Mark Carney's Election Victory Signals Potential Reset in India-Canada Relations

Mark Carney's Election Victory Signals Potential Reset in India-Canada Relations

Ottawa, April 29, 2025 — Mark Carney's ascent to Canada's premiership, following the Liberal Party's electoral victory, heralds a possible thaw in the frosty relations between Ottawa and New Delhi that characterized the latter years of Justin Trudeau's administration.

Carney, a former central banker with no prior elected office experience, has emphasized the importance of strengthening ties with India. During his campaign, he stated, "What Canada will be looking to do is to diversify our trading relationships with like-minded countries, and there are opportunities to rebuild the relationship with India."

Under Trudeau, bilateral relations deteriorated, particularly after allegations in 2023 linking Indian agents to the killing of a Canadian Sikh separatist leader—a claim India vehemently denied. The ensuing diplomatic spat led to mutual expulsions of diplomats and a suspension of trade talks.

Carney's leadership offers a chance to mend these fractured ties. His background as chair of Brookfield Asset Management, a firm with significant investments in India, provides him with a nuanced understanding of the Indian market. Moreover, his commitment to depoliticizing contentious issues, such as the Khalistan movement, could pave the way for renewed dialogue.

Indian officials have expressed cautious optimism. Former High Commissioner to Canada, Ajay Bisaria, noted that Carney "will not carry the India baggage of Trudeau," suggesting a fresh start is possible.

As Carney prepares to form a minority government, the international community watches closely to see if his tenure will usher in a new era of cooperation between Canada and India, focusing on shared economic interests and mutual respect.