The Asian Development Bank (ADB) and Japan on Monday announced a new joint initiative aimed at assisting countries and businesses in Asia and the Pacific facing rising energy prices and accelerating the transition to more sustainable energy systems.

ADB President Masato Kanda noted that developing countries need assistance to overcome current challenges amid tensions in energy markets, the Armenian News-NEWS.am correspondent reports.

This initiative will help businesses in the region stay afloat while assisting the transition to more robust and sustainable energy systems, the ADB president said, and noted that they expect to contribute to accelerating economic growth in the Asia and the Pacific regions.

This initiative aims to assist small and medium-sized enterprises affected by conflict and to contribute to the transformation of energy infrastructure in developing member countries. Japan will continue to work closely with ADB to strengthen its crisis response efforts. Many developing member countries of ADB, as well as their private sectors, are facing acute pressures related to volatile fuel prices and supply constraints. Small and medium-sized enterprises are particularly affected by rising operating costs and tighter liquidity conditions. ACCEL will remain committed to a two-pronged approach. In the medium to long term, it will contribute to the transition to more diversified and sustainable energy systems, strengthening economic and energy stability in the Asia-Pacific region, said Japanese Finance Minister Satsuki Katayama.

ADB also announced Monday the establishment of a new financial partnership mechanism with the government of Japan, designed to help ADB’s developing member countries strengthen disaster resilience and regional cooperation.

The 59th Annual Conference of the ADB is taking place in Samarkand, Uzbekistan, from Sunday to Wednesday, bringing together financial sector representatives, experts, and reporters from 69 ADB member countries. Armenian Deputy Minister of Finance Edgar Mkrtchyan is also attending this event.