pg. 225 Risk Management Integrated Annual Report 2025 RISK ASSESSMENT & IDENTIFICATION Al-Salām REIT provides enhanced disclosures and greater transparency in its identified business and sustainability risks, including plans to ensure mitigation measures remain effective. Through the REIT’s ERM Framework, material risks were identified, enabling prioritisation of resources and mitigation efforts, targeting the issues with the greatest impact or highest likelihood. In addition to the identified business risks, the REIT has begun integrating sustainability risks in the IAR2025, based on the identified ESG material matters (details on the identification of material matters can be found in the Sustainability Statement of this IAR2025). This ensures that the concerns and impacts on internal and external stakeholders are addressed. The short-, medium-, and long-term likelihood and severity of sustainability and climate risks are established following the determination of material matters, aligned with IFRS S1 and S2, and subsequent mitigation measures are prepared. The REIT plans to include financial disclosures of identified risk in the future. More information on the REIT’s risk management governance, ERM, and risk monitoring and control can be found within the Statement on Risk Management & Internal Control section. Very High High Medium Low Very Low Very Low Low Medium High Very High LIKELIHOOD IMPACT C F D B E G K A J L H I Legend: Underperforming Assets F Underperforming Tenants J Overconcentration in a Single Sector B Sustainability Barriers G Sukuk Capital Management Timeline K Misalignment of Asset Acquisitions C Digital Property Management System Delays H Tenancy Agreement Misalignment L Targeted Asset Disposal Delays D Misalignment with Shariah Requirements A Strata Title Issuance Delays I Asset Fair Value Sensitivity E Based on the risk matrix, the REIT’s highest risks are as follows. These risks are aligned with the REIT’s strategic direction, ensuring Al-Salām’s priorities and operations tackle and mitigate these risks. Misalignment of Asset Acquisitions C Underperforming Assets F Targeted Asset Disposal Delays D
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