ChainTech Africa

In a bold move to modernize its economy and attract global tech investors, Pakistan has earmarked 2,000 megawatts of surplus electricity exclusively for Bitcoin mining and artificial intelligence (AI) infrastructure. The initiative, led by the Pakistan Crypto Council and backed by the Ministry of Finance, marks a major leap toward the country’s digital transformation.

Finance Minister Muhammad Aurangzeb announced the plan’s first phase would redirect unused national energy capacity to support high-tech industries, a decision he says could bring billions in foreign investment and create thousands of specialized jobs.

“This is a turning point for Pakistan’s digital economy,” said Bilal Bin Saqib, CEO of the Pakistan Crypto Council. “We’re aligning unused energy with cutting-edge industries that will define the next decade.”

The government has already begun seeing international interest, with several foreign delegations visiting the country in recent months to explore investment opportunities in crypto mining and AI sectors.

In its second phase, the initiative will integrate renewable energy sources, balancing economic growth with environmental sustainability.

To further entice investors, the Ministry of Finance unveiled a sweeping package of tax incentives for AI firms and duty exemptions for Bitcoin mining operations. The government also recently approved the formation of the Pakistan Digital Assets Authority (PDAA), a regulatory body tasked with licensing exchanges, overseeing tokenized platforms, and guiding the country’s emerging blockchain ecosystem.

The PDAA will play a critical role in monetizing excess energy through regulated crypto mining and helping tokenize national assets, including government debt. The authority’s establishment is seen as a foundational step toward building a transparent, compliant digital financial system.

The move follows Pakistan’s rise to ninth place in the 2024 Chainalysis Global Crypto Adoption Index, a ranking driven by strong grassroots adoption and centralized transaction volume.

Saqib, who first pitched the idea of utilizing excess energy for crypto mining at a high-level meeting on March 21, emphasized that Pakistan is now “ready to take its place as a serious player on the global tech stage.”

With regulatory clarity, government backing, and growing international interest, Pakistan is betting big on a digital future powered by innovation, energy, and opportunity.