The Northern Territory government will spend an extra $18.2 million annually to overhaul the "broken" juvenile justice system and focus on diversion instead of locking kids up.
The record funding is in addition to 52 new youth diversion workers, a greater focus on victim conferencing and boot camps included in the reform package.
"We have to make sure that victims are put first, we have to make sure we prevent crime before it occurs," NT Chief Minister Michael Gunner said on Wednesday.
"The youth justice system is broken and today is the first big step towards fixing it."
The funding boost comes in response to the Don Dale Detention Centre abuse scandal and community anger over a recent youth crime wave.
Footage of boys being tear-gassed, spit-hooded and shackled in the NT's youth prison system was aired on national television last year, sparking a royal commission.
Under the changes victims' conferencing will be expanded within three months to combat reoffending and hold offenders socially accountable.
NGO funding will be more than doubled with an additional $6 million per year to deliver evidence-based wilderness programs and boot camps as alternative options for police and the courts.
Mr Gunner insisted it wasn't a soft approach, and that boot camps would be "gruelling" and culturally relevant with strong mentoring and training.
"It doesn't work if it just happens to be out bush somewhere, under a tree, singing kumbaya," he said.
For the first time in Territory history young offenders will receive individualised support from youth diversion workers and access to accommodation and programs to help them meet bail conditions.
The workforce will begin immediately in Darwin, Palmerston, Katherine and Alice Springs and operate in all regions within three months.
The measures have been welcomed by the NT Council of Social Service, with Chief Executive Wendy Morton saying the package is a move in the right direction.
"I think it's a really good first step in what they've announced today particularly the bail support program and accommodation because that's been a real gap that's been identified by a whole range of organisations over time," she said.
But the Opposition says they won't have an immediate impact on the current crime "crisis".
Country Liberals leader Gary Higgins says instead of pouring money into youth diversion workers, the Labor government should increase the use of electronic monitoring to enforce bail conditions like curfews.
The Gunner government last month announced 18 additional frontline police officers would join an existing youth crime squad dedicated to early intervention.
It comes as co-commissioners Mick Gooda and Margaret White tour New Zealand this week to examine alternative approaches to youth protection and detention.
