State Bank of India (SBI), the country’s largest bank, announced that it is enabling the digital disbursement of education loans in local currency (Indian Rupees) directly to higher education institutions all over the world by strengthening its partnership with global payments and software company, Flywire (Nasdaq: FLYW).

The initiative is part of the bank’s commitment to broaden the scope of education loan disbursements with enhanced customer experience. State Bank of India and Flywire’s internet banking integration have been providing Indian students with a fully digital experience for their tuition fee payments. Now, as an extended offering, students can also select SBI’s overseas education loan option – ‘Global Ed-Vantage’ – as the source of funds, and remit fees through Bank’s Processing Cells/Branches disbursing education loans. Institutions accepting payments through Flywire benefit from receiving payments on time as well as full transparency into the transaction history, which eases their reconciliation processes and drives operational efficiencies.

Further, the integration also helps Indian residents comply with Liberalized Remittance Scheme (LRS) requirements. State Bank of India, the market leader in education loans, processes around $890 million in annual loan volume for international students. With the introduction of this digital offering, SBI now creates a seamless and digital payment experience for its resident customers. Introducing the facility, Sri Vinay M Tonse, Managing Director (RB&O), State Bank of India, said, “At State Bank of India, we are committed to empowering Indian students in pursuing their educational aspirations globally. Our partnership with Flywire is a testament to this commitment, as it enables a fully digital and transparent disbursement of overseas education loans in Indian Rupees, directly to institutions worldwide.

This initiative underscores our dedication to driving growth in the education loan sector while delivering a seamless, efficient, and secure experience for our customers.” Mohit Kansal, SVP of Global Payments and Payer Services, Flywire said, “We are thrilled to expand our successful partnership with SBI and together provide Indian students an enhanced payment experience for disbursing loans internationally. As one of the most popular choices for students, SBI is now offering their borrowers an easier way to pay their educational institutions in Indian rupees, and will benefit from full transparency and traceability of overseas payments. We look forward to working together and solving this critical market need.” State Bank of India remains committed to providing best-in-class banking solutions that cater to the unique needs of its customers, and this partnership with Flywire exemplifies that commitment.