The In-Country Value (ICV) program in the UAE plays a vital role in supporting the nation’s economic growth by encouraging companies to invest in the local economy. Introduced by the UAE government, the ICV program aims to enhance the contribution of private sector companies to the country’s GDP through local sourcing, hiring UAE nationals, and making significant investments in the UAE market. As part of this initiative, companies operating in the UAE are required to undergo an ICV audit to obtain ICV certification. In this blog, we will explore what the ICV audit is, the certification process, and the services offered by ICV auditors in UAE.
What is an ICV Auditors in UAE?
An ICV audit assesses a company’s contribution to the local economy by examining key factors such as the employment of UAE nationals, local procurement, investment in the UAE, and export levels. The audit is mandatory for businesses that want to participate in government contracts and tenders with entities like ADNOC, Abu Dhabi Ports, and other government organizations.
ICV auditors in UAE conduct a thorough review of a company’s financial statements and other business activities to determine its In-Country Value score. A high ICV score can significantly increase a company’s chances of winning contracts and growing its business in the UAE market.
ICV Audit Services in UAE
ICV audit services are provided by authorized certifying bodies that help businesses understand and comply with the requirements of the ICV program. These services typically include:
- ICV Evaluation: An in-depth assessment of a company’s financial records, including its local procurement and Emiratization efforts, is conducted to determine the ICV score.
- Advisory Services: Many ICV auditors in UAE offer advisory services to help businesses improve their ICV score by optimizing procurement strategies, increasing local employment, and making targeted investments.
- ICV Certification: Once the audit is complete, the certifying body issues an ICV certificate, which is valid for 14 months. This certification is essential for companies looking to bid on government tenders.
Hiring experienced ICV auditors in UAE ensures that your company receives accurate and professional support in obtaining certification.
What is ICV Certification in UAE?
ICV certification in the UAE is a document issued after the completion of the ICV audit, reflecting a company’s contribution to the UAE economy. The certification is mandatory for businesses that want to participate in contracts with government-owned entities. It measures how well companies align with the goals of the ICV program, which include:
- Promoting local manufacturing.
- Hiring UAE nationals.
- Procuring goods and services locally.
- Reinvesting profits within the UAE.
ICV certification is valid for 14 months, after which companies must undergo another audit to renew their certification. This continuous assessment ensures that businesses maintain their contribution to the local economy.
Key Points on ICV Certification
Here are some key points that businesses need to know about ICV certification:
- Eligibility: Any company operating in the UAE, regardless of size, can apply for ICV certification if they wish to participate in government contracts or tenders.
- ICV Score: The ICV score is based on various factors, including local procurement, Emiratization, investment, and exports. A higher score increases the chances of securing government contracts.
- Annual Certification: ICV certification is valid for 14 months. After that, companies must apply for a new ICV audit to renew their certification.
Having a valid ICV certification improves a company’s reputation in the market and opens doors to new business opportunities.
ICV Audit Procedure in UAE
The ICV audit procedure in the UAE follows a structured process, typically involving these steps:
- Data Collection: Companies gather all necessary financial records, procurement details, employment data, and investment information.
- Audit: Approved ICV auditors in UAE review the provided data to assess the company’s local contributions. This step involves analyzing local procurement, hiring of UAE nationals, and investment within the UAE.
- Score Calculation: After completing the audit, the auditor calculates the company’s ICV score based on the provided data.
- Certification: If the audit is successful, the company receives an ICV certificate valid for 14 months.
ICV auditors in UAE ensure that businesses undergo a smooth certification process, offering professional support at every step of the way.
Approved ICV Auditors in UAE
Only certified and approved ICV auditors in UAE are authorized to conduct the ICV audit and issue certification. These auditors are licensed by the government to assess companies’ compliance with the ICV program and help them improve their ICV score.
When choosing an ICV auditor, it’s important to select a reputable and experienced firm. Approved ICV auditors in UAE follow strict guidelines to ensure that businesses are evaluated fairly and accurately, giving them the best chance to succeed in government tenders.
Conclusion
The ICV audit is a crucial process for businesses in the UAE aiming to contribute to the local economy and participate in government contracts. By working with ICV auditors in UAE, companies can ensure that they meet the requirements of the ICV program, secure a competitive ICV score, and unlock new opportunities for growth.
If your business is looking for professional ICV audit services, consider working with experienced ICV auditors in UAE to guide you through the certification process and help you maximize your In-Country Value score.
