Pakistan’s Finance Ministry has announced that 2,000 megawatts (MW) of surplus grid power will be reserved in the first phase of a national initiative to support Bitcoin mining operations and artificial intelligence (AI) data centers. The move is framed as part of a broader digital transformation strategy aimed at monetizing underutilized generation capacity, which has become a financial burden due to high tariffs and excess contracted power. By redirecting this idle electricity to energy‑intensive digital infrastructure, the government aims to convert a long‑standing liability into a new revenue stream, including foreign exchange earnings through Bitcoin mining. The initiative is being led by the Pakistan Crypto Council (PCC), a newly formed, government‑backed body under the Finance Ministry tasked with integrating blockchain and digital assets into the financial system and attracting foreign investment. Officials have signaled that Pakistan will complement the power allocation with tax incentives, including possible tax holidays, customs duty exemptions on imported equipment, and reduced taxes for AI and blockchain infrastructure developers, in order to draw in international data center and crypto firms. Future phases are expected to emphasize renewable energy–powered facilities and deeper partnerships with global blockchain and AI companies, positioning Pakistan as a regional data center hub linking Asia, Europe, and the Middle East.

AI-generated background, compiled from web sources — not editorial content.

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