ISLAMABAD: In a landmark decision to position itself as a global hub for digital innovation, Pakistan has allocated 2,000 megawatts (MW) of electricity in the first phase of a national initiative aimed at supporting Bitcoin mining and artificial intelligence (AI) data centres.
The initiative is being led by the Pakistan Crypto Council (PCC), a government-backed body established under the Ministry of Finance.
According to a statement issued by the Finance Division, the move forms part of a broader national strategy to monetise surplus power, create high-tech jobs, and attract foreign direct investment (FDI).
Finance Minister Muhammad Aurangzeb described the decision as a “pivotal moment” in Pakistan’s digital transformation.
“Pakistan is uniquely positioned — both geographically and economically — to become a global hub for data centres,” he said, adding that the country serves as a strategic digital bridge between Asia, Europe and the Middle East.
The repurposing of underutilised coal-fired power plants — including Sahiwal, China Hub and Port Qasim — currently operating at just 15% capacity, is being considered to meet the energy demands of Bitcoin mining and AI data infrastructure.
Officials believe this shift will convert financial liabilities into sustainable, revenue-generating assets.
The statement also confirmed that Pakistan is in the process of legalising cryptocurrency in a bid to attract global investors.
The PCC, launched in March 2025, aims to regulate and integrate blockchain technology and digital assets into the country’s financial framework.
The government has appointed entrepreneur Bilal Bin Saqib as Chief Adviser to the Finance Minister on crypto matters.
Saqib, who also serves as the CEO of the PCC, said the energy-backed digital shift represents a transformational opportunity for Pakistan.
“With transparency, regulation, and international collaboration, Pakistan can emerge as a global powerhouse in crypto and AI,” he stated.
He added that Bitcoin mining — powered by surplus energy — could generate foreign exchange in US dollars and allow the state to accumulate digital assets in a national crypto wallet, a move that could enhance economic stability.
The Finance Division stated that Pakistan’s energy surplus provides a competitive edge over regional peers such as India and Singapore, where higher energy costs and land constraints limit scalability.
It also cited the growing global demand for AI data centres — expected to exceed 100 gigawatts (GW) — compared to the current global supply of just 15GW, positioning Pakistan to capitalise on this shortfall.
Further strengthening Pakistan’s digital readiness is the recent landing of the Africa-2 submarine internet cable — the world’s largest — in the country.
The 45,000-kilometre cable connects 33 countries via 46 landing stations and is expected to significantly boost internet bandwidth, reduce latency and improve connectivity resilience, all of which are critical for large-scale AI operations.
According to the government, the development of local AI data centres will also enhance cybersecurity, improve digital services, and address concerns around data sovereignty.
The centres are expected to generate thousands of direct and indirect jobs, especially in fields such as IT, engineering and data science.
The government has also signalled that this is only the beginning of a multi-phase rollout. Future plans include the establishment of renewable-powered facilities using Pakistan’s untapped potential in wind, solar and hydropower.
The Gharo-Keti Bandar corridor alone offers a wind energy capacity of up to 50,000MW.
Strategic partnerships with global blockchain and AI companies, along with proposed incentives such as tax holidays, customs duty exemptions, and reduced taxation for AI infrastructure developers, are also part of the broader vision.
“With the right incentives, strategic investments, and collaborative partnerships, Pakistan is positioning itself not only as a destination for global digital infrastructure but also as a sovereign economy that can accumulate digital assets, export digital services, and lead the next generation of technological transformation,” the Finance Division concluded.
