Study on the Impact of Inclusive Finance on the Level of Green Transformation in Agriculture Based on Carbon Emission Perspective

Abstract

In recent years, agricultural development has been facing problems of overexploitation of resources, overlapping pollution from internal and external sources, and high carbon emission intensity in some areas. Agriculture must be transformed to a green and low-carbon model in order to achieve sustainable development. The green development of agriculture is inseparable from the allocation of sufficient financial resources, therefore, it is important to study the impact of inclusive finance on the level of agricultural green transformation to promote high-quality agricultural development. Based on the panel data of 31 Chinese provinces and cities from 2009 to 2018, this study uses the AHP-entropy method to construct the inclusive finance index; adoptsthe SSBM model to measure the level of agricultural green transformation, and an econometric model is constructed to investigate the impact of inclusive finance on the level of agricultural green transformation.The results show that 14 provinces and cities, such as the main grain production base in China, have high inclusive finance indices, 11 provinces and cities with mixed industrial and agricultural sectors have medium inclusive finance indices, and provinces and cities with more developed industries, such as coastal China, have low inclusive finance levels. The inclusive finance has a significant positive impact on agricultural green transformation. The level of agricultural green transformation cannot be improved without the continuous support of inclusive finance. Local governments should strengthen the concept of green ecology, continuously improve the mechanism of financial inclusion to support the development of green agriculture.