The In-Country Value (ICV) program has been introduced in countries like Qatar, Oman, the United Arab Emirates and Saudi Arabia to support local economies. Since its launch, it has helped grow both the national economy and the success of businesses, big and small. The ICV Certificate, introduced by ADNOC (Abu Dhabi National Oil Company) in January 2018 and officially enforced from April 1, 2018, aims to support local businesses and strengthen the country’s economy.

This certification encourages suppliers to increase their local presence and operations. In the UAE, the Ministry of Industry and Advanced Technology (MoIAT) now oversees the ICV program. The goal is to increase the local value from the oil and gas sector while helping companies grow by focusing more on local sourcing and investment.

Companies are encouraged to participate, localize their services and support long-term economic development in the region. While getting an ICV certificate is not required by law, many companies choose to apply because it gives them an advantage during tender evaluations.

To get the ICV certificate Abu Dhabi, businesses must follow all the rules and meet the set requirements on time. Only approved ICV certifying bodies are allowed to issue the certificate. So, what exactly is the ICV certificate and how can you get one in the UAE? In this blog, we will explain everything you need to know about the ICV certification process and how to apply for it.

What is ICV certification in the UAE?

The In-Country Value (ICV) Certification is a program started by the Abu Dhabi National Oil Company (ADNOC) to measure how much businesses in the UAE contribute to the local economy. It looks at things like local spending, UAE-based goods and services, investment and job creation, especially in the oil and gas sector.

In other words, an ICV Certificate UAE is an official document issued by ADNOC that shows how much value a company adds to the UAE economy. In Abu Dhabi, the ICV Certification works alongside the Abu Dhabi Local Content Programme (ADLC), which was launched by the Abu Dhabi Department of Economic Development (ADDED). The program has three main goals:

• Job creation: Provide more job opportunities for Emiratis in the private sector and improve their skills. 
• Economic growth: Support the UAE’s economy by encouraging companies to buy more products and services locally, attract foreign investment and help small and medium-sized businesses (SMEs) grow. 
• Innovation and technology: Promote research, innovation and the use of new technologies to make UAE industries more competitive.

Overall, the ICV program helps strengthen the local economy while creating more opportunities for businesses and workers within the country.

Why is ICV certification important for your business?

Getting an ICV certificate Abu Dhabi is not just about following rules; it gives your business a real edge in the UAE. Here is why it matters:

Stronger position in the market

Having an ICV certificate makes your business more competitive in Dubai, Abu Dhabi and across the UAE. It shows that you support the local economy, which can help build trust and attract local clients and partners. 

Supports local growth and sustainability

By using local products and services, your business helps the UAE economy grow while also cutting down on the environmental impact of importing goods from abroad. 

Access to government projects

Many government bodies, including ADNOC, prefer or require businesses to have an ICV certificate UAE when applying for contracts. Without it, you could miss out on major government deals and tenders. 

Builds trust and credibility

An ICV certificate proves that your business is transparent and follows processes when it comes to spending and sourcing. It is highly respected in the UAE’s business world.

In short, ICV certification helps your business grow, gain trust and stand out in the UAE market.

Who needs an ICV certification?

Any company supplying goods or services to ADNOC and its subsidiaries must have an ICV certificate Abu Dhabi. This includes businesses in drilling, engineering, logistics and more. Companies in other sectors, like healthcare, construction or transport bidding for UAE government contracts may also need it.

How to get ICV certificate in UAE?

To earn an ICV certificate in the UAE, companies must follow a few key steps. Here is a simplified process:

Choose a certifying body

Reach out to approved ICV certifying bodies, get quotes, select one based on your needs and sign an agreement with them. 

Review business operations

You may need to make changes like increasing purchases, hiring more Emiratis or investing locally to meet ICV standards. 

Prepare financial statements

Submit audited financial records. New companies (less than 10 months old) can use management accounts prepared according to IFRS standards. 

Complete the ICV template

Fill out the ICV form with accurate details about local spending, hiring and investments. Follow all instructions carefully. 

Submit for evaluation

Send your completed ICV template to the chosen certifying body. They will review your information and may conduct an on-site audit. 

Receive your certificate

Once everything checks out, the certifying body will issue your official ICV certificate, confirming your compliance with the program.

Important points to know before getting ICV certification in the UAE

Here are the key things to keep in mind when applying for an ICV certificate Abu Dhabi:

• Use IFRS standards: Your financial statements must follow International Financial Reporting Standards. 
• Owner Salaries Count: Only if paid through the WPS system, capped at AED 120,000 per month per owner. 
• Employee count: Headcount is measured yearly.
• Govt Payments: Payments to UAE free zones count as 100% local value. 
• Branches can share one certificate: If branches are under one owner in the same emirate, they can apply together. 
• Internal costs: Most internal costs are excluded, except depreciation. 
• Mainland bonus: Mainland suppliers get 10% extra on their ICV score. 

Also Read: How to Register for Corporate Tax in the UAE: Step-by-Step Guide

Final thoughts

ICV certification plays a vital role in helping businesses grow sustainably while supporting the UAE’s national development goals. Understanding the ICV certification process and preparing accordingly can give your company a significant competitive edge.

Have questions about preparing your finances or aligning your business strategy with local regulations? Get in touch with the team at Asad Abbas & Co.- We are here to guide you every step of the way.

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