Kananaskis, Canada — In a major diplomatic breakthrough, Indian Prime Minister Narendra Modi and newly elected Canadian Prime Minister Mark Carney held their first in-person meeting on the sidelines of the G7 Summit, agreeing to restore high-level diplomatic engagement between the two countries.
According to a statement released by India’s Ministry of External Affairs (MEA) on Wednesday, the two leaders engaged in “frank and forward-looking” discussions aimed at resetting bilateral relations. The talks reaffirmed a mutual commitment to democratic values, rule of law, and respect for sovereignty and territorial integrity.
As a key outcome, both nations agreed to begin a phased normalization of diplomatic ties, beginning with the return of their respective high commissioners to New Delhi and Ottawa. This marks a crucial step toward thawing relations that had deteriorated following Canadian allegations linking Indian agents to the killing of Khalistani separatist Hardeep Singh Nijjar—claims that India had strongly rejected as “absurd” and “politically motivated”.
The diplomatic standoff had led to the withdrawal of envoys, suspension of trade talks, and a sharp decline in bilateral engagement.
With a new administration in Canada, the meeting between PM Modi and PM Carney appeared to signal a willingness from both sides to rebuild trust. The leaders emphasised mutual respect, stronger economic cooperation, and deepening people-to-people ties as key pillars of the renewed relationship.
They also committed to restarting ministerial and working-level dialogues across several strategic sectors, including clean energy, artificial intelligence, LNG, critical minerals, food security, digital transformation, higher education, skilled mobility, and resilient supply chains.
The resumption of stalled negotiations on the Early Progress Trade Agreement (EPTA)—a precursor to a Comprehensive Economic Partnership Agreement (CEPA)—was also discussed. Officials from both countries have been directed to reinitiate talks at the earliest opportunity.
In the broader context of the G7 Summit, Modi and Carney also aligned on shared global priorities such as climate action, inclusive growth, sustainable development, and the need to ensure a free, open, and rules-based Indo-Pacific.
Highlighting the role of the Indian diaspora in Canada, the MEA called it a “living bridge” capable of strengthening bilateral ties and driving future cooperation.
The two prime ministers agreed to maintain close contact and expressed interest in meeting again soon, marking a fresh chapter in India–Canada relations after a year of diplomatic friction.