Financial Supervision And Regional Economic Development Under The Background Of Digitalizatio

The emergence of digital finance has brought unprecedented changes and opportunities to the financial industry,while also posing new challenges to regulation.Discussions on the development strategy and regulatory governance of digital fintech have become a hot topic in the international community at present.In the context of Internet finance,with the continuous development of digital technology and its application in the financial sector,various digital financial service models are being innovated,and digital finance is continuing to demonstrate its value in achieving regional economic development through the mining and utilisation of the value of data and financial information.However,digital fintech innovations have amplified the endogenous risks of technology and the inherent vulnerability of finance,causing risks to spread rapidly around the world,impacting global financial markets and macroeconomic stability,while also posing new challenges and dilemmas for domestic regulation in each country.The development of digital finance must be premised on economic stability and the resolution of risks to promote the healthy development of the internet finance industry.Various countries and international organisations have introduced digital finance-related policies and legal frameworks,and the concept of digital finance regulation has taken shape in various countries,with fintech-related laws,rules and standards gradually being established.As an important policy tool for governments to influence microeconomic agents,financial regulation has an important impact on regional economic development in the new era.Research on digital financial regulation and economic stability and long-term development has become an important topic of concern for the financial industry,academia and government departments.However,as digital financial regulation has been proposed for a relatively short period of time,the research on digital financial regulation on regional economic development is still in a blank state and specific research needs to be strengthened.Therefore,this paper takes this as the research theme,based on the definition of relevant concepts,and by collating the existing literature and combining the current situation of digital financial regulation in China,it summarises its characteristics and advantages and sorts out the theoretical mechanism of its influence on regional economic development.After that,this paper takes the panel data of all provinces in China from 2011 to 2021 as samples,establishes economic stability indicators through principal component analysis and entropy weighting method,and explores the impact of digital financial regulation on regional economic growth and the inner mechanism based on double difference model and mediating variable model.The empirical study finds that: firstly,digital financial regulation significantly enhances regional economic growth by improving regional economic stability;secondly,digital financial regulation increases regional enterprise R&D investment,which also provides a path for digital financial regulation to influence regional economic growth;finally,this paper finds that digital financial regulation has a long-term sustainable impact on economic growth.Based on the above findings,the possible contributions of this paper are: first,this paper examines the relationship between digital financial regulation and economic development based on the perspective of digital financial risk management,which is an important addition to the existing literature.While discussing the various types of convenience and benefits brought by digital finance,this paper pays more attention to the economic performance that may be brought by effective digital financial industry governance.Secondly,based on the analysis of the macroeconomic impact of digital financial regulation,this paper explores in greater depth the long-term impact of digital financial regulation on economic development,which is important for China to achieve long-term sustainable economic development.Third,this paper makes certain policy effect tests on the effectiveness of digital financial regulation based on the national policy level,which also provides data support and policy suggestions for the subsequent financial industry related policies.