NAFIS (National Program for Emiratisation) is a scheme set up by the UAE government to create more job opportunities for UAE nationals in private companies. It is also meant to correlate with the UAE’s long-term objectives of diversifying its economy and reducing the import of foreign manpower.
Why Register with NAFIS in UAE?
NAFIS registration is followed by earning ICV certification and an intention that can be evidence that your company pays attention to Emiratisation and local talent. Select an accredited certifying institution to evaluate your firm’s commitment and obtain all the papers required to obtain your ICV certificate.
- Compliance: NAFIS is a mandatory industry certification process wherein the first step is indicating an interest in ICV certification. It proves an organization’s intention to employ and train more qualified Emirati employees.
- Economic Contribution: NAFIS registration is useful in achieving the UAE local employment goals of enhancing UAE’s national employment rates while also reducing the dependence on foreign workers.
- ICV Certification Requirement: Currently, it is mandatory for any firm to be registered in the NAFIS database in order to be issued an ICV certification that affects its ability to bid for government contracts and tenders.
NAFIS Registration Process
1. Access the NAFIS Portal: You have to visit NAFIS’s website to go through the initial steps of registration.
2. Create an Account:
- Leadership and Management: It should ensure they give basic company information like the company name and number, the physical address, and telephone numbers.
- Procedure: Make an account with your company details, admit proper details, and email ID for verifications.
3. Submit Required Documents:
- Trade License: The company’s valid trade license.
- Proof of Address: Utility bills such as electricity, gas, water, phone, or lease agreements to confirm your business location.
- Authorized Representatives: Photocopies of the ID documents of the company’s authorized personnel.
- Complete the Registration: Follow the provided guidelines and accurately fill out the registration form online.
- You may be asked more about the Emiratisation initiatives in your company and how you recruit your employees.
4. Verification and Approval:
- Once submitted, NAFIS will review the provided information and documents.
- NAFIS Registration Confirmation will be received on successful verification.
Advantages of NAFIS Registration in UAE
- Enhanced Credibility: Demonstrate your company’s concern about the Employment policies of UAE.
- Access to Opportunities: Required for certification in ICV which is good for sales in government markets.
- Support and Resources: Possible opportunity to address Emiratisation issues through heading NAFIS’s offered solutions and services to your firm.
Also Read: All about NAFIS in UAE
Prerequisites for ICV Certification
Here are various requirements that must be met before being certified as ICV; a company must present current certified audited accounts, valid trade license and must be registered with NAFIS.
Audited Financial Statements:
- Objective: For the financial performance credibility.
- Requirements: Audit Standards: It must be noted that for statements, an audit has to be done following the IFRS.
- Auditor: It has to be signed by a registered auditor and the auditor should be approved by the Ministry of Economy in UAE.
- Recent Data: Provide financial statements from the past two fiscal years. For companies younger than ten months, audited management accounts can be submitted, even if they are more than nine months old.
- Legal Entity: The concept of separation of accounts means that each trade license is considered as a different account. If there are branches of the same company in the same Emirate, which are engaged in similar activities then a single ICV certificate may be awarded provided that it is required that the ownership is the same.
NAFIS Registration:
- Mandatory: Obtaining the ICV certificate is possible only after completing the registration with the organization NAFIS. This registration also fulfills Emiratisation targets as per the company.
- Process: As outlined in aforesaid points, it includes the making of an account, uploading the necessary documents and finishing the registration on the NAFIS portal.
Trade License:
- Current Status: Make sure the trade license is as follows; Current and valid, the trade license must be in line with the activities of the company.
- Requirements: It should be renewed and the license should also be in conformity with the laws of the UAE country.
Selection of Authorized Certifying Body:
- Certified Bodies: Select an accredited certifying body that can certify companies for the issuance of an ICV. It is these bodies that will assess your company’s ICV score concerning the financial statements and other accompanying documents.
- Evaluation:- The process of calculation of the ICV score will be done by the certifying body by the prescribed methodology based on your company’s inputs to the local economy.
Company Documentation and Information:
- Accuracy: Ensure that the information you give to the public and the potential investors is correct and updated regarding ownership of the business, managers, leaders, and how the business operates.
- Compliance: Make sure that all the documentation is correct in terms of the requirements provided by the ICV program so as to ease the certification process.
ICV Criteria and Scoring:
The ICV score is a function of the following:
- Manufactured Goods: Effectiveness of locally produced products.
- Third-Party Spending: Third parties’ costs in UAE are based on the type of costs.
- Investments: Local developments and developmental projects and or, infrastructures.
- Emiratization: The number and the position of the employing UAE nationals.
- Expatriate Contributions: Economic advantage of the expatriate staff to the economy of the country.
Score Calculation:
The certifying body assesses the above factors and grades them using a formula that is provided in detail.
Conclusively, NAFIS registration is mandatory to get the ICV (In-Country Value) certification in the UAE. This process is crucial as it shows your company’s dedication to hiring and training Emirati employees by supporting the UAE’s national employment objectives.
Without NAFIS registration, your company might miss out on bidding for government contracts and tenders, making it an essential part of the process.
Also Read: Emiratisation in the Private Sector
