Pakistan Announces Plans to Reserve 2,000 MW of Electricity for Bitcoin Mining and AI Data Centers

In a bold move to position Pakistan as the global hub of digital ingenuity, the Government of Pakistan has announced its plans to reserve 2,000 megawatts (MW) of electricity

In a groundbreaking move to establish Pakistan as the global hub for digital ingenuity, the Government of Pakistan is planning to dedicate 2,000 megawatts (MW) of electricity in the pilot phase of a national project to support Bitcoin mining and AI data centers, TechJuice has learned.

This initiative is being spearheaded by the Pakistan Crypto Council (PCC), a government-backed organization operating under the Ministry of Finance, as part of its broader agenda to monetize surplus electricity, generate high-tech jobs, attract billions of dollars in foreign direct investment, and yield billions of dollars to the government.

Announcing this pivotal moment in Pakistan’s digital transformation is Finance Minister Senator Muhammad Aurangzeb. He highlights the economic essence of converting excess energy into innovation, innovation into investment, and finally, investment into international revenue, a unique capability that, in the present global economic landscape, positions Pakistan in an advantageous position.

Pakistan’s economic and geographical attributes ideally place it as a global data hub. Serving as a digital bridge between Asia, Europe, and the Middle East, Pakistan’s location is the most strategic in the world for optimal data flow and seamless digital infrastructure.

When the PCC was inaugurated earlier this year, there was widespread interest among Bitcoin miners and data infrastructure companies worldwide in setting up operations in Pakistan.

Now, Pakistan’s untapped power generation capacity is being reallocated to high-value digital assets. AI data centers and Bitcoin mining operations, recognized for their consistent and substantial energy usage, present an ideal use case for this surplus energy.

The redirection of idle energy, particularly from plants operating below capacity, enables Pakistan to convert a long-standing financial liability into a sustainable opportunity for revenue generation and foreign exchange.

Highlighting the revolutionary nature of this project, Bilal Bin Saqib, CEO of the Pakistan Crypto Council, notes that good governance, openness to foreign investment, and international cooperation could propel Pakistan to become a world crypto and AI powerhouse.

In addition to providing access to high-value investment, this energy-backed digital transformation allows the government to generate US dollars in foreign exchange through Bitcoin mining. Moreover, as regulations evolve, Pakistan could officially store Bitcoin in a national wallet, marking a significant shift from selling power in Pakistani Rupees (PKR) to leveraging digital assets for economic stability.

With stable and cheap energy, Pakistan presents a highly competitive environment. Unlike India and Singapore, where rising power costs and land constraints limit scalability, the world scene underscores Pakistan’s strategic edge: global supply is around 15 GW, even as demand for AI data centers has soared to over 100 GW.

For nations like Pakistan with excess energy, land, and a developing legal framework, this substantial deficit presents a unique opportunity.

The arrival of the world’s biggest submarine internet cable has also significantly enhanced the nation’s digital connectivity. Now, Pakistan is a landing point for the Africa-2 Cable Project, a 45,000-kilometer global network spanning 33 nations via 46 landing facilities.

Pakistan, with a population of over 250 million and over 40 million cryptocurrency users, holds great promise to become a regional leader in digital services.

Local artificial intelligence data centers will not only address increasing concerns about data sovereignty but also strengthen cybersecurity, enhance digital service delivery, and empower national capabilities in AI and cloud infrastructure, which are crucial for technological advancement and economic competitiveness in today’s interconnected world.

Anticipated to generate thousands of direct and indirect jobs, these facilities will aid in developing a skilled workforce in data sciences, engineering, and IT, contributing to broader economic growth.