Digital inclusive finance promotes rural industrial revitalization: evidence from the agricultural product processing industry

Digital inclusive finance provides new opportunities to ease the financial supply–demand imbalance in the agricultural product processing industry and plays an important role in promoting rural industrial revitalization. Based on panel data from 30 provinces in China (excluding Xizang, Hong Kong, Macao, and Taiwan) from 2011 to 2023, this study examines the impact of digital inclusive finance on different types of agricultural product processing industries. A mediation model is employed to reveal its mechanisms through two paths: technological innovation and marketization. The results show that: 1) Digital inclusive finance significantly promotes the agricultural product processing industry, and this finding remains robust after multiple tests. 2) Its positive effects are evident in central, western, and main grain-producing regions, but not in eastern, northeastern, or non-grain-producing areas. 3) It significantly boosts the food and wood processing industries, while its impacts on the textile, rubber, and paper product processing industries are insignificant. 4) It advances the agricultural product processing industry by enhancing technological innovation and marketization. Accordingly, this study recommends strengthening the digital inclusive financial system to encourage enterprises to engage in technological innovation and improve marketization. Policymakers are also advised to develop supportive policies tailored to regional and industrial differences to promote the high-quality development of China’s agricultural product processing industry and support rural industrial revitalization.