In a significant display of support for Southeast Asia’s economic resilience, Asian Development Bank (ADB) President Masato Kanda participated in the 12th ASEAN Finance Ministers and Central Bank Governors’ Meeting with international financial institutions on April 10, 2025. At the meeting, he reaffirmed ADB’s commitment to helping ASEAN member states navigate an increasingly uncertain global economic environment. President Kanda emphasized the urgency of reinforcing regional cooperation and advancing initiatives like the ASEAN Power Grid, which is expected to significantly boost regional energy security and connectivity.
During his remarks, President Kanda expressed concern over the ongoing global trade tensions, which he said were casting a shadow over the region’s growth prospects. He highlighted the disproportionate impact these tensions could have on the region’s poorest and most vulnerable populations. According to him, ASEAN’s ability to withstand these external shocks depends heavily on enhanced economic cooperation, policy reforms, and greater investment in regional infrastructure. Kanda stressed that ADB is prepared to mobilize substantial support in this regard, including $27 billion in programmed financing over the next three years to support the development priorities of ASEAN countries. These include promoting economic competitiveness, strengthening human capital, and building resilience to external shocks.
Despite the global headwinds, Kanda voiced optimism about ASEAN’s economic outlook, citing strong domestic demand in several countries and a range of policy tools available to mitigate risks. He stated that the current challenges present an opportunity for governments in the region to implement forward-looking reforms and enhance collaboration in key sectors. He reiterated that greater regional trade, market diversification, and digital transformation would be essential to sustain growth in the coming years.
Kanda also put a spotlight on the ASEAN Power Grid as a transformative project that could redefine the region’s energy landscape. With energy demand in Southeast Asia expected to triple by 2050, he emphasized the need for a robust and interconnected energy infrastructure. He announced that the ADB is ready to commit $10 billion to accelerate the implementation of the ASEAN Power Grid. This includes investments in cross-border connections, domestic grid modernization, and renewable energy development. The grid aims to integrate the power systems of all ten ASEAN member states by 2045, enabling efficient power trade and boosting energy access for more than 670 million people in the region. He stated that the successful rollout of this initiative will not only drive economic development but also enhance energy resilience and support the region’s climate goals.
Alongside his participation in the main session, Kanda held bilateral meetings with high-level officials including Malaysia’s Finance Minister II Amir Hamzah Azizan, Minister of Economy Rafizi Ramli, and Central Bank Governor Abdul Rasheed Ghaffour, as well as Indonesian Finance Minister Sri Mulyani Indrawati and ASEAN Secretary General Kao Kim Hourn. He also joined the official launch of the ASEAN Infrastructure Fund (AIF) Action Plan for 2025–2028. This plan is expected to expand the Fund’s financing capacity, improve its operational effectiveness, and strengthen partnerships across the region. Kanda concluded his visit by reiterating ADB’s dedication to supporting ASEAN countries in building a more resilient, integrated, and inclusive future.