Enhancing green total factor energy efficiency (GTFEE) is crucial for achieving sustainable development. Against this backdrop, this study aims to investigate the impact of fintech on GTFEE, using annual data from 240 Chinese cities between 2011 and 2021. Methodologically, we employ the SBM–Malmquist–Luenberger model to measure GTFEE and assess the role of fintech. The results demonstrate that fintech significantly promotes GTFEE, a finding that remains robust after addressing endogeneity issues and replacing key variables. Further mechanism analysis reveals that fintech facilitates GTFEE by alleviating financing constraints and stimulating technological innovation. Moreover, the effect is particularly pronounced in eastern regions, non-resource-based cities, service-oriented cities, and larger urban areas. Importantly, quantile regression results confirm that fintech exerts a stronger positive impact at higher quantiles of the GTFEE distribution. These findings offer both theoretical insights and practical policy implications for advancing energy efficiency through fintech development.

Improving the green total factor energy efficiency (GTFEE) is an important way to adhere to sustainable development. This paper evaluates the impact of fintech on GTFEE based on an SBM-Malmquist-Luenberger model with annual data from 2011 to 2021 of 240 cities in China. The findings reveal that fintech can significantly promote GTFEE and the conclusion remains robust after conducting the endogeneity test and substituting the independent and dependent variables. Specifically, the mechanism analysis indicates that fintech can improve GTFEE by alleviating financing constraints and promoting technological innovation. What’s more, fintech significantly enhances GTFEE in eastern China, non-resource-based cities, service cities, and larger-sized urban centers. This study provides valuable policy implications for promoting the energy efficiency.