Businesses within the UAE are now able to boost their In-Country Value (ICV) score by as much as 5% by taking part in the new Industrial Technology Transformation Index, where they can showcase their level of technology implementation and sustainability.

Launched at the World Government Summit in Dubai last month, the index gauges factories’ digital maturity and sustainability, according to the Ministry of Industry and Advanced Technology.

The aim of the initiative is to urge manufacturing businesses within the UAE to implement advanced technology and Fourth Industrial Revolution (4IR) solutions, The National reports.

The additional 5% bonus is in addition to a firm’s overall ICV result, the ministry added. Half of the total score is determined by manufacturing costs, whilst a quarter is allocated to investment. Out of the remainder, Emiratisation makes up 15%, whilst expatriate contributions count for 10%.

Furthermore, businesses can receive a separate ICV bonus, which could hike their overall score by 5%, according to the ministry.

The initiative is set to “supercharge” the adoption of the Fourth Industrial Revolution, as well as industrial sustainability, said Minister of State for Public Education and Advanced Technology Sarah Al Amiri.

“By incorporating the index into the National ICV formula, we are incentivising companies in the UAE to assess their capabilities, adopt 4IR solutions, and integrate sustainability best practices,” she said.

“This will ultimately help to enhance productivity, increase sustainability, boost competitiveness and raise efficiency in line with national efforts to transform industry and achieve net-zero carbon emissions by 2050.”

The initiative redirected Dh53 billion ($14.43 billion) into the national economy last year, a 25% rise over 2021.

“It is a particularly pertinent time to update the National ICV formula as the UAE gets ready to host Cop28 this November,” Ms Al Amiri added.

“We are keen on demonstrating to the international community that we are pioneering sustainable industrial development through technological transformation, innovation and supply chain localisation.”