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Pakistan Approves National AI Fund to Boost Innovation and Skills Development

  • August 5, 2025
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Pakistan’s federal government has approved the establishment of the National Artificial Intelligence Fund (NAIF), aiming to drive adoption and development of AI technologies across the country. According to official documents, this initiative is designed to accelerate the country’s digital transformation by creating sustainable infrastructure and support for AI innovation. The government has decided to allocate 30 percent of Ignite’s Research and Development Fund to NAIF, which will serve as a financial foundation to advance artificial intelligence initiatives nationwide.

The approved fund is part of broader plans to integrate AI into Pakistan’s national development strategy. A key component of this strategy includes setting up AI Centers of Excellence in Islamabad, Karachi, and Lahore. These hubs will enable collaboration between academia, startups, and the private sector to develop, test, and deploy AI solutions. The focus will be on creating localized innovations that are relevant to national challenges and industry needs, with long-term goals of economic competitiveness and self-reliance in AI capability.

In addition to the National AI Fund, the government is proposing the formation of two complementary financial instruments: an AI Innovation Fund and a Venture Fund. These will be aimed at supporting early-stage projects and startups working in AI-driven technologies, thereby stimulating entrepreneurship and expanding the commercial impact of AI research. These funds will focus on building a robust AI ecosystem that can support a range of industries including agriculture, healthcare, manufacturing, and education.

To address the growing demand for skilled professionals in artificial intelligence, the initiative includes a comprehensive AI Skill Development Program. This nationwide training effort will be coordinated by the Ministry of Education and Training in partnership with provincial governments and private entities. The program targets training 200,000 individuals annually, offering a combination of online and hands-on instruction in core AI areas. The goal is to create a pool of professionals equipped to contribute meaningfully to both public and private sector AI projects.

As part of the national framework, a National High-Tech Internship Program will also be launched to provide young professionals and students with real-world experience in emerging technologies, including AI. These internships will give participants exposure to practical applications of AI across different sectors and promote capacity building at the grassroots level.

All of these measures are structured under the broader vision of the National AI Policy, which seeks to foster a competitive digital economy, promote innovation, and support sustainable tech growth. The combined efforts of fund allocation, skill development, entrepreneurship support, and research infrastructure are expected to position Pakistan to compete in the global AI landscape while also addressing local socio-economic challenges through technology.

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Related Topics
  • AI centers of excellence
  • AI innovation fund
  • AI startups Pakistan
  • AI training Pakistan
  • high-tech internships
  • Ignite R&D
  • National AI Fund
  • Pakistan AI policy
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