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The integration of technology and finance and corporate innovation boundary

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  • Huang, Jian
  • Guo, Cheng
  • Yan, Siyu

Abstract

This study investigates how integrated technology-finance initiatives influence corporate innovation, focusing on China's Pilot Policy Promoting the Integration of Technology and Finance (PPPITF) from 2010 to 2022. Analyzing over 19,000 firm-year observations, the research finds that PPPITF significantly boosts innovation productivity in pilot regions. Mediation analysis reveals that the policy mitigates financing constraints and accelerates digital transformation, fostering synergies that enhance organizational innovation capabilities. Through causal relationships validated by rigorous testing, the study highlights how integrated policy frameworks can overcome barriers to financial accessibility and technological development, offering valuable insights for policymakers aiming to stimulate innovation in emerging markets.

Suggested Citation

  • Huang, Jian & Guo, Cheng & Yan, Siyu, 2025. "The integration of technology and finance and corporate innovation boundary," Finance Research Letters, Elsevier, vol. 78(C).
    • Handle: RePEc:eee:finlet:v:78:y:2025:i:c:s1544612325003988
    DOI: 10.1016/j.frl.2025.107135
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    Keywords

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    JEL classification:

    • G18 - Financial Economics - - General Financial Markets - - - Government Policy and Regulation
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance

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