How ADB’s Innovation Challenge Is Testing Technologies for Real-World Problems

The Asian Development Bank (ADB) is using innovation competitions to tackle some of the most pressing development problems across Asia and the Pacific. One of its key initiatives is the Technology Innovation Challenge (TIC), launched in 2019 with $4.5 million from the High-Level Technology Fund established by the Government of Japan. The program was developed with contributions from ADB researchers and specialists, including Susann Roth, Rika Hayashi, Emeli Möller, Jane Parry, Ian Agsalda, Abigail Armamento, and Josephine Aquino. Their work helped shape a new approach that allows innovative technologies to be tested in real-world environments before being adopted on a large scale.

Development institutions often know that new technologies could help address problems such as climate change, urban vulnerability, or transport safety. However, testing these technologies can be risky and costly. The Technology Innovation Challenge was designed to reduce that risk. It provides a structured platform where innovators can test their solutions through pilot projects in developing countries. Instead of committing large amounts of funding at the start, the program first focuses on proving that a technology actually works in local conditions.

How the Innovation Challenge Works

The process begins when ADB and a partner government identify a development problem that needs a new solution. This challenge is then posted on ADB's innovation platform, where companies, research institutions, and technology developers from around the world can submit proposals.

The proposals go through several stages of evaluation, including expressions of interest, detailed project submissions, and interviews with shortlisted applicants. An evaluation committee selects the most promising solution. The selected technology provider signs a grant agreement with ADB and receives funding of up to $450,000 to test the innovation.

Pilot projects usually run for 12 to 18 months. During this period, ADB closely monitors the project while independent experts verify the results. Technology providers are also required to invest at least 10 percent of the project costs themselves. This ensures that companies remain committed and that successful technologies have a real chance of being scaled up commercially.

Innovation Projects Across Different Sectors

Since its launch, the Technology Innovation Challenge has supported pilot projects in sectors such as energy, urban development, transport, and environmental protection. By early 2026, eleven pilot projects had been launched under the program. Several have already been completed, while others are still ongoing.

One of the projects focuses on coral reef restoration in the Coral Triangle region of the Western Pacific. This region has been heavily affected by climate change, coastal development, and overfishing. A project led by Kajima Corporation introduced new reef restoration technologies that combine remote sensing, ecosystem modeling, and specially designed reef structures. Early results showed rapid coral growth and suggested the approach could be used in other regions facing similar environmental damage.

Another project addressed safety concerns in public transportation systems in India. In many cities, passengers worry about harassment and crime, especially around transit stations. A consortium led by the Indian Institute of Technology Bombay developed a digital system that combines transportation data with crowd-sourced safety information. The system produces safety ratings for routes to transit stations and offers a mobile application that helps passengers find safer paths and quickly contact help during emergencies.

Using Technology to Strengthen Communities

Urban resilience has also been a major focus of the program. In the Philippines, researchers developed a digital platform known as the Poverty Impact and Vulnerability Evaluation tool. The platform combines different types of data about population movement, environmental conditions, and community characteristics. This information helps city planners identify vulnerable neighborhoods and design more inclusive and resilient urban systems.

Another example comes from Cambodia, where rising temperatures and heat waves are affecting farming communities. The Kampot Cooling Project introduced solar-powered cooling systems and water-efficient irrigation technologies to support women farmers growing pepper. These technologies help preserve crop quality, reduce losses after harvest, and improve farmers' incomes while adapting to climate change.

Projects like these demonstrate how relatively small pilot programs can generate practical solutions for large development challenges.

Building a Future of Scalable Innovation

Within ADB, the Technology Innovation Challenge has become an important part of the bank's broader innovation strategy. Because the grants are relatively small, the program can attract a wide range of participants, including startups, universities, and established companies. This helps ADB discover new technologies and build partnerships with innovators from around the world.

The experience from early projects has also provided valuable lessons. Strong monitoring and evaluation systems are needed to measure the impact of new technologies. Expanding outreach to innovation communities can bring in more creative ideas. Close collaboration with local partners is also essential for navigating regulations and adapting technologies to local conditions.

As development challenges in Asia and the Pacific become more complex, ADB sees innovation as an essential tool for progress. By combining targeted funding, private-sector participation, and real-world testing, the Technology Innovation Challenge provides a practical way to discover solutions that could improve infrastructure, protect ecosystems, and strengthen communities across the region.