Overview
The In-Country Value (ICV) programme is Oman’s economic strategy for maximizing the retention of spending within the national economy, particularly in the oil and gas sector but increasingly across all government procurement. The programme requires companies bidding for government contracts to demonstrate their contribution to the local economy through metrics including Omani employment, local procurement of goods and services, investment in training, and technology transfer. ICV is measured as a percentage of total spending that is retained within Oman’s economy, with companies assessed and certified by accredited auditors. The programme was initially championed by Petroleum Development Oman and has been expanded to cover all major government and state-owned enterprise procurement activities.
Key Facts
- Measures the percentage of spending retained within the Omani economy
- Originally developed for the oil and gas sector by PDO
- Expanded to cover all government and state-owned enterprise procurement
- Companies must obtain ICV certification to bid on government contracts
- Metrics include Omani employment, local sourcing, training, and technology transfer
- Certified by accredited auditing firms
- Minimum ICV score thresholds apply to contract awards
Significance for Vision 2040
The ICV programme is a critical mechanism for translating Vision 2040’s economic diversification goals into measurable outcomes at the company level. By requiring government suppliers to maximize local economic content, the programme channels procurement spending into the development of Omani capabilities, supply chains, and human capital. ICV directly supports the growth of Omani small and medium enterprises by creating guaranteed market access through subcontracting requirements from large international contractors. The programme also incentivizes foreign companies to invest in local manufacturing, training facilities, and technology transfer, accelerating the development of domestic industrial capabilities. Vision 2040’s target of a self-sustaining, diversified economy depends on building the kind of local supply chain depth and workforce skills that the ICV programme promotes.