Pakistan is setting aside 2,000 megawatts of extra electricity to support Bitcoin mining and artificial intelligence data centers. This is part of a larger plan led by the Pakistan Crypto Council, under the Ministry of Finance, to turn unused electricity into something useful. The country has power plants, like the ones in Sahiwal, China Hub, and Port Qasim, that are not running at full capacity. Instead of letting this energy go to waste, Pakistan wants to use it for digital infrastructure.
This move helps in a few ways. It attracts foreign direct investment, brings in dollars through Bitcoin mining, and creates high-tech jobs. The country also wants to become a digital bridge between Asia, Europe, and the Middle East. That location could make Pakistan a central hub for data centers and crypto infrastructure in the region.
Bitcoin mining takes a lot of electricity. It involves solving complex math problems to secure the Bitcoin network and earn rewards. AI data centers also need strong computing power and stable electricity to run large models and process data. Pakistan’s extra electricity can support both of these technologies. By using power that would otherwise go unused, the country is turning an energy problem into a digital opportunity.
The government is offering tax incentives to attract companies. That includes lower tax rates, customs duty exemptions on imported equipment, and support for AI infrastructure developers. These steps aim to make it easier for companies to build and grow in Pakistan. The idea is to bring in global investors who are looking for new places to set up data centers or expand Bitcoin mining operations.
This is not just about coal plants, though. Future phases of the project will include renewable energy sources like wind, solar, and hydropower. That’s important because it balances economic growth with environmental goals. If Pakistan can grow its digital economy while reducing its carbon footprint, it could become a leader in clean crypto and AI development.
The country also landed the Africa-2 submarine internet cable recently. This cable increases internet bandwidth and improves reliability. That matters for AI operations, which often depend on fast and steady internet connections. With this cable in place, Pakistan is better prepared to support data-heavy tasks like machine learning and real-time processing.
Bilal Bin Saqib, the CEO of the Pakistan Crypto Council, believes that with the right laws and clear rules, the country can become a major player in the crypto and AI sectors. Regulation and transparency are key parts of the plan. If companies feel safe doing business in Pakistan, they’re more likely to invest and stay long term.
Right now, countries like India and Singapore are ahead in the crypto and AI space. But Pakistan is working to catch up. With its low-cost electricity, new internet cables, and helpful tax rules, it hopes to stand out as a smart option in South Asia. This effort could also help the country earn foreign exchange and boost its digital economy at a time when dollars are hard to come by.
The 2,000 megawatts come mostly from coal-based power plants that were not being used efficiently. These plants were built to support growing energy needs but ended up being too expensive to run at full speed. Instead of shutting them down, Pakistan wants to repurpose them. This gives them a new role without wasting the investment already made to build them.
Bitcoin mining is a global business, and Pakistan wants a share of it. When miners earn Bitcoin, they can sell it for US dollars, which strengthens the local economy. That’s especially helpful for a country that often faces trade deficits and needs more foreign exchange. AI developers also look for affordable places to build their infrastructure. With cheap power and faster internet, Pakistan is becoming more appealing to them too.
The digital transformation strategy is not just about tech. It’s also about jobs. New data centers will need engineers, technicians, security staff, and more. This could help reduce unemployment and give young people a reason to stay in the country. By investing in AI and blockchain infrastructure, Pakistan hopes to build a future-ready economy that can compete on the global stage.
The Pakistan Crypto Council is working closely with the Ministry of Finance to roll out the plan in phases. They are making sure the legal and financial systems are ready to support these high-tech industries. That includes reviewing crypto regulations, updating power grid access rules, and working with international partners.
There are risks involved. The crypto market can be volatile, and running large data centers comes with security and maintenance challenges. But Pakistan believes the benefits outweigh the risks. The country has a chance to take unused assets—like idle power plants and underused land—and turn them into something that creates value.
With its digital economy growing, Pakistan is also exploring blockchain solutions beyond Bitcoin mining. That could include government services, supply chain tracking, and smart contracts. These tools could make processes more transparent and reduce corruption. For now, the focus is on building the core infrastructure—power, internet, and legal frameworks—that will support all of this.
The international tech community is watching closely. If Pakistan can follow through with its promises, it may become a real competitor in the region. That would shift some of the attention away from traditional centers like India and Singapore. Investors looking for lower costs and high potential may find Pakistan a smart place to build.
Pakistan’s use of surplus electricity for Bitcoin mining and AI infrastructure is a strategic move. It shows a clear effort to join the digital world economy using tools the country already has. With careful planning, international cooperation, and strong regulation, Pakistan could transform its extra energy into real economic growth. This is not just a tech story—it’s a story about using what you have to build what you need.
