Mark Carney Sworn in as Canada’s 24th Prime Minister Amid Economic and Political Uncertainty

Mark Carney serving as Governor of the Bank of England. Photo by Bank of England via Flickr.

Mark Carney, a former banker with extensive international experience, was sworn in as Canada’s 24th prime minister on March 14; after months of economic uncertainty and political instability, Carney promises a Canada-first administration.

Former Canadian Prime Minister Justin Trudeau, who held the position for nearly 10 years, announced his intention to resign due to declining public support.

Canada has been grappling with economic problems post-COVID-19, specifically a housing affordability crisis and surges in the price of food, making the cost of living a point of emphasis in the 2025 federal election.

Even with a steep increase in the cost of living, Canada’s foreign relations policies have been catapulted into the limelight due to the actions of its southern neighbor. President Trump has repeatedly toyed with the idea of annexing Canada since his inauguration, putting pressure on the Canadian government to push back on those claims. Coupled with an erratic tariff war between the two nations, Canadian citizens began to feel a sense of patriotism, feeling a need to demonstrate their independence and anti-annex sentiments. 

Enter Mark Carney, who dominated the Liberal Party of Canada leadership election with 85.9% of the vote on March 9, subsequently being sworn in as prime minister five days later. He fell short of securing the 172 seats needed for a majority in Parliament, but with 169 seats, they are still in a decent position to pass legislation.

Canada’s new prime minister is no stranger to economics. Carney served as the Governor of the Bank of Canada and England. Notably, in his five years with the Bank of Canada, he expertly navigated the country through the 2008 financial crisis. In 2013, he was the first non-Briton to be appointed to the governor since the Bank of England’s inception in 1694.

Following his departure from global banking in 2020, Carney began to involve himself in politics, lurking in the backdrop of Trudeau’s regime as chair of Canada’s Task Force on Economic Growth. 

Carney spent a portion of his campaign expressing his contempt for Trump’s comments and tariffs, effectively reflecting Canadian citizens’ attitudes, repeatedly asking the people to “stand up” with him for Canada. 

But more importantly, Carney promises to lead Canada through their turbulent economic times, as he brings many years of experience in international banking to the table. He intends to address inflation, reduce the cost of living and fix housing affordability.

Part of what is contributing to the housing crisis is a flat-out lack of houses, as Canada has been “under-building for nearly two decades,” said Tu Nguyen, an economist at RSM Canada. Carney aims to build 500,000 homes a year, an ambitious and difficult mark, but not unachievable. 

A lot of Carney’s economic intentions have been labeled as bold, as Carney plans to spend and borrow more than Trudeau did, raising questions on how that will affect the Canadian people.

Carney has inherited a difficult position, facing internal economic challenges and external political tension. Whether his ambitious promises translate into tangible results will define the next chapter in Canadian politics.