Masato Kanda, President of Asian Development Bank (ADB) made a statment at the 58th ADB Annual Meeting, held on 5 May 2025 in Milan.
"I am deeply grateful to the Government of Italy and the City of Milan for their warm hospitality. Milan is a perfect setting for our discussions on the future of Asia and the Pacific: a future that demands imagination, partnership, and action.
When I assumed office in February, I brought with me a sense of optimism about the future of Asia and the Pacific. And over the past few months, as I have traveled and witnessed the energy and determination of the region’s people, that optimism has grown stronger.
The path ahead is not without challenges. External shocks, debt burdens, and climate change weigh heavily on many economies, while the pace of technological change and shifting global dynamics add to the layers of complexity.
But we need to see those challenges as opportunities to change. And we need to recognize that in every corner of the region, there is extraordinary resilience. That is why we are here today: to seize opportunities, enhance resilience, and build a better tomorrow, together.
I. Meeting uncertainty with renewed purpose
My friends and partners, we are at a critical juncture in history and there is no textbook for this situation. We must recognize that we don't have all the answers.
But we are not starting from zero. Growth remains solid, driven by strong domestic demand. Trade and economic integration are deepening, not only within the region but with key partners here in Europe and around the world. Supply chains are diversifying. Digital connectivity is accelerating. And innovation is thriving.
Asia and the Pacific is rich with potential. With the right actions, we can ensure that this potential translates into lasting progress.
Uncertainty is not a reason for retreat. It is a call for action. It challenges us to be bolder, to move faster, and to work more closely than ever before.
We must seize the opportunity to transform lives and build a brighter future for the next generation.
II. Four transformative focus areas
To chart a path forward, we must solve these challenges with clarity and determination. We see four areas as being key to driving transformational change.
First, the vulnerability of our food systems demands urgent action. The pandemic, droughts, floods, and global disruptions threaten food security and have pushed millions of people toward poverty and hunger.
Second, the digital divide is leaving millions behind. While technology can improve access to education, finance, markets, and public services, too many people remain disconnected from the digital economy.
Third, the need for sustainable energy systems is more urgent than ever. Growing economies require stable, clean, and affordable energy to power their development.
Fourth, the impacts of rising sea levels, water scarcity, extreme heat, and severe weather conditions are reversing hard-won development gains. Building resilience to the changing climate requires developing new approaches, solutions and financial products, to protect women, the poor, and the most vulnerable.
III. Building solutions for transformative growth
At ADB, we are committed to turning opportunities into lasting change.
We are acting with urgency and ambition, with investments in people, institutions, and innovations that will define the future of our region.
Asia and the Pacific is home to over half of the world’s hungry, around 370 million people. Almost 2 billion people in the region lack access to a healthy diet. At the same time the way we produce food consumes vast amounts of land and water, and it is the main driver of the loss of our precious biodiversity.
In response ADB is dramatically scaling up our support to transform the systems that provide food for Asia, and the world. For this reason, I just announced that our support for food systems transformation will reach $40 billion dollars by 2030.
Our support will strengthen food systems across the region, building resilience from farms to markets, protecting nature and biodiversity, advancing nutrition, and scaling agribusiness financing, all with a focus on empowering women and harnessing technology.
At the same time, we are investing deeply in digitalization. Access to reliable, affordable, and secure digital services is a foundation for opportunity. ADB’s support for digital technologies is helping millions access formal financial services, modernizing payment platforms, and introducing national digital IDs in the Pacific and beyond to reduce costs, improve transparency, and strengthen trust.
We are working at the frontiers of the energy revolution through initiatives like the ASEAN Power Grid, which will modernize and interconnect energy systems across fast-growing Southeast Asian economies. ADB stands ready to commit up to $10 billion dollars to make the ASEAN Power Grid vision a reality.
And we are deepening our investments to build greater resilience by strengthening infrastructure, restoring and protecting ecosystems, and helping vulnerable communities adapt to a world of intensifying climate and environmental risks.
Finally, the region will not grow and add the millions of jobs we need without private sector development. ADB’s private sector operations have more than doubled since 2022 and we aim to further increase private sector financing four-fold, to $13 billion dollars a year by 2030. The ingenuity of entrepreneurs, businesses, and investors will enable the solutions of tomorrow. Our job is to help unleash this potential, especially in the markets where it is needed most.
Each of these efforts is powerful on its own. But together, they represent a bold, integrated strategy for resilient, inclusive, and sustainable growth.
IV. Strengthened institutional capacity and expanded partnerships
To deliver on this ambitious agenda, ADB must continue to evolve. That is why we have strengthened our institutional resources and boosted our financial firepower.
We have created $100 billion dollars in additional headroom, which we will allow us to grow our operations by 50% over the next decade — from $24 billion to $36 billion dollars a year — to meet the rising aspirations of our developing member countries.
We are advancing open regionalism with new platforms for digital customs, coordinated investments in resilient infrastructure, support for cross-border energy and transport systems, and driving greater cooperation with subregional programs in areas like Central Asia, South Asia, and the Greater Mekong Subregion.
We are deepening financial integration by helping to develop local currency bond markets, strengthen financial safety nets, and promote seamless cross-border transactions.
And we are committed to strengthening governance and transparency. We know that development finance must not only be effective; it must be trusted. Strong safeguards, rigorous sustainability disclosures, and policy dialogue will remain central to our work.
Our ambition is not simply to grow bigger. It is to become more effective and more inclusive.
V. Leadership values
Throughout this transformation, ADB remains anchored in values that I personally hold close: humility, contribution, and trust.
Humility reminds us that we must listen before we act. We must learn from the communities we serve, respecting local insights and responding to their needs.
Our contribution is tangible impact on the ground. ADB must work for the poor and most vulnerable, and the ecosystems they depend upon. These are the people we serve, and our success will be judged by the contributions we make for them.
Finally, trust is something we appreciate, we need to build, and we must maintain. We deeply appreciate our stakeholders trust in ADB and we will work with governments, the private sector, civil society, and partner institutions to ensure we remain their most trusted partner.
I have felt the impact of putting these values into practice. My first official visit as ADB President was to Cambodia. There I listened to fisher families, who are embracing sustainable practices to revitalize marine ecosystems while strengthening their livelihoods. I saw our contribution at a high school, where ADB is providing modern labs and comprehensive teacher training, to give students the science and technology skills Cambodia needs to thrive. I felt the trust of the people we aim to serve, from the Prime Minister to local community members.
Like the experiences we will share this week in Milan, these achievements are testament to what is possible when humility, the contributions we make, and trust from our partners, come together.
Friends, the path ahead is not easy. But it is full of optimism. Asia and the Pacific is home to extraordinary opportunity and potential. This was clear to me when I saw the optimism and smiles on the faces of the girls and boys at the school in Cambodia. If we act boldly, work together, and stay true to our values, we will build a region that is more prosperous, inclusive, resilient, and sustainable.
Together, we can unlock new opportunities. Together, we can lift millions out of poverty. And together, we can leave a legacy of hope and progress for generations to come",- Kanda said.
