ADB To Invest US$ 70 Billion In Energy And Digital Infrastructure By 2035
Asian Development Bank (ADB) has announced plans to support US$ 70 billion in new energy and digital infrastructure initiatives across Asia and the Pacific by 2035, with a focus on cross-border power connectivity, renewable energy integration, broadband expansion and AI-ready digital networks.
The announcement was made by Masato Kanda, who said energy and digital access would play a defining role in the region’s future growth and competitiveness.
“Energy and digital access will define the region’s future,” Kanda said. “By linking power grids and digital networks across borders, we can lower costs, expand opportunity and bring reliable power and digital access to hundreds of millions of people.”
The investment programme includes two major initiatives, the Pan-Asia Power Grid Initiative and the Asia-Pacific Digital Highway.
Under the Pan-Asia Power Grid Initiative, ADB plans to mobilize US$ 50 billion by 2035 to strengthen regional electricity connectivity and enable large-scale renewable energy trade across borders. The initiative will support transmission infrastructure, substations, grid storage, digitalized grid systems and renewable energy projects linked to cross-border electricity trade.
ADB aims to integrate nearly 20 gigawatts of renewable energy capacity across borders, develop around 22,000 circuit-kilometers of transmission infrastructure, improve energy access for 200 million people, and reduce regional power sector emissions by 15% by 2035. The initiative is also expected to create approximately 840,000 jobs across the region.
The programme builds on existing regional cooperation platforms including the ASEAN Power Grid, the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC) grid interconnection framework, the South Asia Subregional Economic Cooperation programme, and the Central Asia Regional Economic Cooperation Energy Strategy 2030.
ADB stated that it expects to finance nearly half of the US$ 50 billion initiative through its own resources, while the remaining amount will be mobilized through co-financing and private sector participation.
The second initiative, the Asia-Pacific Digital Highway, aims to mobilize US$ 20 billion by 2035 to improve digital infrastructure and accelerate AI readiness across the region. Investments will focus on fibre optic networks, sub-sea cable systems, satellite connectivity, regional data centres, cybersecurity frameworks, and digital skills development.
The initiative targets first-time broadband access for 200 million people and improved digital connectivity for another 450 million people across Asia and the Pacific. ADB estimates the programme could reduce connectivity costs in remote and landlocked regions by nearly 40% while supporting the creation of around 4 million jobs.
As part of the initiative, a new Centre for AI Innovation and Development will be established in Seoul with support from the Government of the Republic of Korea. Backed by a US$ 20 million contribution, the centre will focus on promoting responsible and inclusive AI adoption and is expected to help train nearly 3 million people in digital and AI-related skills by 2035.
Founded in 1966, ADB is a multilateral development bank owned by 69 member countries, including 50 from the Asia-Pacific region, and focuses on supporting sustainable, inclusive and resilient economic growth.
