IMF Blocks Pakistan’s Subsidized Power Plan for Crypto Miners Over Market Stability Fears

The International Monetary Fund has vetoed Pakistan's proposal to allocate surplus electricity to energy-intensive sectors including cryptocurrency mining. The rejection comes despite Islamabad's arguments that the plan would utilize idle capacity and stimulate industrial growth.

Power Division officials revealed the IMF's concerns during Senate testimony, noting all major energy initiatives require lender approval. Pakistan had proposed discounted rates of $0.08/kWh for crypto miners and AI data centers through a marginal cost tariff scheme.

The decision deals a blow to Pakistan's nascent crypto industry, particularly the newly formed Pakistan Crypto Council which championed mining as a solution for regional power surpluses. The IMF's intervention highlights growing institutional scrutiny of energy-intensive blockchain operations in emerging markets.