ADB Unveils $70 Billion Mega Push to Transform Asia’s Energy and Digital Backbone by 2035

At the core of the plan is the $50 billion Pan-Asia Power Grid Initiative, a transformative effort to move beyond fragmented national systems and create a connected regional electricity network.

In one of the most ambitious regional infrastructure drives in recent years, the Asian Development Bank (ADB) has announced a sweeping $70 billion investment plan to reshape Asia and the Pacific's energy and digital landscape—aiming to connect power grids across borders, unlock renewable energy at scale, and bring high-speed digital connectivity to hundreds of millions.

The twin initiatives—the Pan-Asia Power Grid Initiative and the Asia-Pacific Digital Highway—mark a strategic pivot toward integrated, cross-border infrastructure designed to power economic growth, accelerate clean energy transitions, and prepare the region for an AI-driven future.

"Energy and digital access will define the region's future," said ADB President Masato Kanda. "By linking power grids and digital networks across borders, we can lower costs, expand opportunity, and bring reliable power and connectivity to hundreds of millions of people."

A Regional Energy Grid for a Renewable Future

At the core of the plan is the $50 billion Pan-Asia Power Grid Initiative, a transformative effort to move beyond fragmented national systems and create a connected regional electricity network.

The initiative aims to integrate power systems across countries, enabling renewable energy—such as solar, wind, and hydropower—to flow seamlessly across borders. This will allow nations with surplus clean energy to export electricity to those facing deficits, improving efficiency and reducing reliance on fossil fuels.

ADB will partner with governments, utilities, and private investors to build critical infrastructure, including cross-border transmission lines, substations, energy storage systems, and digitally enabled smart grids.

By 2035, the programme targets:

• Integration of 20 gigawatts of cross-border renewable energy capacity

• Construction of 22,000 circuit-kilometers of transmission lines

• Improved electricity access for 200 million people

• Creation of 840,000 jobs

• Reduction in regional power sector emissions by 15%

ADB is expected to finance approximately half of the initiative directly, with the remaining funding mobilized through co-financing, including significant private sector participation. In addition, up to $10 million in technical assistance will be deployed to harmonize regulatory frameworks, standardize technical systems, and prepare large-scale projects.

The initiative builds on existing regional frameworks such as the ASEAN Power Grid, South Asia Subregional Economic Cooperation programme, and Central Asia Regional Economic Cooperation Energy Strategy—while marking a shift toward a more unified, continent-wide power trading system.

Experts say this regional approach could dramatically enhance energy security, reduce costs, and accelerate the clean energy transition by optimizing resource distribution across borders.

Digital Highway to Power an AI-Ready Economy

Complementing the energy push is the $20 billion Asia-Pacific Digital Highway, a major effort to close the region's digital infrastructure gap and position economies for the next wave of technological transformation.

The initiative will invest in high-capacity digital corridors, including terrestrial and subsea fiber networks, satellite systems, and regional data centers—creating the backbone for faster, more reliable connectivity across both urban and remote regions.

ADB will also support policy reforms, cybersecurity frameworks, and digital skills development to ensure countries can fully leverage emerging technologies such as artificial intelligence.

By 2035, the Digital Highway aims to:

• Provide first-time broadband access to 200 million people

• Improve connectivity for an additional 450 million users

• Reduce internet and data costs in remote and landlocked regions by around 40%

• Generate 4 million new jobs across digital sectors

ADB will contribute $15 billion directly, with an additional $5 billion expected from co-financing partners, including private investors.

A key institutional pillar of the initiative will be the establishment of a Center for AI Innovation and Development in Seoul, backed by a $20 million contribution from the Government of the Republic of Korea. The center will focus on promoting responsible AI adoption and training approximately 3 million people in digital and AI-related skills by 2035.

Transformational Impact Across the Region

Together, the two initiatives represent a coordinated effort to tackle two of the region's most pressing development challenges: energy access and digital inclusion.

Asia and the Pacific remain home to significant infrastructure gaps, with millions lacking reliable electricity and affordable internet access—barriers that limit economic participation and social mobility. By addressing these gaps through integrated, cross-border systems, ADB aims to unlock new growth corridors and strengthen regional cooperation.

The combined $70 billion programme also signals a broader shift in development finance—from isolated national projects to interconnected regional ecosystems that maximize efficiency, resilience, and scale.

Analysts suggest the initiatives could have far-reaching implications, from accelerating decarbonization and boosting trade to enabling digital economies and expanding access to education, healthcare, and financial services.

As Asia positions itself at the center of global economic growth, the success of these infrastructure investments will play a defining role in shaping the region's competitiveness in the decades ahead.