IMF Presses Pakistan Over 2,000MW Bitcoin Mining Power Allocation

IMF Presses Pakistan Over 2,000MW Bitcoin Mining Power Allocation

Amid Energy Crisis, Islamabad’s Crypto Ambitions Spark IMF Scrutiny

Pakistan’s bold move to allocate 2,000 megawatts of electricity for Bitcoin mining and AI data centers has raised serious concerns from the International Monetary Fund (IMF)—especially as the country battles an energy crisis and negotiates a critical financial package.

Crypto Push Meets Fiscal Pressure

The plan, unveiled last week, aims to attract autonomous miners, blockchain firms, and AI developers to invest in Pakistan’s digital economy. But the IMF, according to local outlet Samaa, was not consulted ahead of the announcement and is now demanding clarification from the Finance Ministry.

“There is a fear of further tough talks from the IMF on this initiative,” said one official familiar with the negotiations. “The economic team is already facing stiff questions, and this move has only added to the complexities of the talks.”

The Fund’s main concerns revolve around:

• The legality of crypto mining in Pakistan

• The strain on national power supply amid existing energy shortages

• Potential effects on electricity tariffs and resource allocation

IMF to Host Special Session on Bitcoin Electricity Allocation

As part of its ongoing virtual discussions with Islamabad, the IMF is reportedly planning a special session focused exclusively on Pakistan’s digital power plan.

The 2,000MW allocation is central to the Pakistan Digital Asset Authority (PDAA)—a newly formed body approved by the Finance Ministry on May 21. The PDAA will oversee:

• Crypto exchanges and wallets

• Stablecoin activities

• Decentralized finance (DeFi) platforms

• Tokenization of national assets

This move reflects a strategic shift in Islamabad’s economic direction, just days after the debut of Pakistan’s first national Bitcoin reserve at the Bitcoin Vegas 2025 conference.

There, Bilal Bin Saqib, crypto adviser to Prime Minister Shehbaz Sharif, announced the launch of a government-backed Bitcoin wallet and reaffirmed the administration’s commitment to a regulated digital asset ecosystem.

Pakistan’s Changing Tone on Crypto

This year has seen Pakistan rapidly move from regulatory ambiguity to structured oversight in the crypto space.

• In February 2025, the government proposed a National Crypto Council to formalize digital asset regulations and attract foreign investment.

• One of its initial proposals included using surplus energy for Bitcoin mining and building a national strategic reserve.

• In April, Binance co-founder Changpeng Zhao was appointed as an adviser to the Council, offering expertise in blockchain policy and adoption.

As Islamabad deepens its ties to the digital economy, the IMF’s pushback signals a broader conflict: the clash between emerging tech-driven policy and the fiscal conservatism of global lenders.