ADB Targets $50bn to Boost Cross-Border Power Grids Across Asia

Europe-Asia

SAMARKAND, Uzbekistan (NPA) — The Asian Development Bank (ADB) says it is mobilising $50 billion by 2035 to support the development of cross-border power grids across Asia and the Pacific, aimed at lowering energy costs, improving reliability, and expanding clean energy trade.

ADB President, Masato Kanda, disclosed this at the Governors’ Seminar on the Pan-Asia Power Grid Initiative (PAGI) during the bank’s 59th Annual Meeting.

“The $50 billion Pan-Asia Power Grid Initiative is about building the infrastructure required for a more connected, resilient, and prosperous Asia and the Pacific,” Kanda said. “Countries that stay connected attract investment and weather shocks better than those that turn inward. Connectivity is our answer to fragmentation.”

The initiative, launched on Sunday, is designed as a flagship regional platform to accelerate cross-border electricity trade, scale up renewable energy integration, and strengthen energy security across participating countries.

According to the ADB, the programme targets the integration of about 20 gigawatts of renewable energy, the development of 22,000 circuit-kilometres of transmission lines, improved electricity access for 200 million people, and the creation of about 840,000 jobs by 2035.

Kanda said the bank is shifting from isolated infrastructure projects to integrated regional systems that support long-term economic growth, resilience, and energy security.

ADB is also leveraging its convening power to bring together governments, regulators, utilities, private sector players, and development partners to align policies, coordinate investments, and address regulatory bottlenecks that often delay large-scale infrastructure projects.

The bank has previously supported major cross-border energy projects, including the Bangladesh–India grid interconnection and the Monsoon Wind Power Project in Laos, using blended finance to attract private investment.

To further accelerate grid interconnections in Southeast Asia, ADB has launched a dedicated Regional Connectivity Fund backed by Australia, Canada, Germany, the United Kingdom, and the European Union. The fund is expected to de-risk early-stage projects, finance preparation activities, and mobilise larger pools of public and private capital.

ADB, founded in 1966 and owned by 69 member countries, is a leading multilateral development institution focused on promoting sustainable, inclusive, and resilient growth across Asia and the Pacific.