Canada and Saudi Arabia have agreed to restore full diplomatic ties and appoint new ambassadors, ending a five-year diplomatic dispute that damaged relations and trade.

The decision was announced on Wednesday by both countries, following discussions between Canadian Prime Minister Justin Trudeau and Saudi Crown Prince Mohammed bin Salman on the sidelines of the Asia-Pacific Economic Cooperation (APEC) summit in November last year.

The dispute began in 2018, when Canada called for the release of several Saudi women's rights activists who had been arrested by the Saudi government. Saudi Arabia responded by expelling Canada's ambassador, recalling its own ambassador from Canada, and imposing a number of economic sanctions on Canadian goods and services.

The dispute had a significant impact on relations between the two countries. Trade between Canada and Saudi Arabia fell by more than $2 billion in the year following the dispute, and there were concerns that it could damage Canada's reputation in the Middle East.

The decision to restore diplomatic ties is a positive development for both countries. It will allow them to resume trade and cooperation on a number of issues, including security and counterterrorism. It will also send a signal to the world that Canada and Saudi Arabia are committed to working together to address common challenges.

The restoration of diplomatic ties is a welcome development, but it remains to be seen whether it will lead to a lasting improvement in relations between Canada and Saudi Arabia. The two countries have a long history of disagreements, and it is possible that the dispute could flare up again in the future. However, the decision to restore ties is a positive step, and it is hoped that it will lead to a more constructive relationship between the two countries.

Video Credit: WION

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