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cryptonews 2025-07-03 05:42:06

IMF Rejects Pakistan’s Energy Plan for Bitcoin Mining – What Does This Mean for Its Crypto Ambitions?

IMF Rejects Pakistan’s Energy Plan for Bitcoin Mining – What Does This Mean for Its Crypto Ambitions?

The International Monetary Fund (IMF) has rejected Pakistan’s proposal to offer subsidised electricity tariffs for crypto mining operations. Per local reports, the government is still engaged with international institutions to refine the plan. “As of now, the IMF has not agreed,” said Secretary of Power Dr. Fakhray Alam Irfan, during a session with the Senate Standing Committee on Power. According to a report by Profit , the IMF has warned that the plan could add strain to the power sector. Dr Irfan told the committee that the agency is concerned about market distortions over Pakistan’s subsidised energy rates proposal. IMF Flags Several Concerns Against Pakistan’s Power Proposal for Bitcoin Mining Last month, the IMF questioned Pakistan’s power push for Bitcoin mining, raising concerns over legal issues and power strain. The international financial body laid out several concerns, including the legality of crypto mining in Pakistan and the additional strain on the already burdened power grid. The @IMFNews is pushing back on Pakistan’s plan to allocate 2,000 megawatts of electricity for Bitcoin mining and AI data centers. #IMF #Bitcoin https://t.co/X9YHqz9qTO — Cryptonews.com (@cryptonews) June 1, 2025 Further, the fund warned about resource distribution and knock-on effects on power tariffs. The IMF noted that Pakistan did not consult the fund ahead of the announcement. In May, Pakistan announced that it will allocate 2,000MW to power crypto mining and data centres, in a move to attract foreign investment. The initiative is driven by the Pakistan Crypto Council and supported by the Ministry of Finance. Pakistan in Talks With International Institutions Dr Irfan confirmed that the government is still in talks to redefine its power subsidiary plan after the IMF has rejected the proposal. The committee further discussed technological solutions aimed at combating electricity theft. They also discussed the government’s recent agreement with scheduled banks to reduce the circular debt stock. Senator Shibli Faraz criticised that banks were “forced at gunpoint” to offer the loans. The committee has directed the Power Division to submit comprehensive answers to various issues at the next meeting. The post IMF Rejects Pakistan’s Energy Plan for Bitcoin Mining – What Does This Mean for Its Crypto Ambitions? appeared first on Cryptonews .

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