  Let $M$ be a smooth complex projective toric variety equipped with an action
of a torus $T$, such that the complement $D$ of the open $T$--orbit in $M$ is a
simple normal crossing divisor. Let $G$ be a complex reductive affine algebraic
group. We prove that an algebraic principal $G$--bundle $E_G\to M$ admits a
$T$--equivariant structure if and only if $E_G$ admits a logarithmic connection
singular over $D$. If $E_H\to M$ is a $T$-equivariant algebraic principal
$H$--bundle, where $H$ is any complex affine algebraic group, then $E_H$ in
fact has a canonical integrable logarithmic connection singular over $D$.
