Economic Relations
More than 600 Canadian companies and organizations have established a presence in India. Hundreds more are actively pursuing business opportunities there. The bilateral commercial relationships between the two countries stand at US$ 100 billion, which includes US$ 70 billion of Canadian portfolio investment into India. In 2020, Canadian direct investment in India amounted to US$ 2 billion. Canadian portfolio investment in India is estimated to have grown more than 50% over the past five years, reaching about US$ 27 billion.
As of March 2023, Canada was ranked as the 18th largest foreign investor in India, having made cumulative investments amounting to US$ 3.30 million since April 2000. Canadian investments constitute approximately 0.5% of the total foreign direct investment (FDI) inflow into India.
In FY22 Canada invested nearly US$ 76 million to support 52 international assistance projects in India. Canada’s funding primarily focused on sustainable economic development, the treatment of infectious diseases, nutrition, and renewable energy projects in vulnerable communities.
As of March 2021, Canada invested nearly US$ 24 million in 2018-19 to support 75 projects in India via Grand Challenges Canada. The main programming sector of the Partnerships for Development Innovation Branch is maternal, newborn and child health, which includes support to early childhood development.
IDRC continues to have an active presence in India with projects focusing on the links between climate change and migration; the reduction of violence against vulnerable populations; women’s rights, security and access to justice; economic opportunities for Indian workers, especially women; and improving food security. Since 1974, IDRC has programmed 638 activities worth US$ 152.2 million in India.