Inclusive finance has emerged as a cornerstone of China's economic development strategy, empowering rural areas, small businesses, and underserved populations through tailored financial solutions. A mosaic of innovative pilots and policy reforms across China reflects the nation's determination to foster a high-quality, inclusive financial ecosystem. This commitment was showcased at the recent China Inclusive Finance International Forum at Renmin University of China, where industry leaders examined both the progress and obstacles facing inclusive finance in the digital age.

Regions across China have implemented targeted strategies to advance inclusive finance. For example, Lankao County in Henan Province, China's first national inclusive finance reform zone, has pioneered a "one platform, four systems" model to improve rural credit access. In Ganzhou and Ji’an in Jiangxi Province, policies bring "financial lifeblood" to rural farmers and small enterprises, advancing inclusive finance in former revolutionary base areas.

The economically vibrant Ningbo in Zhejiang Province, with a high concentration of SMEs, emphasizes digital inclusive finance to expand access for underserved sectors. Likewise, Chengdu in Sichuan leverages fintech to build a resilient and competitive rural finance system. In Ningde and Longyan in Fujian Province, efforts focus on poverty alleviation and rural revitalization through financial reforms.

According to Liu Guiping, President of China Construction Bank, digital technology has fundamentally reshaped inclusive finance. Technologies like big data, AI, and blockchain have extended the reach, improved risk control, and enriched the service models of inclusive finance. At the end of June, China Construction Bank's inclusive finance loans reached over 900 billion yuan, a significant increase fueled by digital innovations.

Despite these advances, Liu emphasized that digital technology alone cannot solve all challenges. Collaboration among the government, banks, and market participants remains essential to unlock sustainable growth. Liu advocates for a holistic approach that includes enhancing data integration, optimizing external regulatory frameworks, and strengthening risk management to support the resilience and quality of inclusive finance services.

The recently published 2024 Report on China's Inclusive Finance Development by CAFI underscores the importance of aligning government guidance with market dynamism. The report suggests that the government should continue developing foundational infrastructures, such as credit information sharing and financing guarantee systems, while empowering the market to foster innovation.

As China's inclusive finance landscape matures, there is a noticeable shift towards comprehensive service models that go beyond traditional lending to include insurance, wealth management, and digital financial literacy. Former PBoC Vice President Li Dongrong emphasized that this evolution aligns with the growing demand for high-quality, integrated financial services.