Technological developments are opening vast opportunities for people to connect, trade, and access services that are currently not available. Technological change drives economic growth and improves standards of living. However, there are also concerns that many jobs are at risk because of the growing sophistication in robotics and artificial intelligence. The challenge for Asia and the Pacific is to capitalize on the opportunities that technology brings while preparing for and mitigating the risks.

ADB’s developing member countries (DMC) are attaining middle-income country (MIC) status, but often face challenges in progressing into high-income status. To continue progressing in its development path, the digital economy is poised to be the new driver of development.

Traditionally, ADB’s support for job creation has mainly focused on the financing for Small Medium Size Enterprises (SME), but this approach will not be enough in the knowledge economy where technical skills are more important to compete in the market. The development community, including ADB, should take a more a holistic approach to cover broader aspects of the business ecosystem, including regulatory sandboxing, skills development, academia-industry collaboration, and incubation, among others in addition to financing programs.

In this context, ADB initiated a capacity development program to help its DMCs develop an enabling environment for the digital economy focusing on the technology-oriented start-ups (“Tech Start-ups”), in partnership with a variety of public and private partners. The main objective of the program is to share knowledge and experience and to discuss potential bilateral or multilateral partnerships on the Tech Start-up support programs among participating countries.