Banks Island is one of the larger members of the Arctic Archipelago. Situated in the Inuvik Region, and part of the Inuvialuit Settlement Region, of the Northwest Territories, it is separated from Victoria Island to its east by the Prince of Wales Strait and from the mainland by Amundsen Gulf to its south. The Beaufort Sea lies to its west, and to its northeast M'Clure Strait separates the island from Prince Patrick Island and Melville Island.

The Arctic Archipelago, also known as the Canadian Arctic Archipelago, is an archipelago lying to the north of the Canadian continental mainland, excluding Greenland and Iceland.