Asian Development Bank launches $70 Billion program to expand digital infrastructure
The Asian Development Bank (ADB) announced on Sunday the launch of a $70 billion program to expand energy and digital connectivity infrastructure in the Asia-Pacific region by 2035. The program aims to strengthen energy grid interconnections, boost cross-border electricity trade, and increase broadband access.
ADB President Masato Kanda said in a statement that energy and digital connectivity will support the region’s long-term growth as demand increases and technological change accelerates, according to Reuters.
He added, “By connecting energy and digital grids across borders, we can reduce costs, expand opportunities, and provide reliable energy and digital access to hundreds of millions of people.”
The bank explained that the plan includes $50 billion for the Pan-Asian New Grid initiative and $20 billion for technology and digital connectivity projects.
The Asian Development Bank (ADB), through its Pan-Asia New Grid initiative, aims to integrate approximately 20 gigawatts of renewable energy across borders, construct 22,000 circuit kilometers of transmission lines, and improve electricity access for nearly 200 million people by 2035.
The bank anticipates that the initiative will reduce regional energy sector emissions by about 15 percent.
The ADB plans to finance roughly half of the New Grid initiative from its own resources, with the remainder coming from co-financing, including private investment.
The remaining $20 billion will be raised through the Asia-Pacific Digital Road initiative to support fiber optic networks, submarine cables, satellite communications, and regional data centers.
The Digital Road program aims to provide first-time broadband access to nearly 200 million people and improve connectivity for an additional 450 million by 2035, reducing costs in remote areas by about 40 percent and creating up to four million jobs.
The ADB expects to provide $15 billion in financing for the Digital Road initiative.