The OPEC Fund for International Development says developing countries will require stronger multilateral financing to build digital infrastructure, arguing that private investors alone cannot bridge a projected $1.6 trillion global funding gap as artificial intelligence accelerates demand for connectivity.
The Vienna-based development finance institution said in its Digital Transformation Action Plan that digital infrastructure has become a prerequisite for economic competitiveness and public service delivery, yet remains chronically underfunded across low- and middle-income countries despite rising demand.
The report marks a strategic shift for the lender, positioning digital transformation alongside climate action and food security as one of its three cross-cutting development priorities through 2030. The institution has committed at least $1.5 billion between 2026 and 2030 to finance digital infrastructure and technology-enabled services across sovereign and private sector operations.
“The scale of investment required far exceeds the financing capacity and risk appetite of private investors alone,” the report said, challenging the long-held assumption that digital infrastructure can largely be financed by private capital.
The OPEC Fund estimates that at least $1.6 trillion in additional investment will be needed globally between 2025 and 2030 to close connectivity gaps, with much of the financing required in underserved and higher-risk markets where commercial investors have been reluctant to invest. About 2.6 billion people remain offline globally, while roughly 35% of the world’s population lacks internet services at adequate speeds, according to the report.
The lender said rapid advances in artificial intelligence have heightened the urgency of investing in broadband networks, data infrastructure and digital public systems, warning that countries without strong digital foundations risk falling behind in productivity, competitiveness and service delivery.
To address those gaps, the OPEC Fund plans to finance both “Digital Foundations,” including connectivity networks, data infrastructure and secure digital platforms, and “Digital Use,” covering applications that improve public services, business productivity and institutional performance.
The strategy reflects increasing demand from partner countries for financing digital infrastructure as governments seek to modernize public services, expand internet access and strengthen private sector participation in digital economies. The institution said multilateral development banks have historically devoted only a limited share of their portfolios to digital investments despite their broad economic impact.
Rather than creating a standalone digital financing programme, the OPEC Fund will integrate digital components into projects spanning infrastructure, education, trade and institutional development while pursuing partnerships with governments, multilateral lenders, technology companies and private investors.
The lender said digital investments will also complement projects in climate resilience and food security, including smart agriculture, climate analytics, digital supply chains and energy-efficient information and communications technology infrastructure, as it seeks to maximise development impact across sectors.
