Digital Financial Coverage, Depth of Usage, and Financial Efficiency

ABSTRACT

This research analyses the improvement and differences of digital financial coverage and depth of usage on financial efficiency using the SBM dynamic DEA method. The results show that digital finance’s depth of usage having bigger influence on improving the financial system efficiency. The breadth of digital financial coverage is more conducive to improving input efficiency, while its depth of usage is more conducive to improving output efficiency. Considering both the depth of usage and breadth of coverage, in the east region the financial industry efficiency is higher than that in the non-east region. .

KEYWORDS:

• Digital finance
• financial efficiency
• DEA
• the breadth of digital financial coverage
• the depth of digital financial usage

Disclosure Statement

No potential conflict of interest was reported by the author(s).

Notes

1 The eastern provinces in China are coastal provinces. They have higher economic level than thenon-east region.

2 The English version of this report can be find at http://idf.pku.edu.cn

Additional information

Funding

This work was supported by the MOE project of KRI [grant number 16JJD790018] and Social Science Foundation of Jilin University [grant number 2021XWK03].