Amid strained diplomatic ties, Prime Minister Narendra Modi congratulated Mark Carney on becoming Canada’s new Prime Minister and the Liberal Party on their victory.

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Emphasizing shared democratic values and people-to-people ties, PM Modi expressed hope to strengthen India-Canada relations.

PM Modi wrote on X, “Congratulations @MarkJCarney on your election as the Prime Minister of Canada and to the Liberal Party on their victory. India and Canada are bound by shared democratic values, a steadfast commitment to the rule of law, and vibrant people-to-people ties.”

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“I look forward to working with you to strengthen our partnership and unlock greater opportunities for our people,” he added.

Congratulations @MarkJCarney on your election as the Prime Minister of Canada and to the Liberal Party on their victory. India and Canada are bound by shared democratic values, a steadfast commitment to the rule of law, and vibrant people-to-people ties. I look forward to working…
— Narendra Modi (@narendramodi) April 29, 2025
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Will Mark Carney's win end strained India-Canada ties

Mark Carney and the Liberal Party's victory in the Canadian federal elections, outpacing Pierre Poilievre’s Conservatives, has set in motion a potential reset of one of the country's most strained international relationships with India.

For India, Carney’s ascent could open the door to a long-awaited diplomatic reset following a deeply strained relationship during Justin Trudeau’s leadership. Ties between New Delhi and Ottawa deteriorated sharply after Trudeau’s explosive accusation in September 2023, implicating India in the killing of Khalistani separatist Hardeep Singh Nijjar in British Columbia.

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The fallout was swift and severe—marked by mutual expulsions of diplomats, suspended visa services, and icy exchanges.

Carney, by contrast, has signaled a willingness to chart a new course. During a campaign stop in Calgary, he expressed optimism about deepening economic ties with India. “There needs to be a shared sense of values around that commercial relationship, and if I am Prime Minister, I look forward to the opportunity to build that,” he said, describing India as a “key opportunity” for Canadian trade diversification.

One critical area for India will be the future of its students in Canada—a cohort that represents a sizable portion of the country’s 427,000 international students. The Liberal Party, under Carney’s leadership, has unveiled a more restrained approach to immigration and international student intake as part of its broader effort to tackle Canada's deepening housing and infrastructure crises.

According to the 2025 Liberal manifesto, Canada will cap the overall intake of immigrants, including international students and temporary workers, to below 5% of the population by 2027—significantly down from the previous 7.3%. Permanent resident admissions, too, will be held below 1% annually after 2027.