Research On The Impact Of Financial Technology On Inclusive Growth

Fintech generally refers to financial institutions and Internet technology companies using cutting-edge scientific and technological means to realize investment,financing,payment and settlement and other emerging financial business models.Since the FSB put forward the concept of financial technology in 2016,financial technology has gradually become the focus of great attention all over the world because of its unique inclusive characteristics.Especially for developing countries with rapid economic growth and relatively unbalanced industrial and social structure,the birth of financial technology is of epoch-making significance.In 2007,the Asian Development Bank put forward the concept of inclusive growth.Its core content is to seek the growth mode of coordinated social and economic development and sustainable development,which requires fair and reasonable sharing of economic growth.With the increasingly complicated social and economic relations in China,the problems of income distribution and social structure differentiation have become increasingly prominent.The economic growth model deviates from the requirements of inclusive growth.Unbalanced and insufficient economic development has become the biggest obstacle to the realization of common prosperity for the Chinese people.Therefore,using financial technology to break the barriers to the flow of financial resources between regions is a key breakthrough to help China achieve inclusive growth.This paper uses a combination of literature research,qualitative research and empirical research to deeply explore the impact of financial technology on China’s inclusive growth.This paper expounds the relevant theories of "financial technology" and "inclusive growth";Secondly,it studies the mechanism of the impact of financial technology on inclusive growth,focusing on the three effect transmission paths of financial technology growth,poverty reduction and opportunity equity,so as to establish a theoretical basis for follow-up research.Thirdly,according to the connotation of inclusive growth,this paper selects indicators from the aspects of sustainable growth,opportunity equity and poverty reduction,constructs an inclusive growth index by using the HDI compilation method,and analyzes and evaluates the constructed inclusive index.Finally,the panel data model is used to analyze the impact of financial technology on inclusive growth,explore the growth effect,poverty reduction effect and opportunity equity effect of financial technology,and explore the impact of financial technology on inclusive growth;Then,cities are further grouped by region and economic resource endowment to analyze the regional heterogeneity of the role of financial technology on inclusive growth.The results show that: firstly,China’s inclusive growth is improving year by year,but the inclusive growth trend in the East,middle and West is seriously unbalanced.The average inclusive growth index of the East is much higher than that of the central and western regions,and the economic resources of the eastern cities are relatively balanced.In contrast,the economic resources of the central and western regions are excessively concentrated in the provincial capital cities.Secondly,fintech has played its digital inclusive function to promote China’s inclusive economic growth through three effects: growth,poverty reduction and equal opportunity.Finally,this paper finds that in different economic regions,the effect of financial technology on inclusive growth is heterogeneous,and the effect in economically underdeveloped areas is better than that in economically developed areas.Financial technology has a good effect of benefiting the poor and makes up for the weak financial foundation in the central and western regions.Therefore,in the context of China’s serious imbalance of economic resources,the government should appropriately increase the tilt of economic development policies to achieve inclusive growth and coordinated development in the East,middle and West.At the same time,we should enable inclusive growth with financial science and technology,especially deepen the use of financial science and technology in economically underdeveloped areas,realize financial supply side structural reform through the channel of scientific and technological progress,and promote the level of inclusive growth in economically underdeveloped areas.