• Pakistan allocates 2,000 MW of electricity for Bitcoin mining and AI data centres.
• The initiative aims to monetize surplus electricity and attract foreign investment.
• It is part of a broader digital infrastructure rollout plan by the Pakistan Crypto Council.
• The country seeks to become a regional leader in digital services and innovation.
• High electricity tariffs and excess capacity are challenges being addressed by this initiative.

In a significant move for its digital economy, Pakistan will allocate 2,000 megawatts (MW) of electricity to power Bitcoin mining operations and artificial intelligence (AI) data centres. This decision marks the first phase of a national initiative aimed at leveraging the country's surplus electricity amidst ongoing challenges in its energy sector, such as high electricity tariffs and surplus production capacity, according to Dawn, Reuters, and TRT Global.

The initiative, led by the Pakistan Crypto Council (PCC), is part of a broader strategy to vitalize the economy by monetizing surplus electricity, creating high-tech jobs, and attracting significant foreign investment. Finance Minister Muhammad Aurangzeb has emphasized that this initiative seeks to transform Pakistan into a global hub for digital infrastructure, positioning it strategically between Asia, Europe, and the Middle East, according to Dawn and Reuters.

As the demand for AI and data infrastructure surges globally, India and Vietnam have also been recognized as leading countries in cryptocurrency adoption. With a reported increase of 880 percent in cryptocurrency users, Pakistan aims to capitalize on this trend to enhance its economic landscape through job creation in engineering, IT, and data sciences, echoing statements from Dawn and TRT Global.

The rollout of this initiative is designed to not only address the issue of underutilized energy but also establish a solid framework for future developments in renewable energy sources, such as solar and wind power. This strategy is crucial for fostering an environment conducive to both domestic and international investments, enhancing Pakistan's reputation as a competitive region for digital transformation, according to Reuters and TRT Global.