Canadian Prime Minister Marks Historic Shift in Relations with Saudi Arabia

Liam MacKenzie, Senior Political Correspondent (Ottawa)
5 Min Read
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In a significant diplomatic manoeuvre, Prime Minister Mark Carney has embarked on a trip to Saudi Arabia aimed at fostering stronger trade and investment ties, marking a departure from the approach taken by his predecessor. Carney’s visit, the first by a Canadian prime minister in 26 years, underscores a renewed commitment to engage with the Gulf nation despite its controversial human rights record, including the infamous 2018 assassination of journalist Jamal Khashoggi.

A New Era of Engagement

During his recent visit, Carney met with Saudi Crown Prince Mohammed bin Salman, where they established the Canada-Saudi Arabia Co-ordination Council. This new initiative aims to enhance bilateral co-operation across various sectors, notably defence and trade. Carney articulated his vision of diversifying Canada’s economic partnerships, reducing dependency on the United States, and embracing a pragmatic approach to international relations.

“Engagement is not endorsement,” Carney remarked in Jeddah, emphasising that while Canada may not align with all of Saudi Arabia’s policies, there are mutual benefits to be gained from interaction. He dismissed the notion that distance and criticism would yield effective outcomes, asserting, “Lecturing countries from afar is an ineffective strategy. It’s satisfying, but it’s ineffective.”

Strategic Partnerships on the Horizon

In line with strengthening ties, Carney announced the reinstatement of a defence attaché position at the Canadian embassy in Riyadh. Additionally, he indicated plans to sign a foreign investment protection and promotion agreement with Saudi Arabia by the end of 2027. This treaty aims to establish clear legal frameworks that safeguard investors, encouraging greater capital flow between the two nations.

Highlighting the potential for economic collaboration, Carney revealed that representatives from Saudi Arabia’s sovereign wealth fund, the Pension Investment Fund, will attend the upcoming Canada Investment Summit in Toronto this September. Moreover, Finance Minister François-Philippe Champagne is set to lead a delegation of Canadian pension funds to Saudi Arabia to explore new investment opportunities, signalling a robust approach to economic engagement.

Overcoming a Diplomatic Rift

The backdrop to Carney’s visit is a fraught history between Canada and Saudi Arabia, particularly following the diplomatic fallout initiated in 2018. Relations deteriorated when Canada’s Global Affairs department publicly demanded the release of political prisoners, prompting Saudi Arabia to expel the Canadian ambassador and suspend trade ties. This rift deepened with the global outcry over Khashoggi’s brutal murder, which has since become emblematic of Saudi Arabia’s controversial stance on human rights.

Despite this tumultuous history, Carney remains resolute in his belief that constructive engagement is essential. He noted his recent conversation with Turkish President Recep Tayyip Erdogan as evidence of the tangible outcomes that can arise from dialogue, despite differing views on human rights and governance.

The Human Rights Dilemma

While Carney has expressed a commitment to human rights, his administration’s pivot towards Saudi Arabia raises questions about the balance between ethical considerations and economic interests. Critics argue that prioritising trade and investment could overshadow Canada’s moral obligations to advocate for human rights in the kingdom, which has faced scrutiny for its treatment of dissenters and political activists.

As Carney navigates these complex waters, he underscores the importance of maintaining open lines of communication. Citing his discussions with Erdogan as a productive engagement strategy, he insists that dialogue can lead to positive change, even in countries with troubling records.

Why it Matters

Carney’s visit to Saudi Arabia represents a critical juncture in Canada’s foreign policy, signalling a move towards pragmatic engagement in the face of human rights concerns. As the global landscape shifts, this approach could redefine Canada’s role on the world stage, balancing economic imperatives with ethical responsibilities. The long-term effects of this strategy will be closely monitored, as it not only impacts Canada’s economic future but also its standing as a global advocate for human rights.

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