During the after-market session, Flywire Corporation (NASDAQ: FLYW) had a notable increase in its stock price, rising by 20.77% to $27.50 on Tuesday. But during regular trading hours, the stock held steady, closing at $22.77 after a little 0.44% decrease. This spike in after-hours trading came after Flywire made a significant strategic decision.
The largest public sector bank in India, State Bank of India (SBI), and Flywire (FLYW) established a cooperation. The goal of this partnership is to enable easy online payments in Indian Rupees to higher education institutions throughout the globe for fees associated with foreign study.
This integration offers students and families a streamlined digital experience while adhering to the guidelines of the Liberalized Remittance Scheme (LRS), which simplifies overseas transactions and investments for Indian residents.
Through direct integration into SBI’s banking platform, Flywire empowers Indian students with a fully digital payment experience within the SBI net banking platform, allowing them to complete transactions, ranging from application fees to tuition payments, in just three simple steps and in their local currency.
This process also enables students to track their payments until they reach their intended universities. On the receiving end, educational institutions leveraging Flywire benefit from timely payments in local currency, alongside enhanced transparency into transaction histories, thereby facilitating reconciliation processes and operational efficiency.
The move comes at a time when Indian students are increasingly becoming a driving force in international education, with a surge in the number of students heading to countries like the United States, the United Kingdom, Australia, and Canada.
Reports indicate a substantial increase in Indian students studying abroad, with projections estimating up to two million Indian students studying overseas by 2025, with associated global spending potentially reaching $70 billion USD by the same year. Despite this upward trend, Indian students have historically encountered cumbersome, paper-based payment processes, leading to delays in tuition payments.
Recognizing this challenge, Flywire’s recent survey revealed that 94% of Indian students believe that simplified payment methods would enhance their educational experience, highlighting the significance of streamlined payment solutions in meeting the evolving needs of the student community