Prime Minister Stephen Harper says the death of Kim Jong Il marks a "critical juncture" for North Korea, whose leaders have an opportunity to move away from the destructive past.
A heart attack led to Kim Jong Il's sudden death on the weekend. He was 69 years old.
While Kim Jong Il had led his country for 17 years, Harper said the death hopefully marks the end of a painful chapter in North Korean history, and a chance to start anew.
"We will always start with the view that it's an opportunity for better things. It's hard to imagine, at least from the perspective of the North Korean people, that it could be much worse," Harper told Â鶹´«Ã½ Anchor and Senior Editor Lisa LaFlamme.
However, Harper noted that the new leadership represents and "unknown entity" and time will tell if North Korea can begin to integrate into the global community.
"It will be an opportunity for North Korea to move ahead to start to work with the rest of the world," Harper said.
"We'll continue to work with our allies to do what we can. Obviously, our ability to affect change within North Korea itself is extremely limited. This is a country that is entirely sealed off from the rest of the world, even from their brothers in the south."
In an earlier statement, Harper said: "At this critical juncture, we urge North Korea to close this sad chapter in its history and to work once more towards promoting the well-being of its people and stability on the Korean peninsula."
Harper's words were echoed by Foreign Affairs Minister John Baird who said "it is past due for North Korea to change its ways and for those who lead it to meet the real needs of the North Korean people."
Canada was among a number of Western nations urging North Korea to chart a new path with Kim Jong Il's passing.
In Australia, officials also expressed concerns about the instability that could result in the near future.
"The death of Kim Jong Il is a major development in North Korea and potentially for the wider Asian region," said Foreign Affairs Minister Kevin Rudd and Acting Prime Minister Wayne Swan in a joint statement.
Australia said the North Korean military arsenal "present a real and credible threat to the region and, potentially, to Australia."
Furthermore, the Australian government said "it is essential with Kim Jong Il's passing that stability on the Korean peninsula is maintained. It is vital that all those with influence on Pyongyang reinforce the need for calm and restraint."
British Foreign Secretary William Hague said the death of Kim Jong Il could mark "a turning point" for North Korea.
"We hope that their new leadership will recognize that engagement with the international community offers the best prospect of improving the lives of ordinary North Korean people," Hague said.
Australia said Kim Jong Il's death could "represent an opportunity" for North Korea.
"The Australian Government will continue to urge Pyongyang to act in the interests of its own people and to engage constructively with the international community."
Germany also cited the possibilities that lie ahead for North Korea, should its new leadership choose to make the right choices.
"It is, of course, an opportunity that things there will change," said spokesperson Dirk Augustin.
"We have clear demands to North Korea: It must abandon its nuclear program; the catastrophic situation of the people must improve; and political and economic reforms must be implemented."
Swedish Foreign Minister Carl Bildt summed up the dilemma facing North Korea on Twitter.
"The death of a dictator is always a period of uncertainty for a dictatorship," Bildt tweeted. "And North Korea is the hardest dictatorship in our time."
In Tokyo, Chief Cabinet Secretary Osamu Fujimura told reporters that it is Japan's hope that Kim Jong Il's death "not give adverse impact on the peace and stability of the Korean Peninsula."
In Beijing, Foreign Minister Yang Jiechi met with a North Korean diplomat and conveyed a message that the Chinese government was saddened to learn of the passing of a "close friend," according to an online report from the Xinhua news agency.
Russian Foreign Minister Sergei Lavrov said his government hoped "that this loss that the Korean people have suffered will not have a negative impact on the development of our relations."
With files from The Associated Press
