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| Album of the Year |
 | Glaciation - Patrick O'Hearn (patrickohearn.com Music) |
 | It's About the Rose - Karen Marie Garrett (WaterStreet Records) |
 | Paris Moon - Blackmore's Night (SPV Recordings) |
 | Treasure - David Helpling & Jon Jenkins (Spotted Peccary Music) |
 | True - Jeff Oster (Retso Records) |
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| Best Ambient Album |
 | Glaciation - Patrick O'Hearn (patrickohearn.com Music) |
 | Heart of Matter - Michael O'Connell (Expanding Sky Music) |
 | Labyrinth - Terry Oldfield (Gemini Sun Records) |
 | Passage - Mike Wall (Open Ear Studios) |
 | Treasure - David Helpling & Jon Jenkins (Spotted Peccary Music) |
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| Best Celtic Album |
 | Celtic Passage - Deirdre Ní Chinnéide (Sounds True) |
 | Irish Coffee - Cady Finlayson (Self Released) |
 | King Raven, Vol. 2 - Jeff Johnson and Brian Dunning (Ark Records) |
 | Nights From The Alhambra (live) - Loreena McKennitt (Quinlan Road-Universal Music) |
 | Paris Moon - Blackmore's Night (SPV Recordings) |
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| Best Contemporary Instrumental Album |
 | Devocean - Levi Chen (Yin Yang Records) |
 | Encanto - Johannes Linstead and Nicholas Gunn (Gemini Sun Records) |
 | Out of the Darkness, Into the Light - Michael Stribling (Leela Music) |
 | Southwest - Eric Tingstad w/ Various Artists (Cheshire Records) |
 | True - Jeff Oster (Retso Records) |
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| Best Cover Art |
 | Ananeah - Ananeah (Arvel Bird, Will Clipman, Mary Redhouse & William Eaton) (Singing Wolf Records) |
 | Borderlands - Evan Bartholomew (New Land Music) |
 | Glaciation - Patrick O'Hearn (patrickohearn.com Music) |
 | MoonWater - Rudy Adrian (Lotuspike) |
 | Treasure - David Helpling & Jon Jenkins (Spotted Peccary Music) |
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| Best Dance/Dub/Club Album |
 | Dial M for Mantra - Jai Uttal (Sounds True) |
 | Elysium for the Brave - Azam Ali (Six Degrees Records) |
 | Etherea Borealis - Aurah (Very Music) |
 | Global Spirit - Karunesh (Oreade Music) |
 | Zen Pause - Thierry David (Real Music) |
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| Best Electronic Album |
 | Elevations - Erik Wøllo (Spotted Peccary Music) |
 | Infinite Plastic Creation - Richard Bone (Quirkworks Laboratory Discs) |
 | Out of the Darkness, Into the Light - Michael Stribling (Leela Music) |
 | Sacred Journey of Ku-Kai Volume 3 - Kitaro (Domo Records) |
 | Zen Pause - Thierry David (Real Music) |
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| Best Holiday Album |
 | A Winter Blessing: Songs for the Season - Seay (Tuscan Sun) |
 | Heavenly Peace [Re-Release] - Darlene Koldenhoven (TimeArt Recordings) |
 | J Is For Joy - John Fluker (Retribution Records) |
 | Windham Hill Holiday Guitar Collection - V/A (Windham Hill/Legacy-SonyBMG Music) |
 | Winter Tidings - Al Petteway & Amy White (Maggie's Music) |
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| Best Instrumental Album - Acoustic |
 | Encanto - Johannes Linstead and Nicholas Gunn (Gemini Sun Records) |
 | Faces of the Sun - Peter Kater w/ Paul McCandless, Tony Levin, Mike Hamilton, Hans Christian (Silver Wave Records) |
 | Gardens Of Hope - Frank Smith (Open Tune Music) |
 | Southwest - Eric Tingstad w/ Various Artists (Cheshire Records) |
 | When Evening Falls - Tom Salvatori and Iris Litchfield w/ John Catchings (Salvatori Productions, Inc.) |
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| Best Instrumental Album - Piano |
 | Grey Sky and Bittersweet - Ann Sweeten (Orange Band Records) |
 | It's About the Rose - Karen Marie Garrett (WaterStreet Records) |
 | Life is Grand... - Silvard (Musical Mollusk Recordings) |
 | Secret Spaces - Craig Urquhart (Heart Earth Music) |
 | Something You Dream Of - Denise Young (Dancing Horses Music) |
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| Best Native American Album |
 | A Crown of Stars - Blue Feather, Dunlap and Henke (Divine Wind Records) |
 | Ananeah - Ananeah (Arvel Bird, Will Clipman, Mary Redhouse & William Eaton) (Singing Wolf Records) |
 | Following the Call - Ann Licater (Cul de Sac Mystic Productions) |
 | Opening The Gate - Gentle Thunder (Self Released) |
 | Voyagers - R. Carlos Nakai & Udi Bar-David w/ Will Clipman (Canyon Records) |
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| Best Neo-Classical Album |
 | Along The Curve - Dave Sterling (Self Released) |
 | Angel Voices - Libera (EMI) |
 | Divinaura - Aeoliah (Oreade Music) |
 | Silence, Night & Dreams - Zbigniew Preisner w/ Teresa Salgueiro (EMI Classics) |
 | When Evening Falls - Tom Salvatori and Iris Litchfield w/ John Catchings (Salvatori Productions, Inc.) |
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| Best New Artist |
 | At the End of the Day - Carolyn Southworth w/ Paul Speer, Nancy Rumbel, Richard Warner (Heron's Point Music) |
 | Autumn Musings - Anewday (FatCat Music Productions) |
 | Delightful Voyages - David Findlay (Self Released) |
 | Heart of Matter - Michael O'Connell (Expanding Sky Music) |
 | Out of the Woodwork - Lawrence Blatt (Self Released) |
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| Best Relaxation/Meditation Album |
 | Buddha Moon - Chinmaya Dunster (New Earth Records) |
 | Deva - The Luminous World Orchestra (Brahmasong Records) |
 | Divinaura - Aeoliah (Oreade Music) |
 | Garden Of Delight - Paul Avgerinos w/ Omar Faruk Tekbilek, Kevin Braheny, Steve Gorn (Real Music) |
 | Relax: A Liquid Mind Experience - Liquid Mind (Chuck Wild Records/Real Music) |
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| Best Vocal Album |
 | Angel Voices - Libera (EMI) |
 | Beneath The Covers: A Rediscovery - Gypsy Soul (Off The Beaten Track Recordings) |
 | Infinite Voice - Darlene Koldenhoven (TimeArt Recordings) |
 | Nights From The Alhambra (live) - Loreena McKennitt (Quinlan Road-Universal Music) |
 | Paris Moon - Blackmore's Night (SPV Recordings) |
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| Best World Album |
 | Breathing Under Water - Anoushka Shankar and Karsh Kale (Manhattan Records - EMI Music) |
 | El Tarab El Aseel - Riad Abdel-Gawad (Mirage Records) |
 | Encanto - Johannes Linstead and Nicholas Gunn (Gemini Sun Records) |
 | Garden Of Delight - Paul Avgerinos w/ Omar Faruk Tekbilek, Kevin Braheny, Steve Gorn (Real Music) |
 | Global Spirit - Karunesh (Oreade Music) |