The Asian Development Bank (ADB) has announced support for $70 billion in new energy and digital infrastructure initiatives by 2035. The plan aims to connect power grids, expand cross-border electricity trade and improve broadband access across Asia and the Pacific.
The initiatives include the Pan-Asia Power Grid Initiative and the Asia-Pacific Digital Highway. The power grid project will link national and subregional systems so renewable energy can flow across borders. The digital programme will help close infrastructure gaps and support artificial intelligence-driven growth in the region.
Under the Pan-Asia Power Grid Initiative, ADB will work with governments, utilities, the private sector and development partners to mobilise $50 billion by 2035 for cross-border power infrastructure. A press release said the focus will be on transmission and grid integration, including cross-border lines, substations, storage and grid digitalisation.
It will also support power generation linked to electricity trade, including renewable energy export projects, regional renewable hubs and hybrid generation-storage facilities.
By 2035, ADB aims to integrate around 20 gigawatts of renewable energy across borders, connect 22,000 circuit-kilometres of transmission lines, improve energy access for 200 million people, create 840,000 jobs and reduce regional power sector emissions by 15%.
ADB expects to finance about half of the $50 billion target from its own resources. The rest will come from cofinancing, including private sector participation. Up to $10 million in technical assistance will support regulatory alignment, common technical standards, feasibility studies and project preparation.
The initiative marks a shift from bilateral energy links to a wider regional power trade system. It builds on existing frameworks, including the South Asia Subregional Economic Cooperation programme, the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation grid planning, the ASEAN Power Grid and the Central Asia Regional Economic Cooperation Energy Strategy 2030.
The Asia-Pacific Digital Highway will mobilise $20 billion by 2035 to finance digital corridors, data infrastructure and AI-ready economies. Investments will focus on fibre networks, including terrestrial and subsea cables, satellite links and regional data centres.
ADB will also support cybersecurity policy and regulation and invest in skills development programmes to improve digital and AI readiness.
By 2035, the initiative aims to provide first-time broadband access to 200 million people and improve connectivity for another 450 million. It is expected to reduce connectivity costs in remote and landlocked areas by around 40 percent and create 4 million jobs.
ADB plans to finance $15 billion of the $20 billion digital initiative from its own resources and raise $5 billion through cofinancing, including private investment.
A Centre for AI Innovation and Development will be set up in Seoul to support the programme. Backed by a $20 million contribution from the Government of the Republic of Korea, the centre will promote responsible and inclusive AI adoption and train around 3 million people in digital and AI skills by 2035.
ADB President Masato Kanda said energy and digital access will define the region’s future. He said the initiatives will build systems needed for growth and connectivity, lower costs and expand opportunity by linking power grids and digital networks across borders.
