Digital Financial Inclusion, Capital Mismatch and High-Quality Development of the Real Economy

Abstract

Based on the analysis of the mechanism of digital inclusive finance affecting the high-quality development of the real economy, this study empirically examines the direct effect and spatial spillover effect of digital inclusive finance on the quality of real economic development using the spatial Durbin model with the provincial data from 2011-2022 and examines the mediating effect of capital mismatch. The study finds that: digital inclusive finance has a positive driving effect on the quality of real economic development, with positive total and direct effects, but negative spatial spillover effects; capital mismatch is an important mechanism for digital inclusive finance to promote the high-quality development of the real economy. Therefore, it is recommended that the government create a digital inclusive financial ecosystem, deepen financial market reform, and promote the high-quality development of the regional real economy.