Journal Article


Does digital finance foster industrial and green transformation in China?

Abstract

This paper study the role of digital finance in driving industrial and green transformation by considering reginal heterogeneity. The result aim to provide insights for policymakers and practitioners to develop targeted strategies for promoting sustainable industrial development through the leveraging of digital finance and technological innovation. This paper examines how digital finance affects the industrial and green transformation in China, considering its heterogeneity across various aspects and dimensions. It uses panel data from 31 provinces and municipalities in China during 2011-2020 to analyse the relationship between digital finance and industrial transformation, with technological innovation as a mediating factor. The findings are robust and tested by using various robust and endogeneity approaches. The results show that digital finance has a positive and significant impact on the advancement, efficiency, and green aspects of industrial transformation, which is mediated by technological innovation. As the levels of digital finance development and technological innovation improve, the incentive effect of digital finance strengthens. Additionally, the positive impact of digital finance on the efficiency of industrial transformation is only observed in the eastern regions, while in the central and western regions, digital finance primarily influences the advancement and green aspects of industrial transformation. This paper introduces the digital finance and ecological indicators into the analysis of industrial structure transformation, presenting a unique contribution to existing literature. To our knowledge, this is one of the first papers to include digital finance, technological innovation and green transformation of industrial structure within the same research framework.



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Authors

Zhang, Yunhui
Wang, Juanxi
Sun, Yan
Li, Shaofang

Oxford Brookes departments

Oxford Brookes Business School

Dates

Year of publication: Not yet published
Date of RADAR deposit: 2024-10-22


Creative Commons License This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License

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