Thank you, Mr. Speaker. Mr. Speaker, at the commencement of the 18th Legislative Assembly just over three years ago, our economy was facing hard times, and we set ourselves on a path with the intent to strengthen it, so that future generations could benefit from the potential of this land.
Within the first months of the Assembly, however, we were struck a blow when Snap Lake Diamond Mine shut down. With that closure, an economic contribution to our economy as big as the entire tourism industry disappeared practically overnight.
The remaining diamond mines are all scheduled to end production one by one over the next eight years, and there are no new diamond mines being contemplated. Even if there were, given how long it takes to bring a new mine online, any new mines wouldn't be operational until long after the current ones shut down. While some smaller metal mines may begin production within the next decade, none will come close to replacing the economic contributions that we will lose.
The glory days of diamond mining are coming to an end. It is reminiscent of the fall of the NWT's oil and gas industry in the 1980s, which has drastically altered our economic landscape. With the more recent global decline in the oil and gas industry, we can rest assured that we won't see a revival in that sector any time soon either.
What all of this means is that, in the coming decade, we will be without any industry capable of supporting the needs of the NWT. We are headed for a recession. There will be job losses in the thousands, an exodus of skilled workers, and tens, if not hundreds, millions of dollars in lost government revenue. This isn't conjecture; these are the facts. Times are hard for many people, and they are going to get worse.
As the Minister of Finance stated in his budget address, "There are cracks in the foundation." That is a powerful statement, Mr. Speaker, and unfortunately I have to agree with it. The social services that we provide today are already underfunded, and many are underperforming. An aging population and worsening economy will mean that costs will continue to rise. Our ability to provide services like healthcare, housing, and education is built upon our faltering economic foundation, so it must be addressed.
The proposed 2019-2020 budget contains $1.8 billion in spending proposals across eleven departments and the Legislative Assembly. Given the scope of this budget, it undoubtedly contains many proposals that I support and some that I disagree with. However, the overarching criteria that I have to use to assess this budget is whether or not it does enough to put us in a position to weather the upcoming economic storm and to take advantage of opportunities for growth.
As the Minister stated in his budget address, we need economic diversification to strengthen the sustainability of our economy. Mr. Speaker, I agree. My constituents agree. Everyone I have talked to across the territory agrees. Diversifying the economy is how we can patch those cracks in the foundation. However, Mr. Speaker, the budget that this government has put forward, and the associated policies it continues to follow, do not go nearly far enough to diversify our economy.
I support many of the government's efforts to expand our transportation and power infrastructure and to encourage investment in the NWT by industry. I have made statements in this House about the need for the Mackenzie Valley Highway, the road to Whati, and the Slave Geological Province. I began pushing the government to expand Taltson Hydro System at the beginning of this Assembly. Unfortunately this government seems to be exclusively focused on advancing these types of projects at the expense of diversification, and I can't understand why. I think the government is perfectly capable of doing two things at once, and I don't think it is too much to ask that we ask them to walk and chew bubble gum at the same time.
This government pays lip service to economic diversification, but this budget and the associated business plans show no indication that they are deviating from their singular focus. The needed investments in education and training, small businesses, and communities that are critical to diversification are absent.
During every sitting, Regular Members raise the importance of investing in these areas on the floor of this House. When Regular Members meet with the Ministers to review the budget behind closed doors, we raise the importance of investing in these areas. We continuously push for investments because we know that just talking about economic diversification doesn't make it happen. We do it because it is one of the priorities of this Assembly. We do it because our constituents have made clear that they are tired of being at the mercy of the boom-and-bust commodity cycles. However, Mr. Speaker, this Cabinet has repeatedly ignored those recommendations and continues to do so. The voices of our constituents are falling on deaf ears.
Mr. Speaker, this is our last budget. It is our last kick at the can. It is a culmination of the work that we have been doing for the past three years. That is why it pains me to say that we are a far cry from where I hoped that we would be at this point. Industry is disappearing. Small businesses are struggling. We have over a billion dollars in debt, and we are right up against our borrowing limit. We have set the next Assembly up with a monumental task.
As we debate the budget over the coming weeks, I look forward to going into more detail about my concerns, and I will give the Cabinet a chance to change my mind and convince me that this budget can save the Northwest Territories from its economic future. Thank you, Mr. Speaker.