Procurement thresholds are financial limits that determine which procurement rules apply and whether a contract must be tendered. When the estimated value of a contract reaches or exceeds the applicable threshold, the rules governing procurements above the thresholds apply.

The estimated contract value must be based on the total value of the procurement. Contracting authorities may not divide procurements into smaller contracts for the purpose of avoiding tender procedures.

Tendering Thresholds

The domestic tendering threshold for works contracts is ISK 58,543,000. For supply and service contracts, the same thresholds apply as those governing procurement procedures within the European Economic Area (EEA).