Pakistan’s solar surge lifts it into rarefied 25% club

A visitor looks at solar panels exhibited during the International Solar Energy Meet (ISME) Pakistan in Lahore on May 24, 2025. (AFP/File)
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Updated 17 June 2025
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Pakistan’s solar surge lifts it into rarefied 25% club

  • Pakistan has boosted solar power generation by over three times global average so far this year, solar capacity imports up more than fivefold since 2022
  • Solar power made up 25% of utility-supplied electricity in 2025, making Pakistan among 20 nations sourcing quarter or more monthly electricity supplies from solar 

LITTLETON, Colorado: Pakistan is rapidly emerging as a key leader in solar power deployment, and not just within emerging economies.

The South Asian country has boosted solar electricity generation by over three times the global average so far this year, fueled by a more than fivefold rise in solar capacity imports since 2022, according to data from Ember.

That combination of rapidly rising capacity and generation has propelled solar power from Pakistan’s fifth-largest electricity source in 2023 to its largest in 2025.

What’s more, so far in 2025 solar power has accounted for 25% of Pakistan’s utility-supplied electricity, which makes it one of fewer than 20 nations globally that have sourced a quarter or more of monthly electricity supplies from solar farms.

EXCLUSIVE CLUB

Over the first four months of 2025, solar farms generated an average of 25.3% of Pakistan’s utility electricity supplies, Ember data shows.

That average compares with a solar share of 8% globally, around 11% in China, 8% in the United States, and 7% in Europe.

And while the average solar shares in the Northern Hemisphere will climb steadily through the summer months, very few countries will even come close to securing a quarter of all utility electricity supplies from solar farms any time soon.

Indeed, only 17 countries have ever registered a 25% or more share of monthly utility electricity supplies from solar farms, according to Ember.

Those nations are: Australia, Belgium, Bulgaria, Chile, Cyprus, Denmark, Estonia, Germany, Greece, Hungary, Latvia, Lithuania, Luxembourg, the Netherlands, Pakistan, Portugal and Spain. That list is heavily skewed toward Europe, where the power sector shock from Russia’s full-scale invasion of Ukraine in 2022 sparked urgent and widespread power-sector reform and the rapid roll-out of renewable generation capacity.

Indeed, Australia and Chile are the only nations aside from Pakistan that are outside Europe, and all included nations boast a far higher gross domestic product (GDP) per capita than Pakistan.

IMPORT DRIVE

The chief driver of Pakistan’s solar surge has been an accelerating import binge of solar capacity modules from China.

Between 2022 and 2024, Pakistan’s imports of China-made solar components jumped fivefold from around 3,500 megawatts (MW) to a record 16,600 MW, according to Ember.

Pakistan’s share of China’s total solar module exports also rose sharply, from 2 percent in 2022 to nearly 7 percent in 2024.

And that import binge has continued into 2025.

Over the first four months of the year, Pakistan imported just over 10,000 MW of solar components from China, compared with around 8,500 MW during the same period in 2024.

That rise of nearly 18% in imported capacity has lifted Pakistan’s share of China’s solar exports to new highs too, with Pakistan accounting for around 12% of all of China’s solar exports so far this year.

SOLAR-CENTRIC

The frantic deployment of imported solar modules across Pakistan in recent years has upended the country’s electricity generation mix.

So far in 2025, solar is by far the single largest source of electricity, followed by natural gas, nuclear reactors, coal plants and hydro dams.

As solar farms were the fifth-largest supply source for electricity just two years ago, solar’s pre-eminence so far this marks a sharp swing toward renewables within the country’s utility network.

In addition, the country is committed to much more growth in renewable energy generation capacity through the rest of this decade.

Pakistan is targeting 60% of electricity supplies to come from renewable sources by 2030, according to the International Trade Administration.

Through the first four months of 2025, renewable energy sources generated 28% of the country’s electricity, so energy planners are aiming for a more than doubling in that share by the end of the decade.

With solar modules representing the quickest and cheapest means to meet those goals, further rapid build-out of the country’s solar farm system looks likely, which will cement Pakistan’s status as a global solar superpower.


Pakistan, global crypto exchange discuss modernizing digital payments, creating job prospects 

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Pakistan, global crypto exchange discuss modernizing digital payments, creating job prospects 

  • Pakistani officials, Binance team discuss coordination between Islamabad, local banks and global exchanges
  • Pakistan has attempted to tap into growing crypto market to curb illicit transactions, improve oversight

ISLAMABAD: Pakistan’s finance officials and the team of a global cryptocurrency exchange on Friday held discussions aimed at modernizing the country’s digital payments system and building local talent pipelines to meet rising demand for blockchain and Web3 skills, the finance ministry said.

The development took place during a high-level meeting between Finance Minister Muhammad Aurangzeb, Pakistan Virtual Assets Regulatory Authority (PVARA) Chairman Bilal bin Saqib, domestic bank presidents and a Binance team led by Global CEO Richard Teng. The meeting was held to advance work on Pakistan’s National Digital Asset Framework, a regulatory setup to govern Pakistan’s digital assets.

Pakistan has been moving to regulate its fast-growing crypto and digital assets market by bringing virtual asset service providers (VASPs) under a formal licensing regime. Officials say the push is aimed at curbing illicit transactions, improving oversight, and encouraging innovation in blockchain-based financial services.

“Participants reviewed opportunities to modernize Pakistan’s digital payments landscape, noting that blockchain-based systems could significantly reduce costs from the country’s $38 billion annual remittance flows,” the finance ministry said in a statement. 

“Discussions also emphasized building local talent pipelines to meet rising global demand for blockchain and Web3 skills, creating high-value employment prospects for Pakistani youth.”

Blockchain is a type of digital database that is shared, transparent and tamper-resistant. Instead of being stored on one computer, the data is kept on a distributed network of computers, making it very hard to alter or hack.

Web3 refers to the next generation of the Internet built using blockchain, focusing on giving users more control over their data, identity and digital assets rather than big tech companies controlling it.

Participants of the meeting also discussed sovereign debt tokenization, which is the process of converting a country’s debt such as government bonds, into digital tokens on a blockchain, the ministry said. 

Aurangzeb called for close coordination between the government, domestic banks and global exchanges to modernize Pakistan’s payment landscape.

Participants of the meeting also discussed considering a “time-bound amnesty” to encourage users to move assets onto regulated platforms, stressing the need for stronger verifications and a risk-mitigation system.

Pakistan has attempted in recent months to tap into the country’s growing crypto market, crack down on money laundering and terror financing, and promote responsible innovation — a move analysts say could bring an estimated $25 billion in virtual assets into the tax net.

In September, Islamabad invited international crypto exchanges and other VASPs to apply for licenses to operate in the country, a step aimed at formalizing and regulating its fast-growing digital market.