- The PCC CEO says that Pakistan can become Global Crypto, AI Powerhouse.
- Finmin calls it a fundamental moment on the digital transformation trip.
- Several interesting companies visited the country for exploratory discussions.
In an important step towards the positioning of Pakistan as a global digital innovation center, the government has assigned 2,000 megawatts (MW) of electricity in the initial phase of a national plan to support Bitcoin’s artificial mining and intelligence data centers.
According to a statement issued by the Finance Division, the initiative is headed by the Crypto Council of Pakistan (PCC), an agency supported by the government under the Ministry of Finance, as part of a broader strategy to monetize surplus electricity, create high -tech jobs, attract billions of dollars in foreign direct investment and generate billions of dollars for the government.
“The Minister of Finance, Muhammad Aurengzeb, said that this strategic assignment marks a crucial moment in the digital transformation trip of Pakistan, unlocking the economic potential by converting excess energy into innovation, investment and international income,” said the statement.
Pakistan, a country that occupied third place in the global cryptographic adoption index, has 20 million active cryptocurrencies and $ 20 billion + in cryptographic transactions.
Currently, the country is among the 10 best in terms of cryptographic adoption. With $ 35 billion in annual remittances, the country is ready to benefit from cryptographic adoption.
In March of this year, the Government constituted the Crypto Council of Pakistan (PCC) to “regulate and integrate Blockchain technology and digital assets” in the financial ecosystem of the nation.
The Bin Saqib Billal businessman was appointed Executive Director, indicating a commitment to integrate cryptocurrencies and blockchain technology into the financial ecosystem of the nation.
“Pakistan is in a unique position, both geographical and economic, to become a global center for data centers. As a digital bridge between Asia, Europe and the Middle East, Pakistan offers the most strategic location of the world for data flow and digital infrastructure,” he said today in his statement in his statement.
He said that since the beginning of the PCC, there has been a tremendous interest of Bitcoin’s global miners and data infrastructure companies. Several international companies have already visited the country for exploratory discussions, and after this historical announcement, more global players are expected to visit in the coming weeks.
“The underutilized energy generation capacity of Pakistan is now being reused in a high -value digital asset. AI data centers and Bitcoin mining operations, known for its consistent and heavy energy use, provide an ideal use case for this surplus.
“The redirection of inactive energy, especially of the plants that operate below the capacity, allows Pakistan to convert a long financial responsibility into a sustainable opportunity for income generation,” the statement added.
In the statement, the CEO of PCC, Bin Saqib, emphasized the transformative nature of this initiative and explained that with adequate regulation, transparency and international collaboration, Pakistan can become a global potency of Crypto and AI.
He added that this digital transformation backed by energy not only unlocks a high value investment, but also allows the government to generate currency in US dollars through Bitcoin mining.
In addition, as regulations evolve, Pakistan can accumulate Bitcoin directly in a national wallet, marking a monumental change in the sale of energy in Pakistani rupees to take advantage of digital assets for economic stability.
By offering stable and affordable energy, Pakistan presents a highly competitive environment compared to regional counterparts such as India and Singapore, where the increase in energy costs and the shortage of land limit scalability.
The strategic advantage of Pakistan is further underlines the global context, since while the demand of the AI data center has shot more than 100 gigawatts (GW), the global offer remains of around 15 GW. This massive deficit creates an unprecedented opportunity for countries such as Pakistan with surplus power, land and an emerging regulatory framework, he added.
The statement noted that the country’s digital connectivity has also been significantly strengthened by the landing of the world’s largest underwater cable. The Africa-2 cable project, a global network of 45,000 kilometers that connects 33 countries through 46 landing stations, has now landed in Pakistan.
This milestone improves the Internet bandwidth of Pakistan, latency and resistance through redundant fiber routes, key to guarantee high availability and operational continuity for AI data centers.
With more than 40 million cryptographic users, Pakistan has immense potential as a regional leader in digital services. The establishment of local AI data centers will not only address the growing concerns about the sovereignty of the data, but will also improve cyber security, improve the provision of digital services and train national capacities in AI and cloud infrastructure.
These centers are expected to create thousands of direct and indirect jobs, catalyzing the development of a qualified workforce in engineering, IT and Data Sciences.
The statement added that this announcement marks only the first phase of a broader deployment of several stages digital infrastructure. Future developments are expected to include facilities with renewable energy, taking advantage of the immense wind of Pakistan (50,000mw potential in the Bandar Gharo-Keti corridor), solar and hydroelectric resources, as well as strategic international associations with leading Blockchain companies and the leaders, and the establishment of Fintech and innovation and innovation.
These efforts will be complemented with proposed incentives such as fiscal vacations, customs tax exemptions on reduced equipment and taxes for AI infrastructure developers, he added.
“The combination of surplus energy of Pakistan, geographical advantage, advanced submarine cable connectivity, renewable energy potential and a large digitally compromised population creates a convincing case to become a regional epicenter of web3, AI and digital innovation.
“With the correct incentives, strategic investments and collaborative associations, Pakistan is positioning 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 in the next generation of technological transformation.”
The allocation is part of Islamabad’s plans to use its surplus electricity for Bitcoin mining and AI data centers. Pakistan’s energy sector is dealing with challenges, including high electricity rates and surplus generation capacity.
The rapid expansion of solar energy has further complicated the landscape, as more consumers resort to alternative energy sources to mitigate high costs.
– With additional contributions from Reuters
