The diplomatic standoff between India and Canada reportedly led to an 86% drop in study permits issued to Indian students in the fourth quarter of last year.
According to Reuters, Canadian Immigration Minister Marc Miller said that their relationship with India has halved their ability to process applications from India.
Tensions between the two countries rose after Canadian PM alleged involvement of Indian government agents in the murder of Sikh separatist leader Hardeep Singh Nijjar.
Canada was forced to recall several diplomats from India after that.
According to official data that have not been previously reported, due to the diplomatic standoff, the number of study permits reduced to 14,910 in the fourth quarter of last year from 108,940 in the year before.