Chrystia Freeland, whose abrupt resignation as finance minister last month forced Justin Trudeau's exit as prime minister, said she is running to be the next leader of the Liberal Party and prime minister of Canada.

Former Canadian finance minister Chrystia Freeland on Friday announced that she would take part in the contest to replace Prime Minister Justin Trudeau as leader of the ruling Liberal Party.

Newfoundland and Labrador Liberal MP Ken McDonald said he personally credits Freeland for reversing the decision to impose the carbon tax on home heating fuel, which mostly affected Atlantic Canadians and was widely seen as a blow to the carbon tax policy.