Pakistan's National AI Policy 2025: A Pillar-by-Pillar Read
@kawishwaqar|May 7, 2026 (2h ago)11 views
Pakistan now has a National AI Policy. It runs 28 pages, signed off by the Ministry of IT & Telecom, structured around six pillars with most deadlines in 2026 and 2027. Some of it is well thought through. Some of it follows the standard policy pattern of naming an objective and assigning it to a body that does not yet exist.
What follows is a pillar-by-pillar read for people who do not have time to chase the PDF.
Disclosure: I work at Jazz as Principal Evangelist Cloud & AI. This article is written as personal industry analysis. Views are my own.
Pillar 1: AI Innovation Ecosystem
The funding architecture. A National AI Fund (NAIF) draws at least 30 percent of Ignite's R&D Fund, on a perpetual basis under the Telecom Reorganization Act. Around it, a network of Centres of Excellence in AI.
- Primary CoE-AI in Islamabad, Karachi, Lahore
- Auxiliary CoE-AI in Peshawar, Quetta, Faisalabad, Hyderabad
- 400 AI projects funded annually at up to PKR 1 million each
- 200 theses funded annually at up to PKR 200,000 each
- 400 patents per year
- Separate Innovation Fund for thematic challenges, Venture Fund for post-seed scaling
Tying NAIF to a perpetual revenue source is the rare design choice that survives a change in government. Effectiveness will turn on whether the NAIF Committee actually convenes within two months of enactment, as mandated, and whether disbursement criteria become public. Without published criteria, the fund becomes another grant pipeline that everyone in the sector talks about and nobody can navigate.
Pillar 2: Awareness and Readiness
Big numbers, named owners.
- 200,000 trained in AI annually
- 1 million IT graduates trained by 2027
- 10,000 new trainers prepared by 2027
- 20,000 stipend-based internships per year
- 3,000 postgraduate scholarships per year
- 15,000 students supported via interest-free education financing (HEC + State Bank)
- 100% of public servants trained on AI basics and personal data protection by 2027
- 90% of internet-connected public aware of AI applications by 2026
- Owners: NAVTTC, DigiSkills.pk, HEC, Establishment Division
The architecture leans on existing institutions rather than inventing new ones, which is the right call. The binding constraint is not headline numbers but trainer quality, content currency, and assessment. The 10,000 trainers target is the one to watch. If those trainers are themselves trained by CoE-AI to a serious standard, the rest of the pipeline is credible.
Pillar 3: Secure AI Ecosystem
The regulatory layer.
- AI Directorate stood up under the National Commission for Personal Data Protection
- Public register of state AI systems
- Lifecycle audits and impact assessments for high-impact systems
- Algorithmic accountability framework for third-party auditors
- Open-source AI governance framework
- Generative AI guidelines covering disinformation, copyright, and IP
- National data security policy with defense-in-depth posture
- Regulatory sandbox: 50 enterprises by 2027
Governance bones are right, and a public register of state AI systems is rare in our region. Placing the AI Directorate under NCPDP signals a privacy-first lens. That is conservative but defensible. The cost is that AI policy decisions filter through a body whose primary remit is data protection, which can slow dual-use cases. The sandbox is the test. Sandboxes work when they move at startup speed. They fail when they replicate the approval-cycle dynamics of the institutions sponsoring them.
Pillar 4: Transformation and Evolution
Ten priority sectors for AI adoption.
- Education and edtech
- Healthcare, including medical record digitisation and telemedicine
- Governance, policing, justice access, disaster management
- Agriculture: irrigation, yield, food security
- Manufacturing: QA, condition-based maintenance, supply chain
- Energy and sustainable energy adoption
- Climate change mitigation
- Cultural identity preservation
- Record digitisation across infrastructure, medical, irrigation, land
- Decision support in generative AI scenarios
Plus an AI maturity model in 50 institutions by 2026 and a Ranking Management System to evaluate AI solutions for public adoption.
The priority list is the right shortlist. Healthcare digitisation, agricultural advisory, and governance are exactly where AI compounding actually happens here. The text is thinner on funding. Sectoral roadmaps without ring-fenced budgets and named secretary-level sponsors will not survive a fiscal year.
Pillar 5: AI Infrastructure
The most ambitious pillar, and the most fragile.
- National AI compute grid built around HPC centres with specialised hardware
- AI Hubs across major cities
- Federal and provincial AI data repositories
- Compute and dataset access for at least 150 academic institutions
- 50 AI models per year contributed to open platforms
- Data centre expansion with edge nodes by 2027
- Explicit alignment with Cloud First Policy 2022
- Directive that industry leverage public cloud and open-source AI infrastructure
Naming public cloud and open-source as default rails, rather than insisting on a sovereign-stack-from-scratch, is the correct posture for a country with our capital position. Distributing compute to 150 academic institutions also avoids concentrating national compute in one Islamabad facility nobody outside the federal capital can access.
What is missing is the part that decides whether any of it gets built.
- No budget figure for the national compute grid
- No mention of GPU server import duties (currently 48 percent)
- No power tariff line for HPC and data centre operations
- No specification of terms for "industry-driven data centres"
- No anchor customer or co-investment vehicle named
Compute is a procurement, energy, and tax problem more than a policy problem. The grid will succeed or fail on those line items, not on vision text.
Pillar 6: International Partnerships
Standard international cooperation language.
- Bilateral and multilateral AI agreements
- Participation in global AI forums
- Joint R&D centres with international partners
- FDI attraction for AI startups and ventures
- Talent and researcher exchange
- Alignment with international ethical guidelines
- AI for trade promotion
Useful but not where the policy differentiates. Most countries have something like this section. The actionable parts are FDI in AI ventures, capacity exchange, and standards alignment. The rest is scaffolding.
Governance: who actually does what
- AI Council. Apex strategic body. Chaired by Federal Minister IT
- Policy Implementation Cell. Operational, inside MoITT
- AI Directorate. Regulator, under NCPDP
- CoE-AI network. Delivery, funded out of NAIF
Single point of accountability is the Federal Minister IT. Worth knowing if you are tracking whether the policy is moving.
What to watch over the next 18 months
Three execution signals will tell us whether this is a real policy or a shelf document.
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NAIF disbursement. Sixteen of twenty-four action-matrix rows have 2026 deadlines. If NAIF publishes call-for-proposal documents, funded grant lists, and quarterly disbursement reports within the next two quarters, the funding architecture is alive.
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AI Directorate stand-up. Watch whether it actually launches under NCPDP, whether the public AI register goes live, and whether the regulatory sandbox attracts its first cohort before end of 2026. Sandbox enrolment is the cleanest signal of whether the regulator chose agility or risk-aversion.
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Infrastructure procurement. Watch for RFPs that name compute capacity targets, anchor private operators, and disclose budget figures. The policy becomes operational the moment a procurement is published with GPU-hour commitments and prices.
If two of those three move, the policy is real. If none do, we are in shelf-ware territory by Q3 2026.
Where this fits
Part of an ongoing series on Pakistan's cloud and AI infrastructure from a practitioner's perspective. Previous posts: Picking Battles in the AI Stack, Pakistan's 5G Moment Is Also a Sovereign Cloud Moment, and Beyond Hyperscalers.
- Website: https://waqaruddin.com
- Medium: https://medium.waqaruddin.com/