Pakistan Allocates 2,000 MW Electricity for Bitcoin Mining and AI Data Centers

ISLAMABAD, May 26, 2025— In a bold initiative aimed at transforming Pakistan into a global leader in digital innovation, the Government of Pakistan has announced the allocation of2,000 megawatts (MW)of electricity in the first phase of a national strategy to powerBitcoin miningandArtificial Intelligence (AI) data centers. The initiative, spearheaded by thePakistan Crypto Council (PCC)under the Ministry of Finance, seeks to monetize the country’s surplus electricity, create high-tech jobs, attract billions in foreign direct investment, and generate substantial revenue for the government. In a statement released by the Finance Ministry,Finance Minister Senator Muhammad Aurangzebcalled the move a “pivotal moment in Pakistan’s digital transformation journey,” noting that the strategic redirection of underutilized power would unlock economic potential through innovation and international revenue generation. Pakistan, with its strategic geographical location at the crossroads of Asia, the Middle East, and Europe, is being positioned as a future global hub for data centers. The country’s emerging regulatory framework and abundant unused energy make it an attractive destination for global tech companies. Since the formation of the PCC, interest from internationalBitcoin miners and infrastructure firms has surged. Multiple global companies have already held exploratory visits, and more are expected to arrive in the coming weeks following this landmark energy allocation. According to PCC CEOBilal Bin Saqib, this initiative has the potential to transform Pakistan into a global leader in crypto and AI innovation. “With the right regulation, transparency, and global collaboration, Pakistan can become a digital powerhouse,” he said. “This energy-backed transformation will not only attract high-value investment but enable the country to earn foreign exchange through Bitcoin mining.” Pakistan has long grappled with the challenge of underutilized power plants operating below capacity. The government’s decision to allocate 2,000MW to high-energy-use sectors like AI and crypto mining represents a paradigm shift: turning financial liabilities into revenue-generating assets. Significantly, as regulations evolve, Pakistan could accumulateBitcoin in a national wallet—marking a dramatic shift from selling energy in rupees to leveraging digital assets for economic resilience. Pakistan’s competitive edge lies in itslow-cost, stable energy supply—a stark contrast to regional counterparts like India and Singapore, where escalating energy costs and land scarcity hinder scalability. The move comes amid a global boom in AI data center demand, currently estimated at over100 GW, while global supply lags at only15 GW. Adding to its appeal, Pakistan has recently boosted its digital infrastructure with the landing of theAfrica-2 submarine internet cable—the world’s largest such project. The 45,000-kilometre cable, connecting 33 countries through 46 landing stations, has significantly enhanced Pakistan’s bandwidth, latency, and internet resilience—critical for the operation of large-scale AI data centers. With apopulation exceeding 250 millionand over40 million crypto users, Pakistan stands poised to lead regional digital services, enhance data sovereignty, and bolster national cybersecurity. This announcement marks only thefirst phaseof a broader, multi-stage digital infrastructure rollout. Future developments will includerenewable-powereddata centers, international blockchain and AI partnerships, and the creation offintech and innovation hubs. Plans are underway to incentivize investments throughtax holidays,customs duty exemptionson equipment, andreduced tax ratesfor AI infrastructure developers. The government also aims to leverage its massiverenewable energy potential—including over50,000 MW in wind energycapacity in the Gharo-Keti Bandar corridor—alongside solar and hydropower, todrive sustainable digitalgrowth. Through this initiative, Pakistan is laying the groundwork for a sovereign digital economy—capable ofaccumulating digital assets,exporting digital services, andleading in Web3, AI, and next-generation technologies. With the right regulatory framework, international collaborations, and forward-looking incentives, Pakistan is now firmly on the path to becoming a regional epicenter forAI, crypto, anddigital innovation.