The “Two Mountains” theory has pointed out the green development direction for rural economies, and “the integration of urban and rural economies” is the theoretical guidance and practical path to solve the problem of “unbalanced economic development between urban and rural areas and regions”. Green finance is the core of the modern economy. In the era of digital and intelligent economy, it is a research gap in the academic field to explore the relationship between “green finance” and “the integration of urban and rural economies” to solve the problem of “the integration of urban and rural development and green development”. This article aims to deeply explore the impact and mechanism of green finance on the integration of urban and rural economies, and analyze the differential effects and policy implications under different regional conditions. Based on the panel data of 30 provinces(excluding Xizang, Hong Kong, Macao and Taiwan regions) in China from 2011 to 2024, using the dynamic threshold model and the two-stage least squares method with instrumental variables, the following conclusions are drawn. First, green finance significantly promotes the integration of urban and rural economies, and there is a significant threshold effect. When its development level reaches a certain threshold, the promoting effect is further strengthened. Second, the promoting effect of green finance is more prominent in the regions east of the Hu Huanyong Line and in areas with high economic and human capital, while its effect is limited in the regions west of the Hu Huanyong Line and in areas with low economic and human capital. Third, green finance promotes the cross-regional flow of labor, capital, and technology, optimizes the efficiency of factor allocation, and thereby narrows the income and consumption gap between urban and rural areas, promoting the integration of urban and rural economies. The article has established a theoretical analysis framework of “green finance - factor flow - urban-rural economic integration” in the academic field, breaking through the limitations of traditional linear models. In practice, it provides empirical support, theoretical backing and decision-making references for formulating phased and differentiated green finance policies and optimizing the construction of urban-rural factor markets.