The Impact Of Digital Inclusive Finance On Rural Residents’ Income

Through the continuous struggle of the Party and the people,China has realized the thousand-year dream of the Chinese nation,a moderately prosperous life,won the largest battle against poverty in human history,lifted nearly 100 million rural poor people out of poverty,and historically solved the problem of absolute poverty.In order to achieve the goal of common prosperity in China,how to increase the income of rural residents has become a key issue to solve the income gap between urban and rural areas.With the help of various digital technologies as the practical support,digital inclusive finance provides effective,equal,comprehensive and convenient financial products and financial services to special groups such as urban low-income groups,rural residents,and people in remote areas,as well as small and micro enterprises that cannot be reached by the traditional financial system.Therefore,this paper will study the relationship between digital inclusive finance and its digital financial services and the income of rural residents,which has important theoretical and practical significance for improving the income of rural residents and promoting common prosperity in China.Using China’s interprovincial panel data from 2011 to 2019,this paper uses the fixedeffect model to study the impact of digital financial inclusion index and sub-indicators on rural residents’ income,and uses the intermediary effect model to explore the mediation effect of e-commerce development level,regional innovation and entrepreneurship development level,and employment opportunities.The results show that the development of digital inclusive finance can significantly promote the increase of rural residents’ income.The development of digital payment,digital credit and digital insurance can significantly promote the income growth of rural residents,and the impact of digital payment and digital credit on rural residents’ income is more significant.The development level of e-commerce,the development level of regional innovation and entrepreneurship,and the growth rate of employment are respectively important transmission mechanisms for digital payment,digital credit and digital insurance to exert the effect of increasing rural residents’ income.Therefore,it is necessary to increase the penetration rate of rural digital inclusive finance,improve the construction of digital infrastructure in rural areas,accelerate the digital transformation of traditional financial institutions,improve the regulatory framework of digital inclusive finance,and improve the level of national education and financial education in rural areas,so as to promote the development of rural digital inclusive finance,and then drive rural residents to achieve high-quality income increase.