The mechanisms of digital inclusive finance in enhancing AI innovation: the role of entrepreneurial vitality and traditional financial development

This study explores the impact of digital inclusive finance (DIF) on regional artificial intelligence innovation capacity (AIIC) and its underlying mechanisms, using Chinese city-level panel data for empirical analysis. The results indicate that DIF significantly boosts regional AI innovation, with this positive effect remaining valid after multiple robustness tests. Mechanism tests reveal that stimulating entrepreneurial vitality and advancing industrial structure upgrading are the two key channels through which DIF exerts its influence. Further analysis shows that DIF and traditional financial development exhibit a significant synergistic complementary effect, and the innovation-promoting effect of DIF is more pronounced in cities with stronger intellectual property protection and in central cities. Additionally, the impact of DIF on AI innovation presents non-linear characteristics: beyond a specific development threshold, its marginal promoting effect is further enhanced. Notably, DIF facilitates the coordinated development of regional ambidextrous AI innovation, contributing to a balanced innovation ecosystem. This research enriches the literature on digital finance and technological innovation, and provides actionable policy insights for constructing a financial system that supports high-quality AI innovation.