The Government of the Northwest Territories (GNWT) is extending targeted property tax relief for diamond mines into the 2026–27 fiscal year to support near-term economic stability for workers, businesses, and northern communities during a period of continued global market and trade uncertainty.
The extension builds on temporary measures introduced in 2025 and reflects ongoing pressures facing the global diamond industry, including volatile markets, trade disruptions, and elevated operating costs. The GNWT’s decision is intended to reduce the risk of sudden economic disruption while longer-term economic transition and diversification work continues.
Diamond mining remains the Northwest Territories’ largest private-sector industry and a cornerstone of the territorial economy. Extending the property tax relief into 2026–27 is expected to reduce total diamond mine property tax revenues by approximately $8.8 million, representing a 45 per cent reduction compared with projected revenues without relief.
As with the 2025 measures, this extension is time-limited and comes with clear expectations around transparency and accountability. The GNWT expects mine operators to continue directing the benefits of this relief toward sustaining NWT-based employment, meeting obligations to local contractors and Indigenous business partners, and maintaining safe and responsible operations.
The Government of Canada recently announced a $115 million loan to the Ekati Diamond Mine through the Large Enterprise Tariff Loan facility to help maintain operations and protect northern jobs amid trade uncertainty. The GNWT’s extension of property tax relief complements this federal action and reflects a coordinated effort to support workers and communities while broader transition and diversification efforts continue.
Quotes
“The diamond sector remains central to the Northwest Territories’ economy, and the people who depend on it continue to face uncertainty driven largely by forces beyond their control. Extending targeted property tax relief is a pragmatic step to support economic stability and help northern families and communities weather ongoing pressures. As with our previous measures, this relief is temporary and comes with clear expectations that benefits support NWT workers, businesses, and Indigenous partners.”
— Caroline Wawzonek, Minister of Finance
“This extension is about maintaining stability today while planning responsibly for what comes next. By working alongside Indigenous governments, industry partners, and the Government of Canada, we are supporting workers and local businesses now while laying the groundwork for longer-term economic resilience, diversification, and new opportunities for Northerners.”
— Caitlin Cleveland, Minister of Industry, Tourism and Investment
Quick Facts
- Extending property tax relief into 2026–27 is expected to reduce total diamond mine property tax revenues by approximately $8.8 million, or 45 per cent, compared with projected revenues without relief.
- The relief applies to all operating diamond mines and is limited to the 2026–27 tax year.
- Diamond mine property taxes are paid directly to the GNWT, not to municipalities.
- In 2025, the GNWT introduced additional temporary measures to support the sector, including doubling local diamond valuations and releasing remaining balances from the Large Emitter Greenhouse Gas (GHG) Reducing Investment Fund to support mine cash flow.
For media requests, please contact:
Cabinet Communications
Government of the Northwest Territories
PressSecretary@gov.nt.ca