The concept of inclusive finance dates back to 15th-century Italy, where the first government-controlled pawnshops and those established by the Roman Catholic Church emerged. In the 20th century, the successful experiment of Grameen Bank in Bangladesh sparked a global wave of microcredit, which gradually evolved into microfinance. Entering the new century, advancements in the internet and information technology fostered a more equal, open, convenient, and grassroots-oriented financial system. The United Nations first proposed the concept of inclusive finance during the International Year of Microcredit in 2005, aiming to provide reasonably priced, effective and convenient financial services to all who need them at affordable costs.

China places high importance on developing inclusive finance. In 2006, the People's Bank of China formally used the term "inclusive finance" at the Asia Microfinance Forum. In 2013, the Third Plenary Session of the 18th Communist Party of China Central Committee adopted the Decision of the Central Committee of the Communist Party of China on Major Issues Concerning Comprehensively Deepening Reforms, which proposed "developing inclusive finance, encouraging financial innovation, and enriching the scenarios and products of the financial market". In 2015, China’s State Council issued the Notice on Issuing the Plan for Advancing the Development of Inclusive Finance (2016-20), which, for the first time, defined inclusive finance at the national level: providing appropriate and effective financial services at affordable costs to every social group needing financial services based on equal opportunities and commercial sustainability. Micro and small enterprises, individual businesses, farmers, low-income urban populations, impoverished people, people with disabilities, and the elderly are the primary focus of inclusive finance in China.

Over the subsequent decade, inclusive finance loans in China have grown rapidly, with coverage continuously expanding. As of the end of 2024, the balance of inclusive micro and small enterprise loans reached 32.93 trillion yuan ($4.62 trillion), growing by 14.6 percent year-on-year. The loan growth rate surpassed the average growth rate of various loans during the same period, with more than 60 million inclusive micro and small credit accounts, covering about one-third of business entities. As of the first half of 2025, the balance of inclusive micro and small enterprise loans by the Bank of China stood at 2.65 trillion yuan, with more than 1.72 million inclusive loan accounts.