Westpac Group March 2023 Pillar 3 report Liquidity Coverage Ratio (LCR) Westpac’s average LCR for the quarter ending 31 March 2023 was 135% (31 December 2022: 139%). The decrease in the ratio was mainly driven by an increase in holdings of liquid assets partially offset by an increase in net cash outflows. Net Stable Funding Ratio (NSFR) Westpac had an NSFR of 119% as at 31 March 2023 (31 December 2022: 122%). NSFR is calculated as the total available stable funding divided by the total required stable funding. The decrease in the NSFR over the quarter was mainly due to APRA’s capital framework changes.

Pillar 3 report Introduction Westpac Group March 2023 Pillar 3 report | 7 Westpac Banking Corporation is an Authorised Deposit-taking Institution (ADI) subject to regulation by APRA. APRA has accredited Westpac to apply advanced models permitted by the Basel III global capital adequacy regime to the measurement of its regulatory capital requirements. Westpac uses the Advanced Internal Ratings-Based approach (Advanced IRB) for credit risk and the Standardised Measurement Approach (SMA) for operational risk. In accordance with APS330 Public Disclosure, financial institutions that have received the Advanced IRB accreditation, such as Westpac, are required to disclose prudential information about their risk management practices on a semi-annual basis. A subset of this information must be disclosed quarterly. This report describes Westpac’s risk management practices and presents the prudential assessment of Westpac’s capital adequacy as at 31 March 2023. In addition to this report, the regulatory disclosures section of the Westpac website1 contains the reporting requirements for: Capital instruments under Attachment B of APS330; and The identification of potential Global-Systemically Important Banks (G-SIB) under Attachment H of APS330 (disclosed annually). Capital instruments disclosures are updated when: A new capital instrument is issued that will form part of regulatory capital; or A capital instrument is redeemed, converted into CET1 capital, written off, or its terms and conditions are changed. 1 http://www.westpac.com.au/about-westpac/investor-centre/financial-information/regulatory-disclosures/

Pillar 3 Report Risk appetite and risk types 8 | Westpac Group March 2023 Pillar 3 report Westpac’s appetite for risk is informed by our strategic objectives and business plans, regulatory rules and ratios, and the potential for adverse outcomes that may result in material impacts on our customers, our staff, our reputation, our regulatory relationships and/or our financial position including the potential for capital and liquidity ratios to fall below target levels in stressed scenarios. Westpac distinguishes between different types of risk and takes an integrated approach toward identifying, assessing, and managing risks. The annual review of Westpac’s Risk Management Framework, which includes the Risk Management Strategy and Board Risk Appetite Statement, together with the establishment and monitoring of key controls through supporting frameworks and policies all play vital roles. Overview of key risk types risk culture – the risk that our culture does not promote and reinforce behavioural expectations or structures to identify, understand, discuss and act on risks. Ineffective risk management could lead to poor risk awareness, risk-taking outside of risk appetite that is tolerated and a culture where key learnings are not integrated into Group-wide customer outcomes and impeding continuous improvement; strategic risk – the risk that Westpac makes inappropriate strategic choices, does not implement its strategies successfully, or does not respond effectively to changes in the environment; capital adequacy risk – the risk that Westpac has an inadequate level or composition of capital to support its normal business activities and to meet its regulatory capital requirements under both normal or stressed operating environments; funding and liquidity risk – the risk that Westpac cannot meet its payment obligations or that it does not have the appropriate amount, tenor and composition of funding and liquidity to support its assets; credit risk – the risk of financial loss where a customer or counterparty fails to meet their financial obligations to Westpac; market risk – the risk of an adverse impact to Westpac’s financial positions as a result of a change in financial market factors, such as foreign exchange rates, interest rates, commodity prices and equity prices. This includes interest rate risk in the banking book, which is the risk of loss in earnings or economic value in the banking book as a consequence of movements in interest rates; operational risk – the risk of loss resulting from inadequate or failed internal processes, people and systems or from external events. The definition excludes strategic risk. While legal risk and regulatory risk arise through inadequate or failed processes, people, and systems or from external events, these are reflected primarily in compliance and conduct risk; cyber risk – the risk that Westpac or its third parties’ data or technology are inappropriately accessed, manipulated, or damaged from cyber threats or vulnerabilities; compliance and conduct risk – the risk of failing to abide by compliance obligations required of us or otherwise failing to have behaviours and practices that deliver suitable, fair, and clear outcomes for our customers and that support market integrity; reputational and sustainability risk − the risk of failing to recognise or address environmental, social or governance (ESG) issues and the risk that an action, inaction, transaction, investment, or event will reduce trust in Westpac’s integrity and competence by clients, counterparties, investors, regulators, employees, or the public; and financial crime risk – the risk that Westpac fails to prevent financial crime and comply with applicable global financial crime regulatory obligations.

Pillar 3 report Controlling and managing risk Westpac Group March 2023 Pillar 3 report | 9 We have adopted and continue to embed a Three Lines of Defence model which enables all our people to understand their own roles and responsibilities in the active management of risk. We have put in place a risk management framework that seeks to: achieve Westpac’s purpose of creating better futures together; deliver fair outcomes for our customers and counterparties that support market integrity; protect Westpac’s depositors and investors by maintaining a balance sheet with sound credit quality and buffers over regulatory minimums; manage risk within risk appetite; are resilient to operational risks and disruptions, and manage the risks arising from service providers; seeks to ensure appropriate reward for risk we take aligned to our purpose, values and behaviours; and meet our regulatory and statutory obligations. The Board Risk Appetite Statement and Group Risk Management Framework and Strategy are reviewed annually by the Board Risk Committee. This review includes consideration of whether the framework continues to be sound, and that Westpac is operating with due regards to risk appetite. The Board Risk Appetite Statement and Group Risk Management Framework and Strategy were approved by the Board during the 12 months to 31 March 2023. Risk management governance structure as at 31 March 2023 Board approves the overall risk management framework for managing financial and non-financial risks, as well as the Group Risk Management Framework, Group Risk Management Strategy and Board Risk Appetite Statement, and monitors the effectiveness of risk management by Westpac; forms a view of Westpac’s risk culture and oversees the identification of, and steps taken, to address any changes to risk culture; and makes its annual declaration to APRA on risk management under APRA prudential standard CPS 220 Risk Management. Board Risk Committee (BRiskC) Assists the Board to: consider and approve Westpac’s overall risk framework for managing financial and non-financial risks; oversee risk culture across Westpac; oversee Westpac’s risk profile and set risk appetite for material risks; review and approve the Group Risk Management Framework, Group Risk Management Strategy and Board Risk Appetite Statement; make its annual declaration to APRA on risk management under APRA prudential standard CPS 220 Risk Management. The Committee is also responsible for: reviewing and monitoring Westpac’s risk profile and controls for consistency with the Board Risk Appetite Statement; reviewing and approving other risk management frameworks and monitoring performance under those frameworks (as appropriate) and reviewing and approving key supporting policies; overseeing and approving the Group's Recovery Plan; reviewing and approving the limits and conditions that apply to the delegated credit risk and market risk approval authorities; monitoring changes anticipated for the economic and business environment including consideration of emerging risks and other factors considered relevant to our risk profile and risk appetite; reviewing and where appropriate approving risks beyond the approval discretion provided to management; and overseeing material legal and regulatory change relevant to Westpac and the management of material litigation and regulatory investigations and associated remediation activities.

Pillar 3 report Controlling and managing risk 10 | Westpac Group March 2023 Pillar 3 report Risk management governance structure (continued) From the perspective of specific types of risk, the BRiskC’s role includes: credit risk – reviewing and approving the Group Credit Risk Management Framework, Credit Risk Management Strategy, Credit Risk Appetite Statement and material policies and limits supporting the Group Credit Risk Management Framework, approving credit provisioning levels, and monitoring the risk profile, performance, and management of our credit portfolio; funding and liquidity risk – reviewing and approving the Group Liquidity Risk Management Framework and key policies and limits supporting that framework, including our annual funding strategy, recovery and resolution plans, liquidity targets and limits, and monitoring the liquidity position and requirements; capital adequacy risk – reviewing and approving the Group Capital Adequacy Risk Management Framework and key policies and limits supporting that framework, overseeing and approving the Internal Capital Adequacy Assessment Process (ICAAP) and in doing so, reviewing and recommending target capital ranges for Board approval (where appropriate) and reviewing and monitoring capital levels for consistency with the Board Risk Appetite Statement; market risk – reviewing and approving the Group Market Risk Management Framework and key policies and limits supporting that framework, and reviewing Westpac’s trading and non-trading market risk profiles and their respective exposure against limits; operational risk – reviewing and approving the Group Operational Risk Management Framework and key policies supporting that framework, and monitoring the performance of operational risk management and controls; cyber risk – reviewing and approving the Group Cyber Risk Management Framework and key policies supporting that framework, and monitoring Westpac’s cyber risk management and controls; financial crime risk – reviewing and approving the Group Financial Crime Risk Management Framework and key supporting policies, and monitoring Westpac’s financial crime risk profile and controls; compliance and conduct risk – reviewing and approving the Group Compliance and Conduct Risk Management Framework and key supporting policies and reviewing and monitoring Westpac's compliance risk performance and controls. risk culture – reviewing and approving the Group Risk Culture Framework, monitoring the associated measurement and management of this risk, forming a view on Westpac’s risk culture and the extent to which it supports our ability to operate consistently within the Group Risk Management Framework and Board Risk Appetite Statement, and overseeing the identification of, and steps taken to address, any desirable changes to risk culture; and reputational and sustainability risk – reviewing and approving the Group Reputation and Sustainability Risk Management Frameworks and monitoring the associated management of these risks. The Board Risk Committee also: reviews Westpac’s Group stress testing results, monitors management response and provides recommendations for future scenarios; provides relevant periodic assurances and reports (as appropriate) to the Board Audit Committee; refers or recommends to the Board and any other Board Committees (as appropriate) any matters that have come to the attention of the Board Risk Committee that are relevant for the Board or the respective Board Committee; and in its capacity as the Westpac Group’s US Risk Committee, oversees the key risks, risk management framework and policies of Westpac’s US operations.

Pillar 3 report Controlling and managing risk Westpac Group March 2023 Pillar 3 report | 11 Risk management governance structure (continued) Board Committees with a Risk Focus Board Audit Committee (BAC) Assists the Board by overseeing the: integrity of financial statements and financial reporting systems of Westpac and its related bodies corporate; external audit engagement, including the external auditor’s qualifications, performance, independence and fees; performance of the internal audit function; and integrity of the Group’s corporate reporting including Westpac’s financial reporting and compliance with prudential regulatory reporting and professional accounting requirements. Board Remuneration Committee (BRemC) Assists the Board by reviewing and recommending: the remuneration framework as articulated in the Group Remuneration Policy; remuneration arrangements and variable remuneration outcomes and adjustments in accordance with the Group Remuneration Policy for the CEO, Group Executives, any other employees who are accountable persons under the Banking Executive Accountability Regime, any other person specified by APRA and any other person the Board determines; the remuneration arrangements and outcomes of employees of the Westpac Group in accordance with the Group Remuneration Policy; corporate goals and objectives relevant to the remuneration of the CEO; and the design and terms of any equity-based plans including plan rules and any applicable performance hurdles. Executive Team Westpac Executive Team (ET) executes the Board-approved strategy; delivers Westpac’s various strategic and performance goals within the approved risk appetite; and endorse climate change and human rights position statements for approval by the Board. All other position statements on sustainability issues are approved by the CEO. Executive risk committees Westpac Group Executive Risk Committee (RISKCO) informs the CEO, Chief Risk Officer and other accountable individuals in making risk-related decisions in respect of the Group; informs attendees in making material decisions in their area of responsibility, with due consideration of Westpac’s risk profile and risk culture; reviews and provides input on Westpac’s Risk Management Framework and Risk Management Strategy for approval by the Board; oversees the implementation and performance of the Risk Management Framework and the Risk Management Strategy as well as required controls and actions; reviews and monitors risk class risk management frameworks and key supporting policies, as required; reviews and provides input on the Board Risk Appetite Statement for approval by the Board, oversees the implementation of the Board Risk Appetite Statement and monitors Westpac’s risk profile against its risk appetite measures and thresholds; monitors the Group’s risk culture, its alignment to risk appetite and related actions; analyses emerging risks and oversees the adequacy of Westpac’s response; and reviews outcomes of, annual stress testing, material risk models and risk measurement methodologies, including impacts on capital adequacy and the Group’s Recovery Plan.

Pillar 3 report Controlling and managing risk 12 | Westpac Group March 2023 Pillar 3 report Risk management governance structure (continued) Westpac Group Asset & Liability Committee (ALCO) facilitates the optimisation of funding and liquidity risk-reward across Westpac; reviews the level and quality of capital to ensure that it is commensurate with Westpac’s risk profile, business strategy and risk appetite; oversees the Liquidity Risk Management Framework, Capital Adequacy Risk Management Framework and key supporting policies; oversees the funding and liquidity risk profile and balance sheet risk profile; and identifies emerging funding and liquidity risks and oversees actions to respond as appropriate. Westpac Group Credit Risk Committee (CREDCO) reviews and provides input on the Credit Risk Management Framework, Credit Risk Management Strategy, Credit Risk Appetite Statement, and key supporting policies and limits; oversees Westpac’s credit risk profile; reviews reporting from the Climate Change Financial Risk Committee, which is chaired by the Group Chief Credit Officer and identifies and manages the potential impact on credit exposures from climate-related transition and physical risks; and identifies emerging credit risks and facilitates strategic and business developments. Westpac Group Market Risk Committee (MARCO) reviews and provides input on the Market Risk Management Framework and key market risk management policies; reviews and provides input on policies and limits for managing traded and non-traded market risk; and monitors Westpac’s market risk profile, appetite and exposures. Westpac Group Operational Risk, Compliance and Resilience Committee (ORCR) reviews and provides input on the Operational Risk Management Framework, the Cyber Risk Management Framework and the Compliance and Conduct Risk Management Framework, and key supporting policies; oversees Westpac’s operational risk, cyber risk, and conduct and compliance risk profiles; and analyses emerging operational, cyber, conduct and compliance risks.

Pillar 3 report Controlling and managing risk Westpac Group March 2023 Pillar 3 report | 13 Risk management governance structure (continued) Westpac Group Remuneration Oversight Committee (ROC) supports the CEO, BRemC and the Board by reviewing and approving aspects of the remuneration frameworks; assists the BRemC and the Board in fulfilling their responsibility to oversee the design, operation and monitoring of the remuneration framework of Westpac; recommends to the CEO for recommendation to the BRemC remuneration arrangements including remuneration review and remuneration adjustment outcomes for persons specified by APRA and any other person the Board determines below the Group Executive level; and recommends to the CEO for recommendation to the BRemC the criteria and rationale for determining the total quantum of Westpac’s variable reward pool. Model Risk Committee reviews and recommends the Group Model Risk Policy and associated model risk sub-policies for approval; reviews and monitors model risk and material models across Westpac; and reviews and monitors design quality and operating effectiveness of material models. Stress Testing Committee reviews and provides input on the Group Capital Stress Testing Policy; reviews and monitors the effectiveness of Westpac’s Group stress-testing framework; oversees the generation and selection of Group stress testing scenarios; and considers emerging risks with respect to Group stress testing scenarios and oversees the adequacy of the response. Westpac Group Financial Crime Risk Committee reviews and provides input on the Group’s Financial Crime risk appetite measures for inclusion in the Board Risk Appetite Statement; reviews and provides input on the Financial Crime Risk Management Framework, key supporting policies, programs and standards; reviews regular reporting on Westpac’s aggregate Financial Crime risk exposures, regulatory matters and measures; and analyses emerging financial crime risks developments and implications of changes in the regulatory and external environment.

Pillar 3 report Controlling and managing risk 14 | Westpac Group March 2023 Pillar 3 report Risk management governance structure (continued) Risk Function Risk Function promotes a strong risk culture; owns the design and content of the Risk Management Framework; defines the structure and coverage of risk appetite; defines the annual Risk Management Strategy to execute the Risk Management Framework ensuring that the management of risks is in alignment with risk appetite and business strategy; establishes risk policies, procedures and limits; measures and reports on risk levels; and provides oversight of and direction on the management of risks, including Compliance and Conduct and Financial Crime risks. Independent internal review Group Audit provides independent assurance to the Board, relevant Board Committees and Senior Management on the adequacy and effectiveness of the Group’s governance, risk management and internal controls. Divisional business units and functions Business units and functions responsible for identifying, evaluating and managing the risks that they originate within approved risk appetite and policies; and establish and maintain appropriate governance structures, controls, resources and self-assessment processes, including issue identification, recording and escalation procedures.

Pillar 3 report Controlling and managing risk Westpac Group March 2023 Pillar 3 report | 15 Roles and responsibilities We have adopted and continue to embed a Three Lines of Defence model which enables all our people to understand their own roles and responsibilities in the active management of risk. First Line First Line under the Three Lines of Defence Model refers to all Divisions and Functions excluding the Risk Division and Group Audit. The First Line proactively identifies, evaluates, owns, monitors, manages and controls the existing and emerging risks in their business. It manages business activities within approved risk appetite and policies. In managing its risk, the First Line establishes and maintains appropriate governance structures, controls resources and self-assessment processes, including issue identification, recording and escalation procedures. Second Line Second Line under the Three Lines of Defence Model refers to the Risk Division. The Second Line is an independent function that develops risk management frameworks, defines guardrails, provides objective review and challenge regarding the effectiveness of risk management within the First Line business, and executes specific risk management activities where functional independence and/or specific risk capability is required. Its approach is risk-based and proportionate to First Line activities. Third Line Group Audit is the Third Line assurance function that provides the Board and Senior Executive with independent and objective evaluation of the adequacy and effectiveness of the Group’s governance, risk management and internal controls.

Pillar 3 report Group structure 16 | Westpac Group March 2023 Pillar 3 report APRA applies a tiered approach to measuring Westpac’s capital adequacy1 by assessing financial strength at three levels: Level 1, comprising Westpac Banking Corporation and its subsidiary entities that have been approved by APRA as being part of a single 'Extended Licensed Entity' (ELE) for the purposes of measuring capital adequacy; Level 2, the consolidation of Westpac Banking Corporation and all its subsidiary entities except those entities specifically excluded by APRA regulations. The head of the Level 2 group is Westpac Banking Corporation; and Level 3, the consolidation of Westpac Banking Corporation and all its subsidiary entities. Unless otherwise specified, all quantitative disclosures in this report refer to the prudential assessment of Westpac’s financial strength on a Level 2 basis2 . Refer to Appendix II for a list of entities included in regulatory consolidation for the purposes of measuring capital adequacy at Level 1 and Level 2. The Westpac Group 1 2 The following diagram shows the Level 3 conglomerate group and illustrates the different tiers of regulatory consolidation. Level 1 Consolidation Level 2 Consolidation Level 3 Consolidation Regulatory non-consolidated subsidiaries Westpac New Zealand Ltd Other Westpac Level 2 subsidiaries Westpac Banking Corporation Westpac Level 1 subsidiaries Accounting consolidation33 The consolidated financial statements incorporate the assets and liabilities of all subsidiaries (including structured entities) controlled by Westpac. Westpac and its subsidiaries are referred to collectively as the ‘Group’. The effects of all transactions between entities in the Group are eliminated on consolidation. Control exists when the parent entity is exposed to, or has rights to, variable returns from its involvement with an entity, and has the ability to affect those returns through its power over that entity. Subsidiaries are fully consolidated from the date on which control commences and they are no longer consolidated from the date that control ceases. Group entities excluded from the regulatory consolidation at Level 2 Regulatory consolidation at Level 2 covers the global operations of Westpac and its subsidiary entities, including other controlled banking, securities and financial entities, except for those entities involved in the following business activities: insurance; acting as manager, responsible entity, approved trustee, trustee or similar role in relation to funds management; non-financial (commercial) operations; or special purpose entities to which assets have been transferred in accordance with the requirements of APS120 Securitisation. Retained earnings and equity investments in subsidiary entities excluded from the consolidation at Level 2 are deducted from capital, with the exception of securitisation special purpose entities. 1 APS110 Capital Adequacy outlines the overall framework adopted by APRA for the purpose of assessing the capital adequacy of an ADI. 2 Impaired assets and provisions held in Level 3 entities are excluded from the tables in this report. 3 Refer to Note 30 of Westpac’s 2022 Annual Report for further details.

Pillar 3 report Group Structure Westpac Group March 2023 Pillar 3 report | 17 Subsidiary banking entities Westpac New Zealand Limited (WNZL), a wholly owned subsidiary entity, is a registered bank incorporated in New Zealand and regulated by the RBNZ. WNZL uses both the Advanced IRB and Standardised methodologies for credit risk, and has transitioned to the SMA for operational risk from 1 July 2022. Other subsidiary banking entities in the Group include Westpac Bank PNG Limited and Westpac Europe Limited. For the purposes of determining Westpac’s capital adequacy subsidiary banking entities are consolidated at Level 2. Restrictions and major impediments on the transfer of funds or regulatory capital within the Group Minimum capital (‘thin capitalisation’) rules Tax legislation in most jurisdictions in which the Group operates prescribes minimum levels of capital that must be retained in that jurisdiction to avoid a portion of the interest costs incurred in the jurisdiction ceasing to be tax deductible. Capital for these purposes includes both contributed capital and non-distributed retained earnings. Westpac seeks to maintain sufficient capital/retained earnings in these entities to comply with these rules. Tax costs associated with repatriation Repatriation of retained earnings (and capital) may result in tax being payable in either the jurisdiction from which the repatriation occurs or Australia on receipt of the relevant amounts. This cost would reduce the amount actually repatriated. Intra-group exposure limits1 Exposures to related entities are managed within the prudential limits prescribed by APRA in APS222 Associations with Related Entities1 . Westpac has an internal limit structure and approval process governing credit exposures to related entities. This limit structure and approval process, combined with APRA’s prudential limits, is designed to reduce the potential for unacceptable contagion risk. Prudential regulation of subsidiary entities On 23 March 2021, the RBNZ issued two notices to WNZL under section 95 of the Banking (Prudential Supervision) Act 1989 requiring WNZL to supply two external reviews to the RBNZ (the ‘Risk Governance Review’ and the ‘Liquidity Review’). These reviews only applied to WNZL and not to Westpac in Australia or its NZ Branch. The Risk Governance Review related to the effectiveness of WNZL’s risk governance. This review was completed, in November 2021 and identified deficiencies in WNZL’s risk governance practices and operations which WNZL sought to address through a programme of work overseen by the WNZL Board. In April 2023, the RBNZ acknowledged the decision of WNZL’s Board to approve closure of the Risk Governance programme of work, noted the improvements made by WNZL to date and that any remaining activity will be overseen by the WNZL Board Risk and Compliance Committee. The Liquidity Review related to the effectiveness of WNZL’s actions to improve liquidity risk management and the associated risk culture. The review was, completed in May 2022 and did not identify any material control gaps or issues and made some recommendations for improvement, which are being implemented as part of WNZL’s continuous improvement activity. Since then, WNZL has undertaken further assurance work and continues to review and enhance the control framework. From 31 March 2021, the RBNZ amended WNZL’s conditions of registration, requiring WNZL to discount the value of its liquid assets by approximately 14%. From 15 August 2022, the RBNZ reduced the overlay quantum to approximately 7%, which at 31 March 2023 was $1.7 billion. The overlay will remain in place until the RBNZ is satisfied that control assurance work has been completed. 1 For the purposes of APS222, subsidiaries controlled by Westpac, other than subsidiaries that form part of the ELE, represent ‘related entities’. Prudential and internal limits apply to intra-group exposures between the ELE and related entities, both on an individual and aggregate basis.

Pillar 3 report Capital overview 18 | Westpac Group March 2023 Pillar 3 report Capital Structure This table shows Westpac’s capital resources on a Level 2 basis under APS111 Capital Adequacy: Measurement of Capital. 31 March 30 September 31 March $m 2023 2022 2022 Common equity Tier 1 capital Paid up ordinary capital 39,666 39,824 39,667 Treasury shares (712) (759) (708) Equity based remuneration 1,843 1,907 1,824 Foreign currency translation reserve (537) (160) (445) Accumulated other comprehensive income 28 (38) 183 Non-controlling interests - other 57 44 54 Retained earnings 29,063 30,686 28,362 Less retained earnings in life and general insurance, funds management and securitisation entities (300) (343) (1,144) Deferred fees 300 276 265 Total common equity Tier 1 capital 69,408 71,437 68,058 Deductions from common equity Tier 1 capital Goodw ill (excluding funds management entities) (7,94 (7,914) 3) (7,935) Deferred tax assets (1,746) (2,065) (1,812) Goodw ill in life and general insurance, funds management and securitsation entities (204) (149) (209) Capitalised expenditure (2,148) (2,250) (2,013) Capitalised softw are (2,263) (2,631) (1,914) Investments in subsidiaries not consolidated for regulatory purposes (201) (316) (1,541) Regulatory expected loss in excess of eligible provisions1 (144) (2) (164) Defined benefit superannuation fund surplus (219) (67) (60) Equity investments (187) (209) (161) Regulatory adjustments to fair value positions (324) (276) (123) Total deductions from common equity Tier 1 capital (15,465) (15,793) (15,932) Total common equity Tier 1 capital after deductions 53,943 55,644 52,126 Additional Tier 1 capital Basel III complying instruments 10,021 9,958 9,566 Total Additional Tier 1 capital 10,021 9,958 9,566 Deductions from Additional Tier 1 capital Holdings of ow n and other financial institutions Additional Tier 1 capital instruments (25) (25) (25) Total deductions from Additional Tier 1 capital (25) (25) (25) Net Addititional Tier 1 regulatory capital 9,996 9,933 9,541 Net Tier 1 regulatory capital 63,939 65,577 61,667 Tier 2 capital Basel III complying instruments 23,791 23,160 20,147 Eligible general reserve for credit loss 411 1,103 158 Total Tier 2 capital 24,202 24,263 20,305 Deductions from Tier 2 capital Investments in subsidiaries not consolidated for regulatory purposes - - (60) Holdings of ow n and other financial institutions Tier 2 capital instruments (243) (367) (445) Total deductions from Tier 2 capital (243) (367) (505) Net Tier 2 regulatory capital 23,959 23,896 19,800 Total regulatory capital 87,898 89,473 81,467 1 An explanation of the relationship between this deduction, regulatory expected loss and provisions for impairment charges is contained in Appendix IV.

Pillar 3 report Capital overview Westpac Group March 2023 Pillar 3 report | 19 Capital management strategy1 Westpac evaluates its approach to capital management through an Internal Capital Adequacy Assessment Process (ICAAP). Key features include: The development of a capital management strategy, including consideration of regulatory capital minimums, capital buffers and contingency plans. The current regulatory capital minimums together with the capital conservation buffer (CCB) and countercyclical capital buffer are the Total CET1 requirement. The Total CET1 Requirement for Westpac is at least 10.25%1 based on an industry minimum CET1 requirement of 4.5% plus a capital conservation buffer of 4.75% and a countercyclical capital buffer of 1.0%2 . Consideration of regulatory capital requirements and the perspectives of external stakeholders including rating agencies as well as equity and debt investors; and A stress testing framework that challenges the capital measures, coverage and capital requirements including the impact of adverse economic scenarios. The Board has determined that Westpac will target a CET1 operating capital range of between 11.0% and 11.5%, in normal operating conditions. Westpac’s capital adequacy ratios % 31 March 2023 30 September 2022 31 March 2022 The Westpac Group at Level 2 Common equity Tier 1 capital ratio 12.3 11.3 11.3 Additional Tier 1 capital 2.1 2.2 2.1 Tier 1 capital ratio 13.4 14.5 13.4 Tier 2 capital 5.0 5.3 4.3 Total regulatory capital ratio 19.8 18.4 17.7 The Westpac Group at Level 1 Common equity Tier 1 capital ratio 12.5 11.3 11.2 Additional Tier 1 capital 2.2 2.4 2.2 Tier 1 capital ratio 13.6 14.9 13.4 Tier 2 capital 5.4 5.8 4.7 Total regulatory capital ratio 20.7 19.0 18.1 Westpac New Zealand Limited’s capital adequacy ratios % 31 March 2023 30 September 2022 31 March 2022 Westpac New Zealand Limited Common equity Tier 1 capital ratio 11.1 11.0 11.3 Additional Tier 1 capital 1.6 2.0 2.0 Tier 1 capital ratio 12.7 13.0 13.3 Tier 2 capital 0.9 1.0 1.2 Total regulatory capital ratio 13.7 13.9 14.5 1 Noting that APRA may apply higher CET1 requirements for an individual ADI 2 APRA has currently set a 1.0% default countercyclical capital buffer for Australian exposures however this may be varied by APRA in the range of 0 to 3.5%. The final countercyclical capital buffer is ADI specific and dependent on a bank’s international exposures. Westpac’s countercyclical capital buffer is set out on page 96.

Pillar 3 report Capital overview 20 | Westpac Group March 2023 Pillar 3 report Capital requirements APRA’s revised capital framework became effective on 1 January 2023. This included updated prudential standards for public disclosures, capital adequacy and credit risk capital. A summary of these changes has been included in the Executive Summary on page 3. A key change of the framework has been asset classifications used to determine RWA and the use of the foundation IRB approach (FIRB) for some exposure classes. Under FIRB, an ADI must provide its own estimates of Probably of Default (PD) and maturity and rely on supervisory estimates of Loss Given Default (LGD) and EAD. The table below summarises Westpac’s revised credit risk asset classes under APRA’s revised capital framework. A further explanation of the new asset classes is set out on page 27. Revised Credit Asset Classes Previously Reported Credit Asset Classes Corporate Corporate Business Lending Business Lending Small Business Property Finance Specialised Lending Large Corporate Corporate Sovereign Sovereign Financial Institutions Corporate Business Lending Bank Residential Mortgages Residential Mortgages Australian Credit Cards Australian Credit Cards Other Retail Other Retail Small Business Small Business Business Lending Specialised Lending Specialised Lending Securitisation Securitisation New Zealand Corporate Business Lending Sovereign Banks Residential mortgages Other retail Small business Specialised lending Securitisation Capital Floor The revised capital framework introduces a capital floor which limits the capital benefit available to advanced banks to no more than 72.5 per cent of the RWA outcomes available under the standardised approach. There was no capital floor adjustment as at 31 March 2023 as shown below. $m Risk-weighted assets under the standardised approach 31 March 2023 Credit risk 499,267 Market risk 15,168 Operational risk 56,900 Interest rate risk in the banking book NA Other risk 5,572 Total 576,907 Risk-weighted assets under the IRB Approach Credit risk 340,558 Market risk 15,168 Operational risk 56,900 Interest rate risk in the banking book 34,748 Other risk 5,572 Total 452,946 Capital floor at 72.5% 418,258 Capital floor adjustment NA

Pillar 3 report Capital overview Westpac Group March 2023 Pillar 3 report | 21 This table shows risk weighted assets for each risk type included in the regulatory assessment of Westpac’s capital adequacy. The 31 March 2023 balances below incorporate new credit asset classes under the revised capital framework. A further explanation of the new asset classes is set out on page 27. Westpac’s approach to managing each risk type, and more detailed disclosures on the prudential assessment of capital requirements, are presented in the following sections of this report. Refer to the Executive summary for further commentary on RWA movements over the First Half 2023. 1234 IRB FIRB Standardised Total Risk $m Approach1 Approach Approach2 Weighted Assets Credit risk Corporate 24,309 - 1,147 25,456 Business Lending 25,928 - 177 26,105 Property Finance 31,234 - - 31,234 Large Corporate - 21,228 - 21,228 Sovereign - 2,357 1,777 4,134 Financial Institutions - 15,057 75 15,132 Residential Mortgages 109,164 - 19,651 128,815 Australian Credit Cards 3,957 - - 3,957 Other Retail 5,304 - 464 5,768 Small Business 18,219 - 170 18,389 Specialised Lending 2,931 - 464 3,395 Securitisation 6,400 - - 6,400 New Zealand 43,301 - 2,030 45,331 Mark-to-market related credit risk3 - - 5,214 5,214 Total Credit risk 270,747 38,642 31,169 340,558 Market risk 15,168 Operational risk 56,900 Interest rate risk in the banking book 34,748 Other4 5,572 Total 452,946 1 IRB approaches excluding FIRB. Refer page 27 for a summary of approach by asset class. 2 Westpac’s standardised risk weighted assets are categorised based on their equivalent IRB categories. 3 Mark-to-market related credit risk is measured under the standardised approach. It is also known as Credit Valuation Adjustment (CVA) risk. 4 Other assets include cash items, unsettled transactions, fixed assets and other non-interest earning assets.

Pillar 3 report Capital overview 22 | Westpac Group March 2023 Pillar 3 report 1 30 September 2022 IRB Standardised Total Risk $m Approach Approach1 Weighted Assets Credit risk Corporate 880 72,688 73,568 Business lending 30,541 738 31,279 Sovereign 1,689 2,335 4,024 Bank 84 4,609 4,693 Residential mortgages 149,208 2,885 152,093 Australian credit cards 3,917 - 3,917 Other retail 717 6,726 7,443 Small business 13,991 - 13,991 Specialised lending 57,338 428 57,766 Securitisation - 6,947 6,947 Mark-to-market related credit risk2 6,377 - 6,377 Total 13,798 348,300 362,098 Market risk 9,290 Operational risk 59,063 Interest rate risk in the banking book 42,782 Other assets3 4,387 Total 477,620 31 March 2022 IRB Standardised Total Risk $m Approach Approach1 Weighted Assets Credit risk Corporate 870 69,391 70,261 Business lending 32,686 687 33,373 Sovereign 1,393 2,270 3,663 Bank 91 4,960 5,051 Residential mortgages 146,448 3,276 149,724 Australian credit cards 3,951 - 3,951 Other retail 753 7,785 8,538 Small business 14,401 - 14,401 Specialised lending 58,334 380 58,714 Securitisation - 6,306 6,306 Mark-to-market related credit risk2 5,691 - 5,691 Total 13,141 346,532 359,673 Market risk 9,596 Operational risk 57,875 Interest rate risk in the banking book 27,710 Other assets3 5,102 Total 459,956 1 Westpac’s standardised risk weighted assets are categorised based on their equivalent IRB categories. 2 Mark-to-market related credit risk is measured under the standardised approach. It is also known as Credit Valuation Adjustment (CVA) risk. 3 Other assets include cash items, unsettled transactions, fixed assets and other non-interest earning assets.

Pillar 3 report Leverage ratio Westpac Group March 2023 Pillar 3 report | 23 Leverage ratio The following table summarises Westpac’s leverage ratio. The revised capital framework has introduced a minimum leverage ratio of 3.5% and revised the calculation of leverage exposure. Revisions include: Revised credit conversion factors for the calculation of off-balance sheet exposures to align with the standardised approach to RWA; and Revised calculation of derivative exposure to align with the calculation of counterparty credit risk RWA. $ billion 31 March 2023 31 December 2022 30 September 2022 30 June 2022 Net Tier 1 Regulatory Capital 65.6 63.4 63.9 61.1 Total Exposures 1,200.1 1,151.3 1,140.3 1,140.4 Leverage ratio 5.5% 5.5% 5.6% 5.4% Leverage ratio disclosure $m 2023 On-balance sheet exposures 1 On-balance sheet items (excluding derivatives and securities financing transactions (SFTs), but including collateral) 1,019,136 2 (Asset amounts deducted in determining Tier 1 capital) (15,793) 3 Total on-balance sheet exposures (excluding derivatives and SFTs) (sum of rows 1 and 2) 1,003,343 Derivative exposures 4 Replacement cost associated with all derivatives transactions (i.e. net of eligible cash variation margin) 7,863 5 Add-on amounts for potential future credit exposure (PFCE) associated with all derivatives transactions 21,065 6 5,274 7 (Deductions of receivables assets for cash variation margin provided in derivatives transactions) (2,670) 8 (Exempted central counterparty (CCP) leg of client-cleared trade exposures) - 9 Adjusted effective notional amount of written credit derivatives - 10 (Adjusted effective notional offsets and add-on deductions for written credit derivatives) - 11 Total derivative exposures (sum of rows 4 to 10) 31,532 SFT exposures 12 Gross SFT assets (with no recognition of netting), after adjusting for sales accounting transactions 47,782 13 (Netted amounts of cash payables and cash receivables of gross SFT assets) - 14 Counterparty credit risk exposure for SFT assets 14,658 15 Agent transaction exposures - 16 Total SFT exposures (sum of rows 12 to 15) 62,440 Other off-balance sheet exposures 17 Off-balance sheet exposure at gross notional amount 212,497 18 (Adjustments for conversion to credit equivalent amounts) (109,701) 19 Other off-balance sheet exposures (sum of rows 17 and 18) 102,796 Capital and total exposures 20 Net Tier 1 Regulatory Capital 65,577 21 Total exposures (sum of rows 3, 11, 16 and 19) 1,200,111 Leverage ratio % 22 Leverage ratio 5.46% Gross-up for derivatives collateral provided where deducted from the balance sheet assets pursuant to the Australian Accounting Standards

Pillar 3 report Leverage ratio 24 | Westpac Group March 2023 Pillar 3 report Summary comparison of accounting assets versus leverage ratio exposure measure $m 31 March 2023 1 Total consolidated assets as per published financial statements 1,019,108 2 (60) 3 - 4 Adjustments for derivative financial instruments 11,187 5 Adjustment for SFTs (i.e. repos and similar secured lending) 55,916 6 102,796 7 Other adjustments 11,164 8 Leverage ratio exposure 1,200,111 Adjustment for off-balance sheet exposures (i.e. conversion to credit equivalent amounts of off-balance sheet exposures) Adjustment for investments in banking, financial, insurance or commercial entities that are consolidated for accounting purposes but outside the scope of regulatory Adjustment for assets held on the balance sheet in a fiduciary capacity pursuant to the Australian Accounting Standards but excluded from the leverage ratio exposure

Pillar 3 report Credit risk management Westpac Group March 2023 Pillar 3 report | 25 Credit risk is the potential for financial loss where a customer or counterparty fails to meet their financial obligations to Westpac. Westpac maintains a credit risk management framework and a number of supporting policies, processes and controls governing the assessment, approval and management of customer and counterparty credit risk. These incorporate the assignment of risk grades, the quantification of loss estimates in the event of default, and the segmentation of credit exposures. Credit risk management framework and policies Westpac maintains a credit risk management framework and supporting policies that are designed to clearly define roles and responsibilities, acceptable practices, limits and key controls. The Credit Risk Management Framework describes the principles, methodologies, systems, roles and responsibilities, reports and controls that exist for managing credit risk in Westpac. The Credit Risk Rating System policy describes the credit risk rating system philosophy, design, key features, roles and responsibilities and uses of rating outcomes. Concentration risk policies cover individual counterparties, specific industries (e.g. property) and individual countries. In addition, we have policies covering risk appetite statements, environmental, social and governance (ESG) risk, credit risks and the delegation of credit approval authorities. At the divisional level, credit policies and standards embed the Group’s framework requirements for application in the businesses. Policies and standards cover the origination, evaluation, approval, documentation, settlement and on-going management of credit risks, and sector policies to guide the extension of credit where industry-specific guidelines are considered necessary. Credit approval limits represent the formal delegation of credit approval authority to responsible individuals throughout the organisation. Structure and organisation The Chief Risk Officer (CRO) is responsible for the effectiveness of overall risk management throughout Westpac, including credit risk. The Group Chief Credit Officer is responsible for the effectiveness of credit risk management, including credit approval decisioning beyond business authority level and appointing our most senior authorised credit officers. Authorised credit officers have delegated authority to approve credit risk exposures, including customer risk grades, other credit parameters and their ongoing review. Our largest exposures are approved by our most experienced authorised credit officers. Management is responsible for managing credit risks originated in their business and for managing risk adjusted returns from their business credit portfolios, within the approved risk appetite, risk management framework and policies.

Pillar 3 report Credit risk management 26 | Westpac Group March 2023 Pillar 3 report Approach Westpac adopts two approaches to managing credit risk depending upon the nature of the customer and the product. Transaction-managed approach For larger customers, Westpac evaluates credit requests by undertaking detailed individual customer and transaction risk analysis (the ‘transaction-managed’ approach). Such customers are assigned a customer risk grade (CRG) representing Westpac’s estimate of their probability of default (PD). Each facility is assigned a loss given default (LGD). The Westpac credit risk rating system has 20 risk grades for non-defaulted customers and 10 risk grades for defaulted customers. Non-defaulted CRGs down to the level of normally acceptable risk (i.e. D grade – see table below) are mapped to Moody’s and Standard & Poor’s (S&P) external senior ranking unsecured ratings. This mapping allows Westpac to integrate the rating agencies’ default history with internal historical data when calculating PDs. The final assignment of CRGs and LGDs is approved by authorised credit approvers with appropriate delegated approval authority. All material credit exposures are also approved by authorised Credit Officers who are part of the risk management stream and operate independently of the areas originating the credit risk proposals. Authorised Credit Officer decisions are subject to reviews to ensure consistent quality and confirm compliance with approval authority. Separate teams are responsible for maintaining accurate and timely recording of all credit risk approvals and changes to customer and facility data. These teams also operate independently of both the areas originating the credit risk proposals and the credit risk approvers. Appropriate segregation of functions is one of the key requirements of our credit risk management framework. Mapping of Westpac risk grades The table below shows the current alignment between Westpac’s internal CRGs and the corresponding external rating. Note that only high-level CRG groupings are shown. Westpac customer risk grade Standard & Poor’s rating Moody’s Rating A AAA to AA– Aaa to Aa3 B A+ to A– A1 to A3 C BBB+ to BBB– Baa1 to Baa3 D BB+ to B+ Ba1 to B1 Westpac Rating E Watchlist F Special mention G Substandard/default H Doubtful/default I Loss For Specialised Lending Westpac maps exposures to the appropriate supervisory slot based on an assessment that takes into account borrower strength and security quality, as required by APS113 Capital Adequacy: Internal Ratings-Based Approach to Credit Risk (APS113). Program-managed approach High-volume retail customer credit portfolios with homogenous credit risk characteristics are managed on a statistical basis according to pre-determined objective criteria (the ‘program-managed’ approach). Program-managed exposure includes all consumer customers. Quantitative scorecards are used to assign application and behavioural scores to enable risk-based decision making within these portfolios. For capital estimation and other purposes, risk-based customer segments are created based upon modelled PD, LGD and, where applicable, exposure at default (EAD)1 . 1Accounts are then assigned to respective segments based on customer and account characteristics. Each segment is assigned a quantified measure of its PD, LGD and EAD. For both transaction-managed and program-managed approaches, PD and LGD assignment is regularly monitored and validated against subsequent customer performance and models and credit processes are recalibrated when required. CRGs, PDs and LGDs are reviewed at least annually. 1 Under APS113 the credit conversion factors used to calculate EAD are prescribed for all portfolios other than revolving retail

Pillar 3 report Credit risk management Westpac Group March 2023 Pillar 3 report | 27 Mapping of Basel categories to Westpac portfolios APRA’s revised capital framework included updated prudential standards for credit risk capital (APS113 Capital Adequacy: Internal Ratings-Based Approach to Credit Risk). In line with the revised standard an ADI must categorise banking book exposures into four broad IRB APS113 asset classes (Corporate, Sovereign, Financial Institution and Retail) and apply the prescribed treatment for those classes to each credit exposure within them for the purposes of deriving its regulatory capital requirement. APS113 cascades these asset classes into further sub-asset classes as per below. APRA’s revised capital framework results in changes to previously reported credit asset classes. This includes changes to credit RWA calculations from AIRB to a foundation IRB approach (FIRB) for some exposure classes. Under FIRB, an ADI must provide its own estimates of PD and maturity and rely on supervisory estimates of LGD and EAD. The below table sets out Westpac’s revised credit risk asset classes under APRA’s revised standards. Revised Credit Asset Classes Previously Reported Credit Asset Classes Revised Asset Class definition Corporate Corporate The Corporate asset class covers credit exposures where consolidated annual revenue < $750m, but greater than $75m, and does not meet the definition of Business Lending or Small Business exposures. Large Corporate exposures previously included in Corporate are identified as a separate asset class, with credit RWA measured under FIRB (previously measured under AIRB). The annual revenue threshold between Corporate and Business Lending has been updated from $50m to $75m, resulting in a portion of exposures shifting from Corporate to Business Lending (eligible for firm-size adjustment). Non-bank financial institutions have been transferred from the Corporate asset class and included in the new Financial Institutions asset class (expanded from the previous ‘Bank’ asset class), with credit RWA measured under FIRB (previously measured under AIRB). Business Lending Business Lending Small Business Business Lending exposures are credit exposures to business customers with annual revenue less than $75m. The annual revenue threshold between Corporate and Business Lending changed under APRA’s revised framework from $50m to $75m, resulting in a portion of exposures shifting from Corporate to Business Lending (eligible for firm-size adjustment). Small Business exposures are business customer where total exposures is less than $1.5m or the customer holds a complex product. APRA’s revised capital framework increased the Small Business exposure threshold from $1m to $1.5m, resulting in a portion of exposures shifting from Business Lending to Small Business. Non-bank financial institutions have been transferred from the Business Lending asset class and included in the new Financial Institutions asset class (expanded from the previous ‘Bank’ asset class), with credit RWA measured under FIRB (previously under AIRB). Property Finance Specialised Lending Income-producing Real Estate (IPRE) exposures within specialised lending risk-weighted according to the AIRB approach (previously supervisory slotting) and now classified as Property finance. Property finance represents exposures where repayments depend primarily on the cash flows generated by the asset or other real estate assets owned by the borrower. Large Corporate Corporate Large Corporate exposures are credit exposures to corporate counterparties (where consolidated annual revenue > $750m) and are identified as a separate asset class, with credit RWA measured under FIRB (previously measured under AIRB). Sovereign Sovereign Sovereign exposures are credit exposures to central and sub-national governments, central banks, and development banks or institutions eligible for zero risk weights. Sovereign credit RWA measured under FIRB (previously under AIRB). Domestic Public Sector Entities (PSEs) have been transferred from the Sovereign asset class to the Corporate asset class. Financial Institutions Corporate Business Lending Bank Financial Institution exposures are credit exposures to financial institution counterparties. Financial institutions include, but are not limited to, banks, securities firms, insurance companies and leveraged funds. Non-bank financial institution exposures have been transferred from the Corporate and Business lending to the Financial Institutions asset class. Financial institutions credit RWA measured under FIRB (previously AIRB). Residential Mortgages Residential Mortgages Asset class remains materially the same; however, non-standard mortgages receive 100% standardised risk weight (rather than the internally-modelled Retail IRB approach) and mortgages within New Zealand are presented within the New Zealand asset class. Australian Credit Cards Australian Credit Cards No material change. Other Retail Other Retail No material change.

Pillar 3 report Credit risk management 28 | Westpac Group March 2023 Pillar 3 report Revised Credit Asset Classes Previously Reported Credit Asset Classes Revised Asset Class definition Small Business Small Business Business Lending Small Business exposures are business customer where total exposures is less than $1.5m or the customer holds a complex product. APRA’s revised capital framework increased the Small Business exposure threshold from $1m to $1.5m, resulting in a portion of exposures shifting from Business Lending to Small Business. Specialised Lending Specialised Lending Specialised Lending includes Project Finance (including Object Finance) exposures. This exposure class excludes Property Finance exposures that are now a separate asset class and risk-weighted according to the AIRB approach. Project finance is defined as exposures where revenues generated by a single project, are both the primary source of repayment and security for the loan. Object finance is defined as lending for the acquisition of equipment where the repayment of the loan is dependent on the cash flows generated by the specific assets that have been financed and pledged or assigned to the lender. Securitisation Securitisation See New Zealand section below. Otherwise, no material changes New Zealand Corporate Business Lending Sovereign Banks Residential mortgages Other retail Small business Specialised lending Securitisation Under the revised capital framework, RBNZ regulated exposures are calculated using RBNZ rules and disclosed separately under a New Zealand class. Standardised and Securitised portfolios are separately treated under APS112 Capital Adequacy: Standardised Approach to Credit Risk and APS120 Securitisation respectively. Mapping of Credit risk approach to Basel categories and exposure types Approach APS asset class Types of exposures Transaction-Managed Portfolios Corporate Sovereign Financial Institutions Direct lending Contingent lending Derivative counterparty Asset warehousing Underwriting Secondary market trading Foreign exchange settlement Other intra-day settlement obligations Program-Managed Portfolios Residential mortgage Mortgages Equity access loans Qualifying revolving retail Australian credit cards Other retail Small-and medium-sized enterprise retail Personal loans Overdrafts Auto and equipment finance Business development loans Business overdrafts Other term products Internal ratings process for transaction-managed portfolios The process for assigning and approving individual customer PDs and facility LGDs involves: Business’ recommend the CRG and facility LGDs under the guidance of criteria set out in established credit policies and with use of internally developed risk grading models where relevant. Each CRG is associated with an estimated PD; Authorised credit officers evaluate the recommendations and approve the final CRG and facility LGDs. Authorised credit officers may override line business unit recommendations; An expert judgement decisioning process is employed to evaluate CRG and the outputs of various risk grading models are used as one of several inputs into that process; and Authorised credit officers’ decisions are subject to reviews to ensure consistent quality and confirm compliance with approval authority.

Pillar 3 report Credit risk management Westpac Group March 2023 Pillar 3 report | 29 For on-going exposures to transaction-managed customers, risk grades and facility LGDs are required to be reviewed at least annually, but also whenever material changes occur. No material deviations from the reference definition of default are permitted. Internal ratings process for program-managed portfolios The process for assigning PDs, LGDs and, where applicable, EADs to the program-managed portfolio involves dividing the portfolio into a number of pools per product. These pools are created by analysing risk characteristics that have historically predicted that an account is likely to go into default or loss. No material deviations from the reference definition of default are permitted. Internal credit risk ratings system In addition to using the credit risk estimates as the basis for regulatory capital purposes, they are also used for the purposes described below: Provisioning - Credit provisions are held by Westpac to cover expected credit losses in the loan portfolio. Provisioning includes both individual and collective components, including overlays. Individual provisions are calculated on impaired loans taking into account management’s best estimate of the present value of future cashflows. Collective provisions are established on a portfolio basis using a framework that considers PD, LGD, EAD, total committed exposure, level of arrears, recent past experience and forward looking macro-economic forecasts. This also includes a consideration of overlays. Risk-adjusted performance measurement - Business performance is measured using allocated capital, which incorporates charges for regulatory capital, including credit capital and capital for other risk types. Pricing - Westpac prices loans to produce an acceptable return on the capital allocated to the loan. Returns include interest income and fees after expected credit losses and other costs. Credit approval - For transaction-managed facilities, approval authorities are tiered based on the CRG, with lower limits applicable for customers with a higher PD. Program-managed facilities are approved on the basis of application scorecard outcomes and product based approval authorities. Control mechanisms for the credit risk rating system include: Westpac’s credit risk rating system is reviewed annually to confirm that the rating criteria and procedures are appropriate given the current portfolio and external conditions; All models materially impacting the risk rating process are periodically reviewed in accordance with Westpac’s model risk policy; Specific credit risk estimates (including PD, LGD and EAD levels) are independently assessed annually and noted at Model Risk Committee (a sub-committee of the Group Executive Risk Committee) for approval by Head of Model Risk; Group Audit undertake an independent annual technical and operational review of the rating system; and CREDCO, RISKCO and BRiskC monitor the risk profile, performance and management of Westpac’s credit portfolio and the development and review of key credit risk policies. Risk reporting A report on Westpac's credit risk portfolio is provided to CREDCO, RISKCO and BRiskC quarterly. It includes monitoring of performance against risk appetite. Credit risk and asset quality are also reported to the Board, including details of impairment losses, stressed exposures, delinquency trends and key performance metrics.

Pillar 3 report Credit risk management 30 | Westpac Group March 2023 Pillar 3 report Summary credit risk disclosure1 2 Regulatory Expected Specific Actual Risk Regulatory Loss for Provision for Losses for 31 March 2023 Exposure Weighted Expected non-defaulted Non-Performing the 6 months $m at Default Assets Loss1 exposures Exposures ended Corporate 24,309 37,110 588 136 147 (26) Business Lending 40,861 25,928 490 263 235 16 Property Finance 52,697 31,234 288 154 134 2 Large Corporate 40,248 21,228 63 63 - - Sovereign 2,357 210,868 2 2 - - Financial Institutions 37,687 15,057 71 31 18 5 Residential Mortgages 518,276 109,164 1,057 731 330 11 Australian Credit Cards 13,675 3,957 172 131 37 44 Other Retail 5,304 5,586 234 151 80 53 Small Business 18,219 29,559 576 374 196 31 Specialised Lending 3,746 2,931 26 26 - - Securitisation 6,400 32,831 - - - - Standardised3 29,139 30,253 - - 98 - New Zealand 45,331 134,507 534 360 118 7 Total 340,558 1,187,904 4,101 2,422 1,393 143 Regulatory Expected Specific Actual Risk Regulatory Loss for Provisions Losses for 30 September 2022 Exposure Weighted Expected non-defaulted for Impaired the 12 months $m at Default Assets2 Loss1 exposures Loans ended Corporate 72,688 147,497 900 333 196 384 Business lending 54,390 30,541 626 315 142 84 Sovereign 2,335 222,327 2 2 - - Bank 4,609 21,348 6 6 - - Residential mortgages 596,833 149,208 1,405 1,011 67 30 Australian credit cards 15,068 3,917 153 120 30 104 Other retail 6,726 8,972 292 194 94 105 Small business 13,991 28,129 448 286 136 37 Specialised Lending 68,552 57,338 858 557 10 1 Securitisation 6,947 36,322 - - - - Standardised3 13,798 14,603 - - 51 - Total 362,098 1,214,041 4,690 2,824 726 745 Regulatory Expected Specific Actual Risk Regulatory Loss for Provisions Losses for 31 March 2022 Exposure Weighted Expected non-defaulted for Impaired the 6 months $m at Default Assets2 Loss1 exposures Loans ended Corporate 69,391 130,511 839 331 208 303 Business lending 53,364 32,686 621 350 150 34 Sovereign4 2,270 219,219 2 2 - - Bank 4,960 21,257 6 6 - - Residential mortgages 585,810 146,448 1,615 1,139 65 28 Australian credit cards 15,193 3,951 169 133 33 50 Other retail 7,785 10,312 352 232 116 36 Small business 14,401 29,653 472 297 167 14 Specialised Lending 70,851 58,334 871 545 19 (1) Securitisation 6,306 33,366 - - - - Standardised3 13,141 14,276 - - 36 - Total 359,673 1,183,812 4,947 3,035 794 464 1 Includes regulatory expected losses for defaulted and non-defaulted exposures. 2 At 30 September 2022 and 31 March 2022 Westpac applied a floor of 25% to its residential mortgage portfolio risk weight. 3 Includes mark-to-market related credit risk. 4 March 2022 Sovereign EAD have been restated. Refer to June 2022 Pillar 3 report for further details.

Pillar 3 report Credit risk management Westpac Group March 2023 Pillar 3 report | 31 Loan impairment provisions Expected credit losses (ECL) are estimates of the cashflow shortfalls expected to result from defaults over the relevant timeframe. They are determined by evaluating a range of possible outcomes and taking into account the time value of money, past events, current conditions and forecasts of future economic conditions. Westpac calculates provisions for ECL based on a three-stage approach: Stage 1: 12 months ECL (performing) - For financial assets where there has been no significant increase in credit risk since origination, a provision for 12-month ECL is recognised. Stage 2: Lifetime ECL (performing) - For financial assets where there has been a significant increase in credit risk since origination and where the asset is still performing, a provision for lifetime ECL is recognised. Determining when a financial asset has experienced a significant increase in credit risk since origination is a critical accounting judgement. The determination of a significant increase in risk is driven by the change in the probability of default (PD) since origination. In determining whether a change in PD represents a significant increase in risk, relative changes in PD and absolute PD thresholds are both considered based on the portfolio of the exposure. Stage 3: Lifetime ECL (non-performing) - For financial assets that are non-performing a provision for lifetime ECL is recognised. Indicators include a breach of contract with Westpac such as a default on interest or principal payments or a borrower experiencing significant financial difficulties. Collective and individual assessment - Financial assets that are in Stages 1 and 2 are assessed on a collective basis as are financial assets in Stage 3 below specified exposure thresholds. Those financial assets in Stage 3 above the specified exposure thresholds are assessed on an individual basis. Expected life - Lifetime ECL represents the expected credit losses that result from default events over the expected life of a financial instrument. In considering lifetime ECL, the remaining contractual life is used for non-retail portfolios. For retail portfolios lifetime ECL is calibrated to historically observed portfolio behaviour. Forward looking information - The measurement of ECL for each stage and the assessment of significant increase in credit risk considers information about past events and current conditions as well as reasonable and supportable projections of future events and economic conditions. In order to capture the asymmetry of the losses expected over the range of plausible future events and economic conditions, Westpac considers three future macroeconomic scenarios i.e. base, upside and downside scenarios. The macroeconomic variables used in these scenarios, include (but are not limited to) employment to population ratio, real gross domestic product growth rates and residential and commercial property price indices. The ECL is a weighted average of the credit losses expected under these three scenarios. The scenario weights are based on Westpac’s assessment of upside and downside risks taking into account current trends, forward looking conditions and the degree of uncertainty attached to these projections. Regulatory classification of loan impairment provisions All individually assessed provisions (IAPs) raised under Australian Accounting Standards (AAS) are classified as specific provisions in accordance with APS220 Credit Risk Management. While, only Collectively Assessed Provisions (CAPs) raised under AAS for non-performing exposures are classified as specific provisions.

Pillar 3 report Credit risk management 32 | Westpac Group March 2023 Pillar 3 report Expected credit loss provision 1 This table provides a summary of expected credit loss provisions. For 31 March 2023 Stage 1 and Stage 2 credit losses are included in the provisions held against performing exposures Line item. Stage 3 credit losses are included in the Total Specific Provision line. 31 March 2023 Total Regulatory $m IAPs CAPs Provisions Specific Provisions for impaired loans 269 382 651 for defaulted but not impaired loans - 742 742 Total Specific Provision1 1,011 382 1,393 Provisions held against performing exposures - 3,530 3,530 Total provisions for ECL 4,541 382 4,923 30 September 2022 Total Regulatory $m IAPs CAPs Provisions Specific Provisions for impaired loans 274 452 726 for defaulted but not impaired loans - 673 673 For Stage 2 - 2,188 2,188 Total Specific Provision1 3,135 452 3,587 General Reserve for Credit Loss1 - 1,048 1,048 Total provisions for ECL 4,183 452 4,635 31 March 2022 Total Regulatory $m IAPs CAPs Provisions Specific Provisions for impaired loans 293 501 794 for defaulted but not impaired loans - 696 696 For Stage 2 - 1,914 1,914 Total Specific Provision1 2,903 501 3,404 General Reserve for Credit Loss1 - 1,278 1,278 Total provisions for ECL 4,181 501 4,682 A-IFRS Provisions A-IFRS Provisions A-IFRS Provisions 1 Provisions classified according to APRA’s letter dated 4 July 2017 “Provisions for regulatory purposes and AASB 9 financial instruments”.

Pillar 3 report Credit risk management Westpac Group March 2023 Pillar 3 report | 33 Movement in provisions for impairment11 For the 6 months ended 31 March 2023 Non-performing $m Stage 1 Stage 2 Stage 3 Total Balance as at 30 September 2022 for Loans and Credit Commitments 885 2,341 1,399 4,625 Transfers to Stage 1 694 (619) (75) 0 Transfers to Stage 2 (159) 408 (249) 0 Transfers to Stage 3 (4) (247) 251 0 Business activity during the period 136 54 (136) 54 Net remeasurement of provision for ECL (670) 677 456 463 Write-offs 0 0 (271) (271) Exchange rate and other adjustments 9 14 18 41 Balance as at 31 March 2023 for Loans and Credit Commitments 891 2,628 1,393 4,912 Balance as at 30 September 2022 for debt securities 4 6 0 10 Provision for ECL on debt securities at amortised cost 0 0 0 0 Provision for ECL on debt securities at FVOCI1 1 0 0 1 Total provision for ECL as at 31 March 2023 5 6 0 11 Total provision for ECL as at 31 March 2023 896 2,634 1,393 4,923 For the 12 months ended 30 September 2022 Non-performing $m Stage 1 Stage 2 Stage 3 Total Balance as at 30 September 2021 for Loans and Credit Commitments 2,091 936 1,972 4,999 Transfers to Stage 1 (792) 912 (120) - Transfers to Stage 2 1,002 (235) (767) - Transfers to Stage 3 (383) (14) 397 - Business activity during the period (244) 354 (340) (230) Net remeasurement of provision for ECL 689 (1,066) 1,129 752 Write-offs - - (934) (934) Exchange rate and other adjustments (22) (2) 62 38 Balance as at 30 September 2022 for Loans and Credit Commitments 2,341 885 1,399 4,625 Balance as at 30 September 2021 for debt securities 5 3 - 8 Provision for ECL on debt securities at amortised cost - 3 - 3 Provision for ECL on debt securities at FVOCI1 (2) 1 - (1) Total provision for ECL as at 30 September 2022 6 4 - 10 Total provision for ECL as at 30 September 2022 2,347 889 1,399 4,635 Performing Performing 1 Impairment of debt securities at Fair Value through Other Comprehensive Income (FVOCI) is recognised in the income statement with a corresponding amount in other comprehensive income. There is no reduction of the carrying value of the debt securities which remain at fair value.

Pillar 3 report Credit risk management 34 | Westpac Group March 2023 Pillar 3 report For the 6 months ended 31 March 2022 Non-performing $m Stage 1 Stage 2 Stage 3 Total Balance as at 30 September 2021 for Loans and Credit Commitments 2,091 936 1,972 4,999 Transfers to Stage 1 (398) 461 (63) - Transfers to Stage 2 509 (102) (407) - Transfers to Stage 3 (198) (8) 206 - Business activity during the period (149) 255 (200) (94) Net remeasurement of provision for ECL 264 (463) 535 336 Write-offs - - (566) (566) Exchange rate and other adjustments (12) (1) 13 - Balance as at 31 March 2022 for Loans and Credit Commitments 2,107 1,078 1,490 4,675 Balance as at 30 September 2021 for debt securities 5 3 - 8 Provision for ECL on debt securities at amortised cost - 1 - 1 Provision for ECL on debt securities at FVOCI1 - (2) - (2) Total provision for ECL as at 31 March 2022 4 3 - 7 Total provision for ECL as at 31 March 2022 2,111 1,081 1,490 4,682 Performing 12 1 Impairment of debt securities at Fair Value through Other Comprehensive Income (FVOCI) is recognised in the income statement with a corresponding amount in other comprehensive income. There is no reduction of the carrying value of the debt securities which remain at fair value.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 35 The following tables segment the portfolio by characteristics that provide an insight into the assessment of credit risk concentration. Given the introduction of new credit risk asset classes under the revised capital framework which has resulted in exposures moving between asset classes, average EAD over the six-months to 31 March 2023 has not been included for 31 March 2023. Exposure at Default by major type 31 March 2023 On balance Total Exposure $m sheet Non-market related Market related at Default Corporate 8,319 25,900 2,891 37,110 Business Lending 35,255 5,541 65 40,861 Property Finance 47,275 5,097 325 52,697 Large Corporate 20,818 14,767 4,663 40,248 Sovereign 162,968 188 47,712 210,868 Financial Institutions 17,819 4,106 15,762 37,687 Residential Mortgages 452,592 65,684 - 518,276 Australian Credit Cards 6,149 7,526 - 13,675 Other Retail 4,584 1,002 - 5,586 Small Business 22,280 7,279 - 29,559 Specialised Lending 1,746 1,846 154 3,746 Securitisation 26,254 6,506 71 32,831 Standardised 24,206 3,387 2,660 30,253 New Zealand 112,731 21,302 474 134,507 Total 960,677 152,450 74,777 1,187,904 30 September 2022 On balance Total Exposure Average $m sheet Non-market related Market related at Default 12 months ended1 Corporate 67,749 55,616 24,132 147,497 135,654 Business lending 41,223 13,167 - 54,390 53,473 Sovereign 167,403 1,560 53,364 222,327 217,545 Bank 1,479 11,081 8,788 21,348 21,332 Residential mortgages 515,283 81,550 - 596,833 588,235 Australian credit cards 6,128 8,940 - 15,068 15,246 Other retail 6,434 2,538 - 8,972 10,296 Small business 21,428 6,701 - 28,129 29,576 Specialised lending 56,370 11,902 280 68,552 69,429 Securitisation2 7,288 28,989 45 36,322 33,524 Standardised 10,929 974 2,700 14,603 15,275 Total 191,715 933,017 89,309 1,214,041 1,189,585 31 March 2022 On balance Total Exposure Average $m sheet Non-market related Market related at Default 6 months ended3 Corporate 58,276 58,479 13,756 130,511 130,588 Business lending 39,268 14,096 - 53,364 52,938 Sovereign 159,656 1,802 57,761 219,219 192,393 Bank 1,663 12,134 7,460 21,257 21,040 Residential mortgages 507,070 78,740 - 585,810 584,480 Australian credit cards 6,097 9,096 - 15,193 15,331 Other retail 7,596 2,716 - 10,312 10,958 Small business 22,587 7,066 - 29,653 30,254 Specialised lending 57,146 12,933 772 70,851 68,777 Securitisation2 8,556 24,743 67 33,366 31,704 Standardised 10,939 1,013 2,324 14,276 15,642 Total 905,512 196,160 82,140 1,183,812 1,154,105 Off-balance sheet Off-balance sheet Off-balance sheet 1 Average is based on exposures as at 30 September 2022, 30 June 2022, 31 March 2022, 31 December 2021 and 30 September 2021. 2 EAD associated with securitisations is for the banking book only. 3 Average is based on exposures as at 31 March 2022, 31 December 2021 and 30 September 2021.

Pillar 3 report Credit risk exposures 36 | Westpac Group March 2023 Pillar 3 report Exposure at Default by measurement method 31 March 2023 IRB FIRB Standardised Total Exposure $m Approach Approach Approach at Default Corporate - 37,110 5,905 43,015 Business Lending 40,861 - 205 41,066 Property Finance 52,697 - - 52,697 Large Corporate - 40,248 - 40,248 Sovereign - 210,868 1,777 212,645 Financial Institutions - 37,687 75 37,762 Residential Mortgages 518,276 - 19,632 537,908 Australian Credit Cards 13,675 - - 13,675 Other Retail 5,586 - 1,972 7,558 Small Business 29,559 - 213 29,772 Specialised Lending 3,746 - 474 4,220 Securitisation 32,831 - - 32,831 New Zealand 114,970 - 19,537 134,507 Total 849,311 288,803 49,790 1,187,904 30 September 2022 IRB Standardised Total Exposure $m Approach Approach at Default Corporate 147,497 5,675 153,172 Business lending 54,390 729 55,119 Sovereign 222,327 1,689 224,016 Bank 21,348 96 21,444 Residential mortgages 596,833 4,358 601,191 Australian credit cards 15,068 - 15,068 Other retail 8,972 1,643 10,615 Small business 28,129 - 28,129 Specialised lending 68,552 413 68,965 Securitisation 36,322 - 36,322 Total 1,199,438 14,603 1,214,041 31 March 2022 IRB Standardised Total Exposure $m Approach Approach at Default Corporate 130,511 5,063 135,574 Business lending 53,364 672 54,036 Sovereign 219,219 1,393 220,612 Bank 21,257 105 21,362 Residential mortgages 585,810 4,885 590,695 Australian credit cards 15,193 - 15,193 Other retail 10,312 1,783 12,095 Small business 29,653 - 29,653 Specialised lending 70,851 375 71,226 Securitisation 33,366 - 33,366 Total 1,169,536 14,276 1,183,812

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 37 Exposure at Default by industry classification 31 March 2023 $m Corporate 873 2,497 1,242 1,447 534 3,311 549 2,805 3,353 5,876 3,872 6,443 4,008 - 300 37,110 Business Lending 5,107 9,939 3,128 451 6 3,608 401 243 5,354 4,442 5,763 1,797 123 - 499 40,861 Property Finance 589 - - - - - - 51,907 1 1 20 - - - 179 52,697 Large Corporate 101 392 1,150 413 4 7,266 3,929 4,153 4,246 3,110 7,429 3,035 4,999 - 21 40,248 Sovereign - - - 149,376 61,492 - - - - - - - - - - 210,868 Financial Institutions 311 83 68 36,399 - 66 19 2 251 200 131 124 17 - 16 37,687 Residential Mortgages - - - - - - - - - - - - - 518,276 - 518,276 Australian Credit Cards - - - - - - - - - - - - - 13,675 - 13,675 Other Retail - - - - - - - - - - - - - 5,586 - 5,586 Small Business 783 1,984 3,762 1,591 588 1,662 615 3,138 4,568 3,635 3,007 1,532 330 - 2,364 29,559 Specialised Lending - - - - - 298 317 - 56 462 - 1,163 1,450 - - 3,746 Securitisation - - - 31,841 - - - - 424 - 566 - - - - 32,831 Standardised 1 - 10 5,712 - 2 - 21 30 111 7 - - 19,669 4,690 30,253 New Zealand 367 9,834 913 17,352 6,658 3,614 223 9,034 1,612 2,746 4,982 1,690 3,285 72,081 116 134,507 Total 9,756 23,105 10,273 244,582 69,282 19,827 6,053 71,303 19,895 20,583 25,777 15,784 14,212 629,287 8,185 1,187,904 Accommodation, cafes & restaurants Agriculture, forestry & fishing Construction Finance & insurance Government administration & defence Manufacturing Property Property services & business services Utilities 3 Mining Services Retail lending Other Total Exposure at Default1 Trade2 Transport & storage 1 1 Includes education, health & community services, cultural & recreational services and personal & other services. 2 Includes wholesale trade and retail trade. 3 Includes electricity, gas & water, and communication services.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 38 30 September 2022 $m Corporate 2,905 10,589 3,405 28,398 351 18,067 6,242 8,804 10,784 13,893 18,253 12,593 12,607 - 606 147,497 Business lending 5,854 10,915 4,201 1,768 7 4,999 494 1,014 6,801 6,162 7,754 2,387 368 - 1,666 54,390 Sovereign - 1 - 152,838 68,266 70 - 539 245 214 - 154 - - - 222,327 Bank - - - 21,224 23 - - - 101 - - - - - - 21,348 Residential mortgages - - - - - - - - - - - - - 596,833 - 596,833 Australian credit cards - - - - - - - - - - - - - 15,068 - 15,068 Other retail - - - - - - - - - - - - - 8,972 - 8,972 Small business 748 1,975 3,469 1,252 705 1,530 545 2,150 4,211 3,664 2,815 1,484 322 - 3,259 28,129 Specialised lending 566 14 29 14 - 1 724 63,021 101 526 32 1,265 1,505 - 754 68,552 Securitisation - - - 35,076 - - - - 806 - 440 - - - - 36,322 Standardised 110 1 182 5,069 1,689 151 39 413 149 35 535 104 59 6,001 66 14,603 Total 10,183 23,495 11,286 245,639 71,041 24,818 8,044 75,941 23,198 24,494 29,829 17,987 14,861 626,874 6,351 1,214,041 Accommodation, cafes & restaurants Agriculture, forestry & fishing Construction Finance & insurance Government administration & defence Manufacturing Mining Property Property services & business services Trade Transport & storage Total Exposure at Default 2 Services 1 Utilities 3 Retail lending Other 1 1 Includes education, health & community services, cultural & recreational services and personal & other services. 2 Includes wholesale trade and retail trade. 3 Includes electricity, gas & water, and communication services.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 39 31 March 2022 $m Corporate 2,525 11,135 3,193 16,061 103 15,969 6,211 8,547 9,617 13,811 17,842 11,819 12,965 - 713 130,511 Business lending 5,837 10,619 4,035 1,831 10 4,875 508 842 6,562 6,015 7,797 2,278 426 - 1,729 53,364 Sovereign - 1 - 154,430 63,608 54 50 475 10 438 - 153 - - - 219,219 Bank - - - 21,173 4 - - - 80 - - - - - - 21,257 Residential mortgages - - - - - - - - - - - - - 585,810 - 585,810 Australian credit cards - - - - - - - - - - - - - 15,193 - 15,193 Other retail - - - - - - - - - - - - - 10,312 - 10,312 Small business 792 2,073 3,599 1,362 810 1,573 566 2,179 4,499 3,989 2,951 1,543 332 - 3,385 29,653 Specialised lending 704 17 28 10 - 1 891 61,696 457 1,226 26 2,800 2,465 - 530 70,851 Securitisation - - - 32,256 - - - - 806 - 304 - - - - 33,366 Standardised 113 1 187 4,458 1,393 151 33 375 132 35 525 100 51 6,669 53 14,276 Total 9,971 23,846 11,042 231,581 65,928 22,623 8,259 74,114 22,163 25,514 29,445 18,693 16,239 617,984 6,410 1,183,812 Accommodation, cafes & restaurants Agriculture, forestry & fishing Construction Finance & insurance Government administration & defence Manufacturing Mining Property Property services & business services Services 1 Trade Total Exposure at Default 2 Transport & storage Utilities 3 Retail lending Other 1 1 Includes education, health & community services, cultural & recreational services and personal & other services. 2 Includes wholesale trade and retail trade. 3 Includes electricity, gas & water, and communication services.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 40 Exposure at Default by geography1 1 31 March 2023 Total Exposure $m Australia New Zealand Americas Asia Europe Pacific at Default Corporate 35,422 315 266 525 582 - 37,110 Business Lending 40,861 - - - - - 40,861 Property Finance 52,695 2 - - - - 52,697 Large Corporate 34,198 436 1,524 1,896 2,194 - 40,248 Sovereign 190,563 3,858 15,467 671 309 - 210,868 Financial Institutions 28,857 102 4,845 121 3,762 - 37,687 Residential Mortgages 518,156 - - 120 - - 518,276 Australian Credit Cards 13,675 - - - - - 13,675 Other Retail 5,586 - - - - - 5,586 Small Business 29,558 - - 1 - - 29,559 Specialised Lending 3,506 5 - - 235 - 3,746 Securitisation 32,831 - - - - - 32,831 Standardised 26,710 - - 6 - 3,537 30,253 New Zealand - 134,507 - - - - 134,507 Total 1,012,618 139,225 22,102 3,340 7,082 3,537 1,187,904 30 September 2022 Total Exposure $m Australia New Zealand Americas Asia Europe Pacific at Default Corporate 98,283 22,938 10,222 4,678 11,376 - 147,497 Business lending 49,950 4,440 - - - - 54,390 Sovereign 191,542 18,933 10,522 870 460 - 222,327 Bank 19,788 1,105 10 298 147 - 21,348 Residential mortgages 532,458 64,226 - 149 - - 596,833 Australian credit cards 15,068 - - - - - 15,068 Other retail 6,460 2,512 - - - - 8,972 Small business 26,093 2,035 - 1 - - 28,129 Specialised lending 61,087 7,465 - - - - 68,552 Securitisation 31,730 4,592 - - - - 36,322 Standardised 11,277 - - - - 3,326 14,603 Total 1,043,736 128,246 20,754 5,996 11,983 3,326 1,214,041 31 March 2022 Total Exposure $m Australia New Zealand Americas Asia Europe Pacific at Default Corporate 88,138 23,216 7,721 4,164 7,272 - 130,511 Business lending 48,561 4,803 - - - - 53,364 Sovereign 189,699 18,483 10,197 351 489 - 219,219 Bank 18,969 1,662 1 556 69 - 21,257 Residential mortgages 519,859 65,790 - 161 - - 585,810 Australian credit cards 15,193 - - - - - 15,193 Other retail 7,616 2,696 - - - - 10,312 Small business 27,442 2,210 - 1 - - 29,653 Specialised lending 63,104 7,746 - - 1 - 70,851 Securitisation 29,164 4,202 - - - - 33,366 Standardised 11,350 - - - - 2,926 14,276 Total 1,019,095 130,808 17,919 5,233 7,831 2,926 1,183,812 1 Geographic segmentation of exposures is based on the location of the office in which these items were booked.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 41 Exposure at Default by residual contractual maturity 31 March 2023 Total Exposure $m On demand < 12 months 1 to < 3 years 3 to < 5 years > 5 years at Default Corporate 4,829 3,189 15,016 9,270 4,806 37,110 Business Lending 2,473 8,958 17,470 4,813 7,147 40,861 Property Finance 207 14,537 24,677 7,029 6,247 52,697 Large Corporate 4,406 6,034 19,246 9,029 1,533 40,248 Sovereign 469 111,183 59,069 14,256 25,891 210,868 Financial Institutions 3,281 5,786 24,379 3,238 1,003 37,687 Residential Mortgages 26,217 1,606 3,648 784 486,021 518,276 Australian Credit Cards 13,675 - - - - 13,675 Other Retail 184 206 1,421 1,526 2,249 5,586 Small Business 4,490 2,525 7,451 6,113 8,980 29,559 Specialised Lending 1 338 821 1,155 1,431 3,746 Securitisation - 10,132 7,022 3,065 12,612 32,831 Standardised 1,467 2,608 6,976 449 18,753 30,253 New Zealand 5,554 27,198 20,503 8,191 73,061 134,507 Total 65,613 195,940 207,699 68,918 649,734 1,187,904 30 September 2022 Total Exposure $m On demand < 12 months 1 to < 3 years 3 to < 5 years > 5 years at Default Corporate 13,078 24,945 76,523 26,790 6,161 147,497 Business lending 4,458 12,882 24,137 5,998 6,915 54,390 Sovereign 1,304 115,909 69,268 13,010 22,836 222,327 Bank 3,186 3,384 13,845 776 157 21,348 Residential mortgages 29,080 5,422 10,469 2,652 549,210 596,833 Australian credit cards 15,068 - - - - 15,068 Other retail 2,535 290 3,133 1,999 1,015 8,972 Small business 4,241 2,781 7,872 6,451 6,784 28,129 Specialised lending 322 19,318 37,024 8,620 3,268 68,552 Securitisation - 8,502 10,254 4,346 13,220 36,322 Standardised 1,443 1,257 7,029 297 4,577 14,603 Total 74,715 194,690 259,554 70,939 614,143 1,214,041 31 March 2022 Total Exposure $m On demand < 12 months 1 to < 3 years 3 to < 5 years > 5 years at Default Corporate 13,765 25,029 61,310 23,990 6,417 130,511 Business lending 4,389 13,507 23,254 5,797 6,417 53,364 Sovereign 1,350 103,649 71,756 11,610 30,854 219,219 Bank 2,831 2,894 14,725 627 180 21,257 Residential mortgages 29,763 5,158 11,127 2,769 536,993 585,810 Australian credit cards 15,193 - - - - 15,193 Other retail 2,688 321 3,466 2,618 1,219 10,312 Small business 4,326 2,966 8,328 7,093 6,940 29,653 Specialised lending 382 19,195 37,544 9,626 4,104 70,851 Securitisation 9 5,284 11,275 2,510 14,288 33,366 Standardised 1,571 1,212 6,108 284 5,101 14,276 Total 76,267 179,215 248,893 66,924 612,513 1,183,812

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 42 Non-Performing and past due loans This table discloses non-performing and past due loans by credit asset class. Under the revised capital framework, ADI’s are required to disclose non-performing exposures which are exposures in default aligned to the definition in APS220 Credit Risk Management. Under APS 220, the initial recognition of default under APS220 is where either one, or both, of the following has happened: Westpac considers that the borrower is unlikely to pay its credit obligations to Westpac in full, and without recourse to actions such as realising available security; the borrower is 90 days or more past-due on a credit obligation to Westpac. The revised definition also requires ADI’s to classify an exposure as non-performing for an additional 90 days after returning to performing. At 31 March 2023 Non-Performing exposures not impaired have increased by $0.6 billion to $6.7 billion in line with the revised definition and inclusion of loans for an additional 90 days after returning to performing. Non-Performing and past due loans by portfolio12 Non-Performing Non-Performing Total Specific provisions Actual 31 March 2023 Exposures Exposures Non-Performing for Non-Performing Losses for the $m - Not Impaired - Impaired Exposures Exposures 6 month ended Corporate 78 164 242 147 (26) Business Lending 890 164 1,054 235 16 Property Finance 719 23 742 134 2 Large Corporate - - - - - Sovereign - - - - - Financial Institutions 50 15 65 18 5 Residential Mortgages 3,397 232 3,629 330 11 Australian Credit Cards - 100 100 37 44 Other Retail - 160 160 80 53 Small Business 692 429 1,121 196 31 Specialised Lending - - - - - Securitisation - - - - - Standardised 309 137 446 98 - New Zealand 574 97 671 118 7 Total 6,709 1,521 8,230 1,393 143 Specific Actual 30 September 2022 Defaulted Impaired Provisions for Losses for the $m not impaired1 Loans Impaired Loans 12 months ended Corporate 150 292 196 384 Business lending 1,175 274 142 84 Sovereign - - - - Bank - - - - Residential mortgages 3,576 248 67 30 Australian credit cards - 60 30 104 Other retail - 182 94 105 Small business 557 326 136 37 Specialised lending 549 29 10 1 Securitisation - - - - Standardised 72 103 51 - Total 6,079 1,514 726 745 Specific Actual 31 March 2022 Defaulted Impaired Provisions for Losses for the $m not impaired1 Loans Impaired Loans 6 months ended Corporate 218 290 208 303 Business lending 1,008 333 150 34 Sovereign - - - - Bank - - - - Residential mortgages 4,229 226 65 28 Australian credit cards - 59 33 50 Other retail - 217 116 36 Small business 496 348 167 14 Specialised lending 532 88 19 (1) Securitisation - - - - Standardised 73 92 36 - Total 6,556 1,653 794 464 1 Includes items past 90 days not impaired.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 43 Non-Performing and past due loans by industry classification1 Non-Performing Non-Performing Total Specific provisions Actual 31 March 2023 Exposures Exposures Non-Performing for Non-Performing Losses for the $m - Not Impaired - Impaired Exposures Exposures 6 month ended Accommodation, cafes & restaurants 208 61 269 63 7 Agriculture, forestry & fishing 263 59 322 51 (34) Construction 185 96 281 63 6 Finance & insurance 94 39 133 33 5 Government administration & defence - - - - - Manufacturing 172 112 284 109 1 Mining 12 8 20 4 - Property 892 61 953 158 7 Property services & business services 226 125 351 93 14 Services2 174 92 266 72 8 Trade3 295 170 465 113 9 Transport & storage 63 33 96 18 1 Utilities4 8 5 13 2 - Retail lending 4,059 583 4,642 570 116 Other 58 77 135 44 3 Total 6,709 1,521 8,230 1,393 143 Specific Actual 30 September 2022 Defaulted Impaired Provisions for Losses for the $m not impaired1 Loans Impaired Loans 12 months ended Accommodation, cafes & restaurants 273 57 25 5 Agriculture, forestry & fishing 243 55 21 7 Construction 145 88 41 10 Finance & insurance 86 40 23 8 Government administration & defence - - - - Manufacturing 126 186 113 89 Mining 14 9 3 3 Property 801 57 18 28 Property services & business services 202 150 91 17 Services2 181 101 59 310 Trade3 298 172 83 19 Transport & storage 55 37 13 7 Utilities4 6 4 1 1 Retail lending 3,636 503 198 239 Other 13 55 37 2 Total 6,079 1,514 726 745 Specific Actual 31 March 2022 Defaulted Impaired Provisions for Losses for the $m not impaired1 Loans Impaired Loans 6 months ended Accommodation, cafes & restaurants 312 66 27 1 Agriculture, forestry & fishing 165 62 17 4 Construction 135 88 38 5 Finance & insurance 105 34 21 9 Government administration & defence - - - - Manufacturing 115 210 141 1 Mining 20 12 6 - Property 682 119 31 - Property services & business services 249 159 92 10 Services2 183 115 60 304 Trade3 230 176 96 10 Transport & storage 33 39 17 6 Utilities4 11 4 1 - Retail lending 4,292 517 220 114 Other 24 52 27 - Total 6,556 1,653 794 464 1 Includes items past 90 days not impaired. 2 Includes education, health & community services, cultural & recreational services and personal & other services. 3 Includes wholesale trade and retail trade. 4 Includes electricity, gas & water, and communication services.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 44 Non-performing and past due loans by geography11 2 Non-Performing Non-Performing Total Specific provisions Actual 31 March 2023 Exposures Exposures Non-Performing for Non-Performing Losses for the $m - Not Impaired - Impaired Exposures Exposures 6 month ended Australia 6,078 1,295 7,373 1,205 136 New Zealand 574 98 672 118 7 Americas - - - - - Asia - 33 33 20 - Europe - - - - - Pacific 57 95 152 50 - Total 6,709 1,521 8,230 1,393 143 Specific Actual 30 September 2022 Defaulted Impaired Provisions for Losses for the $m not impaired2 Loans Impaired Loans 12 months ended Australia 5,609 1,302 609 685 New Zealand 425 77 34 60 Americas - - - - Asia - 34 32 - Europe - - - - Pacific 45 101 51 - Total 6,079 1,514 726 745 Specific Actual 31 March 2022 Defaulted Impaired Provisions for Losses for the $m not impaired2 Loans Impaired Loans 6 months ended Australia 6,010 1,450 694 414 New Zealand 499 82 36 50 Americas - - - - Asia - 30 28 - Europe - - - - Pacific 47 91 36 - Total 6,556 1,653 794 464 1 Geographic segmentation of exposures is based on the location of the office in which these items were booked. 2 Includes items past 90 days not impaired.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 45 Portfolios subject to IRB approaches (AIRB) In the tables below Westpac’s transaction-managed exposures are classified by the external credit rating. Each external credit rating aligns to one or more internally assigned credit risk grades, as outlined in the ‘Credit Risk Management’ section of this report. Westpac’s internal rating scale has more risk grades than does the external rating scale, and as a result, average PD can vary from portfolio to portfolio for the same external grade. Westpac’s program-managed exposures are classified by PD band and the average PD within a band can, likewise, vary from portfolio to portfolio. For both non-defaulted and defaulted exposures, regulatory expected loss is defined at facility level. For non-defaulted exposures, regulatory expected loss is the product of PD, LGD and EAD while for defaulted exposures, this is the best estimates of loss. Total regulatory expected loss as shown in the table below is the sum of both non-defaulted and defaulted regulatory expected loss and given the difference in methodology, regulatory expected loss reported is not equal to the product of the corresponding reported average PD, average LGD and aggregate EAD. For 31 March 2023, the tables below reflect the revised asset class definitions set out on page 27. Corporate portfolio by external credit rating p Risk Average 31 March 2023 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings1 Undraw n2 at Default of Default Default Expected Loss Assets Weight AAA 100 104 142 0.00% 50% - 20 14% AA 1,430 1,256 2,120 0.05% 47% - 384 18% A 3,250 2,236 4,243 0.07% 44% 1 1,147 27% BBB 11,013 6,559 14,308 0.34% 41% 17 7,259 51% BB 11,999 6,036 15,017 1.19% 39% 70 13,404 89% B 113 69 149 4.70% 47% 3 233 156% Other 334 405 560 19.11% 45% 45 1,233 220% Subtotal 28,239 16,665 36,539 0.94% 41% 136 23,680 65% Default 241 115 571 100.00% 48% 452 629 110% Total 28,480 16,780 37,110 2.47% 41% 588 24,309 66% Risk Average 30 September 2022 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings1 Undraw n2 at Default of Default Default Expected Loss Assets Weight AAA 1,695 9 1,703 0.01% 59% - 179 11% AA 5,425 2,074 7,485 0.03% 47% 1 1,009 13% A 27,763 11,937 39,465 0.07% 51% 14 10,254 26% BBB 36,926 24,660 60,667 0.22% 48% 63 29,743 49% BB 26,680 9,188 35,339 1.05% 37% 138 27,071 77% B 619 45 654 4.78% 42% 13 908 139% Other 1,011 302 1,305 19.45% 42% 104 2,810 215% Subtotal 100,119 48,215 146,618 0.56% 46% 333 71,974 49% Default 407 115 879 NA 70% 567 714 81% Total 100,526 48,330 147,497 1.15% 46% 900 72,688 49% Risk Average 31 March 2022 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings1 Undraw n2 at Default of Default Default Expected Loss Assets Weight AAA 322 9 331 0.01% 51% - 32 10% AA 3,095 1,767 4,844 0.03% 53% 1 829 17% A 17,900 11,939 29,569 0.07% 53% 10 7,947 27% BBB 31,200 26,382 56,699 0.22% 49% 60 28,515 50% BB 25,761 10,882 36,381 1.07% 37% 145 27,997 77% B 692 58 744 4.78% 37% 13 925 124% Other 891 144 1,031 24.46% 40% 102 2,211 214% Subtotal 79,861 51,181 129,599 0.64% 46% 331 68,456 53% Default 466 163 912 NA 60% 508 935 103% Total 80,327 51,344 130,511 1.33% 47% 839 69,391 53% 1 Outstandings are balances that were drawn down as at the reporting date and include certain off-balance sheet items. 2 Committed undrawn balances are committed exposures that were not drawn down as at the reporting date.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 46 Business lending portfolio by external credit ratings Risk Average 31 March 2023 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings1 Undraw n2 at Default of Default Default Expected Loss Assets Weight AAA - - - 0.00% 0% - - 0% AA - - - 0.00% 0% - - 0% A - 22 10 0.00% 30% - 2 20% BBB 3,208 2,407 4,227 0.54% 30% 8 1,604 38% BB 29,360 9,743 33,799 1.50% 30% 160 20,935 62% B 652 117 703 4.84% 31% 11 605 86% Other 1,045 220 1,143 22.92% 32% 84 1,791 157% Subtotal 34,265 12,509 39,882 2.07% 31% 263 24,937 63% Default 976 137 979 100.00% 27% 227 991 101% Total 35,241 12,646 40,861 4.42% 30% 490 25,928 63% Risk Average 30 September 2022 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings1 Undraw n2 at Default of Default Default Expected Loss Assets Weight AAA - - - - - - - - AA - - - - - - - - A 147 50 197 0.08% 43% - 43 22% BBB 2,890 1,501 4,392 0.23% 30% 3 1,138 26% BB 35,858 9,890 45,727 1.39% 29% 182 25,157 55% B 804 114 919 4.78% 29% 13 707 77% Other 1,445 222 1,668 22.74% 31% 117 2,427 146% Subtotal 41,144 11,777 52,903 2.02% 29% 315 29,472 56% Default 1,381 105 1,487 NA 24% 311 1,069 72% Total 42,525 11,882 54,390 4.70% 29% 626 30,541 56% Risk Average 31 March 2022 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings1 Undraw n2 at Default of Default Default Expected Loss Assets Weight AAA - - - - - - - - AA - - - - - - - - A 149 94 243 0.08% 41% - 42 17% BBB 1,363 688 2,050 0.22% 29% 1 524 26% BB 35,310 11,472 46,741 1.56% 29% 211 27,044 58% B 1,078 193 1,272 4.78% 30% 18 1,013 80% Other 1,428 263 1,691 22.12% 32% 120 2,519 149% Subtotal 39,328 12,710 51,997 2.25% 29% 350 31,142 60% Default 1,264 97 1,367 NA 26% 271 1,544 113% Total 40,592 12,807 53,364 4.75% 29% 621 32,686 61% 1 Outstandings are balances that were drawn down as at the reporting date and include certain off-balance sheet items. 2 Committed undrawn balances are committed exposures that were not drawn down as at the reporting date.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 47 Property finance portfolio by external credit ratings Property finance (income-producing real estate under APS113) represents exposures where repayments depend primarily on the cash flows generated by the asset or other real estate assets owned by the borrower. The revised capital framework has resulted in Property Finance being recategorised as a separate exposure class using the AIRB approach to calculate RWAs (refer to page 27). Previously Property finance was categorised as specialised lending and subject to supervisory risk weights in the IRB approach (set out on page 52). As Property Finance is a new asset class prior period comparatives have not been included Risk Average 31 March 2023 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings1 Undraw n2 at Default of Default Default Expected Loss Assets Weight AAA - - - - - - - - AA - - - 0.00% 0% - - 0% A 1,470 708 1,754 0.11% 43% 1 771 44% BBB 11,248 2,548 12,529 0.24% 18% 5 3,975 32% BB 33,257 5,497 36,733 1.31% 23% 115 24,704 67% B 392 27 406 4.68% 24% 5 410 101% Other 489 62 531 20.15% 26% 28 989 186% Subtotal 46,856 8,842 51,953 1.23% 23% 154 30,849 59% Default 744 45 744 100.00% 21% 134 385 52% Total 47,600 8,887 52,697 2.63% 23% 288 31,234 59%

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 48 Residential mortgages portfolio by PD band1,2,31,21, 2 Risk Average 31 March 2023 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings4 Undraw n5 at Default of Default Default Expected Loss Assets Weight 0.0 to 0.10 68,121 42,265 109,324 0.05% 13% 8 6,199 6% 0.10 to 0.25 108,341 15,201 122,339 0.16% 14% 28 10,327 8% 0.25 to 1.0 214,998 11,043 225,545 0.44% 16% 159 42,080 19% 1.0 to 2.5 27,824 669 28,427 1.21% 17% 57 10,919 38% 2.5 to 10.0 21,926 1,327 22,632 7.73% 16% 273 24,250 107% 10.0 to 99.99 6,332 26 6,362 19.82% 16% 206 8,813 139% Subtotal 447,542 70,531 514,629 0.90% 15% 731 102,588 20% Default 3,629 28 3,647 100.00% 20% 326 6,576 180% Total 451,171 70,559 518,276 1.59% 15% 1,057 109,164 21% Risk Average 30 September 2022 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings4 Undraw n5 at Default of Default Default Expected Loss Assets Weight 0.0 to 0.10 139,831 45,839 184,024 0.07% 20% 28 12,446 7% 0.10 to 0.25 27,842 9,372 36,510 0.24% 20% 18 5,641 15% 0.25 to 1.0 285,338 30,499 311,768 0.52% 20% 322 78,447 25% 1.0 to 2.5 34,699 3,384 37,178 1.45% 21% 111 18,546 50% 2.5 to 10.0 12,192 574 12,492 4.84% 20% 122 12,062 97% 10.0 to 99.99 10,840 198 11,020 18.62% 20% 410 15,965 145% Subtotal 510,742 89,866 592,992 0.85% 20% 1,011 143,107 24% Default 3,829 29 3,841 NA 20% 394 6,101 159% Total 514,571 89,895 596,833 1.49% 20% 1,405 149,208 25% Risk Average 31 March 2022 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings4 Undraw n5 at Default of Default Default Expected Loss Assets Weight 0.0 to 0.10 140,674 44,608 183,545 0.08% 20% 28 12,060 7% 0.10 to 0.25 26,650 8,000 33,913 0.24% 20% 16 5,249 15% 0.25 to 1.0 274,769 30,369 300,908 0.52% 20% 311 73,393 24% 1.0 to 2.5 33,753 3,376 36,198 1.45% 21% 109 17,572 49% 2.5 to 10.0 12,304 594 12,608 4.85% 20% 124 11,781 93% 10.0 to 99.99 13,934 248 14,152 19.48% 20% 551 19,655 139% Subtotal 502,084 87,195 581,324 0.98% 20% 1,139 139,710 24% Default 4,477 26 4,486 NA 20% 476 6,738 150% Total 506,561 87,221 585,810 1.74% 20% 1,615 146,448 25% 1 As at 31 March 2023 Residential Mortgages risk weighted assets under the IRB approach totalled $128,815 million. The Standardised approach equivalent was $205,876 million. 2 The above table reflects that at 30 September 2022 and 31 March 2022 Westpac applied a floor of 25% to its residential mortgage risk weights. This floor was removed under APRA’s revised capital framework commencing 1 January 2023. 3 The 31 March 2022 table above reflects that Westpac recalibrated the mortgage PD model to reflect an increase in hardship, which resulted in redistribution of EAD across PD bands. 4 Outstandings are balances that were drawn down as at the reporting date. 5 Committed undrawn balances are committed exposures that were not drawn down as at the reporting date.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 49 Australian credit cards portfolio by PD band1,21, 2 Risk Average 31 March 2023 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings3 Undraw n4 at Default of Default Default Expected Loss Assets Weight 0.0 to 0.10 1,231 6,106 4,345 0.07% 80% 3 185 4% 0.10 to 0.25 1,450 4,610 3,981 0.18% 84% 6 338 8% 0.25 to 1.0 1,375 2,130 2,581 0.54% 85% 12 575 22% 1.0 to 2.5 901 593 1,260 1.67% 85% 18 652 52% 2.5 to 10.0 754 439 984 3.56% 84% 29 871 89% 10.0 to 99.99 365 188 451 17.29% 81% 63 983 218% Subtotal 6,076 14,066 13,602 1.16% 83% 131 3,604 26% Default 73 28 73 100.00% 74% 41 353 484% Total 6,149 14,094 13,675 1.69% 83% 172 3,957 29% Risk Average 30 September 2022 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings3 Undraw n4 at Default of Default Default Expected Loss Assets Weight 0.0 to 0.10 1,835 9,242 7,626 0.05% 79% 3 197 3% 0.10 to 0.25 1,124 3,136 2,911 0.16% 82% 4 225 8% 0.25 to 1.0 1,010 1,017 1,667 0.46% 83% 7 310 19% 1.0 to 2.5 1,025 716 1,536 1.55% 82% 19 699 46% 2.5 to 10.0 825 297 1,001 4.40% 82% 36 932 93% 10.0 to 99.99 237 63 255 25.68% 79% 51 1,061 416% Subtotal 6,056 14,471 14,996 1.00% 81% 120 3,424 23% Default 72 16 72 NA 80% 33 493 685% Total 6,128 14,487 15,068 1.47% 81% 153 3,917 26% Risk Average 31 March 2022 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings3 Undraw n4 at Default of Default Default Expected Loss Assets Weight 0.0 to 0.10 1,724 9,361 7,567 0.05% 79% 3 196 3% 0.10 to 0.25 1,060 3,331 2,922 0.16% 82% 4 226 8% 0.25 to 1.0 1,015 1,044 1,671 0.47% 83% 7 313 19% 1.0 to 2.5 1,079 735 1,601 1.55% 82% 20 728 45% 2.5 to 10.0 895 306 1,075 4.43% 82% 39 1,004 93% 10.0 to 99.99 272 70 284 26.96% 79% 60 1,015 357% Subtotal 6,045 14,847 15,120 1.09% 81% 133 3,482 23% Default 73 14 73 NA 80% 36 469 642% Total 6,118 14,861 15,193 1.57% 81% 169 3,951 26% 1 The above table reflects that at 30 September 2022 and 31 March 2022 Westpac applied a floor of 26% to its Australian Credit Cards risk weights. 2 The above table reflects that at 31 March 2022 Westpac recalibrated the Australian Credit Cards LGD model. 3 Outstandings are balances that were drawn down as at the reporting date. 4 Committed undrawn balances are committed exposures that were not drawn down as at the reporting date.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 50 Small business portfolio by PD band Regulatory Risk Average 31 March 2023 Committed Exposure Probability Loss Given Expected Weighted Risk $m Outstandings1 Undrawn2 at Default of Default Default Loss Assets Weight 0.0 to 0.10 - - - 0.00% 0% - - 0% 0.10 to 0.25 - - - 0.00% 0% - - 0% 0.25 to 1.0 1,145 2,292 3,474 0.60% 37% 8 1,144 33% 1.0 to 2.5 14,408 4,022 18,651 1.47% 35% 98 8,938 48% 2.5 to 10.0 4,054 547 4,672 4.88% 36% 81 3,055 65% 10.0 to 99.99 1,538 209 1,767 28.92% 36% 187 1,923 109% Subtotal 21,145 7,070 28,564 3.62% 36% 374 15,060 53% Default 988 103 995 100.00% 39% 202 3,159 317% Total 22,133 7,173 29,559 6.87% 36% 576 18,219 62% Regulatory Risk Average 30 September 2022 Committed Exposure Probability Loss Given Expected Weighted Risk $m Outstandings1 Undrawn2 at Default of Default Default Loss Assets Weight 0.0 to 0.10 201 371 404 0.07% 53% - 46 11% 0.10 to 0.25 125 198 317 0.19% 21% - 27 9% 0.25 to 1.0 4,955 3,444 8,327 0.46% 29% 11 1,785 21% 1.0 to 2.5 12,752 1,605 14,374 1.60% 38% 85 7,243 50% 2.5 to 10.0 2,249 287 2,537 5.10% 35% 47 1,722 68% 10.0 to 99.99 1,311 81 1,395 28.26% 37% 143 1,545 111% Subtotal 21,593 5,986 27,354 2.90% 35% 286 12,368 45% Default 763 65 775 NA 32% 162 1,623 209% Total 22,356 6,051 28,129 5.57% 35% 448 13,991 50% Regulatory Risk Average 31 March 2022 Committed Exposure Probability Loss Given Expected Weighted Risk $m Outstandings1 Undrawn2 at Default of Default Default Loss Assets Weight 0.0 to 0.10 205 371 406 0.07% 53% - 46 11% 0.10 to 0.25 144 206 339 0.18% 21% - 28 8% 0.25 to 1.0 5,382 3,551 8,852 0.46% 29% 12 1,910 22% 1.0 to 2.5 13,463 1,807 15,282 1.60% 38% 91 7,713 50% 2.5 to 10.0 2,264 341 2,606 4.98% 35% 47 1,760 68% 10.0 to 99.99 1,366 95 1,462 29.13% 35% 147 1,602 110% Subtotal 22,824 6,371 28,947 2.91% 35% 297 13,059 45% Default 695 43 706 NA 33% 175 1,342 190% Total 23,519 6,414 29,653 5.22% 35% 472 14,401 49% 1 Outstandings are balances that were drawn down as at the reporting date and include certain off-balance sheet items. 2 Committed undrawn balances are committed exposures that were not drawn down as at the reporting date.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 51 Other retail portfolio by PD band Risk Average 31 March 2023 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings1 Undrawn2 at Default of Default Default Expected Loss Assets Weight 0.0 to 0.10 1 3 2 0.00% 100% - - - 0.10 to 0.25 80 141 218 0.00% 70% - 72 33% 0.25 to 1.0 1,724 466 2,190 0.64% 61% 8 1,154 53% 1.0 to 2.5 1,121 314 1,436 1.53% 74% 17 1,375 96% 2.5 to 10.0 1,098 62 1,169 4.79% 76% 43 1,427 122% 10.0 to 99.99 389 20 416 28.37% 69% 83 715 172% Subtotal 4,413 1,006 5,431 3.87% 68% 151 4,743 87% Default 155 5 155 100.00% 72% 83 561 362% Total 4,568 1,011 5,586 6.53% 69% 234 5,304 95% Risk Average 30 September 2022 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings1 Undrawn2 at Default of Default Default Expected Loss Assets Weight 0.0 to 0.10 214 792 696 0.05% 47% - 52 7% 0.10 to 0.25 336 1,110 1,052 0.20% 59% 2 264 25% 0.25 to 1.0 2,274 824 2,949 0.64% 60% 12 1,490 51% 1.0 to 2.5 1,528 674 2,036 1.64% 70% 25 1,796 88% 2.5 to 10.0 1,381 185 1,531 4.85% 74% 59 1,773 116% 10.0 to 99.99 493 29 534 24.56% 70% 96 840 157% Subtotal 6,226 3,614 8,798 2.96% 64% 194 6,215 71% Default 172 10 174 NA 70% 98 511 294% Total 6,398 3,624 8,972 4.84% 64% 292 6,726 75% Risk Average 31 March 2022 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings1 Undrawn2 at Default of Default Default Expected Loss Assets Weight 0.0 to 0.10 212 889 753 0.05% 47% - 57 8% 0.10 to 0.25 329 1,186 1,094 0.20% 59% 2 276 25% 0.25 to 1.0 2,651 860 3,351 0.65% 59% 13 1,675 50% 1.0 to 2.5 1,862 713 2,394 1.63% 68% 29 2,073 87% 2.5 to 10.0 1,670 208 1,834 4.75% 73% 68 2,071 113% 10.0 to 99.99 624 38 673 24.82% 68% 120 1,037 154% Subtotal 7,348 3,894 10,099 3.14% 63% 232 7,189 71% Default 210 10 213 NA 70% 120 596 280% Total 7,558 3,904 10,312 5.14% 64% 352 7,785 75% 1 Outstandings are balances that were drawn down as at the reporting date. 2 Committed undrawn balances are committed exposures that were not drawn down as at the reporting date.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 52 Portfolios subject to supervisory risk-weights in the IRB approach Exposures subject to supervisory risk-weights in the IRB approach include assets categorised as specialised lending, where a regulatory capital ‘slotting’ approach applies. The ‘Credit Risk Management’ section of this report describes the mapping of Westpac risk grades to both external rating equivalents and regulatory capital ‘slots’. Westpac previously categorised Property Finance and Project Finance (including Object Finance) credit risk exposures under Specialised Lending. The revised capital framework has resulted in Property Finance being recategorised as a separate exposure class using the AIRB approach to calculate RWAs (refer to page 27). The remaining portfolio classified as Specialised Lending at 31 March 2023 relates to Project Finance and Object Finance. 31 March 2023 Exposure at Regulatory Risk Weighted $m Risk Weight Default Expected Loss Assets Strong 70% 2,596 10 1,817 Good 90% 837 7 753 Satisfactory 115% 312 9 359 Weak 250% 1 - 2 Default NA - - - Total 3,746 26 2,931 30 September 2022 Exposure at Regulatory Risk Weighted $m Risk Weight Default Expected Loss Assets Strong 70% 30,512 122 21,360 Good 90% 32,274 259 29,151 Satisfactory 115% 4,539 127 5,260 Weak 250% 627 50 1,567 Default NA 600 300 - Total 858 68,552 57,338 31 March 2022 Exposure at Regulatory Risk Weighted $m Risk Weight Default Expected Loss Assets Strong 70% 34,719 138 24,306 Good 90% 30,946 248 27,955 Satisfactory 115% 3,926 110 4,555 Weak 250% 607 49 1,518 Default NA 653 327 - Total 872 70,851 58,334

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 53 Portfolios subject to FIRB This table sets out portfolios subject to FIRB. A key change of the revised capital framework has been asset classifications used to determine RWA and the use of FIRB for some exposure classes. Under FIRB, an ADI must provide its own estimates of Probably of Default (PD) and maturity and rely on supervisory estimates of Loss Given Default (LGD) and EAD. This includes all Sovereign, Financial Institutions and Large Corporate exposures. Prior period comparatives have not been included for Financial Institutions and Large Corporate exposures as these represent a new asset class under the revised framework as set out in on page 27. For Sovereign exposures RWA was previously calculated using AIRB. Sovereign exposures by external credit rating11 Risk Average 31 March 2023 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings2 Undraw n3 at Default of Default Default Expected Loss Assets Weight AAA 142,152 42 142,169 0.01% 5% 1 780 1% AA 67,986 207 68,172 0.02% 5% 1 1,409 2% A 388 94 430 0.00% 43% - 102 24% BBB 84 1 84 0.00% 51% - 47 56% BB 8 4 11 0.00% 55% - 13 118% B - - - - - - 1 - Other - 3 2 0.00% 50% - 5 250% Subtotal 210,618 351 210,868 0.01% 5% 2 2,357 1% Default - - - 0.00% - - - - Total 210,618 351 210,868 0.01% 5% 2 2,357 1% Risk Average 30 September 2022 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings2 Undraw n3 at Default of Default Default Expected Loss Assets Weight AAA 159,202 311 159,587 0.01% 6% 1 1,040 1% AA 60,550 698 61,544 0.02% 6% 1 1,091 2% A 722 301 1,025 0.05% 33% - 161 16% BBB 138 12 150 0.17% 29% - 25 17% BB 5 13 18 2.10% 35% - 15 83% B - - - - - - - - Other 1 2 3 12.11% 18% - 3 100% Subtotal 220,618 1,337 222,327 0.01% 6% 2 2,335 1% Default - - - NA - - - - Total 220,618 1,337 222,327 0.01% 6% 2 2,335 1% Risk Average 31 March 2022 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings2 Undraw n3 at Default of Default Default Expected Loss Assets Weight AAA 162,590 279 163,307 0.01% 6% 1 1,078 1% AA 53,148 1,024 55,195 0.02% 7% 1 1,053 2% A 387 246 635 0.05% 30% - 101 16% BBB 56 10 66 0.22% 40% - 24 36% BB 2 14 16 2.13% 37% - 14 88% B - - - - - - - - Other - - - - - - - - Subtotal 216,183 1,573 219,219 0.01% 6% 2 2,270 1% Default - - - NA - - - - Total 216,183 1,573 219,219 0.01% 6% 2 2,270 1% 1 March 2022 Sovereign EAD has been restated. Refer to June 2022 Pillar 3 report for further details. 2 Outstandings are balances that were drawn down as at the reporting date and include certain off-balance sheet items. 3 Committed undrawn balances are committed exposures that were not drawn down as at the reporting date.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 54 Financial institution exposures by external credit rating 1 Risk Average 31 March 2023 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings1 Undrawn2 at Default of Default Default Expected Loss Assets Weight AAA 3,029 - 3,029 0.07% 50% 1 1,486 49% AA 8,868 482 9,127 0.05% 50% 2 3,279 36% A 16,596 4,045 18,740 0.06% 51% 6 5,019 27% BBB 2,800 2,544 4,125 0.19% 52% 4 2,523 61% BB 2,113 642 2,484 1.13% 47% 12 2,553 103% B 27 15 41 4.88% 46% 1 69 168% Other 53 5 56 23.21% 38% 5 128 229% Subtotal 33,486 7,733 37,602 0.18% 50% 31 15,057 40% Default 85 3 85 100.00% 47% 40 - 0% Total 33,571 7,736 37,687 0.41% 50% 71 15,057 40% Large corporate exposures by external credit rating Risk Average 31 March 2023 Committed Exposure Probability Loss Given Regulatory Weighted Risk $m Outstandings1 Undrawn2 at Default of Default Default Expected Loss Assets Weight AAA - - - 0.00% 0% - - 0% AA 174 261 281 0.00% 50% - 66 23% A 8,056 9,177 12,328 0.07% 55% 5 3,947 32% BBB 14,096 18,316 22,683 0.22% 52% 26 12,152 54% BB 2,960 3,740 4,838 1.01% 48% 24 4,786 99% B 37 26 54 5.56% 59% 2 107 198% Other 19 88 64 17.19% 52% 6 170 266% Subtotal 25,342 31,608 40,248 0.31% 52% 63 21,228 53% Default - - - 0.00% 0% - - 0% Total 25,342 31,608 40,248 0.31% 52% 63 21,228 53% 1 Outstandings are balances that were drawn down as at the reporting date and include certain off-balance sheet items 2 Committed undrawn balances are committed exposures that were not drawn down as at the reporting date.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 55 Portfolios subject to the standardised approach1 This table presents exposures subject to the standardised approach for the calculation of RWA. Under the revised capital framework certain mortgages are prescribed a standardised risk weight. These mortgages mainly related to long-term interest-only loans, loans to self-managed superannuation funds and other loans that do not meet minimum criteria. At 31 March 2022 these mortgages total $18.6 billion and mainly relate to interest only loans with a term greater than five years and to a lesser degree loans to self-managed superannuation funds. Other exposures subject to the standardised approach and categorised by risk weight are primarily Westpac Pacific, Asian retail exposures, the margin lending portfolio, and some other small portfolios. Mark-to-market related credit risk and qualifying central clearing counterparties exposure1 is also included in the standardised approach. 31 March 2023 Total Exposure Risk Weighted Risk Weight % at Default $m Assets $m 0% - - 2% 51 2,559 4% - - 20% 914 4,571 35% - - 50% 207 414 65% 135 208 75% 151 201 85% 171 201 90% 371 412 100% 20,736 20,736 120% 18 15 150% 1,021 681 Default fund contributions1 150 255 Mark-to-market related credit risk - 5,214 Total 29,139 30,253 30 September 2022 Total Exposure Risk Weighted Risk Weight % at Default $m Assets $m 0% - 1,762 2% 61 3,051 20% 232 1,159 35% 126 361 50% 587 1,174 75% 1,989 2,652 100% 4,239 4,240 150% 82 54 Default fund contributions1 105 150 Mark-to-market related credit risk - 6,377 Total 13,798 14,603 31 March 2022 Total Exposure Risk Weighted Risk Weight % at Default $m Assets $m 0% - 1,674 2% 51 2,540 20% 258 1,288 35% 121 347 50% 621 1,242 75% 2,329 3,106 100% 3,906 3,906 150% 73 49 Default fund contributions1 91 124 Mark-to-market related credit risk - 5,691 Total 14,276 13,141 1 Portfolios subject to the standardised approach include exposures to qualifying central clearing counterparties used to clear derivative transactions. Derivative counterparty exposure and initial margin are risk weighted at 2%. Default fund contributions to qualifying central clearing counterparties are shown separately and are subject to higher risk weights.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 56 New Zealand portfolio 1 This table presents a summary of the New Zealand asset class. Under the revised capital framework, where an overseas banking subsidiary is regulated by a New Zealand authority, RWA and EL is calculated using the New Zealand authority prudential rules. This sees New Zealand credit RWA for Level 2 regulatory purposes largely determined by the RBNZ requirements 1 . Under the revised capital framework New Zealand is disclosed as a separate asset class. The table below summarises Westpac’s New Zealand-regulated RWA credit exposures (including securitisation) using RBNZ asset classes used to determine RWA. 31 March 2023 Total Exposure Total Risk Reulatory $m at Default Weighted Assets Expected Loss Residential Mortgages 69,440 16,804 166 Other Retail 2,642 1,287 49 Small Business 2,053 711 12 Corporate/Business Lending 40,835 24,499 307 Standardised 19,537 2,030 - Total 45,331 134,507 534 1 Under the revised capital framework, the scaling factor and floor applied to New Zealand exposures is calculated under APRA requirements rather than the relevant New Zealand authority prudential rules.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 57 Credit Quality Actual losses1 31 March 2023 Write-offs Legal and Write-offs from Actual Losses for the $m direct recovery costs provisions1 Recoveries 6 months ended2 Corporate 2 - 12 (40) (26) Business Lending 7 - 11 (2) 16 Property Finance 3 - - (1) 2 Large Corporate - - - - - Sovereign - - - - - Financial Institutions - - 5 - 5 Residential Mortgages 2 2 13 (6) 11 Australian Credit Cards 82 - - (38) 44 Other Retail 83 2 - (32) 53 Small Business 25 - 11 (5) 31 Specialised Lending - - - - - Securitisation - - - - - Standardised - - - - - New Zealand 10 - 1 (4) 7 Total 214 4 53 (128) 143 30 September 2022 Write-offs Legal and Write-offs from Actual Losses for the $m direct recovery costs provisions1 Recoveries 12 months ended Corporate 1 - 383 - 384 Business lending 45 - 56 (17) 84 Sovereign - - - - - Bank - - - - - Residential mortgages 7 - 25 (2) 30 Australian credit cards 176 - - (72) 104 Other retail 195 8 - (98) 105 Small business 13 1 23 - 37 Specialised lending - - 1 - 1 Securitisation - - - - - Standardised - - - - - Total 437 9 488 (189) 745 31 March 2022 Write-offs Legal and Write-offs from Actual Losses for the $m direct recovery costs provisions1 Recoveries 6 months ended Corporate - - 303 - 303 Business lending 23 - 20 (9) 34 Sovereign - - - - - Bank - - - - - Residential mortgages 5 - 18 5 28 Australian credit cards 88 - - (38) 50 Other retail 88 3 - (55) 36 Small business 6 1 7 - 14 Specialised lending 3 1 - (5) (1) Securitisation - - - - - Standardised - - - - - Total 213 5 348 (102) 464 1 Write-offs from individually assessed provisions. 2 Loan losses over the half included the recovery of a previously written off loan of $40m within the Corporate asset class.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 58 Regulatory loss estimates and actual losses1 The table below compares regulatory credit risk estimates used in the calculation of risk weighted assets to the average of actual outcomes observed since the time of Advanced IRB accreditation for each portfolio. Predicted parameters represent average internally predicted long-run probabilities of default for non-defaulted obligors at the start of each year, as well as downturn estimates of loss (or the regulatory minimum where required). They are averaged using data from the financial years beginning at the time of Advanced IRB accreditation (2008 for most portfolios) and compared to observed outcomes over the same period. Predicted parameters are reviewed annually utilising observed outcomes from prior periods as a key input. In response to the revised capital framework performance information set out in the table below attached to cohorts of obligors subject to the revised asset classes and estimates has been mapped to most comparable revised classes on a best endeavour basis. Performance information associated with cohorts of obligors subject to the revised asset classes requires sufficient passage of time to be observed and will start being included in the long-run averages from March 2024 reporting onwards. In the below these have therefore not been disclosed for 31 March 2023. Default rates At the start of each year, a predicted default probability is assigned to all non-defaulted obligors. This is averaged over the portfolio for the period since IRB accreditation and reported as the predicted default rate. The actual default rate reflects the fraction of obligors who start the year not in default but default during the one-year period. The observed annual default rates are averaged over the period since IRB accreditation. Loss Given Default (LGD) The LGD analysis excludes recent defaults in order to allow sufficient time for the full workout of the facility and hence an accurate LGD to be determined. The workout period varies by portfolio: a two-year workout period is assumed for transaction-managed and residential mortgage lending; and a one year period for other program-managed portfolios. Exposure at Default (EAD) The EAD variance compares the observed EAD to the predicted EAD up to one year prior to default. For transaction-managed portfolios, predicted EAD is currently mandated to be 100% of committed exposures. The observed EAD is averaged for all obligors that defaulted over the observation period.23 Observed EAD 31 March 2023 Regulatory variance to $m Expected Loss2 Predicted Observed Predicted Observed Predicted3 Corporate 588 2.27% 0.91% 45% 24% (22%) Business lending 490 1.67% 2.26% 34% 15% (13%) Property Finance4 288 NA NA NA NA NA Large corporate4 63 NA NA NA NA NA Sovereign 2 0.25% - - - - Financial institution4 71 0.43% 0.10% - - - Residential mortgages 1,057 0.76% 0.61% 20% 1% (1%) Australian credit cards 172 1.61% 1.49% 75% 57% (2%) Other retail 234 4.65% 3.48% 69% 40% (7%) Small business 576 3.93% 2.92% 37% 6% (10%) Specialised lending1 26 NA 2.26% NA 14% (12%) Securitisation1 - NA NA NA NA NA New Zealand5 534 NA NA NA NA NA Standardised1 - NA NA NA NA NA Total 4,101 - - - - - Default rate Loss Given Default 1 Predicted parameters are not available for specialised lending, securitisation or standardised exposures as risk weights for these portfolios do not rely on credit estimates and are shown as NA in the tables above. 2 Includes regulatory expected losses for defaulted and non-defaulted exposures. 3 A negative outcome indicates observed EAD was lower than predicted EAD, which can happen because exposures were managed down prior to default or off-balance sheet items or undrawn limits were not fully drawn prior to default. 4 These are new asset classes under the revised capital framework. ‘Financial institution’ includes exposures subject to ‘Bank’ under the previous framework. Performance information of exposures reported under Large Corporate and Property Finance requires sufficient passage of time to be observed and thus is currently shown as NA. 5 Historical Default Rate, Loss Given Default and Observed-to-Predicted EAD are included in the asset classes above, consistent with the historical classification of New Zealand exposures.

Pillar 3 report Credit risk exposures Westpac Group March 2023 Pillar 3 report | 59 Observed EAD 30 September 2022 Regulatory variance to $m Expected Loss1 Predicted Observed Predicted Observed Predicted2 Corporate 900 2.30% 0.88% 46% 25% (22%) Business lending 626 2.26% 1.62% 35% 17% (14%) Sovereign 2 0.25% - - - - Bank 0.42% 0.11% 6 - - - Residential mortgages 1,405 0.74% 0.62% 20% 1% (1%) Australian credit cards 153 1.63% 1.52% 74% 58% (2%) Other retail 292 4.69% 3.53% 68% 40% (7%) Small business 448 3.92% 2.91% 38% 7% (9%) Specialised lending 858 NA 2.14% NA 17% (11%) Securitisation - NA NA NA NA NA Standardised - NA NA NA NA NA Total 4,690 Observed EAD 31 March 2022 Regulatory Default rate variance to $m Expected Loss1 Predicted Observed Predicted Observed Predicted2 Corporate 839 2.30% 0.96% 45% 26% (22%) Business lending 621 2.26% 1.63% 35% 17% (13%) Sovereign 2 0.24% - - - - Bank 0.42% 0.11% 6 - - - Residential mortgages 1,615 0.73% 0.62% 20% 1% (1%) Australian credit cards 169 1.66% 1.55% 74% 58% (2%) Other retail 352 4.72% 3.58% 68% 41% (7%) Small business 472 3.88% 2.94% 38% 7% (9%) Specialised lending 871 NA 2.21% NA 17% (10%) Securitisation - NA NA NA NA NA Standardised - NA NA NA NA NA Total 4,947 Default rate Loss Given Default Loss Given Default 1 1 Includes regulatory expected losses for defaulted and non-defaulted exposures. 2 A negative outcome indicates observed EAD was lower than predicted EAD, which can happen because exposures were managed down prior to default or off-balance sheet items or undrawn limits were not fully drawn prior to default.

Pillar 3 report Credit risk mitigation Westpac Group March 2023 Pillar 3 report | 60 This section describes the way in which Westpac reduces its credit risk by using financial collateral, guarantees or credit derivatives for the Corporate, Sovereign and Bank asset classes. Approach Westpac recognises credit risk mitigation only when formal legal documentation is held that establishes Westpac’s direct, irrevocable and unconditional recourse to the collateral or to an unrelated credit risk mitigation provider. Minimum standards for recognising credit risk mitigation are set out in Westpac's credit rules and policies. All proposals for recognising risk mitigation require approval by an authorised credit officer. Authorised credit officer approval is also required for existing risk mitigation to be discontinued or withdrawn. The amount of credit risk mitigation recognised is the face value of the mitigation instrument, adjusted by the application of discounts for any maturity and/or currency mismatch with the underlying obligation, so that a discounted amount is recognised when calculating the residual exposure after mitigation. For regulatory capital purposes: exposures secured by eligible financial collateral, either cash or certain government or semi-government securities, or where protection is bought via credit linked notes, provided proceeds are invested in eligible financial collateral, are included at the gross value, with risk weighted assets for the portion thus secured calculated by applying a 5% LGD1 ; 1 exposures mitigated by eligible guarantees, standby letters of credit or similar instruments, where Westpac has direct recourse to an unrelated third party, or credit protection bought via credit default swaps where Westpac is entitled to recover either full principal or credit losses on occurrence of defined credit events, are treated under double default rules where the protection provider is rated A-/A3 or better. The Group Chief Credit Officer has the authority to approve exceptions to the A-/A3 minimum; and exposures mitigated by guarantees, letters of credit, credit default swaps or similar instruments, which are not eligible for double default treatment are treated under the substitution approach. When Westpac uses credit risk mitigation techniques to reduce counterparty exposure, limits are applied to both gross (i.e. pre-mitigation) and net exposure. Furthermore, exposure is recorded against the provider of any credit risk mitigation and a limit framework prevents excessive concentration to such counterparties. Netting Risk reduction by way of current account set-offs is recognised for exposures to creditworthy customers domiciled in Australia and New Zealand only. Customers are required to enter into formal agreements giving Westpac the unfettered right to set-off gross credit and debit balances in their nominated accounts to determine Westpac’s net exposure within each of these two jurisdictions. Cross-border set-offs are not permitted. Close-out netting is undertaken for off-balance sheet financial market transactions with counterparties with whom Westpac has entered into master netting agreements which allow such netting in specified jurisdictions. Close-out netting effectively aggregates pre-settlement risk exposure at time of default, thus reducing overall exposure. Collateral valuation and management Westpac revalues financial markets and associated collateral positions on a daily basis to monitor the net risk position, and has formal processes in place so that calls for collateral top-up or exposure reduction are made promptly. An independent operational unit has responsibility for monitoring these positions. The collateralisation arrangements are documented via the Credit Support Annex of the International Swaps and Derivatives Association (ISDA) master agreement for derivatives transactions and Global Master Repurchase Agreement (GMRA) for repurchase transactions and Clearing Agreements for cleared trades. 1 Excludes collateralised derivative transactions.

Pillar 3 report Credit risk mitigation Westpac Group March 2023 Pillar 3 report | 61 Total exposure covered by collateral, credit derivatives and guarantees1 Impact Total exposure for 31 March 2023 Total before of credit Total after which some credit Eligible Financial Covered by Covered by $m mitigation mitigation1 mitigation risk is mitigated Collateral Guarantees Credit Derivatives Corporate 37,405 (295) 37,110 1,056 295 92 - Large Corporate 40,248 - 40,248 2,926 1,522 - - Sovereign 211,270 (402) 210,868 777 402 17 - Financial Institutions 40,192 (2,505) 37,687 6,802 3,103 394 - Standardised 30,253 - 30,253 - - - - Total 359,368 (3,202) 356,166 11,561 5,322 503 - Impact Total exposure for 30 September 2022 Total before of credit Total after which some credit Eligible Financial Covered by Covered by $m mitigation mitigation1 mitigation risk is mitigated Collateral Guarantees Credit Derivatives Corporate 149,324 (1,827) 147,497 8,595 2,224 974 210 Sovereign 223,013 (686) 222,327 1,708 685 68 - Bank 24,151 (2,803) 21,348 9,438 2,803 - - Standardised 14,603 - 14,603 2,499 - - - Total 411,091 (5,316) 405,775 22,240 5,712 1,042 210 Impact Total exposure for 31 March 2022 Total before of credit Total after which some credit Eligible Financial Covered by Covered by $m mitigation mitigation1 mitigation risk is mitigated Collateral Guarantees Credit Derivatives Corporate 130,895 (384) 130,511 4,409 919 718 123 Sovereign 219,329 (110) 219,219 1,210 110 103 - Bank 22,223 (966) 21,257 7,380 966 - - Standardised 14,276 - 14,276 2,033 - - - Total 386,723 (1,460) 385,263 15,032 1,995 821 123 Credit Risk Mitigants Credit Risk Mitigants Credit Risk Mitigants 1 Impact of credit mitigation under the substitution approach.

Pillar 3 report Counterparty credit risk Westpac Group March 2023 Pillar 3 report | 62 This section describes Westpac’s exposure to credit risk arising from derivative and treasury products. Approach Westpac actively assesses and manages the derivative and treasury credit risk (known collectively as counterparty credit risk) arising from its derivatives business. Westpac’s process for managing counterparty credit risk is based on its assessment of the potential future credit risk Westpac is exposed to when dealing in derivatives products and securities financing transactions. Westpac quantifies this risk through a daily simulation of future market price and rate shocks and converts the effect of these shocks on the mark-to-market value of Westpac’s positions to a credit exposure using Westpac’s Derivative Risk Equivalent (DRE) methodology. Exposures are loaded into Westpac’s credit limit management system where they are checked against pre-settlement risk limits that are set at the counterparty level. Limit excesses are reported to credit managers and actioned within strict timeframes. Structure and organisation The Financial Markets Credit management team is charged with managing the counterparty credit exposure arising from derivatives and treasury products. Market related credit risk There are two components to the regulatory capital requirements for credit risk arising from derivative products: capital to absorb losses arising from the default of derivative counterparties; and capital to absorb losses arising from mark-to-market valuation movements resulting from changes in the credit quality of derivative counterparties. These valuation movements are referred to as credit valuation adjustments (CVA) and this risk is sometimes labelled as CVA risk. Westpac refers to this requirement as mark-to-market related credit risk. Risk mitigation Mitigation is achieved in a number of ways: the limit system monitors for excesses of the pre-defined limits, with any excesses being notified to authorised credit officers; Westpac has netting agreements with counterparties to allow the exposure across a portfolio of trades with the same counterparty to be netted; Westpac has collateral agreements with its largest counterparties. The market value of the counterparty’s portfolio is used to recalculate the credit position at each end of day, with collateral being called for when certain pre-set limits are met or exceeded. Westpac exchanges Initial Margin with eligible counterparties for eligible products as protection against potential future exposure to changes in market value; Westpac has initial margin agreements with qualifying counterparties subject to relevant international regulations. The exchange of initial margin for eligible products covers the potential future exposure that could arise from changes in the market value of derivative transactions over the close-out period in the event of a counterparty default; credit derivatives are used to mitigate credit exposure against certain counterparties; and regular marking to market and settling of the foreign exchange components of foreign exchange reset contracts. Counterparty derivative exposures and limits The risk management methodology for counterparty derivatives exposures is similar to the credit methodology for transaction-managed loans. The main difference is in the estimation of the exposure for derivatives which is based on the DRE methodology. DRE is a credit exposure measure for derivative trades which is calibrated to a ‘loan-equivalent’ exposure. Counterparty credit limits are approved on an uncommitted and unadvised basis by authorised credit officers. This follows an evaluation of each counterparty’s credit worthiness and establishing an agreed credit risk appetite for the nature and extent of prospective business.

Pillar 3 report Counterparty credit risk Westpac Group March 2023 Pillar 3 report | 63 Wrong-way risk exposures Westpac defines wrong-way risk as exposure to a counterparty which is adversely correlated with the credit quality of that counterparty. With respect to credit derivatives, wrong-way risk refers to credit protection purchased from a counterparty highly correlated to the reference obligation. Wrong-way risk exposures using credit derivatives are controlled by only buying protection from highly rated counterparties. These transactions are assessed by an authorised credit officer who has the right to decline any transaction where they feel there is an unacceptably high correlation between the ability to perform under the trade and the performance of the underlying counterparty. Consequences of a downgrade in Westpac’s credit rating A downgrade in Westpac’s credit rating can have an impact on Westpac’s collateral agreements. Where an outright threshold and minimum transfer amount are agreed, there will not be any impact on the amount of collateral posted by Westpac in the event of a credit rating downgrade. Where the threshold and minimum transfer amount are tiered according to credit rating, the impact of Westpac being downgraded below its current credit rating would be: for a one notch downgrade, postings of $8 million; while for a two notch downgrade, postings would be $17 million1 . 1 Counterparty credit risk summary In line with APRA’s revised capital framework, the counterparty credit risk exposures below exclude New Zealand exposures at 31 March 2023. These exposures are separately included in the New Zealand credit exposure line item. 31 March 30 September 31 March $m 2023 2022 2022 Gross positive fair value 42,189 20,598 19,124 Netting and collateral benefits (29,541) (14,946) (13,138) including cash collateral held 284 (155) 5,170 Replacement cost 12,647 5,652 5,986 Potential future exposure 11,374 12,130 10,824 Impact of scaling factor of 1.4 and incurred credit value adjustment 9,385 6,921 6,566 Net derivatives credit exposure under SA-CCR 33,406 24,703 23,376 Exposure type Interest rate contracts 5,989 6,391 5,805 Foreign exchange contracts 26,860 17,539 16,639 Equity contracts - - - Credit derivatives 9 13 20 Commodity contracts 548 760 912 Other - - - Total 33,406 24,703 23,376 Credit derivative transactions that create exposures to counterparty credit risk 31 March 2023 Intermediation activities Credit derivatives products used ($m) Bought Sold Bought Sold Credit Default Sw aps 11 2 - - Total Return Sw aps - - - - Credit options - - - - Credit linked notes - - - - Collateralised Loan Obligations - - - - Other - - - - Total 11 2 - - 30 September 2022 Intermediation activities Credit derivatives products used ($m) Bought Sold Bought Sold Credit Default Sw aps 2 7 - - Total Return Sw aps - - - - Credit options - - - - Credit linked notes - - - - Collateralised Loan Obligations - - - - Other - - - - Total 2 7 - - Westpac Portfolio Westpac Portfolio 1 Credit rating downgrade postings are cumulative.

Pillar 3 report Counterparty credit risk Westpac Group March 2023 Pillar 3 report | 64 31 March 2022 Intermediation activities Credit derivatives products used ($m) Bought Sold Bought Sold Credit Default Swaps 19 2 - - Total Return Swaps - - - - Credit options - - - - Credit linked notes - - - - Collateralised Loan Obligations - - - - Other - - - - Total 19 2 - - Westpac Portfolio

Pillar 3 report Securitisation Westpac Group March 2023 Pillar 3 report | 65 A securitisation is a financial structure where the cash flow from a pool of assets is used to service obligations to at least two different tranches or classes of creditors (typically holders of debt securities), with each class or tranche reflecting a different degree of credit risk (i.e. one class of creditors is entitled to receive payments from the pool before another class of creditors). Securitisation transactions are generally grouped into two broad categories: traditional or true sale securitisations, which involve the transfer of ownership of the underlying asset pool to a third party; and synthetic transactions, where the ownership of the underlying asset pool remains with the originator and only the credit risk of the pool is transferred to a third party, using credit derivatives or guarantees. Covered bond transactions, in which bonds issued by Westpac are guaranteed by assets held in a special purpose vehicle, are not considered to be securitisation transactions. Approach Westpac’s involvement in securitisation activities ranges from a seller of its own assets to an investor in third-party transactions and includes the arranging of transactions, the provision of securitisation services and the provision of funding for clients, including clients requiring access to capital markets. All securitisation activity must follow Westpac’s credit policies and approval processes. Securitisation of Westpac originated assets - Securitisation is used by Westpac as a funding and liquidity management tool and may also be used as a capital management tool. It allows Westpac the ability to liquefy a pool of assets and increase Westpac’s wholesale funding capacity. Westpac may provide arm’s length facilities and services to the securitisation vehicles. These typically include the provision of liquidity, redraw facilities and derivative contracts. Westpac has entered into self securitisation transactions for funding and liquidity purposes. These are the same as traditional securitisations, except that Westpac is the holder of all classes of notes issued (other than where senior notes have been pledged as eligible collateral with the RBA). The senior notes qualify as eligible collateral with the RBA, and are pledged against the Term Funding Facility provided by the RBA and to meet APRA’s contingent liquidity requirements1 . 1 These ‘self securitisations’ do not change risk weighted assets2 . 2No securitisation transactions for Westpac originated assets are classified as a resecuritisation. Securitisation in the management of Westpac’s credit portfolio - Westpac does not use securitisation, to manage its corporate and institutional loan and counterparty credit risk portfolios. Single name credit default swaps are not treated as securitisations but as credit risk mitigation facilities. Provision of securitisation services, including funding and arranging asset backed bond issues – Westpac provides services to clients wishing to access asset-backed financing through securitisation. Those services include the provision of warehouse and term funding of securitised assets; and arranging and/or lead managing asset backed bond issues. Westpac may also invest in securitised bonds issues and will receive an interest margin for securities held. Securitisation facilities provided by Westpac may include resecuritisation exposures which are securitisation exposures in which the risk associated with an underlying pool of exposures is tranched and at least one of the underlying exposures is itself a securitisation exposure. Westpac also buys and sells securitisation exposures in the secondary market to facilitate portfolio management activity by its institutional customers who hold asset backed bonds. Westpac’s role in the securitisation process Securitisation activity Role played by Westpac Securitisation of Westpac originated assets Arranger Asset originator Bond distributor Facility provider Note holder Trust manager Swap provider Servicer 1 APS210 updated contingent liquidity guidance requires from 1 March 2022, self securitisations to cover 30% of AUD net cash outflows 2 The credit exposures of the underlying loans are measured in accordance with APS113.

Pillar 3 report Securitisation Westpac Group March 2023 Pillar 3 report | 66 Provision of securitisation services including funding and arranging asset backed bond issues Arranger Bond distributor Warehouse financing Investor - purchaser of securitisation exposures Liquidity facility provider Swap provider Market maker and broker for distributed bonds Key Objectives Securitisation of Westpac originated assets - The securitisation of Westpac's own assets provides funding diversity, and is a core tool of liquidity management. Provision of securitisation services including funding and arranging asset backed bond issues - Westpac receives market-based fees in return for its services as servicer, swap provider, arranger, facility provider and bond distribution fees on warehouse and term funding facilities. Westpac also purchases securitization exposures in order to earn income. Westpac facilitates portfolio management activity by its institutional customers by buying and selling securitisation exposures in the secondary market and is compensated through an interest margin and bid-offer spread on the transactions. Structure and organisation Securitisation of Westpac originated assets - Westpac’s Treasury operations are responsible for all Westpac originated securitisation activity including funding and liquidity management. Provision of securitisation services including funding and arranging asset backed bond issues - These services are provided by WIB and include the provision of securitisation services including arranger, bond distributor, warehouse financing, liquidity facility provider, swap provider, market-making and broking of asset-backed bonds. Risk reporting Credit exposure - Funding, liquidity, credit enhancement and redraw facilities, swap arrangements and counterparty exposures are captured and monitored in key source systems along with other facilities/derivatives entered into by Westpac. Operational risk exposure - The operational risk review process for Westpac includes the identification of risks, controls and key performance indicators in relation to all securitisation activity and services provided by Westpac or any of its subsidiaries. Market risk exposure - Exposures arising from transactions with counterparties are captured as part of Westpac’s traded and non-traded market risk reporting and limit management framework. Liquidity risk exposure - Exposure to, and the impact of, securitisation transactions are managed under the Liquidity Risk Management Framework and are integrated into routine reporting for capital and liquidity positions, net interest margin analysis, balance sheet forecasting and funding scenario testing. The annual funding plan incorporates consideration of overall liquidity risk limits and the securitisation of Westpac originated assets. Risk mitigation Securitisation of Westpac originated assets - The interest rate and basis risks generated by Westpac’s hedging arrangements to each securitisation trust are captured and managed within Westpac’s asset and liability management framework. The liquidity risk generated by Westpac’s liquidity and redraw facilities to each securitisation trust is captured and managed in accordance with Westpac’s liquidity management policies along with all other contingent liquidity facilities. Provision of securitisation services including funding and arranging asset backed bond issues - All securitisation transactions are approved within the context of a securitisation credit policy that sets detailed transaction-specific guidelines that regulate servicer counterparty risk appetite, transaction tenor, asset class, third party credit support and portfolio quality. This policy is applied in conjunction with other credit and market risk policies that governs the provision of derivative and other services that support securitisation transactions. In particular, credit hedging transactions are subject to Westpac’s credit risk mitigation approach (see pages 60 and 61). Any interest rate or currency hedging is subject to counterparty credit risk management (see pages 62 to 64) and market risk management (see pages 75 to 78) policies and processes).

Pillar 3 report Securitisation Westpac Group March 2023 Pillar 3 report | 67 Regulatory capital approaches The regulatory capital treatment of all securitisation exposures is measured in accordance with APS120 other than the securitisation exposures of an overseas banking subsidiary that is prudentially regulated by a prescribed New Zealand authority. For these exposures, Westpac must calculate risk-weighted assets using the prescribed New Zealand authority’s equivalent prudential rules as in force from time to time. These exposures are separately included in the New Zealand credit exposure line item. Westpac must still make deductions from CET1 capital that are required to be deducted under APS120. APS120 also specifies that securitisation exposures held in the trading book are subject to the requirements of Prudential Standard APS 116 Capital Adequacy: Market Risk. Under APS120 the approaches employed include the External Rating Based Approach (ERBA) and the Supervisory Formula Approach (SFA). Under the ERBA, APRA provides risk-weights that are matched to external credit ratings and takes into account tranche maturity and tranche thickness. The SFA applicable to unrated exposures dynamically looks at the type and performance of underlying asset pools funded by the securitisation exposure as well as the structural features of the transaction to determine capital requirements. The Internal Assessment Approach (IAA) is not permitted under APS120. Securitisation of Westpac originated assets - The assets sold by Westpac to a securitisation trust are excluded from Westpac’s calculation of credit risk weighted assets if capital relief is sought and the requirements of APS120 are satisfied1 . In instances where insufficient risk transfer is achieved by the transaction for regulatory purposes, the capital calculation is performed on the underlying asset pool while the facilities provided to such securitisation vehicles do not attract regulatory capital charges. Provision of securitisation services including funding - Westpac uses the ERBA and the SFA methodology when determining regulatory capital requirements for warehouse and term funding client facilities. The External Credit Assessment Institutions that can be used by Westpac for securitisations are Standard & Poor’s, Moody’s and Fitch. Westpac’s accounting policies for securitisation activities Securitisation of Westpac originated assets - The assets sold by Westpac to a securitisation trust remain on Westpac’s balance sheet for accounting purposes. Provision of securitisation services including funding and arranging asset backed bond issues - Fee income from these services is recognised on an accrual basis. Liquidity and funding facilities are treated as commitments to provide finance, with fee and margin income recognised on an accrual basis. Warehouse and term funding facilities are treated as loans. For investment in securitisation exposures, if the instrument has been designated on initial recognition at fair value (including instruments containing a credit default swap), the exposure will be measured at fair value through the Income Statement. All other investments in securitisation exposures will be classified as available-for-sale (AFS) and measured at fair value through Other Comprehensive Income (within the AFS securities reserve). 1 Including the requirements to achieve capital relief.

Pillar 3 report Securitisation Westpac Group March 2023 Pillar 3 report | 68 Banking book summary of assets securitised by Westpac1 This table shows outstanding banking book securitisation assets and assets intended to be securitised12 for Westpac originated assets by underlying asset type. It includes the amount of impaired and past due assets, along with any losses recognised by Westpac during the current period. Securitised assets are held in securitisation trusts. Trusts which meet requirements to achieve capital relief do not form part of the Level 2 consolidated group. Self securitisation trusts remain consolidated at Level 2 and the assets transferred to these trusts are risk weighted in accordance with APS113. Assets Non-performing Non-performing Total Westpac 31 March 2023 Traditional Synthetic intended to be Exposures Exposures Non- Performing Past due recognised $m Securitisation2 Securitisation securitised - Not Impaired - Impaired Exposures assets losses Residential mortgages 140,870 - - 902 45 947 814 - Credit cards - - - - - - - - Auto and equipment finance 199 - - 2 6 8 - - Business lending - - - - - - - - Investments in ABS - - - - - - - - Other - - - - - - - - Total 141,069 - - 904 51 955 814 - Assets Westpac 30 September 2022 Traditional Synthetic intended to be Impaired Past due recognised $m Securitisation2 Securitisation securitised loans assets losses Residential mortgages 144,529 - - 41 829 - Credit cards - - - - - - Auto and equipment finance 347 - - 9 - - Business lending - - - - - - Investments in ABS - - - - - - Other - - - - - - Total 144,876 - - 50 829 - Assets Westpac 31 March 2022 Traditional Synthetic intended to be Impaired Past due recognised $m Securitisation2 Securitisation securitised loans assets losses Residential mortgages 144,276 - - 35 927 1 Credit cards - - - - - - Auto and equipment finance 571 - - 12 - - Business lending - - - - - - Investments in ABS - - - - - - Other - - - - - - Total 144,847 - - 47 927 1 Total outstanding securitised by ADI Total outstanding securitised by ADI Total outstanding securitised by ADI Banking book summary of total Westpac sponsored third party assets securitised This table represents banking book third party assets where Westpac acts as a sponsor. $m 31 March 2023 30 September 2022 31 March 2022 Residential mortgages 120 131 151 Credit cards - - - Auto and equipment finance - - - Business lending - - - Investments in ABS - - - Other - - - Total 131 120 151 1 Represents securitisation activity from the end of the reporting period to the disclosure date of this report. 2 Includes self-securitisation assets of $135,877 million as at 31 March 2023 ($139,117 million as at 30 September 2022 and $138,937 million as at 31 March 2022).

Pillar 3 report Securitisation Westpac Group March 2023 Pillar 3 report | 69 Banking book summary of securitisation activity by asset type This table shows assets transferred into securitisation schemes by underlying asset type (ADI originated) for the relevant period. For the 6 months ended 31 March 2023 Amount Recognised gain or $m securitised loss on sale Residential mortgages 14,236 - Credit cards - - Auto and equipment finance - - Business lending - - Investments in ABS - - Other - - Total 14,236 - For the 12 months ended 30 September 2022 Amount Recognised gain or $m securitised loss on sale Residential mortgages 46,995 - Credit cards - - Auto and equipment finance - - Business lending - - Investments in ABS - - Other - - Total 46,995 - For the 6 months ended 31 March 2022 Amount Recognised gain or $m securitised loss on sale Residential mortgages 23,921 - Credit cards - - Auto and equipment finance - - Business lending - - Investments in ABS - - Other - - Total 23,921 -

Pillar 3 report Securitisation Westpac Group March 2023 Pillar 3 report | 70 Banking book summary of on and off-balance sheet securitisation by exposure type As set out in the table on page 27, the table below for 31 March 2023 and on pages 68 to 69 excludes New Zealand exposures. Under the revised capital framework these exposures are separately included in the New Zealand credit exposure line item. 31 March 2023 Off-balance Total Exposure $m Securitisation retained Securitisation purchased sheet at Default Securities - 7,135 - 7,135 Liquidity facilities - - 292 292 Funding facilities 3,634 - 431 4,064 Underw riting facilities - - - - Lending facilities 1,953 - 125 2,078 Warehouse facilities 13,534 - 5,729 19,263 Total 7,135 19,120 6,577 32,831 30 September 2022 Off-balance Total Exposure $m Securitisation retained Securitisation purchased sheet at Default Securities - 7,054 35 7,089 Liquidity facilities - - 250 250 Funding facilities 4,816 - 912 5,728 Underw riting facilities - - - - Lending facilities 2,442 - 308 2,750 Warehouse facilities 14,678 - 5,827 20,505 Total 7,054 21,936 7,332 36,322 31 March 2022 Off-balance Total Exposure $m Securitisation retained Securitisation purchased sheet at Default Securities - 7,590 37 7,627 Liquidity facilities - - 295 295 Funding facilities 3,132 - 1,868 5,001 Underw riting facilities - - - - Lending facilities 1,930 - 371 2,301 Warehouse facilities 12,091 - 6,051 18,142 Total 7,590 17,154 8,623 33,366 On balance sheet On balance sheet On balance sheet

Pillar 3 report Securitisation Westpac Group March 2023 Pillar 3 report | 71 Banking book securitisation exposure at default by risk weight band 31 March 2023 Total Exposure Total Risk $m Securitisation Resecuritisation at Default Securitisation Resecuritisation Weighted Assets Less than or equal to 10% 8 - 8 - - - Greater than 10 - 20% 28,802 - 28,802 4,983 - 4,983 Greater than 20 - 30% 1,605 - 1,605 371 - 371 Greater than 30 - 50% 1,963 - 1,963 760 - 760 Greater than 50 - 75% 415 - 415 248 - 248 Greater than 75 - 100% 22 - 22 21 - 21 Greater than 100 - 250% 15 - 15 16 - 16 Greater than 250 - 425% - - - - - - Greater than 425 - 650% - - - - - - Other - - - - - - Deductions 1 - 1 - - - Total 32,831 - 32,831 6,400 - 6,400 30 September 2022 Total Exposure Total Risk $m Securitisation Resecuritisation at Default Securitisation Resecuritisation Weighted Assets Less than or equal to 10% 12 - 12 - - - Greater than 10 - 20% 32,122 - 32,122 5,485 - 5,485 Greater than 20 - 30% 1,687 - 1,687 391 - 391 Greater than 30 - 50% 1,654 - 1,654 599 - 599 Greater than 50 - 75% 826 - 826 453 - 453 Greater than 75 - 100% 9 - 9 8 - 8 Greater than 100 - 250% 10 - 10 11 - 11 Greater than 250 - 425% - - - - - - Greater than 425 - 650% - - - - - - Other - - - - - - Deductions 1 - 1 - - - Total 36,321 - 36,321 6,947 - 6,947 31 March 2022 Total Exposure Total Risk $m Securitisation Resecuritisation at Default Securitisation Resecuritisation Weighted Assets Less than or equal to 10% 15 - 15 - - - Greater than 10 - 20% 29,294 - 29,294 4,964 - 4,964 Greater than 20 - 30% 2,434 - 2,434 608 - 608 Greater than 30 - 50% 1,074 - 1,074 421 - 421 Greater than 50 - 75% 531 - 531 293 - 293 Greater than 75 - 100% - - - - - - Greater than 100 - 250% 18 - 18 19 - 19 Greater than 250 - 425% - - - - - - Greater than 425 - 650% - - - - - - Other - - - - - - Deductions - - - - - - Total 33,366 - 33,366 6,306 - 6,306 Exposure Risk Weighted Assets Exposure Risk Weighted Assets Exposure Risk Weighted Assets Banking book securitisation exposure deducted from capital As at 31 March 2023 banking book securitisation exposure deducted from capital was nil (nil at 30 September 2022). Banking book securitisation subject to early amortisation treatment There is no securitisation exposure in the banking book that is subject to early amortisation treatment as at 31 March 2023 (nil as at 30 September 2022). Banking book resecuritisation exposure subject to credit risk mitigation (CRM) As at 31 March 2023 resecuritisation exposures subject to CRM was nil (nil at 30 September 2022).

Pillar 3 report Securitisation Westpac Group March 2023 Pillar 3 report | 72 Banking book resecuritisation exposure to guarantors Westpac has no third party guarantors providing guarantees for securitised assets, principal or interest repayments as at 31 March 2023 (nil as at 30 September 2022). Trading book summary of assets securitised by Westpac As at 31 March 2023 there was $0.3 million in outstanding securitisation exposures for Westpac originated assets held in the trading book (nil as at 30 September 2022). Trading book summary of total Westpac sponsored third party assets securitised There are no third party assets held in the trading book where Westpac is responsible for the establishment of the securitisation program and subsequent management as at 31 March 2023 (nil as at 30 September 2022). Trading book summary of securitisation activity by asset type There was $0.3 million of residential mortgage originated securitisation activity in the trading book for the 12 months to 31 March 2023 (nil for the 6 months to 30 September 2022). Trading book aggregated amount of exposure securitised by Westpac and subject to APS116 Capital Adequacy: Market Risk As at 31 March 2023 there $0.3 million of Westpac originated outstanding securitisation exposure held in the trading book subject to APS116 Capital Adequacy: Market Risk (nil as at 30 September 2022).

Pillar 3 report Securitisation Westpac Group March 2023 Pillar 3 report | 73 Trading book summary of on and off-balance sheet securitisation by exposure type11 31 March 2023 Off-balance Total Exposure $m Securitisation retained Securitisation purchased sheet at Default Securities - 610 - 610 Liquidity facilities - - - - Funding facilities - - - - Underw riting facilities - - - - Lending facilities - - - - Warehouse facilities - - - - Credit enhancements - - - - Basis sw aps - - 65 65 Other derivatives - - 6 6 Total - 610 71 681 30 September 2022 Off-balance Total Exposure $m Securitisation retained Securitisation purchased sheet at Default Securities - 473 - 473 Liquidity facilities - - - - Funding facilities - - - - Underw riting facilities - - - - Lending facilities - - - - Warehouse facilities - - - - Credit enhancements - - - - Basis sw aps - - 32 32 Other derivatives - - 13 13 Total - 473 45 518 31 March 2022 Off-balance Total Exposure $m Securitisation retained Securitisation purchased sheet at Default Securities - 331 - 331 Liquidity facilities - - - - Funding facilities - - - - Underw riting facilities - - - - Lending facilities - - - - Warehouse facilities - - - - Credit enhancements - - - - Basis sw aps - - 50 50 Other derivatives - - 16 16 Total - 331 67 398 On balance sheet On balance sheet On balance sheet Trading book securitisation exposure subject to internal models approach (IMA) for specific risk There is no trading book securitisation exposure subject to internal models approach (IMA) for specific risk for 31 March 2023 (nil at 30 September 2022) . Trading book securitisation exposure subject to APS120 Securitisation specific risk by risk weight band There is no trading book securitisation exposure subject to APS120 specific risk for 31 March 2023 (nil at 30 September 2022) . Trading book capital requirements for securitisation exposures subject to IMA for specific risk by risk classification There is no trading book capital requirement for securitisation subject to IMA for specific risk for 31 March 2023 (nil at 30 September 2022) . Trading book capital requirements for securitisation regulatory capital approaches by risk weight band There is no trading book capital requirement for securitisation subject to regulatory capital approaches for 31 March 2023 (nil at 30 September 2022) . 1 EAD associated with trading book securitisation is not included in the EAD by major type on page 36. Trading book securitisation exposure is captured and risk weighted under APS116.

Pillar 3 report Securitisation Westpac Group March 2023 Pillar 3 report | 74 Trading book securitisation exposure deducted from capital There is no trading book capital deduction for 31 March 2023 (nil at 30 September 2022) . Trading book securitisation subject to early amortisation treatment There is no securitisation exposure in the trading book that is subject to early amortisation treatment for 31 March 2023 (nil at 30 September 2022) . Trading book resecuritisation exposure subject to CRM Westpac has no resecuritisation exposure subject to CRM at 31 March 2023 (nil at 30 September 2022). Trading book resecuritisation by guarantor creditworthiness Westpac has no third party guarantors providing guarantees for securitised assets, principal or interest repayments for 31 March 2023 (nil at 30 September 2022).

Pillar 3 report Market risk Westpac Group March 2023 Pillar 3 report | 75 Westpac’s exposure to market risk arises out of its Financial Markets and Treasury trading activities. This is quantified for regulatory capital purposes using both the standard method and the internal model approach, details of which are provided below. Approach Financial Markets’ trading activity includes dealings that encompass book running and distribution activity. The types of market risk arising from these activities include interest rate, foreign exchange, commodity, equity price, credit spread and volatility risk. Treasury’s trading activity includes the management of interest rate, foreign exchange and credit spread risks associated with the wholesale funding book, liquid asset portfolios and foreign exchange repatriations. Treasury also manages banking book risk which is discussed in the IRRBB section. Trading activities are managed within a BRiskC approved market risk framework that incorporates BRiskC approved value at risk (VaR) and stressed value at risk (SVaR) limits. VaR and SVaR are the primary mechanisms for measuring and managing market risk. Market risk is managed using VaR, SVaR and structural risk limits (including volume limits and basis point value limits) in conjunction with scenario analysis and stress testing. Market risk limits are allocated to business management based upon Westpac’s risk appetite and business strategies, in addition to the consideration of market liquidity and concentration risk. Trades are fair valued daily using rates that have been captured from an independent market data source that has been approved by the Revaluation Committee (RC). Where there is no source of independent rates, data will either be derived using a methodology approved by the RC or sourced from dealer contributions. Rates that are dealer-sourced or have limited independent sources are reviewed at least on a monthly basis. The RC meets monthly to review the results of independent price verification performed by the Finance valuation function. In addition, valuation adjustments may be made as deductions from CET1 Capital for exposures which are not captured through the fair valuation framework. VaR and SVaR limits Market risk arising from trading book activities is primarily measured using VaR based on an historical simulation methodology. Westpac estimates VaR as the potential loss in earnings from adverse market movements and is calculated to a 99% confidence level using the most recent 12 months of historical market data. SVaR is an additional VaR measure which uses 12 months of historical market data that includes a period of significant financial stress. VaR and SVaR take account of all material market variables that may cause a change in the value of the trading portfolio, including interest rates, foreign exchange rates, price changes, volatility, and the correlation between these variables. The BRiskC approved market risk VaR and SVaR limits for trading activities include separate VaR and SVaR sub-limits for the trading activities of Financial Markets and Treasury. Backtesting Daily backtesting of VaR results is performed to ensure that model integrity is maintained. A review of both the actual and potential profit and loss outcomes is also undertaken to monitor any skew created by the historical data. Stress testing Daily stress testing against pre-determined scenarios is carried out to analyse potential losses beyond the 99% confidence level. An escalation framework around selective stress tests is approved by the Head of Market Risk and Treasury Risk. Profit and loss notification framework The BRiskC has approved a profit and loss notification framework. Included in this framework are levels of escalation in accordance with the size of the profit or loss. Triggers are applied to both a 1-day and a rolling 20- day cumulative total.

Pillar 3 report Market risk Westpac Group March 2023 Pillar 3 report | 76 Risk reporting Daily monitoring of current exposure and limit utilisation is conducted independently by risk managers in the Market Risk and Treasury Risk teams, who monitor market risk exposures against VaR, SVaR and structural limits. Daily VaR and SVaR position reports are produced by risk type, by product lines and by geographic region. These are supplemented by structural risk reporting, advice of profit and loss trigger levels and stress test escalation trigger points. Model accreditation has been granted by APRA for the use of an internal model for the determination of regulatory capital for the key classes of interest rate (general market), foreign exchange, commodity and equity risks (including equity specific risk). Under the model, regulatory capital is derived from both the current VaR window (based upon the most recent 12 months of historical market data) and a SVaR window (12 months of market data that includes a period of significant financial stress), where these VaR measures are calculated over a 10-day time horizon to a 99th percentile, one-tailed confidence interval. Specific risk refers to the variations in individual security prices that cannot be explained by general market movements, and event and default risk. Interest rate specific risk capital (specific issuer risk) is calculated using the Standard method and is added to the VaR regulatory capital measure. Westpac currently holds an industry-wide capital overlay which was introduced from 31 December 2021 and relates to APRA’s revised risks-not-in-VaR framework. This overlay will be applied until the Group’s revised framework is approved by APRA. Risk mitigation Market risk positions are managed by the trading desks consistent with delegated trading and product authorities. Risks are consolidated into portfolios based on product and risk type. Risk management is carried out by qualified personnel with varying levels of seniority commensurate with the nature and scale of market risks under management. The following controls allow monitoring by management: trading authorities and responsibilities are clearly delineated at all levels; a structured system of limits and reporting of risk exposures, including stress testing; surveillance of dealing room conduct; all new products and significant product variations undergo a rigorous approval process to identify business risks prior to launch; models that are used to determine risk or profit and loss for Westpac’s accounts are independently reviewed; duties are segregated so that employees involved in the origination, processing and valuation of transactions operate under separate reporting lines, minimising the opportunity for collusion; and legal personnel review documentation for compliance with relevant laws and regulations. In addition, Group Audit independently reviews compliance with policies, procedures and limits. Market risk regulatory capital and risk weighted assets The Internal model approach uses VaR and Stressed VaR, while the Standard approach is used for interest rate specific risk. $m 31 March 2023 30 September 2022 31 March 2022 Internal model approach 1,112 661 665 Standard approach 101 82 103 Total capital required 1,213 743 768 Risk w eighted assets 15,168 9,290 9,596

Pillar 3 report Market risk Westpac Group March 2023 Pillar 3 report | 77 VaR by risk type 31 March 2023 $m High Low Average Period end Interest rate risk 15.0 7.0 9.0 9.0 Foreign exchange risk 14.0 1.0 6.0 1.0 Equity risk - - - - Commodity risk 4.0 2.0 2.0 2.0 Other market risks 8.0 3.0 4.0 8.0 Diversification benefit NA NA (9.0) (7.0) Net market risk1 19.0 9.0 13.0 12.0 30 September 2022 $m High Low Average Period end Interest rate risk 20.2 6.2 10.1 8.4 Foreign exchange risk 8.3 0.7 3.5 5.7 Equity risk 0.0 0.1 0.0 0.0 Commodity risk 4.0 2.0 2.8 3.3 Other market risks 5.3 2.6 3.7 3.8 Diversification benefit NA NA (7.9) (10.6) Net market risk1 8.1 21.2 12.2 10.7 31 March 2022 $m High Low Average Period end Interest rate risk 16.9 5.0 8.4 16.9 Foreign exchange risk 3.0 0.3 1.4 1.9 Equity risk 0.0 0.0 0.0 0.0 Commodity risk 3.7 1.5 2.1 2.3 Other market risks 6.5 1.4 2.1 4.3 Diversification benefit NA NA (5.0) (5.0) Net market risk1 5.4 20.5 9.1 20.5 For the 6 months ended For the 6 months ended For the 6 months ended Stressed VaR by risk type 31 March 2023 $m High Low Average Period end Interest rate risk 95.0 36.0 59.0 60.0 Foreign exchange risk 45.0 1.0 15.0 3.0 Equity risk - - - - Commodity risk 3.0 2.0 3.0 2.0 Other market risks 14.0 10.0 12.0 14.0 Diversification benefit NA NA (23.0) (13.0) Net market risk1 86.0 42.0 66.0 66.0 30 September 2022 $m High Low Average Period end Interest rate risk 55.6 25.8 39.9 40.1 Foreign exchange risk 19.4 1.1 8.1 10.6 Equity risk 0.1 0.0 0.0 0.0 Commodity risk 3.5 2.4 2.8 2.7 Other market risks 17.4 9.7 13.7 11.2 Diversification benefit NA NA (19.8) (22.7) Net market risk1 74.4 30.9 44.7 41.9 For the 6 months ended For the 6 months ended 1 VaR and SVaR measures shown here use a 1 day time horizon. The net market risk measure reflects the aggregate diversified risk position for the period. Therefore, individual risk factors will not sum to this total.

Pillar 3 report Market risk Westpac Group March 2023 Pillar 3 report | 78 31 March 2022 $m High Low Average Period end Interest rate risk 84.4 28.5 52.3 42.4 Foreign exchange risk 11.1 0.7 3.7 3.5 Equity risk 0.1 0.0 0.0 0.0 Commodity risk 13.0 2.1 4.2 3.4 Other market risks 16.8 9.2 11.9 15.8 Diversification benefit NA NA (12.0) (8.4) Net market risk1 91.5 36.8 60.2 56.7 For the 6 months ended Back-testing results1 The following graph gives a comparison of actual profit and loss to VaR over the 6 months ended 31 March 2023. Each point on the graph represents 1 day’s trading profit or loss. This result is placed on the graph relative to the associated VaR utilisation. The downward sloping line represents the point where a loss is equal to VaR utilisation. 1 The net market risk measure reflects the aggregate diversified risk position for the period. Therefore, individual risk factors will not sum to this total.

Pillar 3 report Interest Rate Risk in the Banking Book (IRRBB) Westpac Group March 2023 Pillar 3 report | 79 IRRBB is the risk of loss in earnings or economic value in the banking book as a consequence of movements in interest rates. Approach The banking book activities that give rise to market risk include lending activities, balance sheet funding and capital management. Interest rate risk, basis risk, currency risk and funding and liquidity risk are inherent in these activities. Treasury’s Asset & Liability Management (ALM) unit is responsible for managing market risk arising from Westpac’s banking book activity. All material regions, business lines and legal entities are included in Westpac’s IRRBB framework. Model accreditation has been granted by APRA for the use of an internal model for the determination of IRRBB regulatory capital. Under the model, regulatory capital is primarily derived from a VaR measure using 6 years of historical data with a scaled 1 year, 99th percentile, one-tailed confidence interval. Behavioural assumptions are incorporated in the measurement of IRRBB where appropriate, such as for products that do not have a contractually defined repricing date (e.g., non-maturity deposits) or where there is potential for variation between contractual and actual repricing dates (e.g., prepayments). Asset and liability management The ALM unit manages the structural interest rate mismatch associated with the transfer priced balance sheet, including the investment of Westpac’s capital to its agreed benchmark duration. A key risk management objective is to achieve reasonable stability of Net Interest Income (NII) over time. These activities are performed under the oversight of ALCO and the Treasury Risk team. During periods of significant interest rate volatility, the change in value of capital hedges may result in material contributions to IRRBB regulatory capital in the form of embedded losses or gains. Net Interest Income sensitivity NII sensitivity is managed in terms of the net interest income-at-risk (NaR) modelled over a set time horizon using defined scenarios for movements in wholesale market interest rates. The NII measurement framework combines the underlying statement of financial position data with assumptions about runoff and new business, expected repricing behaviour and changes in wholesale market interest rates. The interest rate scenarios modelled include those projected using 100 and 200 basis point shifts up and down from current market yield curves. A comparison between the NII outcomes from these modelled scenarios indicates the sensitivity to interest rate changes. On and off-balance sheet instruments are then used to manage this interest rate risk. NaR limit The BRiskC has approved a NaR limit. This limit is managed by the Group Treasurer and is expressed as a defined basis point shock over a one year risk horizon. This limit is monitored by the Treasury Risk team. VaR limit The BRiskC has also approved an interest rate VaR limit for ALM activities. This limit is managed by the Group Treasurer and monitored by the Treasury Risk team. This internal VaR measure uses 1 year of historical data with a 1 day, 99th percentile, one-tailed confidence interval. Additionally, the BRiskC and the Treasury Risk team set structural risk limits to prevent undue concentration of risk. Structural foreign exchange rate risk Structural foreign exchange rate risk results from the generation of foreign currency denominated earnings and from Westpac's capital deployed in offshore branches and subsidiaries, where it is denominated in currencies other than Australian dollars. The Australian dollar equivalent of offshore earnings and capital is subject to change as exchange rates fluctuate, which could introduce significant variability to Westpac's reported financial results. ALCO provides oversight of the appropriateness of foreign exchange hedges on earnings and capital. Risk reporting IRRBB risk measurement systems include front office product systems, which capture all treasury funding and derivative transactions; the transfer pricing system, which captures all retail and other business transactions; and the asset and liability management risk system, which calculates ALM VaR and NaR. Daily monitoring of market risk exposure against VaR and structural risk limits is conducted independently by the Treasury Risk team, with NaR monitored on a monthly basis. Management reports detailing structural positions and VaR are produced and distributed daily for use by dealers and management across all stakeholder groups. Quarterly reports are produced for the senior management market risk forums of RISKCO and BRiskC to provide transparency of material market risks and issues.

Pillar 3 report Interest Rate Risk in the Banking Book (IRRBB) Westpac Group March 2023 Pillar 3 report | 80 Risk mitigation Market risk arising in the banking book stems from the ordinary course of banking activities, including structural interest rate risk (the mismatch between the duration of assets and liabilities) and capital management. Hedging Westpac’s exposure to interest rate risk is undertaken using derivatives. The hedge accounting strategy adopted utilises a combination of the cash flow, fair value and net investment hedge approaches. Some derivatives held for economic hedging purposes do not meet the criteria for hedge accounting as defined under AASB 139 Financial Instruments: Recognition and Measurement and therefore are accounted for in the same way as derivatives held for trading. The same controls used to monitor traded market risk allow for continuous monitoring by management. Change in economic value of a sudden upward and downward movement in interest rates1 1 The table below represents the change in economic value of a sudden upward or downward movement in interest rates based on a 200 basis point parallel shift. The sensitivity to upward or downward movements in interest rates has changed significantly over the year as the net interest rate exposure managed by the bank has adjusted with changes in the interest rate environment. 31 March 2023 200bp parallel 200bp parallel $m increase decrease AUD (41.7) 40.1 NZD 22.1 (21.3) USD 4.9 (4.3) Total (14.7) 14.5 30 September 2022 200bp parallel 200bp parallel $m increase decrease AUD 2.3 (7.6) NZD 16.9 (16.3) USD 6.8 (6.4) Total 26.0 (30.3) 31 March 2022 200bp parallel 200bp parallel $m increase decrease AUD 248.4 (240.6) NZD 18.7 (17.2) USD (39.2) 35.4 Total 227.9 (222.4) IRRBB regulatory capital and RWA2 This table presents IRRRB regulatory capital and RWA. IRRBB RWA decreased $8.0 billion due to a lower regulatory embedded loss. This occurred as the spread between the average rate on capital hedges and market rates have narrowed. 31 March 30 September 31 March $m 2023 2022 2022 Total capital required 2,780 3,423 2,217 Risk w eighted assets 34,748 42,782 27,710 1 Based on measures used for internal management reporting purposes.

Pillar 3 report Operational risk Westpac Group March 2023 Pillar 3 report | 81 Operational risk is defined as the risk of loss resulting from inadequate or failed internal processes, people and systems or from external events. This definition includes legal and regulatory risk but excludes strategic risk. Westpac’s operational risk definition is aligned to APS115 Capital Adequacy: Standardised Measurement Approach to Operational Risk (SMA). Approach Westpac has transitioned to SMA in accordance with APS115. Westpac’s operational risk is measured and managed in accordance with the policies and processes defined in its Operational Risk Management Framework. Westpac’s Operational Risk Management Framework The Operational Risk Management Framework outlines our approach to the: identification, measurement and management of operational risks that may impede Westpac’s ability to achieve its strategic objectives and vision; identification and escalation of operational risk incidents to mitigate potential financial loss, regulatory impacts and reputational damage that may impact shareholders, the community, and employees; and calculation of operational risk capital. The key components of Westpac’s operational risk management framework are listed below: Governance - The governance structure provides clearly defined roles and responsibilities for overseeing and reviewing operational risk exposure and its management. The Board and BRiskC are supported by committees, including RISKCO, that monitor the Group’s operational risk profile and the effectiveness of operational risk management practices, including operational risk capital. Risk and Control Assessment (RCA) - The RCA process provides a structured and consistent approach for the business to develop risk profiles and thereby supports them in implementing appropriate actions where the risk is outside the defined Risk Appetite. Issue and Action Management - The Issue and Action Management process encompasses the identification and management of issues, which relate to control deficiencies or gaps, to ensure that they are effectively addressed through action plans. Key Indicators (KIs) - are objective measures used by management to monitor the current risk and control environment, inform the assessment of risk and to assist in prompting management action when the metrics indicate that the level of risk is increasing. Incident Management – The Incident Management process assists in implementing consistent identification, recording, escalation and rectification of incidents and related losses in a transparent and practical way. This assists the Group to comply with all legal and regulatory obligations and licensing conditions (including reporting material regulatory breaches to regulatory authorities). Data - The framework includes principles and processes to ensure the integrity of operational risk data used to support management decision-making and calculate and allocate capital. The principles apply to the governance, input and capture, reconciliation, and validation, reporting and storage of operational risk data. Operational risk data is subject to independent validation on a regular basis. Scenario Analysis - is used to provide a forward looking-view of severe but plausible loss events, and facilitate a structured and consistent approach for assessing those events in view of the Group’s objectives and operations. Reporting - Regular reporting of operational risk information to governance bodies and senior management is used to support timely and proactive management of operational risk and enable transparent and formal oversight of the risk and control environment.

Pillar 3 report Operational risk Westpac Group March 2023 Pillar 3 report | 82 SMA capital overview1 Westpac applies the SMA to operational risk capital as permitted by Prudential Standard APS 115 Capital Adequacy: Standardised Measurement Approach to Operational Risk. The reporting standard ARS 115 Capital Adequacy: Standardised Measurement Approach to Operational Risk requires Westpac to calculate operational risk capital annually based on annual audited financial statements. The SMA based operational risk calculation was updated as part of the 31 December 2022 Pillar 3 report. Operational Risk regulatory capital and risk weighted assets $m 31 March 2023 30 September 2022 31 March 2022 Model based capital 3,725 3,629 3,552 Culture, Governance & Accountability Review overlay 500 500 500 Risk governance overlay1 500 500 500 Total capital required 4,552 4,725 4,629 Risk w eighted assets 56,900 59,063 57,875 1 This overlay was applied in response to the magnitude and nature of issues that were the subject of the AUSTRAC proceedings. This overlay has applied from 31 December 2019.

Pillar 3 report Equity risk Westpac Group March 2023 Pillar 3 report | 83 Equity risk is defined as the potential for financial loss arising from movements in equity values. The disclosures in this section exclude investments in equities made by Westpac subsidiaries outside the regulatory Level 2 group. Structure and organisation Portfolio and transactional limits for Westpac’s direct equity investments are governed by various supporting policies and delegated approval limits. Where appropriate, the BriskC (under delegation from the Westpac Board) will consider and approve risks beyond management’s approval authority. Approach Westpac has established a comprehensive set of policies defining the management of equity risk. These policies are reviewed and approved periodically (in most cases annually). Risk mitigation Westpac does not use financial instruments to mitigate its exposure to equities in the banking book. Banking book positions Hybrid equity underwriting and equity warehousing risk – As a financial intermediary Westpac underwrites listed and unlisted hybrid equity securities. Investment securities – Westpac undertakes, as part of the ordinary course of business, certain investments in strategic equity holdings and over time the nature of underlying investments will vary. Measurement of equity securities – Equity securities are generally carried at their fair value. Fair value for equities that have a quoted market price (in an active market) is determined based upon current bid prices. If a market for a financial asset is not active, fair value is determined based upon a valuation technique. This includes the use of recent arms-length transactions, discounted cash flow analysis, option pricing models and other valuation techniques commonly used by market participants to price similar instruments. Where an investment is held for long term strategic purposes, it is accounted for at fair value through profit and loss, unless the Group makes an irrevocable election to measure them at fair value through other comprehensive income (OCI). Where the Group has significant influence, but not control, over the financial and operating policy decisions of the investee, the investment is equity accounted for and recognised as a share in associates. Other related matters Fair value should not differ to the listed stock price. Should a listed stock price not be available, fair value is estimated using the valuation techniques referred to above. The book value of certain unlisted investments for which active markets do not exist are measured at cost because cost is considered to be a reasonable approximation of fair value. Risk reporting Westpac manages equity risk in two ways, VaR limits and investment limits: A VaR limit (in conjunction with structural limits) is used to manage traded equity. This limit is a sub-limit of the overall VaR limit for Financial Markets trading activities. Equity trading activity is overseen by the independent Market Risk function applying the same controls used for monitoring other trading book activities in Financial Markets and Treasury; and Investment exposures are reported annually to MARCO.

Pillar 3 report Equity risk Westpac Group March 2023 Pillar 3 report | 84 Book value of equity exposures 31 March 30 September 31 March $m 2023 2022 2022 Cumulative realised gains (losses) 0 - - Total unrealised gains (losses) through profit & loss (30) 1 (1) Total unrealised gains (losses) through equity 0 - - Total latent revaluation gains (losses) 0 - - Gains/losses 31 March 30 September 31 March $m 2023 2022 2022 Listed equity exposures (publicly traded) 0 - - Unlisted equity exposures (privately traded) 209 187 161 Total book value of equity exposures 209 187 161

Pillar 3 report Funding and liquidity risk management Westpac Group March 2023 Pillar 3 report | 85 Funding and liquidity risk is the risk that Westpac cannot meet its payment obligations or that it does not have the appropriate amount, tenor and composition of funding and liquidity to support its assets. Approach Funding and liquidity risk is measured and managed in accordance with the policies and processes defined in the Board-approved Liquidity Risk Management Framework which is part of the Westpac Board-approved Risk Management Strategy. Responsibility for managing Westpac’s liquidity and funding positions in accordance with the Liquidity Risk Management Framework is delegated to Treasury, under the oversight of ALCO and Treasury Risk. Liquidity Risk Management Framework The Liquidity Risk Management Framework sets out Westpac’s funding and liquidity risk appetite, roles and responsibilities of key people managing funding and liquidity risk within Westpac, risk reporting and control processes and limits and targets used to manage Westpac’s balance sheet. Key components of Westpac’s approach to liquidity risk management are listed below. Funding strategy Treasury undertakes an annual funding review that outlines Westpac’s balance sheet funding strategy over a three year period. This review encompasses trends in global markets, peer analysis, wholesale funding capacity, expected funding requirements and a funding risk analysis. This strategy is continuously reviewed to take account of changing market conditions, investor sentiment and estimations of asset and liability growth rates. Westpac monitors the composition and stability of its funding so that it remains within its funding risk appetite. This includes compliance with both the LCR and NSFR. Liquid asset holdings Westpac holds a portfolio of liquid assets for several purposes, including as a buffer against unforeseen funding requirements. The level of liquid assets held takes into account the liquidity requirements of Westpac’s balance sheet under normal and stress conditions. Liquidity modelling In managing liquidity for Westpac, Treasury utilises balance sheet forecasts and the maturity profile of Westpac’s wholesale funding portfolio to project liquidity outcomes. Local liquidity limits are also used by Westpac in applicable jurisdictions to ensure liquidity is managed efficiently and prudently. In addition, Westpac conducts regular stress testing to assess its ability to meet cash flow obligations under a range of market conditions and scenarios. These scenarios inform liquidity limits and strategic planning. Liquidity transfer pricing Westpac has a liquidity transfer pricing framework which allocates liquidity costs across Westpac. Contingency planning Treasury maintains a contingent funding plan that outlines the steps that should be taken by Westpac in the event of an emerging ‘funding crisis’. The plan is aligned with Westpac’s broader Liquidity Crisis Management Policy which is approved annually by the Board. Liquidity reporting Daily liquidity risk reports are reviewed by the Group’s Treasury and Treasury Risk teams. Liquidity reports are presented to ALCO monthly and to the Board quarterly. Committed Liquidity Facility The Committed Liquidity Facility was fully phased-out by 1 January 2023.

Pillar 3 report Liquidity coverage ratio Westpac Group March 2023 Pillar 3 report | 86 Liquidity Coverage Ratio Westpac’s average LCR for the quarter was 135% (31 December 2022: 139%) and continues to be comfortably above the regulatory minimum of 100%. The decrease in the ratio compared to the quarter ended 31 December 2022 was mainly driven by an increase in holdings of liquid assets partially offset by an increase in net cash outflows. Liquid assets included in the LCR comprise High Quality Liquid Assets (HQLA) and additional qualifying RBNZ securities. As expected, Westpac’s usage of CLF reduced to zero on 1 January 2023 consistent with APRA’s industry requirements. Westpac’s portfolio of HQLA averaged $182.9 billion over the quarter1 (31 December 2022: $176.5 billion). Funding is sourced from retail, small business, corporate and institutional customer deposits and wholesale funding. Westpac seeks to minimise the outflows associated with this funding by targeting customer deposits with lower LCR outflow rates and actively manages the maturity profile of its wholesale funding portfolio. Westpac maintains a buffer over the regulatory minimum of 100%. Total unw eighted value (average) Total w eighted value (average) Total unw eighted value (average) Total w eighted value (average) Liquid assets, of w hich: 1 High-quality liquid assets (HQLA) 182,940 176,451 2 Alternative liquid assets (ALA) - 9,250 3 Reserve Bank of New Zealand (RBNZ) 3,540 3,040 Cash Outflow s 4 Retail deposits and deposits from small business customers, of w hich: 28,559 319,953 317,759 28,390 5 Stable deposits 7,725 154,498 155,666 7,783 6 Less stable deposits 20,834 165,455 162,093 20,607 - - 7 Unsecured w holesale funding, of w hich: 178,399 83,270 179,588 83,461 8 Operational deposits (all counterparties) and deposits in netw orks for cooperative banks 18,858 75,709 75,820 18,888 9 Non-operational deposits (all counterparties) 87,70 49,422 0 90,014 50,819 10 Unsecured debt 14,990 14,990 13,754 13,754 11 Secured w holesale funding - - - - - 12 Additional requirements, of w hich: 209,524 29,011 205,521 27,517 13 Outflow s related to derivatives exposures and other collateral requirements 12,015 12,015 10,826 10,826 14 Outflow s related to loss of funding on debt products 300 300 289 289 15 Credit and liquidity facilities 16,696 197,209 194,406 16,402 - - 16 Other contractual funding obligations 6,471 4,023 8,193 5,401 17 Other contingent funding obligations 46,240 3,847 41,943 3,578 - - 18 Total cash outflows - 148,710 148,347 Cash inflows 19 Secured lending (e.g. reverse repos) 4,523 - 5,661 - 20 Inflow s from fully performing exposures 8,260 4,340 8,195 4,468 21 Other cash inflow s 6,734 6,734 8,556 8,556 22 Total cash inflows 11,074 19,517 22,412 13,024 23 Total liquid assets 186,480 188,741 24 Total net cash outflows 137,636 135,323 24.1 Net cash outflow s overlay 24.1 Net cash outflows overlay - - 25 Liquidity Coverage Ratio (%) 135% 139% Number of data points used Number of data points used 63 63 $m 31 March 2023 31 December 2022 1 Calculated as a simple average of the daily observations over the quarter.

Pillar 3 report Net stable funding ratio Westpac Group March 2023 Pillar 3 report | 87 Net Stable Funding Ratio (NSFR) disclosure1 The NSFR is a structural measure which requires that a bank has sufficient Available Stable Funding (ASF) to cover its Required Stable Funding (RSF) over a one-year horizon. Westpac’s NSFR as at 31 March 2023 was 119%1 (31 December 2022 122%). Westpac maintains a buffer over the regulatory minimum of 100%. No maturity < 6 months 6 months to < 1yr > 1 year Weighted value Available Stable Funding (ASF) Item 1 Capital - - 32,818 71,826 104,643 2 Regulatory capital - - 32,818 71,826 104,643 3 Other capital instruments - - - - - 4 Retail deposits and deposits from small business customers 309,108 88,159 566 144 367,172 5 Stable deposits 27,914 151,646 5 4 170,590 6 Less stable deposits 60,245 157,462 561 141 196,582 7 Wholesale funding 169,792 142,113 46,236 118,091 229,557 8 Operational deposits - - - 36,594 73,188 9 Other w holesale funding 169,792 68,925 46,236 118,091 192,963 10 Liabilities w ith matching interdependent assets - - - - - 11 Other liabilities - 21,732 - 60 60 12 NSFR derivative liabilities 5,857 13 All other liabilities and equity not included in the above categories 15,875 - 60 60 14 Total ASF 701,432 Required Stable Funding (RSF) Item 15a) Total NSFR (High quality liquid assets - HQLA) 3,225 15b) Alernate Liquid Assets (ALA) 2,978 15c) Reserve Bank of New Zealand (RBNZ) securities 529 16 Deposits held at other financial institutions for operational purposes - - - - - 17 Performing loans and securities 48,795 1,527 40,607 647,911 533,995 18 Performing loans to financial institutions secured by Level 1 HQLA 1,385 5,136 - - 1,898 19 Performing loans to financial institutions secured by non-Level 1 HQLA and unsecured performing loans to financial institutions 4,830 142 5,601 19,352 23,019 20 Performing loans to nonfinancial corporate clients, loans to retail and small business customers, and loans to sovereigns, central banks and public sector entities (PSEs), of w hich: - 29,528 24,852 133,214 140,289 21 With a risk w eight of less than or equal to 35% under APS 112 - 1 2 666 434 22 Performing residential mortgages, of w hich: - 7,121 7,372 477,721 351,329 23 With a risk w eight equal to 35% under APS 112 - 6,7 6,980 53 375,387 263,561 24 Securities that are not in default and do not qualify as HQLA, including exchange-traded equities - 2,180 2,783 17,623 17,459 25 Assets w ith matching interdependent liabilities - - - - - 26 Other assets: 20,819 9,019 355 24,417 38,573 27 Physical traded commodities, including gold 516 516 28 Assets posted as initial margin for derivative contracts and contributions to default funds of central counterparties (CCPs) 2,292 29 NSFR derivative assets - 30 NSFR derivative liabilities before deduction of variation margin posted 1,777 31 All other assets not included in the above categories 8,502 4,266 355 24,417 33,988 32 Off-balance sheet items 10,269 33 Total RSF 589,569 34 Net Stable Funding Ratio (%) 119% 31 March 2023 $m 2,696 4,972 8,886 197,206 Unw eighted value by residual maturity 1 Calculated as total available stable funding divided by total required stable funding as at end of the quarter.

Pillar 3 report Net stable funding ratio Westpac Group March 2023 Pillar 3 report | 88 No maturity < 6 months 6 months to < 1yr > 1 year Weighted value Available Stable Funding (ASF) Item 1 Capital - - 32,591 69,124 101,716 2 Regulatory capital - - 32,591 69,124 101,716 3 Other capital instruments - - - - - 4 Retail deposits and deposits from small business customers 306,031 87,700 596 121 364,060 5 Stable deposits 28,255 152,640 8 4 171,862 6 Less stable deposits 59,445 153,391 588 116 192,198 7 Wholesale funding 164,333 146,994 45,286 121,611 233,416 8 Operational deposits - - - 38,286 76,572 9 Other w holesale funding 164,333 70,421 45,286 121,611 195,130 10 Liabilities w ith matching interdependent assets - - - - - 11 Other liabilities - 15,022 - 70 70 12 NSFR derivative liabilities 9,377 13 All other liabilities and equity not included in the above categories 5,645 - 70 70 14 Total ASF 699,262 Required Stable Funding (RSF) Item 15a) Total NSFR (High quality liquid assets - HQLA) 3,414 15b) Alernate Liquid Assets (ALA) 3,903 15c) Reserve Bank of New Zealand (RBNZ) securities 212 16 Deposits held at other financial institutions for operational purposes - - - - - 17 Performing loans and securities 43,108 2,386 41,852 639,958 517,100 18 Performing loans to financial institutions secured by Level 1 HQLA 2,334 6,509 - - 2,985 19 Performing loans to financial institutions secured by non-Level 1 HQLA and unsecured performing loans to financial institutions 2,959 52 6,190 19,534 23,126 20 Performing loans to nonfinancial corporate clients, loans to retail and small business customers, and loans to sovereigns, central banks and public sector entities (PSEs), of w hich: - 26,196 27,949 134,373 140,999 21 With a risk w eight of less than or equal to 35% under APS 112 - 1 271 1,452 1,080 22 Performing residential mortgages, of w hich: - 6,890 6,863 474,435 339,418 23 With a risk w eight equal to 35% under APS 112 - 6,5 6,482 16 438,152 305,973 24 Securities that are not in default and do not qualify as HQLA, including exchange-traded equities - 553 850 11,616 10,573 25 Assets w ith matching interdependent liabilities - - - - - 26 Other assets: 26,525 9,433 414 24,343 40,365 27 Physical traded commodities, including gold 719 719 28 Assets posted as initial margin for derivative contracts and contributions to default funds of central counterparties (CCPs) 2,147 29 NSFR derivative assets - 30 NSFR derivative liabilities before deduction of variation margin posted 3,375 31 All other assets not included in the above categories 8,714 1,044 414 24,343 34,124 32 Off-balance sheet items 10,346 33 Total RSF 575,339 34 Net Stable Funding Ratio (%) 122% Unw eighted value by residual maturity 31 December 2022 $m 2,526 6,080 16,876 198,689

Pillar 3 report Appendix I | Regulatory capital reconciliation Westpac Group March 2023 Pillar 3 report | 89 Balance Sheet Reconciliation 31 March 2023 $m Group Balance Sheet Adjustment Level 2 Regulatory Balance Sheet Reconciliation Table Capital Disclosure Template Assets Cash and balances w ith central banks 117,886 (14) 117,872 Collateral paid 4,093 - 4,093 Due from subsidiaries - 134 134 Trading securities and financial assets measured at fair value through income statement (FVIS) 30,474 (53) 30,421 Derivative financial instruments 20,346 - 20,346 Available-for-sale securities - - - Investment securities 73,552 (232) 73,320 Loans 749,931 - 749,931 Other financial assets 7,343 (460) 6,883 Current tax assets 25 - 25 Life insurance assets - - - Investments in associates 34 (10) 24 Property and equipment 2,415 - 2,415 Deferred tax assets 1,703 362 2,065 Table a Intangible assets 10,724 - 10,724 Table b Investments in life & general insurance, funds management & securitisation entities - 201 201 Table c Other assets 582 13 595 Assets held for sale - - - Total assets 1,019,108 (59) 1,019,049 Liabilities Collateral received 3,577 - 3,577 Due to subsidiaries - 665 665 Deposits and other borrow ings 676,352 - 676,352 Other financial liabilities 60,102 (39) 60,063 Derivative financial instruments 20,791 - 20,791 Debt issues 148,952 - 148,952 Current tax liabilities 363 (1) 362 Provisions 2,424 (2) 2,422 Deferred tax liabilities - - - Loan capital 31,025 - 31,025 Table d and e Other liabilities 2,854 (104) 2,750 Liabilities held for sale - - - Total liabilities 946,440 519 946,959 Equity Ordinary share capital 39,824 - 39,824 Row 1 Treasury shares and RSP treasury shares (702) (57) (759) Table f Reserves 2,816 (179) 2,637 Table g Retained Profits 30,686 (343) 30,343 Row 2 Non-controlling interests 44 - 44 Total equity 72,668 (579) 72,089

Pillar 3 report Appendix I | Regulatory capital reconciliation Westpac Group March 2023 Pillar 3 report | 90 12 1 $m 31 March 2023 Capital Disclosure Template Reference Table a Deferred Tax Assets Total Deferred Tax Assets per Group Balance Sheet 1,703 Add: Net Deferred Tax Assets included in other regulatory adjustments or associated w ith reserves ineligible for inclusion in regulatory capital 362 Total Deferred Tax Assets per level 2 Regulatory Balance Sheet 2,065 Deferred tax asset adjustment before applying prescribed thresholds 2,065 Row 26e Less: Amounts below prescribed threshold - risk w eighted (2,065) Row 75 Total per Capital Disclosure Template - Deferred Tax Asset - Row 21 / 25 $m 31 March 2023 Capital Disclosure Template Reference Table b Goodwill and other intangible assets Total Goodw ill and Intangibles Assets per level 2 Regulatory Balance Sheet 10,724 Less: Capitalised Softw are Disclosed Under Intangibles (2,631) Row 9 Total per Capital Disclosure Template - Goodwill 8,093 Row 8 $m 31 March 2023 Capital Disclosure Template Reference Table c Equity Investments Equity Investments in non-consolidated subsidiaries 201 Total Significant Investment in financial entities 201 Row 73 Non-significant Investment in financial entities 149 Row 72 Total Investments in financial institutions 350 Row 26d Investment in commercial entities 60 Row 26g Total Equity Investments before applying prescribed threshold 410 Less: Amounts below prescribed threshold (410) Total per Capital Disclosure Template - Equity Investments - Row 18/ 19/ 23 $m 31 March 2023 Capital Disclosure Template Reference Table d Additional Tier 1 Capital Total Loan Capital per Level 2 Regulatory Balance Sheet 31,025 Less: Tier 2 Capital Instruments Reported Below (21,246) Add: Capitalised Issue Costs for Additional Tier 1 Capital Instruments1 53 Less: Fair Value Adjustment2 126 Total per Capital Disclosure Template - Tier 1 Capital 9,958 Row 36 Additional Tier 1 Capital included in Regulatory Capital Westpac Capital Notes 5 1,690 Westpac Capital Notes 6 1,423 SEC Registered Capital Securities 1,862 Westpac Capital Notes 7 1,723 Westpac Capital Notes 8 1,750 Westpac Capital Notes 9 1,510 Total Basel III complying instruments 9,958 Row 30 Total Basel III non complying instruments - Row 33 Total per Capital Disclosure Template - Additional Tier 1 Capital Instruments 9,958 Row 36 1 Unamortised issue costs relating to capital instruments are netted off against each instrument in the Balance Sheet. For regulatory capital purposes, these capital instruments are shown gross of unamortised issue costs. The unamortised issue costs are deducted from CET1 as part of capitalised expenses in Row 26f in the capital disclosure template. 2 For regulatory capital purposes, APRA requires these instruments to be included as if they were unhedged.

Pillar 3 report Appendix I | Regulatory capital reconciliation Westpac Group March 2023 Pillar 3 report | 91 $m 31 March 2023 Capital Disclosure Template Reference Table e Tier 2 Capital Total Tier 2 Capital per Level 2 Regulatory Balance Sheet 21,246 Add: Capitalised Issue Costs for Tier 2 Capital Instruments1 63 Less: Fair Value Adjustment2 2,405 Less: Loan capital not recognised for APRA purposes (554) Less: Basel III transitional adjustment - Row 56c Provisions 1,103 Row 50 / 76 Total per Capital Disclosure Template - Tier 2 24,263 Row 51 Tier 2 Capital included in Regulatory Capital USD100 million Westpac Subordinated Notes 149 JPY20,000 million Westpac Subordinated Notes 224 JPY10,200 million Westpac Subordinated Notes 114 JPY10,000 million Westpac Subordinated Notes 112 AUD175 million Westpac Subordinated Notes 175 USD1,500 million Westpac Subordinated Notes 2,231 AUD350 million Westpac Subordinated Notes 350 AUD185 million Westpac Subordinated Notes 185 AUD130 million Westpac Subordinated Notes 130 AUD725 million Westpac Subordinated Notes II 725 USD1,000 million Westpac Subordinated Notes 1,482 USD1,250 million Westpac Subordinated Notes 1,858 AUD1,000 million Westpac Subordinated Notes 1,000 USD1,500 million Westpac Subordinated Notes 2,233 USD1,000 million Westpac Subordinated Notes 1,481 USD1,500 million Westpac Subordinated Notes 2,229 AUD1,250 million Westpac Subordinated Notes 1,250 EUR1,000 million Westpac Subordinated Notes 1,620 USD1,000 million Westpac Subordinated Notes 1,480 USD1,250 million Westpac Subordinated Notes 1,855 JPY26,000 million Westpac Subordinated Notes 290 USD1,000 million Westpac Subordinated Notes 1,484 SGD450 million Westpac Subordinated Notes 503 Total Basel III complying instruments 23,160 Row 46 Total Basel III non complying instruments - Less: Basel III transitional adjustment - Row 85 Total Basel III non complying instruments after transitional adjustment - Row 47 Provisions 1,103 Row 50 / 76 Total per Capital Disclosure Template - Tier 2 Capital Instruments 24,263 Row 51 $m 31 March 2023 Capital Disclosure Template Reference Table f Treasury Shares and RSP Treasury Shares Total treasury shares per Level 2 Regulatory Balance Sheet (759) Less: Treasury Shares not included for Level 2 Regulatory Capital - Total per Capital Disclosure Template - Treasury Shares (759) Row 26a $m 31 March 2023 Capital Disclosure Template Reference Table g Accumulated Other Comprehensive Income (and other reserves) Total reserves per Level 2 Regulatory Balance Sheet 2,637 Less: Share Based Payment Reserve not included w ithin capital (43) Total per Capital Disclosure Template - Accumulated Other Comprehensive Income (and other reserves) 2,594 Row 3 2 1 Unamortised issue costs relating to capital instruments are netted off against each instrument in the Balance Sheet. For regulatory capital purposes, these capital instruments are shown gross of unamortised issue costs. The unamortised issue costs are deducted from CET1 as part of capitalised expenses in Row 26f in the capital disclosure template. 2 For regulatory capital purposes, APRA requires these instruments to be included as if they were unhedged.

Pillar 3 report Appendix I | Regulatory capital reconciliation Westpac Group March 2023 Pillar 3 report | 92 The capital disclosure template below represents the post 1 January 2018 Basel III template. $m 31 March 2023 Table Reference Common Equity Tier 1 capital: instruments and reserves 1 Directly issued qualifying ordinary shares (and equivalent for mutually-ow ned entities) 39,824 2 Retained earnings 30,343 3 Accumulated other comprehensive income (and other reserves) 2,594 Table g 4 Directly issued capital subject to phase out from CET1 (only applicable to mutually-ow ned companies) - 5 Ordinary share capital issued by subsidiaries and held by third parties (amount allow ed in group CET1) 44 6 Common Equity Tier 1 capital before regulatory adjustments 72,805 Common Equity Tier 1 capital : regulatory adjustments 7 Prudential valuation adjustments - 8 Goodw ill (net of related tax liability) (8,092) Table b 9 Other intangibles other than mortgage servicing rights (net of related tax liability) (2,631) Table b 10 Deferred tax assets that rely on future profitability excluding those arising from temporary differences (net of related tax liability) - 11 Cash-flow hedge reserve (885) 12 Shortfall of provisions to expected losses (2) 13 Securitisation gain on sale (as set out in paragraph 562 of Basel II framew ork) - 14 Gains and losses due to changes in ow n credit risk on fair valued liabilities (276) 15 Defined benefit superannuation fund net assets (67) 16 Investments in ow n shares (if not already netted off paid-in capital on reported balance - 17 Reciprocal cross-holdings in common equity - 18 Investments in the capital of banking, financial and insurance entities that are outside the scope of regulatory consolidation, net of eligible short positions, w here the ADI does not ow n more than 10% of the issued share capital (amount above 10% threshold) - Table c 19 Significant investments in the ordinary shares of banking, financial and insurance entities that are outside the scope of regulatory consolidation, net of eligible short positions (amount above 10% threshold) - Table c 20 Mortgage service rights (amount above 10% threshold) - 21 Deferred tax assets arising from temporary differences (amount above 10% threshold, net of related tax liability) - Table a 22 Amount exceeding the 15% threshold - 23 of w hich: significant investments in the ordinary shares of financial entities - Table c 24 of w hich: mortgage servicing rights - 25 of w hich: deferred tax assets arising from temporary differences - Table a 26 National specific regulatory adjustments (sum of row s 26a, 26b, 26c, 26d, 26e, 26f, 26g, 26h, 26i and 26j) (5,208) 26a of w hich: treasury shares (759) Table f 26b of w hich: offset to dividends declared under a dividend reinvestment plan (DRP), to the extent that the dividends are used to purchase new ordinary shares issued by the ADI - 26c of w hich: deferred fee income 276 26d of w hich: equity investments in financial institutions not reported in row s 18, 19 and 23 (350) Table c 26e of w hich: deferred tax assets not reported in row s 10, 21 and 25 (2,065) Table a 26f of w hich: capitalised expenses (2,250) 26g of w hich: investments in commercial (non-financial) entities that are deducted under APRA prudential requirements (60) Table c 26h of w hich: covered bonds in excess of asset cover in pools - 26i of w hich: undercapitalisation of a non-consolidated subsidiary - 26j of w hich: other national specific regulatory adjustments not reported in row s 26a to 26i - 27 Regulatory adjustments applied to Common Equity Tier 1 due to insufficient Additional Tier 1 and Tier 2 to cover deductions - 28 Total regulatory adjustments to Common Equity Tier 1 (17,161) 29 Common Equity Tier 1 Capital (CET1) 55,644

Pillar 3 report Appendix I | Regulatory capital reconciliation Westpac Group March 2023 Pillar 3 report | 93 $m 31 March 2023 Table Reference Additional Tier 1 Capital: instruments 30 Directly issued qualifying Additional Tier 1 instruments 9,958 Table d 31 of w hich: classified as equity under applicable accounting standards - 32 of w hich: classified as liabilities under applicable accounting standards 9,958 Table d 33 Directly issued capital instruments subject to phase out from Additional Tier 1 - 34 Additional Tier 1 instruments (and CET1 instruments not included in row 5) issued by subsidiaries and held by third parties (amount allow ed in group AT1) - 35 of w hich: instruments issued by subsidiaries subject to phase out - 36 Additional Tier 1 Capital before regulatory adjustments 9,958 Table d Additional Tier 1 Capital: regulatory adjustments 37 Investments in ow n Additional Tier 1 instruments (25) 38 Reciprocal cross-holdings in Additional Tier 1 instruments - 39 Investments in the capital of banking, financial and insurance entities that are outside the scope of regulatory consolidation, net of eligible short positions, w here the ADI does not ow n more than 10% of the issued share capital (amount above 10% threshold) - 40 Significant investments in the capital of banking, financial and insurance entities that are outside the scope of regulatory consolidation (net of eligible short positions) - 41 National specific regulatory adjustments (sum of row s 41a, 41b and 41c) - 41a of w hich: holdings of capital instruments in group members by other group members on behalf of third parties - 41b of w hich: investments in the capital of financial institutions that are outside the scope of regulatory consolidations not reported in row s 39 and 40 - 41c of w hich: other national specific regulatory adjustments not reported in row s 41a and 41b - 42 Regulatory adjustments applied to Additional Tier 1 due to insufficient Tier 2 to cover - 43 Total regulatory adjustments to Additional Tier 1 capital (25) 44 Additional Tier 1 capital (AT1) 9,933 Table d 45 Tier 1 Capital (T1=CET1+AT1) 65,577 Tier 2 Capital: instruments and provisions 46 Directly issued qualifying Tier 2 instruments 23,160 Table e 47 Directly issued capital instruments subject to phase out from Tier 2 - Table e 48 Tier 2 instruments (and CET1 and AT1 instruments not included in row s 5 or 34) issued by subsidiaries and held by third parties (amount allow ed in group T2) - 49 of w hich: instruments issued by subsidiaries subject to phase out - 50 Provisions 1,103 Table e 51 Tier 2 Capital before regulatory adjustments 24,263 Table e Tier 2 Capital: regulatory adjustments 52 Investments in ow n Tier 2 instruments (100) 53 Reciprocal cross-holdings in Tier 2 instruments - 54 Investments in the Tier 2 capital of banking, financial and insurance entities that are outside the scope of regulatory consolidation, net of eligible short positions, w here the ADI does not ow n more than 10% of the issued share capital (amount above 10% threshold) - 55 Significant investments in the Tier 2 capital of banking, financial and insurance entities that are outside the scope of regulatory consolidation, net of eligible short positions - 56 National specific regulatory adjustments (sum of row s 56a, 56b and 56c) (267) 56a of w hich: holdings of capital instruments in group members by other group members on behalf of third parties - 56b of w hich: investments in the capital of financial institutions that are outside the scope of regulatory consolidation not reported in row s 54 and 55 (267) 56c of w hich: other national specific regulatory adjustments not reported in row s 56a and 56b - 57 Total regulatory adjustments to Tier 2 capital (367) 58 Tier 2 capital (T2) 23,896 59 Total capital (TC=T1+T2) 89,473 60 Total risk-weighted assets based on APRA standards 452,946

Pillar 3 report Appendix I | Regulatory capital reconciliation Westpac Group March 2023 Pillar 3 report | 94 $m 31 March 2023 Table Reference Capital ratios and buffers 61 Common Equity Tier 1 (as a percentage of risk-w eighted assets) 12.3% 62 Tier 1 (as a percentage of risk-w eighted assets) 14.5% 63 Total capital (as a percentage of risk-w eighted assets) 19.8% 64 Buffer requirement (minimum CET1 requirement of 4.5% plus capital conservation buffer of 3.75% plus any countercyclical buffer requirements expressed as a percentage of risk-w eighted assets)1 10.08% 65 of w hich: capital conservation buffer requirement 3.75% 66 of w hich: ADI-specific countercyclical buffer requirements 0.83% 67 of w hich: G-SIB buffer requirement (not applicable) NA 68 Common Equity Tier 1 available to meet buffers (as a percentage of risk-w eighted assets) 12.3% National minima (if different from Basel III) 69 National Common Equity Tier 1 minimum ratio (if different from Basel III minimum) NA 70 National Tier 1 minimum ratio (if different from Basel III minimum) NA 71 National total capital minimum ratio (if different from Basel III minimum) NA Amount below thresholds for deductions (not risk-weighted) 72 Non-significant investments in the capital of other financial entities 149 Table c 73 Significant investments in the ordinary shares of financial entities 201 Table c 74 Mortgage servicing rights (net of related tax liability) - 75 Deferred tax assets arising from temporary differences (net of related tax liability) 2,065 Table a Applicable caps on the inclusion of provisions in Tier 2 76 Provisions eligible for inclusion in Tier 2 in respect of exposures subject to standardised approach (prior to application of cap) 79 Table e 77 Cap on inclusion of provisions in Tier 2 under standardised approach 390 78 Provisions eligible for inclusion in Tier 2 in respect of exposures subject to internal ratings-based approach (prior to application of cap) 1,025 Table e 79 Cap for inclusion of provisions in Tier 2 under internal ratings-based approach 1,856 Capital instruments subject to phase-out arrangements (only applicable between 1 Jan 2018 and 1 Jan 2022) 80 Current cap on CET1 instruments subject to phase out arrangements NA 81 Amount excluded from CET1 due to cap (excess over cap after redemptions and maturities) NA 82 Current cap on AT1 instruments subject to phase out arrangements NA 83 Amount excluded from AT1 instruments due to cap (excess over cap after redemptions and maturities) NA 84 Current cap on T2 instruments subject to phase out arrangements NA 85 Amount excluded from T2 due to cap (excess over cap after redemptions and maturities) NA Table e 12 1 Includes 1% Domestic Systemically Important Bank (D-SIB) requirement.

Pillar 3 report Appendix I | Regulatory capital reconciliation Westpac Group March 2023 Pillar 3 report | 95 Countercyclical buffer (CCyB) This table sets out the ADI specific countercyclical capital buffer. The countercyclical capital buffer is an additional amount of capital that APRA can require banks to hold or release at certain points in the economic and financial cycle. As part of the revised capital framework, APRA has set a 1.0% default countercyclical capital buffer. The following table provides a geographic breakdown of RWA associated with private sector credit exposures that are used to calculate the countercyclical capital buffer requirement. Mar-23 Jurisdictional buffer% Risk Weighted Assets ($m) ADI-specific buffer% Australia 1.00% 286,856 0.8238% United Kingdom 1.00% 2,095 0.0060% Hong Kong 1.00% 145 0.0004% Denmark 2.50% 17 0.0001% Luxembourg 0.50% 12 0.0000% Norw ay 2.00% 3 0.0000% Other - 59,064 - Total NA 348,192 0.8303%

Pillar 3 report Appendix II | Entities included in regulatory consolidation Westpac Group March 2023 Pillar 3 report | 96 This appendix lists all subsidiaries controlled by Westpac according to their level of regulatory consolidation. Level 1 Entities The following controlled entities have been approved by APRA for inclusion in the Westpac ADI’s ‘Extended Licensed Entity’ (ELE) for the purposes of measuring capital adequacy at Level 1: Westpac Banking Corporation St.George Finance Holdings Limited 1925 (Commercial) Pty Limited St.George Security Holdings Pty Limited 1925 (Industrial) Pty Limited Value Nominees Pty Limited Bill Acceptance Corporation Pty Limited Westpac Administration 2 Pty Limited Capital Finance Australia Limited Westpac Administration Pty Limited CBA Pty Limited Westpac Debt Securities Pty Limited Challenge Pty Limited Westpac Direct Equity Investments Pty Limited Mortgage Management Pty Limited Westpac Investment Vehicle Pty Limited Partnership Pacific Pty Limited Westpac Leasing Nominees-Vic.-Pty Limited Partnership Pacific Securities Pty Limited Westpac Properties Pty Limited Pashley Investments Pty Limited Westpac Securitisation Holdings Pty Limited Sallmoor Pty Limited Westpac Structured Products Limited Sixty Martin Place (Holdings) Pty Limited Westpac TPS Trust St.George Business Finance Pty Limited Westpac Unit Trust Level 2 Entities The following controlled entities are included in the Level 2 consolidation (along with the ELE entities) for the purposes of measuring capital adequacy: 1925 Advances Pty Limited MoneyBrilliant Pty Ltd Altitude Administration Pty Limited Net Nominees Limited Altitude Rewards Pty Limited Number 120 Limited Aotearoa Financial Services Limited Qvalent Pty Limited BT (Queensland) Pty Limited RAMS Financial Group Pty Limited BT Financial Group Holdings Pty Ltd RMS Warehouse Trust 2007-1 BT Financial Group (NZ) Limited Series 2008-1M WST Trust BT Financial Group Pty Limited Series 2013-2 WST Trust BT Securities Limited Series 2014-1 WST Trust Capital Finance (NZ) Pty Limited Series 2014-2 WST Trust Crusade ABS Series 2017-1P Trust Series 2015-1 WST Trust Crusade ABS Series 2018-1P Trust Series 2019-1 WST Trust Crusade Trust No.2P of 2008 Series 2020-1 WST Trust Danaby Pty Limited Series 2021-1 WST Trust General Credits Pty Limited Series 2022-1P WST Trust Hastings Management Pty Limited St.George Finance Limited

Pillar 3 report Appendix II | Entities included in regulatory consolidation Westpac Group March 2023 Pillar 3 report | 97 Level 2 Entities (Continued) St.George Motor Finance Limited Westpac Holdings-NZ-Limited The Home Mortgage Company Limited Westpac Investment Capital Corporation W2 Investments Pty Limited Westpac Investment Vehicle No.2 Pty Limited Westpac (NZ) Investments Limited Westpac Investment Vehicle No.3 Pty Limited Westpac Administration 3 Pty Limited Westpac New Zealand Group Limited Westpac Administration 4 Pty Limited Westpac New Zealand Limited Westpac Altitude Rewards Trust Westpac Notice Saver PIE Fund Westpac Americas Inc. Westpac NZ Covered Bond Holdings Limited Westpac Asian Lending Pty Limited Westpac NZ Covered Bond Limited Westpac Bank-PNG-Limited Westpac NZ Operations Limited Westpac Capital Markets Holding Corp. Westpac NZ Securitisation Holdings Limited Westpac Capital Markets LLC Westpac NZ Securitisation Limited Westpac Capital-NZ-Limited Westpac NZ Securitisation No.2 Limited Westpac Cash PIE Fund Westpac Overseas Holdings Pty Limited Westpac Covered Bond Trust Westpac Overseas Holdings No. 2 Pty Limited Westpac Equity Holdings Pty Limited Westpac Securities Limited Westpac Equity Investments NZ Limited Westpac Securities NZ Limited Westpac Europe GmbH Westpac Securitisation Management Pty Limited Westpac Europe Limited Westpac Syndications Management Pty Limited Westpac Financial Services Group Pty Limited Westpac Term PIE Fund Westpac Financial Services Group-NZ-Limited Westpac USA Inc. Westpac Global Capital Markets Pty Limited Westpac Group Investment-NZ-Limited

Pillar 3 report Appendix II | Entities included in regulatory consolidation Westpac Group March 2023 Pillar 3 report | 98 Level 3 Entities The following controlled entities are excluded from the Level 2 consolidation but form part of the conglomerate group at Level 3: Asgard Capital Management Limited Reinventure Fund II I.L.P Asgard Wealth Solutions Limited Reinventure Fund III I.L.P BT Financial Group Resources Pty Ltd Reinventure Special Purpose Investment Unit Trust BT Funds Management (NZ) Limited Securitor Financial Group Pty Limited BT Funds Management Limited Sydney Capital Corporation Inc. BT Funds Management No.2 Limited Waratah Receivables Corporation Pty Limited BT Portfolio Services Limited Waratah Securities Australia Limited GIS Private Nominees Pty Limited Westpac Financial Services Limited Hyde Potts Insurance Services Pte. Limited Westpac New Zealand Staff Superannuation Scheme Trustee Limited Magnitude Group Pty Limited Westpac Nominees-NZ-Limited Pendal Short Term Income Fund Westpac RE Limited Red Bird Ventures Limited Westpac Securities Administration Limited Reinventure Fund, I.L.P. Westpac Superannuation Nominees-NZ-Limited

Pillar 3 report Appendix III | Level 3 entities’ assets and liabilities Westpac Group March 2023 Pillar 3 report | 99 The following legal entities are excluded from the regulatory scope of consolidation. The total assets and liabilities should not be aggregated because some of the entities are holding companies for other entities in the table shown below. 31 March 2023 $m Total Assets Insurance, funds management and other Asgard Capital Management Limited 10 37 Asgard Wealth Solutions Limited 2 3 BT Funds Management (NZ) Limited 13 58 BT Funds Management Limited 332 485 BT Funds Management No.2 Limited 2 10 BT Portfolio Services Limited 38 115 GIS Private Nominees Pty Limited 2 22 Hyde Potts Insurance Services Pte. Limited 3 22 Magnitude Group Pty Limited 0 3 Pendal Short Term Income Fund 256 256 Red Bird Ventures Limited 1 11 Reinventure Fund II I.L.P 7 92 Reinventure Fund III I.L.P 0 75 Reinventure Fund, I.L.P. 5 46 Reinventure Special Purpose Investment Unit Trust 0 34 Securitor Financial Group Pty Limited 0 3 Westpac Financial Services Limited 10 24 Westpac Nominees-NZ-Limited - 4 Westpac RE Limited 1 8 Westpac Securities Administration Limited 0 7 Liabilities (excluding equity)

Pillar 3 report Appendix IV | Regulatory expected loss Westpac Group March 2023 Pillar 3 report | 100 Capital deduction for regulatory expected loss2 For capital adequacy purposes APRA requires the amount of regulatory expected credit losses in excess of eligible provisions to be deducted from capital. The following table shows how the deduction is calculated. 31 March 30 September 31 March $m 2023 2022 2022 Provisions associated with eligible portfolios Total provisions for impairment charges 4,635 4,923 4,682 plus provisions associated w ith partial w rite-offs 3 377 81 304 less ineligible provisions1 (143) (181) (101) Total eligible provisions 4,869 5,123 4,885 Regulatory expected downturn loss 4,690 4,101 4,947 Excess/(shortfall) in eligible provisions compared to regulatory expected downturn loss 179 1,022 (62) Common equity Tier 1 capital deduction for regulatory expected downturn loss in excess of eligible provisions2 (144) (2) (164) 1 Provisions associated with portfolios subject to the Basel standardised approach to credit risk are not eligible. 2 Regulatory expected loss is calculated for those portfolios subject to the IRB approach to credit risk The comparison between regulatory expected loss and eligible provisions is performed separately for defaulted and non-defaulted exposures.

Pillar 3 report Appendix V | APS330 quantitative requirements Westpac Group March 2023 Pillar 3 report | 101 The following table cross-references the quantitative disclosure requirements given by Attachments A, C, D and E of APS330 to the quantitative disclosures made in this report. The continuous reporting requirements for capital instruments under Attachment B are satisfied separately and can be found on the regulatory disclosures section on the Westpac website1 . In addition to this report, the regulatory disclosures section of the Westpac website contains the reporting requirements for: Capital instruments under Attachment B of APS330; and The identification of potential Global-Systemically Important Banks (G-SIB) under Attachment H of APS330 (disclosed annually). APS330 reference Westpac disclosure Page General Requirements Paragraph 12 (a) (c) to (d) Balance Sheet Reconciliation 89 Paragraph 13 Level 3 entities’ assets and liabilities 99 Paragraph 49 Summary leverage ratio 23 Attachment A: Table 1: Capital disclosure template Capital disclosure template 92 Attachment C: Table 3: Capital adequacy (a) to (e) Capital requirements 21 (f) Westpac’s capital adequacy ratios 19 Capital adequacy ratios of major subsidiary banks 19 Table 4: Credit risk (a) Exposure at Default by major type 35 (b) Non-performing and past due loans by portfolio 42 (c) Provisions held against performing exposures 32 Table 5: Securitisation exposures (a) Banking book summary of securitisation activity by asset type 69 (b) Banking book summary of on and off-balance sheet securitisation by exposure type 70 Trading book summary of on and off-balance sheet securitisation by exposure type 73 Attachment D: Table 6: Capital adequacy (b) to (f) Capital requirements 21 (g) Westpac’s capital adequacy ratios 19 Capital adequacy ratios of major subsidiary banks 19 (h) Residential Mortgage capital requirements under IRB and Standardised approaches 48 (i) IRB capital floor 20 Table 7: Credit risk - general disclosures (b) Exposure at Default by major type 35 (c) Exposure at Default by geography 40 (d) Exposure at Default by industry classification 37 (e) Exposure at Default by residual contractual maturity 41 (f) Non-performing exposures by industry classification 43 (g) Non-performing exposures by geography 44 (h) Movement in provisions for impairment charges 33 (h) Loan impairment provisions 32 (i) Exposure at Default by measurement method 35 (j) Provisions held against performing exposures 32 Table 8: Credit risk - disclosures for portfolios subject to the (b) Portfolios subject to the standardised approach 55 Portfolios subject to supervisory risk weights 52 1 http://www.westpac.com.au/about-westpac/investor-centre/financial-information/regulatory-disclosures/

Pillar 3 report Appendix V | APS330 quantitative requirements Westpac Group March 2023 Pillar 3 report | 102 APS330 reference Westpac disclosure Page standardised approach and supervisory risk-weights in the IRB approaches (formerly Table 5) Table 9: Credit risk - disclosures for portfolios subject to IRB approaches (d) Corporate portfolio by external credit rating 45 Business lending portfolio by external credit rating 46 Property finance by external credit rating 47 Residential mortgages portfolio by PD band 48 Australian credit cards portfolio by PD band 49 Small business portfolio by PD band 50 Other retail portfolio by PD band 51 Sovereign portfolio by external credit rating 53 Financial institution portfolio by external credit rating 54 Large Corporate Exposures by external credit rating 54 (e) Actual losses 57 (f) Comparison of regulatory expected and actual loss rates 58 Table 10: Credit risk mitigation disclosures (b) to (c) Total exposure covered by collateral, credit derivatives and guarantees 61 Table 11: General disclosure for exposures related to counterparty credit risk (b) (c) Counterparty credit risk summary Credit derivative transactions that create exposures to counterparty credit risk 62 63 Table 12: Securitisation exposures Banking Book (g) part i and (h) to (i) Summary of assets securitised by Westpac 68 (g) part ii Summary of total Westpac sponsored third party assets securitised 68 (j) Summary of securitisation activity by asset type 69 (k) Summary of on and off-balance sheet securitisation by exposure type 70 (l) part i Securitisation exposure by risk weight band 71 (l) part ii Securitisation exposures deducted from capital 71 (m) Securitisation subject to early amortisation treatment 71 (n) part i Resecuritisation exposure subject to credit risk mitigation 71 (n) part ii Resecuritisation exposure to guarantors 72 Trading Book (o) part i and (p) Summary of assets securitised by Westpac 73 (o) part ii Summary of total Westpac sponsored third party assets securitised 72 (q) Summary of securitisation activity by asset type 73 (r) Aggregate amount of exposures securitised by Westpac and subject to APS116 Capital Adequacy: Market Risk 72 (s) Summary of on and off-balance sheet securitisation by exposure type 73 (t) part i Securitisation exposure retained or purchase subject to specific risk 73 (t) part ii Securitisation exposure subject to APS120 for Specific risk by risk weight band 73 (u) part i Capital requirements for securitisation exposure subject to internal models approach (IMA) by risk classification 73 (u) part ii Capital requirements for securitisation regulatory capital approaches by risk weight band 73 (u) part iii Securitisation exposures deducted from capital 74 (v) Securitisation subject to early amortisation treatment 74 (w) part i (w) part ii Aggregate resecuritisation exposures retain or purchased subject to credit risk mitigation Resecuritisation exposure to guarantors credit worthiness 74 74

Pillar 3 report Appendix V | APS330 quantitative requirements Westpac Group March 2023 Pillar 3 report | 103 APS330 reference Westpac disclosure Page Table 13: Market risk - disclosures for ADIs using the standard method (b) Market Risk regulatory capital and risk weighted assets 76 Table 14: Market risk - disclosures for ADIs using the IMA for trading portfolios (f) VaR and Stressed VaR by risk type 77 Table 16: Equities - disclosures for banking book positions (b) to (c) Book value of listed equity exposures by industry classification / Book value of unlisted equity exposures by industry classification 83 (d) to (e) Gains/losses 84 (f) Capital requirement11 N/A Table 17: Interest rate risk in the banking book (b) Change in economic value of sudden upward and downward movement in interest rates 80 (b) Capital requirement 80 Attachment E Table 18: Leverage ratio disclosure template Leverage ratio disclosure 23 Table 19: Summary comparison of accounting assets vs leverage ratio exposure measure Summary comparison of accounting assets vs leverage ratio exposure measure 24 Attachment F Table 20: Liquidity Coverage Ratio disclosure template Liquidity Coverage Ratio disclosure 86 Table 21: Net Stable Funding Ratio template Net Stable Funding Ratio disclosure 87 1 Equity exposures are not risk weighted at Level 2.

Pillar 3 report Glossary Westpac Group March 2023 Pillar 3 report | 104 Term Description Actual losses Represent direct write-offs and write-offs from provisions after adjusting for recoveries. Additional Tier 1 capital Comprises high quality components of capital that provide a permanent and unrestricted commitment of funds that are freely available to absorb losses but rank behind claims of depositors and other more senior creditors. They also provide for fully discretionary capital distributions. Alternate Liquid Assets (ALA) Assets that qualify for inclusion in the numerator of the LCR in jurisdictions where there is insufficient supply of HQLA. Advanced measurement approach (AMA) The capital requirement using the AMA is based on a bank’s internal operational risk systems, which must both measure and manage operational risk. Assets intended to be securitised Represents securitisation activity from the end of the reporting period to the disclosure date of this report. Australian accounting standards (AAS) A set of Australian reporting standards and interpretations issued by the Australian Accounting Standards Board. Australian and New Zealand standard industrial classification (ANZSIC) A code used by the Australian Bureau of Statistics and Statistics New Zealand for classifying businesses. Authorised deposit-taking institution (ADI) ADIs are corporations that are authorised under the Banking Act 1959 to carry on banking business in Australia. Banking book The banking book includes all securities that are not actively traded by Westpac. Committed Liquidity Facility (CLF) Facility established with the RBA to cover the shortfall in Australian dollars between the ADI’s holding of HQLA and net cash outflows. The CLF is an ALA for the Group’s LCR calculation. Common equity Tier 1 (CET1) capital The highest form of capital. The key components of common equity are shares, retained earnings and undistributed current year earnings. Credit valuation adjustment (CVA) risk Refer to mark-to-market related credit risk. Default Pre – 1 January 2023: A customer default is deemed to have occurred when Westpac considers that either or both of the following events have taken place: the customer is unlikely to pay its credit obligations to its financiers in full, without recourse by any of them to actions such as realising security (where held); and the customer is past due 90 or more calendar days on any material credit obligation to its financiers. Overdrafts will be considered past due once the customer has breached an advised limit, or been advised of a limit smaller than the current outstandings. From 1 January 2023: Refer to Non-Performing Exposures definition

Pillar 3 report Glossary Westpac Group March 2023 Pillar 3 report | 105 Term Description Defaulted not impaired Pre – 1 January 2023: Includes facilities where: contractual payments of interest and/or principal are 90 or more calendar days overdue, including overdrafts or other revolving facilities that remain continuously outside approved limits by material amounts for 90 or more calendar days (including accounts for customers who have been granted hardship assistance); or an order has been sought for the customer’s bankruptcy or similar legal action has been instituted, which may avoid or delay repayment of its credit obligations; and the estimated net realisable value of assets/security to which Westpac has recourse is sufficient to cover repayment of all principal and interest, or where there are otherwise reasonable grounds to expect payment in full and interest is being taken to profit on an accrual basis. These facilities, while in default, are not treated as impaired for accounting purposes. From 1 January 2023: Equivalent to Non-Performing Exposures that have not been impaired for accounting purposes. Double default rules Double default applies to exposures where a particular obligor’s exposure has been hedged by the purchase of credit protection from a counterparty and loss will only occur if both obligor and counterparty default. In this instance, capital can be reduced. Exposure at default (EAD) EAD is calculated at facility level and includes outstandings as well as the proportion of committed undrawn that is expected to be drawn in the event of a future default. Extended licensed entity (ELE) An extended licensed entity (ELE) comprises an ADI and any subsidiaries of the ADI that have been approved by APRA as being part of a single ‘stand-alone’ entity. External credit assessment institution (ECAI) ECAI is an external institution recognised by APRA (directly or indirectly) to provide credit assessment in determining the risk-weights on financial institutions’ rated credit exposures (including securitisation exposures). Geography Geographic segmentation of exposures is based on the location of the office in which these items were booked. High-quality liquid assets (HQLA) Assets which meet APRA’s criteria for inclusion as HQLA in the numerator of the LCR.

Pillar 3 report Glossary Westpac Group March 2023 Pillar 3 report | 106 Term Description Impaired exposures Includes exposures that have deteriorated to the point where full collection of interest and principal is in doubt, based on an assessment of the customer’s outlook, cashflow, and the net realisation of value of assets to which recourse is held: facilities 90 days or more past due, and full recovery is in doubt: exposures where contractual payments are 90 or more days in arrears and the net realisable value of assets to which recourse is held may not be sufficient to allow full collection of interest and principal, including overdrafts or other revolving facilities that remain continuously outside approved limits by material amounts for 90 or more calendar days; non-accrual facilities: exposures with individually assessed impairment provisions held against them, excluding restructured loans; restructured facilities: exposures where the original contractual terms have been formally modified to provide for concessions of interest or principal for reasons related to the financial difficulties of the customer; other assets acquired through security enforcement (includes other real estate owned): includes the value of any other assets acquired as full or partial settlement of outstanding obligations through the enforcement of security arrangements; and any other facilities where the full collection of interest and principal is in doubt. Industry Exposures to businesses, government and other financial institutions are classified into industry clusters based upon groups of related ANZSIC codes. Companies that operate in multiple industries are classified according to their primary industry. Consumer customers as classified as “retail” and not further broken down. Interest rate risk in the banking book (IRRBB) The risk of loss in earnings or economic value in the banking book as a consequence of movements in interest rates. Internal ratings-based approach (IRB & Advanced IRB) These approaches allow banks to use internal estimates of the risks of their loans as inputs into the determination of the amount of credit risk capital needed to support the organisation. In the Advanced IRB approach, banks must supply their own estimates for all three credit parameters – Probability of Default, Loss Given Default and Exposure at Default. Leverage ratio The leverage ratio is defined by APRA as Tier 1 capital divided by the “Exposure measure” and is expressed as a percentage. “Exposure measure” includes on-balance sheet exposures, derivatives exposures, securities financing transaction (SFT) exposures, and other off-balance sheet exposures. Liquidity coverage ratio (LCR) An APRA requirement to maintain an adequate level of unencumbered high quality liquid assets, to meet liquidity needs for a 30 calendar day period under an APRA-defined severe stress scenario. Absent a situation of financial stress, the value of the LCR must not be less than 100%. LCR is calculated as the percentage ratio of stock of HQLA, CLF and qualifying Reserve Bank of New Zealand securities over the total net cash out flows in a modelled 30 day defined stressed scenario. Loss given default (LGD) The LGD represents an estimate of the expected severity of a loss to Westpac should a customer default occur during a severe economic downturn. Westpac assigns LGD to each credit facility, assuming an event of default has occurred and taking into account a conservative estimate of the net realisable value of assets to which Westpac has recourse and over which it has security. LGDs also reflect the seniority of exposure in the customer’s capital and debt structure. Maturity The maturity date used is drawn from the contractual maturity date of the customer loans.

Pillar 3 report Glossary Westpac Group March 2023 Pillar 3 report | 107 Term Description Mark-to-market related credit risk The risk of mark-to-market losses related to deterioration in the credit quality of a derivative counterparty also referred to as credit valuation adjustment (CVA) risk. Monte Carlo simulation A method of random sampling to achieve numerical solutions to mathematical problems. Net cash outflows Total expected cash outflows minus total expected cash inflows in the specified LCR stress scenario calculated in accordance with APRA’s liquidity standard. Net interest income at risk (NaR) BRiskC approved limit expressed as a defined basis point shock in interest rates over a one year risk horizon. Net Stable Funding Ratio (NSFR) The NSFR is defined as the ratio of the amount of available stable funding (ASF) to the amount of required stable funding (RSF) defined by APRA. The amount of ASF is the portion of an ADI’s capital and liabilities expected to be a reliable source of funds over a one year time horizon. The amount of RSF is a function of the liquidity characteristics and residual maturities of an ADI’s assets and off-balance sheet activities. ADI’s must maintain an NSFR of at least 100%. Non-Performing exposures Credit default exposures, the initial recognition of which under APS220 occurs where either one, or both, of the following has happened: Westpac considers that the borrower is unlikely to pay its credit obligations to Westpac in full, and without recourse to actions such as realising available security; the borrower is 90 days or more past-due on a credit obligation to Westpac. Non-Performing Exposures – Impaired Exposures that meet the characteristics of Non-Performing exposures and Impaired exposures (see separate definitions) Off-balance sheet exposure Credit exposures arising from facilities that are not recorded on Westpac's balance sheet (under accounting methodology). Undrawn commitments and the expected future exposure calculated for Westpac's derivative products are included in off-balance sheet exposure. On balance sheet exposure Credit exposures arising from facilities that are recorded on Westpac's balance sheet (under accounting methodology). Potential future credit exposure (PFCE) The PFCE for each transaction is calculated by multiplying the effective notional principal amount by a credit conversion factor specified in APS112. Probability of default (PD) Probability of default is a through-the-cycle assessment of the likelihood of a customer defaulting on its financial obligations within one year. Resecuritisation A resecuritisation exposure is a securitisation exposure in which the risk associated with an underlying pool of exposures is tranched and at least one of the underlying exposures is a securitisation exposure. In addition, an exposure to one or more resecuritisation exposures is a resecuritisation exposure. Risk weighted assets (RWA) Assets (both on and off-balance sheet) are risk weighted according to each asset's inherent potential for default and what the likely losses would be in case of default. In the case of non-asset backed risks (i.e. market and operational risk), RWA is determined by multiplying the capital requirements for those risks by 12.5. Securitisation purchased The purchase of third party securitisation exposure, for example residential mortgage backed securities. Securitisation retained Securitisation exposures arising through Westpac originated assets or generated by Westpac third party securitisation activity.

Pillar 3 report Glossary Westpac Group March 2023 Pillar 3 report | 108 Term Description Securities financing transactions (SFT) APRA defines SFTs as “transactions such as repurchase agreements, reverse repurchase agreements, and security lending and borrowing, and margin lending transactions, where the value of the transactions depends on the market valuation of securities and the transactions are typically subject to margin agreements.” Sponsor An ADI would generally be considered a sponsor if it, in fact or substance, manages or advises the securitisation program, places securities into the market, or provide liquidity and/or credit enhancements. Standard model The standard model for Market risk applies supervisory risk weights to trading positions. Stressed VaR (SVaR) Stressed VaR uses the approved VaR model but applies a period of significant market stress. Market risk capital is estimated by adding Stressed VaR to regular VaR. Substitution approach Substitutions refers to the rules governing the circumstances when capital can be reduced because an obligor’s exposure has been hedged by the purchase of credit protection from a counterparty and the counterparty’s PD is used in place of the obligors’ PD. Supervisory Formula Approach (SFA) The SFA applicable to unrated securitisation exposures dynamically looks at the type and performance of underlying asset pools funded by the securitisation exposure as well as the structural features of the transaction to determine capital requirements. Synthetic securitisation A securitisation whereby the credit risk, or part of the credit risk, of a pool is transferred to a third party which need not be an SPV. The transfer of credit risk can be undertaken through the use of funded (e.g. credit linked notes) or unfunded (e.g. credit default swaps) credit derivatives or guarantees. Tier 2 capital Includes other capital elements, which, to varying degrees, fall short of the quality of Tier 1 capital but still contribute to the overall strength of an entity as a gone concern capital. Trading book Trading book activity represents dealings that encompass book running and distribution activity. The types of market risk arising from trading activity include interest rate risk, foreign exchange risk, commodity risk, equity price risk, credit spread risk and volatility risk. Financial Markets and Treasury are responsible for managing market risk arising from Westpac’s trading activity. Value at risk (VaR) VaR is the potential loss in earnings from adverse market movements and is calculated over a one-day time horizon at a 99% confidence level using a minimum of one year of historical rate data. VaR takes account of all material market variables that may cause a change in the value of the trading portfolio and the banking book including interest rates, foreign exchange rates, price changes, volatility, and the correlation among these variables.

Pillar 3 report Glossary Westpac Group March 2023 Pillar 3 report | 109 Exchange rates The following exchange rates were used in the Westpac Pillar 3 report, and reflect spot rates for the period end. $ 31 March 2023 30 September 2022 31 March 2022 USD 0.6711 0.6491 0.7481 GBP 0.5418 0.5841 0.5704 NZD 1.0680 1.1355 1.0760 EUR 0.6158 0.6620 0.6704

Pillar 3 report Disclosure regarding forward-looking statements Westpac Group March 2023 Pillar 3 report | 110 The information contained in this report contains statements that constitute “forward-looking statements” within the meaning of section 21E of the U.S. Securities Exchange Act of 1934. Forward-looking statements are statements that are not historical facts. Forward-looking statements appear in a number of places in this report and include statements regarding Westpac’s intent, belief or current expectations with respect to its business and operations, macro and micro economic and market conditions, results of operations and financial condition, capital adequacy and risk management, including, without limitation, future loan loss provisions and financial support to certain borrowers, forecasted economic indicators and performance metric outcomes, indicative drivers, climate- and other sustainability- related statements, commitments, targets, projections and metrics, and other estimated and proxy data. Words such as ‘will’, ‘may’, ‘expect’, ‘intend’, ‘seek’, ‘would’, ‘should’, ‘could’, ‘continue’, ‘plan’, ‘estimate’, ‘anticipate’, ‘believe’, ‘probability’, ‘indicative’, ‘risk’, ‘aim’, ‘outlook’, ‘forecast’, ‘f’cast’, ‘f’, ‘assumption’, ‘projection’, ‘target,’ goal’, ‘guidance’, ‘ambition’ or other similar words are used to identify forward-looking statements, or otherwise identify forward-looking statements. These forward-looking statements reflect Westpac’s current views on future events and are subject to change, certain known and unknown risks, uncertainties and assumptions and other factors which are, in many instances, beyond Westpac’s control (and the control of Westpac’s officers, employees, agents and advisors), and have been made based on management’s expectations or beliefs concerning future developments and their potential effect upon Westpac. Forward-looking statements may also be made, verbally or in writing, by members of Westpac’s management or Board in connection with this report. Such statements are subject to the same limitations, uncertainties, assumptions and disclaimers set out in this report. There can be no assurance that future developments or performance will align with Westpac’s expectations or that the effect of future developments on Westpac will be those anticipated. Actual results could differ materially from those we expect or which are expressed or implied in forward-looking statements, depending on various factors including, but not limited to, those described in the section titled ‘Risk Factors’ in Westpac’s 2023 Interim Financial Results. When relying on forward-looking statements to make decisions with respect to Westpac, investors and others should carefully consider such factors and other uncertainties and events. Except as required by law, Westpac assumes no obligation to revise or update any forward-looking statements in this report, whether from new information, future events, conditions or otherwise, after the date of this report.