LESAKA TECHNOLOGIES INC

Commitments and contingencies

Guarantees

The South African

Revenue Service and

certain of the

Company’s customers,

suppliers and other

business partners have

asked

to provide

them with

guarantees, including

standby letters

of credit,

issued by

banks. The

Company is

required to procure these guarantees for these third parties to operate

its business.

RMB has

issued

guarantees

to

these

third

parties

amounting

to

ZAR

33.1

million

($

1.8

at

rates

applicable as of December 31, 2023) thereby utilizing part of the Company’s

short-term facilities. The Company pays commission of

between

3.42

% per annum to

3.44

% per annum of the face

value of these guarantees and does

not recover any of the commission

from

third parties.

Nedbank has

issued guarantees

to these

third parties

amounting to

ZAR

2.1

0.1

at exchange

rates

applicable as of December 31, 2023) thereby utilizing part of the Company’s

short-term facilities. The Company pays commission of

between

0.47

% per annum to

1.84

% per annum of the face

value of these guarantees and does

not recover any of the commission

from

third parties.

The Company has not recognized any obligation related to these guarantees in its consolidated balance sheet as of December 31,

2023. The maximum

potential amount that

the Company could

pay under these

guarantees is ZAR

35.2

1.9

at exchange

rates applicable

as of

2023). As

discussed in

Note 8,

has ceded

and pledged

certain bank

accounts to Nedbank as

security for the guarantees

issued by them

with an aggregate value

of ZAR

2.1

0.1

at

rates

as

of

31,

2023).

The

guarantees

have

reduced

the

amount

available

under

its indirect

and

derivative facilities in the Company’s

short-term credit facilities described in Note 8.

Contingencies

The

Company

is

subject

to

a

variety

of

insignificant

claims

and

suits

that

arise

from

time

to

time

in

the

ordinary

course

of

business. Management

currently believes

that the

resolution of

these other

matters, individually

or in

the aggregate,

will not

have a

material adverse impact on the Company’s

financial position, results of operations or cash flows.