Carney’s Leadership Drives Rise in Canada’s Democracy Index

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Key Takeaways

  • Canada’s Democracy Index score fell from a high of 9.24 in 2020 to a low of 8.69 in 2024, dropping from 5th to 14th place globally.
  • In 2025 the score rebounded to 9.08, moving Canada up to 9th place—a gain of five positions and the fifth‑largest improvement among the 167 countries surveyed.
  • The primary drivers of the 2025 rebound were the election of Mark Carney’s Liberal government and the polarising effect of U.S. President Donald Trump’s antagonistic rhetoric toward Canada and Europe.
  • Voter turnout in the April 2025 federal election reached 69 %, the highest since the 1993 referendum on Quebec sovereignty, indicating renewed civic engagement.
  • Improvements were recorded in three of the five index sub‑categories: functioning of government, political culture, and civil liberties; civil liberties rose from 8.82 to 9.12 (still below the 9.41 recorded in 2020).
  • Despite the gain, Canada remains short of its 2020 peak, suggesting that while democratic health is recovering, structural challenges persist.

Overview of Canada’s Democratic Trajectory (2006‑2025)
The Economist’s Democracy Index evaluates nations across five dimensions—electoral process and pluralism, functioning of government, political participation, political culture, and civil liberties—each scored out of 10. Canada’s historic performance placed it among the world’s leading democracies, consistently ranking in the top ten until 2020, when it stood at 5th with a score of 9.24. The index’s longitudinal view, stretching back to 2006, shows a gradual erosion of democratic quality after 2020, prompting concern among scholars and policymakers about the resilience of Canadian institutions.


The Decline: 2020‑2024
Between 2020 and 2024 Canada’s democratic score deteriorated steadily. After holding the 5th position in 2020, the country slipped seven spots to 12th in 2021, where it remained in 2022. A further decline to 13th occurred in 2023, followed by a drop to 14th in 2024. The Economist attributed this downturn to rising political polarization, weakened governmental effectiveness, and declining public trust in institutions. These factors lowered scores especially in the “functioning of government” and “political culture” components, dragging the overall index down to 8.69 by 2024—its lowest point in the series.


The 2025 Rebound: Score and Ranking Shift
In the 2025 edition of the Democracy Index, Canada posted a noticeable recovery. Its overall score rose by 0.39 points, from 8.69 in 2024 to 9.08 in 2025. This improvement lifted Canada from 14th to 9th place globally, marking the fifth‑largest upward movement among the 167 nations evaluated. While the gain is encouraging, the score still falls short of the 9.24 recorded in 2020, indicating that the country has not yet fully reclaimed its prior democratic standing.


Catalysts Behind the Improvement
The report identifies two major forces behind Canada’s 2025 uptick. First, the election of Mark Carney’s Liberal Party in April 2025 restored confidence in governmental competence and policy direction. Carney, a former central bank governor, campaigned on economic stability and competent stewardship, resonating with voters concerned about fiscal management. Second, the confrontational stance of U.S. President Donald Trump—particularly his critical comments toward Canada and his broader “America‑first” posture—had an unintended unifying effect. Faced with external pressure, Canadians rallied around shared interests such as mutual defence, trade sovereignty, and democratic values, thereby strengthening political cohesion and civic participation.


Electoral Engagement: A Sign of Renewed Vitality
One concrete manifestation of this renewed cohesion was voter turnout in the April 2025 federal election, which reached 69 %. This figure represents the highest participation rate since the 1993 referendum on Quebec sovereignty, a period noted for intense national debate. High turnout suggests that Canadians were motivated not only by domestic policy choices but also by a sense of defending national interests against perceived external threats. Such robust participation is a key component of the “political participation” dimension of the Democracy Index and contributed to the overall score improvement.


Sub‑Category Gains: Where Canada Improved
Although the 2025 report did not publish a full breakdown of all five sub‑categories for every country, it did disclose that Canada made progress in three areas: functioning of government, political culture, and civil liberties. The functioning of government score benefited from perceived improvements in policy implementation and administrative effectiveness following Carney’s ascent. Political culture rose as partisan animosity appeared to soften in the face of external challenges, fostering a more consensus‑oriented atmosphere. Most notably, the civil liberties sub‑pillar—reported explicitly—rose from 8.82 in 2024 to 9.12 in 2025, reflecting gains in freedom of expression, assembly, and rights protections, though it remains below the 9.41 achieved in 2020.


Civil Liberties: Progress Still Short of Peak
The civil liberties dimension is often viewed as a bellwether for democratic health. Canada’s increase to 9.12 indicates a meaningful rebound from the 2024 trough, yet the gap to its 2020 high of 9.41 suggests that certain liberties—perhaps related to surveillance, privacy, or Indigenous rights—have not fully recovered. Continued vigilance is required to ensure that gains in this area are not reversed and that Canada can eventually surpass its earlier benchmark.


Implications for Canada’s Democratic Future
The 2025 Democracy Index results present a mixed but hopeful picture. The rebound demonstrates that Canadian democracy possesses resilience; external pressures can, paradoxically, stimulate internal solidarity and higher civic engagement. However, the fact that the overall score remains below its 2020 peak warns against complacency. Structural issues such as partisan polarization, regional disparities, and challenges to Indigenous governance still linger beneath the surface. Policymakers should leverage the current momentum—high voter turnout, renewed trust in leadership, and a shared sense of national purpose—to institute reforms that strengthen governmental effectiveness, protect civil liberties, and foster inclusive political culture. Only then can Canada not only regain but potentially exceed its former standing among the world’s most democratic nations.

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