Canadians voted in Prime Minister Mark Carney’s Liberals. The win was a historic turnaround. It also signaled a limit to Canadian tolerance for divisive politics. Conservative Pierre Poilievre had tapped frustration over rising prices, but U.S. President Donald Trump’s threats to Canadian sovereignty – even on election day he referenced “the cherished 51st state” – overtook the race, which many here called the most important election of their lifetimes. Ultimately Canadians placed their trust in a former central banker over a career politician to lead the country through this geopolitical moment. – Staff

The Iberian Peninsula was hit by a major power outage. It brought much of Spain and Portugal to a standstill Monday, halting trains, cutting phone service, and shutting down traffic lights and ATMs, affecting millions of people. Spain’s Prime Minister Pedro Sánchez said the cause was still being determined. Spanish power distributor Red Eléctrica was close to having power fully restored on Tuesday. The Portuguese National Cybersecurity Center said there was no sign of a cyberattack. – The Associated Press

The immigration focus shifted to sanctuary cities. President Trump signed executive orders on immigration Monday, including one directing top officials to identify cities and states failing to sufficiently comply with federal immigration laws, the White House said. Mr. Trump has criticized cities and states seen as limiting cooperation with federal immigration enforcement. Last week, a federal judge blocked the administration from withholding federal funding from more than a dozen of these “sanctuary” jurisdictions. – Reuters

The U.S. campaign against Houthi rebels in Yemen continues. An airstrike reportedly hit a prison for African migrants Monday, killing dozens and likely increasing scrutiny of the campaign. Known as “Operation Rough Rider” and launched March 15, it was also the subject of recent leaks on the messaging app Signal. More than 800 U.S. strikes in six weeks have destroyed “multiple” command centers and killed “hundreds” of Houthi fighters, decreasing the group’s ballistic missile launches against ships by some 70%, U.S. military officials say. Rebels have reportedly shot down seven U.S. Reaper drones. – Staff

China and the Philippines escalated competing claims in the South China Sea. Contention over a flashpoint rose as the U.S. and Philippine militaries underwent exercises nearby to underscore their mutual defense alliance. Chinese Coast Guard personnel landed on tiny but strategically located Sandy Cay and planted a Chinese flag to “exercise sovereign jurisdiction,” Chinese media reported last week. After they left, Navy and Coast Guard members from the Philippines landed Sunday and raised their national flag. Both countries have military outposts nearby. – Staff 

Has the simplicity movement come to electric vehicles? The automotive press is abuzz over the full unveiling late last week of the Slate Truck from Slate Auto, a Michigan-based EV startup backed by Jeff Bezos. The pickup, shorter than a non-EV Ford Maverick but with a longer bed, comes in one color (guess). It has bare-bones features such as crank windows. No touchscreen. And it’s configurable; a kit turns it into a kind of small SUV. Range: 150 to 240 miles depending on the battery. Different for its category is its base price: $20,000, after federal incentives. That stands to broaden the market. – Staff

President Donald Trump’s second term has gotten off to a blistering start. Turmoil over tariffs has upended global markets. A push to deport unauthorized immigrants is testing the legal boundaries of presidential authority. Federal agencies have been shuttered or downsized. Efforts to rein in “woke” culture have roiled academia. A main lesson Mr. Trump seems to have learned from his first term is to be more aggressive in pursuit of his goals.

Last week’s deadly strikes on Kyiv were indicative of a shift in Russian strategy: to try to overwhelm Ukrainian air defenses as U.S. materiel support ebbs and the U.S. and Russia negotiate a blueprint for peace. “The Russians have changed tactics since the so-called peace talks began,” says an officer of Ukraine’s air defense forces. “They gather as much firepower as they can, and then they target one area with all they have. We cannot intercept such a huge number of missiles and drones focused on one spot.” But Ukrainians are holding on.

Los Angeles County supervisors are expected to approve the largest sex-abuse settlement in U.S. history today, compensating nearly 7,000 plaintiffs abused in juvenile facilities over decades. The $4 billion settlement stands out not just for its sum, but for the institution it holds accountable: government. “On behalf of the County, I apologize wholeheartedly to everyone who was harmed by these reprehensible acts,” said Chief Executive Officer Fesia Davenport. That acknowledgment is meaningful, say experts, and can open a path toward healing.

The United States and Iran have spent the better part of a decade clashing over Tehran’s nuclear program. Iran’s willingness to talk – even if indirectly, as in Oman this weekend – signals a joint readiness for diplomacy rather than war. In Iran, that readiness is driven by tough sanctions as well as a perception of U.S. President Donald Trump as a dealmaker. There is a feeling that “This man can deliver,” says Nasser Hadian, a retired political science professor at the University of Tehran. “He is not a man of details, but he is in a hurry.”

India is threatening to disrupt Pakistan’s water supplies in retaliation for the deaths of 26 Indian tourists in disputed Kashmir. Pakistan, which denies involvement in the attack, said any restrictions on its water supply would be considered “an act of war.” India’s threat involves a 1960 water treaty that has been held up as an example of cross-border cooperation. It has survived diplomatic tensions, amassment of troops on the border, and three wars between the two nuclear-armed neighbors. Former Pakistani Foreign Minister Khurram Dastgir Khan calls it “the only remaining guardrail in the bilateral relationship.”

In our progress roundup, growers rejuvenate cacao trees, Fiji strengthens democracy, and a California prison program aims to interrupt cycles of abuse.

Many nations have seen mass protests against corruption, a change of government, and then ... very little lasting transformation. Not so in Sri Lanka. Since 2022, when protests in the island nation ousted a corrupt ruling clique, public demands for integrity in government have led to the election of a reformist president – and much more.

Last week, the International Monetary Fund gave high approval to the reforms in Sri Lanka by releasing $334 million in aid, just one part of a nearly $3 billion package negotiated in 2023. The IMF move didn’t just reward Sri Lanka for reaching economic and fiscal benchmarks. It also affirmed progress toward norms of democratic accountability and transparency.

Since 2022, citizen activists have pushed to include such requirements in IMF economic bailout packages. As a result of this pressure from civil society, Sri Lanka is the first country in Asia for which the IMF has required governance reforms as an explicit condition of debt restructuring. In early April, the country met one more requirement by passing a law allowing the government to seize property linked to a crime, a key tactic in deterring corruption. 

The new president, Anura Kumara Dissanayake, or AKD, as he is called, has had to work hard to win the trust of people disenchanted with government. He ran on the promise of a corruption-free “clean Sri Lanka,” a country where citizens could live “a fulfilling ... honorable ... dignified life.”

However, while hailing Sri Lanka’s “macroeconomic turnaround [as] remarkable,” even IMF officials acknowledge that “Many households are yet to feel the impact.” Mr. Dissanayake agrees. “We cannot allow the lives of our citizens to stagnate until economic stability is fully achieved,” he said.

For now, AKD is well positioned to continue advancing good governance and systemic change: A February poll put satisfaction with government performance at 62%, a quantum leap from the 5% rating for his predecessor.

His calls to uproot political opacity and patterns of patronage resonated widely, especially with youth. (Feeling their futures had been squandered by previous regimes, young people led many of the 2022 protests.) His administration has already reduced multiple ministerial perks and plans more cuts. With a listening attitude, it permitted lengthy parliamentary debate on the recent national budget, paying heed to opponents’ concerns.

The 23 million people of Sri Lanka are not so much following their president as leading him. They are acting on their faith in democratic transformation. The IMF could not help but listen.