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Exploring the Impact of Digital Inclusive Finance on Agricultural Carbon Emissions: Evidence from the Mediation Effect of Capital Deepening

Author

Listed:
  • Hua Hong

    (School of Finance, Inner Mongolia University of Finance and Economics, Hohhot 010070, China)

  • Lili Sun

    (School of Finance, Inner Mongolia University of Finance and Economics, Hohhot 010070, China)

  • Lijuan Zhao

    (School of Management, Tianjin University of Technology, Tianjin 300384, China)

Abstract

Carbon emissions from agriculture should not be underestimated. With the aim for carbon peaking and carbon neutralization and the help of digital inclusive finance, the effective reduction in carbon emissions in agriculture and animal husbandry production is crucial to achieving China’s carbon emission reduction goals. We used the balanced panel data of 31 provinces in China from 2011 to 2021 to study this issue. We empirically tested the impact, mechanism, and heterogeneity of digital inclusive finance on agricultural carbon emissions based on the systematic measurement of agricultural carbon emissions. The results revealed that (1) the development of digital inclusive finance has a significant inhibitory effect on agricultural carbon emissions, and it is an important path to reduce agricultural carbon emissions. (2) Through the intermediary effects’ analysis, it was found that capital deepening is an important transmission mechanism for the promotion of agricultural carbon emission reduction through digital inclusive finance. (3) Further analysis using the quantile regression model reveals that the impact of digital inclusive finance on agricultural carbon emissions is significantly negative at different quantiles. (4) Through the spatial Durbin model, digital inclusive finance has a space carbon enhancement effect. Finally, we put forward suggestions to promote the development of low-carbon agriculture by paying attention to the technical effect of digital inclusive finance, strengthening the connection and cooperation between various regions and promoting the carbon emission reduction role of capital deepening.

Suggested Citation

  • Hua Hong & Lili Sun & Lijuan Zhao, 2024. "Exploring the Impact of Digital Inclusive Finance on Agricultural Carbon Emissions: Evidence from the Mediation Effect of Capital Deepening," Sustainability, MDPI, vol. 16(7), pages 1-21, April.
    • Handle: RePEc:gam:jsusta:v:16:y:2024:i:7:p:3071-:d:1371450
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    Cited by:

    1. Lu, Zeyun & Pi, Yanting & Su, Hongzhi & Li, Zhitao & Ma, Xinchun & Su, Xufeng & Ran, Qiying & Hao, Yu, 2025. "Exploring the impact of rural human capital on agricultural carbon emissions: Evidence from China," Energy Economics, Elsevier, vol. 152(C).
    2. Juan Wang & Li Liu & Xue Wang, 2025. "How Does Digital Financial Inclusion Affect Agricultural Carbon Emissions? The Case of China," Australian Economic Papers, Wiley Blackwell, vol. 64(4), pages 446-456, December.
    3. Zewen Chen & Guoda Bi & Haihong Guo, 2025. "The Effect of the Level of Digital Agriculture Development on Agricultural Carbon Emission Reduction in China: Mediating Evidence Based on Agricultural Labor Productivity and Production Technical Efficiency," Sustainability, MDPI, vol. 17(17), pages 1-27, August.
    4. Xinxin Zhou & Guanghua Cheng & Bangbang Zhang, 2025. "Does Farmland Transfer Promote Digital Agriculture?—Based on Panel Data from 30 Provinces in China," Land, MDPI, vol. 14(3), pages 1-18, February.
    5. Shiyi Feng & Yunfei Long & Rizwana Yasmeen & Hui Yang, 2025. "The Spatial Spillover Impact of Digital Finance on Agricultural Carbon Emission Intensity: Evidence from China," Sustainability, MDPI, vol. 17(19), pages 1-20, September.
    6. Degui Yu & Ying Cao & Suyan Tian & Jiahao Cai & Xinzhuo Fang, 2025. "How Do Digitalization and Scale Influence Agricultural Carbon Emission Reduction: Evidence from Jiangsu, China," Land, MDPI, vol. 14(10), pages 1-31, October.

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