India and Canada signaled a reset of relations on Tuesday, agreeing to reestablish high commissions in each other’s capitals, after nearly two years of strained ties following Ottawa’s accusations that New Delhi was allegedly involved in the killing of a Sikh separatist on its soil.

The announcement was made after Indian Prime Minister Narendra Modi and his Canadian counterpart, Mark Carney, met Tuesday on the sidelines of the Group of 7 summit in Kananaskis, Alberta.

India has a "clear intent" to target members of a Sikh separatist movement in North America, a Canadian intelligence report said Wednesday after leaders of the two nations agreed to turn the page on a bitter spat over an assassination.