The NWT’s largest industry and biggest contributor to the economy will receive targeted government financial relief in response to growing financial pressures and industry-wide uncertainty.
The GNWT stated that its actions are designed to maintain economic stability, support local employment and businesses, and sustain decades of Indigenous economic partnership and regional development the GNWT stated in a release.
Since diamond mining began in the NWT, more than $9.1 billion has been spent with Indigenous businesses and beneficiaries.
Caroline Wawzonek, finance minister and deputy premier, during a 2025 media conference. (CKLB files)
Finance Minister Caroline Wawzonek stated the measures are designed to protect our economy from sudden shock.
“The diamond sector has been central to the Northwest Territories’ economy for decades, and we have a responsibility to act when the stakes are this high.
“These targeted, short-term supports are not about corporate profits—they’re about maintaining stability for the workers, families, communities, and Indigenous governments that rely on this sector.”
The NWT diamond sector is facing low global diamond prices, inflation, supply chain disruptions, and the uncertainty of the United States’ trade war that have resulted in significant financial losses and growing uncertainty across the industry, the GNWT stated in a release.
These measures respond directly to urgent economic concerns raised by industry leaders and Indigenous development corporations.
Without action, there is a clear risk of disruption to Northern jobs, contracting opportunities, and the economic stability of communities that rely on the sector.
The diamond industry employs more than 1,000 Northerners and supports millions in annual activity across the territory.
A locator map showing the three operating diamond mines. (Image courtesy of GNWT)
Collectively, the NWT’s three operating diamond mines contribute approximately 20 percent of the territory’s Gross Domestic Product.
Following extensive dialogue with mine operators, Indigenous development corporations, and federal officials, the GNWT will:
- Double the number of local diamond valuations in 2025–2026 and cover the associated costs, improving cash flow by allowing producers to get product to market faster;
- Provide $11.2 million in targeted property tax relief among the three mines;
- Release remaining balances from the Large Emitter Greenhouse Gas Reducing Investment Fund, returning carbon tax contributions to Ekati and Gahcho Kué mines to support ongoing operational costs. Diavik Diamond Mines previously accessed the Large Emitter Fund to help finance its 2024 solar panel installation; and
- Continue working with Indigenous governments and development corporations to engage federal partners on additional infrastructure and transition supports.
The GNWT is working with interested Indigenous development corporations to pursue federal funding for winter road infrastructure that supports mine access. This includes exploring tolling options to offset construction and maintenance costs.
Industry, Tourism and Investment Minister Caitlin Cleveland, stated in the released that new mines are on the horizon, but most are still a few years away.
“This support is intended to help bridge that gap — keeping our workforce engaged and our economy stable until the next phase of mineral development is ready to come online.”
