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After interference allegations, how is Canada softening its stance on India ahead of Carney’s visit?

Canada has softened its stance on alleged Indian interference ahead of Prime Minister Mark Carney’s India visit, signalling a diplomatic reset focused on trade, security dialogue and rebuilding strained bilateral relations.

February 26, 2026 / 19:52 IST
Canada eases India stance before reset

Canadian authorities appear to be recalibrating their stance on alleged Indian interference as Prime Minister Mark Carney prepares for a high-profile visit to India aimed at repairing relations and boosting trade.

Briefing journalists ahead of the trip, senior officials indicated that Ottawa no longer believes India is linked to violent criminal activity in Canada — a marked shift from the accusations that plunged ties into crisis.

“We have a mature, robust discussion with the Government of India on these issues, and we have robust safeguards in place to avoid foreign interference,” CTV reported, quoting an official.

Another official underscored the point, saying Canada would not be proceeding with the visit if concerns about ongoing interference remained. “I really don't think we'd be taking this trip,” the official said, stressing Ottawa has “no tolerance” for foreign involvement in domestic affairs.

According to the Toronto Star, officials cited sustained diplomatic engagement — including talks between national security advisers — as grounds for confidence that such activities are “not continuing”.

The Prime Minister’s Office later clarified that Canada would continue to combat transnational repression and organised crime, adding that respect for the rule of law would remain central to its step-by-step re-engagement with India.

A sharp contrast with earlier accusations

The softer language contrasts starkly with the position adopted last year. In June 2024, the Canadian Security Intelligence Service accused India of being among the principal perpetrators of foreign interference and espionage in Canada.

Authorities linked the 2023 killing of Sikh activist Hardeep Singh Nijjar in Vancouver to what they described as a “significant escalation in India's repression efforts against the Khalistan movement and a clear intent to target individuals in North America”.

Then prime minister Justin Trudeau had cited “credible” intelligence connecting Indian agents to the killing — allegations New Delhi has consistently denied.

The dispute triggered tit-for-tat expulsions of diplomats and sent relations into freefall.

Trade and pragmatism take centre stage

Carney’s visit, scheduled from February 27 to March 2, is being framed as part of a broader shift towards a more “pragmatic” foreign policy. He will begin in Mumbai before holding talks with Prime Minister Narendra Modi in New Delhi.

Carney’s office said discussions would focus on “ambitious new partnerships in trade, energy, technology and artificial intelligence (AI), talent and culture, and defence”.

India, the world’s fastest-growing major economy, is Canada’s seventh-largest trading partner, with two-way trade exceeding $21 billion annually. The two sides resumed negotiations last year on a proposed free-trade agreement aimed at lifting trade to $50 billion by 2030.

“That means big new opportunities for Canadian workers and businesses,” Carney said in November after meeting Modi on the sidelines of the G20 summit in South Africa.

“India and Canada have great potential in strengthening trade and investment,” Modi said at the time.

India’s Commerce and Industry Minister Piyush Goyal signalled readiness to advance talks. “Every country wants to enter into a trade deal with India. We are launching FTA talks with Canada, hopefully when the prime minister is here,” he said at the EY Entrepreneur Of The Year Awards.

Domestic sensitivities remain

Canada is home to around 2.8 million people of Indian origin and hosts the largest Sikh community outside India. The Khalistan issue continues to carry domestic political sensitivity, and Sikh groups in Canada have protested against Carney’s outreach.

However, with envoys restored after Carney took office in March 2025, both governments are signalling cautious optimism.

Officials said there has been “systematic engagement” at senior, ministerial and leadership levels. “These issues have been raised regularly, and we are confident that we have the basis for further productive discussion,” a government official said.

After years of diplomatic frost, Ottawa and New Delhi now appear intent on turning the page — balancing security concerns with economic opportunity in an increasingly uncertain global trade environment.

(With inputs from agencies)

Moneycontrol World Desk
first published: Feb 26, 2026 07:52 pm

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