Imagine two suppliers competing for the same UAE contract. Both meet the technical requirements and offer similar prices. Supplier A imports most of what it needs and carries out limited activity locally. Supplier B buys more from UAE suppliers, invests in local operations, and employs Emirati talent.
If the tender considers In-Country Value, or ICV, another question enters the evaluation:
How much value does each supplier create within the UAE?
ICV stands for In-Country Value. The certificate provides a verified score reflecting a company’s economic contribution within the UAE. For procurement teams, it provides another factor when comparing bids.
Why the UAE created the National ICV Program
The Ministry of Industry and Advanced Technology (MoIAT) leads the National ICV Program. The initiative supports efforts to strengthen domestic industry and keep more procurement value in the national economy.
A purchasing decision can do more than secure a product or service. It can support local manufacturers and suppliers, encourage investment, create opportunities for Emirati talent, and strengthen domestic supply chains.
MoIAT reported that spending on local products and services by major national companies reached AED 48 billion by the end of the first half of 2024. It also reported around 19,000 Emiratis working in ICV-certified private-sector companies.
How the ICV Score Is Calculated
An ICV certificate provides a verified score based on information submitted by the company and reviewed through the approved certification process. The calculation can consider local manufacturing or third-party spend, UAE investment, Emiratization, employee contributions, revenue, investment growth, and applicable bonuses.
The calculation varies by business type. Manufacturers are assessed largely through manufacturing costs, while service providers are assessed largely through third-party spend.
Return to our two suppliers. Supplier B may source more from qualifying UAE suppliers, invest locally, and employ Emirati talent. Supplier A may have similar revenue and technical capability but conduct more activity outside the country.
However, ICV does not replace normal supplier evaluation. Procurement teams must still consider price, quality, experience, technical capability, delivery, safety, risk, and tender requirements.
How ICV can affect a tender
Participating government entities and national companies may consider ICV when evaluating bids. How the score is used depends on the organisation and the specific tender.
If our two suppliers pass the technical evaluation and submit similar commercial offers, their verified ICV scores may influence the assessment when ICV forms part of the tender methodology.
A higher ICV score does not guarantee a contract. Suppliers must still meet the applicable commercial, technical, quality, safety, and delivery requirements.
Procurement teams should follow the published evaluation method and record how ICV was considered in the decision.
Why people still say ADNOC ICV
The phrase “ADNOC ICV” remains common because ADNOC introduced its In-Country Value program in 2018. The framework was later expanded nationally, with the National ICV Program launched under MoIAT in 2021.
Certification now operates within the national framework, while participating organisations decide how ICV is applied in their procurement activities.
Suppliers should follow current National ICV requirements and the relevant tender rules.
How to get an ICV certificate
The process starts with reliable financial information.
The figures used for ICV certification must be supported by the required financial records, including financial statements prepared under IFRS and audited by a UAE-licensed auditor where applicable.
The company completes the required ICV information and appoints an approved Certifying Body to review the submission and supporting evidence.
Several departments may contribute. Procurement can provide supplier and purchasing data, human resources can provide workforce and Emiratization records, operations can contribute manufacturing information, and finance provides the relevant financial figures.
Once verification is completed, the certificate is generated.
Certificate validity is linked to the issue date of the audited financial statements, not simply the certification approval date. An ICV certificate is generally valid for 14 months from the issue date of the audited financial statements used for certification.
The certificate should correspond to the legal entity participating in the tender.
How suppliers can prepare
Companies do not need to wait for a tender to think about ICV. Procurement can review sourcing, while finance and human resources keep financial, investment, workforce, and Emiratization records accurate.
Sourcing decisions should still make commercial sense. The goal is to identify opportunities where local value and business value work together.
What procurement teams should check
Start with the tender instructions. Confirm whether an ICV certificate is required, how the score will be used, which legal entity must submit it, and the required validity period.
Check the company name, score, financial statement issue date, and certificate validity. A valid certificate belonging to another legal entity should not be used for the bid.
Local sourcing, supplier development, production, and skills transfer may contribute to ICV performance, but cost, quality, risk, and business continuity still matter.
Build practical procurement skills
ICV shows how procurement connects sourcing, supplier evaluation, cost, risk, governance, and wider business priorities.
Professionals can explore Blue Ocean Academy’s Mastering Strategic Procurement program.
For another pathway, explore the Certified International Procurement Professional program or visit our Procurement Courses hub.
Common mistakes to avoid
Do not describe an ICV certificate as mandatory for every UAE company. Requirements depend on the buyer and tender.
Do not calculate validity from the certificate approval date. Use the issue date of the audited financial statements.
Do not assume every payment to a UAE-based supplier receives full local value. The official methodology determines how expenditure is recognised.
Do not leave ICV entirely to finance. Procurement, investment, workforce, and supplier decisions can all influence the score.
What this means for procurement
Return to our original tender.
The procurement team still needs to ask: Can this supplier deliver? Is the price competitive? Does the solution meet our requirements? What are the risks?
ICV adds another consideration: How much value does the supplier create within the UAE?
The approach is simple. Check the tender requirements, verify the certificate, follow current MoIAT guidance, and keep sound commercial judgement at the centre of the decision.
To strengthen strategic sourcing, supplier evaluation, risk, and governance skills, explore Blue Ocean Academy’s Mastering Strategic Procurement program. To find a learning pathway, submit an enquiry.
Frequently asked questions
Is an ICV certificate mandatory for every company in the UAE?
No. It is not a general legal requirement for every company. Suppliers should check the buyer’s requirements and the specific tender.
Does a higher ICV score guarantee a contract award?
No. It may provide an advantage when ICV forms part of the evaluation, but suppliers must still meet all applicable tender requirements.
Who issues the ICV certificate?
An approved Certifying Body verifies the company’s information. The official certificate is then generated through the MoIAT ICV Platform.
How long is an ICV certificate valid?
It is generally valid for 14 months from the issue date of the audited financial statements used for certification.
What affects an ICV score?
Depending on the applicable methodology and type of business, the score can reflect local manufacturing or supplier spend, UAE investment, Emiratization, employee-related contributions, revenue, investment growth, and applicable bonus components.
