Indian PM Narendra Modi and his Canadian counterpart Mark Carney met for the first time on the sidelines of the G7 Summit in Kananaskis and agreed to take calibrated and constructive steps to restore stability in the relationship, beginning with the early return of High Commissioners to each other’s capitals.

The bond between the two nations had touched a low point during the tenure of former PM Justin Trudeau following the killing of pro-Khalistan separatist Hardeep Singh Nijjar.

"This was the first in-person interaction between the two leaders since Prime Minister Carney assumed office following Canada’s recent general elections," the Indian government said in a statement.

"The meeting provided an opportunity for both sides to hold frank and forward-looking discussions on the state of India-Canada relations and the way ahead," the statement said.

India-Canada ties

During the meeting, the leaders reaffirmed the importance of India-Canada ties, based on shared democratic values, respect for the rule of law and commitment to upholding the principles of sovereignty and territorial integrity.

They underlined the need to pursue a constructive and balanced partnership grounded in mutual respect for concerns and sensitivities, strong people-to-people ties, and growing economic complementarities.

"In this regard, both sides agreed to take calibrated and constructive steps to restore stability in the relationship, beginning with the early return of High Commissioners to each other’s capitals," the statement said highlighting the attempt taken by the two leaders to restore the relationship.

The leaders underscored the importance of restarting senior ministerial as well as working-level engagements across various domains to rebuild trust and bring momentum to the relationship.

Key areas of importance discussed

The leaders discussed opportunities for future collaboration in areas such as clean energy, digital transformation, artificial intelligence, LNG, food security, critical minerals, higher education, mobility, and supply chain resilience.

They reaffirmed their shared interest in promoting a free and open Indo-Pacific.

The leaders also discussed the importance of restarting the stalled negotiations on the Early Progress Trade Agreement (EPTA), with a view to paving the way for a Comprehensive Economic Partnership Agreement (CEPA). They agreed to task their respective officials to engage further in this regard.

The two politicians acknowledged the important progress made at the G7 Summit and the shared willingness to work constructively together on global priorities such as climate action, inclusive growth, and sustainable development.

Modi and Carney underlined the deep people-to-people connections between the two countries and agreed to leverage this living bridge to the benefit of both countries.

The leaders agreed to stay in touch and looked forward to meeting each other again at the earliest opportunity.