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With Carney's ascent, India hopes relations with Canada will improve

April 30, 2025

Prime Minister Narendra Modi, the Opposition Congress and watchers of India-Canada ties, including former diplomats, on Tuesday hailed Canadian PM Mark Carney's victory in the country's federal elections.

There was hope in New Delhi that India-Canada ties under Carney would improve from the damage they suffered during the second tenure of Justin Trudeau, who had Jagmeet Singh of New Democratic Party (NDP) as a crucial ally.

After the results came in, Singh, known as a Khalistani sympathiser, said he would quit as leader of the NDP after he failed to retain his own seat.Carney became prime minister after Trudeau stepped down in mid-March, in part because Singh's NDP withdrew support. Singh had pushed for action when Trudeau triggered a diplomatic row with India.

He alleged India's involvement in the murder of Canadian Sikh separatist Hardeep Singh Nijjar. The NDP could win only 7 seats in the 343-seat Parliament, compared to the 25 it bagged in 2021. It got a little more than five per cent of the popular vote nationally, a sharp decline from the 17.8-per cent share of national vote it received in 2021.

Ajay Bisaria, India's former envoy to Canada, told Business Standard, "This election was existential for Canada -- a referendum on how the country should deal with Donald Trump."

Bisaria described Carney as a pragmatic economist, who will be looking to build stronger relationships, hedging against over dependence on the US or China. Politically, he will not be burdened with the agenda of Jagmeet Singh and the NDP, which was calling for anti-India positions.

Describing the polls as an inflection point for Canada-India ties, Bisaria said New Delhi would prefer its relationship with Ottawa to not only improve but also be anchored on bipartisan support, despite the damage caused by Trudeau over the past 18 months. 

Prime Minister Modi congratulated Carney on the victory of his Liberal Party and said he was looking forward to strengthening bilateral ties and unlocking greater opportunities for people of the two nations.

The Opposition Congress hoped that India-Canada relations under Carney's stewardship would change for the better. Congress general secretary Jairam Ramesh said that Carney, who has won a remarkable victory for the Liberal Party, has been the governor of central banks in two countries. 

"He is a highly accomplished finance professional and I remember his passionate commitment to multilateralism as well as to climate change issues especially. India-Canada relations under his Prime Ministership will hopefully change for the better," Ramesh said.

India-Canada relations nosedived in the second half of last year after Ottawa linked several Indian diplomats, including then High Commissioner Sanjay Verma to the murder of Nijjar. In October last, India withdrew Verma and five other diplomats. India also expelled an equal number of Canadian diplomats from New Delhi.


Archis Mohan & Bhaswar Kumar/Business Standard (With agency inputs)