The International Monetary Fund (IMF) He has rejected Pakistan’s repeated proposals to provide Bitcoin subsidized electricity
Mining and other energy intensive industries, according to reports.
The Secretary of Power, Dr. Fakhray Alam Irfan, said the IMF was concerned about market distortions in a session with the Senate’s Permanent Power Committee on Thursday.
The Government had planned to assign 2,000 megawatts of its 7,000 MW electricity surplus to cryptographic mining at 23-24 RUPIAS Pakistani Rups ($ 0.08) By kilowatio-Hora (KWh). However, the IMF remained unconvinced, warning that such incentives resemble the fiscal holidays that often undermine market efficiency.
The IMF questioned how the government would transition from subsidized electricity to market rates and argued that similar concessions had not been able to deliver results in the past.
Originally launched in September 2024 as a package of six -month marginal cost rates, the plan was reduced to three months under IMF. A monitoring subsidy proposal was also rejected in November.
Dr. Irfan added that the government was still in conversations with international institutions to refine the plan.
The Pakistan government presented plans to establish a Bitcoin strategic reserve and support BTC mining in May inspired by the administration plans of President Donald Trump in the United States.
The country’s state minister for Blockchain and Crypto cited the possibilities of giving the 100 million non -banking Pakistani the tools to save and investment as a motivation for government plans.
“We want their economic classes to break. And I really think Crypto and Blockchain can help us to make that quantum leap,” said Bin Saqib at the 2025 Bitcoin Conference in Las Vegas.
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