India, Canada can build stronger financial partnerships on economic complementarities: FM Sitharaman

Toronto/New Delhi , Aug 28 (AHN) Union Finance Minister Nirmala Sitharaman on Friday said India and Canada have an opportunity to deepen financial-sector cooperation and build long-term investment partnerships, as she highlighted the complementarity between the two economies.

Addressing a high-level India-Canada Business Roundtable in Toronto in the presence of Canadian Finance and National Revenue Minister François-Philippe Champagne, FM Sitharaman said India brings scale, growth and opportunities, while Canada offers long-term capital, institutional depth and expertise.

"FM Sitharaman highlighted the fresh momentum in India–Canada economic engagement and called for translating it into deeper financial-sector cooperation and long-term investment partnerships," the Ministry of Finance said.

The Finance Minister highlighted the fresh momentum in India-Canada economic engagement and called for translating it into stronger financial cooperation and greater investment partnerships between the two countries.

FM Sitharaman outlined India's reform-led transformation over the past decade, saying measures including the Asset Quality Review, Insolvency and Bankruptcy Code, the 4R approach and EASE reforms have strengthened the country's banking system.

"India and Canada are now exploring how digital technologies can further strengthen our financial cooperation, including easier payments, cross-border remittances and greater digital payment choices for citizens," FM Sitharaman said.

"A strong foundation for a deeper and more people-centric India-Canada partnership," the finance minister added.

FM Sitharaman noted that the gross non-performing assets ratio of Scheduled Commercial Banks declined from 11.18 per cent in March 2018 to 2.31 per cent in March 2025, its lowest level in two decades.

The Finance Minister also highlighted the transformation of India's financial ecosystem, including the deepening of capital markets, expansion of the insurance sector, fintech innovation and the growth of Digital Public Infrastructure such as JAM, UPI, Account Aggregator and India Stack.

FM Sitharaman invited Canadian financial institutions to explore opportunities in GIFT IFSC, India's gateway for cross-border financial activities. She said opportunities are also available across banking, fund management, reinsurance, sustainable finance, Global Capability Centres, and aircraft and ship leasing.

"Our discussions centred around three broad categories. The first one is macroeconomic developments, which we have to assess for ourselves and domestic policy priorities for both countries, each for its own. So India has demonstrated remarkable macroeconomic resilience," FM Sitharaman noted.

"We also recognised the complementarities between the two economies, India and Canada, and the considerable scope to deepen investment and economic cooperation," the minister noted.