IMF Shuts Down Pakistan’s Crypto Mining Energy Plan
Pakistan’s ambitious plan to allocate surplus electricity toward cryptocurrency mining and AI data centres has hit a major roadblock. The International Monetary Fund (IMF) has pushed back against the proposal, raising concerns about the lack of prior consultation and its implications for the country’s financial stability.
The idea—put forward by Pakistan’s Crypto Advisory Council—sought to harness 2,000 megawatts of excess seasonal energy to power digital infrastructure. The goal was to attract foreign capital, generate skilled jobs, and position Pakistan as a regional leader in blockchain and AI development.
The IMF, however, opposed the initiative, citing Pakistan’s heavy reliance on external borrowing. The country is targeting approximately $20 billion in foreign financing for the 2025–2026 fiscal year, including support from the World Bank and the Saudi Oil Fund.
Additionally, the global lender remains wary after previously rejecting Pakistan’s attempt to establish a national Bitcoin reserve. The latest proposal to subsidise electricity for crypto use was viewed as risky and inconsistent with current economic agreements.
As a result, Pakistan is expected to shelve or delay its crypto infrastructure plans until its economic position improves and greater alignment is achieved with its global creditors.
