Govt Seeks Rs1.28bn Grant to Power Pakistan’s AI Infrastructure Through Digital Authority

Pakistan is preparing a major financial intervention to accelerate its artificial intelligence agenda as the Information Technology and Telecom Division seeks a supplementary grant of Rs1.28 billion for the Pakistan Digital Authority. The proposal goes before the Economic Coordination Committee today (December 9) and is being positioned as a strategic investment to fast-track the Prime Minister’s AI programme during the current fiscal year. Senior officials say the funding has become time-critical as global competition intensifies, with regional economies rapidly scaling their AI infrastructure and governance systems.

Rs1.28bn Grant Proposed to Power Pakistan’s National AI Infrastructure

Chaired by Finance and Revenue Minister Muhammad Aurangzeb, the ECC will review the high-stakes proposal aimed at establishing the core foundations of Pakistan’s national AI architecture. According to officials familiar with the summary, the Pakistan Digital Authority intends to use the Rs1.28 billion allocation to roll out priority AI programmes, strengthen government data platforms, and launch pilot-scale AI projects already approved at the federal level. The grant also covers the development of digital governance tools, early-stage automation systems, and technology frameworks that will ultimately feed into broader public-sector transformation.

The IT Division has warned that delays in financing could slow or jeopardize several planned national AI deployments, including authentication platforms, predictive analytics systems, and integrated data layers for ministries. These projects are central to the government’s ambition to embed artificial intelligence into service delivery, administrative efficiency, and transparency. Officials argue that without immediate resources, Pakistan risks widening its technological gap at a time when global AI capacity is advancing at an unprecedented pace.

ECC to Weigh Rs1.28bn Request as Govt Pushes to Fast-Track Pakistan’s AI Expansion

While the proposal arrives during a period of tight fiscal space, policymakers say the government is likely to give the matter serious consideration. The administration has consistently highlighted AI as a critical driver of national competitiveness, public-sector optimisation, and economic resilience. Multiple ministries, particularly in health, interior, energy, and revenue, have been pushing for AI-enabled systems to streamline workflows, reduce leakages, and support data-driven decision-making.

The ECC’s decision will determine how quickly Pakistan can move from policy commitments to practical deployment. A green signal would give the Pakistan Digital Authority the financial base required to operationalise national AI infrastructure and kick-start early projects before the fiscal year ends. More broadly, the outcome will reflect how the government intends to balance fiscal discipline with strategic investment in emerging technologies. As countries worldwide race to build AI-first governance structures, Pakistan’s next step could signal whether it is prepared to move at the necessary scale and speed to stay competitive.

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