SBI launches digital education loan disbursement to global institutions in Indian rupee

The biggest public sector bank in India, the State Bank of India (SBI), has announced a new project that would allow education loans to be digitally disbursed to higher education institutions across the globe in Indian rupees.

The bank claims that this action, which was taken in partnership with international payments and software provider Flywire, will revolutionize the way Indian students who are studying overseas make payments.

In order to provide students with a completely digitized and transparent tuition fee payment experience, SBI and Flywire have expanded their relationship by integrating internet banking capabilities.

Students who are enrolled in SBI's "Global Ed-Vantage" overseas education loan program can now electronically discharge funds through SBI's processing cells or branches as part of this initiative.

SBI's Managing Director (RB&O), Vinay M Tonse, emphasized the importance of the collaboration.

“At State Bank of India, we are committed to empowering Indian students in pursuing their educational aspirations globally. This initiative underscores our dedication to driving growth in the education loan sector while delivering a seamless, efficient, and secure experience for our customers,” said Tonse.

"We are excited about the partnership," said Mohit Kansal, SVP of Global Payments and Payer Services at Flywire.

“We are thrilled to expand our successful partnership with SBI, offering Indian students an enhanced and traceable way to pay their educational institutions in Indian rupees. This initiative addresses a critical market need and strengthens our shared commitment to Indian students,” added Kansal.

SBI is a global leader in the education loan industry, processing around USD 890 million in annual volumes for international students.

In addition to streamlining payment procedures, this digital solution guarantees adherence to the Liberalized Remittance Scheme (LRS) and facilitates prompt payment reconciliation for institutions.