The Impact of Digital Inclusive Finance on Inclusive Green Growth : Evidence from 283 Cities in China

Promoting inclusive green growth (IGG) is crucial for global sustainable recovery. This study utilizes data from 283 cities in China spanning the years 2012 to 2023 to investigate the impact of digital inclusive finance (DIF) on IGG. The findings reveal that: (1) DIF significantly enhances IGG, with a more pronounced effect on "inclusiveness" than on "greenness". Additionally, the coverage breadth and usage depth of DIF play a key role in driving IGG. (2) The relationship between DIF and IGG is nonlinear; once both DIF and digital infrastructure exceed double threshold levels, the effectiveness of DIF continues to increase. (3) The promotional effect is more pronounced in eastern cities, specifically those located east of the Hu Huanyong Line, as well as in non-poverty areas, digital economy pilot zones, key environmental protection cities, and low-carbon pilot cities. (4) Green technological innovation, advanced industrial structures, and rural entrepreneurship are the primary channels of influence. The synergy between DIF and green financial tools, along with government environmental attention, can collectively advance IGG, with the synergistic effect of the former being stronger than that of the latter. This study enhances the understanding of the drivers of IGG and the economic consequences of DIF, while also offering practical implications for policymaking and implementation.