Using nonlinear regression model (NLRM) and the data derived from the Business Environment and Enterprise Performance Survey (BEEPS,2012) conducted by the World Bank, we do research on the impact of government procurement on corporate technological innovation with credit constraints taken into consideration. Our empirical study finds that government procurement effectively alleviates credit constraints and thus significantly promotes corporate technological innovation. In other words, credit constraints play an important intermediary role. After using instrumental variables to weaken endogenous problems, and using Norton method to deal with interaction items and replace proxy variables for robustness test, the above conclusions are still valid. Further empirical study shows the interaction effect is more pronounced for privately held, small-scale and capital and technology intensive corporates, which suffer from stronger credit constraints. Therefore, in order to release the innovation vitality of enterprises and promote high-quality economic development, this paper highly recommend consolidating the policy guidance of government procurement to promote innovation. At the same time, it is necessary to strengthen the channel function of government technology procurement in bank credit obtaining and strike a balance between efficiency and equilibrium.