Following a period of strained relations, India and Canada have agreed to restore full diplomatic services, marking a significant step towards mending ties that were fractured by allegations surrounding the killing of Sikh separatist leader Hardeep Singh Nijjar in Canada in June 2023. The agreement was reached during a meeting between Prime Minister Narendra Modi and his Canadian counterpart, Mark Carney, on the sidelines of the G7 Summit in Kananaskis, Alberta.
The decision to reinstate high commissioners to each other's capitals signals a mutual desire to move past the diplomatic impasse that arose after former Canadian Prime Minister Justin Trudeau publicly accused India of involvement in Nijjar's assassination. India has vehemently denied these allegations. In response to the accusations and subsequent expulsion of diplomats, both countries significantly reduced their diplomatic presence, impacting visa services and other essential functions.
Prime Minister Carney, who assumed office in March 2025, extended an invitation to Prime Minister Modi to attend the G7 summit, indicating a willingness to reset the relationship. Both leaders have emphasized the importance of the India-Canada relationship, built on shared democratic values, the rule of law, and respect for sovereignty and territorial integrity. They acknowledged the strong people-to-people connections, partnerships in the Indo-Pacific region, and significant commercial links that exist between the two countries.
Foreign Secretary Vikram Misri stated that the Prime Ministers agreed to take calibrated steps to restore stability to this very important relationship. The first of these steps agreed upon was to restore high commissioners to each other's capitals at an early date, adding that senior and working level mechanisms in a host of areas related to trade, people to people contact, and connectivity had also been resumed.
The restoration of diplomatic services is expected to ease visa delays and immigration issues that have affected many within the 1.4 million-strong Indian diaspora in Canada. Moreover, it paves the way for the resumption of discussions on a free trade agreement, which have been stalled. In 2024, bilateral trade between India and Canada stood at just over $12 billion, lagging behind India's trade with the United States and Canada's trade with China, indicating significant potential for growth.
During the meeting, Prime Minister Carney also raised issues related to transnational crime and repression, security, and the rules-based order, signaling Canada's continued commitment to addressing these concerns in its foreign policy engagements. However, the emphasis on restoring diplomatic ties suggests a willingness to engage in constructive dialogue and find common ground on these sensitive issues.
The agreement to restore diplomatic services represents a crucial step in normalizing relations between India and Canada. While challenges remain, the commitment from both leaders to rebuild trust and cooperation offers a promising outlook for the future of this important partnership.
