The International Monetary Fund (IMF) has turned down Pakistan’s ongoing requests for subsidized electricity aimed at supporting Bitcoin mining and other energy-intensive industries. In a recent statement from Secretary of Power Dr. Fakhray Alam Irfan, the IMF expressed concerns regarding market distortions.

The government aimed to allocate 2,000 megawatts from its surplus electricity of 7,000 MW to cryptocurrency mining operations at rates between 23-24 rupees ($0.08) per kilowatt-hour (kWh). However, the IMF raised questions about the transition of subsidized electricity rates back to market rates, arguing that prior similar measures have not succeeded.

The initial plan was proposed in September 2024 as a six-month tariff package but had to be reduced to three months under IMF influence. Another subsidy proposal was rejected in November.

Dr. Irfan noted that discussions with international partners are continuing to refine this approach, aimed at empowering the unbanked population of Pakistan with cryptocurrency tools for saving and investment.

“We want them to break their economic classes. And I really believe that crypto and blockchain can help us take that quantum leap,” - Bin Saqib during the Bitcoin 2025 conference in Las Vegas.