Fintech engagement by non-financial firms and the speed of capital structure adjustment
Date
2026
Authors
Li, B.
Sun, J.
Xu, L.
Guo, F.
Editors
Advisors
Journal Title
Journal ISSN
Volume Title
Type:
Journal article
Citation
Pacific Basin Finance Journal, 2026; 95:103011-1-103011-14
Statement of Responsibility
Bin Li, Jiawei Sun, Lei Xu, Fei Guo
Conference Name
Abstract
Using a sample of Chinese A-share non-financial firms from 2013 to 2022, this paper empirically examines the impact of Fintech engagement on the speed of capital structure adjustment. The results show that firms engaging in Fintech activities significantly accelerate their capital structure adjustments, particularly when leverage is below the target level. Further heterogeneity analyses reveal that this positive effect is more pronounced in regions with stricter financial regulation, in firms with stronger financial affiliations, and among high-tech firms. In terms of adjustment mode, Fintech primarily facilitates capital structure adjustment by enhancing firms’ debt financing capacity. Mechanism tests indicate that Fintech alleviates financing frictions and reduces agency costs, thereby expediting dynamic capital structure adjustment. This study confirms the effectiveness of Fintech activities in non-financial firms and contributes to the literature by revealing their economic consequences.
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Dissertation Note
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Available online 28 November 2025
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© 2025 Elsevier B.V. All rights are reserved, including those for text and data mining, AI training, and similar technologies.