In order to study the impact of economic development and financial competition on local financial efficiency,this paper selected the panel data of 31 provinces from 2004 to 2018,and built Spatial Durbin Model for spatial spillover effect decomposition analysis based on the super efficiency DEA model to calculate local financial efficiency.The results show that firstly,fiscal efficiency has regional homogeneity,and both economic development and fiscal competition have spatial spillover effect on local fiscal efficiency.Secondly,the financial burden ratio is negatively correlated with the provincial financial efficiency,and has a negative spillover effect on the provinces with similar economic development levels.Thirdly,population density is positively correlated with the fiscal efficiency of the province,and has a positive spatial spillover effect on the provinces with near distances and similar economic development levels,but the urbanization rate is negatively correlated with each other.Fourthly,per capita GDP has a spatially positive spillover effect on the provinces with similar levels of economic development;Tax revenue ratio has a spatially negative spillover effect on adjacent provinces and the provinces with similar distances;Fiscal self-sufficiency has a spatially positive spillover effect on adjacent provinces,but it is not significant.We should continue to implement the policy of reducing taxes and fees,increase the number of permanent residents,and increase the rate of fiscal self-sufficiency to improve local fiscal efficiency.