The public sector in Canada faces a threefold strategic imperative: to sustainably increase its productivity and efficiency in serving citizens and the common good; to strengthen its digital sovereignty and autonomous decision-making capacity; and to integrate artificial intelligence in a responsible, secure and high-impact manner. These three objectives converge on a common lever that is still under-exploited: the interoperability of public sector data at the federal, provincial, and territorial (FPT) levels.

The CIRANO panel of 19 January 2026 on digital sovereignty, data interoperability, and AI governance in Canada’s public sector highlights a central paradox. On the one hand, there is already a real dynamic of FPT collaboration at the level of deputy ministers, chief information officers (CIOs) and heads of statistical organizations. However, this dynamic remains fragmented, politically invisible, with no guarantee of sustainability, and insufficiently structured to produce results commensurate with the stated and necessary ambitions, particularly in the context of the publication of a new national AI strategy. FPT data interoperability can no longer be approached as a technical or administrative issue; it is a strategic infrastructure for economic sovereignty, on a par with energy, transport, and telecommunications infrastructure.

In response, this report issues a call to action to the Prime Minister of Canada and his colleagues in the Council of the Federation. This call is aimed at establishing a sustainable FPT governance framework for public sector data and the responsible adoption of artificial intelligence (AI). It also proposes institutionalizing public digital infrastructure as a federative public asset for the common good. Finally, it is based on a credible and operational implementation timeline for 2026.

In an international environment marked by fierce technological competition, fragmented standards and the politicization of digital value chains, Canada’s ability to align its ambitions with its actual capabilities is becoming a key determinant of its resilience and strategic autonomy.

The report focuses on the interoperability of FPT public sector data, while recognizing the critical importance of cooperation with the private sector and the academic ecosystem, as well as with our international partners, who share the same values. The public sector can play a key role in the responsible, AI-driven digital transformation of Canadian society and the economy.

This unique leverage is based not only on its exclusive legislative and regulatory responsibilities, but also on its position in the economy, the broad scope of its services, and its enormous data resources on all aspects of Canadian reality in its rapidly changing national and global context. FPT data interoperability creates a systemic capacity that enables the Canadian public sector, in all its components, to plan, anticipate, coordinate and act coherently on a large scale. Data interoperability does more than facilitate information sharing between administrations.

Without interoperability, investments in defence, energy, infrastructure, industrial innovation, and trade diversification remain fragmented, redundant, partially ineffective, and difficult to measure. Interoperability allows these investments to be aligned around compatible, comparable, and actionable real-time data, maximizing their reach and effectiveness.

The digital transformation of the public sector, data interoperability and the responsible adoption of artificial intelligence are no longer simply administrative adjustments. They are part of the country’s strategic infrastructures, alongside energy, transport, and telecommunications networks, and now determine the overall performance of public action. They improve and measure the quality of services offered to citizens and businesses. They directly influence the public sector’s ability to exercise its decision-making sovereignty. Finally, they affect the credibility of public institutions in an increasingly complex digital environment.

These issues go beyond traditional ministerial mandates. They call for high-level political arbitration. Only such arbitration can establish common priorities between jurisdictions. It is necessary to overcome institutional silos. It is essential to accept the compromises inherent in any systemic transformation.

As such, first ministers are in the best position to drive, coordinate and ensure a coherent and sustainable federal-provincial-territorial dynamic.