In Country Value Program (ICV)
At Zest Consultants, we recognize the significance of the National In-Country Value (ICV) Program in the UAE as a driver of economic growth and business development. Launched in 2018, this program has empowered companies to strengthen their local contributions.
However, obtaining ICV certification can be challenging for many. That’s where Zest comes in. With our expertise and dedicated team, we provide tailored guidance to help businesses of all sizes achieve their ICV certifications efficiently. Let us partner with you to enhance your compliance and contribute to the UAE’s economic vision.
In-Country Value (ICV) Certificate:
The primary principle of this program is the strategic localization of supply chains and the development of new local industries and services, stimulating and attracting foreign investments, diversifying the economy, and increasing exports; creating valuable job opportunities in the private sector; contributing to the growth of national GDP; accelerating spending on R&D with advanced technology; and increasing the rate of private sector contribution to national GDP.
As part of the National ICV Program, suppliers are required to declare their ICV achievement (“ICV Certificate”) with respect to the previous financial year. The ICV assessment forms an integral part of the tender evaluation and award process for the partners of the program. The ICV Certificate is required to be certified by one of the certifying bodies on an annual basis. The ICV score is determined by considering goods manufactured, investment, Emiratization, expatriate contribution, bonus exports, Emirati headcount, and investment growth.
Suppliers without ICV certification can still participate in tenders but will be given a zero score and therefore may be at a disadvantage to those with a higher ICV score.
PRELIMINARY REQUIREMENTS TO GET AN ICV CERTIFICATE
- Audited Financial Statements (issued in accordance with IFRS)
- An ICV certificate is issued per license per emirate.
- The only exception is when the company has a branch included in the same emirate with identical activities and identical ownership.
- If a group of companies prepares only consolidated financial statements, it must also prepare a management-approved allocation to bifurcate the revenue, cost, assets, and liabilities of each entity.
- Filled in ICV Supplier Template
- The supplier template must be filled in accordance with the guidelines issued by MoIAT. Along with basic information, the company must also prepare a schedule of total costs segregated by vendor, emirate, and goods/service description.
- Other Important Aspects
- Ensure that vendor invoices are addressed to the entity that is applying for ICV.
- Ensure that all government expenditures are paid directly to government departments or through official channels in order to get the full ICV benefit.
- For mainland companies, ensure that salaries are processed through WPS and that the company extracts an employee list from MOHRE at the financial year-end.
- Ensure that the company maintains a fixed asset register.
- Ensure that documentation of rental contracts, fixed asset purchases, purchases and sales invoices, and employee benefits are proper.
Important Note: For start-ups and newly established companies that are less than 10 months old, management accounts for a period of up to 9 months can be used for ICV certificates.
Steps to Obtain an ICV Certificate
- Prepare Financial Statements:
Ensure that financial statements comply with International Financial Reporting Standards (IFRS), obtained from a licensed auditor in the UAE. For new businesses, management accounts may be utilized instead. - Engage with an ICV-Certifying Body:
Contact an authorized certifying body, recognized by the Ministry of Industry and Advanced Technology (MOIAT), to assist with the ICV certificate application process. - Complete the ICV Template:
Fill out the ICV template and submit it to the certifying body, adhering to the guidelines provided by MOIAT. - Undergo Application Evaluation:
The certifying body will review the ICV template and verify it against the supporting documents to ensure accuracy. - Obtain Approval from the ICV Committee:
Following evaluation, the ICV committee, part of MOIAT, will approve the application based on the certifying body’s findings. - Supplier Review of the ICV Certificate:
The supplier will review and approve the unsigned ICV certificate provided by the certifying body. - Receive the ICV Certificate:
Once all approvals are finalized, the certifying body will issue the ICV Certificate, which can then be submitted to any participating entities.
Why Choose Zest for ICV Certification Services in Dubai?
ICV Certification Experts
Zest Consultants specializes in assisting businesses in obtaining their ICV certification, offering comprehensive support throughout the entire process.
Extensive Industry Experience
With years of experience partnering with a diverse range of clients, Zest Consultants possesses a deep understanding of the ICV process and its requirements.
Expert ICV Auditors
Our dedicated team of ICV auditors is highly skilled and committed to achieving exceptional results for every client.
Enhancing ICV Plans
We provide valuable guidance in refining and enhancing the ICV plans that must be submitted, ensuring they meet all necessary criteria.
Compliance with International Standards
Zest Consultants ensures that all financial statements adhere to international financial reporting standards (IFRS), which is crucial for regulatory compliance and successful certification.