Pakistan allocates 2,000 megawatts of electricity to fuel Bitcoin mining and AI data centers

The government has announced the allocation of 2,000 megawatts (MW) of electricity to fuel Bitcoin mining and AI data centers—marking the first phase of a transformative national strategy

The government has allocated 2,000 megawatts (MW) of electricity to fuel Bitcoin mining and AI data centers, kicking off the first phase of a national strategy.

The initiative, part of a broader plan to monetize surplus energy, attract foreign investment, and propel the country into the forefront of the digital revolution, is being spearheaded by the Pakistan Crypto Council (PCC) under the Ministry of Finance.

A statement from the Finance Division elaborated on the essence of this initiative, highlighting the conversion of Pakistan’s underutilized power capacity into a high-value asset.

This follows a decree from President Arif Alvi officially incorporating the Pakistan Crypto Council (PCC) into the Ministry of Finance earlier this year.

The move comes as part of a broader plan to monetize surplus energy, attract foreign investment, and propel the country into the forefront of the digital revolution.

A statement from the Finance Division said the initiative is being led by the Pakistan Crypto Council (PCC) under the Ministry of Finance.

“This strategic allocation marks a pivotal moment in Pakistan’s digital transformation journey, unlocking economic potential by turning excess energy into innovation, investment, and international revenue,” said Finance Minister Senator Muhammad Aurangzeb.

Pakistan is uniquely positioned—both geographically and economically—to become a global hub for data centers, the statement added.

The country’s geographic advantage as a digital bridge between Asia, Europe, and the Middle East has already sparked interest among international Bitcoin miners and AI firms.

“Since the inception of the Pakistan Crypto Council, there has been tremendous interest from global Bitcoin miners and data infrastructure companies,” the press release said, noting that major players are expected to visit Pakistan in the coming weeks.

With AI and Bitcoin mining operations requiring massive, consistent power, Pakistan’s surplus electricity—particularly from underutilized plants—is being repurposed into a lucrative opportunity.

Bilal Bin Saqib, CEO of the Pakistan Crypto Council, emphasized, “This energy-backed digital transformation not only unlocks high-value investment but enables the government to generate foreign exchange in USD through Bitcoin mining.”

He added that Pakistan could eventually accumulate Bitcoin in a national wallet, shifting from selling power in PKR to holding digital assets for long-term economic stability.

Pakistan’s digital ambitions are also being fueled by the recent landing of the 45,000-kilometer Africa-2 submarine internet cable, which will enhance bandwidth and redundancy—a critical factor for AI data centers.

The country’s 250 million population, including 40 million crypto users, further strengthens its potential as a regional tech hub.

This announcement marks only the first phase of a broader, multi-stage digital infrastructure rollout.

Future developments will include renewable energy-powered facilities—leveraging Pakistan’s immense wind (50,000 MW potential in the Gharo-Keti Bandar corridor), solar, and hydropower resources—strategic international partnerships with leading blockchain and AI companies, and the establishment of fintech and innovation hubs.

These efforts will be complemented by proposed incentives such as tax holidays, customs duty exemptions on equipment, and reduced taxes for AI infrastructure developers.