IMF Blocks Pakistan’s Crypto Mining Subsidy Plan Amid Energy Crisis
The International Monetary Fund has rejected Pakistan's proposal to offer subsidized electricity for cryptocurrency mining operations, dealing a blow to the government's efforts to attract foreign investment through digital asset infrastructure. Power Secretary Dr. Fakhray Alam Irfan confirmed the IMF's concerns about market distortions and fiscal instability during Senate committee hearings.
Pakistan's Power Division had proposed allocating 2,000 megawatts at Rs 23 per kWh for six months to crypto mining ventures. The IMF only approved a truncated three-month version, citing risks to the country's already strained power sector. This decision comes as Pakistan faces mounting energy shortages and seeks alternative revenue streams through blockchain technology adoption.
