ADB, Japan launch joint initiative to support businesses, strengthen energy security in Asia and Pacific

ADB President Masato Kanda (right) with Japan Finance Minister Satsuki Katayama

The Asian Development Bank (ADB) and Japan yesterday announced a new joint initiative to support countries and businesses in Asia and the Pacific facing rising energy prices, while accelerating the transition to more resilient and sustainable energy systems.

ADB President Masato Kanda said: “With energy markets under strain, countries need support that addresses immediate pressures while laying the groundwork for long-term resilience. We are grateful for Japan’s partnership in advancing this initiative, which will help businesses in our region stay afloat today while supporting the transition to stronger and more sustainable energy systems.”

The Action for Creating Energy Security for Long-term Resilience, or ACCEL, was formally launched at the ADB Annual Meeting today. It brings together financial support and investment to help countries manage immediate shocks and build stronger energy systems for the future.

Japan Finance Minister Satsuki Katayama said: “Under ACCEL, we expect to leverage Japan’s knowledge and technology to contribute to enhanced growth across the Asia and Pacific region. This initiative aims to support SMEs affected by the conflict, while promoting the transformation of energy structures in developing member countries. Japan will continue to work closely with ADB to advance crisis response efforts.”

Many of ADB’s developing member countries, as well as their private sectors, are facing acute pressures from fuel price volatility and supply constraints. Small and medium-sized enterprises (SMEs) are particularly affected, with rising operating costs and tightening liquidity conditions.

ACCEL will pursue a two-track approach. In the short term, it will support corporate liquidity, particularly for SMEs, including through technical assistance. Over the medium to long term, it will support a transition toward more diversified and sustainable energy systems, strengthening economic and energy resilience across Asia and Pacific.

Under the initiative, ADB will deploy – in response to demand – its existing financing instruments, including financial intermediation loans, credit lines, guarantees, and policy-based loans, to channel support to enterprises facing increased funding needs and continue to help strengthen the enabling environment for SMEs. These operations will help sustain business activity, protect jobs, and support economic stability in affected countries.

ADB will also scale up investment and financing for projects that strengthen energy security and resilience. This includes renewable energy development, energy efficiency, and energy conservation initiatives that contribute to more stable and diversified energy systems over time.

Japan will support these efforts through its ADB-administered trust funds, helping accelerate project preparation, implementation, and knowledge support aligned with the objectives of ACCEL, including the effective application of Japanese knowledge and technology. It will also coordinate with its development finance institutions such as the Japan International Cooperation Agency (JICA) and the Japan Bank for International Cooperation (JBIC) to enhance synergies, ensure complementarity, and maximise development impact.

Further details on implementation and specific operations under ACCEL will be announced in due course.