ADB Unveils $70 Billion Connectivity Push as Asia Faces Slowing Growth and Rising Risks

In response, ADB has launched an ambitious $70 billion regional systems programme aimed at strengthening economic resilience through connectivity.

The Asian Development Bank (ADB) has issued a strong call for deeper regional cooperation, warning that Asia and the Pacific stand at a critical "crossroads" where fragmented responses will no longer be enough to withstand global shocks.

Opening the 59th Annual Meeting of the ADB Board of Governors in Samarkand, Uzbekistan, ADB President Masato Kanda urged countries to embrace stronger cross-border integration to secure long-term growth and resilience.

"In this fragmented world, traditional and isolated development responses will fail," Kanda said. "To survive and thrive, we must build deeply connected and resilient systems."

A Region Under Pressure

The meeting comes at a time of growing economic uncertainty, with ADB projecting:

• Regional growth to slow to 4.7% in 2026, down from 5.4% last year

• Inflation to rise to 5.2%, up sharply from 3.0%

These pressures are largely driven by ongoing geopolitical tensions, particularly the Middle East conflict, which is disrupting energy markets, tightening financial conditions, and affecting global supply chains.

Under a more severe scenario—where oil prices spike and remain elevated—ADB warns:

• Growth could fall further to 4.2% in 2026 and 4.0% in 2027

• Inflation could surge to 7.4%

$70 Billion Plan to Build Regional Resilience

In response, ADB has launched an ambitious $70 billion regional systems programme aimed at strengthening economic resilience through connectivity.

The initiative includes:

• $50 billion Pan-Asia Power Grid to integrate renewable energy across borders, improve energy security, and reduce emissions

• $20 billion digital connectivity programme to expand cross-border digital infrastructure and close the region's digital divide

These investments are designed to create shared systems that can better withstand shocks and support inclusive growth.

Connectivity as the New Growth Engine

ADB's strategy reflects a broader shift in development thinking—recognising that modern risks, from climate change to financial instability, do not respect national boundaries.

Kanda highlighted how shocks now spread rapidly through:

• Energy markets

• Global supply chains

• Digital networks

This interconnectedness means that regional cooperation is no longer optional—it is essential.

Scaling Up Support and Reform

ADB is also ramping up its financial and operational capacity:

• Provided $29.3 billion in financing in 2025

• Implemented reforms to accelerate project delivery and scale impact

The bank has also taken a proactive role in crisis response, becoming the first development partner to provide financial support to countries affected by the Middle East conflict.

ADB as a "Stability Anchor"

Kanda positioned ADB as a key stabilising force in an increasingly volatile global landscape marked by:

• Geopolitical fragmentation

• Climate-related disasters

• Economic disruptions

"ADB is an anchor of stability," he said, emphasising its ability to act as a financier, advisor, and mobiliser across the region.

Looking Ahead: Challenges and Opportunities

Despite the scale of the new initiatives, ADB acknowledges that major challenges remain, including:

• Mobilising private sector investment at scale

• Addressing environmental degradation and climate risks

• Ensuring growth is inclusive and equitable

The annual meeting, running from 3 to 6 May 2026, brings together policymakers, business leaders, and development partners to advance solutions in:

• Infrastructure and connectivity

• Digital innovation

• Sustainable finance

A Defining Moment for Asia-Pacific

With the region accounting for a significant share of global growth, decisions made now will have long-term implications.

"The work ahead is immense, but our purpose is clear," Kanda said. "We have the strategy. We have the resources. We have the collective will to execute."

As Asia navigates an era of uncertainty, ADB's message is clear: greater connectivity, deeper cooperation, and bold investment will determine whether the region merely endures—or emerges stronger.