Research on the Impact of Fintech on China's Economic Growth and Tertiary Industry Development–Empirical Analysis based on Panel Data

This paper selected the annual data of 31 provinces and cities in China from 2009 to 2020, constructed the index system of Fintech development level from four dimensions of financial support for Fintech, resources support for Fintech, academic output of Fintech and output of technology market, and calculated the Fintech scores of different provinces and cities from 2009 to 2020 by using the principal component analysis method. With per capita GDP as the explained variable and Fintech development score as the explanatory variable, a regression model was constructed to test the impact of Fintech on economic development. Another regression model was constructed to test the influence of Fintech on the development of the tertiary industry by taking the annual increment of the tertiary industry as the explained variable and the Fintech development score as the explanatory variable. The results showed that there is a regional gap in the development of Fintech in China. The development level of Fintech in eastern China is significantly higher than that in central and western China, but the standard deviation of Fintech development score in eastern China is higher than that in central and western China, indicating that there is a big gap between different provinces and cities in eastern China. Fintech can significantly promote regional economic development and effectively increase the annual increase of the regional tertiary industry, which has a promoting effect on the development of the tertiary industry.