World Bank and Japan Launch First DRIVE Investment to Strengthen Asia’s Energy Security

The fund is targeting $750 million to support investments across Southeast and South Asia, bringing private financing into efforts to reduce emissions and improve energy efficiency.

The World Bank Group and Japan are putting their energy security partnership into action with the first project under DRIVE, a framework designed to help Asian economies withstand energy and supply chain disruptions. The investment will support a fund that finances private companies adopting cleaner technologies and improving industrial energy use.

The International Finance Corporation (IFC), the World Bank Group's private-sector arm, is investing up to $50 million in the Emerging Asia Infrastructure Credit Fund alongside the Japan International Cooperation Agency (JICA). The fund is targeting $750 million to support investments across Southeast and South Asia, bringing private financing into efforts to reduce emissions and improve energy efficiency.

A Regional Partnership Moves Into Its First Investment

DRIVE, short for Dynamic Response for Invigorating Value Chains and Energy Security, was launched in June 2026 by World Bank Group President Ajay Banga and Japan's Minister of Finance Katayama Satsuki.

The framework complements Japan's $10 billion Partnership on Wide Energy and Resources Resilience Asia, known as POWERR Asia. It combines World Bank Group financing and expertise with Japan's development finance capabilities to help countries manage disruptions and reduce their exposure to future shocks.

"Reliable, affordable energy powers businesses, creates jobs, and helps economies withstand shocks," Banga said.

He described the first project as a practical step in bringing private capital into energy security and industrial growth, creating a foundation for further investment and economic opportunities across Asia.

The partnership connects those energy priorities with broader goals, including stronger supply chains, job creation, and long-term economic growth.

Infrastructure Fund Targets $750 Million for Cleaner Industry

The Emerging Asia Infrastructure Credit Fund was established under a Singapore government initiative to support Asia's transition to cleaner energy. It is privately managed by Global Infrastructure Partners, part of BlackRock.

Its $750 million fundraising target will support financing for private companies investing in cleaner technologies and industrial transformation. The focus includes projects that reduce carbon emissions and improve energy efficiency across Southeast and South Asia.

IFC's investment of up to $50 million, together with JICA's participation, is intended to attract additional private capital. The financing will support efforts to diversify energy sources, use energy more efficiently, and help businesses move toward lower-carbon growth.

The fund gives the DRIVE partnership a way to reach companies making investment decisions about their operations, equipment, and energy needs, linking international development finance with industrial change.

More Energy and Supply Chain Projects Are Planned

Japan and the World Bank Group plan to pursue further opportunities under DRIVE and POWERR Asia, working with Japanese partners that include JICA and the Japan Bank for International Cooperation (JBIC).

Future collaboration will draw on public and private financing, instruments that share investment risks, and technical expertise to help bring forward projects that strengthen regional energy systems and supply chains.

"Strengthening resilience of Asia's energy supply chains is essential," Katayama said, welcoming the first joint project under DRIVE.

She said Japan would continue working closely with the World Bank Group to strengthen energy and economic resilience across Asia. The first investment establishes a starting point for that work, with further projects expected to build on the partnership's combination of financing, private-sector participation, and development expertise.