Research on the Impact Effects and Mechanisms of the Coupling Synergy Between Sci-Tech Finance and Green Finance on Rural Revitalization

Rural revitalization constitutes a vital strategic initiative in advancing China’s socialist modernization. At the 2023 Central Economic Work Conference, the objective of building China into a financial powerhouse was formally articulated, thereby establishing higher benchmarks for financial support of rural revitalization. A critical question arising from this agenda is how to simultaneously advance agricultural technological innovation while effectively implementing green development principles. Accordingly, it is essential to investigate the role of the integrated development of sci-tech finance and green finance in promoting rural revitalization. Against this backdrop, this study employs provincial-level panel data from China spanning the period from 2011 to 2021. A two-way fixed effects model is adopted to examine the impact of the integrated development of sci-tech finance and green finance on rural revitalization. The analysis identifies three primary transmission mechanisms: financial supply, green agricultural development, and linkages between smallholder farmers and modern agriculture. Furthermore, the study explores heterogeneity across different financial environments from two dimensions: the level of digital inclusive finance development and the intensity of financial regulation. The empirical results indicate that (1) the integrated development of sci-tech finance and green finance significantly promotes rural revitalization, exhibiting a nonlinear effect whereby its catalytic impact intensifies markedly once the coupling coordination between the two surpasses a critical threshold; (2) such integration alleviates rural financing constraints, enhances agricultural green total factor productivity, and facilitates rural revitalization through the establishment of green agricultural cooperatives; and (3) the enhanced impact of this holistic progress is particularly noticeable in areas with advanced digital financial inclusion and robust financial oversight. In light of these results, this research puts forth three policy suggestions. First, institutional and policy preparations for integrating green finance and sci-tech finance should be accelerated through coordinated government policies, financial product innovation, and financial market reforms. Second, the channels through which sci-tech finance and green finance support rural revitalization should be strengthened by expanding agricultural credit, improving the coverage of rural financial institutions, and fostering specialized green agricultural cooperatives. Third, the financial ecosystem should be optimized by prioritizing investment in digital infrastructure and reinforcing financial supervision throughout the development of digital inclusive finance, particularly in rural regions.