The GNWT has decided not to create and implement an Indigenous procurement policy, saying years of work failed to produce consensus on what it should include.
Procurement is the means by which the government acquires products and services from contractors. Doing that fairly – and in a way that promotes northern businesses, particularly those that are Indigenous-owned – has been a thorny subject for years.
In 2021, an independent panel suggested the GNWT look into an Indigenous procurement policy, which the Yukon had by that point already adopted.
That panel’s review came after both the Tłı̨chǫ Government and Yellowknives Dene First Nation publicly expressed frustration with the NWT’s procurement system.
A years-long engagement process began, including public meetings in 2025 across the territory. More than 180 people were involved. The territory told residents it was “committed to developing an Indigenous Procurement Policy to support NWT Indigenous businesses in GNWT procurement opportunities.”
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That has changed.
Earlier this month, the GNWT introduced a new definition of an NWT Indigenous business, though it said that definition would be for reporting purposes and would not modify the procurement process in any way.
At the time, the territory gave no indication that it was scrapping broader work on a new policy.
But a spokesperson for the NWT’s Department of Finance, which holds responsibility for procurement, told Cabin Radio last week that there had been “no clear consensus on key elements of a potential policy” after years of engagement.
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“The GNWT is not proceeding with implementation of an Indigenous Procurement Policy. Instead, the GNWT has adopted a definition of an NWT Indigenous business that will be used for information and reporting purposes within the procurement system,” the spokesperson said by email.
“Given the lack of consensus, the GNWT determined that introducing policy mechanisms at this time could create unintended impacts and would not be supported by sufficient information about current Indigenous participation in procurement.”
Instead, the spokesperson said, the government is taking a “measured, data-informed approach” by creating a new definition as the outcome of the process.
Under the new definition, an NWT Indigenous business is one that is registered:
a) under the GNWT Business Incentive Policy; and either
b) on the Government of Canada’s Indigenous Business Directory or
c) on a publicly available business registry maintained by an NWT modern treaty partner.
The spokesperson said this will help the GNWT better understand Indigenous participation in procurement while building on existing processes.
“The GNWT remains committed to reconciliation, inclusive economic development, and strengthening Indigenous participation in the economy,” the email continued.
“The current focus is on building better data and understanding so that any future procurement measures can be developed in an informed and transparent way.”
