The government of Pakistan will allocate 2 GW of surplus electricity for Bitcoin mining and to power data centers for artificial intelligence, according to local media reports.
This initiative is part of the country’s digital transformation strategy, proposed by the Cryptocurrency Council and supported by the Ministry of Finance. The ministry announced tax incentives for AI infrastructure providers and exemptions from import duties on mining equipment.
Officials anticipate that the implementation of this decision will attract “billions of dollars” in foreign investment and create high-tech jobs.
According to their statements, international companies have shown “great interest.” Several delegations have already visited the country to explore cooperation opportunities.
In April, the head of the Cryptocurrency Council, Bilal bin Saqib, announced plans to direct surplus electricity towards mining. This is intended to alleviate the issue of excess generation and reduce costs for producers. Binance founder Changpeng Zhao serves as an advisor to the council.
The second phase of the initiative will focus on expanding the use of renewable energy sources by miners to enhance the sector’s sustainability.
Back in 2022, the authorities in Pakistan considered banning cryptocurrencies and planned to block websites related to digital assets.