Elder statesman Mark Carney, the favorite to replace Justin Trudeau as leader of Canada’s Liberal Party in power, has vowed to restore trade ties with India if he becomes PM. Speaking to media in Calgary, Alberta, on Tuesday, Carney reiterated his focus on diversifying Canada’s trading partnerships, especially with “like-minded” countries like India.
Vision for Fortifying Canada-India Trade of Mark Carney
Mark Carney recognized the frayed relations between India and Canada and emphasized the importance of creating a “shared sense of values” in business transactions. “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,” Carney said.
“There needs to be a shared sense of values around that commercial relationship and if I’m Prime Minister, I look forward to the opportunity to build that,” he said.
Carney’s bid for leadership gained traction as he is still the favourite to succeed Trudeau. The formal process to instal the new leader of the Liberal Party ends this Sunday. Nevertheless, although Mark Carney might take over leadership soon, the process to become Prime Minister might be slower.
Trudeau Recognizes Transition Timeline
Prime Minister Justin Trudeau spoke on the leadership transition in a press conference in Ottawa on Tuesday. He mentioned that the transition would be decided by negotiation between him and the incoming leader.
“That will be up to a conversation between the new leader and myself to figure out how long a transition is needed,” Trudeau said. “It should happen reasonably quickly. But there’s a lot of things to do in a transition like this, particularly at this complicated time.”
Carney’s Experience and India’s Economic Potential
Carney, a past Governor of both the Bank of England and the Bank of Canada, has had extensive international finance experience. Until January this year, he was the chairman of Brookfield Asset Management, a firm that has substantial investments in India. According to a Brookfield spokesman, the company has about $30 billion worth of assets in some of the major sectors in India such as real estate, infrastructure, renewable energy, private equity, and special investments.
His economic strategy expertise has also generated optimism for more robust bilateral trade under his leadership. Ritesh Malik, the chairman of the Canada-India Foundation (CIF), welcomed Carney’s promise to enhance ties.
“Carney as a seasoned economist and his experience with Brookfield knows the economic importance of this relationship,” Malik added. “I feel his top priority will be foreign policy with trade and commerce in mind, and everything from current scenario would be only upwards for Canada-India.”
The Current State of Canada-India Relations
The tensions between India and Canada grew worse after Trudeau made a comment in the House of Commons on September 18, 2023. Trudeau accused there being “credible allegations” that Indian agents were involved in the murder of pro-Khalistan activist Hardeep Singh Nijjar in British Columbia three months prior. Diplomatic relations continued to deteriorate as Canada suspended talks for the Early Progress Trade Agreement (EPTA), which both countries had hoped to complete in 2023.
Malik was optimistic that Carney’s leadership may bring a new direction to Canada-India relations. “Carney as a seasoned economist and his experience with Brookfield knows the economic importance of this relationship. I feel his top priority will be foreign policy with trade and commerce in mind, and everything from current scenario would be only upwards for Canada-India,” he said.
Before Carney can possibly preside over Canada, his devotion to diversifying trade and economic diplomacy could become key in determining future relationships with India.
