LESAKA TECHNOLOGIES INC

ITEM 1C.

CYBERSECURITY

We

operate

in

the

Southern

African

fintech

which

is

subject

to

risks

that

could

affect

our

business, financial

condition and

including intellectual

property theft,

fraud,

extortion, harm

or

customers, violations of privacy laws, litigation and legal risk, regulatory

scrutiny and reputational harm.

We

have

a risk-based approach

to assessing, identifying

and managing cybersecurity

threats that could

affect our

business, information systems

and data. These

processes are integrated

into our broader

enterprise risk management

framework, and

cybersecurity risks are assessed

and prioritized alongside our

other principal enterprise risks.

Our cybersecurity program

is informed

by

standards

and

to

our

PCI

DSS,

the

NIST

Cybersecurity

Framework, SARB / Prudential Authority requirements applicable to cybersecurity

and cyber-resilience within the National Payment

System, and

the CIS

Critical Controls.

year,

we continued

to mature

our cybersecurity

program, including

to

NIST

CSF

2.0,

further

of

cyber

risk

and

of

divisional

cybersecurity roadmaps.

We

periodically conduct

third

-party security

risk assessments

to

assess

the potential

impact and

likelihood of

cyber scenarios

and

to inform

appropriate mitigation

strategies and

controls. We

use a

technical, administrative

and organizational

controls to manage cybersecurity risk, including

endpoint and network monitoring, security operations monitoring,

identity and access

controls, data protection tools,

vulnerability management, penetration testing, threat

intelligence, backup and recovery

procedures, and

cyber awareness

and training

programs. We

also conduct

periodic phishing

simulations and

crisis simulations

to support

workforce

preparedness and incident-response readiness.

We maintain incident-response processes designed to provide a consistent basis for the identification, escalation, assessment

and

response

to

incidents.

During

the

year,

we

issued

an

updated

Group

Incident

Response

Plan

to

support

divisional

incident-response playbooks.

We

also

to

oversee

risks

associated

with

service

that

have

access

to

personal, confidential

or proprietary

information or

support significant

business processes.

year,

we enhanced

our third-

party risk management processes, including additional due diligence and assurance requirements

for certain service providers and the

establishment of a

cross-functional working group involving

procurement, finance, risk and

compliance, legal and

information security

personnel to support vendor risk oversight.

Management,

led

by

our

Group

Chief

Security

Officer

(“

CISO

”)

and

by

security,

risk,

compliance,

legal

and

finance

personnel,

is

for

assessing

and

managing

risks.

receives

information regarding cybersecurity risks through security monitoring, risk assessments, vulnerability assessments, incident

-response

risk

reviews

and

reports

from

and

providers.

Material

matters

are

escalated to senior management and, where appropriate, to the Audit Committee

and Board.

The Board oversees cybersecurity

risk through the Audit

Committee.

The Audit Committee receives

quarterly reports from

the

Group CISO regarding

cybersecurity posture, compliance

activities, progress against

the Group cybersecurity

strategy and roadmap,

third-party risk,

and material

cybersecurity incidents,

if any,

remediation.

The Group

CISO is

a qualified

professional

with

over

years

of

and

holds

a

Master’s

in

Security

from

Royal

Holloway,

University

of

London.

The Audit Committee reports to the Board on cybersecurity matters.

Our

depends

on

the availability,

reliability

and

of

our

systems,

networks,

data

and

property. Any disruption, compromise or breach of our systems or data due to a cybersecurity threat or incident could adversely affect

our

service,

product

and

position.

Such

an

event

could

also

result

in

breach

of

or

legal

duties

to

protect

the

privacy

and

confidentiality

of

stakeholders

and

could

expose

us

to

interruption,

lost

revenue,

costs,

to

parties,

costs,

lost

assets,

litigation,

regulatory scrutiny and actions, reputational harm, customer dissatisfaction, harm

to vendor relationships or loss of market share.

As of the date of

this Annual Report, we do

not

believe that risks from cybersecurity threats, including as

a result of any previous

incidents,

have

or

are

likely

to

affect

the

its

strategy,

results of operations or

This Item 1C should

be read in conjunction

with Item 1A, “Risk

Factors,” for a

c

omprehensive understanding of the risks and uncertainties related to our business

and operations.