From sustainable development towards resilience: Does digital finance matter in enhancing ecological resilience?

Abstract Digital finance, as a representative of the digital economy, provides unprecedented opportunities for enhancing the adaptability and resilience of ecosystems. However, there is currently no literature that integrates digital finance and urban ecological resilience into the same research framework. In light of this, we utilize panel data from 2011 to 2019 to investigate the impact of digital finance on ecological resilience. Our results indicate that (1) Digital finance can effectively enhance ecological resilience, a conclusion corroborated by both theoretical frameworks and empirical evidence. Specifically, the coverage breadth and usage depth of digital finance can effectively enhance ecological resilience, while the digitization level has not shown a significant impact. (2) Green technological innovation, improvements in energy efficiency, and the agglomeration of producer services are identified as effective channels through which digital finance promotes ecological resilience. (3) The impact of digital finance on ecological resilience exhibits significant regional heterogeneity, with more pronounced effects observed in cities with advanced traditional financial systems, non‐resource‐based cities, and central cities. These findings will help policymakers better understand the relationship between digital finance and urban ecological resilience, and formulate targeted policies that leverage digital finance development to enhance ecological resilience.