Asia is raising transport costs and damaging the international competitiveness of China and other countries by not spending enough on infrastructure investment, the Asian Development Bank will report today.

In a draft discussion paper to be presented by Haruhiko Kuroda, ADB president, to a closed-door emerging markets forum in Jakarta, the ADB warns that Asia needs $3,000bn (€2,349bn, £1,580bn) - or $300bn a year - in infrastructure investment over the next decade.

Mr Kuroda told the Financial Times yesterday that heavy investment in infrastructure was crucial if Asia was to facilitate further growth. He highlighted Indonesia's record as an example of problems facing Asia.Shawn Donnan, Jakarta