Cross-regional industrial relocation is a key instrument for building a regionally coordinated， high-quality pattern of economic development and advancing common prosperity. Existing studies have mainly focused on the unilateral effects of industrial relocation on economic growth， technological spillovers， or environmental outcomes in recipient regions， while generally overlooking how， as a systematic policy， it reshapes the allocation of capital factors between origin and destination regions. Drawing on theories of regional development， this paper examines how industrial relocation guides the cross-regional reallocation of financial capital alongside industry by restructuring the regional division of labor within industrial chains and improving infrastructure and the business environment. Using 2014—2022 data on inter-provincial holdings of local government financing vehicle （LGFV） bonds， we embed a multi-period bilateral-pair difference-in-differences design within a gravity-model framework to identify whether cross-regional industrial relocation significantly promotes capital flows across regions. The results show that， after industries move from origin to recipient regions， financial institutions located in origin regions increase their holdings of LGFV bonds issued by recipient regions by around 21% on average， and this effect remains robust across a variety of robustness checks. Mechanism analysis indicates that industrial relocation mainly promotes capital flows by advancing market-oriented development， thereby enhancing the investment attractiveness of recipient regions. From the perspective of capital， this paper uncovers the deeper financial-real economy linkages embedded in cross-regional industrial relocation policies， providing new theoretical evidence and policy insights for understanding regionally coordinated development under government guidance and market forces.