Research on the Influence of the Development of Digital Finance on Regional Innovation Performance

Abstract

The improvement of regional innovation performance plays an important role in promoting high-quality economic development, while digital finance digitally reforms traditional finance and empowers regional innovation ability from the financial field. Based on the panel data of 31 provinces (excluding Hong Kong, Macao and Taiwan) from 2011 to 2020, this paper studies the impact of the development of digital finance on regional innovation performance by using random effect model. The results show that the development of digital finance will stimulate regional innovation, and there is a positive correlation between them, and this result still holds after the robustness test and endogenous test. Robustness analysis shows that the phenomenon of digital finance promoting regional innovation performance is not significant in the eastern region, but significant in the central and western regions. Finally, on the basis of the research conclusion, this paper puts forward some countermeasures and suggestions to establish regional coordinated innovation mechanism, promote the construction of digital infrastructure and strengthen the risk management of digital finance. This paper enriches the relevant research on the influence of digital finance development on regional innovation performance, and provides theoretical basis and policy reference for digital finance to promote the improvement of regional innovation level.