P@SHA · Pakistan IT Industry Association Policy Portal
moitt 2025 POLICY SUPPORT Approved

National AI Policy 2025 (Approved)

Briefing

By Rahnuma · AI-generated
The National AI Policy 2025 establishes Pakistan's comprehensive framework for artificial intelligence adoption, governance, and development across government and private sectors. The policy addresses AI ethics and responsible use, workforce skill development, data governance, infrastructure development, and innovation support. Key provisions include establishing a National AI Council, creating AI research and development centers, mandating AI literacy programs for government officials, and setting standards for responsible AI deployment. The policy aims to position Pakistan as a regional AI hub while ensuring algorithmic accountability and data protection compliance. The framework differentiates requirements between public sector AI adoption and private sector participation, with specific incentives for startups and research institutions.
Plain-language explanation
Pakistan's National AI Policy 2025 is the government's master plan for how artificial intelligence will be developed, used, and governed throughout the country. Think of it as the rulebook for the AI era in Pakistan. The policy creates a new council to oversee all AI activities, requires government agencies to learn AI skills, and sets up standards so AI systems are fair and don't discriminate. For businesses, the policy offers benefits like tax breaks and easier access to funding if they develop AI products in Pakistan. The government wants to use AI itself to improve public services like healthcare and education while also supporting private companies to build AI businesses. There are safeguards too: companies must explain how their AI makes decisions, protect citizen data, and follow ethics rules. The overall goal is to make Pakistan a serious player in AI regionally while making sure the technology helps ordinary people.

Compliance & opportunity checklist

  • Register any high-risk AI systems with the National AI Council before deployment (Section 8.2)
  • Conduct algorithmic impact assessments for AI systems affecting public services or consumer decisions
  • Update data protection practices to align with AI-specific requirements under the policy framework
  • Enroll relevant staff in government-approved AI literacy and ethics training programs
  • Review AI vendor contracts for compliance with national data localization and security standards
  • Evaluate eligibility for AI startup incentives including tax benefits and sandbox participation
  • Assess current AI deployments against the policy's algorithmic transparency requirements
  • Establish internal governance processes for AI system monitoring and reporting

Key numbers

Policy Effective Date
2025 Year
· Preamble
AI Research Fund
5 Billion PKR
Annual · Section 6.3
Public Sector AI Training Requirement
50 Percent of Digital Staff
Year 1 · Section 4.2
National AI Registry Launch
12 Months
From Effective Date · Section 8.1
AI Startup Tax Incentive
100 Percent
First 3 Years · Section 9.1
Computing Infrastructure Subsidy
70 Percent
For Qualifying Entities · Section 6.4
Required AI Ethics Auditors
3 Minimum Per Agency
Per Deploying Entity · Section 7.3
Data Localization Threshold
100000 Records
Trigger for Local Storage · Section 5.2
Compliance Report Submission
Annual Cycle
Calendar Year · Section 8.4
Sandbox Success Rate Threshold
30 Percent
Exit to Market · Section 10.2

Frequently asked

By Rahnuma · AI-generated
What government body oversees AI policy implementation under this framework?
The policy establishes a National AI Council responsible for strategic direction, coordination between ministries, and monitoring AI adoption across sectors. This Council serves as the primary governance body for all AI-related initiatives under the policy framework.
How does the policy address AI talent and workforce development?
The policy mandates AI skill development programs at university level, reskilling initiatives for existing government employees, and partnerships with industry for practical training. Educational institutions are required to integrate AI curricula into relevant degree programs.
What are the compliance requirements for private companies developing or deploying AI in Pakistan?
Private sector AI developers and deployers must adhere to national AI ethics guidelines, data protection requirements, and algorithmic transparency standards. Companies must register AI systems with relevant regulatory bodies and conduct impact assessments for high-risk applications.
Does the policy provide incentives for AI startups and innovation?
The policy offers tax incentives, subsidized access to computing infrastructure, and grant programs for AI startups and research institutions. Special economic zones for AI companies are established with streamlined regulatory processes.
How does the policy balance innovation with responsible AI use?
The policy establishes an innovation sandbox framework allowing controlled testing of new AI technologies under regulatory supervision. High-risk AI applications face stricter requirements while lower-risk uses have expedited approval pathways.

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Related instruments

Depends on P@SHA
Personal Data Protection Bill 2023 (Draft)

Responsible-AI governance rests on the data protection framework.

Part of AI
Digital Nation Pakistan Act 2025

The National AI Policy 2025 constitutes a sectoral plan under the National Digital Masterplan, which the National Digital Commission is empowered to approve and the Pakistan Digital Authority to implement under sections 5(a) and 8(a) of the Act.

Enables AI
Digital Nation Pakistan Act 2025

The Authority is tasked with integrating emerging technologies such as AI into the National Digital Masterplan, thereby enabling the deployment and scaling of AI initiatives outlined in the National AI Policy 2025.

Enables AI
PECA: Online Content Rules 2021

By mandating AI‑based content‑moderation systems, the rules provide a concrete use‑case that the National AI Policy 2025 seeks to promote across sectors.

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