When I was flying for AAI over a number of years, the entire time was via a validation, renewed each and every year, based on my Australian B747 licence, which was significantly more difficult to get!
As a result of several enquiries, I was finally informed that it was not possible for me to even apply for an Icelandic licence, a validation was all I was ever going to get!
The reason, at least then, was that AAI didn't have to pay me the better salary (whatever that means), when I didn't have the 'real' licence.
The AAI 'management' would never admit as much, I found that out via a connection.
I left them in Jan03.
Cheers, FD