Prime Minister Mark Carney’s recent visit to Saudi Arabia marks a significant turn in Canada’s diplomatic strategy, as he aims to strengthen trade and investment ties with the kingdom. This approach diverges notably from the stance adopted by his predecessor, who was vocal about human rights issues and notably critical of the regime following the assassination of journalist Jamal Khashoggi in 2018. Carney’s trip, which is the first by a Canadian prime minister to Saudi Arabia in 26 years, is emblematic of a broader strategy to diversify Canada’s economic partnerships beyond its traditional reliance on the United States.
The Canada-Saudi Arabia Co-ordination Council
During his meeting with Crown Prince Mohammed bin Salman in Jeddah, Carney announced the establishment of the Canada-Saudi Arabia Co-ordination Council. This initiative aims to enhance collaboration in key areas, including defence and trade. Carney articulated his vision for Canada to seek out new investment opportunities that would reduce the country’s dependence on its southern neighbour, stating, “Engagement is not endorsement. So engaging with the country doesn’t mean that we agree with everything that a country is doing.”
The Prime Minister emphasised that a transactional approach is necessary for fostering relationships, arguing that “lecturing countries from afar is an ineffective strategy.” By choosing dialogue over denunciation, Carney appears to be attempting to navigate the complexities of international relations while pursuing economic growth.
Re-establishing Diplomatic and Economic Ties
In a move indicative of renewed engagement, Canada announced the reinstatement of the defence attaché position at its embassy in Riyadh. Furthermore, the Canadian government is poised to sign a foreign investment protection and promotion agreement with Saudi Arabia by the end of 2027. This treaty is expected to create legally binding frameworks for investor treatment, thus providing greater certainty for businesses looking to operate across borders.
Carney also outlined plans for Saudi Arabia’s Public Investment Fund to participate in the upcoming Canada Investment Summit in Toronto. In addition, Finance Minister François-Philippe Champagne will lead a delegation of Canadian pension funds to explore investment avenues in the kingdom. These steps illustrate the government’s commitment to exploring new economic partnerships that could lead to significant financial benefits for Canada.
Criticism from Former Leaders
Carney’s approach has not been without controversy. Lloyd Axworthy, a former foreign affairs minister, expressed discomfort with the Prime Minister’s “transactional” foreign policy. He remarked, “It’s not just Justin Trudeau’s legacy that is being erased; it’s a legacy that goes back a lot of years for a lot of Liberals.” The rift in relations with Saudi Arabia began in 2018, when Canada publicly condemned the imprisonment of political activists, leading to retaliatory measures from Riyadh, including the expulsion of Canada’s ambassador.
The fallout from the Khashoggi murder further complicated the diplomatic landscape, with Canada imposing sanctions on 17 Saudi nationals in response to the brutal incident. Axworthy and other critics question whether Carney’s focus on economic engagement comes at the cost of ignoring pressing human rights violations.
A Balancing Act on Human Rights
While Carney insists that human rights remain a priority, he has faced scrutiny regarding the specifics of his discussions with foreign leaders about such issues. When queried about whether he addressed human rights concerns with the Saudi leadership, Carney asserted that the details of his conversations would remain confidential. Critics like Axworthy wonder if this means topics like women’s rights and the treatment of dissenters are being sidelined in the pursuit of economic gain.
In highlighting a recent interaction with Turkish President Recep Tayyip Erdogan, Carney maintained that engaging with leaders is crucial for achieving results. However, inconsistencies in the timeline of previous communications between Canadian and Turkish officials raise questions about the extent of this engagement.
Why it Matters
Carney’s diplomatic overtures to Saudi Arabia represent a pivotal moment for Canadian foreign policy, reflecting a willingness to engage economically with countries previously viewed through a critical human rights lens. This shift could redefine Canada’s international standing, potentially opening new markets and investment opportunities. However, it also poses ethical dilemmas about the balance between economic interests and human rights advocacy. As the government navigates these complex waters, the true impact of this policy shift will become increasingly apparent, testing the limits of Canada’s commitment to its values on the global stage.
