Canada is still conducting its security review of 5G telecommunications technology, and a decision on whether to restrict Huawei Technologies Co. is still at least months away, people familiar with the plans say.

Canada’s security agencies continue to study the issue, including what potential security vulnerabilities exist, the people said, speaking on condition of anonymity because they weren’t authorized to discuss the issue publicly. That review could lead to a particular company, such as Huawei, being restricted or banned. They’re divided on how soon a decision will come. One said the decision is expected before the Canadian election in October,...