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Rural electrification is a fundamental step towards achieving universal access to electricity by 2030. On-grid rural electrification remains a costly proposition, therefore the need to consider off-grid renewable energy solutions is inevitable. However, the critical issue pertaining to local power generation through renewable energy is the absence of area-specific production capacity and economic viability data for the different renewable energy technologies. This paper addresses this issue for Pakistan’s Balochistan province by assessing the area’s potential and economic feasibility of using solar PV for rural electrification. The results suggest that the Balochistan province has the best solar irradiance value in the world. Furthermore, optimal tilt angles calculated for respective regions can significantly increase solar energy yield. The economic feasibility study, carried out for solar PV systems, reveals that the electricity generated using solar PV costs Rs. 7.98 per kWh and is considerably cheaper than conventional electricity, which costs approximately Rs. 20.79 per kWh. Similarly, solar PV systems could mitigate 126,000 metric tons of CO2 annually if 100% of the unelectrified households adopted solar PV systems. Based on these research findings, this paper proposes a policy that would serve as a guideline for the government to extend solar PV-based off-grid rural electrification projects in Balochistan as well as on a national scale.