Pakistan Unveils Plans to Allocate 2,000 MW of Electricity to Bitcoin Mining and AI Data Centers

In a bold step toward positioning Pakistan as a global hub for digital innovation, the Pakistani government has unveiled plans to allocate 2,000 megawatts (MW) of electricity

The Pakistani government is planning to allocate 2,000 megawatts (MW) of electricity in the initial phase of a project to support Bitcoin mining and AI-driven data centers, as part of a broader strategy by the Pakistan Crypto Council (PCC) to monetize surplus electricity, create high-tech jobs, and attract billions of dollars in foreign direct investment.

This initiative is being undertaken as part of the government’s broader effort to generate billions of dollars for the government. The crypto council, which comes under the Ministry of Finance, will be spearheading this initiative.

Announcing this strategic allocation, Finance Minister Senator Muhammad Aurangzeb highlighted the pivotal moment in Pakistan’s digital transformation.

“This is a pivotal moment in Pakistan’s economic transformation. We are taking a bold step today to unlock new avenues of prosperity. We will be allocating 2,000 MW of electricity, in the first phase, to support crypto mining and AI data centers. This is part of a broader strategy by the Pakistan Crypto Council to monetize our surplus electricity, create high-tech jobs, and attract billions in foreign direct investment. The goal is to generate billions of dollars in revenue for the government and propel Pakistan into a regional hub for digital innovation,” the minister said.

He added that Pakistan is uniquely positioned, both geographically and economically, to become a global hub for data centers. As a digital bridge between Asia, Europe, and the Middle East, Pakistan offers the most strategic location in the world for data flow and digital infrastructure.

Since the formation of the Pakistan Crypto Council, there has been enormous interest from global Bitcoin miners and data infrastructure companies in investing in Pakistan. Several international firms have already visited the country for exploratory discussions.

Following this landmark announcement, more global players are expected to visit in the coming weeks to finalize investment plans in various stages of the data center and crypto mining projects.

Pakistan is now redirecting its underutilized power generation capacity into a high-value use case with the integration of AI data centers and Bitcoin mining operations, both known for their consistent and large-scale energy usage.

This initiative presents a unique opportunity to convert a long-standing financial liability into a sustainable, revenue-generating asset for Pakistan.

The country’s move to support Bitcoin mining and AI data centers comes amid a broader government strategy to monetize surplus electricity.

Highlighting the initiative, Bilal Bin Saqib, CEO of the Pakistan Crypto Council, stated that with proper regulation, transparency, and international collaboration, Pakistan can become a global crypto and AI powerhouse.

“This energy-backed digital transformation will unlock high-value investment into Pakistan. We will see billions of dollars flowing into the country as we build out the infrastructure for crypto mining and AI data centers. In addition, the government will be able to generate foreign exchange revenue in USD from Bitcoin mining.

As the relevant regulations evolve, we will see Pakistan accumulating Bitcoin directly into a national wallet. This marks a monumental shift from selling power in PKR to leveraging digital assets for Pakistan’s long-term economic stability and financial resilience in the global digital economy.”

Pakistan’s competitive edge over regional tech markets like India and Singapore, where rising power costs and land scarcity limit scalability, is highlighted by its offering of stable and affordable energy.

The global context of surging AI data center demand, to over 100 GW, versus limited global supply, currently at 15 GW, presents a huge opportunity for countries like Pakistan with surplus power, land, and an emerging regulatory framework to capitalize on.

Pakistan’s digital connectivity has also been significantly enhanced with the landing of the world’s largest submarine internet cable, the Africa-2 Cable Project, a 45,000-kilometre global network connecting 33 countries through 46 landing stations, in Pakistan.

This milestone expands Pakistan’s internet bandwidth, reduces latency, and increases resilience with redundant fiber routes, crucial for ensuring high availability and operational continuity of the AI data centers.

With a population of over 250 million and more than 40 million crypto users, Pakistan is poised for leadership in digital services within the region.

The establishment of local AI data centers will address rising concerns over data sovereignty, enhance cybersecurity, improve digital service delivery, and empower national capabilities in AI and cloud infrastructure.

These centers are expected to create thousands of direct and indirect jobs, fostering the development of a skilled workforce in engineering, IT, and data sciences.

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.

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